Sundaram Finance net up 5% to Rs 997 cr in 9MFY25

CHENNAI: Sundaram Finance Ltd (SFL) reported a net profit of Rs 997 crore for 9MFY25, up 5 per cent from Rs 948 crore in 9MFY24. This was primarily due to a shift in timing of dividends in the prior period (Rs 43 crore in 9MFY25 vs Rs 181 crore in 9MFY24).

“Economic activity in the festival season that marks Q3 has been below expectations. Team Sundaram has delivered a terrific Q3 with 19 per cent growth in AUM to Rs 50,199 crore, improving asset quality with net stage 3 at 0.97 per cent vs 1.02 per cent last year and profits from operations growing 22 per cent year-on-year. Our group companies in asset management, general insurance and home finance have continued their trajectory from FY24 and recorded strong results," said Harsha Viji, executive vice chairman.

Disbursements for 9MFY25 recorded a growth of 8 per cent over 9MFY24 with 19 per cent growth in disbursements for Q3FY25 over last year. Core operations performed strongly with profit from operations up by 22 per cent in 9MFY25.

“It has been a strong quarter for the company despite a relatively muted Q3 for the industry. We have gained market share across nearly all asset classes that we focus on, resulting in 19 per cent growth in disbursements for the quarter YOY and 19 per cent AUM growth. Our asset quality continues to improve, even as the collections environment for the sector tightens,” said Rajiv Lochan, MD.