Nuvama Wealth Management Limited · NSE:NUVAMA
Nuvama Wealth Management — Q3 FY25 Earnings Presentation
61 slides from Nuvama Wealth Management's earnings presentation, Jan 31, 2025
Slide 1: Cover letter to stock exchanges
NWML/SEC/2025/133 January 31, 2025 The Manager, The Manager, Listing Department, Listing Department, BSE Limited, National Stock Exchange of India Ltd., Phiroze Jeejeebhoy Tower, Exchange Plaza, 5th Floor, Plot C/1, G Block, Dalal Street, Bandra - Kurla Complex, Bandra (E), Mumbai - 400 001. Mumbai
Slide 2: Earnings Release: 9M FY25 Operating PAT grows by 76% YoY
Annexure- 1 Earnings Release For Immediate Publication Nuvama Wealth Management Limited 9M FY25 Operating PAT grows by 76% YoY o Delivered operating PAT of ₹731 Cr o Client assets surpasses ₹4.5 trillion, grew by 36% YoY Mumbai, 31st January 2025: Nuvama Wealth Management Limited (NSE, BSE: NUVAMA),
Slide 3: CEO commentary and key highlights
Commenting on the performance Ashish Kehair, MD & CEO of Nuvama Group said, “India’s structural growth story remains intact; however near-term outlook remains under watch. Upcoming Union Budget 2025 will play a pivotal role in shaping the current market sentiment and economic outlook for coming quar
Slide 4: Asset Management, Asset Services and Capital Markets highlights
2. Asset Management a) Management fee: ₹15 Cr in Q3, grew by 31% YoY and ₹42 Cr in 9M, grew by 30% YoY b) AUM: Stood at ₹11,267 Cr as at end of Q3, grew by 71% YoY o Public Markets: AUM stood at ₹5,089 Cr grew by 204% YoY and 12% QoQ o Commercial Real Estate: AUM stood at ₹1,712 Cr. Of this ₹675 Cr
Slide 5: Nuvama Q3 FY25
Annexure- 2 NUVAMA Investor Presentation Q3 FY25 1
Slide 6: Contents
Contents 1 2 3 4 About Us Industry Performance Strategy Landscape Overview 2
Slide 7: Contents Summary
Contents Summary ▪ Strong institutional ownership: PAG (promoter of company), 1. ABOUT US one of the largest Asia-based alternative investment managers ▪ Integrated wealth management platform with exhaustive 2. INDUSTRY suite of offerings LANDSCAPE ▪ Only established player with proven execution acr
Slide 8: About Nuvama
ABOUT Nuvama Serving Client-first UHNI & Family Offices foundation HNI & Affluent Individuals Corporates & Institutions Well Scaled Wide Presence Client Assets of ₹ 4.5+ trillion 3,400+ employees across 100+ offices 1,350+ RMs Strong Governance Unique Proposition Experienced board and Multi Client S
Slide 9: Majority owned by PAG, a leading investment firm
Majority owned by PAG (promoter of company) a LEADING INVESTMENT FIRM One of the largest Asia-based alternative investment managers with ~USD 58B of assets under management in private equity, real assets, credit & markets Assets Under Management 1 Offices In Asia 2 Total Employees 3 ~USD 58B 8 ~790
Slide 10: Comprehensive wealth management platform
COMPREHENSIVE WEALTH MANAGEMENT PLATFORM with exhaustive suite of offerings Our vision is to provide our clients with comprehensive and tailored wealth management solutions and advice We Serve We Provide Access To 1. Products 2. Advisory 3. Capital Markets UHNI and Family Offices Third Party Proprie
Slide 11: Evolved into an integrated wealth management platform
