Financial Performance (Consolidated, IND AS)

  • Total Income: ₹88.4 crore, up 3% quarter-on-quarter (QoQ) from ₹85.5 crore in Q4FY26 and up 14% year-on-year (YoY) from ₹77.8 crore in Q1FY26.
  • Brokerage Income: ₹39.4 crore, down 6% QoQ from ₹41.9 crore.
  • Allied Broking Income: ₹21.6 crore, up 4% QoQ from ₹20.7 crore.
  • Other Operating Income: ₹27.4 crore, up 20% QoQ from ₹22.9 crore.
  • Profit Before Tax (PBT): ₹15.5 crore, up 7% QoQ from ₹14.5 crore and flat YoY (₹15.5 crore in Q1FY26).
  • Tax Expense: ₹3.9 crore, up 5% QoQ from ₹3.7 crore.
  • Profit After Tax (PAT): ₹11.6 crore, up 8% QoQ from ₹10.8 crore and up 1% YoY from ₹11.5 crore.
  • PAT Margin: 13%, flat QoQ but down from 15% in Q1FY26.
  • Earnings Per Share (EPS): Basic and Diluted EPS stood at ₹2.60, down 25% QoQ from ₹3.47 and down 30% YoY from ₹3.70.
  • Total Comprehensive Income: ₹11.5 crore for the period.

Key Business Metrics & Operational Highlights

  • Rights Issue: The company raised ₹468.8 crore through the issuance of 1,56,27,419 fully paid-up equity shares of face value ₹10 each by way of a rights issue in April 2026.
  • Client Base: Total registered customers reached 52.6 million, a 1% increase QoQ.
  • New Client Acquisition: 74,000 new clients were onboarded in Q1FY27 (a 28% decrease QoQ).
  • DIY Acquisition: 96.8% of acquisitions were Do-It-Yourself (DIY), up 0.2% QoQ.
  • Mobile App: The 5paisa mobile app had over 23.8 million installs with a 4.3-star rating on Playstore.
  • Average Daily Turnover (ADTO): ₹3.04 trillion (notional), down 12% QoQ.
  • Total Orders: 25.1 million, down 5% QoQ.
  • Mutual Fund AUM: ₹2,073 crore.
  • Average Client Funding Book: ₹4,216 million, up 3% QoQ.

Expense Breakdown

  • Employee Benefits Expenses: ₹22.1 crore, down 13% QoQ. ₹6.79 million was capitalized towards internally generated software (IND AS 38).
  • Depreciation, Amortisation & Impairment: ₹2.2 crore, flat QoQ.
  • Finance Cost: ₹8.5 crore, down 7% QoQ.
  • Other Expenses: ₹40.1 crore, up 17% QoQ. ₹0.43 million was capitalized towards other intangible assets (IND AS 38).
  • Total Expenses: ₹72.9 crore, up 3% QoQ and up 17% YoY.

Management Commentary

Gaurav Seth, Managing Director & CEO, commented: "Q1 FY27 was a quarter of disciplined execution and strategic investments. The market is volatile and we continued to invest in product depth, platform reliability, customer experience, AI-led capabilities, and monetization. Our focus is to build a stronger, technology-led 5paisa for both active traders and long-term investors."

Strategic Focus & Platform Overview

The investor presentation detailed the company's strategy as a "full-stack digital wealth management platform" focused on five key areas: Maximizing Client Value. Key platform features highlighted include:

  • Trading: Scalper (HFT tool), Advanced Orders (VTT, basket orders), Market Analytics.
  • Investing: Portfolio tools, Mutual Funds/SIPs, IPO/NFO access.
  • Platforms: AlgoSpace (algo trading), Dedicated F&O platform, Xstream APIs.
  • AI Integration: AI-powered research, portfolio intelligence, signal generation, conversational advisory, and options intelligence.
  • Value Add: Partnerships (Smallcase, Cleartax), FinSchool, and customer support.

Industry Context

The presentation included industry data noting a demat account base of 231 million as of Q1FY27 (7 million added in the quarter) and a significant rise in derivative ADTO with a 48.3% CAGR over six years. It also discussed the impact of recent regulatory changes on the industry.

Corporate Governance & ESG

  • The company highlighted its whistleblower policy, diverse independent board, and regulatory compliance.
  • ESG initiatives include digital onboarding, e-waste management, tree plantation, and employee welfare schemes.
  • The company is ISO 27001:2013 certified for information security.

Key Personnel

  • Board of Directors: Dr. Archana Hingorani (Chairperson & Independent Director), Mr. Milin Mehta (Independent Director), Dr. Sarat Kumar Malik (Independent Director).
  • Core Management Team: Mr. Gaurav Seth (MD & CEO), Mr. Gourav Munjal (Whole-Time Director & CFO), Mr. Ameya Agnihotri (Whole-Time Director & CTO).