360 ONE — Q3 FY26 earnings call

Call held 15 Jan 2026

Management summary

360 ONE WAM delivered a strong Q3 FY26, marked by significant AUM growth, robust net flows, and record profitability. Total ARR AUM grew 28% YoY to Rs 3,17,906 crores, driven by healthy inflows across wealth and asset management. ARR revenue surged 45.4% YoY, contributing to a 20.3% YoY increase in PAT to Rs 331 crores. The company is focused on strategic initiatives like the UBS collaboration and HNI segment expansion, while aiming for improved operating efficiency with a target cost-to-income ratio of 45-46% next year.

Highlights

  • Total ARR AUM increased to Rs 3,17,906 crores, up 28% year-on-year.

  • Strong net flows at Rs 14,758 crores in Q3 FY26 and Rs 46,890 crores for 9m FY26.

  • ARR revenue grew 45.4% YoY at Rs 619 crores.

  • Highest ever quarterly PAT at Rs 331 crores, an increase of 20.3% year-on-year.

  • Tangible ROE rose to 21% as against 20.4% in the previous quarter.

Concerns

  • Total costs were flat as compared to the previous quarter at Rs 399 crores, partially offsetting revenue growth.

  • TBR revenue came off a bit QoQ, though quality improved.

  • Attrition-related outflows were experienced in H1 FY26.

Key financials

2 periods

Headline

  • Total ARR AUM
    ₹3.18L Cr
    YoY +28%
  • ARR Revenue
    ₹619 Cr
    YoY +45.4%
  • Total Revenue
    ₹826 Cr
    YoY +21.8%
  • PAT
    ₹331 Cr
    YoY +20.3%
  • Cost-to-Income Ratio
    48.3%
  • Tangible ROE
    21%

Q3 FY26

  • Net Flows
    ₹14,758 Cr

What they filed

Q1 FY27: revenue up 34.6%, net profit up 16.1% against the same quarter last year.

₹ Cr · quarterly
Line itemQ2 FY25Q3 FY25Q4 FY25Q1 FY26Q2 FY26Q3 FY26Q4 FY26Q1 FY27
Revenue865 780 821 911 1,098 +27%1,181 +51%1,115 +36%1,226 +35%
EBITDA541 444 461 566 697 +29%725 +63%663 +44%773 +37%
Net profit245 276 250 285 315 +29%327 +18%289 +16%331 +16%
How to read this

₹ crore, as filed. The percentage beside a figure is the change against the same quarter a year earlier — never the quarter before, which would make every seasonal business look like it collapses and booms each year.

Segment breakdown

  • Wealth Management
    ₹2.19L Cr ARR AUM
  • Asset Management
    ₹98,949 Cr ARR AUM
  • HNI Segment (Reserve Side)
    ₹3,000 Cr AUM₹2,000 Cr Net New Flows (FY)58 Relationship Managers
  • UHNI Segment
    191 Relationship Managers

Capital allocation

high confidence
  • Liquidity Liquidity disclosed Additional capital deployed in lending and alternate businesses in FY25 is expected to reflect in overall earnings.
    Pursuant to the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed herewith the transcript of the earnings call held on Thursday, January 15, 2026. We wish to confirm that no unpublished price sensitive information was shared / discussed in the aforesaid earnings call.

Guidance & targets

AUM Growth

  • AUM Growth AUM Growth · every year · High confidence 22-24%
    I think guidance is automatically revised upwards every year, because I'm just going back to my old model that we need to grow our AUM by 22 to 24% and assuming a 10-odd percent kind of mark-to-market on a steady basis across all asset classes, alternates, listed equity.

    — Mr. Karan Bhagat

Net Flows

  • Net Flows as % of Opening AUM Net Flows · every year · High confidence 10-12%
    We've obviously averaged higher than that, but assuming a 9 to 10%, we need to do 12 to 13% of opening AUM as net flows. So, as the opening AUM and closing AUM, there's a large gap. So obviously, the next year target automatically becomes 12% of the closing AUM. So, to that extent, we would always want to get net flows in the region of 10 to 12% of our closing AUM.

