Sundaram Finance announced Q3FY23 results: Standalone 9MFY23 & Q3FY23: Disbursements for 9MFY23 recorded a growth of 64% to Rs 15,587 crore as compared to Rs 9,524 crore registered in 9MFY22. Disbursements for Q3FY23 recorded a growth of 45% to Rs 5,553 crore as compared to Rs 3,843 crore in Q3FY22. The assets under management stood at Rs 33,558 crore in Q3FY23 as against Rs 29,796 crore as on Q3FY22, up by 13%. The total restructured assets under Covid relief measures enabled by the Reserve Bank of India were at Rs 765 crore, about 2.3% of loan outstanding, as on Q3FY23. Gross stage 3 as on Q3FY23 stood at 2.43% with 45% provision cover as against 3.39% with provision cover of 39% as on Q3FY22. Net stage 3 as on Q3FY23 closed at 1.35% as against 2.09% as on Q3FY22. With the improvement in the asset quality, the impairment cost for 9MFY23 was Rs 117 crore as against Rs 347 crore in 9MFY22. The Gross and Net NPA, per RBI’s new asset classification norms for NBFCs, are 3.97% and 2.78% respectively as against 7.71% and 6.17% as of Q3FY22. Cost to income ratio closed at 32.23% in 9MFY23 as against 29.96% in 9MFY22. Profit after tax registered an 28% rise in 9MFY23, with net profit at Rs 772 crore. The company had registered a net profit of Rs 605 crore in 9MFY22. Profit after tax registered 20% increase in Q3FY23, with net profit at Rs 243 crore as compared to Rs 202 crore in Q3FY22. Return on assets (ROA) for 9MFY23 closed at 2.8% as against 2.3% for 9MFY22. Return of equity (ROE) was at 14.2% for 9MFY23 as against 12.5% for 9MFY22. If we exclude investments in subsidiaries and group companies, core ROE was at 17.0% for 9MFY23 as against 16.2% for 9MFY22. Capital Adequacy Ratio stood at 23.3% (Tier I –17.8%) as of Q3FY23 compared to 23.6% (Tier I – 16.7%) as of Q3FY22. The Company has declared an interim dividend of Rs 12 per share (120%). Consolidated 9MFY23 & Q3FY23: The assets under management (AUM) in our lending and general insurance businesses stood at Rs 51,866 crore as on Q3FY23 as against Rs 46,348 crore as on Q3FY22. The assets under management of our asset management business stood at Rs 56,791 crore as on Q3FY23 as against Rs 46,355 crore as on Q3FY22. Profits after tax for 9MFY23 was Rs 885 crore as compared to Rs 833 crore in 9MFY22. “The third quarter witnessed a bumper festival season and we have been able to strengthen our market share across geographies and asset classes. Looking ahead, as inflation eases and government capital expenditure crowds in private investment, we expect growth in the economy to pick up. Our investments in technology & data coupled with our traditional strengths of customer obsession and people-centricity will provide us the impetus to scale up our business the Sundaram way,” said Rajiv Lochan, Managing Director. Result PDF