Aditya Birla Capital Limited (ABCL) has announced robust financial results for the first quarter, demonstrating strong growth across its diverse business segments.

Key Financial Highlights

The company reported a 10% year-on-year increase in consolidated profit after tax, reaching ₹835.00 crore for the quarter. This growth was supported by a 10% rise in consolidated revenue, which stood at ₹11,333.00 crore.

Lending Business Performance

ABCL's lending portfolio, comprising both NBFC and Housing Finance, showed impressive growth:

• Total lending portfolio grew by 30% year-on-year and 5% sequentially to ₹1,65,832.00 crore
• NBFC business saw a 22% year-on-year increase in Assets Under Management (AUM) to ₹1,31,227.00 crore
• Housing Finance business AUM grew by 70% year-on-year to ₹34,605.00 crore

The company's focus on maintaining asset quality was evident, with the NBFC's gross stage 2 and 3 ratio improving by 75 basis points year-on-year to 3.70%.

Asset Management and Insurance Segments

The Asset Management business also showed strong performance:

• Mutual fund quarterly average AUM grew by 14% year-on-year to ₹4,03,479.00 crore
• Equity QAAUM increased by 11% year-on-year to ₹1,80,184.00 crore

In the insurance segment:

• Life insurance individual first year premium grew by 23% year-on-year to ₹795.00 crore
• Health insurance gross written premium increased by 30% year-on-year to ₹1,357.00 crore

Digital Initiatives and Expansion

ABCL continues to invest in digital platforms to enhance customer experience and reach:

• The D2C platform, ABCD, has acquired about 6.4 million customers to date
• Udyog Plus, the B2B platform for MSMEs, has over 2.4 million registrations and an AUM of ₹3,658.00 crore

The company is also expanding its physical presence, adding 67 new branches in the quarter, bringing the total branch count to 1,690 across all businesses.

Segment-wise Performance

NBFC Business

• Disbursements grew by 18% year-on-year to ₹15,851.00 crore
• Profit before tax increased by 11% year-on-year to ₹925.00 crore
• Return on assets stood at 2.25%

Housing Finance Business

• Disbursements surged by 76% year-on-year to ₹5,404.00 crore
• Profit before tax grew by 82% year-on-year to ₹154.00 crore
• Return on assets improved to 1.59%, up 15 basis points sequentially

Asset Management Business

• Operating profit grew by 21% year-on-year to ₹254.00 crore
• Monthly systematic investment plan (SIP) flows increased by 4% year-on-year to ₹1,140.00 crore

Life Insurance Business

• Market share in individual first year premium increased by 60 basis points year-on-year to 5.1%
• Net value of new business (VNB) margin improved by 109 basis points to 7.5%

Health Insurance Business

• Standalone health insurer market share increased by 200 basis points year-on-year to 14.5%
• Combined ratio improved to 111% from 112% year-on-year

Aditya Birla Capital's strong performance across its diverse business segments reflects its robust business model and effective growth strategies. The company's focus on digital initiatives and expanding its physical presence positions it well for continued growth in the evolving financial services landscape.

Aditya Birla Capital Limited (ABCL) has announced strong financial results for the first quarter, demonstrating resilient growth across its diverse portfolio of financial services.

Financial Highlights

The company reported a 10% year-on-year increase in consolidated revenue, reaching ₹11,333.00 crore for Q1. This growth was matched by a 10% rise in consolidated profit after tax, which stood at ₹835.00 crore. The company's operating profit showed even stronger growth, increasing by 13% year-on-year to ₹1,406.00 crore.

Lending Portfolio Expansion

ABCL's overall lending portfolio, comprising both NBFC and Housing Finance Company (HFC) businesses, exhibited robust growth:

• Total lending portfolio grew by 30% year-on-year and 5% sequentially, reaching ₹1,65,832.00 crore as of June 30.
• The NBFC business saw its Assets Under Management (AUM) increase by 22% year-on-year to ₹1,31,227.00 crore.
• The Housing Finance business reported a significant 70% year-on-year growth in AUM, reaching ₹34,605.00 crore.

Asset Management and Insurance Performance

The company's asset management and insurance segments also delivered strong results:

• Total Assets Under Management (AUM) across AMC, life insurance, and health insurance grew by 20% year-on-year to ₹5,53,504.00 crore.
• The life insurance business reported a 23% year-on-year growth in individual first-year premium, reaching ₹795.00 crore.
• Health insurance gross written premium increased by 30% year-on-year to ₹1,357.00 crore.

Digital Initiatives and Market Expansion

ABCL continues to focus on digital transformation and market expansion:

• The company's D2C platform, ABCD, has acquired approximately 6.4 million customers to date, offering over 25 products and services.
• Udyog Plus, the B2B platform for MSMEs, has registered more than 2.4 million users and achieved an AUM of ₹3,658.00 crore.
• ABCL expanded its physical presence by adding 67 new branches, bringing the total branch count to 1,690 across all businesses.

Segment-wise Performance

NBFC Business

• Disbursements grew by 18% year-on-year to ₹15,851.00 crore.
• Profit before tax increased by 11% year-on-year to ₹925.00 crore.
• Return on assets stood at 2.25%.
• Gross stage 2 and 3 ratio improved by 75 bps year-on-year to 3.70%.

Housing Finance Business

• Disbursements surged by 76% year-on-year to ₹5,404.00 crore.
• Profit before tax grew by 82% year-on-year to ₹154.00 crore.
• Return on assets improved to 1.59%, while return on equity reached 12.27%.

Asset Management Business

• Mutual fund quarterly average AUM grew by 14% year-on-year to ₹4,03,479.00 crore.
• Operating profit increased by 21% year-on-year to ₹254.00 crore.

Life Insurance Business

• Individual First Year Premium grew by 23% year-on-year to ₹795.00 crore.
• Market share in individual FYP increased by 60 bps year-on-year to 5.1%.
• Net value of new business margin improved to 7.5%.

Health Insurance Business

• Gross written premium grew by 30% year-on-year to ₹1,357.00 crore.
• Standalone health insurer market share increased by 200 bps year-on-year to 14.5%.
• Combined ratio improved to 111% from 112% in the previous year's Q1.

Aditya Birla Capital's strong performance across its diverse business segments underscores the company's resilience and strategic focus on growth. The significant expansion in lending portfolio, coupled with robust growth in asset management and insurance businesses, positions ABCL well for continued success in the evolving financial services landscape.