Angel One Limited — Q3 FY26

Angel One Ltd Q3 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=LU8o-tEC8vQ Published: 4 months ago

0:07 7 seconds Ladies and gentlemen, good morning and welcome to the Q3 FI26 earnings conference call hosted by Angel1 0:15 15 seconds Limited. This conference call may contain forward-looking statements about the company which are based on the beliefs, opinions and expectation of the company has on date of this call. 0:26 26 seconds These statements are not the guarantees of future performance and involve risk and uncertaintities that are difficult to predict. 0:34 34 seconds As a reminder, all participines will remain in the listenon mode and there will be an opportunity for you to ask questions after the presentation 0:41 41 seconds concludes. Should you need assistance during the conference call, please signal the operator by pressing star 0:48 48 seconds then zero on your touchstone phone. I now hand the conference over to Mr. Hul Gutka from Angel1 Limited. Thank you and over to you sir. 0:59 59 seconds Good morning and welcome everyone. Thank you for joining us today to discuss Angel1's Q3 FI26 financial and business performance. The recording of today's 1:08 1 minute, 8 seconds earnings call and the transcript will be uploaded on our website under the investor relations section. The financial results, investor presentation 1:15 1 minute, 15 seconds and the press release are also available on the website. For today's call, Angel One is represented by the entire 1:22 1 minute, 22 seconds management of the company. We also have the senior leadership along with uh Dineshwai, Amish, Vin, Sorov, Shriant 1:30 1 minute, 30 seconds and Himemen. Uh along with SJ, our IR consultants. The leadership team will give us a brief overview of the 1:39 1 minute, 39 seconds operational and the financial performance of the quarter gone by which will be followed by a Q&A session. 1:44 1 minute, 44 seconds Please note that there may be certain forward-looking statements during the course of call which must be viewed in aggregate with the risk that the company 1:51 1 minute, 51 seconds faces. With this brief introduction, I now invite Mr. Dha for his opening remarks. 1:59 1 minute, 59 seconds Thank you Ethul. Good morning everyone and a very happy new year to you all. 2:04 2 minutes, 4 seconds Thank you for joining us today. As we look back on the quarter and step into 2026, India's financialization journey 2:12 2 minutes, 12 seconds continues to benefit from strong structural tailwinds, a young digital native population, exhilarating 2:19 2 minutes, 19 seconds formalization and stable policy environment. This forces continue to reinforce our conviction in long-term 2:27 2 minutes, 27 seconds opportunity across investing, credit, wealth, and protection. Our strategy is simple and deliberate. We are building a 2:35 2 minutes, 35 seconds technology-led financial service platform that supports client across every stage of their financial journey. 2:42 2 minutes, 42 seconds This approach helps us to deepen trust, enable scalable platformled monetization, steadily expands clients 2:49 2 minutes, 49 seconds lifetime value. We have entered new business lines at the right inflection points where digital platforms can 2:57 2 minutes, 57 seconds meaningfully improve access, discovery and transparency, scale effectively and do so in a way that promotes fairness and reduces bias. 3:07 3 minutes, 7 seconds What further strengthens our long-term outlook is the convergence of broader product suite and maturing client base. 3:15 3 minutes, 15 seconds As clients progress through their financial life cycle, we see higher engagement, greater wallet share, and monetization across multiple products. 3:24 3 minutes, 24 seconds This creates a compounding growth engine while steadily improving unit economies. 3:30 3 minutes, 30 seconds With this conviction, we continue to invest in expanding both our client base and our product offerings while also 3:37 3 minutes, 37 seconds driving operational efficiency through disciplined execution and responsible use of AI. We are extremely mindful of 3:45 3 minutes, 45 seconds the importance of cyber security and continue to invest in best-in-class processes, controls and governance 3:52 3 minutes, 52 seconds frameworks. Trust is foundational to our client relationship and cyber resilience remains central to preserving the trust. 4:01 4 minutes, 1 second On regulation, we have always viewed a robust framework as an enabler of sustainable growth. As we shared 4:08 4 minutes, 8 seconds earlier, activity level are normalizing and margins are reverting back to historical trends. Our standalone 4:16 4 minutes, 16 seconds operating margin is already at a hefty 43% reflecting the strength of our core core business model. We expect further 4:24 4 minutes, 24 seconds operating leverage as we continue to acquire new customers and deepen engagement by offering more products to our existing customer base. As we scale 4:34 4 minutes, 34 seconds into broader financial ecosystem, we are also strengthening our leadership governance capabilities. In this context, I am pleased to welcome Ajit 4:42 4 minutes, 42 seconds Sina as our general council with over 24 years of experience including his tenure at national of stock exchange. Ajit will 4:51 4 minutes, 51 seconds further strengthen our legal, regulatory and compliance framework. The board has also approved our first inream dividend 4:58 4 minutes, 58 seconds of rupees 23 per share and a stock split of 10 to 1 to 10. We remain focused on 5:05 5 minutes, 5 seconds discipline execution, responsible adoption of technology and keeping client outcome at the every uh uh at 5:13 5 minutes, 13 seconds center of everything we do. I will now hand it over to Amish. Thank you. 5:19 5 minutes, 19 seconds Thank you DT. Good morning everyone. At Angel One, we believe enduring value is created by investing at the right time 5:28 5 minutes, 28 seconds in technology, talent, and new business lines. Over the last few years, we have made deliberate investments across wealth, asset management, and credit. 5:40 5 minutes, 40 seconds The outcomes are clearly visible in our business metrics. Yet, we are just getting started. We operate with a 5:47 5 minutes, 47 seconds beginner's mindset. We are always at the beginning of something focused on building what comes next and putting new opportunities in motion. 5:57 5 minutes, 57 seconds As our existing vertical scale, we will continue to build new capabilities, sustaining a disciplined cycle of investment, monetization, and earnings resilience. 6:08 6 minutes, 8 seconds The mindset remains constant even as the environment around us evolves and we help shape it. 6:17 6 minutes, 17 seconds Technology and AI are central to how we drive growth and efficiency. 6:22 6 minutes, 22 seconds Previously, we have talked about our support chatbot, AI generated email responses, etc. Beyond these use cases, 6:30 6 minutes, 30 seconds a major focus area for us is institutionalizing AI across the organization. There are many things 6:37 6 minutes, 37 seconds brewing internally on this front. This quarter, we launched the beta of our in-house data analyst agent, an AI 6:46 6 minutes, 46 seconds powered con conversational analytics tool that enables teams to derive insights from complex data sets using natural 6:55 6 minutes, 55 seconds language. For instance, queries like, show me the monthly trend of revenues for top 10 cities from September to November, which can then be followed up 7:04 7 minutes, 4 seconds with more queries in a conversational style. 7:08 7 minutes, 8 seconds In parallel, we are adopting agentic a AI across our software development life cycle to accelerate engineering 7:16 7 minutes, 16 seconds velocity. For example, we have been using top-of-the-line tools to generate source code. Together, these initiatives 7:24 7 minutes, 24 seconds reduce decision and execution latency, improve productivity, and enhance operating efficiency, allowing us to stay ahead of the curve. 7:34 7 minutes, 34 seconds But this is not just about efficiencies and velocity. We believe AI will help us build fundamentally better products. 7:43 7 minutes, 43 seconds Turning to broking, we are seeing early signs of recovery in line with what we had guided. Our average daily orders 7:50 7 minutes, 50 seconds have been improving consistently from a low of 4.9 million orders in February post the FNO regulatory changes to an 7:58 7 minutes, 58 seconds average of 6.2 million in Q3 FY26. 8:03 8 minutes, 3 seconds We have always maintained that regulatory changes strengthen market structures and support long-term participation. 8:10 8 minutes, 10 seconds We continue to welcome the regulators proactive, progressive and consultative approach. 8:17 8 minutes, 17 seconds Our franchise across direct and assisted channels remains resilient. Our tech- enabled assisted business provides a strategic advantage through a panindia 8:27 8 minutes, 27 seconds network of over 10,000 APS and over 11,000 MFDs offering deeper connect. 