Anand Rathi Wealth Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Anand Rathi Wealth Ltd filed with BSE on 15 Jul 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Anand Rathi Wealth reported consolidated total revenue of INR336 crores and profit after tax of INR116 crores for Q1 FY27, up 18% and 24% year-on-year respectively, excluding fair value gains and ESOP-related items. Total AUM grew 21% year-on-year to INR1,06,300 crores as of June 30, 2026, supported by net flows of INR2,743 crores for the quarter. Management said the quarter represented 24% of its full-year revenue guidance and 25% of its full-year PAT guidance, and discussed plans to apply for an AMC license and expand its UK subsidiary.
Numbers mentioned
Total AUM: INR1,06,300 crores (as on June 30, 2026)
p. 3
“Total AUM grew by 21% Y-o-Y to INR1,06,300 crores as on June 30th, 2026, supported by the net flows of INR2,743 crores for the quarter despite high volatility.”
Feroze Azeez, page 3 of the filed PDF · View the filing
Net flows: INR2,743 crores (Q1 FY27)
p. 3
“Total AUM grew by 21% Y-o-Y to INR1,06,300 crores as on June 30th, 2026, supported by the net flows of INR2,743 crores for the quarter despite high volatility.”
Feroze Azeez, page 3 of the filed PDF · View the filing
Net sales in equity mutual funds: INR1,900 crores (Q1 FY27)
p. 3
“So, this quarter, we had INR1,900 crores of net sales in equity mutual funds alone.”
Feroze Azeez, page 3 of the filed PDF · View the filing
Client families added: 1,600 plus net, total 13,941 (last 12 months)
p. 3
“In our flagship business, in the last 12 months, we have added 1,600 plus new client families on a net basis bringing our total number to close to 14,000, to be precise 13,941.”
Feroze Azeez, page 3 of the filed PDF · View the filing
Client attrition rate (AUM lost): 0.09% (Q1 FY27)
p. 3
“Client attrition rate in terms of AUM lost for Q1 FY27 was 0.09%.”
Feroze Azeez, page 3 of the filed PDF · View the filing
Consolidated total revenue: INR336 crores (Q1 FY27)
p. 4
“our consolidated total revenue for the Q1 FY27 stood at INR336 crores compared to INR284 crores for Q1 FY26, registering an 18% Y-o-Y growth.”
Jugal Mantri, page 4 of the filed PDF · View the filing
Profit after tax: INR116 crores (Q1 FY27)
p. 4
“Profit after tax stood at INR116 crores showing a 24% Y-oY growth compared to INR94 crores in Q1 FY26.”
Jugal Mantri, page 4 of the filed PDF · View the filing
Profit after tax margin: 34.4% (Q1 FY27)
p. 4
“Profit after tax margin is higher at 34.4% for Q1 FY27 compared to 33% in Q1 FY26.”
Jugal Mantri, page 4 of the filed PDF · View the filing
Reported total revenue (including fair value gains): INR430 crores (Q1 FY27)
p. 4
“Reported numbers including fair value gains on investments, ESOP expenses, and the related combined tax effect, total revenue for Q1 FY27 stood INR430 crores and PAT at INR163 crores.”
Jugal Mantri, page 4 of the filed PDF · View the filing
Digital wealth business AUM growth: 23% Y-o-Y to INR2,526 crores (Q1 FY27)
p. 3
“Digital wealth business, which is B2B2C business, registered Anand Rathi Wealth Limited July 10, 2026 Page 3 of 18 AUM growth of 23% year-on-year to INR2,526 crores and number of clients increased by 16% to 7,320.”
Jugal Mantri, page 3 of the filed PDF · View the filing
OFA platform assets: INR1.66 lakh crores (quarter ended 30th June 2026)
p. 4
“OFA business, which is a SaaS platform, has 6,890 subscribers with platform assets of INR1.66 lakh crores for the quarter ended 30th June 2026.”
Jugal Mantri, page 4 of the filed PDF · View the filing
Other income: INR110 crores (Q1 FY27)
p. 7
“So INR110 crores of other income is basically mark-to-market gains of our holding.”
