IIFL Wealth Management Ltd., incorporated in the year 2008, is a Mid Cap company (having a market cap of Rs 13503.98 Crore) operating in NBFC sector.
Financials
For the quarter ended 30-06-2021, the company reported a Consolidated Total Income of Rs 426.36 Crore, down -2.18 % from last quarter Total Income of Rs 435.88 Crore and up 18.09 % from last year same quarter Total Income of Rs 361.04 Crore. Company reported net profit after tax of Rs 116.85 Crore in latest quarter.
Investment Rationale
Over the past decade, IIFLWAM has evolved into one of the best wealth management franchises in India. It has also become one of the largest alternate asset managers, with unique product offerings. With IIFL ONE, the company is looking to change the way wealth management is offered in India. Traction in ARR assets and IIFL ONE, in particular, remains healthy. 1QFY22 witnessed a glimpse of improving yield on IIFL ONE, which reached (reported: 33bp) targeted levels of 40bp. Over the last two quarters, net flows have been encouraging. The brokerage upgrades estimates by ~13% for FY22/23 and ~9% for FY24. Buy with a TP of INR1,775/share (26x FY23E EPS).
Promoter/FII Holdings
Promoters held 22.9 per cent stake in the company as of June 30, 2021, while FIIs held 24.9 per cent, DIIs 1.4 per cent and public and others 50.8 per cent.
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