RATING

RECOMMENDATION

Buy

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  • Available in Depository:

  • NSDL

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  • Available for Investment:

  • Primary

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RATING

RECOMMENDATION

Buy

Business Type

Traditional Business

RATING

RECOMMENDATION

Buy

Business Type

Traditional Business

  • Anand Rathi Growth

Get detailed information about the Anand Rathi Pre IPO shares. In this research report, you will get to know about Anand Rathi Wealth Management Limited Key Ratio data. In addition, get the Complete details about the Net Profit Growth, Revenue Growth and Book Value Growth.

Anand Rathi Revenue Growth

Growth in %

  • -16.99%

    1 Year

  • 7.67%

    3 Year

  • 60.06%

    4 Year

Company generates majority of the income from distribution of mutual funds and distribution and sale of financial products. In FY21 company saw a fall in revenue, as trail income from distribution of debt mutual funds reduced sharply, clients shifted from it to overnight/liquid funds owing to the fear of a crisis in bond markets started to rise. Further, income from Distribution and financial product, decreased owing to the negative sentiment in the financial markets. 

On the other hand other income increased by 203.40% due to increase in interest income, gain on sale of investment and other miscellaneous income, which mainly comprises of business support charges and rent waiver income.


Anand Rathi Net Profit Growth(PAT)

Growth in %

  • -26.79%

    1 Year

  • -0.71%

    3 Year

  • NA

    4 Year

Total income of the company has reduced due to change in market sentiments during covid times, side by side company also saw reduction in its expenses, as in anticipation of the adverse impact of the outbreak of the COVID-19 pandemic in March 2020, they introduced significant cost 

control measures. They also showed decrease in finance costs due to fulfilment of short term fund requirements through internal accruals. While deferred tax expenses increased by ₹ 10.80 million due to fair valuation of financial instruments.

Anand Rathi EPS Growth

Growth in %

  • -27.31%

    1 Year

  • -1.53%

    3 Year

  • NA

    4 Year

EPS of the company was continuously improving from past 4 years, but has fallen last year owing to reduction in profit of the company. This fall doesn't seem to be continued as company is constantly improving its technology and working on other segments, like providing digital platforms via its subsidiaries, to be pre-prepared for any other situation like covid pandemic.

  • Anand Rathi Book Value Growth

Growth in %

  • 34.91%

    1 Year

  • 44.80%

    2 Year

  • 70.02%

    3 Year

Book Value of the company is constantly improving owing to increase in reserves and surplus and retained earning of the company. As this industry is very dynamic, company is trying to be ready for upcoming challenges and technological changes hence they are trying to save money for future growth of the business.

Anand Rathi EBITDA Growth

Growth in %

  • -24.72%

    1 Year

  • 1.05%

    3 Year

  • 242.35%

    4 Year

EBITDA of the company has seen a fall from FY20. As the whole industry was impacted by covid, investors were avoiding investments in market, this led to fall in revenue of the company. Irrespective of that, they worked on reducing their expenses by introducing significant cost control measures, which resulted in decline in business promotion and marketing expenses and travelling and conveyance expenses.

Anand Rathi Operating Profit Growth

Growth in %

  • -26.32%

    1 Year

  • -4.37%

    3 Year

  • NA

    4 Year

Depreciation and amortisation expenses decreased by 17.85%, primarily on account of decrease in amortization of customer relationship cost to ₹ 0.29 million for FY21 from ₹ 25.21 million for FY20 and change in estimation of amortisation period for intangible assets from seven years to ten years in the Subsidiaries. It made a significant change in the expenses of the company. While income has also seen a downfall in FY21, due to rising fear among investors after covid pandemic.


Anand Rathi Asset Growth

Growth in %

  • -17.02%

    1 Year

  • 27.70%

    3 Year

  • 57.37%

    4 Year

Total assets of the company were continuously increasing at high pace as company was working towards improving its technology and other assets, but last year they have seen a fall, majorly due to degrowth in current assets specifically due to fall in intercorporate deposit to related party, as company was also impacted by the pandemic and couldn't  lend money to related parties, while fair value of debentures and option premium also reduced due to reduction in market price of contract options.

Anand Rathi Cash Flow from Operations

Growth in %

  • NA

    1 Year

  • NA

    3 Year

  • NA

    4 Year

Company has seen significant downfall in its cash flows majorly due to drop in its earnings, further increase in trade receivables and decrease in provisions and other financial liability led to its degrowth.

  • Anand Rathi Solvency Ratios

Anand Rathi D/E Ratio

In FY21 Debt to equity ratio has decreased marginally owing to fall in borrowings and lease liabilities of the company. Even it is lower than the industry standards which signifies low risk of solvency, and makes it safer for the investors.

Anand Rathi Current Ratio

Current ratio of the company is constant from last year as company saw fall in its current assets and liability due to reduction in loans and leases. The current ratio of 1.14 is still in accordance with the industry standards, which suggest company will be able to cover its liabilities with the existing assets.

Anand Rathi Quick Ratio

Anand Rathi Interest Coverage Ratio

We can see a decrease in the interest coverage ratio due to fall in earnings of the company, but company has seen a drop in debt too owing to fall in amount of leases and repayment of borrowings, this will impact interest coverage ratio of the company positively in the coming future.

  • Anand Rathi Operating Efficiency

IN FY21 a gradual decrease in the profit margins can be seen owing to the reason that increase in profits are not in proportionate to the rise in its revenues, as the expenses of the company are also gradually increasing which include employee benefit expenses and other operating expenses.

Anand Rathi Operating Profit EBIT Margin(OPM)

Anand Rathi Profit Before Tax Margin (PBT Margin)

Anand Rathi Profit After Tax Margin (PAT Margin)

  • Anand Rathi Profitablity Ratio

In FY21 returns of the company has decreased significantly due to the drastic decrease in its earnings, which was due to the sharp volatility and fall in markets due to the pandemic, which lead to lower fee incomes and trading losses. But as situation is getting better and company is working towards better technology and services we can hope for better returns in future.

Anand Rathi Return on Equity(RoE)


Anand Rathi Return on Capital Employed(RoCE)

Anand Rathi Return to Assets (RoA)

  • Anand Rathi Valuation Ratios

Anand Rathi Dividend Yield

Anand Rathi Earning Yield