    — Mr. Karan Bhagat

Revenue Growth

  • Revenue Growth Revenue Growth · 3 years from April 2025 to April 2028 · High confidence 16-18%
    But I would like to believe April 2025 and if I look forward 3 years from April 2025 to April 2028, I would want to come back to my own old number of 22-24% AUM growth, 16-18% growth of revenues and 22-24% growth in profits.

    — Mr. Karan Bhagat

Profit Growth

  • Profit Growth Profit Growth · 3 years from April 2025 to April 2028 · High confidence 22-24%
    But I would like to believe April 2025 and if I look forward 3 years from April 2025 to April 2028, I would want to come back to my own old number of 22-24% AUM growth, 16-18% growth of revenues and 22-24% growth in profits.

    — Mr. Karan Bhagat

PAT

  • PAT Target PAT · 3 years from April 2025 · Medium confidence ₹1,800-2,100 crores

    From ₹1,000 crores (April 2025) today

    So, if I just look at my Rs 1,000 crore profit number of April 2025, I would be disappointed if we can't be in that zip code of, you know, give or take Rs 1,800 crores to Rs 2,100 crores of Profit After Tax in 3 years from there.

    — Mr. Karan Bhagat

Cost-to-Income Ratio

  • Cost-to-Income Ratio Cost-to-Income Ratio · next year · High confidence 45-46%

    From 48.3% today

    So, we would definitely, as a team, want to target 45 to 46 next year. Hopefully, we can get to 45 aspirationally. But, otherwise, 46 for sure compared to the 48.2 we are at now.

    — Mr. Karan Bhagat

HNI Business

  • HNI Business Breakeven HNI Business · next year, or middle half of next year (3-6 months) · High confidence Breakeven
    Definitely HNI business will be breaking even next year, or middle half of next year... I think, we are at a place where we are fairly confident, and we are going to pretty much breakeven in 3-6 months.

    — Mr. Karan Bhagat

ET Money

  • ET Money Breakeven ET Money · towards the end of next financial year (on a run rate basis) · Medium confidence Breakeven
    And ET Money, hopefully, on a run rate basis, being close to breakeven next, towards the end of next financial year.

    — Mr. Karan Bhagat

UHNI RM Count

  • UHNI Relationship Managers UHNI RM Count · next 3-4 years · High confidence 300-350

    From 191 today

    Going back to my old numbers, broadly we would like to see a number around the 300-350 mark over the next 3-4 years.

    — Mr. Karan Bhagat

RM Additions

  • New Relationship Managers Added Annually RM Additions · every year · High confidence 40-50
    So, I think we need to add around about 40-50 good talented bankers every year.

    — Mr. Karan Bhagat

ROE

  • ROE (ex-intangible) ROE · Medium confidence Mid-20s
    I think the aspiration, obviously, on a capital allocation basis is with the increase in profitability to move towards the mid-20s in terms of ROE on an ex-intangible basis and, including the goodwill assets, trying to move towards the late teen numbers from an ROE perspective.

    — Mr. Karan Bhagat

  • ROE (including goodwill) ROE · Medium confidence Late teen numbers

    — Mr. Karan Bhagat

ARR Retention

  • Normalized ARR Retention ARR Retention · next quarter onwards · High confidence 75-76 bps

    From 81 bps (Q3 FY26) today

    On a normalized basis, therefore, we expect the retentions to go back to the 75-76 basis points level for next quarter onwards.

    — Mr. Anshuman Maheshwary

Carry Income

  • Carry Assumption on Alt AUM Carry Income · High confidence 20-25 bps

    From 10-15 bps (historically) today

    I think broadly 20-25 basis points is the broad carry assumption we work with. Historically, we used to work with 10-15 basis points. I think over the last couple of years, we made it 15-20. I think it's fair to say that now we are kind of acting in 20-25 basis points because we've launched a lot of our schemes over the last 2.5-3 years.

    — Mr. Karan Bhagat

  • Quarterly Carry Income Carry Income · quarterly · Medium confidence ₹25-40 crores
    Having said that, there obviously can be events and there can be listings and so on and so forth where there is a sudden, and if you have a concentrated position in that stock, that can lead to a little bit of an uptick in carry. But typically if you see, Rs 25-Rs 40 crores a quarter is broadly the assumption.

