Choice International Q2 profit rises 23% on advisory growth

Choice International Limited reported consolidated profit for the quarter ended September 30, 2026 of Rs 69.47 crore, up 23% from Rs 56.46 crore a year earlier, as advisory-services revenue rose 83% to Rs 144.53 crore and became the group’s largest contributor to segment profit before tax.

How did Choice International perform in Q2 2026?

Choice International’s consolidated revenue from operations increased 36% year on year to Rs 372.87 crore in the September 2026 quarter, from Rs 274.43 crore in the same quarter of 2025. Total income rose to Rs 379.02 crore from Rs 284.10 crore, while profit before tax increased 26% to Rs 93.81 crore from Rs 74.41 crore.

The group’s profit after tax rose to Rs 69.46 crore from Rs 56.46 crore, while profit including its Rs 0.01 crore share of joint-venture profit was Rs 69.47 crore. Profit attributable to owners was Rs 67.02 crore, compared with Rs 55.21 crore a year earlier, and non-controlling interests accounted for Rs 2.45 crore, versus Rs 1.26 crore.

Sequentially, revenue from operations rose 20% from Rs 309.79 crore in the quarter ended June 30, 2026, and profit after tax increased 15% from Rs 60.61 crore. Basic earnings per share, which Choice International said is not annualised for quarterly and half-year periods, rose from Rs 2.72 to Rs 3.12.

Which Choice International segment drove the revenue increase?

Choice International’s advisory-services segment produced the largest year-on-year increase, with revenue rising 83% to Rs 144.53 crore from Rs 79.05 crore. Its segment profit before tax increased 64% to Rs 45.33 crore from Rs 27.72 crore, making it the group’s largest segment contributor to profit before tax in the quarter.

Broking and distribution remained the largest revenue segment at Rs 178.24 crore, up 11% from Rs 160.73 crore, but its segment profit before tax declined 1% to Rs 42.19 crore from Rs 42.68 crore. Advisory generated Rs 3.14 crore more segment profit before tax than broking and distribution in the September 2026 quarter despite producing Rs 33.71 crore less revenue.

Non-banking financial company, or NBFC, services recorded revenue of Rs 46.25 crore, up 8% from Rs 42.87 crore, while segment profit before tax fell 9% to Rs 3.65 crore from Rs 4.01 crore. Total segment revenue before eliminations increased to Rs 396.62 crore, but inter-segment revenue rose to Rs 17.60 crore from Rs 6.67 crore, resulting in reported total income of Rs 379.02 crore.

What changed in Choice International’s costs and half-year earnings?

Choice International’s total expenses increased 36% to Rs 285.21 crore in the September 2026 quarter from Rs 209.69 crore a year earlier. Employee-benefit expense rose 45% to Rs 112.15 crore, other expenses increased 26% to Rs 136.25 crore, finance costs rose 49% to Rs 30.64 crore and depreciation and amortisation rose 56% to Rs 6.17 crore.

For the half year ended September 30, 2026, revenue from operations grew 34% to Rs 682.65 crore from Rs 509.06 crore and profit after tax rose 25% to Rs 130.07 crore from Rs 104.42 crore. Half-year profit before tax was Rs 173.74 crore, compared with Rs 137.30 crore, while advisory revenue increased 70% to Rs 235.81 crore from Rs 139.02 crore.

The group used Rs 281.18 crore in operating activities during the six months, compared with Rs 66.51 crore used a year earlier, after movements in assets and liabilities of Rs 332.46 crore. Net cash from financing activities was Rs 249.63 crore, versus Rs 133.50 crore in the prior-year period, and cash and cash equivalents ended September 30, 2026 at Rs 320.49 crore, compared with Rs 319.95 crore at March 31, 2026.

What do Choice International’s balance sheet and corporate actions show?

Choice International reported total consolidated assets of Rs 4,142.78 crore at September 30, 2026, up from Rs 3,572.05 crore at March 31, 2026. Broking and distribution accounted for Rs 1,816.16 crore of segment assets, NBFC services for Rs 1,242.16 crore and advisory services for Rs 666.76 crore, more than double advisory’s Rs 307.01 crore reported a year earlier.

Current borrowings rose to Rs 1,104.83 crore at September 30 from Rs 481.38 crore at March 31, while non-current borrowings declined to Rs 83.79 crore from Rs 402.45 crore. Trade receivables increased to Rs 519.89 crore from Rs 439.49 crore, and loans stood at Rs 1,153.47 crore compared with Rs 943.53 crore at the previous financial year-end.

During the half year, Choice International acquired Choice Unified Services Private Limited for Rs 1,000 effective April 1, 2026 and Ellora Solutions Private Limited for Rs 11.60 lakh effective May 25, 2026. The group also disclosed that Choice Equity Broking Private Limited issued 42,25,350 compulsorily convertible preference shares to NH Investment & Securities Co. Ltd. at Rs 2,130 each, aggregating Rs 900 crore; the proceeds were received on October 27, 2026.

Conclusion

Choice International’s September-quarter result combined a 36% rise in operating revenue with a 23% increase in consolidated profit after tax, while its segment mix changed materially. Advisory services delivered Rs 45.33 crore of segment profit before tax, overtaking broking and distribution’s Rs 42.19 crore, although broking and distribution remained the larger revenue business at Rs 178.24 crore.

The next disclosed milestones are shareholder and regulatory approvals for the proposed 1:1 bonus issue and the record date to be set by the board. Investors can also watch the deployment and accounting effects of the Rs 900 crore received by Choice Equity Broking Private Limited on October 27, 2026 following its preference-share issue to NH Investment & Securities Co. Ltd.