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Informist, Thursday, Oct. 30, 2025

--Aditya Birla Cap: See NIM improving from Jan-Mar 

--CONTEXT: Aditya Birla Capital mgmt's comments in post-earnings analyst call 

By Pratiksha and Janwee Prajapati

NEW DELHI/MUMBAI – Aditya Birla Capital Ltd.'s net interest margin may start improving from the March quarter, the non-banking finance company's management told analysts at a post-earnings call Thursday. "With the change in the product mix, our yield should improve and that should help our margins too," the management said. "I think quarter four (Jan-Mar), we will start seeing some bit of improvement in margins, because I think of the way we have grown in quarter two (Jul-Sept)..."

The non-bank lender's net interest margin fell to 6.06% in the September quarter from 6.28% a year ago but was up from 5.97% in the trailing quarter. The management was also confident of maintaining the company's credit cost in the range of 1.2-1.3%.

Aditya Birla Capital reported a fall of nearly 15% on year in consolidated net profit for the September quarter to INR 8.55 billion owing to a rise in the company's total expenses. Its total expenditure during the quarter rose nearly 12% on quarter and nearly 5% on year to INR 94.75 billion.

The non-bank lender's operating expenses in the September quarter rose 23% on quarter to INR 6.59 billion. However, the management called this increase a "one-off" and expects it to normalise in the upcoming quarters.

"These (operating expenses) will be primarily on the business side, retail operations and investment in branches, technology and all, and that's slightly one-off, which we did," the management said. Thursday, shares of Aditya Birla Capital ended 5.2% higher at INR 326.80 on the National Stock Exchange.  End

Edited by Rajeev Pai

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