Aditya Birla Capital Q1 FY25 results: Net profit rises 16.7% to Rs 758 cr

Aditya Birla Capital on Thursday reported 16.7 per cent year-on-year (Y-o-Y) growth in consolidated net profit to Rs 758 crore in the first quarter of FY25 (Q1FY25) on the back of healthy growth in revenue.

The consolidated net profit, excluding one-off items for the reported quarter, stood at around Rs 745 crore. During Q4FY24, Aditya Birla Capital sold about 5 per cent stake in Aditya Birla Sun Life AMC.

The company’s consolidated revenue grew by 26 per cent Y-o-Y to Rs 10,258 crore. The overall lending portfolio of Aditya Birla Capital saw a 26 per cent Y-o-Y improvement to Rs 1.27 trillion at the end of June 2024. The NBFC’s loan book grew by 25 per cent to Rs 1.07 trillion and HFC saw 41 per cent rise to Rs 20,399 crore.

The total Assets Under Management (AUM) of the company increased by 20 per cent to Rs 4.62 trillion. The combined premium of insurance business (life and health) posted a growth of 30 per cent Year-on-Year (YoY) to Rs 5027 crore.

Disbursements of the NBFC inched up by 2 per cent Y-o-Y to Rs 13,443 crore in Q1FY25. Loans to retail, SME and HNI customers accounted for 66 per cent of the total loan portfolio.

During the quarter, the company launched its D2C platform, ABCD which offers a comprehensive portfolio of more than 20 products and services such as payments, loans, insurance, and investments. The app has nearly 8 lakh registrations till date. Its unique feature of ‘My Track’ helps users track their personal finance, credit history and health.

The B2B platform for the MSME ecosystem, Udyog Plus, offers seamless, paperless digital journey for business loans, supply chain financing and a host of other value-added services.

The company continues to scale up with over 10 lakh registrations. The platform is seeing an increased adoption from its existing customers, and as a result the total portfolio of Udyog Plus has crossed Rs 2,600 crore.

The disbursements of Aditya Birla Housing Finance Company grew by 89 per cent Y-o-Y to Rs 3,068 crore in Q1 FY25. 

The Aditya Birla Sun Life Insurance’s Individual First Year premium income increased by 19 per cent to Rs 644 crore. The profitability margin of the company moderated to 6.5 in Q1 FY25 from 6.98 per cent in Q1FY24.

The combined ratio of Aditya Birla Health Insurance Company dropped to 112 per cent in Q1FY25 from 118 per cent during Q1FY24. The Gross Written Premium (GWP) grew by 35 per cent to Rs 1,041 crore in the quarter ended on June 31, 2023.

The company has a pan-India presence of 1,505 branches across all businesses as of June 30, 2024. The branch expansion is targeted at driving penetration into tier III and tier IV towns and new customer segments.