INDOTHAI - Indo Thai Sec.

📊 NSE: INDOTHAI 🏢 Finance & Investments 📅 Last Updated: 12/14/2025 8:02

💰 Financial Performance

Revenue Growth by Segment

Total revenue from operations decreased by 13.88% YoY, falling from INR 31.02 Crore in FY24 to INR 26.72 Crore in FY25. The equity segment remains the primary driver, with turnover reaching INR 354.13 Crore on BSE and INR 5,555.27 Crore on NSE during the period.

Geographic Revenue Split

The company is primarily focused on Central India but is expanding its regional outreach. Recent expansions include new branches in Rajkot (opened November 2024) and Surat (opened May 2025) to capture the growing investor base in Gujarat. Specific percentage contribution per region is not disclosed.

Profitability Margins

Profitability saw a significant decline; Basic Earnings Per Share (EPS) dropped by 46.63%, from INR 16.60 in FY24 to INR 8.86 in FY25. Diluted EPS for FY25 stood at INR 8.67. This decline is linked to a 13.88% drop in total revenue and increased operational costs associated with expansion.

EBITDA Margin

Not explicitly disclosed in percentage terms, but core profitability was impacted by the 13.88% revenue contraction and a 76.72% decrease in Cash & Cash Equivalents, which fell from INR 2.28 Crore to INR 0.53 Crore YoY.

Capital Expenditure

The company raised INR 118.20 Crore through a preferential issue of equity shares and convertible warrants. A revised amount of INR 103.57 Crore was specifically allocated for augmenting margin deposits with stock exchanges, supporting client funding activities, and proprietary trading.

Credit Rating & Borrowing

The company utilizes CARE Ratings as its monitoring agency for fund utilization. While specific interest rates are not disclosed, the company maintains a focus on asset-liability management to mitigate liquidity risks.

⚙️ Operational Drivers

Raw Materials

Not applicable as the company operates in the financial services and stockbroking sector.

Import Sources

Not applicable.

Key Suppliers

Not applicable.

Capacity Expansion

Physical presence expanded by 2.7% in terms of key branch locations with the addition of Rajkot and Surat offices. The company is also scaling its digital capacity through technological upgradation to serve institutional clients.

Raw Material Costs

Not applicable.

Manufacturing Efficiency

Not applicable.

Logistics & Distribution

Not applicable.

📈 Strategic Growth

Growth Strategy

Growth is targeted through a three-pronged strategy: regional expansion into high-potential markets like Gujarat, accelerating Margin Trading Facilities (MTF) to boost client buying power, and diversifying revenue streams into mutual funds and wealth management to reduce dependence on volatile equity brokerage volumes.

Products & Services

Equity Brokerage, Mutual Fund distribution, Wealth Management services, Margin Trading Facility, and Proprietary Trading.

Brand Portfolio

Indo Thai Securities Limited.

New Products/Services

Accelerated focus on Margin Trading and Wealth Management services; specific revenue contribution percentages for these new focus areas are not yet disclosed.

Market Expansion

Targeting regional outreach in Western India with new branches in Rajkot and Surat established between late 2024 and mid-2025.

Market Share & Ranking

Described as one of the leading broking companies across Central India with a 30-year track record.

🌍 External Factors

Industry Trends

The industry is seeing a shift from physical assets to financial instruments. India's demographic dividend, with 120 million people entering the workforce by 2040, is expected to drive massive growth in equities and mutual fund investments.

Competitive Landscape

Intense competition from national-level discount brokerage firms which utilize technology to offer lower price points.

Competitive Moat

The company's moat is built on a 30-year brand legacy, 'client centricity,' and a strong physical presence in Central India. Sustainability is supported by diversifying into wealth management to create stickier revenue than pure-play brokerage.

Macro Economic Sensitivity

Highly sensitive to domestic economic progress and global market developments. A slower-than-expected recovery of the macro-economy or inability to push economic reforms is cited as a risk that could delay growth.

Consumer Behavior

Rising urbanization and digital adoption are shifting household savings toward market-linked products like SIPs and insurance.

Geopolitical Risks

Geopolitical shifts and trade fluctuations are noted as complexities affecting the global economy (3.3% growth in 2024) which indirectly impacts Indian market sentiment.

⚖️ Regulatory & Governance

Industry Regulations

Operations are governed by the Companies Act 2013 and SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015. The company recently executed a stock split (10:1 ratio) on October 18, 2025, reducing face value from INR 10 to INR 1.

Environmental Compliance

The company engages in CSR programs for disadvantaged sections of society, though specific ESG costs in INR are not listed.

Taxation Policy Impact

Not disclosed.

⚠️ Risk Analysis

Key Uncertainties

Cyber-attacks and data theft are identified as regular threats that could compromise client data sanctity. Regulatory changes are also a major uncertainty that can pose sudden operational challenges.