The financial products marketer’s consolidated net profit jumped 32.38 per cent to Rs 76.11 crore in the second quarter of FY25, compared to Rs 57.49 crore posted in the second quarter of FY24.
Operating revenue jumped 32.80% year-on-year to Rs 242.48 crore in the quarter ended September 30, 2024.
For the quarter ended September 30, 2024, profit before tax was Rs 102.18 crore, reflecting a growth of 31.47 per cent over Rs 77.72 crore posted in the same quarter of the previous year.
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During the quarter, assets under management (AUM) stood at Rs 75,084 crore, up 57% from Rs 47,957 crore recorded in Q2 FY24. The share of equity mutual funds in assets under management increased to 55% from September 2024 and to 50% from September 2023.
In Q2FY25, the company’s net inflows jumped 128% YoY to Rs 5,700 crore, while net inflows into equity mutual funds grew 64% YoY. a year to reach Rs 3,116 crore for the quarter ended September 30, 2024.
Mutual fund distribution income grew 70% year-on-year to Rs 195 crore, while annualized return on equity (ROE) stood at 44%.
On a half-yearly basis, the company’s consolidated net profit jumped 35.09 per cent to Rs 149.35 crore in the first half of FY25 compared to 110.55 crore recorded in the first half of FY24. of the company jumped 34.25% YoY to Rs 480.09 crore in the first half of FY25.
Meanwhile, the board of directors of the company declared an interim dividend of Rs 7 per share of face value of Rs 5 each for FY25. The company has set October 18, 2024 as the record date of said dividend.
Rakesh Rawal, Chief Executive Officer (CEO), said: “We are delighted to announce another exceptional financial result. In the first half of FY25, our total revenue grew 35% YoY to Rs 495 crore and profit after tax was Rs 150 crore, a growth of 35% YoY. Our assets under management (AUM) saw a significant increase of 57% to Rs 75,084 crore. During the first half of FY25, we welcomed 1,066 new customer families, bringing our total number of customer families to 10,977.
India’s growth story is being celebrated as the global economy faces geopolitical challenges and slow growth. As the fastest-growing major economy, India is expected to achieve 7% GDP growth in FY25, driven by strong domestic demand, government reforms and increased capital spending , which also boosted its market capitalization.
In light of such strong economic growth, the company’s outlook is positive, supported by the growing HNI population seeking a strategic approach to wealth creation.
Feroze Azeez, Deputy Managing Director, said: “India’s strong economic fundamentals have attracted increased interest from domestic and foreign investors. This trend is reflected in constant inflows into the equity markets, with new investments reaching record levels month after month. Such positive dynamics are expected to further strengthen Indian stock markets, thereby fostering an environment conducive to long-term capital appreciation and broadening the investor base.
Our client-centric approach resulted in a client attrition rate of 0.28% in terms of assets under management lost during the first half of FY25. We are extremely proud to have achieved a rate of RM attrition without regrets for the fifth consecutive quarter, a true testament to our strong entrepreneurial work culture and our unwavering commitment to the growth and satisfaction of our teams.
Anand Rathi Wealth is one of India’s leading non-banking wealth solutions companies, catering to ultra-high-net-worth individuals.
The stock lost 0.37% to settle at Rs 4,040.50 on the BSE.
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First publication: October 11, 2024 | 4:08 p.m. STI
