Mumbai: Reliance Capital Ltd, the non-banking financial company (NBFC) controlled by Anil Ambani, on Friday said net profit increased 52% to 407 crore in the quarter to March from 267 crore a year ago, mainly because of a one-off gain from a stake sale in the company’s asset management business.

Chief executive officer Sam Ghosh, who was elevated to the company’s board, on Friday said the company was helped by the 657 crore it earned by selling a 9% stake in the asset management unit to Japan’s Nippon Life Insurance Co. in February.

“Though we had to write down 250 crore from the sale, the profit went into gains from finance and investments, which helped us increase our total profit," Ghosh said.

Revenue increased 37% to 2,437 crore in the quarter from 1,774 crore a year ago.

Profit from finance and investments increased two-and-a-half times to 284 crore from 105 crore.

“We took two big hits in the last quarter. Firstly, because interest rates came down we had to provide 48 crore in for our life insurance company for its traditional plan which guarantees returns. We also provided 20 crore for two natural calamities, namely the Cyclone Hudhud and Jammu and Kashmir floods, provision for both of which had to be made in the last quarter," Ghosh said.

The company’s asset management business earned 101 crore, up from 90 crore in the year-ago period. Profit from the company’s general insurance business fell to 18 crore from 27 crore.

Ghosh said he expects the company to do well in the lending as well as asset management business in the current fiscal year. The company gives home loans, loans against property, loans to small and medium enterprises and also commercial vehicle loans.

Reliance Capital’s share closed on Friday at 395.15 on the BSE, up 1.91% from Thursday’s close, while the 30-share benchmark Sensex ended at 27,828.44 points, up 1.17%.

Reliance Group companies have sued HT Media Ltd, Mint’s publisher, and nine others in the Bombay High court over a 2 October 2014 front-page story that they have disputed. HT Media is contesting the case.