JM Financial Ltd-$ — Q4 FY26 earnings call
Summary generated by AI from the official transcript JM Financial Ltd-$ filed with BSE on 04 Jun 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
JM Financial reported FY26 consolidated profit after tax and minority interest of Rs 1,202 crore, up 46% year-on-year, with return on equity of 11.7%. Management described a two-year strategic pivot with growth across Corporate Advisory and Capital Markets, Private Markets, Wealth Management, Asset Management and Affordable Home Loans, while noting that primary market volatility and FPI selling slowed capital markets execution in the fourth quarter. The company also raised its dividend payout, distributing approximately Rs 570 crore over the last four quarters.
Numbers mentioned
Profit after tax and minority interest: INR1,202 crores (FY26)
p. 4
“reported profit after tax and minority interest increased by 46% year-on-year to INR1,202 crores, which implies a return on equity of 11.7%”
Nishit Shah, page 4 of the filed PDF · View the filing
Return on equity: 11.7% (FY26)
p. 4
“reported profit after tax and minority interest increased by 46% year-on-year to INR1,202 crores, which implies a return on equity of 11.7%”
Nishit Shah, page 4 of the filed PDF · View the filing
Consolidated net worth (excluding minority interest): INR10,605 crores (FY26)
p. 4
“The consolidated net worth, excluding the minority interest stood at INR10,605 crores, translating to a book value of approximately INR111 per share.”
Nishit Shah, page 4 of the filed PDF · View the filing
Dividend paid/proposed: approximately INR5.95 per share, INR570 crores aggregate (last 4 quarters)
p. 4
“Over the last 4 quarters, an aggregate of approximately INR5.95 per share of dividend has been paid or proposed, resulting in a distribution of approximately INR570 crores as dividend.”
Nishit Shah, page 4 of the filed PDF · View the filing
CACM net revenue: approximately INR789 crores (FY26)
p. 5
“On a year-on-year basis, net revenue for FY26 increased by 11% to approximately INR789 crores and operating profit after tax increased to INR347 crores.”
Nishit Shah, page 5 of the filed PDF · View the filing
CACM segment profit after tax: INR39 crores (Q4 FY26)
p. 5
“The segment profit after tax stood at INR39 crores for quarter ended March 2026.”
Nishit Shah, page 5 of the filed PDF · View the filing
Private Markets operating profit before tax: INR742 crores (FY26)
p. 5
“Operating profit before tax for FY26 grew 3.5x to INR742 crores and operating profit after tax after minority interest grew almost 3.6x to INR543 crores.”
Nishit Shah, page 5 of the filed PDF · View the filing
Wealth Management recurring AUM: approximately INR31,000 crores (FY26)
p. 5
“The recurring AUM of all our wealth businesses grew by 10% year-on-year to approximately INR31,000 crores.”
Nishit Shah, page 5 of the filed PDF · View the filing
Affordable Home Loans AUM: approximately INR3,460 crores (FY26)
p. 6
“AUM increased by 22% year-on-year to approximately INR3,460 crores.”
Nishit Shah, page 6 of the filed PDF · View the filing
Affordable Home Loans gross NPA: 0.5% (as of March 31, 2026)
p. 6
“The gross NPA stood at 0.5% and collection efficiency stood at 99.4% for March 31, 2026.”
Nishit Shah, page 6 of the filed PDF · View the filing
IPO pipeline: INR140,000 crores (current)
p. 3
“On the IPO front, our pipeline is at INR140,000 crores.”
Vishal Kampani, page 3 of the filed PDF · View the filing
Private Markets loan book: INR4,000 crores (FY26 year-end)
p. 8
“Yes. See, if you look in FY24, we were at INR10,000 crores of loan book, '25 came down to around INR5,000 crores and '26 has come down to INR4,000 crores, and significant repayment in this book has been real estate, right?”
Vishal Kampani, page 8 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.
Private Markets recovery — INR250 crores to INR300 crores · FY27
stated firmly by Vishal Kampani
p. 3
“we've achieved over INR270 crores in FY26, and we seem to be pretty much on target to be between the INR250 crores and INR300 crores number for FY27”
Vishal Kampani, page 3 of the filed PDF · View the filing
Private Markets loan book growth — INR5,000 crores book target · March '27
stated firmly by Vishal Kampani
p. 17
“15% to 20%. You can assume roughly INR5,000 crores of book target for March '27.”
