It's not unusual for rhododendron and azalea plants to not bloom in the first year after planting. The reason given is that most of their energy is directed toward establishing the root system.

It's not entirely clear from the photo, but this plant seems to be showing evidence of severe lacebug damage. The pale lower leaves are likely the result of lacebug nymphs destroying the leaves' ability to photosynthesize by their feeding. The lower leaf surfaces will show dark stippling if lacebugs are a problem. This, too, can cause failure to set flower buds.

thanks, wasnt aware of it..
i did some research and turns out it is a lacebug problem!!
i sprayed organic insecticide, will it help?
also, do i have to prune the affected part in winter?
how do i know if the lacebugs r gone??

This post was edited by aashu on Tue, Sep 23, 14 at 14:49

Lacebugs are soft bodied insects so are pretty easy to kill with contact insecticides such as organic "soap" formulas. Other organic types may work just as well, but check the label. Timing of the first spraying is critical. Check with your County Extension Service or state agriculture department for recommended dates in your area. Catch them early and the population will be greatly reduced for that season. The problem with most organic insecticides is that they have no residual action. In warm parts of the country there can be multiple generations of lacebugs over the course of the summer and contact insecticides will only be effective if they actually hit the insects. There are relatively safe non-organic insecticides which are far more effective. See what the sources above recommend. If you want to stick with an organic, it will mean checking the leaves and spraying frequently - check the label - for the entire summer next year.

The damaged leaves wil not recover, so there's no point in pruning anything. They will eventually fall off naturally.

thanks, that was really helpful!!
i did come across few websites which gave details about how n when to get rid of the lace bugs.. will try that. hopefully will get some blooms next year!
thanks again!!