360 ONE — Q4 FY26 earnings call

Call held 21 Apr 2026

Management summary

360 ONE delivered strong financial outcomes in Q4 FY26, with significant growth in ARR AUM, revenues, and PAT, alongside a declared interim dividend. The company is actively integrating recent acquisitions and expanding its platform, though it faces challenges such as a tax demand and softer performance in its discretionary PMS segment. Management remains confident in its growth trajectory, aiming for improved operational efficiency and market share expansion.

Highlights

  • Total ARR AUM grew 26% YoY to 311,940 crores, with Wealth ARR AUM at 2,16,000 crores and Asset Management ARR AUM at 95,000 crores.

  • FY26 PAT increased by 20.7% to 1,225 crores, and Tangible ROEs stood at 19.3%.

  • FY26 ARR revenue was 2,289 crores, up 34.5% YoY, now comprising 75% of total revenue from operations.

  • Q4 Transaction and Broking revenues significantly increased by 53.7% YoY to 230 crores, partly due to the full quarter consolidation of 360 ONE Capital.

  • Organic FY26 net flows rose by 36% to 35,199 crores, excluding acquisition-related flows.

Concerns

  • Tax authorities issued a demand of Rs. 336 crores, which the company plans to appeal, believing it has adequate factual and legal grounds.

  • Discretionary PMS segment has seen softer growth and outflows in recent quarters, with a net negative flow of 212 crores for distribution assets in Q4, primarily from Corporate Treasuries.

  • Cost-to-total operating income slightly increased to around 50% in Q4 from 49.5% in the previous quarter, reflecting the investment phase of newer businesses.

Key financials

2 periods

Headline

  • Total ARR AUM
    ₹3.12L Cr
    YoY +26%
  • Tangible ROEs
    19.3%

FY26

  • ARR Revenue
    ₹2,289 Cr
    YoY +34.5%
  • Total Revenue
    ₹3,144 Cr
    YoY +18.6%
  • PAT
    ₹1,225 Cr
    YoY +20.7%
  • Cost-to-Income
    49.9%

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

Share of ARR AUM
₹3.11L Cr Total
  • Wealth Management ₹2.16L Cr 69.5%
  • Asset Management ₹95,000 Cr 30.5%

Capital allocation

high confidence
  • Dividend ₹6/share (interim)
    The Board has approved the first interim dividend of Rs. 6 per share, continuing our disciplined capital allocation philosophy, returning capital to shareholders, where we have surplus, while retaining sufficient capacity to fund growth in our Lending, Alternate, and strategic initiatives.
  • M&A 360 ONE Capital (formerly B&K Securities) Acquisition · Integrated

    Enhanced broking revenue and institutional equities business, strategic synergies with UHNI clients and corporate treasuries.

    Broadly 220-250 crore top line, PBT of 105-110 crores before acquisition costs. Expected to double equity and equity related income over next 3-4 years.

    The strong Q4 numbers partly reflect the full quarter consolidation of 360 ONE Capital, the institutional equities business, formerly known as B&K Securities... The integration of B&K is now complete, and the Institutional Equities business has been rebranded as 360 ONE Capital... I think broadly speaking, we had a 220-250 crore top line in the previous year. We've been broadly around that range... B&K had a PBT, at the point of acquisition, of approximately 100-105 crores this year to finish in the region, ballpark region of 105-110 crores before any specific acquisition related costs.

Guidance & targets

Profitability

  • ET Money Breakeven Profitability · near term · Medium confidence Breakeven
    On ET Money, FY26 has been a year of strategic transformation on the business model and disciplined execution to drive multiple on-ground changes. With different engines at play, we would expect the business to head towards breakeven in the near term.

    — Mr. Sanjay Wadhwa

  • PAT or Profit Growth Profitability · Medium confidence 15-25%
    And you mentioned about PAT or profit growth to be like 15-25%.

