1. At a Glance
SMC Global is the jack-of-all-financial-trades—broking, lending, wealth management, merchant banking, insurance—you name it, they dabble. Market cap ₹1,538 Cr, stock at ₹147, trading at a chilled P/E of 12.6x. But Q1 profit dropped 44% YoY to ₹30 Cr. Ouch.
2. Introduction with Hook
Think of SMC as the Swiss Army knife of finance—tons of tools, but you only use two. Broking is their bread and butter, Stoxkart is their digital hustle, and their NBFC arm throws loans like confetti. Q1 numbers, though? More like a party where half the guests left early.
3. Business Model (WTF Do They Even Do?)
SMC makes money by:
- Broking: Serving 1.17M clients.
- Insurance: Selling policies through its arm, because everyone loves add-ons.
- Financing: Through Moneywise NBFC, giving SME loans, supply chain financing, gold loans.
- Merchant Banking & M&A: Via SMC Capitals.
- Wealth Mgmt & PMS: ₹948 Cr AUM, niche but growing.
- IFSC Clearing: Dominates gold (48%) and silver (36%) trades on NSEIX.
- Real Estate & GIFT City: Because why not?
4. Financials Overview
- Q1 FY26 Revenue: ₹425 Cr (-5% YoY)
- Net Profit: ₹30 Cr (-44% YoY)
- OPM: 24% (still strong)
- TTM Sales: ₹1,753 Cr, PAT ₹124 Cr
ROE 12.6%, ROCE 14.6%—good, but profit trend looks like a ski slope.
5. Valuation
- P/E: 12.6x – decent.
- Book Value: ₹116; CMP/BV: 1.26x – safe.
- Fair Value Range: ₹130–₹180
Valuation is calm, unlike the stock’s rollercoaster in earnings.
6. What’s Cooking – News, Triggers, Drama
- Q1 FY26 results tanked – profit nearly halved.
- Approved ₹150 Cr NCD issue (with green shoe) to raise funds.
- New CISO appointment because cyber threats are real.
- IFSC dominance remains their bragging rights.
- Digital broking via Stoxkart keeps expanding features.
7. Balance Sheet
| ₹ Cr | Mar 24 | Mar 25 |
|---|---|---|
| Assets | 4,747 | 4,921 |
| Liabilities | 4,747 | 4,921 |
| Net Worth | 1,096 | 1,217 |
| Borrowings | 1,467 | 1,695 |
Borrowings rising faster than interest coverage. Watch that debt.
8. Cash Flow – Sab Number Game Hai
| ₹ Cr | FY23 | FY24 | FY25 |
|---|---|---|---|
| Ops CF | 209 | -260 | -193 |
| Inv CF | -61 | -31 | -29 |
| Fin CF | -100 | 231 | 317 |
Operating cash flow swings like your mood on Monday. Financing covers the gap—classic NBFC play.
9. Ratios – Sexy or Stressy?
| Metric | FY25 |
|---|---|
| ROE | 13% |
| ROCE | 15% |
| D/E | 1.39 |
| PAT Margin | 7% |
| P/E | 12.6x |
Solid on paper, but leverage is high. Definitely not stress-free.
10. P&L Breakdown – Show Me the Money
| ₹ Cr | FY23 | FY24 | FY25 |
|---|---|---|---|
| Revenue | 1,642 | 1,776 | 1,753 |
| EBITDA | 429 | 419 | 393 |
| PAT | 188 | 147 | 124 |
Revenue plateaued, profit slid. Investors praying for FY26 revival.
11. Peer Comparison
| Company | P/E | ROE | CMP/BV |
|---|---|---|---|
| Motilal Oswal | 19x | 25% | 4.9x |
| Angel One | 25x | 27% | 4.4x |
| Share India Sec. | 11.5x | 16% | 1.6x |
| SMC Global | 12.6x | 13% | 1.3x |
SMC looks cheap, but growth lags big boys.
12. Miscellaneous – Shareholding, Promoters
Promoters hold 67.3% – stable. FIIs creeping in (2.5%), DIIs nonexistent. Public holds 30%—retail is watching from the sidelines.
13. EduInvesting Verdictâ„¢
SMC Global is a diversified financial player with stable valuation and a juicy dividend. But falling profits and rising debt make it more of a cautious hold than a moonshot. Expect steady service, not fireworks.
Written by EduInvesting Team | 26 July 2025
Tags: SMC Global Securities, NBFC, Stoxkart, NCD Issue, EduInvesting Premium
