Nature of the Disclosure

Key Financial Figures

Standalone Performance (Q1 FY27):

  • Revenue from operations: ₹349 crore, up 28% Year-on-Year (YoY)
  • Profit After Tax (PAT): ₹90.85 crore, up 32% YoY and 21% Quarter-on-Quarter (QoQ)

Consolidated Performance (Q1 FY27):

  • Revenue from operations: ₹448 crore, up 31% YoY
  • Profit After Tax (PAT): ₹124.41 crore, up 48% YoY and 114% QoQ

Financial Position:

  • Consolidated Net Worth as of June 30, 2026: Approximately ₹2760 crore

Business Segment Performance & Operational Highlights

Margin Trading Funding (MTF):

  • MTF book stood at ₹470 crore at the end of Q1 FY27.
  • The company is targeting to grow this book to ₹1000 crore within the next two years.

Portfolio Management Services (PMS):

  • Launched in Q1 FY27.
  • Assets Under Management (AUM) reached ₹150 crore by quarter-end.
  • Target AUM for the end of FY27 is approximately ₹250 crore.

Alternative Investment Fund (AIF):

  • Application is under process with regulators.
  • Expected launch is planned for Q3 FY27.

Institutional Business:

  • Active institutional client count reached 212, up from 186 in Q4 FY26, representing a 15% growth.

uTrade (Algo Strategy for Retail):

  • Subscriptions grew by 20% between Q4 FY26 and Q1 FY27.

Share India Cred (Debt Trading):

  • New subsidiary that commenced operations in Q1 FY27.
  • Underwrote sales of ₹74 crore across six issues.
  • Reported an EBITDA of ₹1.08 crore and a PAT of ₹0.40 crore (₹40 lakh) for the quarter.

GIFT City Operations:

  • International trading desk operations were profitable in Q1 FY27, contributing approximately ₹2 crore.

Merchant Banking:

  • Executed one SME IPO worth approximately ₹200 crore during the quarter.
  • Successfully completed the company's first mainboard IPO, raising ₹167 crore, which was subscribed more than 12 times.

Strategic Updates & Expansion

Branch Expansion:

  • The company is focused on expanding its retail footprint in Tier-3 cities.
  • Seven new branches were recently opened in Banaras, Indore, Bhopal, Raipur, Agra, Nagpur, and Hyderabad.
  • The long-term target is to open 30 branches over the next two years.
  • The payback period for a new branch is targeted at 8 months, with a benchmark of achieving a ₹15 crore MTF book within that period.

Funding Strategy:

  • Initiated a commercial paper (CP) program, which has received a CRISIL A1+ (highest) short-term rating.
  • Progressing with the issuance of a Non-Convertible Debenture (NCD) program to diversify borrowing sources and optimize funding costs.
  • Stated purpose is to counter RBI measures that restricted top-desk funding and ensure uninterrupted business growth.
  • Current funding sources include bank borrowings, retained profits, commercial papers, listed NCDs, and internal accruals.

Technology & Acquisitions:

  • Technology (AI, automation) remains central to the long-term growth strategy for enhancing customer experience and operational efficiency.
  • Management referenced the acquisition of Silverleaf, a technology/HFT firm, as a strategic move for global expansion and strengthening the company's technology backbone.
  • The acquisition of 'Enshrine' was clarified as a property acquisition, providing an 18,000 sq. ft. office space in Mumbai's Interface 11 for approximately ₹42 crore, aimed at consolidating operations.

Management Commentary & Outlook

Context:

Management acknowledged a challenging quarter marked by a rapidly evolving regulatory landscape, geopolitical uncertainties, and market volatility. Specific headwinds included new SEBI measures in the derivative segment and tighter RBI funding norms for top-desk trading.

Resilience & Diversification:

The strong performance was attributed to the company's diversified business model across broking, market-making, merchant banking, wealth management, treasury, and technology, which reduced dependence on any single revenue stream.

Growth Guidance:

Subject to overall market conditions, management remains confident of delivering approximately 20% growth during the current financial year (FY27).

Revenue Mix Disclosure

  • The proprietary trading desk contributed approximately 58-60% of total revenue.
  • In terms of profitability, the split was roughly 52% from proprietary trading and 48% from client-based broking business.
  • Management emphasized a strategic shift over the past 8-9 years, reducing reliance on proprietary trading from ~90% of revenue previously.