8:35 8 minutes, 35 seconds We sustained a 20.4% overall retail equity turnover market share and strengthened our DMAT market share to 16.5%. 8:47 8 minutes, 47 seconds In commodities, Q3 marked our highest ever orders and editive at 35 million 8:54 8 minutes, 54 seconds and rupees 1.7 trillion respectively, higher by 21% and 43% quarter over 9:01 9 minutes, 1 second quarter. Year-over-year, it is a gain of 53% and 169% respectively. 9:09 9 minutes, 9 seconds Our client funding book grew 10.4% sequentially to 58.6 6 billion rupees reflecting rising client confidence and deeper wallet share. 9:21 9 minutes, 21 seconds Our emerging businesses continue to show promising traction. 9:25 9 minutes, 25 seconds Strong mutual fund slip registrations and robust credit growth highlight improving engagement across the platform. 9:33 9 minutes, 33 seconds Credit dispersements reached rupees 7.1 billion during the quarter, growing 56% quarter over quarter, translating into an annual run rate of rupees 28 billion. 9:46 9 minutes, 46 seconds These businesses are designed to mature over time, solving client needs and driving sustainable monetization. 9:56 9 minutes, 56 seconds Despite a year of regulatory changes and software market conditions, our st standalone IBIDA margin comprising broking and distribution improved to 43% 10:05 10 minutes, 5 seconds this quarter, underscoring the strength of our operating model. 10:10 10 minutes, 10 seconds Wealth management continues to gain momentum with IonX AUM crossing rupees 82 billion while our asset management 10:17 10 minutes, 17 seconds business scaled steadily with AUM at rupees 4.7 billion. 10:24 10 minutes, 24 seconds As we expand into a broader financial ecosystem, we are continuing to strengthen our leadership and governance. I'm delighted to welcome 10:31 10 minutes, 31 seconds Ajit Sina as our general council, bringing over 24 years of experience, including most recently at the national stock exchange. 10:41 10 minutes, 41 seconds To conclude, we are building Angel1 as a fullstack omni channel AI native financial services platform compounding 10:49 10 minutes, 49 seconds through technology, trust, and disciplined execution. The foundations are strong, our engines are scaling, and 10:56 10 minutes, 56 seconds the opportunity ahead remains compelling. 11:00 11 minutes With that, I will now hand it over to Sorup to walk you through the emerging growth verticals. 11:10 11 minutes, 10 seconds Good morning everyone and thank you for joining us. Our emerging businesses continue to make steady and meaningful progress with credit evolving into a key 11:19 11 minutes, 19 seconds strategic growth engine. During the quarter, we scaled disbbursements to 7.1 billion rupees supported by stronger 11:27 11 minutes, 27 seconds demand, deeper partner engagement and improving execution across the platform. 11:33 11 minutes, 33 seconds What's compelling is how early we still are. Only a small fraction of our client base currently accesses trade through us despite the fact that our base already 11:42 11 minutes, 42 seconds takes over 1 trillion rupees of personal loans annually from the broader market. 11:47 11 minutes, 47 seconds The embedded opportunity within our ecosystem alone. Therefore, even before considering secured categories is quite substantial. 11:56 11 minutes, 56 seconds The strength of our customer base combined with more disciplined industry environment and clearer regulatory framework has increased partner 12:04 12 minutes, 4 seconds confidence and capital deployment on our platform. We are deliberately building this business as a long-term platform play and not just a short-term 12:12 12 minutes, 12 seconds distribution play. Our investments are focused on deeper data loops, stronger intelligence, and more robust operating 12:20 12 minutes, 20 seconds frameworks that help partners underwrite more precisely, operate more efficiently, and manage outcomes more predictably. 12:28 12 minutes, 28 seconds This creates durable partner value and positions us to capture attractive economics over time. We will continue to 12:35 12 minutes, 35 seconds scale with discipline but our strategic intent is clear to build one of the most trusted high performance credit platforms in the country with strong 12:43 12 minutes, 43 seconds unit economics and defensible differentiation on mutual funds. We remain well 12:50 12 minutes, 50 seconds positioned as a mutual fund friendly platform maintaining our presence and share in the SIP market with 2.3 12:58 12 minutes, 58 seconds million unique SIP registered during the quarter. Overall, AUM has grown to rupees 171 billion. [clears throat] 13:06 13 minutes, 6 seconds Adoption continues to expand meaningfully beyond metros as well, reinforcing the long-term structural growth of the category. 13:14 13 minutes, 14 seconds Of the 3 million clients who have invested in mutual funds on our platform, more than 38% began their 13:21 13 minutes, 21 seconds overall investment journey with mutual funds only, demonstrating that MF is not just an engagement driver, but also a powerful customer activation engine. A 13:30 13 minutes, 30 seconds significant portion of these clients subsequently deepen their relationship with us through broking, reinforcing MF 13:37 13 minutes, 37 seconds as a strong monetization lever. Also, our focus sense is clear. Expand reach, deepen engagement, and build these 13:44 13 minutes, 44 seconds businesses into durable franchises that compound longterm value. While we remain excited about the opportunity, we'll 13:53 13 minutes, 53 seconds continue to scale with discipline rather than optimize for short-term growth. 13:57 13 minutes, 57 seconds With that I'll hand it over to Shrihan to walk you through the well business. Thank you. 14:03 14 minutes, 3 seconds Thank you S. Good morning everyone and thank you for joining us. Let me begin with the broader context. 2025 was one 14:10 14 minutes, 10 seconds of the most challenging years for investors. Not because markets moved in any one direction but because every asset class behaved differently. We saw 14:19 14 minutes, 19 seconds significant global volatility with returns being driven by focusing on asset allocation and not from betting on 14:26 14 minutes, 26 seconds a single market or theme. In that sense, 2025 truly stood out as the year of asset allocation. Adding to that, wealth 14:35 14 minutes, 35 seconds management in India emerged as one of the most active sectors. It drew strong interests from established and new age 14:42 14 minutes, 42 seconds companies attracting significant fresh capital and demand for talent pool across domain and technology. Coming 14:49 14 minutes, 49 seconds specifically to ionic excited to share that today we manage 8,217 crores in AUM which is a 34% Q1 growth. 14:59 14 minutes, 59 seconds We service the needs of 1600 plus clients across 10 cities. This scale reflects how we have doubled down on our 15:07 15 minutes, 7 seconds omni channel proposition combining technology with deep domain expertise to make sophisticated strategies accessible to emerging HNIs, HNIs and ultra HNIs. 15:18 15 minutes, 18 seconds Throughout this year, research and domain expertise held us in goodstead through market volatility. Several of our researchled views across 15:27 15 minutes, 27 seconds commodities, global markets, and new emerging areas played out well. This consistency translated into higher client confidence. We saw deepening of 15:36 15 minutes, 36 seconds wallet share within existing relationships alongside the acquisition of new clients. Building a wealth practice requires managing significant 15:44 15 minutes, 44 seconds assets under the management at sustainable margins and that remains our core philosophy. Our investments in technology have demonstrated improving 15:52 15 minutes, 52 seconds productivity while bringing down operating costs. For example, today 37% of our code base is AI generated 16:00 16 minutes allowing faster build cycles and iterations. With digital quotient as a key strategic pillar, we actively 16:08 16 minutes, 8 seconds experiment with new use cases especially in artificial intelligence. Our recent initiatives include an AI avatar, 16:16 16 minutes, 16 seconds automated portfolio weekly rap, AI generated mutual fund summaries and automated meeting notes that enhance 16:24 16 minutes, 24 seconds client engagement for RMS while providing portfolio and market insights to our clients. One of the outcomes of this approach is our portfolio 16:32 16 minutes, 32 seconds assessment feature on the Ionic app which gives investors deep analysis and a holistic view of their portfolio. Over 16:39 16 minutes, 39 seconds 10,000 crores of portfolio value have been analyzed by investors via a digital platform. Our focus in the coming year 16:48 16 minutes, 48 seconds will be to double down on our early omni channel successes while we actively engage to activate Angel1's HNI investor 16:55 16 minutes, 55 seconds base with portfolio management being digitally facilitated through ionic. 