Chola Finance: 20–23% Growth Guidance Unchanged Despite Strong H1 | Management Explains | ET Now
ET Now · 29 Oct 2026 · 6 min
Management interview of Cholamandalam Investment and Finance Company Ltd (CHOLAFIN), with 2 key numbers discussed.
- Arul Selvan, CFO, Cholamandalam Investment and Finance Company Ltd
Cholamandalam Investment and Finance Company is retaining its full-year AUM growth guidance of 20-23% due to a higher base in the second half, despite clocking around 25% growth in H1. Management anticipates some NIM compression in coming quarters due to rising funding costs, but plans rate resets on floating loans and incremental hikes on fixed-rate products. The company targets a pre-tax ROA of 3.4-3.5%, backed by OpEx and credit cost improvements. Credit costs in vehicle finance and unsecured portfolios have normalized and are expected to improve further in H2.