Motilal Oswal Financial Services (MOTILALOFS) Q2 25/26 earnings summary

Executive summary

• Operating profit after tax reached INR 554 crores in Q2FY26, up 2% year-on-year, with asset and private wealth business growth of 36% year-on-year, now contributing 52% of consolidated PAT.

• Customer count rose to over 14.5 million, with assets under advice exceeding INR 6.8 lakh crores as of September 2025; client count up 55% year-on-year.

• Long-term credit rating upgraded to AA+ (Stable) by ICRA, the highest for any non-bank domestic capital market player in India.

• Board expanded and strengthened with four new directors, enhancing governance and regulatory expertise.

• Unaudited consolidated and standalone financial results for H1 FY26 were approved, with statutory auditor review confirming compliance and no material misstatements.

Financial highlights

• Net operating revenue for Q2FY26 was ₹1,460 Cr, up 7% YoY; H1 FY26 net revenue reached ₹2,888 Cr, up 15% YoY.

• Operating PAT for Q2FY26 was ₹554 Cr, up 2% YoY; H1 FY26 operating PAT was ₹1,088 Cr, up 11% YoY.

• Asset management AUM up 46% year-on-year to INR 1.6 lakh crores as of September 2025; private wealth AUM at INR 1.87 lakh crores.

• Consolidated total income for H1 FY26 was ₹4,60,402 lakh, up from ₹4,58,613 lakh in the previous year.

• Net worth increased to ₹13,000 crores, nearly 10x since March 2015.

Outlook and guidance

• Expect continued strong growth in asset and private wealth businesses, with further increases in their share of group profits.

• Home finance business profits projected to be substantially higher in H2 FY26 due to recent RM additions.

• Lending book targeted to grow at 25% CAGR over the next few years.

• Optimistic about future growth, with India’s AUM as a percentage of GDP significantly lower than global peers, indicating strong headroom for expansion.

• Management expects stable or improving margins due to a largely variable cost structure and ongoing productivity improvements.