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Aditya Birla Nuvo Ltd (ABNL) has posted a consolidated net profit of Rs 199 crore, up 17 per cent, in the fourth quarter ending March 31, 2013 as against Rs 170 crore in the year ago period. The company’s revenues rose 16 per cent to Rs 6,995 crore (Rs 5,994 crore). For the full year ended March, ABNL witnessed a 19 per cent jump in its profits to Rs 1,058.89 crore. Total sales increased 17 per cent to Rs 25,490 crore.
Company’s CFO Sushil Agarwal told Business Line that despite a slowdown in certain sectors, the company had posted a decent growth. “While our revenue growth was driven largely by the telecom manufacturing and fashion and lifestyle business, the bottom-line growth was led by the financial services business, which witnessed flat revenues largely due to de-growth in the life insurance business.”
Agarwal, however, added that the non-banking financial business and the assets management businesses contributed significantly to the overall margin growth. Apart from the core businesses, ABNL has seen growth in new and emerging sectors such as broking, wealth management, IT-ITeS, agri, rayon and insulators.
On the fashion and retail business, Agarwal said that there has been a 15 per cent growth in the revenues to Rs 2,500 crore. ABNL owns three companies – Madura Fashions, with brands such as Van Heusen and Louis Phillipe; Pantaloon Retail, which it acquired from Future Group in July last year; and Jayashree Textiles, which owns Linen Club.
The performance of the retail business is not comparable as it has reported consolidated results of Pantaloon for the first time during this quarter. The company plans to invest Rs 150 crore to add another 270 outlets across brands in this fiscal. Presently, there are 1,443 outlets.
In the current quarter, the company received fresh equity of Rs 832 crore from the promoters, who plan to infuse another Rs 670 crore by November and take their holding from 55 per cent to 58 per cent. The funds will be used to reduce debt of Rs 3,650 crore. The company’s board recommended a dividend of Rs 6.50 a share for the year.
Aditya Birla Nuvo shares closed at Rs 1,082 on the BSE.
> priyanka.pani@thehindu.co.in
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