Shriram Transport Finance Co. Ltd., India's largest asset financing company, announced financial results for the fourth-quarter, reporting a higher net profit, backed up by significant growth in revenues.
The Chennai-based company posted fourth-quarter net profit of Rs.153.85 crore or Rs.7.19 per share, 38% higher than Rs.111.86 crore or Rs.5.22 per share in the fourth-quarter of 2008.
During the quarter, net revenue from operations increased 28% to Rs.979.85 crore from Rs.764.52 crore in the prior year quarter, while other operating income amounted to Rs.15.44 crore, compared with Rs.3.67 crore in the corresponding quarter last year.
Revenue from Financing Activities segment for the quarter rose 27% to Rs.988.85 crore from Rs.775.76 crore in the year-ago quarter, while revenue from Unallocated Reconciling items segment totaled Rs.15.44, compared with Rs.3.67 crore in the corresponding quarter a year-ago.
For the fiscal year, the company reported net profit of Rs.612.40 crore, up 57% from Rs.389.82 crore in 2008.
For the first twelve months, the net revenue from operations grew 49% to Rs.3,659.78 crore from Rs.2,453.29 crore for the comparable period last year, while other operating income amounted to Rs.32.65 crore, compared with Rs.12.90 crore last year.
Total Assets Under Management as at the end of March 2009 grew 19% to Rs.23,278 crore from Rs.19,520 crore as on March 31, 2008.
The company said its board has recommended a final dividend of 40% or Rs.4.00 per equity share of Rs.10 each for the fiscal year 2009.
Shriram Transport said that its board further approved raising of funds up to Rs.1,000 crore by way of public issue of secured, redeemable non-convertible debentures and also approved the proposal to form a wholly owned subsidiary to focus on equipment finance business.
At the BSE, Shriram Transport closed Wednesday's trading at Rs.256.75, up by Rs.11.90 or 4.86% on a volume of around 40K shares. The stock hit an intraday high of Rs.262.00 and a low of Rs.249.05.
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