SMC Global Securities Limited — Call Transcript 2026

Feb 9, 2026

==> picture [451 x 101] intentionally omitted <==

Date: 9[th] February, 2026

Listing Operations BSE Limited, P J Towers, Dalal Street, Mumbai-400001, India Scrip Code: 543263 Debentures Scrip Code: 940727,940717, 940317, 940325, 940319,940323, 939639, 939655, 940725,940321, 939651, 939657, 939643,940327, 939647,940719, 940721 and 940723	Listing Department National Stock Exchange of India Limited, Exchange Plaza, C-1, Block G, Bandra Kurla Complex, Bandra (E ) Mumbai – 400051 Symbol: SMCGLOBAL

Subject: - Earnings Call Transcript – Q3 & 9M FY 2025–26

Dear Sir/ Ma’am,

In compliance with Regulation 30(2) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 read with Part A (15) of Schedule III, please find attached herewith the transcript of Earnings Call for Q3 & 9M FY 2025–26.

The above intimation is also being made available on the Company's website at www.smcindiaonline.com.

This is for your information and records.

Thanking you,

For SMC Global Securities Limited

SUMAN Digitally signed by SUMAN KUMAR KUMAR Date: 2026.02.09 20:01:43 +05'30'

Suman Kumar E.V.P. (Corporate Affairs) Company Secretary & General Counsel (Membership No. F5824 )

==> picture [451 x 73] intentionally omitted <==

SMC Global Securities Limited Q3 and 9M FY’26 Earnings Conference Call

February 03, 2026

Moderator:

Ladies and gentlemen, good day and welcome to Q3 and 9M FY’26 Earnings Conference Call of SMC Global Securities Limited, hosted by XB4 Advisory.

As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing “*” then “0” on your touch-tone phone. Please note that this conference is being recorded.

I now hand the conference over to Mr. Gautam Kothari from XB4 Advisory. Thank you and over to you, sir.

Gautam Kothari:

Thank you. Good evening everyone and thank you for joining us on Q3 and 9M FY’26 Earnings Conference Call.

Joining us today on the call are Mr. Subhash Chand Aggarwal - Chairman and Managing Director, SMC Group. Mr. Mahesh C. Gupta - Vice-Chairman and Managing Director, SMC Group. Dr. D. K. Aggarwal - Chairman and Managing Director, SMC Capitals Limited. Mr. Ajay Garg - Director and CEO, SMC Global Securities Limited. Mr. Anurag Bansal – Whole Time Director, SMC Global Securities Limited. Ms. Shruti Aggarwal – Whole Time Director, SMC Global Securities Limited. Mr. Pranay Aggarwal - Director and CEO, Stoxkart, Moneywise Finvest Limited, Mr. Vinod Kumar Jamar – President and Group CFO and Mr. Nikhil Tuli – Senior Vice President, Moneywise Financial Services Pvt. Ltd

Before we begin, please note that today's discussion may include forward-looking statements which reflect the company's current views and expectations. These statements are subject to risk and uncertainty, and actual results may differ materially. A detailed safe harbor statement is provided on the second last page of our earnings presentation, which is available on the stock exchanges and the company's website.

With that, I now invite Mr. Subhash Aggarwal to share his opening remarks. Over to you, sir.

Subhash Chand Aggarwal:

Good evening, everyone, and a warm welcome to all participants on this call. We hope you have had the opportunity to review our Q3 and nine months FY’26 financial results and the accompanying earnings presentation, both of which are available on the stock exchange and on our website.

Page 1 of 8

Before we move into our financial results, let me first outline the prevailing industry dynamics and the key developments that have shaped the operating environment during the period.

Starting with the Broking industry:

The capital markets environment during the period remained broadly constructive. Market participation continued to stay healthy, supported by sustained retail engagement, steady institutional flows, and stable levels of market volatility. Trading activity across cash and derivatives segments remained resilient, even amid phases of market consolidation, reflecting deeper investor participation and improved market depth. The ongoing adoption of digital platforms, increasing multi-product engagement by clients, and a stable regulatory framework have together contributed to more predictable operating conditions for the industry. Overall, these trends point to a structurally stronger broking ecosystem, where scale, technology, and diversification are increasingly supporting consistency and durability in performance.

Turning to the insurance Broking industry:

The sector continued to exhibit steady momentum, underpinned by improving insurance penetration, rising customer awareness, and sustained demand across life, health, and general insurance products. Industry growth was supported by a favourable shift toward protection-oriented offerings, strong renewal trends, and broader coverage across both retail and commercial segments. At the same time, the industry has been witnessing a gradual transition toward advisory-led distribution models and greater use of digital processes, enhancing efficiency and customer engagement. While certain margin pressures persisted at the insurer level, overall industry volumes remained healthy, providing a stable and supportive environment for insurance intermediaries and reinforcing the long-term structural growth outlook of the sector.

