Finance (including NBFCs) company Sundaram Finance announced H1FY25 results Standalone Financial Highlights: Disbursements for H1FY25 grew by 3% to Rs 13,768 crore as compared to Rs 13,430 crore registered in H1FY24. The assets under management grew by 20% to Rs 48,058 crore as on 30thSeptember 2024as against Rs 40,106 crore as on 30th September 2023. Net interest income grew 19.4% to Rs 1,304 crore in H1FY25 from Rs 1,092 crore in H1FY24. Gross stage 3 as on 30th September 2024 stood at 1.62% with 45% provision cover as against 1.86% with provision cover of 42% as on 30th September 2023. Net stage 3 as on 30thSeptember 2024 closed at 0.89% as against 1.08% as on 30th September 2023. The Gross and Net NPA, as per RBI's asset classification norms for NBFCs, are 2.39% and 1.55% respectively as against 2.89% and 2.06% as of 30th September 2023. Profit from operations increased by 23% in H1FY25 as compared to H1FY24. Cost to income ratio closed at 32.27% in H1FY25 as against 35.18% in H1FY24. The dividend income was lower during H1FY25 at Rs 43 crore as against Rs 181 crore in H1FY24. Profit after tax was flat at Rs 648 crore during H1FY25 and H1FY24. Return on assets (ROA) for H1FY25 closed at 2.50% as against 2.95% for H1FY24. Return onequity (ROE) was at 14.2% for H1FY25 as against 16.2% for H1FY24. Capital Adequacy Ratio stood at 20.0% (Tier I 16.4%) as of 30th September 2024 compared to 19.9% (Tier I 15.9%) as of 30th September 2023. Consolidated Financial Highlights: The assets under management (AUM) in our lending and general insurance businesses stood at Rs 72,541 crore as on 30th September 2024 as against Rs 60,578 crore as on 30th September 2023, a growth of 20%. The assets under management of our asset management business stood at Rs 76,845 crore as on 30th September 2024 as against Rs 61,884 crore as on 30th September 2023, a growth of 24%. Profit after tax for H1FY25 grew by 18% to Rs 871 crore as compared to Rs 741 crore in H1FY24. Harsha Viji, Executive Vice Chairman, Sundaram Finance, said: Team Sundaram has delivered a balanced H1FY25 despite lower-than-expected economic activity in the half year. Assets under management grew by 20% to Rs 48,058 crore compared to the prior year period. Net stage 3 assets closed at 0.89% and profit after tax for H1FY25 was at Rs 648 crore.Our Group companies in asset management, general insurance and home finance have continued their trajectory from FY24 and recorded strong results. We continue to rely on our time-tested approach of steady and sustainable growth with best-in-class asset quality and consistent profitability," Rajiv Lochan, Managing Director, Sundaram Finance, said: Economic activity in Q2 was well below expectations with the monsoons disrupting consumption and government spending being slower post the general elections. The tepid economic activity was exacerbated by growing concerns on asset quality in the microfinance and unsecured lending sectoRs With no exposure in these segments, we delivered a well-balanced performance in a tough operating environment, recording operating profit growth of 23%. Looking ahead, we remain cautiously optimistic of a recovery in economic activity in H2 as domestic consumption and private sector capital expenditure resume and the central government's infrastructure spend and policy agenda gather pace. Team Sundaram will continue to remain sharply focused on delivering the Sundaram experience to our customers, our people and all stakeholders " Result PDF
Finance company Sundaram Finance announced Q1FY25 results: Standalone: Disbursements for Q1FY25 recorded a growth of 7% to Rs 6,908 crore as compared to Rs 6,489 crore registered in Q1FY24. The assets under management grew by 23% to Rs 45,671 crore as on 30th June 2024 as against Rs.37,255 crore as on 30th June 2023. Net interest income rose 20% in Q1FY25 as compared to Q1FY24. Profit from operations increased by 22% in Q1FY25 as compared to Q1FY24. Gross stage 3 as on 30th June 2024 stood at 1.56% with 47% provision cover as against 1.90% with provision cover of 48% as on 30th June 2023. Net stage 3 as on 30th June 2024 closed at 0.84% as against 1.00% as on 30th June 2023. The Gross and Net NPA, as per RBI’s asset classification norms for NBFCs, are 2.21% and 1.41% respectively as against 2.96% and 2.00% as of 30th June 2023. Cost to income ratio closed at 32.90% in Q1FY25 as against 35.18% in Q1FY24. Profit after tax registered a 9% rise in Q1FY25, with net profit at Rs 308 crore. The company had registered a net profit of Rs 281 crore in Q1FY24. Return on assets (ROA) for Q1FY25 closed at 2.38% as against 2.68% for Q1FY24. Return on equity (ROE) was at 13.6% for Q1FY25 as against 14.3% for Q1FY24. Capital Adequacy Ratio stood at 19.3% (Tier I –16.2%) as of 30th June 2024 compared to 21.4% (Tier I – 17.0%) as of 30th June 2023. Consolidated: The assets under management (AUM) in our lending and general insurance businesses stood at Rs 69,234 crore as on 30 th June 2024 as against Rs 57,150 crore as on 30 th June 2023, a growth of 21%. The assets under management of our asset management business stood at Rs 80,565 crore as on 30 th June 2024 as against Rs 59,862 crore as on 30th June 2023, a growth of 35%. Profit after tax for Q1FY25 grew by 16% to Rs 435 crore as compared to Rs 375 crore in Q1FY24. Harsha Viji, Executive Vice Chairman of the firm said: “Team Sundaram has delivered a strong Q1FY25 despite lower-than-expected economic activity in the quarter. Assets under management grew by 23% to a new high of Rs 45,671 crore, net stage 3 assets closed at 0.84% and profit after tax recorded a 9% growth to Rs 308 crore over the prior year period. Our Group companies in asset management, general insurance and home finance have continued their trajectory from FY24 and recorded strong results. We continue to rely on our timetested approach of steady and sustainable growth with best-in-class asset quality and consistent profitability," Rajiv Lochan, Managing Director of the firm said: “As we expected, economic activity in Q1 was disrupted by the general elections as well as a particularly hot summer. We delivered a well-balanced GQP performance in a tough operating environment. Looking ahead, we expect seamless continuity in the policy agenda of the government at the centre and that economic activity will pick up through the rest of the year. Team Sundaram will continue to remain sharply focused on delivering the Sundaram experience to our customers, our people and all stakeholders,” Result PDF