Feroze Azeez, page 7 of the filed PDF · View the filing
Primary MLD issuances: INR2,187 crores total (Q1 FY27)
p. 7
“So total it was INR2,187 crores compared to INR1,704 crores in Q1FY25.”
Jugal Mantri, page 7 of the filed PDF · View the filing
Secondary MLD issuances: INR968 crores (Q1 FY27)
p. 7
“And secondary, the number was INR968 crores in Q1 FY27 compared to INR755 crores in Q1 FY26.”
Jugal Mantri, page 7 of the filed PDF · View the filing
Platinum client families: approximately 230 (Q1 FY27)
p. 4
“Platinum clients would be about 230 now approximately from 211.”
Feroze Azeez, page 4 of the filed PDF · View the filing
AUM per RM at listing: INR100 crores
p. 5
“When we got listed, if I'm not wrong, that's when we had got to INR100 crores per relationship manager.”
Feroze Azeez, page 5 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Full year revenue — INR1,415 crores · FY27
stated firmly by Jugal Mantri
p. 4
“During the first quarter of FY27, we have achieved 24% of full year revenue guidance of INR1,415 crores and 25% of its full year PAT guidance of INR460 crores.”
Jugal Mantri, page 4 of the filed PDF · View the filing
Full year PAT — INR460 crores · FY27
stated firmly by Jugal Mantri
p. 4
“During the first quarter of FY27, we have achieved 24% of full year revenue guidance of INR1,415 crores and 25% of its full year PAT guidance of INR460 crores.”
Jugal Mantri, page 4 of the filed PDF · View the filing
Mutual fund industry market share (Category II) — 4% · 8-10 years
stated as an aspiration by Feroze Azeez
p. 12
“So we are firm on the 4% indication we gave, and the effort is full, and if God's grace remains, it will happen in 8-10 years.”
Feroze Azeez, page 12 of the filed PDF · View the filing
AUM growth — 20%-25% · next 3-4 years
stated as an aspiration by Feroze Azeez
p. 15
“So, coming back, can you grow this business for 3, 4, 5 years at 20%, 25%? In our judgment, yes, that's the order I have from my boss, Mr. Rawal.”
Feroze Azeez, page 15 of the filed PDF · View the filing
Structured products on global indices
stated as an aspiration by Feroze Azeez
p. 17
“So, coming back, should we explore that? Yes, sir, we will definitely explore that.”
Feroze Azeez, page 17 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Platinum clients are now approximately 230, up from 211, and management expects continued rapid growth; upgrade rates from the smaller bracket are estimated at a few percent per quarter.
Answered by Feroze Azeez
Asked by Shubhi Gupta: What is the Q1 update on Platinum families growing from 211 to 450-500 over two years, and what rate do clients upgrade from the <5 crore to the <50 crore bracket?
p. 5
“So, I think the upgrade rates would be something like a few a quarter, 10%-15%-20% a quarter, that would be my guess.”
Feroze Azeez, page 5 of the filed PDF · View the filing
Management said its portfolios run at low beta (0.6-0.65) reducing the need for active management, and it avoids recommending gold because Indian households already hold a large proportion of savings in gold.
Answered by Feroze Azeez
Asked by Jignesh: How is asset allocation actively managed during high volatility, and why does the firm not recommend gold?
p. 6
“We operate highest beta portfolio is 0.6-0.65. That means you're taking lower risk than Nifty mathematically, not in perception.”
Feroze Azeez, page 6 of the filed PDF · View the filing
INR96 crore was mark-to-market gain on the Anand Rathi Global Finance holding and the rest was interest income; the revaluation is done externally by a third-party investment banker every six months.
Answered by Jugal Mantri
Asked by Rohan M: What comprises the INR110 crore other income line and how is the NBFC revaluation done?
p. 7
“we don't revalue. We get it revalued from the third party. So investment banker, he does the revaluation and this has to be revalued after -- in every six months.”