Finally, with respect to the financing and NBFC segment:

the operating environment during the quarter was relatively more challenging. The industry navigated a phase of moderated credit growth, tighter underwriting standards, and heightened focus on risk management across select borrower segments. Although policy measures toward the latter part of the period aimed to improve liquidity and funding conditions, the benefits of these measures have been gradual in translating into balancesheet expansion and earnings recovery. Asset quality considerations and a cautious approach to disbursements continued to shape industry performance, resulting in uneven outcomes across participants. As a result, the near-term outlook for the financing segment remains measured, with performance closely linked to credit discipline, funding stability, and evolving macroeconomic conditions.

Page 2 of 8

Let me now walk you through the key highlights of our performance for the quarter:

In Q3 FY’26, our consolidated operational income stood at ₹494.8 crores, reflecting a sequential improvement over the previous year, driven by a balanced contribution across our core business lines. EBITDA for the quarter was ₹102.1 crores, translating into an EBITDA margin of 20.6%, while profit after tax stood at ₹30.8 crores.

Within our broking, distribution, and trading business, the quarter witnessed continued expansion in our client engagement and geographic footprint, despite periods of market recalibration during the year. As of the end of the period, our network comprised 2,154 authorised persons across 413 cities, supported by 6,485 financial distributors nationwide, reinforcing our pan-India reach. Our broking DP AUA reached ₹1,64,217 crores, while mutual fund AUM stood at ₹4,768 crores as of 9M FY’26, supported by steady investor participation and sustained SIP activity. The segment continued to benefit from increasing digital penetration and deeper client engagement across multiple asset classes.

Our financing business, operating through 38 branches across 7 states, maintained a strong focus on asset quality and portfolio diversification. As of 9M FY’26, AUM stood at ₹1,107 crores, with a secured portfolio ratio of 69.42% and collection efficiency of 97.96%. The business reported a net worth of ₹487.51 crores, ROA of 2.42%, and a NNPA level of 1.99%, reflecting disciplined underwriting and prudent risk management. The lending portfolio remains well-diversified across SME assets, LAP, working capital term loans, gold loans, and supply-chain financing, supporting stability across credit cycles.

In our insurance broking business, growth momentum remained steady, supported by rising policy volumes and expanding distribution capabilities. As of 9M FY’26, the business had issued 8,25,638 policies, generated gross premium of ₹2,236 crores, and operated through 8 branches nationwide, supported by a workforce of 495 employees, a network of 16,420 POS agents, and 381 MISPs. Continued investments in digital platforms and advisory-led distribution have enhanced reach across both retail and institutional segments, strengthening customer acquisition and retention.

Overall, while the operating environment during the year presented challenges in terms of margin pressures and funding costs, our diversified business model, strong national distribution network, and continued investments in technology and risk management position us well to navigate near-term volatility and build sustainable long-term value.

With that, I now hand over to Mr. Vinod Kumar Jamar, our President and Group Chief Financial Officer, to take you through a more detailed overview of our financial performance. Over to you, Vinod Ji.

.

Page 3 of 8

Vinod Kumar Jamar:

Thank you, Subhash Sir and good evening to everyone on the call.

I will now take you through our financial and operational performance for Q3 FY’26 and Nine Months Ended FY’26 on a consolidated basis.

For the quarter ended December’25, our operational income stood at ₹494.8 crores, representing a quarter-on-quarter growth of 12.4%. EBITDA for the quarter was ₹102.1 crores, with an EBITDA margin of 20.6%, reflecting a 140-basis point quarter-on-quarter sequential improvement. Profit after tax came in at ₹30.8 crores, marking a 46.8% quarteron-quarter increase, with a PAT margin of 6.2%.

On a nine-month basis, we reported consolidated revenue of ₹1,360.0 crores, EBITDA of ₹286.7 crores, and PAT of ₹81.8 crores. Margins during the period were influenced by funding costs and a calibrated growth approach in the financing segment, while fee-based and distribution-led businesses continued to provide stability to the overall performance.

Turning to segment-wise performance-

In the Broking Distribution and Trading segment - Q3 FY’26 revenue grew by 17.3% year-onyear to ₹286.6 crores. Segment EBIT increased by 13.9% year-on-year to ₹66.4 crores, reflecting operating leverage despite periods of market recalibration during the quarter.

In the financing NBFC segment- Q3 FY’26 revenue stood at ₹48.4 crores, compared to ₹71.2 crores in Q3 FY’25. As of 9M FY’26, AUM was ₹1,107 crores, with a secured portfolio ratio of 69.42% and collection efficiency of 97.96%. The business reported a net worth of ₹487.51 crores, ROA of 2.42%, and a NNPA level of 1.99%, underscoring continued focus on balancesheet quality and risk discipline.

