Nuvama Wealth Management (NUVAMA) Q3 24/25 earnings summary

Executive summary

• Client assets grew 36% year-on-year to ₹4.52 lakh crore, with strong revenue and profit growth across all business segments.

• Q3 FY25 revenues reached ₹723 crore, up 30% year-on-year; 9M FY25 revenues at ₹2,130 crore, up 45% year-on-year.

• Operating PAT for Q3 FY25 was ₹252 crore, up 43% year-on-year; 9M FY25 PAT at ₹731 crore, up 76% year-on-year.

• Return on Equity improved to 31.8% in 9M FY25 from 22.7% in 9M FY24.

• Consolidated revenue from operations for the quarter ended December 31, 2024, was ₹1,031.82 crore, with net profit at ₹251.71 crore.

Financial highlights

• Wealth Management revenues grew 19% year-on-year; Asset Management revenues up 31% year-on-year; Asset Services revenues surged 77% year-on-year.

• Cost-to-income ratio improved to 54% in 9M FY25 from 63% in 9M FY24.

• ROE at 31.8% for 9M FY25, up from 22.7% year-on-year.

• Asset Services assets under custody and clearing grew 57% year-on-year to ₹1.3 lakh crore.

• Net profit margin for the nine months improved to 23.97% from 19.79% year-on-year.

Outlook and guidance

• Management expects Q4 yields in Private and NII in Wealth to recover to normal levels after temporary dips.

• Wealth and Asset Management expected to drive 75–80% of future earnings.

• Plans to double RM capacity in 3–5 years and grow client assets 2–2.5x over five years.

• Asset Management is expected to break even within 12-15 months as AUM approaches ₹20,000 crore.

• Management remains confident regarding ongoing legal matters, expecting favorable outcomes and no need for financial adjustments.