Stock Report

Anand Rathi Wealth Net Profit Surges 73% to ₹163 Crore in Q1 FY27, EPS Climbs to ₹9.82

Posted On : 2026-07-12 11:01:11( TIMEZONE : IST )

Anand Rathi Wealth Limited has reported its unaudited consolidated financial results for the first quarter of the fiscal year 2026-27, demonstrating powerful growth momentum across its wealth management operations. The company delivered a significant double-digit expansion in profitability both on a year-on-year and sequential basis.

Substantial Surge in Earnings Before Tax

For the quarter ended June 30, 2026, Anand Rathi Wealth posted a consolidated profit before tax from continuing operations of ₹20,620.13 lakhs. This operational performance highlights an impressive 63.36% increase compared to the ₹12,622.84 lakhs recorded during the corresponding first quarter of the previous fiscal year. Sequentially, the company's pre-tax earnings surged by 47% over the ₹14,026.78 lakhs generated in the final quarter of fiscal year 2025-26.

Tax Expenses and Consolidation

The total tax outgo for the opening quarter came in at ₹4,319.36 lakhs, scaling up in tandem with business volumes. This total provision includes a current tax expense of ₹2,791.44 lakhs and a deferred tax charge of ₹1,527.97 lakhs.

Following these adjustments, the net profit from continuing operations stood at ₹16,300.77 lakhs for Q1 FY27, surging 73.75% from the ₹9,381.61 lakhs reported in Q1 FY26. Because the company closed down its discontinued operations in the previous fiscal year, no separate income or tax adjustments from discontinued lines impacted the current period. Consequently, the net profit for the entire period settled at ₹16,300.77 lakhs, comparing favorably against the ₹9,391.01 lakhs posted a year ago and the ₹10,344.77 lakhs recorded in the preceding quarter.

Ownership Breakdown and Comprehensive Income

Out of the total net profit for the quarter, ₹16,273.48 lakhs was directly attributable to the core owners of the company, while the remaining ₹27.29 lakhs belonged to non-controlling interests.

The company also recognized a net gain of ₹29.09 lakhs under other comprehensive income, driven by positive movements in fair values and adjustments to defined benefit plans. This brought the total comprehensive income for Q1 FY27 to ₹16,329.86 lakhs, outperforming the ₹9,450.62 lakhs cleared in the corresponding window last year. Within this metric, the share attributable to the owners of the company from continuing operations rose to ₹16,301.36 lakhs.

Enhanced Shareholder Returns

On a stable paid-up equity share capital base of ₹4,151.03 lakhs (with shares carrying a face value of ₹5 each), the wealth manager's financial metrics strengthened. Basic earnings per equity share from continuing and total operations jumped to ₹9.82 per share for the quarter, climbing significantly from the ₹5.66 per share reported in Q1 FY26 and the ₹6.23 per share posted in Q4 FY26. Diluted earnings per share for the quarter similarly tracked upward to arrive at ₹9.67.

Commenting on the Company's financial and operational performance for Q1 FY27, Mr. Rakesh Rawal, Chief Executive Officer, and Mr. Feroze Azeez, Joint Chief Executive Officer, said: "We are pleased to report another quarter of consistent performance and thank our clients, employees, and stakeholders for their continued trust and support. In a volatile equity market environment during Q1 FY27, our uncomplicated business model and unwavering focus on client outcomes enabled us to deliver consistent and marketagnostic growth, reinforcing the resilience and scalability of our business.

Excluding the impact of fair value gains on investments, ESOP expenses, and related tax effects, our Profit after Tax for Q1 FY27 increased by 24% year-on-year to ₹ 116 crore, while total revenue grew by 18% year-on-year to ₹ 336 crore. During the first quarter of FY27, the Company achieved 24% of its full-year revenue guidance of ₹ 1,415 crore and 25% of its full year PAT guidance of ₹ 460 crore.

We have achieved a significant milestone during the quarter, with our Assets Under Management (AUM) crossing ₹ 1 lakh crore. Our AUM grew 21% year-on-year to ₹ 1,06,300 crore, supported by a net inflow of ₹ 2,743 crore during Q1 FY27.

This performance reflects our continued ability to attract new clients and deepen existing relationships, even in a challenging market environment. We onboarded 1,611 new client families on net basis over the last twelve months, taking our total client base to 13,941 families. Client attrition, measured by AUM lost, remained at a low at 0.09%, underscoring the strength of our client-centric uncomplicated approach. We also recorded zero regret RM attrition during the quarter.

This consistent performance is a reflection of the principles on which we have built our business over the years. Building a wealth management business is not a capital race-it is a credibility marathon. Wealth management may appear simple from the outside, but in reality, it is a slow compounding trust business. Our experience over the years has helped us understand that sustainable growth is built on patience, transparency, long-term relationships, and consistently putting clients' interests first.

Given the strong business we have built and the opportunities ahead, we remain confident of achieving our guidance."

Shares of Anand Rathi Wealth Ltd was last trading in BSE at Rs. 2150.35 as compared to the previous close of Rs. 2098.75. The total number of shares traded during the day was 138567 in over 8662 trades.

The stock hit an intraday high of Rs. 2215.35 and intraday low of 2063.00. The net turnover during the day was Rs. 297014095.00.