Aditya Birla Capital posts 40% jump in Q1 net profit to ₹1,175 crore on strong lending, insurance growth
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Aditya Birla Capital Ltd (ABCL) on Friday reported a 40% year-on-year rise in its consolidated net profit to ₹1,175 crore for the quarter ended June 30, 2026, driven by strong growth across its lending, housing finance and insurance businesses, while maintaining healthy asset quality.
The company's consolidated revenue rose 29% to ₹14,731 crore during the April-June quarter from a year earlier. Its overall lending portfolio, comprising the NBFC and housing finance businesses, expanded 32% year-on-year and 6% sequentially to ₹2.19 lakh crore. Total assets under management (AUM) across asset management, life insurance and health insurance businesses increased 36% to ₹7.53 lakh crore.
The non-banking finance business remained the biggest growth driver during the quarter. Loan disbursements increased 34% to ₹21,201 crore, while AUM rose 28% to ₹1.67 lakh crore. Profit before tax from the segment climbed 32% to ₹1,222 crore. The gross stage-3 asset ratio improved to 1.30% from 2.27% a year ago, reflecting better asset quality.
The housing finance business also delivered a strong performance. Disbursements rose 39% to ₹7,515 crore, AUM crossed the ₹50,000 crore mark to reach ₹51,833 crore, while profit before tax nearly doubled, rising 95% to ₹300 crore. The gross stage-3 ratio improved to 0.41%.
In the insurance business, individual first-year premium in life insurance grew 20% to ₹952 crore, while health insurance gross written premium jumped 50% to ₹2,196 crore. The company's health insurance arm increased its standalone market share by 200 basis points to 16.2%, while the combined ratio improved to 106%.
During the quarter, ABCL raised ₹4,000 crore through a preferential allotment of shares, including ₹920 crore from International Finance Corporation (IFC). The company said 87.5% of the proceeds will be used to support the growth of its NBFC business, while the remaining funds will be deployed for general corporate purposes, including investments in subsidiaries and joint ventures.
The company also continued to expand its digital platforms. Its direct-to-consumer platform, ABCD, has acquired around 1.2 crore customers, while the MSME-focused Udyog Plus platform has crossed 24 lakh registrations with assets under management of ₹6,229 crore. ABCL ended the quarter with a network of 1,759 branches across India, with expansion focused on Tier-3 and Tier-4 towns.