 "Adity Brila Nuvo reports 24% rise in Q1 net profit")
"We have seen the bottom and things have started to look up for us and this will continue in the coming quarters as well," Dr. Rakesh Jain, MD of ABNL.
The company reported net profit of Rs 331 crore compared to Rs 267 crore in the corresponding quarter last year. Revenue in the quarter ended 31 June stood at Rs 1,174 crore compared to Rs 915 crore last year, a rise of 8%.
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The fashion & lifestyle business revenue for the quarter stood at Rs 1,294 crore while EBIDTA stood at Rs 71 crore. Madura Fashion & Lifestyle reported a 25% rise in revenue due to store expansion and 14% like-to-like stores sales growth.
This quarter also includes revenue from Pantaloons. In the last quarter the company opened two Pantaloon stores. Last year ABNL acquired majority stake in Pantaloons which helped the company strengthen their presence in the women and kids wear segment.
The company plans to invest Rs 300 crore in capex expansion in the fashion and lifestyle business. Jay Shree, which is the linen yarn manufacturer has expanded its capacity from 2,300 tonne per annum to 3,400 tonne. Linen fabric capacity expansion is targeted by the end of 2013.
The financial services arm, Aditya Birla Financial Services posted revenues of Rs 1,366 crore. It's assets under management of Birla Sun Life Insurance grew by 6% to Rs 22,916 crore.
"We are investing Rs 750 crores in the financial services business this year," said Dr. Rakesh Jain.
During the quarter, revenue from IT/ITES grew by 9.17% at Rs 657.55 crore. "The business is posting steady cash profits to fund its capex and working capital requirements," the company said in a press release.
The manufacturing business which sees revenues coming in from agri, rayon and the insulator businesses posted a 23% rise at Rs 787 crore.
EBIDTA witnessed a de growth to Rs 85 crore from RS 92 crore due to a breakdown in the urea plant.
Yesterday, the share of ABNL closed at Rs 1,127.15 apiece, up 0.80% from the previous day's close on the Bombay Stock Exchange.