"Significant increases in vehicle prices, higher fuel prices, reduced frieght availability and higher interest rates are expected to affect sales of commercial vehicles. Sales of passenger cars are also likely to register lower growth."
"Given these challenges, we expect Sundaram Finance's growth to be modest this year. We will continue to focus on profitable growth, leveraging our intimate knowledge of the market and customer relationships that have been built on a solid foundation of trust" Sundaram Finance Ltd Chairman S Viji said in a press release here.
Sundaram Finance's disbursements for 2007-08 grew 16 per cent to Rs 5,110 crore and net profits grew by 35 per cent to Rs 135.73 crore.
The company plans to open 100 offices this year that will take its branch network to over by 525 by March 2009.
"We will continue to reach out to customers where they are. Through Sundaram Direct, our distribution arm, we will take the entire range of our lending and investment products to the market" company Managing Director T T Srinivasaraghavan said.
Recently, Sundaram Finance announced an upward revision in its Fixed Deposit interest rates (effective July 1, 2008), with one year deposits yielding 10 per cent and second and third year deposits yielding 10.5 per cent, the release added.
