Reliance Nippon Life Asset Management (RNAM) today reported a 35 percent jump in its net profit to Rs 162 crore in the January-March quarter of 2017-18. In comparison, the company had posted a net profit of Rs 120 crore in the year-ago period, Anil Ambani-led Reliance Group's firm said in a regulatory fling to the stock exchanges.
The company's total revenues increased to Rs 514 crore during the quarter under review from Rs 406 crore in the three months ended March 31, 2017.
RNAM, which made its stock market debut in November last year, is the only listed asset management company (AMC) in India.
Besides, the company has proposed a total dividend of Rs 6 per share for the last fiscal.
RNAM, jointly owned by Japan's Nippon Life and Reliance Capital, is the asset manager to Reliance Mutual Fund. RNAM, which manages mutual funds, pension funds, and offshore funds among others, has an asset base of over Rs 3.96 lakh crore. This includes Rs 2.45 lakh crore for mutual funds.
For the full fiscal year ended on March 31, 2018, the company's net profit stood at Rs 522 crore, a surge of 30 percent from the preceding financial year. The firm's revenues grew 26 percent to Rs 1,815 crore crore in 2017-18.
"With record profits this year, our focus remains on sustained profitable growth and increasing ROE (return on equity). We continue to remain bullish on the industry, and will be investing in expanding geographical reach as well as increasing our digital footprint.
"The fact that post demonetisation, the industry has seen lot of retail inflows and the highest market share has come to us, shows our execution capability and confidence of investors in the company," RNAM CEO Sundeep Sikka said.
Reliance Mutual Fund has an asset base of Rs 51,260 crore from ‘outside the top 15 cities' as on March 2018, an increase of 25 percent from the preceding fiscal. It has added 81.7 lakh investor folios in the gone by fiscal.
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