Evolved from individual businesses into an INTEGRATED WEALTH MANAGEMENT PLATFORM 4. Listed, Strong Governance Company to 3. Transitioned Smoothly, Deliver Long-term Value Operating with Independent with PAG as the Promoter 2. Global Partnership Board, Governance, Operations Validating Platform and M
Slide 12: Well-positioned in this evolving wealth space
WELL-POSITIONED in this evolving wealth space Only scaled player in both client Culture Client segments with “Full Platform” capabilities Established UHNI and Wealth Managers High Family Boutique Offices Private Banks High Orientation RM / Client Networth & Domestic Banks Affluent Individuals Fintec
Slide 13: Established wealth manager covering client segments
As an ESTABLISHED WEALTH MANAGER, we cover client segments constituting majority of wealth ~35K 70-75% UHNI Households of total financial ~30 lacs HNI & AFFLUENT wealth Households MASS MARKET RETAIL 9
Slide 14: Unique business model across ecosystem
UNIQUE BUSINESS MODEL, enabling value and seamless client solutioning across ecosystem Small & Medium UHNI Business Owners Family Offices & Business Owners HNI Advisory & Unique Research Products Referrals & Client Distribution Insights Corporates Affluent & Institutions Individuals ONE NUVAMA 10
Slide 15: A high growth company with diversified earnings
A HIGH GROWTH COMPANY with diversified and superior quality of earnings Revenue All figures are in ₹ crore % are YoY +31% ₹ 2,063 +19% ₹ 1,575 +32% Wealth & Asset ₹ 1,188 ₹ 1,322 Management ₹ 1,016 leading the ₹ 998 ₹ 750 growth ₹ 484 ₹ 476 ₹ 389 ₹ 336 ₹ 331 ₹ 329 ₹ 167 ₹ 171 ₹ 158 ₹ 20 ₹ 68 ₹ 63 -
Slide 16: Focused execution delivering strong outcomes
Focused execution delivering STRONG AND SUSTAINABLE OUTCOMES All figures are in ₹ Cr CLIENT ASSETS REVENUES 3Y CAGR 36% 3Y CAGR 45% 30% 3,45,957 4,52,047 27% 2,063 2,130 3,31,375 1,575 1,467 1,322 2,12,993 2,31,079 998 1,58,645 FY21 FY22 FY23 FY24 9M FY24 9M FY25 FY21 FY22 FY23 FY24 9M FY24 9M FY25
Slide 17: Contents Summary
Contents Summary ▪ India's financial services sector has secular tailwinds 1. ABOUT US o Financial wealth would continue to grow rapidly o Investment asset class will grow even faster 2. INDUSTRY LANDSCAPE o Rising formal penetration will multiply the opportunity ▪ Making India’s wealth industry a s
Slide 18: Wealth management in India presents a huge opportunity
In India WEALTH management is at a nascent stage and presents a HUGE OPPORTUNITY 1 2 3 GDP Growth Forecast Total Wealth to GDP Ratio (~) Share of Financial Wealth % (~) Globally India Matured Markets India Matured Markets India ~3% 6-7% 6.5x 4.5x 70% 25% 4 5 Professionally Managed Financial India Ma
Slide 19: Investment asset class growing fast
Investment asset class is growing fast driven by VALUE MIGRATION and has a LONG RUNWAY AUM CAGR AUM / Premium to GDP Asset Class Last 10Y India US / Global Mutual Funds 20% 19% 109% AIF 56% 1% 16% Insurance 12% 3% 12% India to become the 4th largest private wealth market globally by 2028 15
Slide 20: Making this a structural and scalable play
Making this a STRUCTURAL and SCALABLE play ▪ Enhanced regulatory focus Consolidation ▪ Technology disruptions ▪ Increasing product complexity Greater ▪ Demographics and rising affluence Growth ▪ Critical to client Attractive ▪ Low capital requirements - High RoE Economics ▪ Concentration of wealth -
Slide 21: Contents Summary
