Anand Rathi Share and Stock Brokers Limited – Investor Presentation Summary
Key Operational Highlights
- Total Assets Under Custody (AUC) stood at ₹11,30,909 Mn as of Q1 FY27, showing a 21.4% year-on-year (YoY) increase.
- The number of Active Clients in the broking segment rose, contributing to the notable increase in AUC.
- Over 70% of Total Active Clients are from Tier 2 and Tier 3 cities.
- The company maintains a pan-India presence through a mix of own branches and franchisees.
Key drivers of operational performance: Measured and calibrated increase in AUC in line with strategy, strong client loyalty, and a mature client-base unlocking premium potential.
Segment-wise Performance
Revenue is bifurcated into Broking and Non-Broking segments.
- Broking Segment: Comprises Income from Broking & Related Services.
- Non-Broking Segment: Comprises Interest on Margin Trading Facility and Distribution Income.
- The presentation notes a strategic diversification and de-risking of the business model, with a growing contribution from the Non-Broking segment.
Explanation of significant changes in segment performance: Growth was driven by strong expansion in both broking and non-broking segments.
Financial Highlights
Consolidated Figures for Q1 FY27 (Quarter ended June 30, 2026):
- Revenue from Operations: ₹2,461.03 Mn
- EBITDA: ₹973.00 Mn
- PAT (Before Exceptional Items): ₹390.62 Mn
- PAT (After Exceptional Items): ₹233.51 Mn
- EPS: Not Specified
Margins:
- EBITDA Margin: 39.5%
- PAT Margin (Before Exceptional Items): 15.8%
- PAT Margin (After Exceptional Items): 9.5%
YoY comparison (Q1 FY27 vs Q1 FY26):
- Revenue from Operations: Increased 22.4% YoY (from ₹2,011.1 Mn)
- EBITDA: Increased 30.2% YoY (from ₹747.4 Mn)
- PAT (Before Exceptional Items): Increased 71.2% YoY (from ₹228.1 Mn)
- PAT (After Exceptional Items): Increased 2.3% YoY (from ₹228.1 Mn)
- EBITDA Margin: Improved by 237 basis points YoY (from 37.2%)
- PAT Margin (Before Exceptional Items): Improved by 453 basis points YoY (from 11.3%)
- PAT Margin (After Exceptional Items): Decreased by 184 basis points YoY (from 11.3%)
QoQ comparison (Q1 FY27 vs Q4 FY26):
- Revenue from Operations: Decreased 4% QoQ (from ₹2,560 Mn)
- PAT (After Exceptional Items): Decreased 44% QoQ (from ₹416 Mn)
Drivers of financial performance: Growth driven by strong expansion in both broking and non-broking segments. The PAT after exceptional items was significantly impacted by an exceptional item of ₹210 Mn in Q1 FY27.
Comparison to market estimates: Not Specified
Key Risks: Not explicitly disclosed in the provided data.
Geographical Revenue Split
Domestic vs Export/Regional Revenue: Not Specified
Balance Sheet Snapshot
- Debt Equity Ratio: 0.81 (was 1.93 as of Q1 FY26)
- Reserves: Not Specified
- Current Assets/Liabilities: Not Specified
- Working Capital/Leverage Metrics: Not Specified
Financial Health Insights: The Debt Equity Ratio improved significantly to 0.81 from 1.93 a year ago.
Capex & Cash Flow Health
Capital Expenditure: Not Specified
Free Cash Flow: Not Specified
Operating Cash Flow: Not Specified
Net Debt Movement: Not Specified
Investment Rationale: Not Specified
Strategic & R&D Initiatives
Investments in Innovation: Not Specified
Expected impact on growth: Not Specified
Strategic Rationale: The strategy focuses on a measured and calibrated increase in AUC, building the Margin Trade Facility as a core growth engine, and achieving a steady increase in Assets Under Management (AUM) across distribution product categories.
Industry Trends & Business Environment
Macro/Industry Trends: Not Specified
Impact on Company: Not Specified
Management Commentary & Growth Outlook
Strategic Outlook: Not directly quoted, but the presentation highlights "Loyalty as a Competitive Edge" and "Unlocking Premium Potential" with a mature client-base.
FY Guidance: Not Specified
Market Share Targets: Not Specified
Risks and Opportunities: Not Specified
Additional Information
- ROCE (Annualized): 15.9% for Q1 FY27 (was 18.5% for Q1 FY26)
- ROE (Annualized): 11.6% for Q1 FY27 (was 17.7% for Q1 FY26)
- The presentation includes a detailed Profit & Loss account breakdown.
- An exceptional item of ₹210 Mn was recorded in Q1 FY27.