Sundaram Finance Logs Rs 281 Cr Q1 PAT

Sundaram Finance, a non-banking finance entity, reported an increased after-tax profit of Rs 281.28 crore for the first quarter. According to a regulatory filing, the company achieved an operational revenue of Rs 1,187.43 crore in the quarter ended 30 June 2023, marking a rise from Rs 935.07 crore in Q1FY23. Additionally, the net profit for the quarter reached Rs 281.28 crore, surpassing the previous year's Rs 225.73 crore. The disbursements for Q1FY24 exhibited a robust growth of 32 per cent, amounting to Rs 6,489 crore compared to the Rs 4,915 crore registered in Q1FY23.

Sundaram Finance also noted an impressive expansion in assets under management (AUM), which stood at Rs. 37,255 crore as of 30 June 2023, a notable increase from Rs 30,552 crore recorded on 30 June 2022, marking a growth of 22 per cent. Amid the ongoing challenges posed by the COVID-19 pandemic, the company highlighted that the total restructured assets under the Covid relief measures, facilitated by the Reserve Bank of India, amounted to Rs 538 crore. This accounted for approximately 1.5 per cent of the loan outstanding as of 30 June 2023.

Addressing the asset quality, Sundaram Finance pointed out that the Gross and Net Non-Performing Asset (NPA) figures, in accordance with the RBI's new asset classification norms for NBFCs, were reported at 2.96 per cent and 2 per cent, respectively. This indicated an increase from the 2.66 per cent and 1.41 per cent figures recorded as of 30 June 2022, based on the previous norms.