Aditya Birla Sun Life AMC Reports Modest Profit Growth Despite Revenue Rise

Aditya Birla Sun Life AMC Ltd. posted a net profit of ₹2.45 billion for the September quarter, up 1.4% on year, despite a nearly 10% rise in revenue to ₹4.58 billion. The growth was tempered by a 53% fall in other income to ₹448 million.

Total expenses for the quarter rose nearly 3% to ₹1.84 billion, with employee benefits up 6% to ₹907 million.

Average assets under management (AUM) for the quarter grew 15% on year to ₹4.61 trillion, with mutual fund AUM at ₹4.25 trillion, up 10% year-on-year. Equity mutual funds accounted for ₹1.92 trillion (45.3% of total), while fixed income assets rose 15% to ₹2.30 trillion. Individual monthly AUM increased 1.6% to ₹2.06 trillion.

The company’s portfolio management services and alternative investment funds surged to ₹303 billion from ₹39 billion a year ago. Exchange-traded fund AUM grew over five-fold to ₹88 billion, while offshore AUM fell to ₹48 billion from ₹127 billion.

Systematic investment plan contributions for the quarter were ₹11 billion across 3.90 million accounts, with 582,000 new registrations.

For the half year ended September, net profit rose nearly 10% to ₹5.22 billion, revenue grew 13% to ₹9.00 billion, and total income increased 7.6% to ₹10.63 billion. Total expenses for the period grew nearly 6% to ₹3.72 billion, while other income fell more than 14% to ₹1.62 billion.