    — Mr. Karan Bhagat

Dividend Payout

  • Dividend Payout Ratio Dividend Payout · High confidence 45-70%
    From a dividend perspective, obviously we continue to declare 45-70% of our profits, outside of our Alts business and our NBFC business, as dividends.

    — Mr. Karan Bhagat

What to watch in Q4 FY26

UBS Collaboration Traction

Next quarter (April/May onwards)
Current Agreement signed 3 weeks ago, early traction on cross-border client referrals.
Target Actual numbers translating from April/May onwards, emerging synergies.

Why it matters

This strategic partnership is expected to unlock significant potential and contribute to future growth.

We are already witnessing encouraging early traction on cross-border client referrals and remain excited about emerging synergies in asset management as well as other areas... we will see actual numbers kind of translating from April, May onwards; I think potentially April onwards.

Risks & concerns

  • Market Volatility

    medium

    Indian capital markets navigated a period of heightened volatility shaped by evolving geopolitical dynamics and intermittent bouts of market consolidation.

    Management acknowledged

  • TBR Revenue Volatility

    low

    The rebranding of B&K to 360 ONE Capital and integration of institutional equities is expected to moderate the periodic volatility experienced in the past.

    Management mitigated

  • Attrition-related outflows

    low

    Despite attrition-related outflows in H1, the company delivered strong organic net flows.

    Management acknowledged

  • HNI Business Monetization Timeline

    low

    HNI business investments are stabilizing, but topline growth takes longer due to its trail-based nature; breakeven expected in 3-6 months.

    Analyst acknowledged

  • ET Money Monetization Model

    low

    ET Money will take 3-6 months longer to discover the exact monetization model, but brand recall and engagement are high.

    Management acknowledged

Q&A highlights

7 direct
Net Flow Composition and FY27 Outlook Direct
On the wealth management side, it's a combination, like you rightly said, of enhancement of wallet share as well as new clients coming in... The rest of the flows are largely a combination of increase in wallet share as well as new money coming in. That's a ratio of about 50:50/60:40.

Clarifies the drivers of strong net flows and reiterates long-term AUM growth targets.

Asked by Mr. Mohit Mangal

TBR Revenue Growth and Quality Direct
I think we've worked really hard. TBR revenue coming out of pure financial products in terms of managed accounts is practically zero... the rest of the TBR revenue is largely, in some ways, brokerage and syndication... we've got brokerage and syndication across multiple asset classes.

Explains the composition and improved quality of Transaction and Broking Revenues (TBR) despite not growing dramatically QoQ.

Asked by Mr. Mohit Mangal

Operating Leverage and Cost-to-Income Ratio Improvement Direct
So, we would definitely, as a team, want to target 45 to 46 next year. Hopefully, we can get to 45 aspirationally. But, otherwise, 46 for sure compared to the 48.2 we are at now.

Provides clear targets for cost-to-income ratio improvement, driven by new business breakevens and core productivity.

Asked by Mr. Mohit Mangal

Retention Rates and Carry Income Recognition Direct
On a normalized basis, therefore, we expect the retentions to go back to the 75-76 basis points level for next quarter onwards.

Clarifies the impact of incremental carry income on retention rates and the expected normalization.

Asked by Mr. Niranjan Kumar

Discretionary PMS Net Flows and Conversion Partial
I think discretionary PMS or what is called kind of net-owned funds across the globe, it is the toughest kind of franchise to build... But if there is one number which I would like to improve over the next 12-24 months would be the discretionary PMS number.

Acknowledges the challenge in scaling discretionary PMS and sets an internal target for improvement.

Asked by Mr. Nidhesh Jain

HNI Business Revenue Growth Timeline Direct
I wouldn't still measure the HNI business from a pure revenue perspective that quickly because I think the more important number there would be net flows and AUM growth... we are going to pretty much breakeven in 3-6 months.

Provides clarity on the long-term nature of HNI revenue accumulation and sets a breakeven timeline.

