Angel One shares tumble up to 7% after muted Q4 results

Shares of Angel One dropped about 6.5 per cent during the trading session on Thursday after the brokerage firm reported a muted set of numbers in the March 2025 quarter. The company board also announced a dividend for its shareholders, along with quarterly results, post markets hours on Thursday.

Angel One reported a sharp fall in its consolidated net profit, which tanked 48.7 per cent year-on-year (YoY) to Rs 174.5 crore in the quarter ended on March 31, 2025. The brokerage firm's revenue dropped 22.2 per cent YoY to Rs 1,056 crore, while Ebitda declined 35.3 per cent to Rs 342.8 crore in the reported quarter.

The company’s operating margin also contracted to 32.5 per cent from 39 per cent a year ago. The Q4 earnings miss comes amid broader industry headwinds, including regulatory changes in the F&O segment and global market volatility. The board approved a final dividend of Rs 26 per share for FY25, which will be paid within 30 days of the annual general meeting (AGM).

Following the Q4 results, shares of Angel One dropped 6.48 per cent to Rs 2,200.00 on Thursday, with its total market capitalization holding around Rs 20,000 crore mark. The stock had settled at Rs 2,352.30 in the previous trading session on Wednesday. The stock has tumbled nearly 37 per cent from its 52-week high at Rs 3,502.60.

In 4QFY25, Angel One's revenue was affected by F&O regulations and a weak market environment, while its profit was hit by an elevated cost structure and IPL spends. The company has the lever of corrective pricing, among others, to recover revenue growth and protect profitability, said Motilal Oswal Financial Services, which currently has a 'buy' rating on the stock.

"This will help the company bring margins back to 45-50 per cent in the longer term, as guided. Also, new businesses such as distribution of loans, fixed deposits, wealth management and AMC are likely to gain traction over the medium term. We may review our estimates after the earnings call Thursday (April 17)," it added.