Aditya Birla Capital shares soar nearly 3% as it enters gold loan business

Aditya Birla Capital's share price soared over 2.3% on Thursday morning, after the company announced entering into the gold loan business. The shares opened at ₹399 apiece on the NSE and made an intraday high of ₹408.7 apiece on the NSE.

The company’s exchange filing read, “The NBFC business of Aditya Birla Capital Limited (‘ABCL/the Company’), one of India's leading diversified financial services companies, today announced its entry into the Gold Loan business, marking a strategic expansion of its secured lending portfolio. The Gold Loan offering complements its existing retail and MSME lending franchise, providing customers with a transparent, flexible and collateral-backed credit solution.

The company further added that it planned a phased rollout of 200-300 dedicated gold loan branches by March 2027, which it further plans to expand it to 1000 branches in the coming three years.

Commenting on the development, Mr Rakesh Singh, Executive Director and CEO - NBFC, Aditya Birla Capital Limited, said, “Gold loans are witnessing strong structural growth in India, and our entry into this segment is a natural extension of our secured lending strategy. In a category where trust is paramount, customers seek transparency, secure handling of their gold, and the confidence that their valuable assets are in safe and trusted hands. Backed by Aditya Birla Group’s generational legacy of trust, integrity, and responsible stewardship, we are well positioned to serve these customer needs.

As of Q1FY27, the company’s lending AUM grew 28% YoY to ₹1.67 lakh crore; profitability grew 35% YoY to ₹927 crore. At the consolidated level, the company’s revenue surged 29% YoY to ₹14,731 crore as compared to ₹10,274 crore in the same period last year. Lastly, the profit after tax also improved from ₹759 crore in Q1FY26 to ₹1,175 crore.

The shares have rallied over 43% in the past twelve months and over 12.5% on a YTD basis.