Jugal Mantri, page 7 of the filed PDF · View the filing
Management said retention is generally 70-80%, and gave a specific example of about 90% retention for a recent set of departures.
Answered by Feroze Azeez
Asked by Vikas Agarwal: When relationship managers leave for competitors, what proportion of client assets is retained?
p. 9
“So basically, 90% of it is retained approximately without the market movement, of course.”
Feroze Azeez, page 9 of the filed PDF · View the filing
Management said some transmission of 1-2 bps happens but is limited given the firm's scale as a distributor; on the RBI circular, management said the impact on the company would be negligible or even positive as it reduces high-frequency trading volatility.
Answered by Feroze Azeez
Asked by Lalit Mohan Deo: Is the firm experiencing yield pressure from AMCs passing on TER changes to distributors, and what is the impact of the RBI bank guarantee circular on derivatives volumes?
p. 11
“Second, what will be the impact on us? Negligible or nil.”
Feroze Azeez, page 11 of the filed PDF · View the filing
Management reiterated a long-standing target of 4% market share in Category II mutual fund assets, projecting it would require AUM growth of 22-23% per year.
Answered by Feroze Azeez
Asked by CS Sachin: What is the long-term aspiration for mutual fund industry market share given the current stake has moved from 4% to 5%?
p. 12
“We still hold to this 4%. To reach this 4%, I will have to grow my assets at 22% to 23%.”
Feroze Azeez, page 12 of the filed PDF · View the filing
Management described an internal model implying 20-25% AUM growth from a combination of mark-to-market returns and net sales, and said the UK business is exciting but will be built gradually rather than scaled quickly.
Answered by Feroze Azeez
Asked by Priyank S: Is there a specific AUM target for the next 4-5 years, and how does the UK business yield compare to India?
p. 14
“So basically a 20%, 25% AUM growth, 10%, 12% coming from mark-to-market and 10%, 12% coming from 1% per month of net sale coming from -- if my AUM is INR1,06,000 crores, internally, we discussed that we need to take a single on every ball.”
Feroze Azeez, page 14 of the filed PDF · View the filing
Management said this could definitely be explored, especially given the new UK subsidiary, and that the head of structured product design would look into pricing for other indices.
Answered by Feroze Azeez
Asked by Sunil Shah: Could the structured product model be replicated in global markets and global banks as counterparties?
p. 17
“Has Kalpesh done a full-fledged job? The answer is no. A couple of times; he has shown me some pricing because we had a Dubai office.”
Feroze Azeez, page 17 of the filed PDF · View the filing
Risks flagged
Market volatility in Q1 FY27 affecting client sentiment and sales cycles
p. 3
“Despite the volatility which you all are aware of in the Q1FY27, our uncomplicated business model and unwavering focus on client outcomes helped us deliver consistent, market-agnostic growth.”
Feroze Azeez, page 3 of the filed PDF · View the filing
Relationship manager attrition and competitor poaching of staff with client assets
p. 8
“I think in the last or the last to last earnings call or the December quarter ending, I had said that three of our colleagues went to a specific company.”
Feroze Azeez, page 8 of the filed PDF · View the filing
Credit risk concentration in structured products issued via group company Anand Rathi Global Finance
p. 8
“So Anand Rathi Global Finance is a group company, and that's why our comfort remains there. What you might see as a risk of concentration, for me it is a derisking in itself because we have already seen 2 structured product popular issuers in India almost went belly up and one of them actually went belly up.”
Feroze Azeez, page 8 of the filed PDF · View the filing
Pressure from AMCs on distributor yields due to TER changes
p. 9
“But in this -- now that you brought me to the subject, I would like to highlight in FY19-20, was it FY19-20, about 6, 7 years back, we -- out of the total net sale in India, Anand Rathi Wealth Limited was 0.18%.”
Feroze Azeez, page 9 of the filed PDF · View the filing
Difficult sentiment environment for growth in the recent quarter
p. 16
“Last quarter wasn't easy from a sentiment standpoint. Adversities will come, but we will do our best.”
Feroze Azeez, page 16 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.