Anand Rathi Wealth Financial Breakdown: Revenue, Profit & Ratios
Anand Rathi Wealth has quietly become one of India's most consistent compounders. Fresh off its Q2 FY27 results on 9 October 2026 — which pushed assets under management past ₹1.08 lakh crore — the wealth manager also declared a ₹4 interim dividend with a record date of 15 October 2026. In this financial breakdown, we examine Anand Rathi Wealth's FY22–FY26 revenue and profit trend, margins, ROE, AUM, shareholding, dividend history, peer comparison and key risks — all from verified sources.
Business Overview
Anand Rathi Wealth, founded in 1995 and listed on the NSE and BSE in December 2021 (ticker: ANANDRATHI, BSE code 543415), is one of India's leading wealth management firms catering to high and ultra-high-net-worth individuals. It operates an uncomplicated, RM-led model: trained relationship managers sell simple, asset-allocated portfolios rather than a complex product shelf.
- Private Wealth: flagship advisory and distribution for affluent families — the core engine
- Digital Wealth: app-led offering for the mass-affluent segment; AUM of ₹2,531 crore (+14% YoY in Q2 FY27)
- Omni Financial Advisors (OFA): a B2B technology platform used by 6,898 independent financial distributors
- Reach: presence across 17 Indian cities, a representative office in Dubai and expansion into London (GIFT City approvals in hand)
- Leadership: Chairman Anand Nandkishore Rathi; CEO Rakesh Rawal; Joint CEO Feroze Azeez
Revenue Trend: FY22 to FY26
Revenue has compounded at roughly 31% a year over the last four years — a rare streak. The company has grown its top line at over 20% every quarter since its December 2021 listing, according to its own management disclosures.
| Financial year | Total revenue (₹ crore) | YoY growth | AUM (₹ crore) | YoY growth |
|---|---|---|---|---|
| FY22 | 404 | — | — | — |
| FY23 | 559 | +38% | 38,993 | — |
| FY24 | 752 | +35% | 59,351 | +52% |
| FY25 | 981 | +30% | 77,103 | +30% |
| FY26 | 1,198* | +22% | 93,037 | +21% |
*FY26 revenue is the company-reported adjusted figure (excluding fair-value gains and ESOP expenses). Reported revenue from operations was ₹1,148.82 crore. Sources: company press releases for FY23–FY26; Rediff Money annual results for FY22.
Two things power the top line: net client inflows (a record ₹4,186 crore in Q2 FY27, +39% YoY) and market appreciation of the AUM base, which lifts trail-fee income. Notably, AUM grew 18% YoY to ₹1,08,377 crore even as the Nifty fell about 8% over the same period — evidence that inflows, not just markets, drive the franchise.
Profitability: PAT and Margins
| Financial year | PAT (₹ crore) | YoY growth | Operating margin | Net profit margin |
|---|---|---|---|---|
| FY22 | 125 | — | 42.96% | 30.68% |
| FY23 | 169 | +34% | 44.16% | 31.28% |
| FY24 | 226 | +34% | 42.44% | 30.74% |
| FY25 | 301 | +33% | 43.20% | 31.32% |
| FY26 | 386* | +28% | 42.61% | 32.41% |
*FY26 adjusted PAT excluding fair-value gains, ESOP expenses and related tax effects. Reported consolidated net profit was ₹395.65 crore. Sources: company press releases (FY23–FY26), Rediff Money (margins).
Margins are the story's secret sauce: a 42–44% operating margin and ~31–32% net margin, sustained over five years. Wealth management is asset-light — there is no manufacturing capex, no inventory — so incremental revenue falls straight to the bottom line. Employee cost (mostly RM compensation) is the biggest expense at ₹519.65 crore in FY26, but the model scales.
Balance Sheet Strength: Nearly Debt-Free
Anand Rathi Wealth runs a debt-light balance sheet: debt-to-equity sits at roughly 0.02x (per Tijori Finance). With negligible borrowing, the company funds growth from operating cash flows — FY26 alone generated a PAT of ₹386 crore on adjusted revenue of ₹1,198 crore, and management has repeatedly returned cash to shareholders through dividends, buybacks and bonus issues rather than leverage.
Key Ratios Snapshot
| Ratio | FY24 | FY25 | FY26 |
|---|---|---|---|
| Return on Equity (ROE) | 40.0% | 44.6% | 46.74% |
| Operating margin | 42.44% | 43.20% | 42.61% |
| Net profit margin | 30.74% | 31.32% | 32.41% |
| Basic EPS (₹, post-bonus) | 52.94* | 35.58 | 47.15 |
| Debt-to-Equity | ~0.02x (nearly debt-free) | ||
*FY24 EPS is on the pre-bonus share count; a 1:1 bonus issue was completed in FY25, so FY25/FY26 EPS figures are on the enlarged share base. Sources: company press releases, Rediff Money, Tijori Finance.
An ROE of 46.74% in FY26 is among the highest for any listed Indian financial company — the direct result of high margins, zero leverage and minimal capital intensity.
Revenue Split: Where the Money Comes From
The company does not break out a full segment P&L, but its quarterly disclosures reveal the mix:
- Mutual-fund distribution: ₹145 crore in Q2 FY27 alone (+18% YoY) — roughly 42% of quarterly revenue from operations; equity-MF net inflows hit a record ₹2,867 crore in the quarter
- Trail fees: about half of total revenue, rising with the equity AUM base (per Tijori Finance)
- Other products: structured products, PMS/AIF, insurance and corporate FD distribution make up the remainder
- Digital & OFA: emerging engines — digital wealth AUM ₹2,531 crore; the Omni platform now serves 6,898 distributors
Shareholding Pattern
As per recent filings (October 2026):
- Promoters (Anand Rathi family & group): ~41.4%
- Institutions (FIIs + DIIs): ~16.8%
- Public shareholders: ~41.9%
The promoter stake has remained stable, and management skin-in-the-game is meaningful. Around 80,700 public shareholders own the remaining float.