17:00 17 minutes Finally, on the investment side, asset allocation remains the core theme for 2026 as well with a positive outlook on 17:08 17 minutes, 8 seconds precious metal, select emerging markets and commodities supported by global liquidity and a potentially supportive 17:15 17 minutes, 15 seconds central bank. Discipline diversification and execution remain key to capital appreciation. With this, I pass it on to him. 17:25 17 minutes, 25 seconds Thank you, Shantan. Good morning, everyone. India's relationship with mutual funds is still at an early stage, especially when seen again the scale of household savings and rising incomes. 17:36 17 minutes, 36 seconds This creates a large long-term opportunity with passive investing set to play a bigger role as investors increasingly seek simplicity, 17:45 17 minutes, 45 seconds transparency, and cost efficiency. At Angel1 AMC, our growth strategy is anchored around expanding our product 17:52 17 minutes, 52 seconds suit and investing in investor education to drive informed adoption. As savings grow, passive products naturally find a 17:59 17 minutes, 59 seconds more permanent place in investor portfolios and our focus is to make this transition simple and well understood. 18:07 18 minutes, 7 seconds During the quarter, we strengthened our passive lineup with the launch of two new offerings. The angel won Nifty total market momentum quality 50 index and an 18:15 18 minutes, 15 seconds ETF version as well, which are the industry first smart beta offerings on Nifty total market index. With this, our 18:22 18 minutes, 22 seconds passive portfolio now spans nine schemes across asset classes, offering investors broad choice through transparency and low cost structure. 18:32 18 minutes, 32 seconds We continue to see encouraging traction across key metrics. Our AUM stands at rupees 4.7 billion spread across 1.9 18:40 18 minutes, 40 seconds lakh folios in over 16.9,000 pin codes reflecting deeper engagement and growing adoption across bat. Education remains 18:49 18 minutes, 49 seconds central to our approach through digital content, vernacular communication and platformled engagement. We are simplifying passive investing and 18:57 18 minutes, 57 seconds helping investors build long-term wealth with confidence. To expand reach, we are leveraging our strong captive distribution network along with third 19:06 19 minutes, 6 seconds party online and offline distribution channels. As we look ahead, we remain focused on building a scalable education 19:13 19 minutes, 13 seconds passive franchise that compounds steadily over time. With that, I now hand it over to Venice to walk you through the financial performance for the quarter. 19:23 19 minutes, 23 seconds Thank you, Amen. Good morning everyone. 19:27 19 minutes, 27 seconds [clears throat] 19:27 19 minutes, 27 seconds As mentioned earlier by both Dineshai and Amish, I'm pleased to share that in the third quarter, we saw clear signs of recovery with meaningful improvements 19:36 19 minutes, 36 seconds across both operational execution and financial performance. Despite three fewer trading days in the quarter, we 19:43 19 minutes, 43 seconds delivered sequential improvement across both operating and financial matrix. 19:48 19 minutes, 48 seconds Total gross income increased 11.1% quarteron quarter to approximately rupees 13.4 4 billion while total net 19:57 19 minutes, 57 seconds income grew 9.3% sequentially to rupees 10.3 billion. Importantly, this growth 20:04 20 minutes, 4 seconds was driven by multiple revenue streams reflecting improving quality of earnings. 20:10 20 minutes, 10 seconds One of the key structural themes this quarter continues to be the diversification of our revenue mix. The share of gross broking income declined 20:19 20 minutes, 19 seconds to 58.1% in quarter 3 FI 2026 from 64.7% in quarter 3 of FI 2025. 20:28 20 minutes, 28 seconds Share of interest income including income from our client funding book and interest earned on deposits with clearing corporations increased to 33% 20:38 20 minutes, 38 seconds up from 27.6% in the year ago. 20:43 20 minutes, 43 seconds In addition, supported by strong growth in a credit distribution business and a healthy IPO environment, the contribution of distribution income 20:52 20 minutes, 52 seconds increased to 4.3% in quarter 3 from 2.4% in quarter 3 of FI 2025. We view this 21:00 21 minutes growth as volume and largely non-yclical given our expanding client base and product penetration. The remaining 21:08 21 minutes, 8 seconds income was contributed by depository operations and other services. 21:12 21 minutes, 12 seconds Within broking revenues, the share of FNO declined to 44.3% of the total gross income compared to 52.5% in quarter 3 of FI 2025. 21:23 21 minutes, 23 seconds This reflects a deliberate shift towards a more balanced and less volatile revenue profile rather than any loss of competitiveness. 21:33 21 minutes, 33 seconds At this point we at the same time we witnessed strong momentum in the commodity segment where gross broking 21:40 21 minutes, 40 seconds income grew 46.2% yearonear to rupees 821 million contributing 6.1% to the 21:48 21 minutes, 48 seconds total gross income compared to 4.4% in the same period last year. Turning to income uh interest income sustainability 21:57 21 minutes, 57 seconds our average client funding book reached a new high of 58.6 6 billion up 10.4% sequentially. This growth remains well 22:06 22 minutes, 6 seconds within our internal risk thresholds supported by adequate LTVs and robust monitoring framework. Along with higher 22:13 22 minutes, 13 seconds fixed deposits placed with the clearing corporations, this resulted in 16.2% quarteronquarter growth in interest income to rupees 4.4 billion. 22:24 22 minutes, 24 seconds Finance costs remain increased 36.4% 4% sequentially to rupees 1.3 billion 22:30 22 minutes, 30 seconds primarily due to higher borrowings uh on account of regulatory change requiring the upstreaming of client cash 22:38 22 minutes, 38 seconds margins under MTF trades as well as growth in the average client funding book. I would like to clarify that the elevated borrowings relating to this 22:46 22 minutes, 46 seconds upstreaming activity are temporary and timing related and we do not expect this to have a lasting impact on our structural cost of funds on net basis. 22:56 22 minutes, 56 seconds The impact of cost of upstreaming funds on the EBDAT is rupees 70 billion million for the quarter. Finance cost 23:04 23 minutes, 4 seconds has increased by rupees 300 million with an increase in interest earned from the deposits by about 230 million. On the 23:12 23 minutes, 12 seconds OPEX front, we continue to exercise strong discipline. Employee expenses including ESOP costs remain stable at 23:19 23 minutes, 19 seconds rupees 2.7 billion even after accounting for a one-time impact of the new labor reforms of rupees 38.6 million for past service period up to September 2025. 23:33 23 minutes, 33 seconds Other operating expenses increased modestly by rupee uh by 2% quarteron quarter to rupees 3.5 billion largely 23:41 23 minutes, 41 seconds driven by higher client acquisition which we view as discretionary and val variable in nature as a result our 23:48 23 minutes, 48 seconds reported eBT margin expanded to 39.4% 4% in quarter 3 FI 2026 a sequential 23:56 23 minutes, 56 seconds improvement of 486 89 basis points despite ongoing investments in incubating New York businesses this 24:04 24 minutes, 4 seconds reinforces our confidence in the operating leverage inherent in the model reported profit after tax increased by 24:12 24 minutes, 12 seconds 26.9% quarteron quarter to rupees 2.7 billion reflecting both revenue diversification and cost discipline. 24:20 24 minutes, 20 seconds Finally, on the balance sheet, the period end client funding book remains stable at 59.2 billion rupees. 24:26 24 minutes, 26 seconds Borrowings increased to 59.7 billion rupees while net worth strengthened to 61.5 billion rupees as of December 31, 2025. 24:36 24 minutes, 36 seconds Cash and cash equivalents remained healthy at rupees 135.8 billion rupees supported by higher client balances. We 24:44 24 minutes, 44 seconds continue to maintain strong liquidity buffers and conservative leverage providing flexibility to support growth while managing regulatory changes. That 24:54 24 minutes, 54 seconds concludes my opening remarks. We will now be happy to take your questions. Thank you. 25:01 25 minutes, 1 second Thank you ladies and gentlemen. We will now begin the question and answer session. Anyone who wishes to ask a 25:08 25 minutes, 8 seconds question may press star and one on the touchstone telephone. If you wish to remove yourself from the question queue, 25:14 25 minutes, 14 seconds you may press star and two. Participants are requested to use their handsets while asking a question. Ladies and 25:22 25 minutes, 22 seconds gentlemen, we will wait for a moment while the question queue assembles. 