Sundaram Home Finance Q2 net up 27% at Rs 50.3 crore

CHENNAI: Sundaram Home Finance has registered a 27% rise in its net profit for Q2 ended September 30, 2022 at Rs 50.3 cr as against Rs 39.7cr in the same period last year.

The disbursements for Q2 ended September 30, 2022 went up 18% to Rs 940 cr as compared to Rs 797 cr registered in the same period last year.

Assets under Management crossed the milestone of Rs 10,000 cr in Q2 and stood at Rs10,176 cr as on September 30, 2022 as compared to Rs 9,134 cr as on September 30, 2021. Lakshminarayanan Duraiswamy, MD, Sundaram Home Finance said, “We registered record disbursements in the first half of over Rs 1,700 cr driven by continued growth in tier 2 and 3 towns and the strong appetite for home ownership. The continued momentum from the previous quarters helped sustain disbursements at higher levels this quarter. The positive disbursements trend reflected in our hiring over 175people in the first half, the highest in many years.”

In the first week of this month, Sundaram Home Finance forayed into the small business loan segment where it plans to disburse loans of up to Rs 20 lakh to small shop owners in tier 3 and 4 towns to help small entrepreneurs expand their business. The company recently opened two exclusive small business loan branches in Madurai and Tenkasi, and a third branch in Theni on Friday.

On the outlook for the second half, Lakshminarayanan said, “We believe the housing market will continue to remain buoyant in the second half primarily on the back of end-user demand. There is potential to expand in tier 2 and 3 towns in the south and we plan to open 10 new branches by March 2023. We will also be hiring about 75 people in the second half to strengthen our strong customer presence and service delivery across the south market.”