Cholamandalam Investment and Finance Company Limited delivered impressive financial performance for the quarter and nine months ended December 31, 2025, demonstrating strong growth across key metrics. The company's Board of Directors approved the unaudited financial results on January 30, 2026, showcasing robust business expansion and profitability.

Financial Performance Highlights

The company reported exceptional growth in profitability and revenue generation during Q3 FY26. Key financial metrics demonstrated strong momentum across all business segments.

For the nine months ended December 31, 2025, the company achieved a profit after tax of ₹3,578.88 crores compared to ₹2,991.81 crores in the corresponding period of the previous year, representing a growth of 19.6%. Total income for the nine-month period reached ₹22,906.27 crores, up from ₹18,934.07 crores in the previous year.

Business Growth and Asset Quality

The company's Assets Under Management (AUM) reached ₹2,27,770 crores as of December 31, 2025, marking a significant 20% year-on-year growth from ₹1,89,141 crores in the previous year. This growth reflects the company's strong market position and effective business expansion strategies.

Asset quality metrics showed Stage 3 levels at 3.36% as of December 2025 compared to 3.35% at the end of September 2025. The Gross NPA percentage as per RBI norms stood at 4.63% as of December 2025, while Net NPA was at 3.13%. The provision coverage ratio for Stage 3 assets remained robust at 43.03%.

Capital Adequacy and Dividend Declaration

The company maintains a strong capital position with a Capital Adequacy Ratio (CAR) of 19.16% as of December 31, 2025, well above the regulatory requirement of 15%. Tier-I Capital stood at 14.21%, with Common Equity Tier-I Capital at 13.79%.

The Board approved an interim dividend of 65%, amounting to ₹1.30 per equity share of face value ₹2 each for the financial year ending March 31, 2026. The record date for dividend payment is set for February 5, 2026, with payment scheduled on or before February 28, 2026.

Corporate Governance and Leadership

The Board recommended the re-appointment of Mr. Anand Kumar as Independent Director for a second term of five consecutive years from March 16, 2026, to March 15, 2031. Mr. Kumar, who holds an MBA from Vanderbilt University, brings over three decades of experience in BFSI, investments, mergers & acquisitions, and equity capital markets in South East Asia.

During the quarter, 3,11,003 employee stock options were exercised, with total outstanding options standing at 62,26,893 as of December 31, 2025. The company also completed the conversion of 30,700 Compulsorily Convertible Debentures into 22,42,436 equity shares during the period.

Segment-wise Performance

The company's diversified business portfolio showed strong performance across all segments:

The financial results reflect the company's continued focus on sustainable growth, prudent risk management, and value creation for stakeholders. The strong performance across all business segments positions the company well for future growth opportunities.

Source:

Cholamandalam investment and Finance Company Limited has successfully completed the allotment of secured non-convertible securities worth ₹1000 crores through private placement. The company filed its compliance certificate under Regulation 30 and 30(A) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 with the Bombay Stock Exchange on 28th January 2026.

Securities Allotment Details

The company has allotted 100000 secured non-convertible securities through private placement on the NSE EBP platform. The allotment represents the first tranche of a larger issue, with the total issue size being ₹2000 crores including a ₹1000 crores green shoe option.

Terms and Conditions

The securities carry a coupon rate of 7.83% with a tenure of 2 years 5 months, maturing on 28th June 2028. The securities are secured at 1x coverage, providing additional safety to investors.

Payment Schedule

The coupon payments are structured on an annual basis, with the first payment scheduled for 28th June 2026. Subsequently, payments will be made annually on 28th June each year, with the final coupon payment along with principal repayment due on the maturity date of 28th June 2028.

Regulatory Compliance

The allotment has been completed in full compliance with SEBI regulations, and the company has confirmed that there are no defaults in payment of interest or principal amounts. The securities do not carry any special rights, interests, or privileges beyond the standard terms outlined in the issue documentation.