Choice International Ltd. (NSE: CHOICEIN) delivered another strong quarter in the second quarter of fiscal year 2026, with consolidated revenue rising 14.0% year-over-year to ₹2.84 billion. This growth was supported by balanced performance across the company's Broking & Distribution, Advisory Services, and Non-Banking Financial Company (NBFC) operations. The company's EBITDA increased 27.5% year-over-year to ₹989.8 million, with margins expanding 368 basis points to 34.8%.
The margin expansion was driven by operating leverage, improving product mix, and continued digital adoption across customer channels. Management reiterated confidence in sustaining this momentum into the second half of FY26. Growth was broad-based across the company's business segments, with wealth assets under management (AUM) increasing 327% year-over-year and the NBFC loan book growing 56% year-over-year to approximately ₹7.2 billion.
Profitability and asset quality metrics remained healthy, with profit after tax (PAT) increasing 22% year-over-year. The company reported a net non-performing asset (NNPA) ratio of 2.79%, indicating stable credit quality in its lending operations. Choice International's government advisory order book stood at ₹6.66 billion, providing visibility into future revenue streams from this segment.
The company's performance demonstrates the effectiveness of its diversified business model, which combines traditional financial services with digital transformation initiatives. The balanced growth across multiple business lines reduces reliance on any single revenue source while allowing the company to benefit from operating leverage as it scales. The significant expansion in wealth AUM and NBFC lending indicates successful penetration in these growth segments of India's financial services market.
Stonegate Capital Partners, which provides equity research and investor relations services, updated its coverage on Choice International following these results. The research firm highlighted the company's strong operating metrics and balanced growth profile. For more detailed information about the company's performance and strategic initiatives, investors can review the full research coverage available at https://www.stonegateinc.com.
The results come at a time when India's financial services sector is undergoing significant transformation, with increasing digital adoption and regulatory changes creating both challenges and opportunities for established players. Choice International's ability to maintain strong profitability while expanding its loan book and advisory services suggests effective risk management and operational execution. The company's performance has implications for investors evaluating opportunities in India's growing financial services sector, particularly those companies successfully navigating the transition to digital platforms while maintaining traditional revenue streams.