Vishal Kampani, page 17 of the filed PDF · View the filing
Wealth Management net inflow growth — 20% · FY27
stated conditionally by Vishal Kampani
p. 17
“You can't predict the mark-to-market. So this will just be 20% growth on the book.”
Vishal Kampani, page 17 of the filed PDF · View the filing
Wealth Management stand-alone breakeven — breakeven · FY27
stated firmly by Vishal Kampani
p. 16
“Stand-alone, that business will breakeven in FY27. If I remove the broking revenues from Wealth Management, it breaks even in FY27.”
Vishal Kampani, page 16 of the filed PDF · View the filing
Wealth Management long-term ROE — 15% to around 18% · medium to long term
stated as an aspiration by Vishal Kampani
p. 16
“I think long-term ROEs in Wealth Management should be in the mid-teens, between maybe 15% to around 18% for us”
Vishal Kampani, page 16 of the filed PDF · View the filing
Affordable Home Loans IPO — IPO the business · 2028-29
stated as an aspiration by Vishal Kampani
p. 11
“And Affordable Home Loans, our target, as I said, is to IPO the business by 2028, '29.”
Vishal Kampani, page 11 of the filed PDF · View the filing
Group revenue growth and ROE — 15% revenue growth and 15% ROE · end of investment cycle
stated as an aspiration by Vishal Kampani
p. 11
“if we are able to get to 15% revenue growth and a 15% ROE, that kind of will be fabulous on our capital base”
Vishal Kampani, page 11 of the filed PDF · View the filing
Dividend payout ratio — 50% of PAT · every year
stated firmly by Vishal Kampani
p. 12
“we are committed to declaring 50% of that PAT as dividend every year for our shareholders”
Vishal Kampani, page 12 of the filed PDF · View the filing
Distressed credit growth — 15% · next 3 to 4 years
stated as an aspiration by Vishal Kampani
p. 20
“you will see a similar growth on the distressed credit side, which is the INR3,665 crores number that we have. You can assume a 15% sort of growth there for those assets.”
Vishal Kampani, page 20 of the filed PDF · View the filing
Standard loans growth — around 20% · next 3 to 4 years
stated as an aspiration by Vishal Kampani
p. 20
“assume that loan book to grow at around 20% easily for the next 3 to 4 years, comfortably year-on-year”
Vishal Kampani, page 20 of the filed PDF · View the filing
Equity and alternatives share of asset book — not more than 20%
stated firmly by Vishal Kampani
p. 20
“Ideally, we will not have equity and alternatives cross 20% of that number. So we will be more 80% loans and 20% investments.”
Vishal Kampani, page 20 of the filed PDF · View the filing
BlinkX digital investment cost — next 3 to 6 months
stated firmly by Chirag Negandhi
p. 10
“We are trimming those down. We are cutting those down significantly. You'll hear more about the plans around BlinkX but you will see that number go down significantly over the next 3 to 6 months itself.”
Chirag Negandhi, page 10 of the filed PDF · View the filing
Pre-IPO AIF fund raise — north of INR1,000 crores
stated as an aspiration by Chirag Negandhi
p. 10
“Our expectation on the total raise over there is north of INR1,000 crores.”
Chirag Negandhi, page 10 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.
Vishal attributed it to global capital rotation toward AI-themed markets and geopolitical/oil price concerns, but said the pipeline continues to build and expects a stronger second half.
Answered by Vishal Kampani
Asked by Digant Haria: What is causing the slowdown in IPOs, QIPs and blocks amid heavy FII selling?
p. 6
“So it's really attractiveness of some of the other markets, which is driving FPI flow to those markets.”
Vishal Kampani, page 6 of the filed PDF · View the filing
Vishal said real estate risk-adjusted returns remain unattractive so growth there is slow, but corporate credit has picked up and some distressed deals will close in the June quarter.
Answered by Vishal Kampani
Asked by Digant Haria: Can Private Markets pick up revenue growth in FY27 while capital markets remain slow?
p. 8
“I must say that the risk-adjusted returns in real estate still are not attractive enough for us to deploy money into real estate. So we are going slow. But the corporate side has picked up very well.”
Vishal Kampani, page 8 of the filed PDF · View the filing
Chirag said productivity gains from RMs hired during the year should start showing over the next 3 to 6 months, alongside digital investment trimming.
Answered by Chirag Negandhi
Asked by Digant Haria: Are there cost levers available in Wealth Management this year given new hires still ramping productivity?
p. 9
“we are expecting that a lot of the productivity gains will now start kicking in over the next 3 to 6 months”
Chirag Negandhi, page 9 of the filed PDF · View the filing
Amitabh said the first performing credit fund has committed capital of about INR347 crores and is nearly fully deployed, with a second credit fund and pre-IPO fund in roadshow.
