IIFL Capital Services Limited (IIFLCAPS)
Micro CapFinancial Services stocks · Micro cap · NSE
IIFL Capital Services is a full-service financial platform in India, offering institutional equities, investment banking, wealth management, and broking for affluent/HNI/UHNI clients. It boasts INR 2,571 Bn AUM & Custody, INR 33.1 Bn net worth, a wide distribution network, and market-leading research covering 317+ stocks.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Weak fundamentals, management trust is acceptable, price trend is neutral, and recent execution is weak.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 30 Jun 2026
Bad · 12/100margin compression · Rev +2% YoY · PAT +5% YoY
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹631 Cr | +2.3% | -2.0% |
| EBITDA | ₹226 Cr | +2.3% | +0.9% |
| Operating margin | 36.0% | +0 bps | +100 bps |
| PAT | ₹184 Cr | +4.5% | +60.0% |
| PAT margin | 29.2% | +63 bps | +1130 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Where growth can come from, and what can break the case
IIFL Capital reports mixed Q1 FY27 results with strong QoQ PAT growth of 60% to INR 1,842 Mn, driven by MTM gains. Operating Revenue grew 2% QoQ and YoY to INR 6,315 Mn, while Operating PBT saw a 9% YoY decline. AUM & Custody grew 12% QoQ to INR 2,571 Bn.
The company shows robust AUM and MTF book growth, indicating strong client engagement. While operating PBT saw a YoY decline, overall PAT was boosted by MTM gains. The strategic investment by Fairfax, increasing its stake to 51% and injecting ₹2,000 crores, provides significant capital for multi-business growth and enhances institutional credibility.
Distribution Assets Mix (as of June 30, 2026)
Latest issuer-disclosed distribution across 5 reported categories.
Wealth Management & Distribution
Core growth franchise, emerging wealth manager with open-architecture platform, driving sticky AUM and recurring fee income.
Investment Banking
Demonstrated strong leadership, #1 in FY2026 IPO league tables, robust deal pipeline for next 4-6 quarters.
Institutional Equities
Serving 1,100+ domestic and global institutional clients, strong derivatives and structured trading franchise, global investor engagement.
Net Margin Trading Facility (MTF) Book
Grew 24% QoQ to ₹17.9 Bn in Q1FY27, indicating strong client leverage and trading activity.
Fairfax Strategic Investment
Fairfax India to increase shareholding to at least 51% through a preferential issue of ~₹2,000 crores, enhancing capital and credibility.
Robust Investment Banking Pipeline
Deal pipeline remains robust and is expected to be executed over the next 4–6 quarters, subject to market conditions.
Expanding Research Coverage
Bottom-up research led by 48 analysts, powering institutional decisions and strengthening competitive positioning through expanding coverage.
Market Conditions for Deal Execution
Investment banking deal pipeline execution is subject to market conditions, which could impact revenue realization.
Regulatory Approvals for Fairfax Acquisition
The Fairfax transaction, while approved by shareholders, is still subject to customary regulatory approvals.
Fluctuations in MTM on Investments
Profit Before Tax was significantly boosted by MTM on Investments & Others (756% QoQ), indicating potential volatility in earnings.
Management accountability
What management said, and what results must prove
Management accountability
What management said, and what results must prove
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
QoQ comparison is crucial for sequential momentum in financial services, especially for AUM, MTF book, and operating metrics. YoY comparison provides context for seasonal trends and long-term growth, particularly for revenue and profitability.
Asset Under Management & Custody
₹ 2,571 Bn, 12% q-o-q growth.
Net Margin Trading Facility (MTF) Book
₹ 17.9 Bn, 24% q-o-q growth.
Distribution AUM
₹ 574 Bn, 10% q-o-q growth.
Operating Revenue
₹ 6,315 Mn, 2% q-o-q and 2% y-o-y growth.
Capital for Multi-Business Growth
Proposed preferential issue to support scale-up across broking, wealth management, asset management, institutional equities, investment banking, and related financial services.
Enhanced Institutional Credibility
Fairfax's long-term capital, global reputation, financial strength, and international network are expected to enhance institutional confidence and strategic positioning.
