1:1 Bonus Issue: Stock Jumps 3% After Announcing Q4 Results, Dividend, and Bonus Shares

Synopsis: Anand Rathi Wealth reported strong Q4 & FY26 growth with rising revenue, profit, and EPS, supported by solid margins, high returns, and announced dividend and 1:1 bonus issue for shareholders.

This Mid-Cap NBFC Stock, engaged in providing wealth management services, including investment advisory, portfolio management, and financial planning solutions for high-net-worth and ultra-HNI clients across India, jumped 2.85 percent after the company reported March quarterly results with a 40.31 percent YoY increase in net profit and also announced a dividend of Rs. 7 and a 1:1 bonus issue.

With a market capitalization of Rs. 28,755.44 crores, the share of Anand Rathi Wealth Limited has reached an intraday high of Rs. 3494.80 per equity share, rising nearly 2.85 percent from its previous day’s close price of Rs. 3397.80. Since then, the stock has retreated and is currently trading at Rs. 3463.65 per equity share. 

Q4 FY26 Result Walkthrough

Coming into the quarterly results of Anand Rathi Wealth Limited, the company’s consolidated revenue from operations increased by 29.68 percent YOY, from Rs. 221.95 crore in Q4 FY25 to Rs. 287.82 crore in Q4 FY26, and slightly decreased by 0.62 percent QoQ from Rs. 289.62 crore in Q3 FY26.

In Q4 FY26, Anand Rathi Wealth Limited’s consolidated net profit increased by 40.31 percent YOY, reaching Rs. 103.45 crore compared to Rs. 73.73 crore during the same period last year. As compared to Q3 FY26, the net profit has increased by 3.26 percent, from Rs. 100.18 crore. The basic earnings per share increased by 40.63 percent and stood at Rs. 12.46 as against Rs. 8.86 recorded in the same quarter in the previous year, FY2025.

Annual Performance of FY26

Anand Rathi Wealth Limited’s revenue has increased from Rs. 939.09 crore in FY25 to Rs. 1,148.83 crore in FY26, which has grown by 22.33 percent. The net profit has also grown by 33.51 percent from Rs. 297.37 crore in FY25 to Rs. 397.02 crore in FY26. The annual basic earnings per share increased by 32.37 percent and stood at Rs. 47.84 as against Rs. 36.14 recorded in the financial year 2025.

Anand Rathi Wealth Limited’s revenue and net profit have grown at a CAGR of 22.06 percent and 25.6 percent, respectively, over the last five years. In terms of return ratios, the company’s ROCE and ROE stand at 56.3 percent and 45.3 percent, respectively. Anand Rathi Wealth Limited’s debt-to-equity ratio is 0.10x.

Dividend and Bonus Issue

Anand Rathi Wealth Limited’s board of directors has recommended paying a final dividend at the rate of 140 percent on the face value of paid-up equity shares of Rs. 5 each for the financial year 2025-26, which is a dividend of Rs. 7 per equity share.

The Board of Directors of Anand Rathi Wealth Limited has approved issuing bonus shares in the ratio of 1:1, meaning shareholders will receive one fully paid-up equity share of Rs. 5 each for every one fully paid-up equity share held.

For example, if a shareholder owns 1,000 shares of Anand Rathi Wealth Limited, they will receive 1,000 bonus shares, bringing their total holding to 2,000 shares after the 1:1 bonus issue. 

Assets Under Management (AUM)

Anand Rathi Wealth Limited’s Assets Under Management (AUM) showed strong growth, increasing from Rs. 77,103 crore to Rs. 93,037 crore, marking a 21 percent year-on-year rise. This steady increase reflects strong client inflows, improved market performance, and continued trust from investors, supporting the company’s overall growth momentum in its wealth management business.

Segment Performance of FY26

Anand Rathi Wealth delivered steady growth in its Private Wealth segment during FY26. The number of active client families increased by 14 percent year-on-year to 13,395, showing strong client addition and trust. The company also expanded its team of Relationship Managers from 380 to 401, which will help improve client servicing and support future growth.

Among its subsidiaries, the Digital Wealth segment also showed good performance. Assets Under Management (AUM) grew by 22 percent year-on-year to Rs. 2,218 crore. Additionally, the Omni Financial Advisor (OFA) platform saw its subscriber base rise to 6,906 from 6,447 last year, reflecting increasing adoption of digital wealth solutions.

Company Overview

Anand Rathi Wealth Limited is an Indian wealth management and financial services company catering to high-net-worth and ultra-HNI clients. It operates as a non-bank firm, offering wealth planning solutions and distributing mutual funds and other financial products across India and select international markets.

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