Nuvama Wealth Management (NUVAMA) Q2 24/25 earnings summary

Executive summary

• Operating PAT doubled year-over-year to ₹479 crore for H1 FY25, with revenues up 55% YoY to ₹1,407 crore and client assets surpassing ₹4.4 trillion.

• Interim dividend of ₹63 per share declared for H1 FY25, with payment by November 23, 2024.

• Wealth and Asset Management businesses scaled sustainably; Capital Markets revenue surged 98% YoY in Q2 FY25.

• Consolidated and standalone unaudited financial results for the quarter and half year ended September 30, 2024, were approved and published.

Financial highlights

• Consolidated total income for H1 FY25 was ₹2,009.52 crore, up from ₹1,386.52 crore in H1 FY24; Q2 FY25 income was ₹1,056.84 crore.

• Net profit after tax for H1 FY25 was ₹478.08 crore, up from ₹218.69 crore in H1 FY24; Q2 FY25 net profit was ₹257.31 crore.

• Q2 FY25 revenues at ₹740 crore, up 50% YoY; all business segments posted double-digit growth.

• Cost to income ratio improved to 54% in H1 FY25 from 65% in H1 FY24.

• Return on equity rose to 31.5% in H1 FY25 from 20.3% in H1 FY24.

Outlook and guidance

• Poised to further scale and serve a rapidly increasing client base, leveraging market momentum and technology.

• Wealth and Asset Management expected to drive 75-80% of future earnings.

• Plans to double RM capacity in 3-5 years and grow client assets at 20% CAGR.

• Asset Management AUM targeted to grow 6-8x in 5 years (52% CAGR).

• Cost-to-income ratio expected to trend below 60% over the next 2-3 years as scale and productivity increase.