Contents Summary ▪ Revenues: Q3 FY25 stood at ₹ 723 Cr, grew by 30% YoY and 9M FY25 at ₹ 2,130 Cr, grew by 45% YoY 1. ABOUT US ▪ Operating PAT: Q3 FY25 stood at ₹ 252 Cr, grew by 43% YoY and 9M FY25 at ₹ 731 Cr, grew by 76% YoY 2. INDUSTRY LANDSCAPE ▪ Strong YoY performance across business segments
Slide 22: Consolidated Performance Q3 FY25
Consolidated Performance Q3 FY25 18
Slide 23: Business Summary: Q3 FY25
Business Summary: Q3 FY25 MOST COMPREHENSIVE WIDE AND GROWING WELL SCALED SERVING PRODUCT SUITE SALES COVERAGE PLATFORM Wealth Management Investment Solutions Managed Products 4,200+ 1,350+ ₹ 3,10,460 Cr Client Assets Advisory Ultra High Networth Families Wealth RMs Wealth Management Exchange Traded
Slide 24: Business Summary: Q3 and 9M FY25
Business Summary: Q3 and 9M FY25 All figures are in ₹ Cr All % are YoY STRONG FINANCIAL PERFORMANCE DELIVERING QUALITY OUTCOMES QUARTERLY NINE MONTHS REVENUES COST TO INCOME 2,130 63% 723 54% 558 1,467 30% 45% 9% Q3 FY24 Q3 FY25 9M FY24 9M FY25 9M FY24 9M FY25 OPERATING PAT RETURN ON EQUITY 731 252
Slide 25: Key Highlights: Q3 FY25
Key Highlights: Q3 FY25 ▪ Client Assets: Q3 FY25 stood at ₹ 4,52,047 Cr, grew by 36% YoY o Nuvama Wealth client assets stood at ₹ 1,01,821 Cr, grew by 38% YoY. Q3 MPIS net flows up 76% YoY CLIENT ASSETS o Nuvama Private client assets stood at ₹ 2,08,638 Cr, grew by 24% YoY. ARR assets grew faster, b
Slide 26: Key Highlights: Q3 FY25
Key Highlights: Q3 FY25 ▪ Total Cost: Q3 FY25 stood at ₹ 389 Cr, grew by 19% YoY and 9M FY25 at ₹ 1,155 Cr, grew by 25% YoY o Employee costs: ₹ 295 Cr in Q3, grew by 26% YoY and 9M FY25 at ₹ 872 Cr, grew by 33% YoY COST • Added 272 wealth RMs in last 12 months, aligned with our strategy to scale and
Slide 27: Consolidated Performance: Q3 FY25
Consolidated Performance: Q3 FY25 Particulars – All figures are in ₹ crores Q2 FY25 Q3 FY25 Q3 FY24 YoY 9M FY24 9M FY25 YoY Total Revenue 1 740 723 558 30% 1,467 2,130 45% Wealth Management 347 363 305 19% 858 1,030 20% Asset Management 17 14 13 31% 2 46 46 30% 2 Asset Services 152 173 98 77% 221 45
Slide 28: Capital Management Strategy
Capital Management Strategy: Focused on driving growth & creating long-term shareholder value CAPITAL MANAGEMENT PRINCIPLES IMPROVING SHAREHOLDER RETURNS DIVIDEND 1. Disciplined capital management Return on Equity (RoE) to maximize profitability and RoE 31.8% 2. Investments to drive organic 23.6% bu
Slide 29: Segmental Summary: Q3 FY25
Segmental Summary: Q3 FY25 Asset Services and Wealth Management Asset Management Capital Markets 25
Slide 30: Nuvama Wealth
Nuvama Wealth One of the leading wealth managers in Affluent and HNI client segments Well scaled Wide presence across India ₹ 1,01,821 Cr of client assets 1,200+ RMs and ~7,000 Active External Wealth Managers (EWM) 1.2+ million clients. ~20% serviced by RMs & External Wealth Managers Covering 450+ l
Slide 31: Nuvama Wealth: Value Proposition
Nuvama Wealth: Value Proposition 01 Multi-Product and Open Architecture Wide bouquet of investment solutions across asset classes and access to seasoned products Unbiased Solutions 02 Offering unbiased and customized solutions as per client’s needs, portfolio and risk appetite Hybrid Ecosystem 03 Co
Slide 32: Nuvama Wealth: Leveraging technology as a key enabler
