Angel One Q2 FY26 Financial Performance Review

Brokerage firm Angel One Ltd. reported a significant deceleration in its financial results for the second quarter (Q2) of the fiscal year 2026, primarily attributed to softer retail trading volumes and resulting margin compression. Key Financial Highlights (Year-on-Year): Net Profit: Decreased by 50% to ₹212 crore, down from ₹423 crore in the corresponding period last year. Revenue from Operations: Declined 20% to ₹1,201 crore, compared to ₹1,514 crore in Q2 FY25, reflecting muted trading activity and reduced client participation in higher-margin product segments. EBITDA: Dropped 38.2% to ₹415.2 crore from ₹671.9 crore. EBITDA Margin: Contracted significantly to 34.5%, down from 44.7% in Q2 FY25. The decline was driven by reduced revenue and narrowing operational margins. However, adjusting for one-off advertising expenses incurred during the Indian Premier League (IPL) in Q1, Earnings before Depreciation, Amortisation, and Tax (EBDAT) grew 6.1%, with margins remaining steady at 34.5%. Angel One continues its strategy of aggressive client base expansion, particularly targeting Tier II and III cities through digital onboarding and cost-effective offerings. Market Context: Ahead of the earnings announcement, the company's shares closed up 1.7%. Despite this, the stock remains down 19% year-to-date. The immediate future will depend on the firm's ability to navigate the softer retail trading environment and capitalize on its expanding client base in underserved markets.