Angel One (ANGELONE) Q2 25/26 earnings summary

Executive summary

• Achieved gross revenues of INR 12 billion in Q2 FY26, up 5.3% QoQ, with net revenues at INR 9.4 billion and PAT of INR 2.1 billion, up 85% QoQ.

• Broking, mutual funds, credit, and wealth management businesses showed strong growth, with 1.7 million new clients added (+12.2% QoQ) and total client base at 34.1 million.

• Launched AI-powered chatbot and expanded digital ecosystem, driving efficiency and client engagement.

• Entered a joint venture for digital-led life insurance, with a 26% stake and INR 4 billion equity infusion.

• Board approved setting up a business unit in GIFT City, Gandhinagar, pending regulatory approval.

Financial highlights

• Gross revenues rose 5.3% QoQ to INR 12 billion; net revenues up 5.6% QoQ to INR 9.4 billion.

• Net broking income increased 5.4% QoQ to INR 5.5 billion; distribution income grew nearly 28% QoQ.

• EBITDA margin at 34.5%, up 1,270 bps over Q1 FY26; normalized EBITDA up 6.1% QoQ to INR 3.2 billion.

• Reported profit after tax grew 85% QoQ to INR 2.1 billion; normalized PAT up 10.1% QoQ.

• Client funding book averaged INR 53 billion, up 26.1% QoQ; period-end at INR 59.5 billion, up 40% QoQ.

Outlook and guidance

• Maintains guidance for 40%-45% operating profit margin (OPM) exit rate by Q4 FY26.

• Focus on expanding digital-first insurance via JV, targeting India's under-penetrated protection market.

• Continued investment in AI/ML for client engagement and operational efficiency.

• Confident in doubling the margin trade funding book without additional capital.

• Long-term, expects new businesses to contribute double-digit share to top line in 3-5 years.