Cholamandalam Investment and Finance Company (511243) Q4 24/25 earnings summary

Executive summary

• Disbursements for FY25 reached INR 1,86,917 crore, up 14% year-over-year; Q4FY25 disbursements were INR 26,417 crore, up 7% year-over-year.

• Total AUM stood at INR 1,99,876 crore, a 30% increase year-over-year; net income for FY25 was INR 13,570 crore, up 36%.

• PAT for FY25 was INR 4,259 crore, up 24%; PBT for FY25 was INR 5,737 crore, up 25%.

• Net worth increased to INR 23,627 crore as of March 2025 from INR 19,557 crore in FY24.

• Board recommended a final dividend of INR 0.70 per share for FY25, subject to shareholder approval.

Financial highlights

• Vehicle finance disbursements in FY25 were INR 53,922 crore, up 12% year-over-year; AUM up 20%.

• Loan against property (LAP) disbursements grew 32% in FY25 to INR 17,913 crore; AUM up 39%.

• Home loan disbursements grew 16% in FY25 to INR 7,404 crore; AUM up 37%.

• SME disbursements declined 4% in FY25 due to strategic slowdown; PBT up 37% to INR 111 crore.

• Net income margin improved to 7.7% in FY25 from 7.5% in FY24; ROE at 19.8%.

Outlook and guidance

• AUM growth guidance remains at 20-25% for FY26 and the medium term.

• Home loan disbursements expected to grow 15-20%, with book growth at 30%+ for the next two years.

• Non-vehicle segments targeted for 30% growth, vehicle finance for 20%.

• Credit cost expected to improve from 1.4% to 1.3% in FY26.

• LAP portfolio projected to grow 21-23% in FY26, focusing on tier 3/4 markets and retail customers.