Angel One Q1FY26 Results: Revenue Recovery Meets Profit Pressure

Angel One Ltd, one of India's leading retail broking firms, has released its financial results for the first quarter of FY26. The numbers reflect a rebound in operational revenue, but also highlight a concerning dip in profitability and margins.

While top-line growth offers some optimism, the bottom-line performance points to underlying challenges that may need strategic attention moving forward.

Financial Overview: Q1FY26 vs Previous Quarters

Revenue Recovers QoQ, But Lags Behind YoY

Angel One reported ₹11,405 Crore in revenue from operations for Q1FY26, registering an 8% quarter-on-quarter (QoQ) growth from ₹10,560 Crore in Q4FY25. This rebound reflects a positive shift in trading activity or broader market sentiment.

However, on a year-on-year (YoY) basis, revenue was down by 18.85%, indicating a slowdown in momentum compared to the elevated base of Q1FY25, a time when market activity was unusually high.

Profitability Drops Sharply

Despite recovering revenue, the company faced a steep decline in Profit After Tax (PAT):

• Down 34.38% QoQ (from ₹1,745 Cr to ₹1,145 Cr)
• Down 60.88% YoY (from ₹2,927 Cr)

This dramatic drop suggests margin compression, increased costs, or a possible shift in revenue mix affecting overall profitability.

Margin Pressure Evident in OPM Contraction

Angel One's Operating Profit Margin (OPM) shrank to 24% in Q1FY26, compared to:

• 32% in Q4FY25
• 33% in Q1FY25

This margin squeeze points to either higher operational costs, lower brokerage realization, or elevated customer acquisition spending — all of which can eat into profits even when revenue is recovering.

Market Share Remains Stable

Despite the dip in financial performance, Angel One maintained a relatively stable market share in NSE's active client base:

• 15.30% in Q1FY26, a slight dip from 15.40% in Q4FY25, but a minor improvement over 15.20% in Q1FY25.

This indicates that the platform is still holding ground in terms of client engagement, despite increased competition in the discount broking space.

Segment Insight: F&O Leads the Pack

A notable insight from the quarter: 45% of total revenue came from the Futures & Options (F&O) segment. This shows that derivatives trading continues to be a dominant revenue stream, but may also expose the firm to volatility in volumes and trader behavior.

Conclusion: Recovery Comes with Red Flags

Angel One's Q1FY26 performance reflects a partial recovery in operational activity, but the steep decline in profits and margins cannot be ignored. While market share remains resilient and trading volumes are improving, the rising cost base and margin compression signal caution for investors and management alike.