ANAND RATHI WEALTH — THE AUM COMPOUNDER 🏦

ANANDRATHI India’s wealth is growing. But the bigger opportunity may lie in managing that wealth. Anand Rathi Wealth is building a private-wealth management and financial distribution business around HNIs and affluent investors. Its growth engine is straightforward: More clients → More assets → More relationship managers → Higher distribution income. And H1 FY27 shows the momentum. As of September 2026, Assets Under Management (AUM) reached ₹1,08,377 crore, up 18.4% YoY. For H1 FY27, consolidated total revenue rose 17.2% to ₹693 crore, while adjusted PAT increased 22.8% to ₹238 crore. Adjusted PAT excludes fair-value gains on investments, ESOP expenses and related tax effects. The client franchise is expanding too. Active client families: 14,309, up 12% YoY. Relationship managers: 431, up from 386. Q2 net inflows: ₹4,186 crore, up 39% YoY. Equity mutual fund net inflows: ₹2,867 crore, up 39%. The company has achieved 49% of its FY27 revenue guidance of ₹1,415 crore and 52% of its adjusted PAT guidance of ₹460 crore in the first half. The structural opportunity is India's underpenetrated wealth-management market. As financial savings shift towards mutual funds and professionally managed products, demand for trusted advice, portfolio solutions and wealth distribution can expand. But this is not a pure technology business. Relationship managers, client trust and service quality remain central to scaling. And investors must watch one important distinction: statutory consolidated PAT for Q2 was approximately ₹89 crore, down 10.7% YoY, while the company's adjusted business PAT was approximately ₹122 crore, up 22.2%. These are different measures and should not be confused. Key risks include market-linked AUM fluctuations, competition, regulatory changes, RM attrition and the cost of expanding the distribution network.