Motilal Oswal posts record Rs 1,400 cr profit in Q1. Here’s what Chairman Raamdeo Agrawal says – Motilal Oswal’s record performance in Q1 FY26

Motilal Oswal Group has reported its highest-ever quarterly profit of over Rs 1,400 crore in the first quarter of FY26. Chairman Raamdeo Agrawal credited the performance to strong momentum across all business segments, with exceptional gains in the capital market. The company saw substantial year-on-year growth in both operating revenue and bottom line, with 24% growth in operating revenue and 21% growth in net profit.

According to data compiled by ET Now, the performance was driven by robust activity in the Asset Management Company (AMC), Private Wealth Management (PWM), and capital market verticals. Additionally, the Treasury segment also delivered strong returns, contributing significantly to the group’s profitability.

Agrawal noted that Motilal Oswal’s AMC segment posted the highest growth, with a 70–75% increase in AUM. The PWM segment also witnessed a sharp rise, adding to the strong overall profit figure of Rs 1,430 crore. In the capital market vertical, the company became the leading QIP (Qualified Institutional Placement) manager, raising approximately Rs 30,000 crore for Indian corporates during the quarter.

The Treasury business, too, delivered strong gains, benefiting from a market rally of 9–10%, with the Treasury portfolio rising 14–15%. Raamdeo Agrawal described the performance as the biggest quarterly profit in the company’s history.

Brokerage income saw a muted performance due to regulatory framework changes, the expiry cycle, and a high base from September 2024. Raamdeo Agrawal stated that another quarter of weak performance is expected in this segment until the peak base effect phases out. Despite this, he noted that brokerage continues to contribute nearly 50% to the group’s revenue and profit.

The muted showing in brokerage was offset by the outperformance in other business verticals. By the fourth quarter of FY26, Agrawal expects brokerage to show 30–40% year-on-year growth, depending on how regulatory actions play out and market sentiment evolves.

Commenting on the future, Raamdeo Agrawal mentioned that no segment of Motilal Oswal Group is currently planned to go public. While housing finance may be considered for a future listing, the rest of the capital market businesses are expected to stay consolidated under one entity. Each segment is said to be drawing strength from the others.

Agrawal also expressed relief over the lifting of restrictions on Jane Street by SEBI, stating that while they were not direct clients, the broader market volumes could now stabilize as a result of the move.

Motilal Oswal’s chairman highlighted the capital market expansion that began in 2020 and continues to be driven by retail participation. He cited the increase in demat accounts from 40 million to 200 million as a key metric, with projections of a further jump to 400 million in five years.

The group has observed a rise in both new and returning clients, attributing it to better returns in equities compared to fixed-income instruments. Agrawal noted that while corporate earnings in Q1 were largely weak, macroeconomic indicators such as inflation, interest rates, and liquidity remain supportive. He forecasted a 20–25% growth trajectory for the capital market sector over the next five to seven years.

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