Answered by Amitabh Mohanty
Asked by Vinit Thakur: What is the AUM for the alternatives platform?
p. 10
“we have got a committed amount of around INR347 crores for our first performing credit fund, and we are one deal away from full deployment”
Amitabh Mohanty, page 10 of the filed PDF · View the filing
Vishal said 15% revenue growth and 15% return on equity across the capital base would be the key markers.
Answered by Vishal Kampani
Asked by Kanishk Gupta: What is the single metric that would show the restructuring created durable value in 5 years?
p. 12
“if I were to answer your question, two most important things for us will be 15% revenue growth and 15% return on equity at the end of the investment cycle for these businesses”
Vishal Kampani, page 12 of the filed PDF · View the filing
Vishal said businesses need to scale further first and the company is focused on building scale before considering separate listings.
Answered by Vishal Kampani
Asked by Nilesh Doshi: Is a segment-wise demerger being considered to unlock shareholder value?
p. 12
“there is always a chance to demerge to unlock shareholder value, but our businesses need to get bigger. We don't want them to list till they are bigger.”
Vishal Kampani, page 12 of the filed PDF · View the filing
Vishal explained hiring was front-loaded to execute an expanding pipeline that has grown several times over, including new derivatives and research coverage build-out.
Answered by Vishal Kampani
Asked by Nilesh Doshi: Why has employee cost in CACM risen roughly in line with PAT growth?
p. 13
“we need to have a lot of people to be able to execute the pipeline. So this is more forward thinking and front-loading”
Vishal Kampani, page 13 of the filed PDF · View the filing
Chirag and Vishal confirmed a roughly 20% growth target for Wealth Management inflows and 15-20% growth for the Private Markets loan book.
Answered by Chirag Negandhi
Asked by Pavan: What are the net inflow and loan book growth targets for FY27?
p. 17
“the outlook for us on an average is to grow the business by 20% to 25% for the year”
Chirag Negandhi, page 17 of the filed PDF · View the filing
Vishal confirmed margin expansion is the focus for the year.
Answered by Vishal Kampani
Asked by Aditya: Can margin expansion be expected in Wealth Management this year?
p. 19
“That is exactly the focus this year.”
Vishal Kampani, page 19 of the filed PDF · View the filing
Vishal said the business had only been modeled for two years but outlined expected growth rates and return ranges across loan book segments.
Answered by Vishal Kampani
Asked by Aditya: What is the expected steady-state profitability of Private Markets beyond the two-year recovery period?
p. 20
“we haven't modeled that beyond 2 years. We modeled our Private Markets business only for 2 years to make sure we get the recoveries in place.”
Vishal Kampani, page 20 of the filed PDF · View the filing
Risks flagged
FPI selling and geopolitical tensions slowing primary market issuance
p. 5
“The performance for the quarter ended March 2026 was impacted by lack of primary issuances amidst headwinds emerging from geopolitical issues.”
Nishit Shah, page 5 of the filed PDF · View the filing
Market volatility affecting Wealth Management performance
p. 5
“The performance for the quarter ended March 2026 was impacted by market volatility.”
Nishit Shah, page 5 of the filed PDF · View the filing
Elevated oil prices and West Asia crisis affecting sentiment toward India
p. 6
“a concern about India when you have the West Asia crisis and you have oil prices which are almost at even 90, 92 today, but have been elevated at upwards of 100 for a while in the last 3 months”
Vishal Kampani, page 6 of the filed PDF · View the filing
Weak risk-adjusted returns in real estate lending
p. 17
“I still want to be more cautious because I think the sunny side of the cycle is over. The next couple of years for real estate sales is not going to be as stable as it was last 5 years.”
Vishal Kampani, page 17 of the filed PDF · View the filing
Domestic mutual funds being conservative on IPO pricing
p. 6
“we are seeing domestic mutual funds being very conservative when it comes to pricing of IPOs and transactions”
Vishal Kampani, page 6 of the filed PDF · View the filing
Unpredictability of mark-to-market movements affecting Wealth Management flows
p. 17
“You can't predict the mark-to-market. So this will just be 20% growth on the book. I mean if the mark-to-market is hard, then it may even impact flows.”
Vishal Kampani, page 17 of the filed PDF · View the filing
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