Dear Customers

I have had the honour of heading Cent Bank Home Finance Limited (CBHFL). CBHFL is a subsidiary of Central Bank of India. I took this opportunity to take charge as Managing Director of the Company. As a leading housing finance company, I pledge to maintain the highest standards of professionalism in our work and to maintain the working customer-centric.

Improving profitability, deployment of credit to meet the requirements of customers, upgradation of technology are some of the key areas identified for further concentration.

On business parameters, the Company continued to perform well. Some of the major highlights are as follows:

• Owned Funds increased from Rs.49.31 crore as on March’ 2010 to Rs.55.21 crore as on March 2011.
  

• Reserves have gone up from Rs.29.31 crore as on March’ 2010 to Rs.35.21 crore as on March’ 2011 registering a Growth Rate of 20.13%.

• Company has during the year declared a dividend @15% to its shareholders.

• Fresh sanctions of Rs.67.18 crore made in 1005 accounts during the current financial year i.e. from 1st April to 31st March 2011 registering a growth of 15% over March 2010.

• Fresh disbursements of Rs.63.26 crore made in 977 accounts during the current financial year i.e. from 1st April to 31st March 2011 registering a growth of 17% over March 2010.

• Cost of Funds has increased from 8.16% as on March 2010 to 8.31% on account of increase in the base rate by Central Bank of India.

• Yield on funds has increased from 10.06% as on March 2010 to 10.31% as on March 2011 due to fresh sanctions during the current F.Y. The Company has concentrated to lend in high yielding loan schemes such as Loan Against Property & Home Equity Loan scheme during the year under review. The loan under the scheme carries an Interest rate @12.50%. The average yield on advances increased due to loans given under the said scheme as well under Home equity loan scheme.

• Net Interest Margin i.e our spread over average interest bearing assets has improved from 3.80% as on March 2010 to 4.19% as on March 2011.

• Net Profit is Rs.9.39 crore as on March’ 2011 against Rs.5.45 crore as on March’ 2010.

• Return on Assets as on Mar’ 2011 is 3.38% as against 2.06% as on Mar’ 2010.

• Capital Adequacy Ratio as on March’ 2011 is 22.52% against the norm of 12%.

• Gross housing loans increased to Rs.282.13 crore as of March’2011 as against Rs.269.88 crore as of March’ 2010 due to the fresh disbursements of Rs.67.18 crore made during the year.
  
  

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I would like to thank all my dear customers who are associated this Company. I assure you for the best services in future.

I thank my Board of directors for their support and valuable guidance and cooperation.
I would further like to thank all the employees for their active involvement and dedicated services, towards progress of company.

With best wishes,

Yours sincerely,

 

Anil Malhotra
Managing Director