IIFL Capital Services (IIFLCAPS) Q3 23/24 earnings summary

Executive summary

• Consolidated Q3 revenue was ₹58,227.36 lakh, up 68% YoY, and net profit was ₹15,051.36 lakh, up 133%.

• 9MFY24 total income rose 58% YoY to ₹15,269mn and PAT increased 104% to ₹3,328mn.

• Investment banking completed 17 Q3 transactions; management described the pipeline as very good, subject to capital-market conditions.

Financial highlights

• Q3 revenue from operations was ₹5,588mn, up 63% YoY and 10% QoQ; total income was ₹5,823mn, up 68% YoY.

• Consolidated Q3 PBT was ₹20,317.77 lakh versus ₹8,505.13 lakh YoY; net profit was ₹15,051.36 lakh versus ₹6,456.13 lakh.

• 9MFY24 revenue from operations was ₹14,748mn, up 55% YoY; total expenses rose 46% to ₹10,818mn.

• Brokerage income was ₹268 crore, up 73% YoY; distribution income was ₹100 crore versus ₹53 crore YoY, and investment banking income was ₹55 crore, up 32%.

• Q3 finance cost rose 134% YoY to ₹429mn; fees and commission expense rose 64% to ₹1,122mn.

Segment performance

• Investment banking completed 17 transactions, including 4 IPOs, 8 QIPs and 1 OFS, plus private placements and advisory mandates; revenue recognition follows milestone completion.

• Brokerage revenue mix was ~60% retail and 40% institutional; recent market activity and block deals supported brokerage.

• Distribution income reached ₹100 crore, supported mainly by AIF, PMS and insurance products; 9MFY24 insurance premiums totaled ₹1,627mn, up 5%.

• Mutual Fund AUM was ₹96.1bn at Dec. 31, 2023, up 26% YoY; SIP AUM was ₹26.2bn, up 46%, with ~1.7 lakh average monthly transactions.

• The Z20 flat-fee scheme was discontinued for general use; ad valorem pricing is standard, with rare centrally controlled exceptions.