Nuvama Wealth: Leveraging technology as a key enabler Single platform for all stakeholders (Client, RM, EWMs) One catering to all wealth management needs Platform Powered by AI, ML and data analytics to drive efficiency and enhance customer experience Onboarding CRM & Sales Portfolio Transactions &
Slide 33: Nuvama Wealth: Journey over years
Nuvama Wealth: Journey over years All figures are in ₹ Cr CLIENT ASSETS REVENUES 3Y CAGR 38% 3Y CAGR 24% 33% 1,01,821 35% 574 669 602 77,930 73,855 486 409 50,889 52,575 275 33,018 FY21 FY22 FY23 FY24 9M FY24 9M FY25 FY21 FY22 FY23 FY24 9M FY24 9M FY25 OPERATING PBT COST TO INCOME 3Y CAGR 3Y DELTA 2
Slide 34: Nuvama Wealth: Performance Metrics
Nuvama Wealth: Performance Metrics Revenue (₹ Cr and YoY) Revenue Composition (%) Profit Before Tax (₹ Cr and YoY) By Solutions By Channel +24% MPIS NII Relationship Manager +18% 602 Brokerage Others External Wealth Manager 203 486 173 48% 47% 72% 72% +24% +19% 26% 25% 210 69 169 58 17% 19% 28% 28%
Slide 35: Nuvama Wealth: Performance Metrics
Nuvama Wealth: Performance Metrics Closing Client Assets (₹ Cr and YoY) Client Assets Composition (₹ Cr) MPIS Net New Money (₹ Cr and YoY) MPIS Loan Broking Others +38% +46% 1,01,821 5,101 21,318 28,643 +34% 73,855 2,898 2,969 3,495 48,558 69,361 1,082 848 9M FY24 9M FY25 9M FY24 9M FY25 9M FY24 9M
Slide 36: Nuvama Private
Nuvama Private Amongst top 2 independent private wealth players Well scaled High-quality team ₹ 2,08,638 Cr of client assets 130+ relationship managers 4,200+ families Comprehensive Solutions High customer satisfaction Investments | Lending | Estate Planning Net Promoter Score of 64 Family Office |
Slide 37: Nuvama Private: Value Proposition
Nuvama Private : Value Proposition Preserve and sustainably grow clients’ wealth through bespoke solutions across suite of offerings (A) (B) (C) (D) CLIENT PROFILE Bespoke Solution Investment Advisory Managed Accounts Wealth Structuring Suite Investment Policy Institutionalized Portfolio Holding Str
Slide 38: Nuvama Private: Journey over years
Nuvama Private : Journey over years All figures are in ₹ Cr CLIENT ASSETS REVENUES 3Y CAGR 3Y CAGR 24% 20% 2,08,638 35% 442 519 15% 1,69,904 1,67,982 428 372 341 1,19,540 1,29,391 98,570 210 FY21 FY22 FY23 FY24 9M FY24 9M FY25 FY21 FY22 FY23 FY24 9M FY24 9M FY25 OPERATING PBT COST TO INCOME 3Y DELTA
Slide 39: Nuvama Private: Performance Metrics
Nuvama Private: Performance Metrics Revenue (₹ Cr and YoY) Revenue Composition (%) Profit Before Tax (₹ Cr And YoY) Annual Recurring Revenue +15% Transactional Revenue +11% 428 144 372 130 58% 58% +3% +12% 54 55 136 153 42% 42% Q3 FY24 Q3 FY25 9M FY24 9M FY25 9M FY24 9M FY25 Q3 FY24 Q3 FY25 9M FY24
Slide 40: Nuvama Private: Performance Metrics
Nuvama Private: Performance Metrics Closing Client Assets (₹ Cr and YoY) Client Assets Composition (₹ Cr) 1 Recurring NNM (₹ Cr and YoY) ARR Earning Assets Transactional Assets +24% 2,08,638 +88% 30,604 42,323 +38% 7,999 1,67,982 4,260 1,13,652 1,42,550 9M FY24 9M FY25 9M FY24 9M FY25 9M FY24 9M FY2
Slide 41: Nuvama Asset Management
Nuvama Asset Management Focused and high-performing alternatives asset management business Scaling with Speed Active Strategies AUM of ₹ 11,267 Cr Private Markets + Public Markets + Commercial Real Estate 75% of this being fee paying High-Quality Investment Team Strong Distribution 20+ investment pr