Asked by Mr. Siddharth

Capital Allocation Strategy Direct
I think we'll continue to use our capital for two things - for the Alternates business, as well as for the broad NBFC... From a dividend perspective, obviously we continue to declare 45-70% of our profits, outside of our Alts business and our NBFC business, as dividends.

Outlines the company's capital deployment priorities and dividend policy.

Asked by Mr. Siddharth

UBS Collaboration Progress and Economics Direct
So, on the UBS side, as Anshuman mentioned, we just signed the collaboration agreement 3 weeks back... we will see actual numbers kind of translating from April, May onwards; I think potentially April onwards.

Provides an update on the timeline for the strategic UBS partnership to yield tangible results.

Asked by Mr. Lalit Deo

3 min read 7 chapters

Detailed narrative

Q3 FY26 Performance Overview

360 ONE WAM reported a robust Q3 FY26, with total ARR AUM increasing 28% year-on-year to Rs 3,17,906 crores. This growth was underpinned by strong net flows of Rs 14,758 crores in Q3 FY26 and Rs 46,890 crores for the nine months. ARR revenue saw a significant 45.4% YoY increase, reaching Rs 619 crores, and contributed 77% to the total revenue of Rs 826 crores. The company achieved its highest ever quarterly PAT of Rs 331 crores, marking a 20.3% YoY increase, and improved its tangible ROE to 21% from 20.4% in the previous quarter.

AUM Growth & Net Flows Dynamics

The total ARR AUM is segmented into Wealth ARR AUM at Rs 218,957 crores and Asset Management ARR AUM at Rs 98,949 crores. Asset management mobilizations were strong, raising over Rs 2,000 crores in real asset strategy, Rs 2,500 crores in private credit, and Rs 2,000 crores in mid and small cap listed strategy. Net flows in wealth management were driven by a combination of increased wallet share from existing clients and new client additions, with a split of approximately 50:50 or 60:40.

Strategic Initiatives & Partnerships

The comprehensive Global Collaboration Framework for Wealth with UBS was signed in November, showing early traction with cross-border client referrals, with actual numbers expected from April/May onwards. ET Money is being transformed from a transaction-led app to a comprehensive wealth platform for the affluent segment, targeting breakeven by the end of the next financial year. B&K Securities has been rebranded to 360 ONE Capital, integrating corporate and institutional equities to enhance the sustainability and predictability of TBR revenues.

Alternate Business & Regulatory Environment

The Alternates business continues to be a key growth driver, having built Rs 50,000 crores in AUM over 7-8 years, with 95% of funds performing in the top 90 percentile. Recent SEBI initiatives, including co-investment vehicles and reduced large value fund thresholds (from Rs 75 crores to Rs 25 crores), provide additional flexibility. The company's carry assumption on Alt AUM is 20-25 basis points, translating to an expected quarterly carry of Rs 25-40 crores.

Operating Efficiency & Profitability Outlook

The company's cost-to-income ratio stood at 48.3% in Q3 FY26. Management aims to reduce this to 45-46% next year, anticipating breakeven for the HNI business by mid-next year and for ET Money by the end of the next financial year. These improvements, combined with productivity gains in the core business, are expected to contribute 100-150 basis points to cost-to-income ratio improvement. The long-term guidance includes 22-24% AUM growth, 16-18% revenue growth, and 22-24% profit growth, targeting a PAT of Rs 1,800-2,100 crores in three years from April 2025.

Talent Acquisition & Geographical Expansion

The UHNI segment currently has approximately 191 relationship managers, with a target to grow this to 300-350 RMs over the next 3-4 years by adding 40-50 talented bankers annually. The HNI segment (Reserve side) has seen its AUM grow from less than Rs 400-500 crores to over Rs 3,000 crores, supported by 58 relationship managers. The company plans to expand its geographical footprint beyond the current 15 cities to another 10 cities, including international locations like Dubai and Singapore.

Discretionary PMS & Client Trust

While non-discretionary PMS flows are strong, the conversion to discretionary PMS is an area for improvement. Management acknowledges that discretionary PMS is the toughest franchise to build, requiring maximum client trust and offering full freedom on multi-asset class management. The company aims to improve its discretionary PMS numbers over the next 12-24 months, leveraging its diversified platform and strong performance.

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