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Earnings Call Transcript

Nuvama Wealth Management Earnings Call Transcript: Key Takeaways

Nuvama delivered record quarterly profits of ₹300Cr+, crossing ₹5 Lakh Cr in client assets. Management is aggressively pivoting toward a technology-led advisory model while balancing high costs of senior talent hiring and infrastructure renewal.

Guidance and delivery
Management target Revenue 25.0% FY27
Highlights
Revenue growth18% YoY growth driven by diversified platform segments.
MarginsWealth management cost-to-income ratio targets 62% in medium term.
Demand visibilityStrong expansion in Tier 2/3 cities and affluent segments.
Management confidenceConfident, focusing on full-platform convergence and technology adoption.

Growth

Strong 18% YoY revenue growth led by asset services (34%) and wealth management (19%), despite cyclical volatility in investment banking.

Outlook

Targeting 20-25% revenue growth in Asset Services and planning second commercial real estate fund of ₹4000-5000Cr by Q3.

Risks

Compression in transaction yields due to mark-to-market adjustments and elevated 70% cost-to-income ratio in the private wealth segment.

Last quarter's promises, checked

Delivered

  • Guided 25-30% Wealth growth → delivered 38% (MPIS) (= BEAT)
  • Targeted 80 net RM additions → delivered 80 (= BEAT)
  • Guided 20-25% ARR revenue share → delivered 60% (= BEAT)

Partly delivered

  • Targeted INR 3,000-3,500Cr new RE fund → delivered INR 4,000Cr but only 40-50% deployed (= PARTIAL)
  • Guided 100bps C/I ratio reduction → delivered 80bps in Wealth segment (= PARTIAL)

Missed

  • Targeted INR 1,000-1,500Cr Crossover 4 fundraise → delivered INR 250-275Cr (= MISS)
Source

Earnings Call Transcript filed with BSE, NSE: NUVAMA. Summary written with AI assistance from the document.

Read the document ↗

Nuvama Wealth Management Ltd: key numbers

Share price
₹1,681.40
Market cap
₹31,024 Cr
Revenue (annual)
₹4,631 Cr
Net profit (annual)
₹1,041 Cr
P/E (TTM)
28.6×Sector 22.0×
Promoter holding
53.98%-0.15% QoQ
FII holding
19.00%Current quarter

Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.

More from Nuvama Wealth Management Ltd

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12:33 IST NSE
Share Pledge

Nuvama Wealth Management Share Pledge

PAGAC Ecstasy, a Nuvama promoter, disclosed an increase in underlying loan amounts secured by its existing pledge of 9.69 crore shares (52.57%). No new shares were encumbered.

22:25 IST BSE
Employee Stock Options

Nuvama Wealth Management Employee Stock Options

Nuvama Wealth Management has allotted 66,583 equity shares upon the exercise of employee stock options. This issuance follows the company's existing ESOP and ESAR schemes.

16:50 IST BSE
Debt & Borrowing

Nuvama Wealth Management Debt & Borrowing: ₹50 Cr

Nuvama Wealth Management has completed the full redemption of its Commercial Papers valued at ₹50 Crore upon maturity. This repayment clears the outstanding debt.

Value
₹50.00 Cr
16:20 IST BSE
Share Pledge

Nuvama Wealth Management Share Pledge

Promoter PAGAC Ecstasy Pte. Ltd. created an encumbrance on its shares in Nuvama Wealth Management. This disclosure fulfills regulatory requirements regarding promoter share pledges.

15:13 IST BSE
Share Pledge

Nuvama Wealth Management Share Pledge

DB Trustees disclosed increased pledge security over 96.96 million Nuvama shares, now securing USD 450 million. The encumbrance covers 53.12% of the company's equity.

Value
₹4,275 Cr
17:19 IST BSE
Debt & Borrowing

Nuvama Wealth Management Debt & Borrowing: ₹35 Cr

Nuvama Wealth Management Ltd has fully redeemed Commercial Papers worth ₹35 Crore upon maturity on September 10, 2026.

Value
₹35.00 Cr