Motilal Oswal Q2 Results Show Profit Dip, AUM Rises 46% Amid Business Expansion

Motilal Oswal Financial Services Ltd (MOFSL) released its second-quarter results for FY26, reporting a year-on-year (YoY) decline in profit but continued growth in asset management. The company posted a net profit of ₹362 crore in Q2FY26, marking a 68% fall compared to ₹1,120 crore in the same quarter last year. 

Revenue from operations stood at ₹1,849 crore, down 35% YoY from ₹2,841 crore reported in Q2FY25. The decline in profit was primarily due to market volatility and lower brokerage income, though other verticals showed signs of resilience.

Growth in Asset Management Business

Despite the decline in overall profit, MOFSL’s asset management business demonstrated strong expansion. The total assets under management (AUM) grew 46% YoY to ₹1.77 lakh crore, driven by higher participation in mutual funds and growing investor confidence.

Mutual Fund AUM increased 57%, supported by inflows from both retail and institutional clients. The Private Wealth Management segment also performed steadily, registering a 19% YoY rise in AUM to ₹1.87 lakh crore. The consistent addition of new clients and a focus on enhancing advisory efficiency contributed to the segment’s growth.

Board and Governance Updates

In an effort to strengthen corporate governance and strategic leadership, the company announced several changes to its Board of Directors. Two members from the promoter group, Pratik Oswal and Vaibhav Agrawal, were appointed to the Board. 

Additionally, the inclusion of Joseph Conrad Agnelo D’Souza, a senior executive with extensive experience in the financial sector, and Ashok Kumar P. Kothari, a senior IRS officer, as independent directors, brings additional oversight and expertise. 

Stock Market Performance

As of October 31, 12:58 PM, the Motilal Oswal Financial Services Share Price stood at ₹961, marking a decline of 6.29% during the trading session. The company’s market capitalisation was ₹57,700 crore. 

Over the past year, the stock traded between ₹1,097 and ₹488, reflecting investor engagement across a wide range. With a P/E ratio of 28.5, a return on equity (ROE) of 25.2%, and a return on capital employed (ROCE) of 18.7%, the company maintains operational efficiency.

Read More:Motilal Oswal Shares Drop 8% After SEBI Draft Proposal to Cut Brokerage Fee Caps

Conclusion

While the second-quarter results reflected a dip in profit, Motilal Oswal Financial Services maintained its growth momentum through expanding AUM and strengthening its governance framework. The consistent rise in wealth management and mutual fund segments underscores a steady business foundation supported by long-term growth potential.

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