Cholamandalam Investment Q2 Results: Profit surges 41% to Rs 1,630 crore; co plans to raise Rs 5,00O crore via QIP

Cholamandalam Investment and Finance Company on Wednesday reported a 41 per cent jump in net profit to Rs 1,630 crore for the second quarter ended September 30.

The financial services division of the diversified conglomerate Murugappa Group earned a net profit of Rs 1,155 crore in the year-ago period.

Its total income rose to Rs 9,367 crore in the quarter under review from Rs 7,590 crore a year ago, Cholamandalam Investment and Finance Company said in a regulatory filing.


Interest income rose to Rs 8,504 crore from Rs 6,894 crore in the corresponding quarter of the preceding fiscal.

In the quarter, total expenses rose to Rs 7,179 crore from Rs 6,029 crore a year earlier.

The board have approved the issue of equity shares and/or eligible securities convertible into equity shares by way of a qualified institutional placement to eligible qualified institutional buyers for an aggregate amount not exceeding Rs 5,000 crore in one or more tranches, it said.

As regards asset quality of the company, it witnessed improvement with gross non-performing assets (NPAs) declining to 3.29 per cent of gross advances at the end of the September quarter 2026 against 4.44 per cent a year ago.

Net NPAs or bad loans moderated to 2.92 per cent from 2.95 per cent in the year-ago period.

Its capital adequacy ratio (CAR) stood at 20.62 per cent compared to the regulatory requirement of 15 per cent as of September 30.

Tier-I Capital was 16.02 per cent (Common Equity Tier-I Capital at 14.88 per cent against a regulatory minimum of 9 per cent), and Tier-II Capital was 4.60 per cent, it added.