Cholamandalam Investment and Finance Company Limited – Investor Presentation Summary

Key Operational Highlights

  • Disbursements grew by 47% to ₹35,872 Cr in Q2 FY27 compared to ₹24,442 Cr in Q2 FY26.
  • Disbursements grew by 34% to ₹65,484 Cr in H1 FY27 compared to ₹48,767 Cr in H1 FY26.
  • Assets Under Management reached ₹2,48,045 Cr, a growth of 25% YoY.
  • The company operates through 1,958 branches across 26 states & 7 Union territories.
  • 85% of locations are in Tier-III, Tier-IV, Tier V and Tier-VI towns.
  • Total employee count: 79,491 across business segments.

Key drivers of operational performance: Strong growth across all business segments including Vehicle Finance, Loan Against Property, and Consumer Ecosystem.

Segment-wise Performance

Vehicle Finance (VF):

  • Disbursements: ₹17,801 Cr in Q2 FY27 (31% YoY growth)
  • AUM: ₹1,29,787 Cr (21% YoY growth)
  • PBT: ₹979 Cr (42% YoY growth)

MSME Ecosystem (LAP, SME, SBPL):

  • Disbursements: ₹9,345 Cr in Q2 FY27 (42% YoY growth)
  • AUM: ₹72,356 Cr (27% YoY growth)
  • PBT: ₹742 Cr (41% YoY growth)

Consumer Ecosystem (CSEL, HL, Gold):

  • Disbursements: ₹8,726 Cr in Q2 FY27 (103% YoY growth)
  • AUM: ₹45,902 Cr (32% YoY growth)
  • PBT: ₹414 Cr (88% YoY growth)

Explanation of significant changes in segment performance: All business segments showed strong growth driven by increased demand across product categories and expanded geographical presence.

Financial Highlights

Q2 FY27 Performance:

  • Revenue: ₹9,367 Cr (23% YoY growth)
  • Finance Charges: ₹4,329 Cr (23% YoY growth)
  • Net Income: ₹5,037 Cr (24% YoY growth)
  • Operating Expenses: ₹1,975 Cr (22% YoY growth)
  • Net Credit Losses: ₹874 Cr (-3% YoY)
  • PBT: ₹2,188 Cr (40% YoY growth)
  • PAT: ₹1,630 Cr (41% YoY growth)
  • EPS: Not specified for quarter

H1 FY27 Performance:

  • Revenue: ₹18,300 Cr (23% YoY growth)
  • PBT: ₹4,409 Cr (43% YoY growth)
  • PAT: ₹3,284 Cr (43% YoY growth)

Margins:

  • Net Income Margin: 7.9% in Q2 FY27 (vs 7.9% in Q2 FY26)
  • Net Income Margin: 8.0% in H1 FY27 (vs 7.8% in H1 FY26)
  • Cost to Net Income: 39.2% in Q2 FY27 (vs 39.7% in Q2 FY26)

YoY/QoQ comparison: All key financial metrics showed significant improvement both YoY and sequentially.

Drivers of financial performance: Higher disbursement growth, maintained net interest margins, and improved asset quality.

Comparison to market estimates: Not specified

Key Risks: Not specifically disclosed in the presentation

Geographical Revenue Split

Domestic vs Export/Regional Revenue: Not specified

Regional Breakdown: Not specified

Balance Sheet Snapshot

As of September 2026:

  • Total Assets: ₹2,69,473 Cr
  • Financial Assets: ₹2,65,871 Cr
  • Cash and Bank balance: ₹13,606 Cr
  • Loans: ₹2,40,133 Cr
  • Investments: ₹8,421 Cr
  • Borrowings: ₹2,31,522 Cr
  • Shareholder's fund: ₹34,474 Cr

Net Debt/Equity: Not specified

Reserves: Not specified

Current Assets/Liabilities: Not specified

Working Capital/Leverage Metrics: Not specified

Financial Health Insights: Strong liquidity position with ₹21,352 Cr cash balance including HQLA of ₹7,745.42 Cr

Capex & Cash Flow Health

Capital Expenditure: Not specified

Free Cash Flow: Not specified

Operating Cash Flow: Not specified

Net Debt Movement: Not specified

Investment Rationale: Focus on technology upgrades and digital transformation across lending value chain

Strategic & R&D Initiatives

Investments in Innovation: AI-driven solutions across loan origination, credit assessment, collections, and customer service including AI agents, GenAI voice agents, OCR + AI document verification, and alternate data credit models.

Expected impact on growth: Enhanced customer experience, automated onboarding journeys, improved credit decisioning, and proactive collections management.

Strategic Rationale: Building comprehensive digital ecosystem across all business segments to improve operational efficiency and risk management.

Industry Trends & Business Environment

Macro/Industry Trends: Robust growth across vehicle segments - HCV (40% growth in Q2), LCV (25% growth), SCV (26% growth), Passenger Vehicles (31% growth), Two-wheelers (15% growth). Construction equipment segment grew 23% in Q2. NBFC credit growth projected at 17-18% in FY2027.

Impact on Company: Positive outlook across all business segments with opportunities for calibrated portfolio expansion while maintaining asset quality.

Management Commentary & Growth Outlook

Strategic Outlook: Company will pursue calibrated portfolio expansion, prioritizing productive asset financing, customer cash flow fundamentals and disciplined credit standards. Emphasis on maintaining asset quality, improving risk-adjusted returns, strengthening market presence and enhancing operational efficiency.

FY Guidance: Not specifically provided

Market Share Targets: Not specified

Risks and Opportunities: Not specifically highlighted

ESG Updates

Environmental: Focus on sustainability and carbon footprint reduction

Social: Financial inclusion of marginalized groups through products and services enabling socio-economic upliftment

Governance: Strong commitment to values and ethical business conduct with highest standards of corporate governance

ESG Rating: Constituent company in FTSE4Good Index series since FY 2021