Chennai, India – January 29, 2025 – Sundaram Finance Holdings Limited (NSE: SFHL, BSE: 533166) has announced robust Q3 FY25 earnings, reporting a consolidated net profit of ₹10,572.32 crore, marking a 3.2% YoY increase. The Board also declared an interim dividend of ₹3.70 per share (74%), reinforcing its commitment to shareholder value creation.
Financial Performance: Q3 FY25
Standalone Financial Highlights (₹ in Lakhs)
- Total Income: ₹1,804.74 crore (down 46.5% YoY) from ₹3,371.72 crore in Q3 FY24.
- Net Profit: ₹1,155.84 crore (down 56.1% YoY) from ₹2,631.59 crore.
- Earnings Per Share (EPS): ₹0.52 per share, compared to ₹1.18 in Q3 FY24.
- Total Comprehensive Income: ₹(15,401.38) crore, impacted by fair value adjustments on financial instruments.
- Total Income: ₹19,888.88 crore (up 12.1% YoY).
- Net Profit: ₹17,431.20 crore (up 22.7% YoY from ₹14,208.70 crore).
- EPS: ₹7.85, compared to ₹6.40 in the same period last year.
Consolidated Financial Highlights (₹ in Lakhs)
- Total Income: ₹3,293.52 crore (up 18.8% YoY) from ₹2,773.34 crore.
- Net Profit: ₹10,572.32 crore (up 3.2% YoY) from ₹10,243.64 crore.
- EPS: ₹4.76 per share, compared to ₹4.61 in Q3 FY24.
- Total Comprehensive Income: ₹20,285.32 crore, reflecting a strong market-driven performance.
- Total Income: ₹10,880.19 crore (up 37.5% YoY).
- Net Profit: ₹30,496.22 crore (up 15.6% YoY from ₹26,382.00 crore).
- EPS: ₹13.73, compared to ₹11.88 in the same period last year.
Key Business Segment Performance
Investment Segment
- Revenue: ₹1,724.26 crore (up 80.4% YoY).
- Profit Before Tax (PBT): ₹1,601.82 crore (up 92.1% YoY).
Support Services (Domestic & Overseas)
- Domestic Revenue: ₹93.61 crore (down 71.4% YoY).
- Overseas Revenue: ₹1,440.57 crore (up 15.4% YoY).
- Segment PBT: ₹667.03 crore (up 5.7% YoY).
₹3.70 Interim Dividend Declared
- Dividend Amount: ₹3.70 per share (74%).
- Record Date: February 4, 2025.
- Payment Date: On or before February 27, 2025.
Strategic Developments and Market Outlook
1. Portfolio Adjustments Due to Tax Policy Changes
- Recent capital gains tax changes (Finance Act 2024) resulted in a ₹0.24 crore reduction in deferred tax liability.
- Other Comprehensive Income (OCI) was impacted by ₹7.69 crore in tax-related revaluations.
2. Strong Growth in Associate Companies
- Share of Profit from Associates: ₹8,848.86 crore (up 12.3% YoY).
- Axles India Limited
- Brakes India Private Limited
- Wheels India Limited
3. Capital Strength and Investment Portfolio Growth
- Total Assets: ₹6,08,797.35 crore (up 22.9% YoY).
- Total Liabilities: ₹27,394.42 crore (up 32.3% YoY).
- Firm cash reserves and capital allocation strategy for future growth.
Investor Takeaways
- ₹10,572 crore net profit underscores Sundaram Finance Holdings' strong financial performance.
- An interim dividend of ₹3.70 per share (74%) enhances shareholder value.
- A robust investment portfolio and strong performance from associates continue to drive earnings.
- Resilient overseas business growth mitigates domestic market slowdown.