Synopsis:
Anand Rathi Wealth posted a strong Q1 FY26, with profit surging 27% QoQ and revenue up 26%, driving a 6% stock rally.

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This leading wealth management firm has announced exceptional quarterly results, highlighted by significant revenue and profit growth. The company reported strong year-on-year and quarter-on-quarter increases in both metrics, driving a notable surge in its stock price. This article details the impressive Q1 FY26 performance and market reaction.

Anand Rathi Wealth Limited’s stock, with a market capitalisation of Rs. 18,230.50 crores, rose to Rs. 2,250, hitting a high of up to 6.14 percent from its previous closing price of Rs. 2,119.90. Furthermore, the stock over the past year has given a return of 6.15 percent.

Industry Outlook

India’s wealth management market is on track for significant growth, driven by strong macroeconomic trends and a rising number of high-net-worth individuals (HNIs). The Indian market capitalisation is expected to grow from Rs. 151 lakh crore in FY19 to Rs. 550 lakh crore by FY27E, with equity mutual funds also projected to rise from Rs. 8.9 lakh crore to Rs. 36.8 lakh crore during the same period. Additionally, the HNI population is forecasted to reach 16.6 lakh by 2027, up from 3.1 lakh in 2017, while taxpayers earning over Rs. 1 crore are expected to grow to 3.7 lakh, indicating expanding opportunities in the wealth management space.

On the performance front, Anand Rathi’s Q1FY26 results show it has achieved 24% of its full-year revenue guidance and 25% of its profit after-tax target. The company has made substantial progress in assets under management (AUM), reaching Rs. 87,797 crore, which is 88% of its FY26 guidance of Rs. 1,00,000 crore. This indicates strong momentum in AUM growth, though revenue and profit figures still have ground to cover in the coming quarters.

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Q1’FY26 Result Update

In Q1FY26, the company reported strong financial performance with revenue rising to Rs. 274 crore, reflecting a 15 percent YoY growth from Rs. 238 crore in Q1FY25 and a 23.4 percent QoQ growth from Rs. 222 crore in Q4FY25. Profit also showed robust expansion, increasing 28.8 percent YoY from Rs. 73 crore and 27 percent QoQ from Rs. 74 crore to Rs. 94 crore in Q1FY26, highlighting continued business momentum.

Over a three-year period, the company has maintained impressive growth, posting a 33 percent profit CAGR, 32 percent sales CAGR, and a 43 percent ROE CAGR. These consistent gains reflect strong operational efficiency and sustainable returns, underlining the company’s solid financial health and long-term growth trajectory.

Written By Fazal Ul Vahab C H

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