Shares of Angel One witnessed a significant decline of nearly 12% in the opening trade on January 16, following the broking company’s report of a notable margin contraction in the October-December quarter.
The company’s operating margin witnessed a downturn to 37.60% in the third quarter, a drop from 43.3% in the corresponding period of the previous year. Motilal Oswal Financial Services, a brokerage firm, attributed the decline to higher operational expenditure, primarily driven by increased client acquisition, impacting overall profitability.
As of 11:20 am, Angel One was trading at ₹3,420.30 on the National Stock Exchange, marking an 11.75% decrease from the previous close.
Despite the challenges in operational performance, the broking company managed to achieve a 14% year-on-year increase in its consolidated net profit, reaching Rs 260.3 crore.
