Motilal Oswal Financial Services (MOTILALOFS) Q3 24/25 earnings summary

Executive summary

• Operating revenue for Q3 FY25 reached ₹1,345 crore, up 43% YoY, with operating PAT at ₹525 crore, up 38% YoY; 9MFY25 PAT was ₹2,718 crore, up 36% YoY.

• Assets under advice surpassed ₹6 lakh crore, a 62% YoY increase, and the client base crossed 10 million.

• Annualized ROE stands at 36%, and an interim dividend of ₹5 per share was declared.

• Achieved record nine-month profit of ₹2,718 crore and highest-ever yearly profit of ₹2,626 crore as of Dec'24.

• Net worth grew to ₹11,569 crore, up 40% YoY.

Financial highlights

• Fee-based revenue rose to 41% of total revenues from 30% last year.

• Lending book at ₹12,254 crore, up 44% YoY; net worth at ₹11,569 crore.

• Annual recurring revenues accounted for 56% of group revenues in Q3.

• Basic EPS for Q3FY25 was ₹9.43; for 9MFY25, ₹42.94 (adjusted for bonus issue).

• Operating PAT margin at 52% for Q3FY25.

Outlook and guidance

• Expect continued growth in financial savings, mutual fund folios, and Demat accounts, supporting long-term business expansion.

• Housing finance AUM growth guidance maintained at 20% for FY25, with expectations for further improvement as RM capacity expands.

• Mega trend of rising household financial savings projected to drive business growth across all segments.

• Aims to sustain compounding growth through a double-engine model: operating businesses and treasury investments.

• Plans to maintain or improve IRR of 20% on treasury investments and uphold a 20% dividend payout ratio, subject to business needs.