JM Financial Q1 FY27: Private Markets cushion amid capital markets lull

Net revenue was INR 883 crore, pre-provision operating profit was INR 469 crore, and reported PAT was INR 292 crore. Consolidated net worth was about INR 10,900 crore and gross D/E was about 1.0x.

Private Markets was the largest contributor, with segment revenue of INR 596 crore in Q1 FY27, versus total operating segment revenue of INR 1,279 crore.

Management highlighted strong resolutions in distressed credit of over INR 2,000 crore, with the group’s share of cashflows over INR 1,200 crore during the quarter.

Management attributed the slowdown to lack of issuances and primary market activity. Segment PAT after NCI was INR 32 crore versus INR 77 crore in Q1 FY26.

Recurring AUM was INR 33,394 crore (up 7% YoY) and the wealth loan book was INR 2,417 crore (up 43% YoY). Profitability was impacted by weaker transactional revenue and recent hiring.

Asset Management remains loss-making at the segment level in Q1 FY27 (PAT after NCI of minus INR 5 crore). Management fees from mutual funds rose 62% to INR 13 crore and the company plans to invest INR 150 crore over the next 2 years.

AUM grew 28% YoY to INR 3,715 crore and disbursements grew 87% YoY to INR 360 crore. GNPA/NNPA improved to 0.75%/0.50%.