Aditya Birla Capital profit rises 38% to 1,288 crore rupees in second quarter
Key Facts
Aditya Birla Capital raised its consolidated net profit after tax 38% to 1,288 crore rupees in the quarter ended September 2026, compared with 933.52 crore rupees a year earlier, according to PTI, citing the company. The period represents the second quarter of fiscal 2026-2027, which runs from July to September 2026. Revenue from operations was 14,003 crore rupees, against 10,595 crore rupees in the same period a year earlier. In the first half of the fiscal year, net profit after tax reached 2,462 crore rupees, compared with 1,772 crore rupees a year earlier. Profit growth coincided with an expansion in lending, as assets under management in lending, including non-bank and housing finance, rose 32% year on year and 7% quarter on quarter to 2.34 lakh crore rupees on September 30.
In the non-bank finance business, assets under management rose 26.5% year on year to 1.77 trillion rupees at the end of September. Net interest income, including fee income, increased 24.7% to 2,488 crore rupees in the quarter. Business loans grew 30% to 1.01 trillion rupees, while personal and consumer loans rose 37% to 24,955 crore rupees. Corporate and mid-market loans increased 15% to 50,483 crore rupees. Lending excluding housing finance recorded a 41% increase in profit to 1,008 crore rupees, putting lending growth and interest income alongside expansion in the loan portfolio as factors explaining the business's performance.
Disbursements by the non-bank finance business amounted to 24,708 crore rupees in the quarter, up 12% year on year. Disbursements of secured business loans rose 22% to 9,737 crore rupees, while those of personal and consumer loans increased 18% to 5,877 crore rupees. On asset quality, gross assets classified in stages two and three stood at 2.31%, down 72 basis points from a year earlier and 12 basis points from the previous quarter. Return on assets was 2.45%. These indicators combine an expansion in disbursements with a decline in the share of assets in those two stages compared with the reference periods.
Housing finance was among the fastest-growing businesses, with assets under management rising 50% to 57,373 crore rupees. Aditya Birla Housing Finance profit increased 73% to 335 crore rupees, and return on assets was 2.12%. Lending excluding housing finance therefore posted profit of 1,008 crore rupees, up 41% year on year, compared with profit of 335 crore rupees for housing finance, which rose 73%. The difference in profit growth rates between the two businesses shows varying performance across lending. Growth in housing assets alongside higher business profit also points to an expansion in this part of the group during the quarter.
Other businesses did not contribute to profit growth at the same pace. Asset management posted profit after tax of 221 crore rupees, down 8% year on year, despite a 4% increase in average quarterly domestic assets under management. In health insurance, gross written premiums rose 48% to 4,543 crore rupees in the first half of fiscal 2027. But the business's profit in the second quarter fell 74% to 27 crore rupees from 105 crore rupees in the corresponding period a year earlier. The insurance figures cover different periods: premium growth spans the first half, while the profit decline measures performance for the quarter alone.
In trading, Aditya Birla Capital shares closed 1.75% higher at 366.3 rupees on October 30 on the Bombay Stock Exchange, PTI reported. The close came on the same day reports gave figures for the quarter ended September. This places the share move in the context of reported profit growth and expansion in lending assets, alongside differing results across other businesses. The available information did not include a specific later date from the company for results or a subsequent operational update.