Cholamandalam DBS posts 34% growth in disbursements
Chennai, 21 July 2006: Cholamandalam DBS Finance Limited (Cholamandalam DBS) has posted a growth of 34% in total disbursements in the period April to June 2006, over the corresponding period of the previous year. The disbursements were at Rs.429 crores, up from Rs.319 crores in the same period in 2005.
Revenues increased to Rs.61 crores, up by 23% over the corresponding period of the previous year. The Profit Before Tax (PBT) was Rs.5.52 crores, as against Rs.11.52 crores in the same period the previous year. Profits were lower on account of absorption of upfront expenses relating to new products.
Atul Pande, Managing Director said, “Personal Loans, which marks our foray into consumer finance has had an encouraging first quarter performance. We have opened 6 dedicated personal finance branches at Chennai, Hyderabad and Bangalore, in addition to tapping the existing 125-location-strong vehicle finance network. Under Vehicle Finance, we increased our focus on used vehicles, thus recording a 59% growth this quarter, in comparison with the corresponding period the last year.”
At the Annual General Meeting of the company today, shareholders approved the dividend of Rs.5 per share (of par value Rs.10).
The company’s capital adequacy ratio stands at 13.65% as against RBI’s requirement of 12%.
Note to Editors: Cholamandalam DBS Finance Limited (Cholamandalam DBS) is a joint venture between the Murugappa Group and DBS Bank of Singapore. The Company, along with its subsidiaries and affiliates offers individual and institutional customers a range of financial services – vehicle finance, capital market finance, corporate finance, mutual funds, securities broking and distribution of investment and insurance products. The Company’s shares are listed on Bombay (BSE) and National (NSE) stock exchanges.
Headquartered in Chennai, the $1.6 billion Murugappa Group is India’s leading business conglomerate, which fosters an environment of professionalism for its strong workforce of 28,000 employees. The group has 29 registered companies, which are market leaders in diverse areas on business viz. engineering, abrasives, finance, general insurance, sanitaryware, cycles, sugar, farm inputs, fertilizers, plantations, bio products and nutraceuticals. The Group has manufacturing units in 12 states.
The Group has forged strong joint venture alliances with leading international companies like Roca of Spain, Cargill of Geneva, Cerdak of South Africa, DBS Bank of Singapore, Mitsui Sumitomo of Japan and Groupe Chimique Tunisien of Tunisia and has consolidated its status as one of the fastest growing diversified business house in India.
Headquartered in Singapore, DBS is one of the largest financial services groups in Asia. The largest bank in Singapore and the fifth largest banking group in Hong Kong as measured by assets, DBS has leading positions in consumer banking, treasury and markets, asset management, securities brokerage, equity and debt fund raising. Beyond the anchor markets of Singapore and Hong Kong, DBS serves corporate, institutional and retail customers through its operations in Thailand, Malaysia, Indonesia, India and The Philippines.In China, the Bank has branches and representative offices in Shanghai, Beijing, Guangzhou, Shenzhen, Fuzhou, Tianjin, Dongguan and Hangzhou. The Bank's credit ratings are one of the highest among banks competing in the Asia-Pacific region, and the highest among banks in Singapore.
Disclaimer:
Some of the statements included in this Press Release may be forward-looking statements made based on management’s current expectations and beliefs concerning future developments and their potential effects upon Cholamandalam DBS and its subsidiaries. There can be no assurance that future developments affecting Cholamandalam DBS and its subsidiaries will be those anticipated by management. These forward-looking statements are not a guarantee of future performance and involve risks and uncertainties, and there are important factors that could cause actual results to differ, possibly materially, from expectations reflected in such forward-looking statements. Cholamandalam DBS does not intend, and is under no obligation, to update any particular forward-looking statement included in this Press Release.
For further information, please contact:
Atul Pande
Managing Director
Cholamandalam DBS Finance Limited
I Floor, Dare House, Parry’s Corner,
2, NSC Bose Road, Chennai 600 001.
Tel: 044-25307172