25:28 25 minutes, 28 seconds We take the first question from the line of Pesh Chan from Modila Losal Financial Services Limited. Please go ahead. 25:36 25 minutes, 36 seconds Yeah. Hi everyone. Uh congratulations on a good set of numbers. Uh firstly a very bookkeeping question. You have kind of 25:43 25 minutes, 43 seconds presented two types of financials in your presentation. One is the consolidated financial performance and then you've given broking and 25:50 25 minutes, 50 seconds distribution uh which is like uh you know MF plus credit business. Uh uh so the gap between the two is uh is accounts for what? 26:03 26 minutes, 3 seconds Uh yeah thank you P. uh so uh the uh distribution uh plus uh MF uh and uh credit distribution plus broking 26:12 26 minutes, 12 seconds constitutes the standalone financials and the other one is the consolidated financials. 26:18 26 minutes, 18 seconds So the wealth management would be so so wealth management would be part of the consolidated financials in this uh uh 26:26 26 minutes, 26 seconds standalone it includes broking distribution of credit and MF only. No because why I'm asking that is if I look at the gap between the two financials 26:34 26 minutes, 34 seconds that you've reported revenue profile is you know not changed materially in fact it's kind of weakened in the last couple 26:42 26 minutes, 42 seconds of quarters but the cost or the the AITA loss of the gap is kind of increasing 26:50 26 minutes, 50 seconds every quarter so and even on the pat it's kind of increasing so what's explains that 26:57 26 minutes, 57 seconds yeah so uh as we have been mentioning in the past uh there is a burn of incubating the newer businesses the asset management and the wealth 27:05 27 minutes, 5 seconds management businesses which is in the range of about 3 three and a half% of the operating margin and that's the gap 27:13 27 minutes, 13 seconds no but Vinnie then the revenue profile should have increased significantly right the kind of scale up we've seen on the wealth management aum the gap right 27:21 27 minutes, 21 seconds now in the what you've shown on the on the two charts the revenue gap is hardly it's not changing at all in fact it's 27:28 27 minutes, 28 seconds just about 20 kores for the past over three quarters. 27:33 27 minutes, 33 seconds Uh as you would be aware uh while the AUM uh continues to build up build up there is a lag in the revenue 27:40 27 minutes, 40 seconds realization because of the regulations where you cannot realize a revenue on the movement of the AUM uh up to a 27:48 27 minutes, 48 seconds certain point in time. So there will be some lag in the revenue realization from this AUM especially on the wealth side uh which will show up in the coming quarters. 27:58 27 minutes, 58 seconds Okay. 28:00 28 minutes A more strategic question on the AMC. Um you know when you when you would have started the AMC you would have certain 28:06 28 minutes, 6 seconds targets in your mind with respect to scale up of the AUM and everything. uh how are we performing against it and you 28:15 28 minutes, 15 seconds know where do you see this scaling up you know in spite of launching a few schemes our AUM have not scaled up uh 28:24 28 minutes, 24 seconds the existing client clients that we have on the on the AMC front whether those are largely our own clients or how is 28:32 28 minutes, 32 seconds how is the profile and do you see a significant scale up here in the anywhere anytime in the next couple of years look I think uh This is this is Amarish. 28:42 28 minutes, 42 seconds Um these are uh you know long gestation businesses. So we don't think uh we should start viewing them in one or two 28:49 28 minutes, 49 seconds years. Uh overall uh very pleased with how the folios and the aum has been um 28:56 28 minutes, 56 seconds growing but he maybe you can give you know just specifics on the f folios and aums again so that uh that becomes clearer. 29:07 29 minutes, 7 seconds Yeah thanks AK. So yes uh see idea is to build a uh strong uh educationled uh uh 29:15 29 minutes, 15 seconds passive uh AMC uh as you would know see mutual fund is a long gestation uh 29:23 29 minutes, 23 seconds business and it takes time to uh build a scale create a brand build scale and then leverage onto what we build. So 29:31 29 minutes, 31 seconds currently we are very happy with the number of clients who have started participating in our ETFs and index 29:38 29 minutes, 38 seconds funds. Uh it is growing at a very very uh steady uh steady pace and uh we've 29:45 29 minutes, 45 seconds seen that once the client clients grow basically over a period of time you start seeing uh that in slowly and 29:53 29 minutes, 53 seconds steadily in the inum as well. So uh that's how it is. 30:00 30 minutes Got that. Um just last question any color on uh the AP channels uh productivity on the distribution side 30:09 30 minutes, 9 seconds whether it's mutual fund insurance credit um what is the kind of uh AP channel size in terms of these 30:18 30 minutes, 18 seconds businesses while you know largely I think on the uh broking side we understand and we can do some reverse workings with respect to the broking 30:26 30 minutes, 26 seconds side but uh on with respect to mutual fund scale up which is ideally I would presume assume that that's more on the distributor route. So you'll be earning 30:34 30 minutes, 34 seconds income out of it. Uh so what kind of size we have been able to reach on mutual fund as well as insurance and credit there? 30:45 30 minutes, 45 seconds Uh we don't uh right now give any split of the distribution income between the direct and the assisted business. Uh but overall it will be in that same ballpark 30:54 30 minutes, 54 seconds of uh uh the broking business which uh is roughly 75 is to 25. for now you can take that and as we go along we'll start 31:03 31 minutes, 3 seconds uh giving more information uh in the following quarters. Got that. Thank you and all of us. 31:12 31 minutes, 12 seconds Thank you ladies and gentlemen. In the interest of time and fairness to others we request you to restrict to two questions per participant and rejoin the question queue. 31:22 31 minutes, 22 seconds We take the next question from the line of Nadesh from Invest. Please go ahead. 31:28 31 minutes, 28 seconds Uh thanks for the opportunity. Uh first question is on pricing per order. So that has increased in this quarter on a Q on Q basis. Uh last quarter I think we 31:36 31 minutes, 36 seconds have taken a price hike. So it is now a new normal or you see further increase in pricing per order uh going forward. 31:44 31 minutes, 44 seconds Uh look we as all of us have said we are operating at a fairly healthy margin. Uh we we focused on building a great 31:52 31 minutes, 52 seconds product and serving our customers. So there's no no thought on more pricing changes. 31:59 31 minutes, 59 seconds Uh secondly on the OPEX how should we build trajectory from a 2 to three year perspective? Uh we have seen pretty good 32:07 32 minutes, 7 seconds growth in OPEX over last 3 to four years but how are you planning uh uh from a next let's say three year perspective. 32:13 32 minutes, 13 seconds Do you still see that opex growth will be lower than revenue growth or it can be similar to revenue growth going forward? 32:21 32 minutes, 21 seconds Uh so Nidesh a large part of our opex is driven by the customer acquisitions that we do. Uh so that we are uh quite uh 32:29 32 minutes, 29 seconds beyond about it. We are very uh uh focused on that. Other than that I think uh we continue to guide the uh uh our 32:37 32 minutes, 37 seconds stakeholders about operating margin of about 45% uh 40 to 45% for the broking business which we will continue to uh u 32:46 32 minutes, 46 seconds endeavor to obtain. So that should be the guiding principle for uh any future projections. 32:53 32 minutes, 53 seconds And lastly on the wealth management uh how many clients uh that angel one has which will qualify in the HNI category 33:01 33 minutes, 1 second and what will be the operating model uh in that segment? 33:10 33 minutes, 10 seconds Yeah. Hi. Uh so NITH on that while we are still uh working on those because right now as you as you know that the 33:18 33 minutes, 18 seconds wealth businesses is just beginning to scale and ensuring that more and more products are provided on the on the platform. Uh there is a digital platform that the wealth has themselves build. 33:29 33 minutes, 29 seconds Only this year we are now looking to uh integrate a wealth platform into our super app and as uh more numbers emerge 33:37 33 minutes, 37 seconds we will come back to you with more information at a later time. 33:42 33 minutes, 42 seconds Uh sure. Thank you. That's it from my side. 33:46 33 minutes, 46 seconds Thank you. We take the next question from the line of San Ga from Aventes Park. Please go ahead. 