Shares of Anand Rathi Wealth rose by 5% on October 11, driven by the company’s strong financial performance in the July-September quarter.

Anand Rathi’s earnings for the second quarter (Q2) demonstrated growth across important metrics such as net profit, revenue, and profitability. Additionally, there was robust growth in mutual fund distribution revenue and net inflows during the quarter.

Anand Rathi Wealth Limited reported a consolidated net profit of Rs 76 Crores for July – Sep 2024 (Q2FY25), an increase of 32% compared to July – Sep 2023 (Q2FY24) and total revenue of Rs 250 Crores for July – Sep 2024 (Q2FY25) representing an increase of 32% compared to July – Sep 2023 (Q2FY24).

The Company reported a consolidated net profit of Rs 150 crores for April to Sep 2024 (H1FY25), an increase of 35% compared to April to Sep 2023 (H1FY24) and total revenue during the same period grew 35% to Rs 495 crores. Some financial highlights are as below.

• Mutual Fund distribution revenue increased by 70% YoY to Rs195 Crores
• Net inflows grew by 128% YoY to Rs 5,700 Crores
• Equity Mutual Fund net inflows increased by 64% YoY to Rs3,116 Crores
• Share of Equity Mutual Funds in AUM increased to 55% as of September 2024, compared to 50% as of September 2023
• Return on Equity (ROE – Annualised): 44%
• The Board of Directors have declared an Interim Dividend of Rs 7 per Equity Share of Face Value of Rs 5 each of the Company (140% of Face Value).

Commenting on the Q2 performance, Rakesh Rawal, Chief Executive Officer, of Anand Rathi Wealth highlighted that while the global economy is grappling with geopolitical challenges and sluggish growth, India’s growth story is thriving.

He stated, “India, as the fastest-growing large economy, is expected to achieve 7% GDP growth for FY25, driven by robust domestic demand, government reforms, and increased capital expenditure, which has also boosted market capitalisation. With such strong economic growth, the company’s outlook remains positive, further supported by the growing HNI population seeking a strategic approach to wealth creation.”

At 11:02 am, shares of Anand Rathi Wealth were trading a percent higher at 4,102.40 on the NSE.

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