Aditya Birla Nuvo reports results for the quarter ended 30th September, 2014

Revenue grew to ` 6,597 Crore

EBITDA is up by 26% to ` 1,516 Crore

Net Profit surged by 56% to ` 452 Crore

(` Crore)

Quarter 2 Consolidated

2013-14

(Previous Year)

6,492 6,597 Revenue 12,237 12,804

1,200 1,516 EBITDA 2,368 2,788

290 452 Net Profit 621 716

2014-15

(Current Year)

Results

Half Year

2013-14

(Previous Year)

2014-15

(Current Year)

2%

26%

56%

Excluding IT-ITeS business, which was divested with effect from 9th

Aditya Birla Nuvo (ABNL) grew year on year by 15%, EBITDA rose by 34% and net profit surged by 75%.

Business-wise Review

Aditya Birla Financial Services

Aditya Birla Financial Services (ABFS) ranks among the top 5 fund managers (excluding LIC) in India.

Its funds under management grew by 28% to USD 23.1 billion (` 138,886 Crore). Its consolidated

revenue at ` 1,775 Crore registered a 16% growth and earnings before tax surged by 49% to ` 237

Crore. ABFS expanded its product coverage by foraying into the housing finance business. ABFS has

signed an MoU with MMI Holdings Ltd., a leading South African insurance based financial services

group, to enter the health insurance business in India as its tenth line of business.

Among the private life insurers, the new business premium market share of Birla Sun Life Insurance

grew from 7.3% to 7.7% during the half year. Birla Sun Life Asset Management (BSAMC) improved

its market share from 9.56% to 9.69%. In terms of domestic equity AUM, BSAMC moved two places

up to rank 5th

book of Aditya Birla Finance expanded by 64% to about ` 13,550 Crore. The broking and the wealth

management businesses posted profitable growth with improved market volumes.

Fashion & Lifestyle

The Company’s Fashion & Lifestyle business continued to expand its customer reach, further

strengthening its leadership position. During the quarter, 108 stores were opened nationwide to reach

1,852 stores, spanning across 4.5 million square feet. Its revenue rose by 17% to ` 1,892 Crore. EBITDA

is up by 52% to ` 236 Crore led by revenue growth and margin expansion across all the three formats –

Madura, Pantaloons and Jaya Shree.

Madura’s revenue soared by 25% to ` 1,051 Crore, driven by double digit volume growth and EBITDA

augmented by 37% to ` 161 Crore. EBITDA margin stands expanded by 135 basis points.

Aditya Birla Nuvo Limited : Press Release for the quarter ended 30th September 2014 Page 1/3

5%

18%

15%

May 2014, the quarterly revenue of

in the industry. Its AUM grew year on year by 30% to ` 110,233 Crore. The lending

Pantaloons’ revenues extended year on year by 14% to ` 554 Crore, driven by 8.9% like-to-like sales

growth in the Pantaloons stores. EBITDA margin is up by 400 basis points enabled by the portfolio

enrichment and improved merchandising. Pantaloons has been voted amongst India’s top most trusted

retailer brands in the “Brand Equity Survey 2014”

Jaya Shree registered a 13% growth in revenue at ` 351 Crore and 15% rise in EBIDTA at ` 43 Crore,

driven by improved realisation and expansion-led volume growth in the linen segment. To strengthen its

market leadership, it is expanding its Linen Yarn capacity from 3,400 to 6,400 tons per annum.

Telecom

With a base of 144 million active subscribers, Idea ranks as the 6th

in terms of subscribers based on operations in a single country. In India, it ranks 3rd

revenue market share at 17.1% up from 16.2% a year ago. It posted a strong growth in earnings, on

the back of rise in voice and data usage, scale benefit and cost efficiency. Its revenue is up by 20%

to ` 7,566 Crore and EBITDA rose by 29% to ` 2,607 Crore. With cash profit generation of

` 3,839 Crore in the first half year and equity infusion of ` 3,750 Crore in June and July 2014 through

QIP and Preferential allotment, Idea’s balance sheet has strengthened with Net Debt to EBIDTA at 1.32

times.

Manufacturing (Agri, Rayon and Insulators)

Revenue from the manufacturing businesses at ` 1,161 Crore amplified by 17% and EBITDA at ` 155

Crore surged by 30%. In the Agri business, the debottlenecking and energy savings project resulted in

higher urea sales volume and improved energy efficiency. In the Rayon business, new superfine yarn

capacity drove profitable growth in the VFY segment, though offset by lower ECU realisation in the

Chemicals segment. In the Insulators business, profitability was augmented by volume growth, which

was majorly on account of spill over of contracts due to disruption / suspension of plant operations in the

previous quarter.

Balance Sheet

Led by the realisation of subsidy in Agri business coupled with cash flow from operations, Net Debt to

annualised EBITDA improved from 2.6 times in fiscal 2013-14 to 1.9 times in first half of fiscal 2014-15.

Going Forward

For fiscal 2014-15, ABNL has earmarked capital expenditure of around ` 400 Crore, of which a sum of

` 101 Crore has been incurred in the first half year. The Company plans to invest about ` 350 Crore in

the Financial Services business. Of this, a sum of ` 135 Crore has been invested in the first half year.

largest cellular operator in the world,

with an improved

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