    — Mr. Karan Bhagat

  • Wealth Management Profits Growth Profitability · High confidence 15-25%
    and effectively grow our profits on the Wealth Management side by 15-25%.

    — Mr. Karan Bhagat

Market Share

  • Overall Market Share Market Share · next 3 to 5 years · Medium confidence Double
    We've been blessed to be a large participant in the market and have a large percentage of market share, and we only hope to be able to double our market share over the next 3 to 5 years.

    — Mr. Karan Bhagat

Revenue

  • Quarterly Transactional Broking Revenue (TBR) Revenue · quarterly · High confidence 175-180 crores

    Previously 125-130 crores → 175-180 crores

    So, overall, I would like to say, together with the BNK Capital acquisition and 360 ONE Capital coming into place, it would be safe to say that 125-130 crores of quarterly TBR now today looks like closer to the 175-180 crores of TBR for sure.

    — Mr. Karan Bhagat

  • Equity and Equity Related Income (360 ONE Capital) Revenue · next 3 to 4 years · Medium confidence Nearly double

    From 85-90 crores historically today

    I see that kind of doubling, if not tripling, over the next 3 to 5 years as we add research... And hopefully, we can see an equity and equity related income, without considering the banking income, nearly double over the next 3 to 4 years.

    — Mr. Karan Bhagat

Yield

  • Carryable AUM Yield Yield · yearly · Medium confidence 10 basis points
    So, from a modelling perspective, I would say approximately 10 basis points is the right number to look at.

    — Mr. Karan Bhagat

  • Alternates Business Management Fees Yield · High confidence 85-90 basis points
    And obviously, we've got about 85-90 basis points coming out of the management fees on the Alternates business.

    — Mr. Karan Bhagat

  • Alternates Business Overall Yield Yield · High confidence 95-100 basis points
    So about 95-100 basis points on Alternates is the yield I would look at.

    — Mr. Karan Bhagat

AUM Growth

  • Overall AUM Growth AUM Growth · Medium confidence 20-25%
    I'm just trying to read your outlook statement where you mentioned that your AUM growth will be about 20-25% and RM addition, if I got it right, will be 20-25%.

    — Mr. Karan Bhagat

  • Wealth Management Opening AUM Growth AUM Growth · every year · High confidence 12-15%
    On the Wealth Management side, we really strongly believe we should be able to get to 12-15% of our opening AUM every year as net flows.

    — Mr. Karan Bhagat

  • Wealth Management AUM Growth AUM Growth · High confidence 20-25%
    And continued with an opening AUM growth of 12-14%, we should be able to grow our AUM on the Wealth Management side by 20-25%

    — Mr. Karan Bhagat

Headcount

  • Relationship Manager (RM) Addition Headcount · Medium confidence 20-25%
    I'm just trying to read your outlook statement where you mentioned that your AUM growth will be about 20-25% and RM addition, if I got it right, will be 20-25%.

    — Mr. Karan Bhagat

  • RM Compensation Percentile Headcount · High confidence 90th-110th percentile
    But I think we are always going to be between the 90th-110th percentile.

    — Mr. Karan Bhagat

  • Wealth Management RM Growth Headcount · next 3 to 4 years · High confidence 25-30%
    grow our relationship managers carefully by 25-30% every year over the next 3 to 4 years

    — Mr. Karan Bhagat

  • HNI RM Count Headcount · Medium confidence 330-340

    From 180-190 today

    and effectively take our current count of 180-190 to 330-340.

    — Mr. Karan Bhagat

Margin

  • Cost-to-Income Ratio Margin · next 2 to 3 years · High confidence 46-48%

    From 49.9% today

    We still believe, even outside the new businesses we built out, at a cost-to-income ratio of 49 to 50%, it's something which we should be able to get down to 46 to 48%, and over the next 2 to 3 years, even though our core Wealth and Asset Management business have remained very, very rigorously in the region of 44 to 45%, we strongly continue to work hard to ensure that our cost-to-income ratios move towards the 45 to 46 to 47% numbers, driven both by operational leverage and efficiency on the core businesses, as well as improvement in the new businesses.