Dividend History and Corporate Actions
| Financial year | Total dividend per share (₹) | Corporate actions |
|---|---|---|
| FY24 | 14 (₹5 interim + ₹9 final) | ₹165 crore buyback at ₹4,450/share |
| FY25 | 14 | 1:1 bonus issue; ₹165 crore buyback |
| FY26 | 15 | 1:1 bonus issue approved (April 2026); ₹7 final dividend |
| Q2 FY27 | ₹4 interim (record date 15 Oct 2026) | Total payout ~₹66.4 crore |
Face value ₹5 per share. Sources: company press releases; Finology (FY26 total).
Q2 FY27 Results in Detail (9 October 2026)
- Revenue from operations: ₹344 crore (+15.7% YoY, from ₹297.4 crore)
- Total revenue: ₹356.6 crore (+16.1% YoY)
- Adjusted PAT: ₹121.9 crore (+22.2% YoY; PAT margin 34.2%)
- Reported consolidated PAT: ~₹90 crore (down ~10% YoY, after fair-value and ESOP adjustments — the headline "fall" that confused some trackers)
- AUM: ₹1,08,377 crore (+18% YoY); record quarterly net inflows of ₹4,186 crore (+39% YoY)
- Client base: 14,309 active client families (+12% YoY); 431 relationship managers (+45); client attrition just ~0.54%
- H1 FY27: adjusted PAT ₹238 crore (+23%) on revenue ₹693 crore (+17%) — 52% and 49% of full-year guidance
- FY27 guidance: revenue ₹1,415 crore, PAT ₹460 crore, AUM ₹1.2 lakh crore; long-term growth outlook of 20–25% reiterated
Sources: company Q2 FY27 press release; ET Now, CNBC-TV18, Economic Times coverage.
Peer Comparison
Anand Rathi Wealth's listed peers in wealth management include 360 ONE WAM (the erstwhile IIFL Wealth, focused on ultra-HNIs) and Nuvama Wealth Management. What differentiates Anand Rathi: a middle-market focus (HNI rather than ultra-HNI), an internal RM-training engine with near-zero regret attrition, and one of the industry's highest ROEs. Its AUM of ₹1.08 lakh crore is smaller than 360 ONE's, but its growth consistency — 20%+ PAT growth for 18 straight quarters, per management — and sub-1% attrition are rare across the industry.
Key Risks to Watch
- Market-linked revenues: trail fees ride on equity AUM; a sustained market correction would slow growth even if clients stay
- Rich valuation: the stock trades near ₹2,089 (Oct 12, 2026) at roughly 73–76x trailing earnings (P/E) and ~34x book — a premium that leaves little room for a miss (52-week range: ₹1,354–₹2,268)
- Regulatory risk: SEBI has periodically reviewed distributor commission structures; any compression would hit the core revenue line
- Key-person risk: the franchise leans heavily on CEO Rakesh Rawal and Joint CEO Feroze Azeez and the RM culture they built
- Competition: banks, brokerages and fintechs all chase the same affluent client pool
Conclusion
Anand Rathi Wealth is a textbook compounding machine: ~31% revenue CAGR over FY22–FY26, ~35% PAT CAGR, 46.7% ROE, a near-debt-free balance sheet and ₹1.08 lakh crore of client money entrusted to 431 relationship managers. The Q2 FY27 numbers show the engine still humming — record inflows, rising AUM and steady guidance — even as a falling Nifty and a headline PAT dip (on fair-value adjustments) created noise. The counterpoint is price: at ~75x earnings, the market has already priced in years of flawless execution, so the coming quarters' delivery against the ₹460-crore PAT guidance will matter far more than the past four years' track record.
Disclaimer: This article is for educational and informational purposes only and is not investment advice or a recommendation to buy, sell or hold any security. Please consult a SEBI-registered investment adviser before making investment decisions.
FAQs
What does Anand Rathi Wealth do?
It is a Mumbai-based wealth management company (founded 1995, listed December 2021) that advises and distributes investment products — mainly mutual funds — to high and ultra-high-net-worth families through a network of 431 relationship managers.
What were Anand Rathi Wealth's Q2 FY27 results?
For the quarter ended September 2026, adjusted PAT rose 22.2% YoY to ₹121.9 crore, total revenue grew 16.1% to ₹356.6 crore, and AUM reached ₹1,08,377 crore (+18% YoY) on record net inflows of ₹4,186 crore.
What dividend did Anand Rathi Wealth declare in October 2026?
An interim dividend of ₹4 per equity share (face value ₹5) for FY27, with a record date of 15 October 2026 and payout of about ₹66.4 crore.
Is Anand Rathi Wealth debt-free?
Effectively yes — its debt-to-equity ratio is about 0.02x, and it funds growth from internal accruals while returning cash via dividends, buybacks and bonus issues.
What is Anand Rathi Wealth's ROE?
ROE was 46.74% in FY26, up from 44.6% in FY25 and 40% in FY24 — among the highest for listed Indian financial companies.
Also read our other financial breakdowns: HDFC Bank Financial Breakdown, Reliance Industries Financial Breakdown and Titan Company Financial Breakdown.