Edelweiss Financial Services (EDELWEISS) Q1 26/27 earnings summary

Executive summary

• Consolidated profit after tax grew 83% year-over-year to INR 122 crore for the quarter, reflecting robust growth across operating businesses.

• Customer reach expanded 30% year-over-year to over 14 million, with customer assets up 23% to INR 2.8 trillion.

• Corporate net debt declined 10% YoY to INR 5,725 crore, and book value per share rose 19% YoY to INR 57.

• Board approved unaudited financial results and a public issue of non-convertible debentures up to INR 1,000 crore.

• Zuno General Insurance GWP rose 58%, with motor insurance as a key focus and innovation driver.

Financial highlights

• Alternative Asset Management Fee Paying AUM grew 27% YoY to INR 48,623 crore; PAT up 45% YoY to INR 81 crore; annualized ROE at 29%.

• Mutual Fund Equity AUM increased 32% YoY to INR 96,000 crore; SIP book up 63% YoY to INR 696 crore; PAT up 33% YoY.

• Asset Reconstruction: INR 304 crore recovered; retail assets acquisition at INR 300 crore; annualized ROE improved to 13%.

• NBFC MSME disbursals tripled YoY to INR 353 crore; gross loan book up 90% YoY to INR 2,127 crore; GNPA improved to 2.19%.

• Housing Finance AUM up 14% YoY to INR 4,900 crore; disbursals at INR 218 crore; GNPA at 2.91%.

Outlook and guidance

• IPO of EAAA planned for Q3 FY27, with roadshows in August-September and listing expected in October.

• Carlyle's strategic investment in Nido Home Finance expected to close by September 2026.

• Focus on scaling asset management profits, achieving breakeven in insurance businesses, and reducing corporate debt below INR 4,000 crore by year-end.

• MSME disbursement target set at INR 2,000 crore for FY 2027.

• Calibrated scale-up in credit businesses with steady ramp-up in disbursals.