Continuity of Leadership
Fairfax will join the Promoter Group, ensuring continuity of leadership, institutional knowledge, and entrepreneurial execution.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Fairfax Acquisition Completion | Shareholder approval received June 1, 2026. | Completion of regulatory approvals and capital infusion. |
| Investment Banking Deal Execution | 11 transactions completed in Q1FY27, robust pipeline. | Conversion rate of pipeline into completed transactions over next 4-6 quarters. |
| AUM & MTF Book Growth | AUM & Custody up 12% QoQ, MTF Book up 24% QoQ. | Sustained sequential growth in these key metrics. |
| Operating Profitability | Operating PBT up 4% QoQ but down 9% YoY. | Improvement in YoY operating PBT growth, reducing reliance on MTM gains. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
61BullishMACD +
Technical chart
IIFLCAPSdaily · 1Y · AUTO+7.7%Daily technical trend read
Bullish setupTrend is constructive — long-term uptrend intact. RSI 61.
- Price above SMA200 (long-term uptrend) but mid-term MAs not aligned.
- SMA20 roughly flat — short-term momentum stalled.
- RSI(14) at 61 — rising, no extreme reading.
- MACD above signal, histogram expanding — bullish momentum building.
- 17% off 52W high · 42% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation & score drivers
U-Score 43 · WATCHLIST · pillar breakdown, sector model, fair-value anchor
Valuation & score drivers
U-Score 43 · WATCHLIST · pillar breakdown, sector model, fair-value anchor
Fundamental score breakdown
WATCHLISTWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Fair-value margin of safety is positive at 32.7%.
- Growth contributes 16/25 to the score.
- Quality contributes 9/20 to the score.
Main drags
- Valuation is weaker at 8/30; verify the latest quarterly trend.
- Balance sheet is weaker at 4/15; verify the latest quarterly trend.
- Cash flow is weaker at 3/10; verify the latest quarterly trend.
Bank valuation: P/B adjusted for ROE and asset quality
Banks are balance-sheet businesses, so book value quality matters more than simple earnings multiples.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: -3 points.
Factor attribution
Modelled fair value
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Mixed Trust: Claim history is still being built. It ranks around the 38th percentile of the scored universe and 56th percentile within Financial Services. Main check: results consistency is weak at 46/100.
Healthy Trust Lite: Promoter pledge is zero. Key concern: Operating cash flow is negative at ₹-1070 Cr.
Usable, but needs evidence. Treat guidance with a margin of safety.
overall median 67 · Financial Services: 56th pctile, median 62 · Micro: 21st pctile, median 73
98 documents have extracted text, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Mixed Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter pledge is zero.
- ▸5 years of positive FCF.
- ▸ROCE is 21.1%.
- ▸3/4 latest quarters had positive YoY revenue growth.
Trust risks
- ▸Operating cash flow is negative at ₹-1070 Cr.
- ▸ROCE trend is -8.6%.
- ▸1/4 latest quarters had positive YoY PAT growth.
- ▸1 of the latest 4 quarters had PAT decline worse than 25% YoY.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Fundamentals
Valuation
- P/E
- 18.90
- P/B
- 3.47
- EV/EBITDA
- 13.70
- Market Cap
- 10754.00Cr
Profitability
- ROE
- 16.20%
- ROCE
- 21.10%
- ROA
- 5.98%
- Dividend Y
- 0.88%
Growth (CAGR)
- Revenue 5Y
- 24.00%
- EPS 5Y
- 16.00%
- Revenue 3Y
- 23.00%
- EPS 3Y
- 22.00%
Balance Sheet
- Debt/Equity
- 0.59
- Interest Coverage
- 3.72×
- Altman Z
- 2.10
- Book Value
- 98.40
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 5/5
- OCF
- -1070.00 Cr
- EPS TTM
- 18.28
Shareholding
- Promoter Hold
- 30.67%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 59%
Financial History
Updated 5/9/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable names in Financial Services, ranked by similarity
Peers
Business-comparable names in Financial Services, ranked by similarity
Peers
Business-comparable peers in Financial Services — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.