In the Insurance Broking segment - Q3 FY’26 revenue increased by 22.2% year-on-year to ₹181.1 crores, while segment EBIT for the quarter rose by 52.4% year-on-year to ₹3.2 crores, reflecting improved operating efficiency.

Overall, our performance for the quarter and nine-month period reflected balanced contribution across business lines, with growth in fee-based segments helping offset cyclicity in capital-intensive businesses. We remain focused on maintaining financial discipline, optimizing our cost structure and strengthening return metrics as we progress through the remainder of the financial year. With this, we conclude our remarks and the session is open for question-and-answer session. Thank you.

Moderator:

Thank you very much. We will now begin the question and answer session. The first question is from the line of Akshay Mehta from Jewel Investments. Please go ahead.

Hello. Am I audible?

Akshay Mehta:

Page 4 of 8

Subhash Chand Aggarwal:	Yes, audible.
Akshay Mehta:	Yes, sir. So, I had a question regarding the broking division.
Subhash Chand Aggarwal:	What is your name?
Akshay Mehta:	Hello.
Subhash Chand Aggarwal:	Yes. What is your name? Chetan Mehra?
Akshay Mehta:	Akshay Mehta Sir.
Subhash Chand Aggarwal:	Yes. Okay.
Akshay Mehta:	So, my question was that. Sir, we saw a growth of around 17.3% on year-on-year basis in the
	broking and distribution segment on the top line. So, just wanted to know what was the basis
	of this growth and coming forward, basically, what is the growth we expect for the full
	financial year?
Ajay Garg:	The penetration of broking business is increasing day by day and even we have seen good
	traction into commodity business as well. So, we have seen that good percentage. Earlier, we
	used to have around 4% share from commodity. Nowadays, it is increasing towards 10%. So,
	overall, like, growth would be there in tune of 10% to 14%and we have to see even in this
	budget the STT has been increased. So, our major focus would be there in increasing cash
	market business and the commodity business in time to come.
Akshay Mehta:	Understood, Sir. So, basically, on the broking business itself, Sir, could you just elaborate on
	what would be the difference between the online and offline channels margins and how does
	this basically impact on our blended segment profitability?
Ajay Garg:	What is the second question?
Akshay Mehta:	So, basically, the question is that, what is the major difference between the online and the
	offline channels and how will this basically impact our blended segment profitability or
	segmental margins?
Ajay Garg:	You see, from full broking, 60% of our revenue comes from online business and in discount,
	almost 100% is online. So, in totality, around 70% of business comes from online. And we are
	even focusing on algorithm-based trading. So, recently, SEBI had allowed algo trading to the
	retail players. So, we are even going to integrate algo trading into our mobile trading. So, we
	see good traction even into that and because algo players do a lot of trading and business
	would be huge. So, online penetration would increase day by day.

Page 5 of 8

Akshay Mehta:	Hello.
Ajay Garg:	Yes.
Akshay Mehta:	So, could you just also tell me what would be the marginal difference, margin difference Sir,
	basically, from the online, how much margins would be generating and from the offline
	channels?
Ajay Garg:	60% revenue, even number of clients and revenue, it is almost same, is coming from online.
Subhash Chand Aggarwal:	See, margin is same whether you are in offline or online. Your brokerage will not have any
	difference except in discount brokerage. Brokerage model is different.
Pranay Aggarwal:	Hi, Akshay, I think your question is regarding to the discount broking arm of SMC, right? You
	mean by online, the discount broking arm Stoxkart. So, in Stoxkart, you know our ARPU is
	around Rs. 10,000 if you see per year for an active client, right? And that is somewhat, I think
	in SMC, the ARPU is around Rs. 20,000, right? But the thing being that discount broking is
	100% online. There is no brick and mortar cost involved. So, when the discount broking will
	scale to a certain level, the margins will be even better than the full-service broking. But
	currently, we are spending a lot to market the services. And currently, we are in that
	gestation period. We are opening around 12,000 accounts per month, and for that, we are
	spending a lot on marketing. And once that rationalizes, we will see a good margin.
Akshay Mehta:	Understood. And the last question was regarding the mutual fund AUM. We saw a decent
	increase in the AUM for the current period in FY’26. So, just wanted to know what is the
	proportion of this growth coming from SIP versus the other segments of the business? And
	what is the expectations for the closing the AUM by the end of FY’27?
Subhash Chand Aggarwal:	Anurag you take.
Anurag Bansal:	Hi Akshay, Anurag here. So, to answer your first question, approximately 21% of net inflows
	come from SIP and interesting data point is, out of total AUM of ours, 80% is equity. We plan
	to grow at around 20% - 25% for next couple of years in terms of AUM. So, if I give a number
	to it, we can reasonably expect it to close above Rs. 6,000 crores at the end of FY’27.
Akshay Mehta:	Understood, Sir. Thank you for the answers. I will join back to you.
Moderator:	Thank you. The next question is from the line of Riya Mehta, an individual investor. Please go
	ahead.
Riya Mehta:	Good evening. Thank you for the opportunity. So, my first question is that around what
	percentage of policies are sourced via digital channels versus the physical POS? And how does
	this affect the cost to acquire per policy basis?

