Capital Markets company Anand Rathi Wealth announced Q2FY25 results Fiinancial Highlights: Total Revenue: Rs 249.6 crore from Rs 189.1 crore (32% increase YoY) Profit Before Tax: Rs 102.2 crore from Rs 77.7 crore (31% increase YoY) Profit After Tax: Rs 76.3 crore from Rs 57.7 crore (32% increase YoY) Earnings Per Share (EPS): Rs 18.3 from Rs 13.8 (32% increase YoY) Assets Under Management (AUM): Rs 75,084 crore from Rs 47,957 crore (57% increase YoY) Mutual Fund distribution revenue increased by 70% YoY to Rs 195 crore. Net inflows grew by 128% YoY to Rs 5,700 crore. Equity Mutual Fund net inflows increased by 64% YoY to Rs 3,116 crore. Share of Equity Mutual Funds in AUM increased to 55% as of September 2024, compared to 50% as of September 2023. Return on Equity (ROE - Annualised) : 44%. The Board of Directors have declared an Interim Dividend of Rs 7 per Equity Share of Face Value of Rs 5 each of the Company (140% of Face Value). Other Highlights: Private Wealth (PW) (Holding Company) Number of Active client families increased by 19% YoY to 10,977. Number of RMs increased by 20% in last 12 months to 374. Zero regret RM attrition for last 15 months. Digital Wealth (DW) (Subsidiary Company) Total Revenue increased by 17% YoY to Rs 14 crore. AUM increased by 32% YoY to Rs 1,826 crore. Omni Financial Advisors (“OFA” ) (Subsidiary Company) Total Revenue increased by 15% YoY to Rs 4 crore. Technology platform provider to Mutual Fund Distributors (MFDs) with 6,188 subscribers (PY: 5,880 MFDs). Rakesh Rawal, Chief Executive Officer, commented on the H1 FY25 results stating: “We are thrilled to announce another exceptional financial result. In H1FY25 our total revenue grew by 35% YoY to Rs 495 crore and Profit after Tax was Rs 150 crore, representing growth of 35% YoY. Our Assets Under Management (AUM) has seen a significant increase of 57% to Rs 75,084 crore. In the first half of FY25, we welcomed 1,066 new client families, bringing our total count of client families to 10,977. In alignment with our policy of rewarding shareholders, we have declared an interim dividend of Rs 7 per share for FY25. India’s growth story is being celebrated as the global economy faces geopolitical challenges and slow growth. As the fastest-growing large economy, India is projected to achieve a 7% GDP growth for FY25, driven by strong domestic demand, government reforms and increased capital expenditure, which has also boosted its market capitalization. In light of such strong economic growth, the company’s prospects are positive, supported by the rising HNI population who are seeking a strategic approach to wealth creation.” Commenting on the same, Feroze Azeez, Deputy Chief Executive Officer said: “India’s strong economic fundamentals have driven increased interest from both domestic and foreign investors. This trend is reflected in consistent inflows into the equity markets, with new investments hitting record highs MoM. Such a positive momentum is expected to strengthen the Indian equity markets further, fostering an environment conducive to long-term capital appreciation and broadening of the investor base. During H1FY25 our total net inflows registered a remarkable YoY growth of 128%, reaching Rs 5,700 crore. Equity mutual fund net inflows achieved YoY growth of 64%, amounting to Rs 3,116 crore. Our client centric approach has resulted in 0.28% client attrition rate in terms of AUM lost during the first half of FY25. We take immense pride in achieving zero regret RM attrition for the fifth consecutive quarter—a true testament to our robust entrepreneurial work culture and unwavering commitment to our team’s growth and satisfaction.” Result PDF
Conference Call with Anand Rathi Wealth Management and Analysts on Q1FY25 Performance and Outlook. Listen to the full earnings transcript.
