Prudent Corporate Advisory Services Limited , a leading wealth management and financial services firm, reported robust growth in its Q2 FY26 earnings conference call held on November 6, 2025. The company showcased strong performance across key metrics, including Assets Under Management (AUM) growth, Systematic Investment Plan (SIP) book expansion, and strategic acquisitions.

AUM and SIP Growth

Prudent Corporate reported a significant year-on-year growth of 17.00% in its quarterly average AUM, reaching approximately INR 119,000.00 crores (excluding Indus AUM). The company's current AUM stands at INR 127,000.00 crores, reflecting an 11.00% increase from the first half of FY26. This growth momentum positions the company strongly as it enters the second half of the current financial year.

The company's equity AUM grew by 13.20% year-on-year to INR 117,650.00 crores in September 2025, driven primarily by strong net sales despite negative mark-to-market impact. This growth highlights the resilience and confidence of Indian retail households in systematic investments.

Prudent's monthly SIP book reached INR 1,085.00 crores, with an addition of INR 210.00 crores over the last 12 months. The company aims to reach around INR 1,200.00 crores in monthly SIP flow by March 2026.

Financial Performance

On the mutual fund side, Prudent's quarterly average AUM grew by 8.00% sequentially, while mutual fund revenue increased by 9.00%. The company's insurance revenue grew by 11.50% sequentially, driven by strong traction in fresh premiums. Notably, retail health fresh premium grew 33.00% year-on-year, with the book now at INR 162.50 crores.

Strategic Acquisition and Future Outlook

Prudent Corporate successfully completed the merger of Indus acquisition, which is expected to deliver annualized mutual fund commission of about INR 22.00-23.00 crores and cash profit before tax of approximately INR 15.00 crores. This highly cash-accretive addition to the platform is powered by 15 experienced relationship managers under a seasoned business head.

The company's treasury corpus currently stands at INR 480.00 crores, providing the ability to pursue select inorganic opportunities that are strategically relevant and value-creative.

Regulatory Impact and Industry Trends

The company addressed the potential impact of SEBI's recent consultation paper on mutual fund expense ratios. While the proposed changes could lead to a reduction in Total Expense Ratio (TER) by 6-7 basis points, Prudent believes it may benefit from the level playing field created for GST-registered distributors.

On the insurance front, the company is navigating through the recent GST-related changes, particularly in the health insurance segment where about 70.00% of the business has been impacted.

Employee Stock Option Plan (ESOP)

Prudent granted 130,945 options to 388 employees, with an expected P&L impact of about INR 7.10 crores to be amortized over the next 12 months.

In conclusion, Prudent Corporate Advisory Services demonstrated strong growth across its business segments in Q2 FY26, successfully integrating a strategic acquisition and positioning itself for continued expansion in the wealth management and financial services sector.

Prudent Corporate Advisory Services Limited , a leading independent retail wealth management services group, has reported strong financial results for the second quarter of fiscal year 2026, along with the completion of a strategic acquisition.

Q2 FY2026 Financial Highlights

Prudent Corporate Advisory has announced robust financial performance for the quarter ended September 30, 2025:

• Consolidated revenue increased by 11.8% year-over-year to ₹319.80 crore
• Consolidated EBITDA grew by 5.0% year-over-year to ₹72.20 crore
• Consolidated Profit After Tax (PAT) rose by 3.9% year-over-year to ₹53.50 crore

The company's performance was driven by strong growth in its core mutual fund distribution business and expansion in other financial products.

Key Operational Metrics

Prudent Corporate Advisory reported significant improvements in several key operational metrics:

• Assets Under Management (AUM) crossed the ₹1.20 lakh crore mark
• Equity Net Sales in Q2 FY2026 reached ₹3,640.00 crore
• Monthly Systematic Investment Plan (SIP) book stood at ₹1,085.00 crore in September
• General Insurance fresh premiums grew by 32.5% year-over-year

Strategic Acquisition of Indus Capital

In a significant move to expand its market presence, Prudent Corporate Advisory completed the acquisition of Indus Capital's Mutual Fund Distribution business on October 1, 2025. The acquisition, valued at ₹123.75 crore, brings several strategic benefits:

• Addition of ₹2,104.00 crore in Mutual Fund AUM
• Expansion of equity AUM share to 95%
• Increase in monthly SIP book by ₹10.83 crore
• Integration of 3,571 active client families

Mr. Sanjay Shah, Managing Director of Prudent Group, commented on the results and acquisition: "Despite the Nifty 500 declining by 6.2% in the year ended September 2025, we added ₹13,650.00 crore to our Equity AUM, driven by strong net equity sales. This performance underscores the resilience and maturity of Indian retail investors, who continued their systematic investments with consistency and conviction even in a volatile market."

He added, "The acquisition of Indus Capital will accelerate our retail expansion and is expected to be highly cash accretive for our shareholders. With this strategic move, we continue to advance our vision of building India's most trusted and scalable retail wealth management platform."

Future Outlook

With the successful integration of Indus Capital and strong organic growth, Prudent Corporate Advisory is well-positioned to capitalize on the growing retail investor base in India. The company's focus on technology-driven wealth distribution and its expanding network of channel partners are expected to drive future growth in AUM and revenue.

As the Indian financial services sector continues to evolve, Prudent Corporate Advisory's diversified product offerings and strategic expansions may help it maintain its strong market position in the retail wealth management space.