Motilal Oswal Financial Services (MOFSL) has reported a strong performance for the first quarter of fiscal year 2026, marking significant growth across various business segments and achieving multiple milestones.

Key Highlights

• Assets under advice grew by 28% year-on-year (YoY) to ₹6.5 lakh crores
• Customer base expanded to over 13.6 million, including 8.6 million+ mutual fund portfolios and 5 million+ broking accounts
• Annual recurring revenues reached 52% of net revenue
• Fee-based revenue contribution increased to 44% of total revenues
• Net worth rose 28% YoY to ₹12,537.00 crores, with Return on Equity (ROE) at 48% for Q1 FY26 (annualized)

Segment-wise Performance

Wealth Management

• Retail cash broking volumes (ADTO) stood at ₹3,179.00 crores, implying a 7.1% market share
• F&O premium market share at 7.9%
• Total ADTO market share at 7.5%
• Distribution book grew to ₹38,129.00 crores, up 34% compound annual growth rate (CAGR) since March 2021

Asset and Private Wealth Management

• Crossed ₹1.5 lakh crores equity Assets Under Management (AUM) milestone
• 92% of AUM outperformed benchmarks in the past 12 months
• Gross flows witnessed 59% YoY growth to ₹14,568.00 crores
• Added 14 lakh Systematic Investment Plans (SIPs) in Q1, with monthly SIP run rate crossing ₹1,200.00 crores in June

Capital Markets

• Investment banking business reported highest-ever quarterly revenues with 89% YoY growth
• Ranked 3rd in number of IPOs executed and 5th in terms of IPO value
• Completed 16 deals with a cumulative issue size of over ₹29,500.00 crores

Housing Finance

• AUM crossed ₹5,000.00 crores, up 22% YoY
• Disbursements grew 57% to nearly ₹400.00 crores
• Gross and net NPA at 1.2% and 0.6% respectively

Strategic Initiatives and Outlook

MOFSL launched its fifth private equity fund, targeting ₹8,000.00 crores, and completed 80% of the target fundraise in under two months. The company also announced the final close of its real estate Series VI fund.

Navin Agarwal, Group Managing Director, commented on the future outlook, stating, "We expect similar multiple over the next decade on the starting net worth due to the unique twin business model. The runway for growth is immense with strong double-digit growth expected in each of our businesses."

The company is focusing on strengthening its 5Ts: Technology, Talent, Training, Trust, and Thinking big. With market leaders in many of its businesses about 5-10 times MOFSL's profits and AUM, the company sees a strong growth runway ahead.

MOFSL's strategic focus on increasing the share of fee-based and trail-based revenues, driven by asset management, private wealth, distribution, and lending book growth, positions it well for sustained growth in the coming quarters.

Motilal Oswal Financial Services Limited (MOFSL) has taken a significant step in its financial strategy by approving the issuance of Non-Convertible Debentures (NCDs) worth Rs 500 crore. The decision was made during a Finance Committee meeting held on July 30, 2025, marking a notable development for the company's capital structure.

Key Details of the NCD Issuance

The NCD issuance, approved on a private placement basis, includes the following key features:

Security and Compliance

MOFSL has ensured robust security measures for the NCDs:

• The debentures will be secured by a first ranking pari passu charge on all present and future receivables of the company.
• A minimum security cover of 1.00 times the outstanding principal amounts will be maintained at all times until the maturity date.

The company has confirmed that there are no special rights, interests, or privileges attached to these instruments, and there has been no delay in payment of interest or principal on any existing NCDs.

Regulatory Compliance

In line with regulatory requirements, MOFSL has promptly informed the stock exchanges about the outcome of the Finance Committee meeting. The company's disclosure aligns with the provisions of Regulation 30, 51, and other applicable provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Conclusion

This NCD issuance represents a strategic move by Motilal Oswal Financial Services Limited to raise funds, potentially to support its business operations and growth initiatives. The successful placement of these NCDs could provide the company with additional financial flexibility in the coming years.

Investors and market participants will likely keep a close eye on how MOFSL utilizes these funds and the impact on its financial performance in the upcoming quarters.