Cholamandalam Profit Soars 41%

Cholamandalam Investment and Finance Company has announced a robust financial performance for the second quarter ended September 30, 2026. The company's net profit experienced a substantial 41 percent increase, climbing to Rs 1,630 crore from Rs 1,155 crore in the same period last year. This impressive growth was supported by a considerable rise in total income, which reached Rs 9,367 crore, up from Rs 7,590 crore year-on-year. A primary driver for this increase was higher interest income, which grew to Rs 8,504 crore.

The company also highlighted an improvement in its asset quality. Gross non-performing assets (NPAs) saw a decline, settling at 3.29 percent of gross advances by the end of the September quarter, a notable improvement from 4.44 percent in the previous year. Net NPAs also moderated slightly. Cholamandalam's capital adequacy ratio stood strong at 20.62 percent, comfortably exceeding the regulatory requirement.

In addition to its performance, the board has approved the issuance of equity shares or convertible securities via qualified institutional placement. This move aims to raise an aggregate amount not exceeding Rs 5,000 crore in one or more tranches, subject to market conditions and regulatory approvals.