Monday, 20 July 2020

IIFL Securities Ltd consolidated financial results for

IIFL Securities Ltd consolidated financial results for the quarter ended June 30, 2020:
       Total Income stood at Rs 178 Cr for the quarter (down 4% y-o-y)
·      Profit after tax (TCI) (before exceptional items) stood at Rs 42 Cr for the quarter (up 75% y-o-y)
·      Assets under management stood at Rs 29,289 Cr (up 6% y-o-y)

Summary: Consolidated – Q1FY21                          
Rs Crore
Quarter ended
June 30, 2020
Quarter ended
March 31, 2020
Q-O-Q
Quarter ended
June 30, 2019
Y-O-Y
Income
178.3
209.8
(15%)
185.0
(4%)
Profit Before Tax
55.4
51.0
9%
37.2
49%
Profit after tax (TCI) before exceptional items
41.5
37.2
11%
23.7
75%
Profit after tax (TCI) after exceptional items
41.5
37.2
11%
125.4
(67%)

Mr. R. Venkataraman, Managing Director, commented on the financial results: “We acquired over 75,000 customers during the quarter and continue to build on our robust technology infrastructure to provide best-in-class, comprehensive services. Our business has weathered the Covid storm and our technological platform has ensured our people could work from home and service customers effectively.”

Retail and Institutional Broking
IIFL Securities is a key player in both retail and institutional segments of the capital market. We have over 2,500 points of presence across India and provide unparalleled research coverage on 200+ companies.
Retail broking revenue was Rs 66 Cr for the quarter ended June 30, 2020, up 28% on y-o-y basis and assets under management stood at Rs 29,289 Cr up 6% y-o-y.
Our mobile trading app, ‘IIFL Markets’ continues to be the among the highest rated with over 40 lakh downloads. IIFL’s Mutual Fund App has over 9.0 lakh downloads and consistently maintained a 4.2 rating. Mobile trading clients as a percentage of total retail clients stood at 60% during the quarter.
IIFL’s Institutional broking segment is a market leader in block placements, placing over US$ 1 billion of blocks in Q1FY21. It has 690+ domestic and foreign clients. Institutional broking revenue for the quarter stood at Rs 25.7 Cr, down 19% on y-o-y basis.


Financial Products Distribution (FPD)
IIFL Securities offers a wide range of products such as mutual funds, insurance, IPOs and others, targeting retail clients. Mutual Funds and Insurance have good long term growth prospects. Insurance premium amounting to Rs 29.2 Cr in the quarter recorded an 81% y-o-y growth. FPD revenue for the quarter was Rs 21.4 Cr, down 29% on y-o-y basis.

Investment Banking
Q1FY21 was a tough quarter for the investment banking segment given the market volatility on the back of Covid-19 pandemic. We completed one advisory transaction during the quarter. Our deal pipeline remains robust.

Covid-19 Impact
Covid-19 has been declared as a global pandemic. The Government of India had declared complete lockdown since March 24, 2020, gradual unlocking of economic activities and movement of people was initiated from June 08 2020 in various states/ locations etc. although lockdown still continues in many locations across India. Capital markets and banking services were declared as essential services by the government and accordingly, the Company has been continuing operations with limited staff at branches, while all other employees continued to work from home. All operations and servicing of clients are being efficiently carried out without any interruptions as the activities of trading, settlement, DP, Stock Exchanges and depositories’ functions have been fully automated.

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