Motilal Oswal reports 66% drip in Q4 net at Rs.12.6 cr

The company recorded profit after tax of Rs.12.6 crore, compared to Rs.3.55 crore in the previous quarter; and Rs.36.72 crore in the same quarter last year.

Profits from its broking segment, which account for more than half the company's revenues, were down both quarter-on-quarter and year-on-year. The company made Rs.10.69 crore in profits from broking in the March quarter, compared to Rs 12.74 crore in the December quarter and Rs.23.12 crore in March last year; according to a statement on the exchange website.

Broking revenue was marginally up, from 79.18 crore in December 2013 to Rs 80.83 crore this March. Revenues from broking were Rs.108.43 crore in March 2013.

It had made a provision under exceptional items to the tune of Rs.17.34 crore for its exposure to the Rs.5600 crore payment crises at the National Spot Exchange Limited(NSEL).

The company said that an increased proportion of options has resulted in its overall equity market share dropping from 1.7% to 1.5% over the quarter.The company added that cash segment market share has remained intact and that blended yield from broking is up from 3.7 basis points to 3.9 basis points in the same period as delivery volumes increased.

It has proposed a dividend of Re.1 per share for the financial year ending in March 2014. The company also announced that it had bought back 7.1 million shares as part of is buyback program, or 94.66% of the maximum 7.5 million shares under the program.

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