More Stories

Informist, Friday, Jul. 24, 2026

 

Please click here to read all liners published on this story

--Motilal Oswal: To launch commercial real estate fund in Oct-Mar 
--Motilal Oswal:Seeing traction in pvt credit, real estate business Jul onwards 
--Motilal Oswal:Seeing traction in pvt equity, real estate business Jul onwards 
--Motilal Oswal: Expect cost of borrowing to go down 15-20 bps over 12-18 mos 
--Motilal Oswal: Expect housing finance business to grow in next 2-3 yrs 
--Motilal Oswal: Don't see need for capital infusion in houing fin business 
--Motilal Oswal: Will focus on growing distribution income, NII 
--Motilal Oswal: Continue to make sizeable investment in senior leadership 
--Motilal Oswal: Will continue to invest in distribution talent 
--Motilal Oswal: Annuity-led business to grow, to see increase in market shr 
--CONTEXT: Comments by Motilal Oswal mgmt in post-earnings analyst call 
--Motilal Oswal: Asset, pvt wealth mgmt business to increase market share 
--Motilal Oswal: Asset, pvt wealth mgmt business to maintain growth pace

 

By Priyasmita Dutta and Sagar Sen 
 

NEW DELHI – Motilal Oswal Financial Services Ltd. expects its cost of borrowing to go down 15-20 basis points over the next 12 to 18 months, thanks to CRISIL Ratings Thursday upgrading its rating on Motilal Oswal's long-term non-convertible debentures to "AA+" from "AA" while assigning a "stable" outlook. "We further expect cost to rationalise by 15 to 20 basis points over the course of next 12 to 18 months, given our AA+ rating," the company's management said in a post earnings analyst call Friday. 

 

CRISIL Ratings also reaffirmed an "A1+" rating on Motilal Oswal's short-term commercial papers. The company did not detail its cost of borrowing at the end of June. In Apr-Jun, however, the company's net interest income totalled INR 5.10 billion, up over 21% on year. At 1331 IST, shares of the company traded at INR 859.30 on the National Stock Exchange, down 8.6% from the previous close. 

 

The brokerage and asset manager posted a consolidated net profit of INR 12.73 billion, up 10% on year from INR 11.62 billion. This marked a turnaround for the company which had reported a net loss of INR 2.19 billion in the trailing quarter. The company's revenue for the June quarter was INR 34.26 billion, up 25% on year from INR 27.38 billion and also up 28% sequentially. 

 

According to the management, the company will continue to focus on growing distribution, fee income and net interest interest income to improve its profitability. As such, net interest income, fees and advisory, distribution and other operations contribute 78% to the company's total income. The company's fee income, which is its largest source of revenue, rose 13% on year to INR 12.39 billion in the June quarter, though it was marginally down sequentially.

 

The management said that a growing asset management business is fueling this robust fee income. Its asset management segment posted a net profit of INR 2.45 billion, up 73% on year, making it the largest contributor to the company's profit at 40%, after inter-company adjustments. Its asset under management totalled INR 2.12 trillion at the end of the June quarter, up 31% on year. 

 

Motilal Oswal Alternates' AUM jumped 99% on year. Alternates include private credit, private equity and real estate business, which are seeing traction from July, the management said. "We will launch a commercial real estate fund in the second half of this financial year (Oct-Mar) and continue to offer a comprehensive suite of product offerings in alternates, which is seeing increasing allocation in both among family offices as well as institutions," the management said. 

 

As such, they expect the pace of growth in the asset managment business to continue, leading to an increase in market share. They also expect the company's market share in annuity-led business, private wealth management business, and systematic investment portfolios to improve.

 

Speaking about the housing finance business, the management said they expected the business to grow meaningfully in the next two to three years. "The housing finance business has a strong capital adequacy ratio, with very low leverage giving us enough growth levers without any need for further capital infusion," they said. 

 

Although housing finance is the least contributor to the overall revenue, its growth is steady. At the end of June, disbursement grew by 64% to INR 6.46 billion, with the AUM growing 23% on year to INR 61.64 billion.  

 

The management also said that going ahead, the company will make sizeable investment in senior leadership, while continuing the overall investment in distribution talent.  End

 

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

 

Edited by Akul Nishant Akhoury

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

 

Informist Media Tel +91 (11) 4220-1000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2026. All rights reserved.