Slide 42: Nuvama Asset Management: Value Proposition
Nuvama Asset Management: Value Proposition 01 Differentiated Solutions Addressing client needs by offering unique products, powered by deep insights from wealth clients Proven Fund Management Capabilities 02 Established track record across public markets and private products. Delivering top quartile
Slide 43: Nuvama Asset Management: Journey over years
Nuvama Asset Management: Journey over years ASSETS UNDER MANAGEMENT REVENUES - MANAGEMENT FEE 71% 2Y CAGR 11,267 2Y CAGR 30% 45 34% 86% 36 32 42 6,967 6,573 5,581 3,856 13 FY22 FY23 FY24 9M FY24 9M FY25 FY22 FY23 FY24 9M FY24 9M FY25 FEE PAYING AUM NO OF STRATEGIES 2Y CAGR 66% 2 35% 8,504 8 7 6 5,49
Slide 44: Nuvama Asset Management: Performance Metrics
Nuvama Asset Management: Performance Metrics Management fee (₹ Cr and YoY) Client Assets (₹ Cr and YoY) Fee Paying Client Assets (₹ Cr and YoY) +71% +66% +30% 11,267 8,504 42 32 6,573 5,121 31% 15 11 Q3 FY24 Q3 FY25 9M FY24 9M FY25 9M FY24 9M FY25 9M FY24 9M FY25 1. Management fee grew by 31% YoY in
Slide 45: Nuvama Asset Services and Capital Markets
Nuvama Asset Services and Capital Markets Leading institutional practice with deep coverage and world-class capabilities Asset Services Institutional Equities and Investment Banking One stop platform with state-of-the-art technology 20+ years of experience, delivering quality research, strong distri
Slide 46: Asset Services: A recurring, rising & resilient business
Asset Services: A recurring, rising & resilient business 1. Industry overview 2. Nuvama’s strategic choice 3. Moats built 4. Results delivered Structural growth across parameters We serve select International and Comprehensive solution suite Client Assets: ₹ Tn 1.3 domestic institutional clients 0.8
Slide 47: Asset Services and Capital Markets: Journey over years
Nuvama Asset Services and Capital Markets: Journey over years CLIENT ASSETS - ASSET SERVICES REVENUES - ASSET SERVICES 3Y CAGR 57% 3Y CAGR 107% 1,30,320 50% 25% 457 91,156 329 82,965 221 43,532 167 171 158 38,708 27,056 FY21 FY22 FY23 FY24 9M FY24 9M FY25 FY21 FY22 FY23 FY24 9M FY24 9M FY25 REVENUES
Slide 48: Asset Services and Capital Markets: Performance Metrics
Nuvama Asset Services and Capital Markets: Performance Metrics Revenue - Asset Services (₹ Cr and YoY) Revenue - Capital Markets (₹ Cr and YoY) Profit Before Tax (₹ Cr and YoY) +107% 162% +77% 457 639 596 +77% 221 336 77% 173 +25% 243 215 98 139 174 121 Q3 FY24 Q3 FY25 9M FY24 9M FY25 Q3 FY24 Q3 FY2
Slide 49: We are doing it right
WE ARE DOING IT RIGHT Building Wealth, Garnering Accolades Recognized by reputed industry bodies across business segments Select awards this fiscal: o Best Performer in Equities Derivatives – Institution - Bombay Stock Exchange (BSE) India, 2024 o The Best Digital Onboarding Application Of The Year
Slide 50: Contents Summary
Contents Summary 1. ABOUT US ▪ Necessary fundamentals in place ▪ Adequately capitalized to achieve future goals 2. INDUSTRY LANDSCAPE ▪ Well defined trajectory for each segment 3. PERFORMANCE OVERVIEW 4. STRATEGY 46
Slide 51: Our Strategic Advantage
