CIFCL - Total assets under Management up by 24% crosses Rs. 25000 crores, Q4 PAT up by 6%, YTD PAT up by 19%

Cholamandalam Investment and Finance Company Limited

Total assets under Management up by 24% crosses Rs.25000 crores, Q4 PAT up by 6%, YTD PAT up by 19%

Q – 4 Performance Highlights:

Chennai, Apr 28th, 2014: Disbursements in vehicle finance were marginally lower while disbursements in Home equity loans grew by 23% compared to the same period last year.

The Company disbursed 2795 Cr in Vehicle Finance as against 3140 Cr in Q4 of 2012-13 and disbursed 785 Cr in Home Equity loans as against 638 Cr in Q4 of 2012-13.

Disbursement from new businesses was 92 Cr The aggregate disbursements of the Company for the quarter are 3673 Cr as against3808 Cr in Q4 of 2012-13.

Total Income is 847.95 Cr compared to 725.95 Cr in Q4 of 2012-13 registering a growth of 17%.

Profit before tax is 137.58 Cr as against 122.47 Cr in Q4 of 2012-13 registering a growth of 12%.

Profit after tax is 90.73 Cr as against 85.76 Cr in Q4 of 2012-13 registering a growth of 6%.

FY – 14 – Performance Highlights:

The Company disbursed 10128 Cr in Vehicle Finance as against
9882 Cr in FY-13, disbursed 2810 Cr in Home Equity loans as against 2161 Cr in FY-13 and in the new businesses disbursed 176 Cr The aggregate disbursements of the Company for the FY-13 are
13114 Cr as against 12118 Cr in FY-13 registering a growth of 8%.

Total Income is 3262.84 Cr compared to 2555.68 Cr in FY 13 registering a growth of 28%.

Profit before tax is 550.21 Cr as against 450.80 Cr in FY-13 registering a growth of 22%.

Profit after tax is 364.01 Cr as against 306.55 Cr in FY-13 registering a growth of 19%.

Financial Performance – Summary :

2012-13		Particulars	2012-13		Q-o-Q	Y-o-Y
Q-IV	FY 12-13		Q – IV	FY 13-14	Growth	Growth
3,807.78	12,118.27	Disbursements Total Income	3,672.57	13,114.22	-4%	8%
725.95	2,555.68	Disbursements Total Income	847.95	3,262.84	17%	28%
122.47	450.80	Profit Before Tax Profit After Tax	137.58	550.21	12%	22%
85.76	306.55	Profit Before Tax Profit After Tax	90.73	364.01	6%	19%

• The Company has expanded its presence to 574 branches as on 31st March 2014 compared to 518 as on 31st March 2013. The additional branches are in Tier III and Tier IV locations across India.

• The Company raised Tier II capital of 328 Cr during the FY14 by way of subordinated debt and perpetual debt instruments to strengthen its capital adequacy ratio.

• The capital adequacy ratio (CAR) of the company remained at 17.23% as compared to the regulatory requirement of 15%.

Portfolio Quality:

The sustained slowdown in the economy and reduction in freight earnings of the borrowers resulted in continued pressure on the asset quality. With a vigorous focus on portfolio quality, the Company contained GNPA at 1.9% and NNPA at 0.7%. We continue to follow an aggressive provisioning policy resulting in an incremental provision of 122 crores above RBI norms thus ensuring provision coverage of 60%. We continue to follow a stringent credit selection approach which is reflected in the disbursement growth being relatively lower as compared to the previous year especially in the vehicle finance business.

Subsidiaries Performance:

The subsidiaries had made a profit of 4.27 Cr during the year as against 1.03 Cr in FY – 13.

Consolidated Results:

The consolidated profit after tax for the year was 368.28 Cr as against a PAT of 307.91 Cr in FY – 13 registering a growth of 20%.

Others:

The Board has recommended a final dividend of 1/- per share (10 % on the face value of 10/- per share) to its equity shareholders. Including the interim dividend, the total dividend if declared by the shareholders will be 3.50/- per share.