Capital Markets company Anand Rathi Wealth announced Q1FY25 results: Financial Highlights: AUM Rs 69,018 crore up by 59% YoY Revenue Rs 245 crore up by 38% YoY Profit Before Tax Rs 99 crore up by 40% YoY Profit After Tax Rs 73 crore up by 38% YoY Mutual Fund revenue increased by 70% YoY to Rs 89 crore Net inflows grew by 173% YoY to Rs 3,364 crore Equity Mutual Fund net inflows increased by 462% YoY to Rs 2,091 crore Share of Equity Mutual Funds in AUM increased to 54% as of June 2024, compared to 48% as of June 2023. Return on Equity (ROE - Annualised) : 42.8% Buyback of Rs 164.65 crore (excluding charges and taxes) successfully completed in June 2024. Operational highlights: Private Wealth (PW) (Holding Company) Number of Active client families increased by 19% YoY to 10,382 Number of RMs increased by 17% to 360 in last 12 months Digital Wealth (DW) (Subsidiary Company) Total Revenue increased by 13% YoY to Rs 6.89 crore AUM increased by 48% YoY to Rs 1,727 crore Omni Financial Advisors (“OFA” ) (Subsidiary Company) Total Revenue increased by 18% YoY to Rs 1.84 crore Technology platform provider to Mutual Fund Distributors (MFDs) with 6,064 subscribers (PY: 5,688 MFDs) Commenting on the Q1 FY25 Results, Rakesh Rawal, Chief Executive Officer said: “Indian economy is on a strong footing with GDP expected to grow at 7.2% for this year, making it the fastest growing market globally. In this backdrop, Indian markets have witnessed new all-time highs supported by strong performance of India Inc. With this, we anticipate a noticeable increase in the number of High Net-worth Individuals (HNIs) in the country and thus, creating a huge growth potential for the wealth business. The increase of financial assets in the total pie of household assets has also helped in growth of our AUM by 59% YoY to Rs 69,018 crore as on June 30, 2024. This has aided a revenue increase of 38% YoY to Rs 245 crore and PAT increase of 38% YoY to Rs 73 crore for this quarter. During Q1 FY25, we added 471 client families and crossed the milestone of 10,000 client families, further improving the financial goals of our clients. As part of our endevour to reward shareholders, we successfully concluded the buyback program of Rs 164.65 crore, excluding charges and taxes. With multiple growth drivers in place, we are confident that our company has the potential to grow by 20–25% in the long-term.” Commenting on the same, Feroze Azeez, Deputy Chief Executive Officer said: “India’s strong fundamentals continue to attract investments into the equity markets with incremental inflows recording new highs every month. During Q1 FY25, our equity mutual fund net inflows increased by 462% YoY to Rs 2,091 crore. This continued growth underscores the deep trust and confidence our clientele place in our value proposition. Our systematic and datadriven approach along with a realistic understanding of client needs and risks has been instrumental in achieving these results. Our client base is becoming more informed and data driven, so they understand simple and uncomplicated wealth approach to achieve the objective of around 14%. This is evident from just 0.1% client attrition in terms of AUM lost during the first quarter of FY25. We have successfully maintained our Zero regret attrition of relationship managers for a straight fourth quarter significantly because of the culture created in the organisation. With the Indian economy poised for continued growth, the future is promising and has large opportunities for wealth professionals.” Result PDF
Conference Call with Anand Rathi Wealth Management and Analysts on Q4FY24 Performance and Outlook. Listen to the full earnings transcript.
Capital Markets company Anand Rathi Wealth announced Q4FY24 & FY24 results: Q4FY24 Financial Highlights: The Company reported a net profit of Rs 57 crore for Q4FY24, marking a significant 33% increase over the Rs 42.7 crore from Q4FY23. The company's revenue rose by 34% YoY, reaching Rs 197 crore in Q4FY24 compared to Rs 147.1 crore in Q4FY23. FY24 Financial Highlights: There was a 35% surge in the company's revenue during FY24, totaling Rs 752 crore, up from Rs 558.9 crore in FY23. For FY24, the consolidated net profit ascended by 34% to Rs 226 crore from Rs 168.6 crore in the previous year. The EPS increased by 34% YoY to Rs 54.1 for the full year. AUM expanded by a notable 52% to Rs 59,351 crore in FY24 from Rs 38,993 crore in FY23. The Board of Directors recommended a Final dividend of Rs 9 per Equity Share, bringing the total dividend for FY24 to Rs 14 per Equity Share. The Board approved a share buy-back of up to 3,70,000 Equity Shares at Rs 4,450 per share, allocating an aggregate amount not exceeding Rs 164.65 crore. The company achieved an ROE of 40% for FY24. The company witnessed an escalation of 41% in net inflows, reaching Rs 7,182 crore in FY24. Equity Mutual Fund net inflows surged by 47% YoY to Rs 4,628 crore. Private Wealth (PW) (Holding Company): The Private Wealth vertical saw a revenue increase of 34% to Rs 720 crore. Private Wealth(PW) Profit After Tax grew by 32% to Rs 221 crore. Private Wealth AUM surged by 52% to approximately Rs 57,807 crore. The number of active client families rose by 19% to 9,911. Digital Wealth (DW) and Omni Financial Advisors (OFA): Digital Wealth observed a 64% increase in revenue to Rs 25 crore. AUM in DW grew by 47% to Rs 1,545 crore. Omni Financial Advisors reported a revenue growth of 17% to Rs 7 crore. OFA increased its subscriber base to 5,994 mutual fund distributors. Commenting on the results, Rakesh Rawal, Chief Executive Officer, said, "Amidst a fluctuating global economic environment, the Indian economy has emerged as a pillar of stability and hope. Despite the challenges posed by geopolitical tensions, the resilience of the Indian equity capital markets has been noteworthy, contributing significantly to wealth generation and the robust growth of the wealth management sector. Anand Rathi Wealth’s exemplary performance, evidenced by a commendable 52% YoY increase in our consolidated Assets Under Management (AUM) to Rs 59,351 crore, exemplifies this trend. This growth not only highlights our firm's adeptness in navigating market volatilities but also our unwavering dedication to our clients’ wealth enhancement. For the financial year 2024, we are pleased to report a remarkable increase in revenue by 35% YoY, reaching Rs 752 crore, and our Profit After Tax (PAT) surged by 34% YoY to Rs 226 crore, exceeding the forecasts for the fiscal year. In accordance with our policy to reward shareholders, the Board has declared a final dividend of Rs 9 per equity share, culminating in a total annual dividend of Rs 14 per equity share, alongside a share buy-back program valued at Rs 164.65 crore. Our strategy, centered on offering straightforward, comprehensive, and uniform solutions, has been a cornerstone of our strong and enduring growth. We are confident in our future, projecting a continued growth trajectory of 20–25%.” Commenting on the results, Feroze Azeez, Deputy Chief Executive Officer, said, "In FY24, total net inflows saw an impressive increase of 41% YoY, amounting to Rs 7,182 crore. Furthermore, equity net inflows experienced a 47% YoY growth, reaching Rs 4,628 crore. This growth underscores the deep trust and confidence our clientele place in our capabilities to guide them towards achieving their financial aspirations. Our approach, grounded in meticulous data-driven research and a thorough understanding of client needs and associated risks, has been instrumental in this success. Our client-centric focus is further evidenced by maintaining our client attrition rate at approximately 1% in terms of AUM lost for the fiscal year 2024. Anand Rathi Wealth prides itself on cultivating an entrepreneurial culture, underlining the pivotal role of our Relationship Managers in propelling our growth. Our dedication to talent development and retention has been proven by the achievement of zero regrettable Relationship Manager attrition for three consecutive quarters. We are optimistic about the future of the wealth management industry, buoyed by factors such as increasing wealth, changing investor preferences, and technological innovations. These elements promise to revolutionize the wealth management domain, offering substantial growth and opportunities.” Result PDF
Conference Call with Anand Rathi Wealth Management and Analysts on Q3FY24 Performance and Outlook. Listen to the full earnings transcript.
Financial Services company Anand Rathi Wealth announced Q3FY24 & 9MFY24 results: Total Revenue Q3FY24: Rs 187.3 crore, marking a 34% increase year-over-year (YoY). 9MFY24: Reached Rs 555 crore, representing a 35% growth compared to 9M FY23. Profit Before Tax (PBT) Q3FY24: PBT was Rs 78 crore. 9MFY24: PBT stood at Rs 226.6 crore, a 34% rise YoY. Profit After Tax (PAT) Q3FY24: Rs 58 crore, a 34% increase from Q3 FY23. 9MFY24: PAT grew 34% YoY to Rs 169 crore. Earnings Per Share (EPS) Q3FY24: The EPS was Rs 13.9. 9MFY24: The EPS increased to Rs 40.5, up 34% YoY. Assets Under Management (AUM) As of Dec 2023: AUM was Rs 55,057 crore, a significant 43% growth YoY. Key Highlights Annualized Return on Equity (ROE) is reported to be 42% for 9MFY24. Net-flows in 9MFY24 grew by 41% YoY to Rs 5,411 crore. Equity Mutual Fund net flows expanded by 85% YoY to Rs 3,854 crore. Commenting on the Results, Rakesh Rawal, Chief Executive Officer said, “Indian economy proved to be a beacon of hope in an otherwise turbulent global economy. The markets remained resilient despite elevated geopolitical escalations. The projected GDP growth of 7.3% for FY24 as per the first advance estimates appears to be achievable. With Indian markets having created substantial wealth post-pandemic the wealth management industry is witnessing healthy growth. The momentum of this wealth creation is also evident in our performance where our client base increased to 9,641 families and our AUM increased to Rs 55,057 crore as of Dec-2023. In 9MFY24, our revenue grew by 35% YoY to Rs 555 crore, while our PAT increased by 34% YoY to Rs 169 crore. We have added 45 new Relationship Managers on a net basis over the past twelve months. A reflection of our entrepreneurial work culture is in the zero-regret RM attrition for Q2 and Q3FY24. With a broad network of Relationship Managers of 322 spanning all major Indian cities, we are committed to providing our clients with well-researched data backed and uncomplicated wealth solutions to fulfill their financial goals” Result PDF