Motilal Oswal Financial Reports Highest-Ever Quarterly PAT in Q1FY27, Driven by 73% Growth in Asset Management

Motilal Oswal Financial Reports Highest-Ever Quarterly PAT in Q1FY27, Driven by 73% Growth in Asset Management​

Mumbai: Motilal Oswal Financial Services Ltd. (MOFSL) announced record results for the quarter ended June 30, 2026, reporting a Total Profit After Tax (PAT) of ₹ 1,513 Cr, including Other Comprehensive Income (OCI). The robust performance was largely attributed to significant growth in the Asset Management business segment.

The company emphasized that its strategy focused on increasing Annual Recurring Revenue (ARR) and fee-based income streams, with ARR constituting approximately 66% of the total revenue.

Segmental Operating Profit Highlights​

The financial results across all segments showcased a diversified performance profile. The consolidated operating PAT for the quarter stood at ₹ 609 Cr, representing a 14% year-on-year (YoY) increase from the previous period’s ₹ 534 Cr.

Key segment performance metrics are summarized below:

Growth Momentum in AMC and Private Wealth Management​

The Asset Management (AMC) and MO Alternates segment proved to be the primary driver of profitability, with PAT growing by 73% YoY to ₹ 245 Cr. This segment now contributes 40% to the total PAT. Total Assets Under Management (AUM) grew by 31% year-on-year to ₹ 2.12 lakh Cr.

In private wealth management, ARR revenue grew by 42% YoY, reaching ₹ 157 Cr. The net flows in this area increased by 37%, while AUM grew 37% on a YoY basis, reaching ₹ 2.4 lakh Cr. The Relationships Manager (RM) base expanded by 26%, totaling 441 RMs.

The MO Alternates segment witnessed exceptional growth, with AUM increasing by 99% YoY. The firm successfully executed the second close of its maiden Private Credit Fund, raising ₹ 2,435 Crs, and is targeting a total raise of ₹ 3,000 Cr in the near future.

Operational Updates Across Segments​

Wealth Management: This segment saw ARR revenue increase by 26% YoY to ₹ 304 Cr. The distribution book grew by 29% to ₹ 45,575 Cr, and the loan book increased by 33% to ₹ 7,388 Cr. Group’s Margin Trade Funding (MTF) saw a 55% YoY increase, reaching ₹ 7,800 Crs.

Capital Markets: The fee income in this sector rose 48% Quarter-on-Quarter (QoQ). MOFSL ranked #2 on the Qualified Institutional Placement (QIP) and Initial Public Offer (IPO) league table for Q1FY27.

Housing Finance: PAT grew 36% YoY to ₹ 32 Cr. Disbursements increased by 64% to ₹ 646 Cr, while AUM expanded by 23% to Rs. 6,164 Cr. The segment maintained pristine asset quality with Gross Non-Performing Assets (GNPA) and Net Non-Performing Assets (NNPA) reported at 1.1% and 0.6%, respectively.

Rating Upgrade and Long-Term Health​

Crisil upgraded MOFSL's long-term credit rating to AA+ Stable, citing the resilience of its business model and sustained growth across various segments. This ranking reflects the company’s strength as it is noted to be the highest Credit Rating amongst Non-Bank Domestic Capital Market Player by CRISIL.

MOFSL reported a 10-year track record that includes a 33% Operating PAT CAGR, an Earnings Per Share (EPS) CAGR of 28%, and an average Return on Equity (ROE) of 23%. These metrics were achieved entirely through internal accruals without any dilution.

The company remains committed to improving market share across all business segments, leveraging its position as a leading integrated capital market player.

MOTILALOFS Stock Price Movement​

Motilal Oswal Financial Services Limited today edged higher, closing at ₹940.25 after gaining 0.16%. The stock recorded a traded volume of 666,641 shares as the market closed its final session.