In This Article:
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Profit After Tax (FY25): INR 931 crore, up 19% year on year.
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Operating Revenue (FY25): INR 1,686 crore, up 25% year on year.
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Total Revenue (FY25): INR 1,986 crore, up 21% year on year.
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Operating Profit Before Tax (FY25): INR 944 crore, up 31% year on year.
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Profit Before Tax (FY25): INR 1,243 crore, up 23% year on year.
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Operating Revenue (Q4 FY24): INR 426.9 crore, up 17% year on year.
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Total Revenue (Q4 FY24): INR 501 crore, up 14% year on year.
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Operating Profit Before Tax (Q4 FY24): INR 233 crore, up 21% year on year.
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Profit Before Tax (Q4 FY24): INR 305 crore, up 14% year on year.
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Dividend Proposed: INR 24 per share.
Release Date: April 28, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Aditya Birla Sun Life AMC Ltd (BOM:543374) reported a 17% year-on-year growth in overall average assets under management (AUM), reaching INR 4.06 lakh crore.
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The company's profit after tax for FY25 increased by 19% year-on-year to INR 931 crore.
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The mutual fund quarterly average AUM grew by 15% year-on-year, indicating strong performance in the mutual fund segment.
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The company observed positive momentum in sales driven by improved investment performance and strong engagement from the sales team.
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Aditya Birla Sun Life AMC Ltd (BOM:543374) announced a proposed dividend of INR 24 per share, reflecting an increase from the previous year.
Negative Points
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The company experienced a slowdown in equity net sales in Q4 FY25 due to recent volatility in the equity market.
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Employee expenses increased by INR 11 crore quarter-on-quarter, primarily due to bonus provisions and staff welfare expenses.
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The number of live SIPs declined, attributed to market volatility and some closures in the SIP book.
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The equity mix in the company's portfolio decreased by about 1.5% compared to the previous quarter, impacting revenue.
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The total NFO collection for Q4 FY25 declined, with a significant portion coming from fixed income rather than equity.
Q & A Highlights
Q: Can you explain the increase in employee expenses this quarter and how it might affect future quarters? A: The increase in employee expenses, which rose from INR88 crore to INR99 crore, is primarily due to bonus provisions and staff welfare expenses. These provisions are based on the company's performance and are adjusted accordingly. We expect these expenses to normalize in the next financial year, with a projected 10% inflation in the fixed part. - Pradeep Sharma, CFO
Q: Could you provide details on the ESIC mandate and its impact on your business? A: The ESIC mandate is a debt-oriented advisory under the portfolio management service. It is a prestigious mandate for us, with an expected amount of INR44,000 crore to INR45,000 crore. Winning this mandate helps us expand our advisory services to both government and private institutions. - A. Balasubramanian, CEO