Sundaram Home Finance ((SHF), a wholly owned subsidiary of non-banking finance company Sundaram Finance Ltd., is mulling to raise ₹2,500 crore to fund its growth plans, the firm said.
SHF has declared its financial performance for the fourth quarter ended March 31. According to a statement, net profit stood at ₹36.60 crore. The company registered a net profit of ₹82 crore during the corresponding period last year, including a one-time exceptional item of ₹60 crore due to write-back of deferred tax liability.
“Hence the net profit for the two periods are not comparable,” the statement said.
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Disbursements grew to ₹459.38 crore from ₹389.60 crore. For the year ended March 31, the net profit was ₹191 crore against ₹218 crore.
The net profit included the one-time exceptional item of ₹60 crore and the net profits for the two periods are not comparable.
“To fund the growth plans, the company is looking to raise ₹2,500 crore this year through a mix of debt instruments and bank funding,” the statement said.
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On the outlook, SHF MD Lakshminarayanan Duraiswamy said, “There will be a momentary halt in the upward trend as we are likely to witness truncated housing sales and scrapped property projects. However, as the recovery of 2020 showed, the market is likely to emerge stronger.”