Chennai-headquartered Sundaram Home Finance has posted a 45 per cent growth in its fourth quarter net profit at Rs 53.05 crore. It had posted a net profit of Rs 36.60 crore in the corresponding quarter of the previous year.
Disbursements in Q4FY22 grew by 73 per cent year-on-year to Rs 794.11 crore as against Rs. 459.38 crore in the same previous period. The company registered record disbursement of over Rs 300 crore in March 2022.
“The record disbursements in March this year is a clear sign of the resilience in the real estate sector. We have seen an uptick in business in Tier-2 and 3 towns in the southern market, with the contribution from these geographies going up to around 70 per cent at the end of Q4, from about 55 per cent a year earlier,” D Lakshminarayanan, MD, Sundaram Home Finance, said in a press statement.
The company will continue to strengthen its presence in the Southern market and is planning to open 10 branches in Tier-2 and 3 towns in Tamil Nadu, North Karnataka, AP and Telangana.
“While the lending rates have remained at an unprecedented low in the last couple of years, we expect this to go up a few notches this year. Earlier this month, we saw the first rate hike in over two years. Despite the hike, the rates continue to be attractive for the retail customer,” Lakshminarayanan said.