Fullerton India eyes threefold growth in assets

21 June 2014

After consolidating its operations, Fullerton India Credit Limited, a finance company owned by Temasek Holdings, is expecting over a threefold growth to R20,000 crore in assets under management (AUMs) by March 2019.

Shantanu Mitra, chief executive and managing director, said the company had firmed up a five-year business plan this financial year. At present, the company has AUMs of R6,245 crore, up from R4,823 crore in March 2013.

Revenues from the business grew by 17 percent to R1,388 crore in 2013-2014 from R1,185 crore in 2012-2013.

The unlisted finance company posted a 24 percent growth in its net profit at R188 crore in 2013-2014, against R152 crore in 2012-2013. However, it did not declare dividend.

The company is retaining profits for funding business growth, Mitra said.

The company is well capitalized, with a capital adequacy ratio of 22.45 percent at end-March. Temasek had infused R150 crore in 2012-2013. Fullerton is not looking at a fresh capital injection in the medium term, Mitra added.

While the company has been reporting profit for four years, it has been bringing down unabsorbed losses.

Now, these are R590 crore. It had a loss of R717.09 crore in 2009-2010.