Motilal Oswal Financial Services Limited (MOFSL) has set a new business record in the first quarter of the current financial year 2025-26. The company has reported a net profit of ₹1,430 crore in the April to June quarter (Q1), marking a 40 percent increase. This is considered its highest-ever earnings. The company's success is primarily attributed to its Asset Management, Wealth Management, and Capital Market segments.
The company's total net operating income stood at ₹1,412 crore, showing a 24 percent increase, while the operating profit after tax rose by 21 percent to reach ₹522 crore.
Mutual Fund Business Shows Tremendous Growth
Motilal Oswal's mutual fund business has also witnessed remarkable growth. The company's Mutual Fund Asset Under Management (AUM) jumped by 90 percent to reach ₹1.17 lakh crore. The company has also benefited from the increasing interest of people in SIP (Systematic Investment Plan) in recent times.
The revenue of the Asset and Wealth Management division increased by 46 percent to ₹560 crore, while the profit from it rose by 43 percent to ₹224 crore. These figures clearly indicate that customers are rapidly joining this segment, and the investment trend is also increasing.
Record Increase in the Number of Customers
Motilal Oswal Financial Services Limited has also seen a continuous increase in its customer base. According to the latest figures, the total number of customers of the company has now crossed 1.36 crore. Along with this, the amount of investment under the company's advice i.e., Assets Under Advice has reached more than ₹6.5 lakh crore.
The company's net worth has also increased by 28 percent to ₹12,537 crore in this quarter. Meanwhile, the Return on Equity (ROE) stood at 48 percent, which reflects the company's b and stable performance.
Capital Market and Investment Income Also Played a Major Role
Motilal Oswal believes that the company's “Twin Engine Growth Strategy” i.e., its core business and investment income has been the biggest reason for this excellent quarterly performance. The company has also registered good growth in its investment income, which has strengthened the overall profit.
The Capital Market segment, which includes equity broking and distribution services, has also seen b business. Investors' interest in the stock market remains consistent, which has increased both trading and dealing volumes.
What MD and CEO Motilal Oswal Said
The company's Managing Director and CEO Motilal Oswal said that the results of the first quarter have been historic for them. He said, “We have earned the highest profit ever. All our business segments have performed very well. These figures reflect the growing trend of financial savings in India and show how deeply and with what expertise we are working in this field.”
He believes that India's rapidly growing middle class and the financial awareness of the youth will create even greater opportunities for the company going forward.
Support from the Stock Market and Retail Investors
The stock market has been bullish over the past year. Investors' confidence has increased in mutual funds, PMS and wealth management services. Motilal Oswal has benefited from this. The number of people investing through SIP has also increased, which has provided the company with a steady source of income every month.
Despite the uncertainties in the market, investors' inclination towards equity and long-term investment remains. This is providing continuous growth to financial services platforms like Motilal Oswal.
Company's Strong Hold and Expansion Plans
The company stated that it will continue to increase investment in digital platforms and technology in the future so that it can reach its services to more retail customers. The company plans to strengthen its network from metros to smaller cities.
In addition, the company is also working on further strengthening private wealth services for HNIs i.e., High Net Worth Individuals. The company has a special focus on new features like digital wealth management, app-based investment solutions and robo advisory.
Also Benefited from Sectoral Trends
Positive sentiment has been seen in the financial sector for the past few months. The increasing IPO activities in the market, investor awareness, increase in retail participation and promotion of digitization by the government are also providing great benefits to the companies.
Major players like Motilal Oswal have taken full advantage of this environment. The company says that in the coming months, it will work towards b expansion in every business segment.
