Sundaram Home Finance Q2 net up 18% at Rs 59 crore

CHENNAI: Sundaram Home Finance has registered an 18% rise in its net profit for the Q2 ended September 30, 2023 at Rs 59.33 crore as compared to Rs 50.30 crore in the corresponding quarter of the previous year.

Disbursements for Q2 ended September 30, 2023 went up 29% to Rs 1213.87 crore against Rs 940.56 crore registered in the Q2 ended September 30, 2022.

Net Profit for the half year ended September 30, 2023 increased 20% to Rs 116.75 crore as compared to Rs 97.56 crore registered in the half year ended September 30, 2022. Disbursements for the half year ended September 30, 2023 surged 33% to Rs 2307.38 crore as compared to Rs 1736.25 crore registered in the same period last year.

The company had forayed into the small business loans segment in October last year. In the first year of its entry into this new segment, the company has opened 25 exclusive SBL branches in TN and hired over 150 people for this segment.

Lakshminarayanan Duraiswamy, MD, Sundaram Home Finance said, “The strong growth in disbursements in the first half has been driven by our continued expansion in Tier 2 and 3 towns. We opened over 15 new branches during this period.”

The company is now foraying into the affordable housing segment and plans to open 10 branches and hire up to 75 people in TN and AP by March 2024.

On the outlook for the H2, Lakshminarayanan said, “The prospects of the home loan business continues to be positive on the back of end user driven demand. Smaller towns are growing faster than the Tier 1 cities and provide growth opportunities.”