33:53 33 minutes, 53 seconds Uh yeah, thank thanks for the opportunity sir. My my first question is on on the gross booking income mix. I mean honestly if we if you see last 34:02 34 minutes, 2 seconds eight quarters data uh largely the authorized person contribution um remains in that range of 4142 34:09 34 minutes, 9 seconds percentage um despite adding so many number of clients um uh the the the direct uh uh customers contribution 34:18 34 minutes, 18 seconds significantly did not change in last eight quarters. So, so just wanted to understand uh uh is is is our reliance 34:26 34 minutes, 26 seconds on authorized person to deliver the growth has increased off late and or or there is a slowdown in the traction in the direct guys. That's point number one 34:34 34 minutes, 34 seconds and and the second thing related to that thing only uh two things which I wanted to check was that um uh you used to disclose abidot margins of AP channel 34:43 34 minutes, 43 seconds and direct channel separately in the past. If you can reshape that number that would be useful to just to understand the color of the profitability and and lastly and and 34:51 34 minutes, 51 seconds related to this authorized person only if if you can give a color on how the margin trade funding book works it is skewed towards AP customers or more more 35:00 35 minutes skewed towards direct customers that's that's the thing which I wanted to check look uh do any of these things we don't 35:08 35 minutes, 8 seconds uh break out thanks so much for your question Sankit uh you know overall both the businesses direct as well as AP businesses are fairly vibrant both of 35:16 35 minutes, 16 seconds them we are investing in. So we continue to be um you know excited about both the businesses but we don't break out these um these specifics. 35:25 35 minutes, 25 seconds Yeah. The reason sir I'm asking this question is that um u because because if the operating leverage need to play out very strongly in the company uh we I was 35:35 35 minutes, 35 seconds under the impression that the direct growth should be much stronger because it trickles down directly to the bottom line and and there is a kind of 35:42 35 minutes, 42 seconds stagnation in the grow gross broking income between authorized person and direct so so so that's the reason I wanted to check on that particular point 35:53 35 minutes, 53 seconds look we are investing in both the channels and the the split is remaining quite uh similar. The beauty of the 36:01 36 minutes, 1 second assisted channel is that when you look at the long tail when you start looking at tier 2, tier three and uh beyond uh you get really good growth from there 36:10 36 minutes, 10 seconds and and as we are expanding I think both these channels remain uh fairly important for us. 36:16 36 minutes, 16 seconds Uh okay sir understood and and uh last one vinit you you probably I missed on your opening remark the finance cost 36:23 36 minutes, 23 seconds went up in the current quarter uh um I just just wanted to understand it's largely because of the regulatory reasons because of the upstreaming or or 36:31 36 minutes, 31 seconds there was something else no so uh one is of course our client funding book has also grown so some uh part of that is attributable to the 36:40 36 minutes, 40 seconds growth in the client funding book but a majority of it as I mentioned in my opening remarks is due to the uh regulator regulation which came into 36:48 36 minutes, 48 seconds effect from 1st of October for the industry wherein uh the uh upstream of client funds is required but as I mentioned this is something which is 36:56 36 minutes, 56 seconds transient it's not uh a permanent uh feature so hopefully by the uh sometime during the quarter we'll uh we'll have a solution in place 37:04 37 minutes, 4 seconds okay but but the current run rate will continue uh is it fair to assume or or you will have a resolution to that uh this this for for some period during 37:12 37 minutes, 12 seconds the quarter it'll continue but by hopefully by the end of the quarter we'll have a more uh realistic number which is going to be lower. 37:20 37 minutes, 20 seconds Uh understood uh thanks thanks for the answers. 37:25 37 minutes, 25 seconds Thank you. We take the next question from the line of Gotham Jed from GCJ Financial. Please go ahead. 37:33 37 minutes, 33 seconds Uh good morning sir. Uh congratulations for very good numbers. 37:41 37 minutes, 41 seconds Hello. 37:44 37 minutes, 44 seconds Thank you so much. Why don't you go ahead with your question Gotham? 37:48 37 minutes, 48 seconds Sir, we have seen that uh you know the revenue per order in this quarter has gone up. So uh has it uh fully factor in 37:57 37 minutes, 57 seconds or we can see further rise in revenue per order going forward. 38:03 38 minutes, 3 seconds I mean whatever taken is completed uh the full impact has come in the quarter we can see further ride in per quarter 38:11 38 minutes, 11 seconds revenue. Look at uh thanks for the question and there are multiple factors that go into it. There is uh there's a mix of orders. I think you've uh 38:19 38 minutes, 19 seconds referred to a little bit about the pricing change we made. The pricing change that we had made actually went into effect middle of the quarter. Uh so 38:27 38 minutes, 27 seconds some some impact you saw of that also but there are multiple factors um going on this and and a lot of it depends on the mix of orders as well. Um so it can change some quarter to quarter. 38:41 38 minutes, 41 seconds Okay. Thank you so much. 38:44 38 minutes, 44 seconds Thank you. We take the next question from the line of Raman KV from Sequent Investment. Please go ahead. 38:53 38 minutes, 53 seconds Uh hello sir, can you hear me? Yes, please go ahead. Hello. 39:01 39 minutes, 1 second Yes, Ramen, please go ahead. 39:03 39 minutes, 3 seconds Uh yes sir. Sir, I just want to understand your credit dispersement business. Does that business include uh your insurance business as well? 39:17 39 minutes, 17 seconds No, the credit distribution business is only for loan distribution of loans. Uh insurance distribution though we do that but it's a separate business. 39:26 39 minutes, 26 seconds Uh so uh from what I I just want uh from the PPT what I can read is uh uh the 39:34 39 minutes, 34 seconds distribution uh business uh revenue from distribution uh is does that include your credit as well as insurance or only the credit dispersement distribution? 39:46 39 minutes, 46 seconds Uh so Raman uh as per the uh regulatory guidelines the insurance business can be done under a separate legal entity. It 39:53 39 minutes, 53 seconds is done under angel financial advisor which is a wholly own subsidiary and therefore the standalone numbers that you see which is broking plus 40:01 40 minutes, 1 second distribution MF and credit that does not include the insurance distribution uh cost or the revenue that's part of the 40:09 40 minutes, 9 seconds consolidated uh numbers uh as I mentioned the distribution business for insurance for credit and MF and the 40:17 40 minutes, 17 seconds broking is part of the standalone that's there on in front of the uh uh presentation Yeah, 40:24 40 minutes, 24 seconds understood sir. And sir, my last question is with respect to the asset management side. Uh we have been launching index funds and ETFs. Is there 40:32 40 minutes, 32 seconds a plan of la pivoting to a active manage uh actively managed fund like a flexi cap or a midcap by the company? 40:43 40 minutes, 43 seconds No, thanks Raman for the question. uh we're very focused uh right now on the on the passive side and uh you you may 40:50 40 minutes, 50 seconds see actually more uh come on that side but no uh nothing to talk about on the active side. 40:58 40 minutes, 58 seconds Okay, thank you sir. 41:01 41 minutes, 1 second Thank you. We take the next question from the line of Dvanchan from Finch Finvest. Please go ahead. 41:10 41 minutes, 10 seconds Hi sir. Uh thanks for the opportunity. 41:12 41 minutes, 12 seconds Uh my question is regarding the commodity turnover market share in the recent business update that you have shared uh it has reduced from 65% in Q2 41:21 41 minutes, 21 seconds to 53%. So what led to this decline in the market share? 41:27 41 minutes, 27 seconds Yeah hi Dash thank you so much for your question. Uh look I think we I talked about this in my initial comments also. 41:34 41 minutes, 34 seconds Um when you look at let's say quarter over quarter just the number of orders went up by 21% for us. uh the ADTO if 41:43 41 minutes, 43 seconds you look at it that went up by 43%. This is this quarter or quarter. When you look at year-over-year same numbers orders went up by 53%. 41:51 41 minutes, 51 seconds And year-over-year ADTO went up by 169%. 