    — Mr. Karan Bhagat

Partnerships

  • UBS Collaboration Regulatory Approval Partnerships · next quarter or so · Medium confidence Approval received
    But hopefully, we'll see it happen over the next quarter or so.

    — Mr. Karan Bhagat

What to watch in Q1 FY27

ET Money Breakeven

near term
Current heading towards breakeven
Target Breakeven achieved

Why it matters

Indicates successful strategic transformation and profitability for a newer business segment.

On ET Money, FY26 has been a year of strategic transformation on the business model and disciplined execution to drive multiple on-ground changes. With different engines at play, we would expect the business to head towards breakeven in the near term.

Risks & concerns

  • Tax Demand

    medium

    Tax authorities issued an aggregate demand of Rs. 336 crores, which the company believes it has adequate factual and legal grounds to contest and expects no material impact.

    Management acknowledged, will appeal

  • Market Volatility

    medium

    FY26 was characterized by complex interplay of global and domestic factors, leading to increased volatility in Indian capital markets, testing investor conviction.

    Management acknowledged, navigated through diversified allocation

  • Talent Competition and Attrition

    medium

    The 'war for talent' is ongoing, but the company aims to keep RM compensation in the 90th-110th percentile and expects 2-4% attrition annually, while attracting high-quality talent.

    Management acknowledged, managed through platform and compensation

Q&A highlights

8 direct
Transactional Income (TBR) Outlook Direct
together with the BNK Capital acquisition and 360 ONE Capital coming into place, it would be safe to say that 125-130 crores of quarterly TBR now today looks like closer to the 175-180 crores of TBR for sure.

Management revised upwards its quarterly TBR guidance, indicating confidence in the enhanced broking capabilities post-acquisition.

Asked by Mohit Mangal

Discretionary PMS Performance and Strategy Direct
On the discretionary PMS, I agree with you. I think the growth there has been slightly softer than what we would have wanted... I think we kind of have pivoted our strategy a bit. We launch it somewhere in the first week of June. So, I do expect those numbers to kind of move up a bit.

Management acknowledged underperformance in a segment and outlined a strategic pivot and new launch to address it, indicating future improvement.

Asked by Mohit Mangal

AUM and PAT Growth vs. Cost-to-Income Direct
I think our cost-to-income remains in the region of the zip code of 44%, 45%, 46%, which is a superb number. And I think as we've seen a little bit of churn of teams, as well as additional new teams, and there's a passage of time where the older teams have become more productive and the newer teams are kind of getting to be productive, I think that model for us is very well solved. So, I think our ability to get operating leverage there is fairly high.

Management addressed concerns about cost-to-income ratio in the context of growth and hiring, explaining that current levels are due to investment in new teams and that operating leverage will improve.

Asked by Prayesh Jain

Impact of Mutual Fund Yield Compression on B&K Transactional Revenue Direct
On the Capital side, on an average, the B&K business was operating in the zip code of the 5 to 6 basis points retention. So, while there is a little bit of an impact, it's not an impact which is very large for us to kind of dramatically change our quarterly numbers. I think it changes by around about 2-3%.

Management provided specific quantification of the potential impact of regulatory changes on B&K's revenue, indicating it's manageable and offset by synergies.

Asked by Prayesh Jain

UHNI Industry Consolidation and Competition Direct
I think that's a real, real, real great question. And honestly, I think it's fair to say that the size of the industry does require at least 3-4 potentially more larger players... The industry continues to remain fairly consolidated. It stays this way over the next 3 to 4 years.

Management shared its view on the competitive landscape and consolidation trends in the UHNI segment, suggesting continued market concentration.

