Wealth First Portfolio Managers Ltd

Q1 FY27 highlights

• Revenue from operations ₹14.3 Cr; total revenue ₹19.0 Cr in Q1 FY27.
• AUA rose to ₹13,647 Cr; client families 6,967; total clients 21,986.
• WFA acquisition expands Mumbai presence; combined AUM near ₹9,000 Cr.
• Phase I: 51% stake for ₹52.1 Cr; Phase II by FY30.

Acquisition terms & strategic expansion

• Phase I: 51% stake for ₹52.1 Cr; Phase II by FY30 per valuation formula.
• Promoter Ashish Shah remains invested; leadership retention to ensure client transition.
• Expands across Mumbai; strengthens footprint in Ahmedabad, Surat, Pune, Rest of World.
• Aims for ₹20,000 Cr AUM in five years; scalable growth via consolidation.

Financial position & utilization of funds

• Consolidated Mar-26 balance sheet: total assets ₹179.9 Cr; equity ₹170.1 Cr.
• Cash ₹1.3 Cr; no borrowings; current liabilities ₹9.2 Cr; current assets ₹53.1 Cr.
• Q1 FY27 profitability impacted by growth investments; trading book reduced to nil.
• Client base growth reflects enhanced advisory and distribution capabilities.

Governance & leadership

• MD & Promoter: Ashish Shah; Board includes Binal Gandhi and independent directors.
• Key management: CFO Dhiren Parikh; other senior leaders listed in disclosures.

Business Overview

• Independent wealth manager with PMS, AMC (Lakshya), and insurance broking (Wealthshield).
• Aims for scale via acquisition-led growth and expanded Mumbai footprint.
• Lakshya AMC JV configured 69.7% Wealth First; scalable mutual fund platform.
• PMS for US/Canada NRIs launched to address PFIC complexities.
• Trading book reduced to nil; focus on core advisory, PMS, AMC, and insurance.

Key Operational Highlights

• WFA acquisition: Phase I 51% by Dec 2026; Phase II 49% by FY30.
• Combined AUM near Rs 9,000 Cr; target Rs 20,000 Cr in five years.
• AUA: Rs 13,647 Cr as of June 2026; 8.6% YoY, 12.3% QoQ.
• Client base: 21,986; 6,967 families; 240 net clients in Q1 FY27.
• Expansion: Mumbai plus Ahmedabad, Surat, Pune, Rest of World.
• Wealthshield Insurance Brokers licensed by IRDAI; 30 POSPs onboarded (target 1,000).
• POSP distribution and digital presence strengthened; Nifty 100 PMS operational with initial investors onboarded.

Financial Performance

• Q1 FY27 total revenue Rs 19.0 Cr; revenue from operations Rs 14.3 Cr; other income Rs 4.7 Cr.
• PBT after exceptional items Rs 13.7 Cr; PAT Rs 10.4 Cr (Q1 FY27).
• Q1 FY27 PBT margin 72.4%; PAT margin 54.9%.
• Total operating costs Rs 5.0 Cr; cost-to-income 36.6% including AMC.
• FY26 revenue from operations Rs 68.4 Cr; FY26 PAT Rs 38.3 Cr; EPS Rs 36.29.

Capital Structure & Liquidity

• Equity share capital Rs 10.7 Cr; Total equity Rs 170.1 Cr; Non-controlling interest Rs 19.6 Cr.
• Total assets Rs 179.9 Cr; Cash Rs 1.3 Cr; No borrowings (Mar-26).
• Current liabilities Rs 9.2 Cr; Provisions Rs 1.0 Cr; Other current liabilities Rs 7.8 Cr.

Strategic Priorities & Outlook

• Acquire-and-scale approach to reach Rs 20,000 Cr AUM in five years.
• Expand Mumbai presence and strengthen cross-geography distribution.
• PMS for NRIs to capture PFIC-related demand; Lakshya AMC to scale.
• Wealthshield expansion with POSP network; digital capabilities to enable scalable distribution.

Risks & Mitigation

• Forward-looking statements subject to risks; no obligation to update.
• Acquisition integration and regulatory approvals pose execution risks; management ongoing mitigations.

Governance & Leadership

• MD: Ashish Shah; promoter-led leadership with continuity post-acquisition.
• Board includes 2 independent directors; CFO Dhiren Parikh; senior executives in BD & Strategy.

Standalone results

• Revenue from operations: 1,407.81; Total Income: 1,720.19; PBT: 1,343.37; PAT: 1,034.43.
• Basic EPS: 9.71; Diluted EPS: 9.71; paid-up share capital: 1,065.50; face value ₹10.
• Board approved Q1 FY27 standalone results on 13 Aug 2026; Limited Review by Jaimin Deliwala & Co.
• No reportable segments per IND AS 108; activities solely in India.

