1. At a Glance
In a world full of fintech unicorns losing money faster than a crypto rug-pull, Monarch Networth just dropped a Q1 bomb: ₹45 Cr profit on ₹98 Cr revenue, OPM of 64%, and ROE strutting around at 26%. From stock broking to mutual fund dreams, this “smallcap with swag” is now SEBI-approved to launch its own mutual fund.
2. Introduction with Hook
Picture a Gujarati dhandho bhai meets Wall Street wolf — that’s Monarch Networth. What started as a humble stockbroker now earns like a mini-bank and talks like a PE fund. Over the past 5 years, it’s given investors a stock price CAGR of 95% and a profit CAGR of 131%. Basically, it’s Angel One’s underrated cousin with a black belt in compounding.
3. Business Model (WTF Do They Even Do?)
Monarch does everything short of launching its own UPI app:
- Equity, commodity & currency broking
- Mutual fund & insurance distribution
- Loan against securities (LAS)
- Depository services
- Investment banking
- Now: SEBI-approved mutual fund sponsor
Basically, it’s your one-stop BFSI snack bar.
4. Financials Overview
| Metric | FY24 | FY25 | TTM |
|---|---|---|---|
| Revenue | ₹278 Cr | ₹327 Cr | ₹340 Cr |
| EBITDA | ₹178 Cr | ₹217 Cr | ₹222 Cr |
| PAT | ₹123 Cr | ₹149 Cr | ₹154 Cr |
| OPM (%) | 64% | 66% | 65% |
From being a side-character broker to a cashflow king — Monarch’s margins are juicier than IPO oversubscriptions.
5. Valuation
- P/E: 19.5x
- P/B: 3.7x
- ROE: 26.1%
- Market Cap: ₹3,013 Cr
- Dividend Yield: 0.13%
Fair Value Range: ₹330 – ₹420
Anything above ₹450, and you’re paying for the mutual fund fantasy — not the fundamentals.
6. What’s Cooking – News, Triggers, Drama
- SEBI Approval: Company gets in-principle nod to sponsor its own mutual fund. Let the SIP dreams begin.
- Q1 FY26:
- Revenue: ₹98 Cr
- PAT: ₹45 Cr
- EPS: ₹5.71
- Board Reappointments: Directors reappointed for 5 years — steady hands on deck.
- Exchange Penalty: Minor fine for late filings. Paid. Apologized. Moved on. Classic broking bureaucracy.
7. Balance Sheet
| Metric | FY25 (₹ Cr) |
|---|---|
| Equity Capital | ₹78 |
| Reserves | ₹718 |
| Borrowings | ₹9 |
| Fixed Assets | ₹21 |
| Investments | ₹120 |
| Other Assets | ₹1,094 |
| Total Assets | ₹1,236 |
- Almost debt-free
- Healthy reserves
- Asset-light, margin-heavy
This is what financial health looks like after 3 years of jogging and no leverage.
8. Cash Flow – Sab Number Game Hai
| Year | CFO (₹ Cr) | CFI (₹ Cr) | CFF (₹ Cr) | Net CF (₹ Cr) |
|---|---|---|---|---|
| FY23 | -₹21 | -₹18 | -₹5 | -₹43 |
| FY24 | -₹134 | ₹1 | ₹94 | -₹39 |
| FY25 | ₹30 | -₹87 | ₹171 | ₹114 |
Cash flow’s been a rollercoaster — but FY25 looks finally under control. Just don’t ask where FY24 cash disappeared.
9. Ratios – Sexy or Stressy?
| Metric | FY25 |
|---|---|
| ROCE | 33.3% |
| ROE | 26.1% |
| OPM | 65% |
| D/E | 0.01 |
| Debtor Days | 70 |
This is what financial Tinder would call a “superlike.”
10. P&L Breakdown – Show Me the Money
| Year | Revenue (₹ Cr) | EBITDA (₹ Cr) | PAT (₹ Cr) |
|---|---|---|---|
| FY23 | 162 | 64 | 43 |
| FY24 | 278 | 178 | 123 |
| FY25 | 327 | 217 | 149 |
2x revenue in 2 years. 3x profits. And we still call this a “smallcap”? Laughable.
11. Peer Comparison
| Company | Rev (Cr) | PAT (Cr) | P/E | ROE (%) |
|---|---|---|---|---|
| Angel One | 4,973 | 993 | 25.7 | 27.1 |
| 360 ONE WAM | 3,357 | 1,056 | 43.1 | 20.6 |
| IIFL Capital | 2,405 | 712 | 14.2 | 33.2 |
| Monarch Networth | 340 | 154 | 19.5 | 26.1 |
Underrated, underpriced, and unusually profitable. Just how we like our broking plays.
12. Miscellaneous – Shareholding, Promoters
| Holder | Jun 2025 |
|---|---|
| Promoters | 52.88% |
| FIIs | 1.74% |
| DIIs | 0.82% |
| Public | 43.59% |
- Promoters solid above 50%
- FIIs slowly rediscovering it
- Retail ka pyaar still intact
13. EduInvesting Verdict™
Monarch Networth is no longer your sleepy brokerage from Gujarat. It’s a fast-moving, margin-minting, regulated rocket. With mutual fund entry, a high ROE, and low debt, it’s got every checkbox ticked — except public hype.
This could be your stealth wealth play — just don’t expect fireworks every quarter.
Metadata
Written by EduInvesting Team | July 23, 2025
Tags: Monarch Networth Capital Ltd, Stock Broking, Mutual Fund Sponsor, EduInvesting Premium
