IIFL Wealth Management Ltd., incorporated in the year 2008, is a Mid Cap company (having a market cap of Rs 14929.52 Crore) operating in NBFC sector.
IIFL Wealth Management Ltd. key Products/Revenue Segments include Fees & Commission Income for the year ending 31-Mar-2021.
For the quarter ended 31-03-2022, the company reported a Consolidated Total Income of Rs 578.97 Crore, up 1.46 % from last quarter Total Income of Rs 570.62 Crore and up 32.83 % from last year same quarter Total Income of Rs 435.88 Crore. Company reported net profit after tax of Rs 165.46 Crore in latest quarter.
IIFL Wealth & Asset Management’s (IIFLW) earnings growth of 8% QoQ/64% YoY in Q4FY22 to Rs1.68n was in line with expectations. Transition towards ARR strategy was visible all through FY22, and in Q4FY22 as well, ARR revenue grew 57% YoY (constituting 56% of overall revenue). Besides, earnings were primarily buoyed by transactional/brokerage revenue of Rs1.7bn (Rs1.33bn /Rs920mn/Rs210mn in Q3/Q2/Q1FY22). This was offset by elevated opex (up 5.8% QoQ/54% YoY) with cost to income at 52.3%. The company has guided for FY23/FY24 earnings that is 3-5% higher than estimates. It targets: i) ARR asset growth of 25-30%, ii) overall retention ratio of 55bps, iii) reduction in cost-to-income ratio to 45% in FY23 and 41- 43% in FY24, iv) PAT CAGR of 20% over FY22-24E, v) tangible RoEs of >25% for FY23 and towards 30% for FY24. It maintains BUY with an unchanged target price of Rs 2,217.
Promoters held 23.15 per cent stake in the company as of 31-Dec-2021, while FIIs owned 22.69 per cent, DIIs 3.15 per cent.
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