Gretex Corporate Services Q1 FY27: Broking-led surge lifts margins and reshapes the growth story

It is a SEBI-registered Category-I Merchant Banker providing capital markets and corporate finance advisory, including SME and mainboard IPOs, and it also operates broking and market-making through its subsidiary.

Revenue from operations was 375 Mn, EBITDA was 172 Mn (45.87% margin), and PAT was 128 Mn (34.13% margin). Diluted EPS was 3.97.

The company signed 3 new mandates, filed a DRHP for Sky Alloys and Power, and noted that Bahutex (partner company) received Category-II AIF registration during the quarter.

The presentation states 14 IPO pipeline mandates, comprising 10 SME IPOs (NSE Emerge and BSE SME) and 4 mainboard mandates, with 4 in-principle approved mandates deferred to FY27 due to extended offer validity.

Yes. In the concall, management stated they expect a minimum of 3 to 4 IPO listings in the current quarter.

The presentation attributes the FY25 dip to scaling low-margin, high-volume market-making which inflated revenue at wafer-thin spreads; margins normalised in FY26.

Key initiatives listed include increasing mainboard IPO focus, operationalising the Category-II AIF platform via Bahutex partnership, proposed listing of Gretex Share Broking Limited, plans to launch PMS next year, and building equity research capabilities.