Anand Rathi stocks rally 6% on strong Q2 show; Rs 7 dividend announced

Anand Rathi Q2 results impact: Shares of wealth management firm Anand Rathi Wealth (Anand Rathi) climbed up to 5.53 per cent to hit an intraday high of Rs 4,280 per share on Friday, October 11, 2024.

The uptick in Anand Rathi share price came after the company reported a strong set of September quarter (Q2FY25) results.

Anand Rathi’s consolidated net profit rose 32 per cent year-on-year (Y-o-Y) to Rs 76.3 crore in the September quarter of financial year 2025, from Rs 57.7 crore in the same quarter last fiscal year (Q2FY24).

The company’s revenue from operations surged 32 per cent annually to Rs 249.6 crore, from Rs 189.1 crore in the same quarter last year. 

Anand Rathi’s asset under management (AUM) climbed 57 per cent to Rs 75,084 crore in Q2FY25, from Rs 47,957 crore in Q2FY24. Its earnings per share (EPS) also rose 32 per cent year-on-year to Rs 18.3  from Rs 13.8.

Rakesh Rawal, chief executive officer of Anand Rathi said, “We are thrilled to announce another exceptional financial result. In H1FY25 our total revenue grew by 35 per cent year-on-year to Rs 495 crore and PAT was Rs 150 crore, representing growth of 35 per cent year-on-year. Our Assets Under Management (AUM) has seen a significant increase of 57 per cent to Rs 75,084 crore. In the first half of FY25, we welcomed 1,066 new client families, bringing our total count of client families to 10,977. 

Anand Rathi’s Mutual Fund (MF) distribution revenue zoomed 70 per cent annually to Rs 195 crore. The net inflows grew 128 per cent Y-o-Y to Rs 5,700 crore.

Furthermore, the Board of Directors have declared an interim dividend of Rs 7 per equity share of face value of Rs 5 each of the company (140 per cent of face value).

“In alignment with our policy of rewarding shareholders, we have declared an interim dividend of Rs 7 per share for FY25,” Rawal said.

Anand Rathi Wealth is a non-bank wealth solutions company in India, focusing on a diverse range of financial products and services. The company’s offerings include wealth solutions, mutual fund distribution as an AMFI-registered distributor, and tailored private wealth services designed for high-net-worth individuals (HNIs) and ultra-high-net-worth individuals (UHNIs). 

Additionally, Anand Rathi leverages technology through its Digital Wealth vertical, which combines personal interaction with innovative digital tools to enhance client experiences.

The company's Omni Financial Advisors (OFA) vertical further strengthens their service by providing a comprehensive technology platform for mutual fund distributors, enabling them to effectively manage client relationships. 

The market capitalisation of Anand Rathi is Rs 17,051.40 crore according to BSE.

At 11:00 AM, Annad Rathi shares were trading 1.28 per cent higher at Rs 4,107.75 per share. In comparison. BSE Semsex was trading 0.16 per cent lower at 81,480.09 levels.