41:55 41 minutes, 55 seconds So what is happening is that there is a tremendous growth in the commodity market and the market is expanding. So what you're seeing is that the PI is 42:03 42 minutes, 3 seconds expanding quite rapidly and um you know even you know above 50% that's a very very healthy market share. So we of 42:12 42 minutes, 12 seconds course you know welcome when the market's expanding we um you know we we are seeing the growth. So happy about the growth we are seeing in commodities. 42:21 42 minutes, 21 seconds So going ahead do you expect the number to remain in the same range or like where do you look forward? I I think uh 42:29 42 minutes, 29 seconds you know overall I do think that maybe the the drop in the share that you're seeing is definitely stabilizing and we 42:36 42 minutes, 36 seconds continue to see a lot of growth in commodities. So we are expecting uh you know again it's hard to predict the future uh growth specifically but we do expect more growth in commodities. 42:47 42 minutes, 47 seconds Okay. answer regarding the better margins on the console level. So are you expecting it to remain in the same for next 2 to 3 years? 42:56 42 minutes, 56 seconds On the you know our request would be that in fact which is why we sort of break that down is that look at the standalone basis because that is more um 43:05 43 minutes, 5 seconds that shows you the strength of the core business. On the console level things can you know change depending on what investments we make. you know we want to continue to make investments in growth 43:14 43 minutes, 14 seconds as and when opportunities arise and therefore the console margins could change based on that. Uh the guidance that we have given you should uh you 43:23 43 minutes, 23 seconds know on the standalone basis I think that will continue to be there and I think we only see that business strengthening. 43:31 43 minutes, 31 seconds Thank you sir. 43:34 43 minutes, 34 seconds Thank you. We take the next question from the line of Deepan Go from Cityroup. Please go ahead. 43:41 43 minutes, 41 seconds Hi uh good please go ahead 43:48 43 minutes, 48 seconds ladies and gentlemen the participant has left the question queue we will move on to the next question from the line of 43:54 43 minutes, 54 seconds watsel nagalier from Astra mind capital please go ahead hi thanks for your opportunity uh over 44:02 44 minutes, 2 seconds the years we have been able to increase our market share in cash and FMO at a steady pace uh one of our competitor which was recently listed uh they have a 44:11 44 minutes, 11 seconds similar pace and are gaining market share at a much faster pace and and also spending less on marketing. So do you 44:19 44 minutes, 19 seconds see any gaps in our strategy that we can address and also also like how do we see the market share evolving going further? 44:28 44 minutes, 28 seconds Uh sorry what's I didn't uh the last part you fed a little bit. Can you repeat the last line please? 44:34 44 minutes, 34 seconds Yes sir. So how do we see our market share evolving going further and also like is there any gap in our strategy 44:41 44 minutes, 41 seconds that we that can address look I think uh I I feel that you know 44:49 44 minutes, 49 seconds we've been always you know we've been a player who's been around for more than 30 years right if you look at you know uh different ways that we've oper you 44:57 44 minutes, 57 seconds know operated and we've seen the ups and downs of this market and various businesses so we really stay focused on 45:04 45 minutes, 4 seconds what uh we are doing and how we are uh doing better. If you look at it, we've had a healthy gain. For example, if you look at even cash, right? We've had a 45:13 45 minutes, 13 seconds you know almost 100 basis points growth year-over-year in cash market share. Uh we we've very healthy FNO share, very 45:21 45 minutes, 21 seconds healthy commodity share also. So there isn't sort of course there's no you know gap in the strategy or anything. I think we the slightly different businesses. 45:29 45 minutes, 29 seconds Every business is different and we continue to be focused on our strategy focusing on innovation, technology, AI and you'll continue to see strong 45:37 45 minutes, 37 seconds growth. I think you you're seeing that in a in a continued basis anyway. 45:42 45 minutes, 42 seconds So is there any stable market share that you are targeting? 45:46 45 minutes, 46 seconds No, nothing specific. I think that uh I want to announce on on that front in terms of the market share. We of course 45:53 45 minutes, 53 seconds continuously want to uh be stronger in the market share but most importantly do the right things for our customer. I think the most critical thing is 46:01 46 minutes, 1 second fundamentally do the right things for our customer. Keep innovating and everything else takes care of itself. 46:08 46 minutes, 8 seconds Okay. 46:12 46 minutes, 12 seconds Thank you ladies and gentlemen. If you wish to ask a question please press star and one. 46:19 46 minutes, 19 seconds We take the next question from the line of Sanel Desai from ICI securities. Please go ahead. Yeah. Yeah. Hi, good afternoon everyone. 46:28 46 minutes, 28 seconds Uh so my question is more on the again just uh circling back there. Uh so I 46:35 46 minutes, 35 seconds think you said there was some regulatory change which led to the finance cost going up. Uh so the borrowings have also 46:42 46 minutes, 42 seconds increased. So uh can you just explain like what was the regulation change and why this borrowings have gone up and you said like you are planning you know to 46:51 46 minutes, 51 seconds reduce it going ahead. So what are some of the PL ideas or plan of action you have to you know reduce this borrowings in the next quarter. 47:00 47 minutes Yeah. So uh the regulatory change is the uh reporting requirement uh from 1st of October uh if we were to segregate the 47:09 47 minutes, 9 seconds margin uh that we take we take from the clients 3x and 5x of ELM then the requirement was to upstream uh uh 47:18 47 minutes, 18 seconds clients margins with the clearing corporation and not use it for uh settlement of the uh trades and 47:25 47 minutes, 25 seconds therefore uh there was a higher working capital requirement to that extent which has elev weighted our our uh working 47:32 47 minutes, 32 seconds capital and therefore the finance cost as I mentioned it's uh something which is transient in nature because there is 47:39 47 minutes, 39 seconds a uh uh you know uh software update that is going to happen uh in some time which 47:46 47 minutes, 46 seconds will help us segregate and then not upstream this amount and therefore uh by the hopefully by the end of this quarter 47:53 47 minutes, 53 seconds we see uh decline in the uh borrowings and therefore the finance cost. Uh just to add to what Venit said uh I think 48:01 48 minutes, 1 second what we did was you know this short-term uh you know increase that you're seeing it is really better for the customer. We just wanted to make sure that there is no disruption in our customers and 48:09 48 minutes, 9 seconds that's something that we want stay focused on their experience. 48:14 48 minutes, 14 seconds Yeah. Okay. Yeah. That's helpful. Thank you. 48:17 48 minutes, 17 seconds Thank you. We take the next question from the line of Deepan Go from City Group. Please go ahead. 48:24 48 minutes, 24 seconds Hi uh good morning sir. Sorry my call got dropped off previously. So just few questions from my side. Uh first you know if I were to look at the industry 48:32 48 minutes, 32 seconds landscape today. Uh a lot of players with uh deep pockets or favorable capital regime are offering the MTF 48:40 48 minutes, 40 seconds facility at far lower rates uh than the leading tiers. Now let's say unlike broking where marginal difference in 48:48 48 minutes, 48 seconds brokerage pricing does not really alter uh the customer return profile uh in MTF uh you know huge divergence um of let's 48:57 48 minutes, 57 seconds say 5% plus can meaningfully alter the customer's returns. So on that perspective, you know, assuming this sort of a divergence persists in the 49:05 49 minutes, 5 seconds industry, uh would you kind of consider let's say differential MPF pricing based on ticket size or even maybe lower your 49:12 49 minutes, 12 seconds pricing if competitive intensity were to kind of sustain? So that's the first question. Uh the second question is um 49:20 49 minutes, 20 seconds uh you know what sort of aspirations do you really have in terms of scaling up your B2B T2C architecture? you know as you mentioned that as you go into the 49:28 49 minutes, 28 seconds interiors uh of the country B2B2C kind of becomes an important channel to get that last mile customer. Um and in this 49:36 49 minutes, 36 seconds line uh would you have any inorganic plans also? 49:42 49 minutes, 42 seconds Thank you so much for your question. I think uh let me address the first question and then I'll hand it over to Nishant who leads our uh B2B TOC 49:50 49 minutes, 50 seconds vertical to answer your second question on the MTF pricing. You're right. I think it you know there's in the industry you see a bunch of different 49:57 49 minutes, 57 seconds pricing schemes. The thing to uh really as you go into the detail of that you realize that there is a lot underneath. 