5paisa Capital (5PAISA) Q2 24/25 earnings summary

Executive summary

• Q2 FY25 delivered record PAT of ₹219 Mn, up 9% QoQ and 15% YoY, with Nifty and Sensex at all-time highs benefiting investors and the broking industry.

• 1.62 lakh new customers were acquired in Q2 FY25, a 20% YoY increase, bringing the total customer base to 4.62+ Mn.

• Customer acquisition strategy shifted to focus on quality, improving first-year revenue and customer lifetime value.

• App installs surpassed 20.6 Mn, with a 4.3-star rating and improved customer satisfaction metrics.

• Unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2024, were approved and reviewed without qualification by statutory auditors.

Financial highlights

• Total revenue for Q2 FY25 reached ₹1,008 Mn, up 4% YoY; PAT was ₹219 Mn, up 15% YoY, with PAT margin at 22%.

• Standalone revenue from operations for Q2 FY25 was ₹10,079.42 lakhs, up from ₹9,690.09 lakhs in Q2 FY24.

• Broking revenue grew to ₹413 Mn, up 3% YoY; other income was ₹270 Mn, down 2% YoY.

• EPS (basic) for Q2 FY25 was ₹7.03, up from ₹6.21 in Q2 FY24.

• Employee benefit expenses increased 49% due to normalization after a one-time ESOP/RSU impact in the previous quarter.

Outlook and guidance

• Management expects accelerated revenue and profitability in coming quarters, driven by product development, technology, and cost optimization.

• Customer acquisition is expected to increase quarter-on-quarter for the next three to four quarters.

• Emphasis on expanding digital platforms, cross-selling, and enhancing customer experience.

• Plans to maintain industry-best CAC and improve operational efficiency.

• The company continues to invest in technology and digital platforms to drive growth in its core broking and financial product distribution business.