Aditya Birla Sun Life AMC reported a 12% rise in Q1 FY27 net profit to ₹309.5 crore, supported by strong growth in other income despite higher operating expenses.
Key Highlights
- Q1 FY27 consolidated net profit rose 12% YoY to ₹309.5 crore.
- Revenue from operations increased 3% to ₹463 crore.
- Other income surged 38% YoY to ₹162.4 crore.
- Total expenses climbed 14% due to higher employee costs.
- Overall QAAUM jumped 42% to ₹6.28 lakh crore.
- Mutual fund QAAUM increased 6% to ₹4.28 lakh crore.
- Revenue remained largely flat on a sequential basis.
- Shares fell over 6% during afternoon trading after the results.
Q1 Profit Supported By Higher Other Income
Aditya Birla Sun Life AMC reported a 12% year-on-year increase in its consolidated net profit for the June quarter, with earnings rising to ₹309.5 crore from ₹277 crore in the same period last year.
The company attributed the growth primarily to a sharp increase in other income, which helped offset higher operating costs during the quarter.
Revenue Growth Remains Modest
Revenue from operations grew 3% to ₹463 crore, compared with ₹447.4 crore in the corresponding quarter of the previous financial year.
However, revenue remained almost unchanged compared to the March quarter, leading to cautious investor sentiment following the earnings announcement.
Assets Under Management Expand Strongly
The asset management company reported a significant rise in its overall Quarterly Average Assets Under Management (QAAUM), including alternate assets, which increased 42% year-on-year to ₹6.28 lakh crore.
Its mutual fund business also continued to grow, with mutual fund QAAUM rising 6% to ₹4.28 lakh crore.
Expenses Rise, Stock Declines
Total expenses increased 14% to ₹219.3 crore, mainly due to higher employee-related costs.
Meanwhile, other income surged 38% to ₹162.4 crore, providing a strong boost to quarterly profitability.
Despite the positive profit growth, investor sentiment remained cautious, and the company’s shares were trading over 6% lower on the BSE during afternoon trade after the results.