50:04 50 minutes, 4 seconds I think sometime these schemes are fairly you know complicated on how things are charged and what is actually the net effect of it. So uh you know 50:12 50 minutes, 12 seconds that's what makes it harder for the consumer to discern. But what we've done is we've kept the pricing uh fairly uh simple and we think we are at the at the 50:21 50 minutes, 21 seconds right pricing point in it and don't need to actually look at it much. We've been growing the book quite well as you saw we grew our group more uh the book MTF 50:30 50 minutes, 30 seconds book more than 10% quarter over quarter and um we we can of course we always continue to monitor everything but we 50:38 50 minutes, 38 seconds don't see any need to look into pricing there at this time something on this on actually a wanted to add something go ahead 50:45 50 minutes, 45 seconds and what we also need to uh understand that the MTF as a product is an integral journey to a customer's uh broking 50:55 50 minutes, 55 seconds experience experience. So no matter what the pricing is, the customer remains engaged on the same platform. So even if 51:01 51 minutes, 1 second there is a uh there's a deep pocketed broker who he's looking to reduce the MDF pricing but ultimately it is about 51:09 51 minutes, 9 seconds giving an extended service to an ex existing broking customer and it is integrated in his online in his in his 51:17 51 minutes, 17 seconds journey and therefore to that extent the customer will always remain in the same platform. 51:25 51 minutes, 25 seconds [clears throat] 51:25 51 minutes, 25 seconds On your last question with regards to the growth prospects for uh B2B TOC, uh we have always followed a physical 51:33 51 minutes, 33 seconds approach in our GTM which seeks to leverage uh uh digital uh outreach along 51:40 51 minutes, 40 seconds with physical outreach and therefore that gives us the unique advantage to be able to scale at par with uh other 51:49 51 minutes, 49 seconds digital models and uh also therefore deliver a high double digits uh on a sustained basis. Uh today we are 51:57 51 minutes, 57 seconds available in all the 19,000 pin codes by and large. U we have a very very extensive expansion plan by adding other 52:06 52 minutes, 6 seconds channel partner categories uh be it mutual fund distributors be its or uh be it uh uh DSAs in future. So yes 52:16 52 minutes, 16 seconds uh the the outlook uh remains to be very strong and robust as we move forward. 52:23 52 minutes, 23 seconds My my my question also at an extended part which is you know uh there is a certain uh divergence between uh in cost if you were to kind of build it out 52:31 52 minutes, 31 seconds organically let's say acquire some of the fast scaling players. So any inorganic plans that you may likely consider uh going ahead. 52:41 52 minutes, 41 seconds Look in you know uh on all fronts not just any specific front you know as any company would do we keep looking at uh you know organic opportunities wherever 52:50 52 minutes, 50 seconds there is interest you know we we have uh conversations but nothing specific of course that um uh we can talk about it um on that front. 52:59 52 minutes, 59 seconds Got it. Uh thank you everyone and all the best. 53:04 53 minutes, 4 seconds Thank you. We take the next question from the line of Amit Jeswani from Shallian Asset Private Limited. Please go ahead. 53:12 53 minutes, 12 seconds Hi sir, I just wanted to know that the large margin difference between uh us and the newly listed payer, of course, our cost structure is a bit different. 53:21 53 minutes, 21 seconds Just wanted to know what do we model our fixed cost like we're 20% delta right now. So what what do we uh uh expect 53:29 53 minutes, 29 seconds that our cost growth would be because we've already invested a lot in the new business verticles uh going forward. 53:36 53 minutes, 36 seconds Yeah. Hi Amit, thank you so much for the question. I think uh one of the things that you will see in our cost in fact uh let's say for example if you look at the 53:44 53 minutes, 44 seconds employee benefit expenses Amit talked as Vinnie talked about you know we've not been in fact we've been keeping quite steady on that front and so we think we 53:53 53 minutes, 53 seconds have built a platform we built up a lot of these costs uh in the process so we have a fully fledged platform and now from here as we scale we don't expect 54:03 54 minutes, 3 seconds the costs uh to go up especially the fixed costs you know some of these acquisition costs of course would depend on um you know what kind of acquisition is available what's happening there but 54:12 54 minutes, 12 seconds we do think we've built up a a really good technology team we've built up really good you know even infrastructure costs are built into it so as we scale 54:20 54 minutes, 20 seconds for a long time I don't see us um needing that kind of increase and then some of the investments that we are making uh you know in the AMC wealth 54:28 54 minutes, 28 seconds other places I think that's that's great because that we want to continue to invest in things like that for the future um instead of worrying about 54:36 54 minutes, 36 seconds short-term expenses there. Uh but overall I think we've built up uh a platform and a good base and that's why you're seeing the cost stay steady and 54:45 54 minutes, 45 seconds you saw that sort of pat increases quarter over quarter. 54:49 54 minutes, 49 seconds Uh so would you say that this 275 crores quartly rounded would grow at around 10% next year? Would that be a right estimate to think about next year 54:57 54 minutes, 57 seconds assuming then if our volumes keep growing at 25%. 55:01 55 minutes, 1 second That is where the operating leverage comes in. 55:04 55 minutes, 4 seconds Yeah, I think overall instead of guiding you on a specific cost item, um my suggestion would be that you know keep our guidance on the margin of that 40 to 55:13 55 minutes, 13 seconds 45% on the standalone basis and I think uh that'll that'll continue to happen. 55:19 55 minutes, 19 seconds So basically that we've already achieved. So right now would you say that uh uh from year onwards our revenue growth should equal to our PAT growth or PBT growth? 55:29 55 minutes, 29 seconds Uh well I think it it depends on where we end up investing and what kind of growth happens. For example, if you take a lot of acquisition costs or other places, then you see that adjusting. 55:38 55 minutes, 38 seconds That's why I don't want to give you on a specific line item basis because that guidance then uh becomes um know may not 55:46 55 minutes, 46 seconds be accurate for you to follow. Best is to I think follow the um the um you know 55:53 55 minutes, 53 seconds operate operating OPM margin guidance that we have given and as we go along we can provide more information. 55:59 55 minutes, 59 seconds That's only on the standalone business, right? And this is a standalone business. Yes. Yeah, I would say just uh you know on the on the operating margin 56:07 56 minutes, 7 seconds uh do you know look at the the operating margin guidance on a standalone basis and as we make investments either increase reduce we we can continue to 56:15 56 minutes, 15 seconds keep informing you quarter to quarter but this is including the IPL 150 crores that we'll be hitting our balance sheet in Q1 right 56:26 56 minutes, 26 seconds uh so this guidance of about 40 45% is on an annual basis there will be quarterly girations based on certain 56:34 56 minutes, 34 seconds specific events like IPL etc. And I would urge not to get too perturbed about it but on a uh annual basis we 56:42 56 minutes, 42 seconds should be able to achieve uh 40 45% operating margin for the broking and distribution business. Got it. Thank you. Thank you so much. 56:52 56 minutes, 52 seconds Thank you. We take the next question from the line of Abhishek Vadri from UTI AMC. Please go ahead. 