Motilal Oswal Financial Services Reports 29% Rise in Q2FY27 Operating PAT, Highest Half-Yearly PAT of ₹2,583 Cr with SEBI Custodian License

Operating PAT for Q2FY27 rose 29% year-on-year to ₹718 Cr, with net operating revenue up 14% quarter-on-quarter. The half-year operating PAT grew 22% to ₹1,327 Cr. Asset Management became the largest profit contributor, posting a 69% year-on-year PAT increase to ₹304 Cr, accounting for 43% of Operating PAT.

Assets Under Advice (AUA) grew 26% year-on-year to ₹3.2 Lakh Cr, supporting a 27% increase in Annual Recurring Revenue (ARR) to ₹1,182 Cr. The share of ARR revenue rose to 66%, improving revenue quality and predictability. The Asset Management segment's total Assets Under Management (AUM) increased 26% to approximately ₹2.23 Lakh Cr.

Motilal Oswal group obtained SEBI approval as a Custodian of Securities, enabling it to provide safekeeping, trade settlement, corporate action processing, and regulatory reporting for institutional clients including mutual funds and pension funds. Operations are slated to commence in Q4FY27 after achieving operational readiness.

Other segments showed mixed results: Private Wealth Management PAT grew 2% YoY with AUM up 58%, Wealth Management PAT grew 3% YoY amid regulatory challenges, Capital Markets revenue rose 31% QoQ with PAT up 12% QoQ, and Housing Finance saw 7% PAT growth and asset quality ratios of GNPA 1.5% and NNPA 0.9%.

The company’s credit rating reached AA+ with a stable outlook by all three leading agencies. Since inception, the treasury book has compounded at 41%, reaching ₹11,346 Cr. Over ten years, MOFSL achieved a 33% CAGR in Operating PAT, funded entirely through internal accruals without equity dilution.