Anand Rathi Wealth (ANANDRATHI) Q4 21/22 earnings summary

Executive summary

• FY22 delivered consolidated revenue of ₹425.63 Cr, up 52% YoY, and PAT of ₹126.80 Cr, up 184%; growth reflected higher AUM, client additions and operating efficiency.

• AUM reached ₹32,906 Cr, up 23% YoY; net mobilisation was ₹2,754 Cr, up 148%, while active client families increased 16% to 7,082.

• Outlook emphasized four growth drivers—market returns, greater wallet share, new clients and additional relationship managers—with management viewing 20–25% business growth as reasonable.

Financial highlights

• Consolidated revenue from operations was ₹417.49 Cr versus ₹265.33 Cr in FY21, up 57.35%; total revenue was ₹425.63 Cr versus ₹279.25 Cr, up 52%.

• Trail revenue rose 70.63% to ₹153.97 Cr; distribution income from financial products increased 53.44% to ₹258.76 Cr.

• PBT increased 166.64% to ₹167.67 Cr; PBT margin improved to 39.39% from 22.52%, while PAT grew 184.15% to ₹126.80 Cr.

• Operating expenses rose 22.75% to ₹240.28 Cr, below revenue growth; employee expenses increased 27.02% to ₹191.49 Cr as headcount grew to 827.

• Consolidated operating cash flow was ₹145.70 Cr; cash and cash equivalents closed at ₹87.11 Cr, up from ₹65.32 Cr in FY21.

Outlook and guidance

• Management considered 20–25% business growth reasonable, driven by AUM market returns, deeper penetration of 7,000+ client families, new client acquisition and additional relationship managers.

• Broad-based economic recovery, improved market conditions and rising awareness of financial assets were expected to support fund flows and consistent AUM growth in coming quarters.

• Business outlook cited client stickiness as a potential 10% growth driver, existing-client wallet-share expansion as another 10%, RM capacity as 5–10%, and new RMs as 5%.

• India HNI population was projected to rise 76.6% to 1.407 million by CY26; UHNIs were projected to reach 19,006, supporting long-term wealth-management demand.