Cifcl Audited Financial Results For The Quarter And Year Ended 31st March 2023

Chennai/Mumbai, May 2023: The Board of Directors of CIFCL approved the audited financial results for the quarter and year ending 31st March 2023.

Highlights:

Chola has delivered the best-ever disbursals, collections, and profitability in Q4 FY23. Chola has gained market share across the product segment in VF and other business units. The overall PV Industry sales in FY23 rose to 38.89 lakh units, an increase of 27 percent from 30.69 lakh units in 2021-22. Loan Against Property & SME loans witnessed strong growth in the current fiscal on the back of lower growth during the pandemic period, amidst a revival in demand from smaller businesses. Leveraging the industry growth, Chola has improved market share across Product segments. Retail AUM of NBFCs is expected to grow at a healthy 12-14% in FY2024, after a strong rebound in FY2023.

Performance Highlights:

Aggregate disbursements in Q4 FY 24 were at ₹ 21,020 Cr as against ₹ 12,718 Cr in Q4 FY 22 with a growth of 65%. Disbursements for FY 22-23 were, at ₹ 66,532 Cr as against ₹ 35,490 Cr in the previous year, for a growth of 87% Y-on-Y.
Vehicle Finance (VF) disbursements were at ₹ 12,190 Cr in Q4 FY 23 as against ₹ 8,785 Cr in Q4 FY22, registering a growth of 39%. Disbursements for FY 22-23, were at ₹ 39,699 Cr as against ₹ 25,439 Cr in the previous year, for a growth of 56% Y-o-Y.
Loan Against Property (LAP) business disbursed ₹ 2,762 Cr in Q4 FY 23, as against ₹ 1,870 Cr in Q4 FY 22, with a growth rate of 48%. Disbursements for FY 22-23, were at ₹ 9,299 Cr as against ₹ 5,536 Cr in the previous year, for a growth of 68% Y-o-Y.
Home Loan (Affordable HL and Affordable LAP) business disbursed ₹ 1,405 Cr in Q4 FY 23, as against ₹ 549 Cr in Q4 FY 22 registering a growth of 156%. Disbursements for FY 22-23, were at ₹ 3,830 Cr as against ₹ 1,896 Cr in the previous year, for a growth of 102% Y-o-Y.
Small and Medium Enterprises Loan (SME) business disbursed ₹ 2,104 Cr in Q4 FY 23, registering 127% growth over ₹ 929 Cr in Q4 FY 22. Disbursements for FY 22-23, were at ₹ 6,388 Cr as against ₹ 1,926 Cr in the previous year, for a growth of 232% Y-o-Y.
Consumer and Small Enterprise Loans (CSEL) disbursed ₹ 2,364 Cr and ₹ 6,865 Cr in Q4 and for FY 22-23.
Secured Business and Personal Loan (SBPL) disbursed ₹ 196 Cr and ₹ 451 Cr in Q4 and for FY 22-23.
Assets under management as of 31st Mar 2023, stood at ₹ 112,782 Cr as compared to ₹ 82,904 Cr as of 31st Mar 2022, for a growth of 36% Y-O-Y.
PBT-ROA for Q4 FY 23 was at 4.4% and for FY 22-23 was 3.8%.
ROE for FY 22-23 was at 20.6 % as against 20.4% in the previous year.
The Company continues to hold a strong liquidity position with ₹ 5,042 Cr as cash balance as of the end of March 2023 (including Rs 1500 cr / Rs 1600 cr invested in Gsec / TBill shown under investments), with a total liquidity position of ₹ 9,119 Cr (including undrawn sanctioned lines). The ALM is comfortable with no negative cumulative mismatches across all time buckets.
Consolidated Profit Before Tax (PBT) for Q4 FY 23 was at ₹ 1,163 Cr as against ₹ 927 Cr in Q4 FY 22 and for FY 22-23 were at ₹ 3,615 Cr as against ₹ 2,902 Cr previous year, for a growth of 25%.

Dividend:

The company’s Board of Directors has recommended a final dividend of ₹ 0.70 per share (35%) on the company’s equity shares, subject to the approval of the company’s members at the ensuing Annual General Meeting. This is in addition to the interim dividend of ₹ 1.30 per share (65%) for the financial year 2022-23 declared by the company on 31st January 2023.

Asset Quality

Stage 3 levels have improved from 3.51% on Dec 22 to 3.01% on March 23. GNPA % as per RBI norms also has come down to 4.63% in March’23 as against 5.37% in Dec-22 and NNPA as per RBI norms has come down to 3.11% in March -23 against 3.76% in Dec-22.

The details of the stagewise assets and provisions are given in the Annexure.

Capital Adequacy:

The Capital Adequacy Ratio (CAR) of the company as on 31st March 2023, was at 17.13% as against the regulatory requirement of 15%. Tier-I Capital was at 14.78% and Tier-II Capital was at 2.35%.

Maiden Public NCD Issue:

Our maiden public issue of secured, rated, redeemable NCDs for which the prospectus was filed in Q4 of FY 23 amounting to Rs.1000 Cr was oversubscribed by 2.6 times within the first 3 days of issue. The category-wise subscription details at the end of Day 3 are presented below: