Mumbai, January 16: The stock of Angel One Ltd. plunged as much as 13% on Tuesday, January 16, following the brokerage company's announcement that its earnings had decreased by 14% over the previous three months due to increased growth in cash segment orders, changes to the cash intraday tariff structure, and increased operating expenses due to client acquisition. Comparing the September quarter to the current one, profit was Rs 260.30 crore as opposed to Rs 304.50 crore.

Sales increased by 1% to Rs 1,060.80 crore during the course of the quarter as markets reached all-time highs. On the BSE, Angel One shares dropped 12.76 per cent to a low of Rs 3,380. NSE Imposes Fine of Rs 1.67 Crore on Angel One, Bans From Onboarding New Authorised Persons for 6 Months; Shares Slump 7%.

Angel One's earnings after tax increased 14% year over year, although it was still 17% less than Motilal Oswal's projections. Motilal's forecasts for the quarter's costs were exceeded by 13% due to a 17% increase in administrative and other expenses. The board of Angel One has authorised financing money through the issue of non-convertible debentures, up to Rs 500 crore, in one or more tranches through private placement. The board has also announced a third interim dividend for FY24 at the rate of Rs 12.70 per share.

Moreover, the brokeage company's F&O market share increased from 26.2% in Q2FY24 to 26.8%. The average daily turnover for F&O increased by 15% YoY and 22% QoQ. According to Motilal Oswal, the revenue per order dropped to Rs 22.70 but the quantity of orders remained same.  Online Trading and Stock Broking Firm Angel One Limited is Close to Deploying a SuperApp.

According to Motilal Oswal, Angel One is a brilliant parody of digitalization and the financialization of savings. Markets reached an all-time high in the third quarter of FY24, demonstrating its outstanding performance. To improve its position, the management keeps making technological investments. Its activation rate and customer acquisition trajectory, however, have decreased. Reviewing our projections and goals after the call is our goal for January 16.

 

(The above story first appeared on LatestLY on Jan 16, 2024 04:20 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).