💰 Financial Performance

Revenue Growth by Segment

Consolidated revenue for Q2 FY26 reached INR 37.04 Cr, representing a marginal growth of 1.09% QoQ from INR 36.64 Cr. Fees and Commission income grew by 15.4% QoQ to INR 30.86 Cr. Interest income saw a significant decline of 41.7% QoQ, falling from INR 3.69 Cr to INR 2.15 Cr. On a YoY basis for the half-year ended Sept 30, 2025, total income fell 17.9% to INR 73.91 Cr compared to INR 90.05 Cr in the previous year.

Profitability Margins

Net Profit Margin for Q2 FY26 was 16.2% (INR 6.00 Cr profit on INR 37.04 Cr revenue), a contraction from 20.6% in Q1 FY26. This decline is attributed to a 20.4% drop in absolute profit QoQ despite stable revenues, likely due to higher operational costs and lower fair value gains.

EBITDA Margin

Profit Before Tax (PBT) margin for H1 FY26 stood at 22.4% (INR 16.54 Cr on INR 73.91 Cr revenue). Core profitability was impacted by a swing in fair value changes, which moved from a gain of INR 2.66 Cr in Q1 FY26 to a loss of INR 0.01 Cr in Q2 FY26.

Credit Rating & Borrowing

Consolidated borrowings (other than debt securities) increased by 40.2% to INR 20.51 Cr as of Sept 30, 2025, compared to INR 14.63 Cr as of March 31, 2025. Specific interest rate percentages were not disclosed.

⚙️ Operational Drivers

Raw Materials

Not applicable for the core financial services business; however, for the industrial subsidiary PGIPL, specific raw materials were not disclosed.

Manufacturing Efficiency

PGIPL's operational efficiency was severely hampered by weather, losing approximately 26% of available working days in Q2 FY26 due to heavy rains.

📈 Strategic Growth

Expected Growth Rate

Not disclosed

Growth Strategy

The company is pursuing a Composite Scheme of Arrangement to streamline its corporate structure. Growth is targeted through its diversified subsidiaries including Almondz Global Securities (market operations) and Almondz Finanz (lending), while managing industrial volatility in subsidiaries like PGIPL.

Products & Services

Investment banking, stock broking, debt and equity market operations, NBFC financing, healthcare services, and industrial manufacturing (via PGIPL).

Brand Portfolio

Avonmore, Almondz.

Strategic Alliances

The group operates through a network of subsidiaries including Almondz Global Securities Ltd, Acrokx Reality Pvt Ltd, and Almondz Finanz Ltd.

🌍 External Factors

Industry Trends

The financial services industry is shifting toward consolidated corporate structures for better regulatory compliance and capital efficiency, evidenced by Avonmore's pending Scheme of Arrangement.

Competitive Landscape

Competes with other diversified financial services firms and NBFCs in the Indian market.

Competitive Moat

The company maintains a diversified financial services moat through its subsidiaries (Almondz), providing a mix of fee-based and fund-based income, though this is susceptible to market cycles and environmental disruptions.

Macro Economic Sensitivity

Highly sensitive to capital market performance, which dictates 'Fees and Commission' income (83.3% of Q2 revenue) and fair value gains on investments.

⚖️ Regulatory & Governance

Industry Regulations

Operations are governed by the Companies Act 2013 and Ind-AS accounting standards. The pending Composite Scheme of Arrangement requires approval from Stock Exchanges and other regulatory bodies.

Taxation Policy Impact

The company provided for current tax of INR 0.63 Cr for the half-year ended Sept 30, 2025.

Legal Contingencies

The company has a pending Composite Scheme of Arrangement filed with Stock Exchanges. A proposed preferential issue of equity shares was withdrawn specifically to avoid legal/regulatory complications regarding capital structure changes during this approval period.

⚠️ Risk Analysis

Key Uncertainties

Regulatory risk regarding the approval of the Scheme of Arrangement and environmental risk (weather-related shutdowns) which recently reduced subsidiary profits by 65% QoQ (INR 3.67 Cr vs INR 10.55 Cr).

Credit & Counterparty Risk

Finance activities segment assets stand at INR 91.75 Cr, representing significant credit exposure to borrowers through its NBFC arm.