57:00 57 minutes Uh hi. Thank you. Uh just wanted to ask uh uh what is the guidance for the MPF 57:07 57 minutes, 7 seconds for scale up uh say by FI27 and how are we planning to fund it? Uh are we going to issue more CPS or are we 57:16 57 minutes, 16 seconds going to are we getting more uh limits from the banks? Uh yeah. 57:21 57 minutes, 21 seconds Uh go ahead. Sorry. Is that is that the question? Uh yes. 57:29 57 minutes, 29 seconds Okay. Sorry. I think on the MTF one you know you can start you know look you can look at the past performance we do think you know last quarter for example we 57:37 57 minutes, 37 seconds grew 10% uh quarter over quarter um I I do think that uh we you know think that the cash market uh will deepen further 57:46 57 minutes, 46 seconds in India and we do expect that to happen but hard to give you a specific guidance on the book itself um I I'd hand it over 57:53 57 minutes, 53 seconds to Venit for how we want to fund this uh so the uh funding the basket of borrowings We continue to diversify and 58:01 58 minutes, 1 second uh reccalibrate based on uh the availability of funds across uh uh various channels. U recently RBI 58:10 58 minutes, 10 seconds circulated a draft circular where uh they've taken a step uh forward in terms of enabling banks to offer uh lending 58:18 58 minutes, 18 seconds towards margin trading funding. That's something which is still in works. uh no final circular has come but uh yes if 58:25 58 minutes, 25 seconds banks do uh start offering u funds for MTF then we would also look forward to but we'll continue to expand our other 58:33 58 minutes, 33 seconds channels including uh uh commercial paper offerings and uh other revenues correct uh any rough number that you can 58:42 58 minutes, 42 seconds give me for the FY27 where we see the MPF book 58:49 58 minutes, 49 seconds no we don't give out any number I mean technically we can wrote this book uh substantially from where we are given the uh leverage that we have uh in terms 58:58 58 minutes, 58 seconds of the net worth and uh the borrowing capacity but it's difficult to give a guidance on any specific numbers 59:06 59 minutes, 6 seconds pertaining to MTF. I think the trajectory that we've achieved in the past you can extrapolate that to get an understanding of where we could 59:14 59 minutes, 14 seconds potentially go uh let's say in a few quarters from now. 59:20 59 minutes, 20 seconds So uh thank you. Thank you. That's it from my side. 59:24 59 minutes, 24 seconds Thank you. We take the next question from the line of Raguves from JM Financial. Please go ahead. 59:31 59 minutes, 31 seconds Uh hi, first of all, congratulations on very strong results for the quarter. I had a couple of questions. First uh uh can you give uh ideally quantitatively 59:40 59 minutes, 40 seconds as qualitatively how the uh customer acquisition cost has trended for this quarter and what share of the uh 59:47 59 minutes, 47 seconds customers they are acquiring through uh you know paid marketing uh even a qualitative answer would be fine and secondly specifically on the on the cost 59:56 59 minutes, 56 seconds front uh given that you know the IPL is expected to be largely in the next year so does that change how we uh typically 1:00:04 1 hour, 4 seconds book our expenses for for IPL granting between FY 26 and 27 and just a data 1:00:12 1 hour, 12 seconds keeping question. Have have we spelled out the ESOP cost for this quarter? Thank you for the question. I ahead. 1:00:18 1 hour, 18 seconds Yeah, thank you. Thank you so much for the question there on the um customer acquisition side. I think uh we don't um 1:00:26 1 hour, 26 seconds you know you should just there's no specific guidance we can give on it. You can generally take it as uh you know flat where it is. you're not looking for it to give a specific guidance on that. 1:00:36 1 hour, 36 seconds On the channels, I think it's hard to you mentioned that how many is happening through a certain channel or not. I do want to get into a little bit of detail 1:00:44 1 hour, 44 seconds on that because uh it's very hard to exactly assign which channel for example do you go with first click attribution 1:00:51 1 hour, 51 seconds or last click attribution and perhaps you got a you can attribute to organic but they may have seen your ad somewhere else. So it's very hard to attribute 1:00:59 1 hour, 59 seconds across channels. It's not internally we will do some of that but it's not useful for us to give you um give you a 1:01:06 1 hour, 1 minute, 6 seconds guidance on that. Uh on IPL cost I'd hand it over to Ben. So as we have been uh booking the IPL cost uh in the past 1:01:14 1 hour, 1 minute, 14 seconds it will be basis the number of matches which are played across uh uh say the month of March, April and May. So they 1:01:21 1 hour, 1 minute, 21 seconds we would see some costs getting booked in the uh in this quarter which is the last quarter of the current financial year [clears throat] 1:01:28 1 hour, 1 minute, 28 seconds and there'll be a a significant cost that will come in in the first quarter depending on the number of matches. The schedule is not yet out once it's out we'll have a better clarity on that. 1:01:38 1 hour, 1 minute, 38 seconds Question on ESOP. 1:01:39 1 hour, 1 minute, 39 seconds Yeah. Uh we have actually if you were to see our presentation we've uh mentioned the ESOP cost for this quarter which is 1:01:45 1 hour, 1 minute, 45 seconds about um about 504 million rupees. uh and in in in line with our guidance for the entire year. 1:01:55 1 hour, 1 minute, 55 seconds Okay. And that answered. 1:01:59 1 hour, 1 minute, 59 seconds Thank you. We take the next question from the line of Vantarda from Nirmal Bank Securities Private Limited. Please go ahead. 1:02:10 1 hour, 2 minutes, 10 seconds Thank you for the opportunity. Am I audible? 1:02:13 1 hour, 2 minutes, 13 seconds Yes, you are. Please go ahead. Sir, can you give me the bification of our MTA book which comprise of about 25 lakhs and below 25 lakhs? 1:02:26 1 hour, 2 minutes, 26 seconds Yeah, we don't uh I think I think we have that breakup in our our financials. 1:02:31 1 hour, 2 minutes, 31 seconds Uh maybe Vinit can just give us uh if you were to refer to slide number 30 of our uh sorry if you were to refer to slide 1:02:38 1 hour, 2 minutes, 38 seconds number 30 of our presentation there we've given a breakup in terms of less than a million uh uh less than uh 1 lakh 1:02:46 1 hour, 2 minutes, 46 seconds rupees up to uh 5 lakh rupees and more than five lakh rupees that's the only uh uh uh you know segregation that we provide. 1:02:56 1 hour, 2 minutes, 56 seconds Okay sir thank you. Thank you. 1:03:01 1 hour, 3 minutes, 1 second Ladies and gentlemen, if you wish to ask a question, please press star at one. 1:03:07 1 hour, 3 minutes, 7 seconds We take the next question from the line of Jri Bajach from Trinetra Asset Manager. Please go ahead. 1:03:14 1 hour, 3 minutes, 14 seconds Um, hi sir, first of all, congratul congratulations on the good set of numbers. My question 1:03:21 1 hour, 3 minutes, 21 seconds is that I can see credit disposal has seen an annual run rate of 28 billion and yet the company currently relies on 1:03:29 1 hour, 3 minutes, 29 seconds seven partnership with the banks and NBFCs. So my question is as uh credit is becoming the uh fast emerging engine of 1:03:37 1 hour, 3 minutes, 37 seconds the growth uh are we planning to uh maintain the asset light partnership model indefinitely or is there a plan to 1:03:46 1 hour, 3 minutes, 46 seconds seek an NBFC license to capture higher margins? 1:03:54 1 hour, 3 minutes, 54 seconds Hi uh as of now we are uh uh doing the distribution play only but we are building capabilities to uh build it 1:04:01 1 hour, 4 minutes, 1 second into a full-fledged platform play over time where we can get much more uh uh credit for what we are doing for our 1:04:07 1 hour, 4 minutes, 7 seconds partners over time and as and when uh uh newer opportunities come we'll think of uh uh doing things on our own balance 1:04:16 1 hour, 4 minutes, 16 seconds sheet or not over time okay and one more thing I want to get a little bit clarity on that how do your 1:04:23 1 hour, 4 minutes, 23 seconds uh AI IML models specifically adjust your uh credit risk of new to market clients who may lick uh traditional credit histories and all. 1:04:35 1 hour, 4 minutes, 35 seconds I think this is something that is uh up to the lenders to uh do it themselves. 1:04:39 1 hour, 4 minutes, 39 seconds We are largely a distribution platform as of now. Uh uh so this is what the lenders do right now. 1:04:51 1 hour, 4 minutes, 51 seconds Okay. That's all for my sir. 1:04:58 1 hour, 4 minutes, 58 seconds Thank you. 1:05:00 1 hour, 5 minutes Ladies and gentlemen, if you wish to ask a question, please press star and one. 1:05:11 1 hour, 5 minutes, 11 seconds As there are no further questions from the participant, I now hand the conference over to Mr. Dh Takar for closing comments. 1:05:21 1 hour, 5 minutes, 21 seconds Thank you once again for joining us today. We hope you have been able to address your questions and share helpful insights. If you need any other further 1:05:30 1 hour, 5 minutes, 30 seconds information, feel free to reach out to Gurka, our head of investor relation, or to SGA, our investor relation advisors. 1:05:38 1 hour, 5 minutes, 38 seconds Have a wonderful day. 1:05:41 1 hour, 5 minutes, 41 seconds Thank you. On behalf of Angel One Limited, that concludes this conference call. Thank you for joining us.