Page 6 of 8

Pranay Aggarwal: I think Pravin ji from insurance can take this up. Pravin Kumar Agarwal: Hello, Riya. Good evening. Actually, our digital presence, sourcing business through digital presence is like very minimum is 0.01% only. We do not acquire B2C business. We do not do B2C business. All business through our POS and MISP business using digital media, digitally. Your second question is how much is the ticket size? Riya Mehta: Correct. How does this affect the cost to acquire? Pravin Kumar Agarwal: Our cost is roughly, acquiring cost is very minimum because we are not targeting POS modeland our average POS acquisition cost is roughly 1,000. Riya Mehta: Okay. Got it. So, my next question is that do you see any pricing pressure on the broker commissions, mostly in the motor and group health segments? And if so, then how are you protecting the margins? Pravin Kumar Agarwal: No, ma'am. Actually, we are not seeing any commission pressure, reducing commission structure and we have rumors in the market that commissions are reducing, but we are not seeing this and we have taken impact of GST in health and life insurance in October quarter, from 1st of October. Right? Riya Mehta: Okay. Yes. Pravin Kumar Agarwal: So, we have already taken 15.25% GST impact. So, we are already impacted, but we are already stabilize our business model this quarter only. Yes. Riya Mehta: Okay. So, I have a few more questions. So, the AUM stood at Rs. 1106.99 crores in the 9M FY’26. And it was Rs. 1291 crores in FY’25. So, is this a strategic slowdown, or it is driven by funding constraints or demand softness? Pravin Kumar Agarwal: This question is for the NBFC. Sorry. This question is for the NBFC. Riya Mehta: Yes. Nikhil Tuli: Hi, Riya. Thanks for the question. I am Nikhil Tuli from Moneywise Financial. Riya, this is a conscious decision by the management to churn the portfolio. Earlier, we were doing LAP portfolio, which constituted around 30% of my loan book. Last one and a half years, we have moved from LAP to Micro LAP and that is driving the portfolio now. Currently, we stand at Rs. 80 crores of Micro LAP portfolio and we plan to increase it to Rs. 125 crores by March end, FY’26, which will constitute around 10% of my portfolio and one more change management has done, we have stopped doing the surrogate programs in the unsecured portfolio and now we are doing only the Vanilla programs. Due to these changes, there has been a temporary

Page 7 of 8

moderation in the portfolio size. However, this is a transitional phase. Once these strategic shifts stabilize, we expect AUM growth to regain traction

Riya Mehta:

Okay. So, I have one more question. So, the cost of borrowing is at 10.57% and return on asset at 2.42%. So, how much headroom do you think exists to expand the NIM if like policy rates ease more further?

Nikhil Tuli:

Okay. So, Riya, just a brief background, the repo rates have reduced by five times in the last one year. So, normally takes six months to one year's time for actually the rates to come down and actually pass on to the borrowers. So, in our case, what we have seen around 5 paisa to 10 paisa every month that reduction is happening. Currently, we are 10.57. I expect another 15 to 20 basis point reduction in the next six months and from there on, I do not think policy, there may be one repo rate cut. But during next one financial year, I think the rates would largely remain same, largely and plus in our case, most of my loans are on MCLR based. So, when the repo rate goes down, some of my loans are already locked, say, if you take a oneyear MCLR, and I have taken a loan in March 2025, that impact will come to me in March 2026. So, a couple of my big-ticket size loans, the repo rate is likely to come down for me in the month of March itself. So, probably by in the June quarter, I will have the impact of 10 to 20 basis point.

Riya Mehta: Okay, got it, sir. Thank you so much.

Moderator: Thank you. Ladies and gentlemen, as there are no further questions. I would now like to hand the conference over to Mr. Mahesh C. Gupta for the closing comments.

Mahesh C. Gupta: Thank you for joining us today. We trust this session has helped address your questions and provides clarity on our performance. For any additional information

Mahesh C. Gupta: May I continue?

Moderator: Yes, Sir. You can continue.

Mahesh C. Gupta: For any additional information or follow-ups, please feel free to reach out to our investor relations partners at XB4 Advisory. We appreciate your continued engagement and look forward to connecting with you again in the next quarter. So, thank you very much. Stay healthy and safe.

Moderator: On behalf of SMC Global Securities Limited, that concludes this conference. Thank you for joining us. You may now disconnect your lines.

Page 8 of 8