Brokerages proceed to really feel the warmth of F&O curbs in Q1

Angel One, 5paisa, Geojit Monetary Providers and HDFC Securities all reported a decline in earnings each yr on yr and sequentially

Headwinds from tighter laws within the fairness derivatives market, softer retail exercise and stress on broking earnings has weighed on the efficiency of a number of frontline retail-focused brokers in the course of the first quarter of the monetary yr 2025-26. In the meantime, some full-service and diversified gamers have managed to buck the pattern, delivering wholesome revenue margins.

Whereas the broader fairness market remained buoyant in the course of the June quarter, brokers depending on high-frequency buying and selling volumes and retail flows have taken a success because the earlier quarter when SEBI’s curbs on choices hypothesis and regulatory tightening kicked in.

Angel One, 5paisa, Geojit Monetary Providers and HDFC Securities all reported a decline in earnings each yr on yr and sequentially.

Earnings hit

Angel One’s consolidated income fell to ₹1,141 crore, down over 18 per cent from ₹1,405 crore a yr in the past. This led to the web revenue falling over 60 per cent to ₹114.5 crore (₹292.7 crore). Its working margin narrowed to 21.8 per cent (37.7 per cent) as buying and selling volumes dipped. Curiously, its energetic consumer base grew 31.4 per cent yr on yr to 32.47 million, underscoring a widening funnel however weaker monetisation.

Geojit Monetary reported related weak spot: Consolidated income fell 15 per cent to ₹153.30 crore (₹181.18 crore). Revenue was down practically 38 per cent to ₹27.68 crore.

5paisa Capital’s income additionally fell 24 per cent to ₹77.68 crore, with web revenue down 42.5 per cent to ₹11.6 crore. Payment-based earnings dropped sharply, though the agency added 0.80 lakh new purchasers in the course of the quarter and managed to enhance profitability sequentially as a result of value controls.

Diversified income

HDFC Securities, a subsidiary of HDFC Financial institution, posted a 21 per cent decline in revenue to ₹230 crore on income of ₹728 crore, which is down 11 per cent.

In distinction, Motilal Oswal Monetary Providers posted its best-ever quarterly outcomes, with consolidated income hovering 18.3 per cent to ₹2,737 crore and web revenue rising 31.7 per cent to ₹1,162 crore. The agency’s diversified income streams—together with asset administration, wealth advisory and treasury—helped offset any slowdown in broking. Its consumer base surged to 13.6 million, and bills rose simply 5 per cent, boosting margins.

IIFL Capital reported regular numbers with a income of ₹680 crore, up 5.7 per cent and web revenue of ₹175 crore, down 3.8 per cent.

Printed on July 29, 2025