Aditya Birla Sun Life AMC (ABSLAMC) Q2 24/25 earnings summary

Executive summary

• Global economy projected to grow 3% in 2024, with India expected at 7% in FY25, supported by macroeconomic stability and fiscal strength.

• Achieved strong AUM growth across mutual funds, equity, and alternate assets, with AUM reaching ₹4 lakh crore, up 20% year-over-year.

• Emphasized sustainable SIP growth, robust risk management, and multi-channel distribution expansion.

• Consolidated net profit for the quarter ended September 30, 2024, was ₹242.34 crore, up from ₹178.09 crore year-over-year, with total income at ₹520.05 crore.

• The company operates primarily in asset management services, with no separate reportable segments.

Financial highlights

• Q2 FY25 revenue was ₹520 crore, up 33% year-over-year; profit after tax at ₹242 crore, up 36%.

• H1 FY25 revenue reached ₹1,001 crore, up 28% year-over-year; profit after tax at ₹478 crore, up 32%.

• Operating profit for Q2 FY25 grew 32% year-over-year to ₹2,393 million.

• Alternate asset income for the quarter was ₹44 crore, with incremental revenue of ₹25-26 crore due to AUM growth in PMS and AIF.

• Basic EPS (consolidated) for the quarter was ₹8.41, compared to ₹6.18 year-over-year.

Outlook and guidance

• Expectation of continued monetary policy easing and potential RBI rate cuts in H2 FY25.

• Plans to launch diversified equity, thematic, and passive funds, as well as target maturity funds in fixed income.

• Focus on expanding alternate assets, passive business, and offshore offerings, with new products in the pipeline.

• Continued focus on scaling retail franchise, diversifying product offerings, and leveraging digital platforms for growth.

• Ongoing expansion into passive and alternative investments, with new funds in the pipeline.