Sundaram Home Finance Q2 results: Net Profit rises 18% at Rs 59.33 cr

Sundaram Home Finance has reported a 18 per cent increase in its net profit for the second quarter ending September 30, 2023 at Rs 59.33 crore, the company said on Thursday.

The city-based wholly owned subsidiary of non-banking finance company Sundaram Finance had registered a net profit at Rs 50.30 crore during the corresponding quarter of last year.

For the half-year ending September 30, 2023 the net profit of the company grew to Rs 116.75 crore, up by 20 per cent, from Rs 97.56 crore registered during the same period of last year.

Disbursements made during the quarter under review grew to Rs 1,213.87 crore from Rs 940.56 crore recorded in the same period of last year.

For the six month period ended September 30, 2023 the total disbursements rose to Rs 2,307.38 crore, from Rs 1,736.25 crore registered in the same period of last year.

Commenting on the financial performance, Sundaram Home Finance MD, Lakshminarayanan Duraiswamy said,"the strong growth of 33 per cent in disbursements in the first half has been driven by our continued expansion in Tier II and III towns."

"We opened over 15 new branches during this period," he said.

The company is foraying into the affordable housing segment and plans to open 10 branches and recruit upto 75 people in Tamil Nadu and neighbouring Andhra Pradesh by March 2024.

On the outlook, he 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 I cities and provide growth opportunities," he added.