Revenue surged, but 360 ONE's profit fell as other income shrank
Standalone revenue grew 213.08% YoY, but other income fell 35.61%, leaving it responsible for 145.97% of pre-tax profit.
Filed 16 Jul 2026, 15:21 IST · 360 ONE WAM Ltd (360ONE)
Key takeaways
- Standalone net profit fell 25.49% YoY despite revenue growth of 213.08%, as other income declined 35.61%.
- Operating margin improved 67.69 percentage points YoY to 1.64%, but remained 61.04 percentage points below the 24-peer sector median.
- Other income accounted for 145.97% of pre-tax profit, while a -0.4% tax rate also supported reported net profit.
Price around the results
Revenue rebound did not translate into higher profit
Standalone revenue rose 213.08% YoY and 179.39% QoQ, while expenses grew 85.45% YoY and 6.19% QoQ. That operating leverage lifted operating profit from a loss in Q1FY26 and Q4FY26, but the 35.61% YoY fall in other income pulled pre-tax profit down 38.41% and net profit down 25.49% YoY. Interest expense also increased 27.36% YoY.
Operating margin recovered, but earnings quality remains mixed
Operating margin improved by 67.69 percentage points YoY and 160.42 percentage points QoQ because revenue grew faster than expenses. However, operating margin was still only 1.64%, and other income was equivalent to 145.97% of pre-tax profit. The -0.4% tax rate, compared with 17.02% a year earlier, further supported net profit through a tax credit.
Margin volatility continues across the recent quarters
The current margin is a sharp recovery from -158.78% in Q4FY26, but it remains well below 44.64% in Q2FY26 and 43.80% in Q4FY25. Among 24 Financial Services peers that reported the same quarter, 360 ONE's 1.64% operating margin was 61.04 percentage points below the 62.68% median and ranked first from the bottom.
Wealth AUM grew while asset-management flows turned negative
The company said Wealth Management ARR AUM rose 24.2% YoY to Rs 2,41,896 cr, supported by net flows across segments, while Asset Management ARR AUM increased 8.2% YoY to Rs 1,00,139 cr. The presentation reported negative Asset Management ARR net flows of Rs 2,564 cr in Q1FY27, compared with Rs 2,028 cr in Q4FY26. Management said lending is expected to grow proportionately with Wealth AUM, and said it plans to expand across asset classes, geographies and newer businesses while extending the HNI Wealth footprint to clients with Rs 10-50 cr of financial net worth.
The share-price reaction was mild versus its results history
The stock fell 1.57% on the results day and underperformed the market by 1.55 percentage points. That move was smaller than the 4.22% median absolute move across its eight recent results reactions. The stock rose after three of those results and fell after five.
Q1FY27 at a glance
Standalone figures as filed with NSE — cross-checked against an independent source.
| Line item | Q1FY27 | Q4FY26 | QoQ | YoY |
|---|---|---|---|---|
| Revenue | ₹71 cr | ₹25 cr | +179.39% | +213.08% |
| Other income | ₹121 cr | ₹329 cr | -63.14% | -35.61% |
| Expenses | ₹69 cr | ₹65 cr | +6.19% | +85.45% |
| Operating profit | ₹1 cr | ₹-40 cr | — | — |
| Operating margin (%) | 1.64% | -158.78% | — | — |
| Interest | ₹35 cr | ₹38 cr | -7.67% | +27.36% |
| Depreciation | ₹4 cr | ₹9 cr | -54.79% | -62.94% |
| Profit before tax | ₹83 cr | ₹242 cr | -65.64% | -38.41% |
| Tax | ₹-0 cr | ₹-6 cr | +94.88% | — |
| Net profit | ₹83 cr | ₹248 cr | -66.40% | -25.49% |
| EPS (₹) | ₹2.05 | ₹6.12 | -66.50% | -27.30% |
Operating margin of 1.64% compares with a Financial Services sector median of 62.68% across 24 peers that have reported Q1FY27.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | -1.57% | -1.55% |
| Next session | +1.37% | — |
| 5 sessions | -1.40% | -0.53% |
Volume on the results session was 1.27× its 20-day average.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
This quarter
- Wealth Management ARR AUM rose to INR 2,41,896 crore, up 24.2% year on year, supported by net flows across segments.
- Asset Management ARR AUM increased to INR 1,00,139 crore, driven by growth across Private Equity, Credit and Real Assets.
Guidance & outlook
- Lending is expected to grow proportionately with Wealth AUM.
- The company says it is positioned for sustained, profitable growth.
Expansion
- The company plans to deepen its presence across asset classes, expand geographically and scale newer businesses.
- The HNI Wealth business is expanding its footprint to serve clients with INR 10–50 crore financial net worth.
New initiatives
- 360 ONE has an exclusive strategic collaboration with UBS.
Problems & risks
- Asset Management ARR net flows were negative at INR 2,564 crore in Q1 FY27, versus INR 2,028 crore in Q4 FY26.
What to watch
- Whether operating margin moves above the current 1.64% after its sharp recovery from -158.78% in Q4FY26.
- Whether Asset Management ARR net flows improve from the reported negative Rs 2,564 cr.
- Whether Wealth Management ARR AUM growth sustains from the current 24.2% YoY increase.