Multibagger Stock In Focus As AMFI Registered Mutual Fund Distributor’s H1FY25 Revenue And PAT Grows By 35 Per Cent YoY
The stock gave multibagger returns of 146.3 per cent from its 52-week low of Rs 1,737.95 per share and a whopping 650 per cent in 3 years.
Anand Rathi Wealth Limited demonstrated robust financial growth in the second quarter of fiscal year 2025 (Q2FY25), reporting a significant increase in both net profit and total revenue. The company's consolidated net profit for July-September 2024 surged by 32 per cent to ₹76 crore compared to the same period in the previous year. Similarly, total revenue for Q2FY25 rose by 32 per cent to Rs 250 crore.
For the first half of FY25 (April-September 2024), Anand Rathi Wealth reported a net profit of Rs 150 crore, representing a 35 per cent increase year-over-year. Total revenue during this period also grew by 35 per cent to Rs 495 crore. The company's mutual fund distribution revenue witnessed a substantial 70 per cent increase to Rs 195 crore, driven by strong net inflows of Rs 5,700 crore, a 128 per cent rise compared to the previous year. Equity mutual fund net inflows increased by 64 per cent to Rs 3,116 crore, contributing to a higher share of equity mutual funds in the company's assets under management (AUM), which reached 55 per cent as of September 2024.
Anand Rathi Wealth's strong financial performance was further highlighted by a return on equity (ROE) of 44 per cent on an annualized basis. The company's board of directors declared an interim dividend of Rs 7 per equity share, representing a 140 per cent dividend payout. In terms of client acquisition and retention, the company's private wealth division saw a 19 per cent increase in active client families to 10,977, while the number of relationship managers grew by 20 per cent to 374. Notably, the company achieved zero regret RM attrition for the last 15 months.
On the digital wealth front, Anand Rathi Wealth's subsidiary company reported a 17 per cent increase in total revenue to Rs 14 crore and a 32 per cent growth in AUM to Rs 1,826 crore. Another subsidiary, Omni Financial Advisors, saw a 15 per cent increase in total revenue to Rs 4 crore and continued to expand its technology platform for mutual fund distributors, reaching 6,188 subscribers.
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About Anand Rathi Wealth Limited
Anand Rathi Wealth Limited is among India’s leading wealth firms, catering to high and ultra-high-net-worth individuals. The company is in the business of private wealth with a unique and differentiative business strategy for the clients. The company has a presence across 17 cities in India and a representative office in Dubai.
The company has a market cap of over Rs 17,700 crore and has been maintaining a healthy dividend payout of 30.6 per cent. The stock gave multibagger returns of 146.3 per cent from its 52-week low of Rs 1,737.95 per share and a whopping 650 per cent in 3 years. Investors should keep an eye on this mid-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.