Motilal Oswal Financial Services reports 84% growth in net profit at Rs. 1,704 million for FY10;
04/28/2010

Motilal Oswal Financial Services (MOFSL), a leading financial services company, announced its audited results for quarter and year ended March 31, 2010 post approval by the Board of Directors at a meeting held in Mumbai on Apr 27, 2010.

Online PR News – 28-April-2010 – – Performance Highlights
Rs. Million Q4 FY10
Comparison
(Q4 FY09) FY10
Comparison
(FY09)
Total Revenues 1,666  83% 6,453  38%
EBIDTA 761  106% 2,770  53%
PAT (before E& EOI) 502  157% 1,704  84%
EPS- Rs (FV Re 1) 3.63 11.91
^ E & EOI = Exceptional items & Extraordinary items

Performance for the Quarter ended Mar 31, 2010
• Revenues for the quarter at Rs.1,666 million, up 83% as compared to same quarter of previous year.
• PAT for the quarter at Rs.502 million, up 157% as compared to same quarter of previous year.
• Proposed divided for FY10 - 120% (Re 1.20 per share) as against 80% (Re 0.80 per share) in FY09
• Strong balance sheet with networth of Rs. 9,460 million and return on average networth of 20%. Total debt as on Mar 31, 2010 was Rs. 1,083 million.

Speaking on the performance of the company, Mr. Motilal Oswal, CMD said,

“The Indian indices have gained ~81% in FY10 making India amongst the best performing markets in the world. Signs of global recovery, record FII net inflows and turnaround in corporate profits have contributed favorably to the recovery in capital markets. Our focus on building a robust financial services company yielded us good results in FY10 with the Group reporting a return on networth of ~20% which is one of the highest amongst the industry peers.
We believe that earnings momentum will drive the new market cycle and throw several opportunities within the financial service space. With a strong presence across a broad spectrum of financial services, we believe that the Group is well poised for capturing these opportunities.”

Segment results
• Broking and related revenues was up 67% to Rs.1,035 million as compared to Rs.618 million in the same quarter of previous year.
• Investment banking fees was up 143% to Rs.230 million as compared to Rs.95 million in the same quarter of previous year.
• Fund based income was marginally down by 1% to Rs.125 million as compared to Rs.126 million in the same quarter of previous year.
• Asset Management fees was up 245% to Rs.191 million as compared to Rs.55 million in the same quarter of previous year.
• Other income was Rs. 85 million as compared to Rs. 16 million in the same quarter of previous year. This includes profit on sale of investments Rs. 61 million.

Business highlights for Q4 FY 2010
• As at Mar 2010, the customer base increased to 621,215 and retail distribution expanded its reach to 1,397 outlets across 584 cities.
• Total Assets under management for the Group is at about ~Rs.17 billion, which includes assets under management under our portfolio management services and assets under advice for private equity funds.
• Motilal Oswal Asset Management company (MOAMC) which received approval from SEBI to commence Mutual Fund operations filed its first scheme offer document with SEBI for approval
• MOAMC launched Value Investing Forum which aimed at enhance awareness of Value investing through interaction with leading industry practitioners

About Motilal Oswal Financial Services Limited.
Motilal Oswal Financial Services Ltd. (NSE :MOTILALOFS, BSE :532892, BLOOMBERG : MOFS IN) is a well-diversified, financial services company focused on wealth creation for all its customers, such as institutional, corporate, HNI and retail. Its services and product offerings include wealth management, retail broking and distribution, institutional broking, asset management, investment banking, private equity, commodity broking and principal strategies. The company distributes these products through 1,397 business locations spread across 584 cities and the online channel to over 621,215 registered customers. MOFSL has strong research capabilities, which enables them to identify market trends and stocks with high growth potential, facilitating clients to take well- informed and timely decisions. MOFSL has been ranked by various polls such as the Best Local Brokerage 2005, Most Independent Research - Local Brokerage 2006 and Best Overall Country Research - Local Brokerage 2007 in the Asia Money Brokerage Polls for India. In the Starmine India Broker Rankings 2009 from Thomson Reuters, we won awards in 3 out of 4 categories and also bagged the No. 1 Broker Award in the ET Now – StarMine Analyst Awards 2009.

For further details contact:
Mr Hari Krishnan
Motilal Oswal Financial Services
Ph - +91-22-39825500
Mob- +91-9820520392

Mr Sameer Kamath
Motilal Oswal Financial Services
Ph - +91-22-39825554
Mob- +91-9820130810

Mr Anirudh Rajan / Alpesh Nakrani
Paradigm Shift Public Relations
Mob- +91-9892343828/ +91-9869121167
Tel- +91-22 22813797 / 98