On Wednesday (April 29), Motilal Oswal Financial Services Ltd announced a 25% increase in operating profit year-on-year, reaching ₹661 crore for the fourth quarter, compared to ₹527 crore in the same period last year. This growth is attributed to the robust performance of the asset & private wealth management (PWM) sector.
The asset & private wealth management division saw a 48% year-on-year rise in operating profit after tax, amounting to ₹338 crore.
In asset management (including alternative investments), profit after tax surged 63% year-on-year to ₹249 crore for Q4 and rose 55% to ₹798 crore for FY26. Total assets under management (AUM) grew by 32% year-on-year to ₹1.76 lakh crore, fueled by a 31% increase in mutual fund AUM and a remarkable 104% rise in private alternatives AUM.
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For FY26, net mutual fund flows accounted for a 6.6% market share, in contrast to an AUM market share of 2.7%. Systematic Investment Plan (SIP) inflows surged 78% year-on-year to ₹16,479 crore, capturing a 4.7% market share. The company successfully closed IBEF Fund V at ₹8,350 crore and reached the first close of its private credit fund in January 2026 at ₹1,700 crore, with plans to raise a total of ₹3,000 crore.
In private wealth management, Q4 profit after tax increased 18% year-on-year to ₹88 crore, accompanied by a 66% rise in net flows to ₹5,535 crore. For FY26, profit after tax rose 15% to ₹368 crore, while net flows grew by 41% to ₹20,154 crore. AUM saw a 36% year-on-year growth reaching ₹1.97 lakh crore, boosted by family acquisitions and improved productivity among relationship managers. FY26 annual recurring revenue (ARR) also grew by 32% year-on-year.
Wealth management recorded a Q4 profit after tax growth of 7% year-on-year to ₹204 crore, though FY26 profit declined 7% to ₹727 crore. Brokerage revenue climbed 33% year-on-year in Q4. Overall, the average daily turnover (ADTO) market share, which includes commodities, was 9.2% in Q4. The distribution book expanded by 41% year-on-year to ₹40,662 crore, whereas the loan book increased by 32% to ₹6,094 crore.
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The capital markets segment saw a 12% year-on-year increase in profit after tax to ₹75 crore for Q4 and a 30% rise to ₹336 crore for FY26. The company ranked first in Qualified Institutional Placement (QIP) and second in IPO league tables for FY26, covering 366 companies in its institutional research and serving over 900 clients.
Housing finance profit after tax grew by 61% year-on-year to ₹59 crore in Q4 and 22% to ₹159 crore in FY26. The AUM increased by 19% year-on-year to ₹5,829 crore. During the quarter, Motilal Oswal Housing Finance successfully raised $100 million from the Asian Development Bank.
The treasury book expanded by 12% year-on-year to ₹9,403 crore, yielding approximately 5% alpha for FY26. The book grew at a 40% compound annual growth rate (CAGR), supported by strong internal rates of return and reinvestment of operating profits. Total profit after tax, including other comprehensive income (OCI) for FY26, amounted to ₹2,043 crore, lower than operating profit after tax due to mark-to-market accounting for the treasury book.
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Motilal Oswal Financial Services Ltd shares closed at ₹785.45, up by ₹2.70, or 0.34%, on the BSE on April 29.
