Cholamandalam Investment and Finance Company posted a strong set of Q2 earnings. The asset quality has improved and the disbursement growth has been strong this quarter.
In an interview to CNBC-TV18, N Srinivasan, Executive Vice Chairman and Managing Director of Cholamandalam Investment and Finance Company discussed the details.
Net interest margins (NIMs) are at optimum level now. We would certainly be taking steps to improve it but we will be comfortable to maintain this, he said.
On loan book he added, “We will be able to maintain this growth for the next two quarters. Q4 is normally one of the best quarters for the commercial vehicle (CV) industry. We have some visibility for the next quarter. So we are comfortable in saying that we will be able to maintain this growth for this financial year.”
He sees opportunity in housing finance segment. In terms of overall portfolio size, vehicle finance and home equity will occupy about 92-93 percent of the book, said Srinivasan.
Home loans can go to 8-10 percent of the total book in the future, he further mentioned.
On public sector undertaking (PSU) recapitalisation plan, he said that the company has co-existed with the banks almost for 30 years. It is because of our strength and I don’t think it is likely to impact us, he added.For full interview, watch accompanying video...