Anand Rathi Wealth Q2 Results: Profit rises 22% to Rs 122 crore; co declares dividend of Rs 4 per share

Anand Rathi Wealth reported a 22% year-on-year (YoY) rise in consolidated business profit after tax for the September quarter to Rs 122 crore, while revenue grew 16% to Rs 357 crore, helped by strong client inflows and higher assets under management despite weak equity markets. The company’s AUM rose 18% YoY to Rs 1.08 lakh crore as of September 2026. The board also declared an interim dividend of Rs 4 per equity share of face value Rs 5 each.

On a standalone basis, the wealth management firm posted a Q2 net profit of Rs 121 crore, up 25% from a year earlier. Standalone revenue rose 17% to Rs 345 crore. For the first half of FY27, standalone profit stood at Rs 237 crore, up 25%, while standalone revenue increased 18% to Rs 671 crore.

The company’s Q2 performance came in a difficult market. Indian equities have been under pressure because of foreign portfolio outflows, higher crude oil prices, a strong dollar and rising US bond yields. Anand Rathi Wealth said its performance in this environment reflected the strength of its wealth solutions and client relationships.

Rakesh Rawal, CEO, and Feroze Azeez, Joint CEO, said the company delivered consistent and market-agnostic performance in a challenging quarter for Indian equities. They cited the conflict involving the US, Israel and Iran, higher US bond yields, a strong dollar, higher crude prices and continued foreign portfolio outflows as factors that weighed on sentiment.

The company said consolidated business PAT for H1 FY27 rose 23% to Rs 238 crore while revenue increased 17% to Rs 693 crore. It has achieved 52% of its full-year PAT guidance of Rs 460 crore and 49% of its full-year revenue guidance of Rs 1,415 crore in the first six months of the financial year.

Inflows remained the key highlight of the quarter. Anand Rathi Wealth reported its highest-ever quarterly net inflows of Rs 4,186 crore in Q2 FY27, up 39% YoY. Equity mutual fund net inflows also hit a record Rs 2,867 crore, rising 39% from a year earlier. Mutual fund distribution revenue rose 18% YoY to Rs 145 crore.

The management said domestic investors continued to show conviction even as foreign investors remained cautious. It added that market corrections create opportunities for disciplined investors, and that a meaningful share of Q2 inflows came from existing clients deepening their relationship with the firm.

Client additions were steady. Active client families grew 12% YoY to 14,309, while the number of relationship managers rose by 45 over the last year to 431. The company said it added more than 1,500 client families on a net basis over the last twelve months.

On a reported consolidated basis, including fair value gains, ESOP expenses and related tax effects, Q2 profit after tax stood at Rs 89.3 crore, compared with Rs 99.8 crore a year earlier. For H1 FY27, reported PAT was Rs 252.3 crore, against Rs 193.6 crore in the year-ago period.

Anand Rathi Wealth said it remains confident of delivering long-term growth of 20-25%, helped by the scalable nature of its business model. The company serves high and ultra-high-net-worth individuals across 19 cities in India and has an international presence in Dubai and London. It has also received regulatory approvals to start operations in GIFT City.

Disclosure: This article has been written by Podishetti Akash, who is not a SEBI-registered Research Analyst or an Investment Adviser. Podishetti Akash and his ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclosures here.
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