Our STRATEGIC ADVANTAGE Strong promoters with experienced management team PAG, promoter of the company, is a leading investment firm, with AUM of ~USD 58 billion Management team with visionary leadership having experienced multiple business cycles Integrated and differentiated platform Comprehensive
Slide 52: Long-term objectives
LONG-TERM objectives Wealth and Asset Operating leverage to deliver Be client-first in Management to be key drivers significant improvement in cost everything we do and would constitute 75 - 80% to income ratio of the earnings 48
Slide 53: Well defined trajectory for each segment
Well DEFINED TRAJECTORY for each segment EXECUTION STRATEGY FOCUS AREAS MARKERS Sept’23 Building entire Leverage tech to Continue journey Expand to NRI client In 5 years grow ecosystem with optimize cost-to- from product to segment and People at center. serve, improve portfolio solutions deepen exis
Slide 54: Well defined trajectory for each segment
Well DEFINED TRAJECTORY for each segment EXECUTION STRATEGY FOCUS AREAS MARKERS Sept’23 In 5 years grow Build full suite of Continue to scale public Expand AUM to 6-8x or Significantly alternatives market strategies Distribution 52% CAGR Scale Asset Management On-going On-going Nuvama Dec’24 Private
Slide 55: Well defined trajectory for each segment
Well DEFINED TRAJECTORY for each segment EXECUTION STRATEGY FOCUS AREAS MARKERS Sep’23 In 5 years grow Asset Services clients assets to International Institutional Domestic Institutional Enterprise (Technology Client Group Client Group (AIF, PMS) and Operations) 2-2.5x or 20% Grow assets CAGR under
Slide 56: ESG: We continue to make progress
ESG: We continue to make progress Environment Social Governance o US GBC Gold certified head office for o ISO 27001 for information security o Published first BRSR report for FY24 interior designing management system o Aligning our approach towards ESG and o Minimizing scope 2 emissions by procuring
Slide 57: ESG: Building blocks for sustainable future
ESG: Building blocks for sustainable future Earth Day Celebration (Apr’24) US GBC Gold Certified (Apr’24) Environment Day Celebration (Jun’24) Played an eco-game with employees to raise planted 25 trees in BKC office area for Interior Design and Construction awareness on important environmental issu
Slide 58: Annexures
INalatsy.lisys “a nuvama
Slide 59: Annexure 1: Our Board
Annexure 1: Our Board Experienced and Independent composition with good mix of business and functional skills Birendra Kumar Ashish Kehair Shiv Sehgal Nikhil Srivastava Anthony Miller Chairperson & Independent Managing Director and Executive Director Non-Executive Nominee Non-Executive Nominee Direc
Slide 60: Safe harbour
Safe harbour DISCLAIMER : This presentation and the discussion may contain certain words or phrases that are forward-looking statements, which are tentative, based on current expectations of the management of Nuvama Wealth Management Limited or any of its subsidiaries, associate companies and joint
Slide 61: Thank You
Thank You For more details refer data book published on our website. Click here to access. # Data Book Contents 1 Consolidated Performance 2 Segmental Performance - Wealth Management a) Nuvama Wealth b) Nuvama Private 3 Segmental Performance - Nuvama Asset Management 4 Segmental Performance - Nuvama
Nuvama Wealth Management — Q3 FY25 Earnings Presentation on 6ix