Diversified firm Aditya Birla Nuvo has reported 88 per cent increase in net profit at ₹332 crore (₹176 crore) on the back of better performance across sectors, including financial services, insurance, telecom, textile.
Net sales were down marginally at ₹6,957 crore (₹7,050 crore).
The board has cleared a dividend of ₹7 per equity share, leading to a total outgo of ₹110 crore, including dividend distribution tax.
The company’s fertiliser business suffered a set back due to shut down of operations.
Sushil Agarwal, Chief Financial Officer, said the fertiliser division would also turnaround with the Government announcing the new policy on urea pricing.
The company has to receive ₹1,193 crore from the Government for selling urea at a subsidised price.
The company plans to invest ₹800 crore in FY-16, largely in its NBFC and housing finance business.
The production capacity of linen will be nearly doubled to 6,400 tonnes from 3,400 tonnes.
The loan book of NBFC stands at ₹17,500 crore, while housing finance company has disbursed ₹142 crore.
On the possibility of spinning of agriculture and rayon yarn business into separate entity, Agarwal said the board takes the decision after the business attains a certain scale and size providing long term benefit for stakeholders.
The company’s shares were up two per cent at ₹1,865 on Thursday.