30 th JUNE 2017 Chennai, July 27 2017: The Board of Directors of Cholamandalam Investment and Finance Company Limited today approved its un-audited Financial Results for the first quarter ended 30 th June 2017.

Results at a glance

 Profit after tax for Q1 FY18 – ₹ 207 Cr – growth of 25% over Q1 FY17.

 Q1 FY18 profit before tax is – ₹ 318 Cr – growth of 25% over Q1 FY17.

 Managed closing assets is ₹ 36,079 Cr – growth of 14% over Q1 of FY17.

 Net Interest Margin (NIM) was at 8% as compared to 7.1% in Q1 FY17.

 Gross NPA and NNPA (on 3 months’ overdue basis) is at 4.7% and 3.2% respectively – the same levels as last quarter.

Performance Highlights

Particulars Q1 FY 18 Q1 FY 17 Growth (%) Net Interest Margin (Rs. In Cr.) 583.94 473.13 23% Net Interest Margin (as % of assets) 8.0 7.1 Total Expenses(as % of assets) -3.8 -3.4 Net Credit Losses(as % of assets)* -1.3 -1.2 PBT (Rs. In Cr.) 318.13 253.70 25% PBT (as % of assets) 4.4 3.8 PAT (Rs. In Cr.) 206.58 165.73 25% EPS – in Rs. (Not annualised) 13.22 10.61 25% ROE – in % 18.8 17.8

*NCL is recognized on 3 month overdue basis for Q1 FY18 and on 4 months overdue basis for Q1 FY17 2

We disbursed ₹ 3,819 Cr in our Vehicle Finance business as against ₹ 3,326 Cr. in Q1 of FY17, recording a growth of 15%. Home Equity disbursements were at ₹ 740 Cr in Q1 FY18 as against ₹ 991 Cr in Q1 FY17. Chola’s aggregate disbursements for the quarter were ₹ 4,853 Cr as against ₹ 4,561 Cr in Q1 of FY17.

Chola’s Net Interest Margin (NIM) was 8.0% for the quarter, compared to 7.1% in the same quarter of last year.

We continue our enhanced focus on collections. The company was able to ride out the traditionally difficult first quarter, by restricting the GNPA at 4.7% (at 3 months’ overdue) and NNPA at 3.2% and maintaining the same levels as of March FY17.

Chola’s PBT-ROTA for Q1 FY18 improved to 4.4% as against 3.8% in Q1 FY17.

Capital Adequacy:

The capital adequacy ratio (CAR) of the company was at 19.37% as against the regulatory requirement of 15% with Tier I capital at 14.27% and Tier II capital at 5.10%

Subsidiaries Performance:

The subsidiaries Cholamandalam Securities Limited (CSEC), Cholamandalam Distribution Services Limited (CDSL) and White Data Systems India Private Limited (WDSI) together made a profit before tax of ₹ 1.04 Cr in Q1 FY18, as against ₹ 2.05 Cr in the same quarter last year.

Consolidated Results:

The consolidated profit after tax for Q1 is ₹ 207 Cr. as against ₹ 167 Cr. in Q1 of FY17, registering a growth of 24%