Asked by Abhijit Sakhare

Quality of Incremental Clients and Diversification Direct
Today, there's obviously a much more sophisticated client, which is the family office. It would be safe to say there are 300-350 such family offices across the country who are substantially more sophisticated, who are able to take decisions faster, who are able to cut much larger cheques.

Management highlighted the increasing sophistication and higher ticket size of new clients, indicating a positive shift in client profile and potential for deeper engagement.

Asked by Dipanjan Ghosh

B&K Headline Numbers Post-Acquisition Direct
I think broadly speaking, we had a 220-250 crore top line in the previous year. We've been broadly around that range... B&K had a PBT, at the point of acquisition, of approximately 100-105 crores this year to finish in the region, ballpark region of 105-110 crores before any specific acquisition related costs.

Management provided specific financial performance metrics for the acquired B&K business, giving insight into its contribution and integration progress.

Asked by Gaurav Jain

DPMS Net Negative Flows and UHNI Contribution Direct
Net flows without MTM... It's Corporate Treasuries, which has contributed to the negative number this quarter.

Management clarified the source of the net negative flows in distribution assets, attributing it to Corporate Treasuries rather than a broader UHNI issue, which is a key distinction for investors.

Asked by Siddharth

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Detailed narrative

Financial Performance Overview

360 ONE delivered a strong FY26, with total ARR AUM growing 26% YoY to 311,940 crores and ARR revenue increasing 34.5% YoY to 2,289 crores, now comprising 75% of total revenue from operations. PAT for FY26 grew 20.7% to 1,225 crores, achieving a Tangible ROE of 19.3%. Q4 saw robust transactional and broking revenues, up 53.7% YoY to 230 crores, partly due to the full quarter consolidation of 360 ONE Capital.

Strategic Initiatives and New Businesses

The integration of 360 ONE Capital (formerly B&K Securities) is complete, contributing to broking revenue and expected to nearly double equity-related income over the next 3-4 years. The HNI segment's reserve program now manages approximately 4,000 crores AUM with around 60 relationship managers, aiming for significant financial improvement. ET Money is undergoing strategic transformation and is expected to reach breakeven in the near term, while Investment Banking is anticipated to make meaningful contributions in 12-18 months.

Asset Management and Discretionary PMS

Asset Management ARR AUM reached 95,000 crores, with FY26 organic net flows of 35,199 crores, representing a 36% increase. However, the discretionary PMS segment experienced softer growth and Q4 saw a net negative flow of 212 crores for distribution assets, primarily attributed to Corporate Treasuries. Management is pivoting its strategy for this segment, with a new launch planned for the first week of June, expecting numbers to improve.

Cost Management and Operational Efficiency

The FY26 cost-to-income ratio stood at 49.9%, with the core UHNI Wealth and Asset Management businesses maintaining a stable 44-45%. While newer businesses are in an investment phase, management aims to reduce the overall cost-to-income ratio to 46-48% over the next 2-3 years. This improvement is expected through operational leverage, efficiency in core businesses, and scaling up of new ventures.

Regulatory Environment and Market Outlook

The regulatory environment is supportive, with SEBI's active changes fostering transparency and institutionalization in the market, which aligns with the company's compliance-first approach. Management remains confident in India's strong macroeconomic fundamentals and sees attractive entry points across multiple asset classes. The company aims to double its market share over the next 3 to 5 years, leveraging its brand, talent, and platform.

Capital Allocation and Shareholder Returns

The Board approved an interim dividend of Rs. 6 per share, demonstrating a disciplined capital allocation philosophy. This approach balances returning surplus capital to shareholders with retaining sufficient capacity to fund growth in Lending, Alternate, and strategic initiatives. The company emphasizes its strong balance sheet and commitment to long-term capital formation.

Tax-Related Matters

The company received an aggregate demand of Rs. 336 crores from tax authorities. Management believes it has adequate factual and legal grounds to substantiate its position and will pursue appeals against the order. The company does not expect any material impact on its financials or operations due to these orders.

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