For the six month period ending September 30, 2021 standalone profit surged to Rs 933.34 crore from Rs 862.84 crore registered in the corresponding period last year.
Cholamandalam Investment and Finance Company has recorded a standalone profit at Rs 606.54 crore for the quarter ending September 30, 2021, the company said on Saturday.
The city-based had reported standalone net at Rs 431.91 crore during corresponding quarter previous year. For the six month period ending September 30, 2021 standalone profit surged to Rs 933.34 crore from Rs 862.84 crore registered in the corresponding period last year.
Standalone total income for the quarter under review grew to Rs 2,470.69 crore from Rs 2,439.78 crore registered in the same period last fiscal. Total income on standalone basis for the half year ending September 30, 2021 stood at Rs 4,937.70 crore as against Rs 4,553.43 crore registered in the same period last fiscal.
In a statement, the company said the quarter under review had several positives including the waning of Covid-19 second wave, increased vaccination drive and a good monsoon. “These expectations have been supported by uptrend in economic indicators like tax collections, power consumption, vehicle registrations, highway toll collection.”, it said.
The economic revival has led to a sharp recovery in Chola’s disbursements and collections during FY2021-22. “We continue to hold management and additional overlay provisions at Rs 700 crore. Apart from this, we have created 10 per cent additional provision for all restructured accounts as per RBI guidelines,” it added.
Aggregate disbursements in Q2 FY 22 were at Rs 8,706 crore as against Rs 6,457 crore in Q2 of FY 2021 with a growth of 35 per cent. Vehicle finance disbursements were at Rs 6,161 crore in Q2 FY 22 as against Rs 4,781 crore in Q2, FY 2021, with a growth of 29 per cent. Loan against property business disbursed Rs 1,736 crore in Q2FY 22, as against Rs 1,052 crore in Q2 FY 2021. Home loan business disbursed at Rs 494 crore in Q2 FY 22 as against Rs 381 crore in Q2 FY 2021.
The assets under management as of September 30, 2021 stood at Rs 75,063 crore as compared to Rs 74,471 crore as of end September in FY 2021. “The company continues to hold a strong liquidity position with Rs 5,401 crore as cash balance at end of September 2021 including Rs 1,500 crore invested, with a total liquidity position of Rs 9,800 crore. The Capital Adequacy Ratio of the company as on September 30, 2021 was at 19.63 per cent as against the regulatory requirement of 15 per cent, the statement said.