Embarking on a major expansion plan, Reliance Capital plans to increase customer base to 50 million from 20 million along with a fivefold expansion of reach to 25,000 cities and towns over the next 3-5 years, Chairman Anil Ambani has said.
Reliance Capital, the financial services arm of Ambani-led business conglomerate, also plans to double the number of its business partners to one million in this time period.
“Together, these initiatives will further accelerate our growth and lead to substantial value creation for all,” Ambani said in his annual letter to shareholders of Reliance Capital, which is present across insurance, mutual fund, brokerage and consumer and home finance, among other areas of financial services.
Highlighting the financial performance of the company in the last financial year, Ambani said, “Reliance Capital made significant progress during the year towards improving operational performance across core businesses and is fully geared to capital on its growth aspirations”.
The industrialist said the Reliance Group, which is also present across telecom, infrastructure and defence businesses among others, “touches the life of one in every five Indians, every single day”.
Reliance Capital’s total income rose by 12 per cent in the financial year 2015-16 to Rs 9,998 crore, while net profit was up 10 per cent at Rs 1,101 crore.
Among its main businesses, Reliance Nippon Life Asset Management’s profit rose to Rs 502 crore while income from operations was up 38 per cent at Rs 1,314 crore.
Reliance Mutual Fund’s average asset under management rose by 16 per cent to Rs 1,58,408 crore, giving it a market share of 12 per cent.
Reliance Nippon Life Insurance commanded a market share of 4 per cent in the private life insurance sector, while Reliance General Insurance was also among the leading private general insurers with a market share of 7 per cent, Ambani said.
Reliance Home Finance’s asset under management rose by 27 per cent to Rs 7358 crore. Its total income rose 59 per cent to Rs 815 crore, while profit was up 29 per cent at Rs 137 crore.
