Aditya Birla Money Q1: PAT falls 28% YoY to ₹11.1 Cr as broking profit collapses
PAT -27.63% YoY · revenue +16.03% · margins compressing
₹130.77 Cr
+16.03% YoY
₹11.13 Cr
-27.63% YoY
8.46%
-5.2pp YoY
₹1.97
Aditya Birla Money's Q1 FY27 (standalone) is a revenue-up, profit-down quarter: revenue from operations grew 16% YoY to ₹130.77 Cr, but net profit fell 27.6% YoY to ₹11.13 Cr (from ₹15.38 Cr) and 40.6% sequentially from Q4's ₹18.73 Cr. EPS dropped to ₹1.97 from ₹2.72 a year ago. YoY is the primary read here — the QoQ decline partly reflects Q4 being a seasonally strong close, but even against the year-ago base profitability deteriorated sharply while the topline expanded, so this is unambiguously margin compression, not a timing artifact.
Q1 FY-2027 vs prior quarters
The squeeze sits in two places. First, the core broking segment: its result collapsed 82% YoY to just ₹1.01 Cr (from ₹5.69 Cr) even as broking segment revenue rose ~21% to ₹98.14 Cr — meaning the incremental broking topline converted to almost no profit, pointing to cost and pricing pressure in the retail broking business. Second, funding economics: finance costs jumped 38% YoY to ₹43.67 Cr as the borrowing book expanded ~39% to ₹2,306 Cr (debt-equity now 7.36x), while interest income grew only 28% — so the interest spread narrowed. Employee costs (+14% YoY to ₹31.74 Cr) added further. Net profit margin fell to 8.51% from 13.64% a year ago (14.43% in Q4), and the filing's operating margin dropped to 11.78% from 18.25%. The wholesale debt segment was the relative bright spot, holding its result near flat at ₹13.84 Cr.
The stock went into the print at ₹157.06, up 19.6% over the past month of trading.
For context: PAT has now risen for 2 consecutive quarters; revenue is at a 6-quarter high.
What the summary numbers don't show
Unaudited, limited review by Deloitte Haskins & Sells with a clean conclusion.
There are no exceptional items in the quarter (the prior-year ₹3.13 Cr Labour-Code charge affected only the FY26 full-year), so reported and adjusted YoY are the same -27.6% — no cushioning to adjust for. Management provides no formal guidance and there is no prior concall on record, so there is no outlook benchmark to test the print against; consensus estimates for a company of this size are not published. The board also cleared FY26 annual report/AGM matters and raised authorized capital to ₹333 Cr alongside this result, but none of those bear on the quarter's earnings quality.
What to watch
W1
Broking segment result recovery — ₹1.01 Cr this quarter vs ₹5.69 Cr YoY; whether Q2 rebuilds broking profitability or cost pressure persists.
W2
Net interest spread — finance costs (+38% YoY) outpacing interest income (+28%) with D/E at 7.36x; watch funding cost as the ₹2,306 Cr book grows.
W3
NPM recovery from 8.51% — whether employee costs (+14% YoY) and broking margins normalise back toward the 13-14% run-rate.
Standalone only; source in Lakhs (converted to Cr). Text-layer had June-30-2026/March-31-2026 column transpositions on several rows — resolved via arithmetic (TotalIncome=Rev+OtherInc, PAT=PBT-Tax) and DB anchors. No exceptional item in any quarter; the ₹3.13 Cr Labour-Code exceptional sits only in the FY26 full-year column. Clean limited review by Deloitte.