Consolidated results

• Consolidated Total Income: 1,898.32; PAT: 1,042.10; Basic EPS: 9.69.
• No additional segments disclosed; activities governed within Indian operations.
• Board approved consolidated results on 13 Aug 2026; Limited Review referenced.
• All figures in rupees terms; group results prepared on Ind AS basis.

Meeting Details

• Date & time: 14 August 2026, 10:00 am onwards.
• Nature: 1x1 / Group Meeting.
• Mode: physical.
• Organised by: Equirus Annual India Conference.
• Place: Mumbai.

Participants

• Key company participant: Managing Director.

Purpose

• Investor/analyst interactions; based on publicly available information.

Additional Notes

• No UPSI will be discussed.
• Disclosures will be posted on the company's website.

Meeting Details

• Board meeting scheduled for 13 August 2026 via Video Conference; time not disclosed.

Key Agenda Items

• Approval of unaudited standalone financial results for quarter ended June 30, 2026 with Limited Review Report.
• Approval of unaudited consolidated financial results for quarter ended June 30, 2026 with Limited Review Report.
• Any other business with the approval of the Chairperson.

Other Notes

• Trading window closed for designated persons; remains closed till 48 hours after results declaration.

Dematerialisation status

• No securities were received for dematerialisation up to 30 June 2026.
• No certificates were mutilated or cancelled due to dematerialisation.
• No substitution of depository name as registered owner within 15 days of receipt.

Transaction highlights

• Wealth First to acquire 51% stake in WFAPL for ₹102.15 crore.
• Remaining 49% to be acquired later, based on WFAPL valuation as of 31 March 2029.
• Initial payment via internal accruals and a share swap.
• WFAPL is Mumbai-based wealth management and distribution firm.

Strategic impact

• Expands Wealth First's national footprint beyond western India into Mumbai.
• Combined AUM rises to about ₹9,000 crore.
• Strengthens advisory and distribution capabilities via WFAPL.
• Plans five-year target to reach ₹20,000 crore AUM.
• Maharashtra accounts for roughly 40% of India's mutual fund industry.

Business Overview

• Wealth First to acquire WFAPL to build a larger independent wealth platform.
• WFAPL: Mumbai-based advisor with 4,400+ clients and ₹3,746 Cr AUA.

Key Operational Highlights

• Phase I: 51% stake for ₹52.1 Cr; ₹40 Cr cash, ₹12.1 Cr swap.
• Phase II: remaining 49% via share swap; FY30 completion.
• Completion targeted on or before 31 December 2026.
• Ashish Shah to dilute entire WFA stake; no cash exit.
• Key talent and client transitions planned.

Financial Performance

• WFAPL has 4,400+ clients and ₹3,746 Cr AUA.
• 25-member team; 2,800+ client families.

Capital Structure & Liquidity

• Phase I funded by internal accruals and/or share swap; ₹40 Cr cash.
• Total Phase I consideration ₹52.1 Cr.
• Phase II settled via share swap; no cash outlay.
• Promoter stake dilution aligns with new platform.

Strategic Priorities & Outlook

• Accelerates AUM growth and expands HNI client base.
• Expands distribution reach and geographic footprint.
• Broadens product offerings; leverages scale for cross-sells.

Risks & Mitigation

• Two-phase closing subject to regulatory approvals.
• Integration risk; plan retains key talent and relationships.
• Phase II depends on valuation-based share swap.

Governance & Leadership

• Promoter Ashish Shah to remain invested via swap; no cash exit.
• No explicit changes to WFAPL board disclosed.

Parties

• First party: Wealth First Advisors Private Limited (Target Entity).
• Second party: Wealth First Portfolio Managers Limited (WFPML).
• Third party: Existing Shareholders of Wealth First Advisors Private Limited.

Purpose

• Acquire 100% of Wealth First Advisors Private Limited in two phases.
• Aim to expand assets, distribution footprint, and market position.

Key terms

• Phase I: 51% for Rs 52.10 crore; Rs 40 crore cash, Rs 12.10 crore in shares.
• Phase II: remaining 49% to be determined later; paid via share swap.
• Target belongs to promoter group of WFPML; MD Ashish Shah holds 10.62%.
• Related party transaction; acquisition at arm's length with independent valuation.
• Issuance/pricing to be determined per MOU and ICDR regulations.

Related party status

• Yes; target is in promoter group of WFPML.
• MD Ashish Shah has 10.62% stake in the target.
• Acquisition conducted at arm's length per independent valuation.

Impact

• Acquisition confers controlling stake in Target Entity.
• Expands WFPML's assets, distribution footprint, and market position.
• Phase II timing to be determined.

Other disclosures

• Board approved the MOU on 30 June 2026.
• Annexure A enclosed; regulatory disclosures per SEBI LODR/ICDR referenced.
• Pricing and issuance details to follow as per MOU terms.

Termination / Amendment

• Not applicable.