📉 The Financial Deep Dive
Choice International Limited has announced a strong financial performance for the quarter and nine months ended December 31, 2025 (Q3 FY26).
The Numbers:
- Revenue: Total revenue for Q3 FY26 reached ₹308.60 Cr, marking a significant 45.92% increase year-on-year (YoY) from ₹211.48 Cr in Q3 FY25.
- EBITDA: Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) surged 89.67% YoY to ₹117.01 Cr.
- EBITDA Margin: The EBITDA margin expanded robustly by 875 basis points to 37.92%.
- PAT: Profit After Tax (PAT) saw substantial growth, rising 113.47% YoY to ₹65.62 Cr.
- PAT Margin: PAT margin improved by 672 basis points to 21.26%.
- For the nine-month period (9M FY26), revenue grew 24.61% YoY to ₹830.66 Cr, and PAT increased 55.74% YoY to ₹170.05 Cr.
The Quality:
- The substantial expansion in both EBITDA and PAT margins highlights improved operational efficiency and profitability.
- Key operational metrics underscore client acquisition and asset growth: Demat accounts increased by 24% YoY to 12.34 lakhs. Client assets under Stock Broking grew 22% YoY to ₹60.5K Cr. Wealth Product AUM saw a remarkable 328% YoY surge to ₹4,662 Cr.
- The NBFC segment reported a total loan book of ₹756 Cr, and the Advisory segment secured an order book of ₹748 Cr. Insurance premiums generated were ₹83 Cr, up 14% YoY.
Management Commentary:
Managing Director Mr. Kamal Poddar expressed confidence in sustaining the growth momentum and creating long-term value. He cited the company's diversified portfolio, expanding national footprint, and strong execution capabilities as key drivers. The company's outlook remains positive, with a focus on deepening customer value and enhancing operational discipline.
Risks & Outlook:
- Specific Risks: While no specific risks were detailed, potential challenges could include increased competition in the wealth management space, evolving regulatory landscapes in financial services, or integration complexities from recent acquisitions.
- The Forward View: Investors should closely monitor the continued integration of acquired wealth distribution businesses, further growth in AUM across all segments, and the performance of new product launches like the Gold ETF. The trajectory of the NBFC loan book and the advisory order book will also be critical indicators for future performance.