Sundaram Finance Holdings posts 125 Percent increase in consolidated net profit for the year ended 31st Mar 2024

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Chennai, 22nd May 2024: Sundaram Finance Holdings Ltd., (“SF Holdings”) has registered a consolidated net profit of ₹269.32 crores for the quarter ended 31st March 2024, an increase of 173% over the ₹98.62 crores for the corresponding period of the previous year. Consolidated profit for the year ended 31st March 2024 went up 125% to ₹533 crores, as compared to ₹237crores registered in the corresponding period of the last financial year.

SF Holdings primarily operates as a holding company owning a portfolio of automotive businesses including foundries, wheels, brakes, turbochargers, axles, and distribution of spare parts. As a result, dividend from portfolio companies forms a substantial part of the financial results. The dividend received from portfolio companies was at Rs. 160.40 crores for the year ended 31st March 2024, as against the total dividend of Rs. 97.43 crores received during the financial year 2022-23.

SF Holdings realized a special gain on the divestment of a part of the Company’s holding in a group company (TVSHoldings Limited). This sale of our holding and capital restructuring by TVS Holdings Limited resulted in a gain of Rs.339 Crores, out of which Rs. 175.66 Crores is reflected in the profit and loss account, and the balance portion is reflected in OCI.

Second Interim and Final Dividend

The Board of Directors have declared a Second Interim Dividend of ₹3.65/- per share ( 73 %) for FY 23-24, in addition to an interim dividend of ₹2.00/- per share (40%) paid during February 2024. Further, the Board of Directors have recommended a final dividend of ₹2.05/- per share (41%) for FY 23-24. This together with the interim dividend declared aggregates to a total dividend of ₹7.70/- per share (154 %) for FY 23-24, as compared to a dividend of ₹4.00 per share (80%) for FY 22-23.