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 NBFC operations. The company's EBITDA increased 27.5% year-over-year to ₹989.8 million, with margins expanding 368 basis points year-over-year 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 momentum into the second half of FY26. The company's growth was broad-based, with wealth assets under management up 327% year-over-year and the NBFC loan book up 56% year-over-year to approximately ₹7.2 billion.
Profitability and asset quality remain healthy, with profit after tax up 22% year-over-year. The company reported net non-performing assets at 2.79%, and a ₹6.66 billion government advisory order book provides visibility into future revenue streams. Stonegate Capital Partners, which provides investor relations and equity research services, updated their coverage on Choice International following these results.
The significance of these results extends beyond the immediate financial metrics. Choice International's performance demonstrates the resilience of diversified financial services companies in the current economic environment. The balanced growth across multiple business segments suggests the company has successfully navigated market challenges while maintaining operational efficiency. The substantial increase in wealth AUM and NBFC loan book indicates strong client acquisition and retention strategies.
For investors and the broader financial services industry, Choice International's results provide insight into several important trends. The company's margin expansion despite revenue growth suggests effective cost management and operational scaling. The continued digital adoption across customer channels reflects the ongoing transformation of financial services delivery models. The government advisory order book of ₹6.66 billion provides revenue visibility that could help stabilize earnings through potential economic fluctuations.
The company's performance has implications for market participants evaluating the financial services sector in emerging markets. The ability to maintain asset quality with NNPA at 2.79% while rapidly expanding the loan book demonstrates disciplined risk management practices. The 327% increase in wealth AUM suggests successful penetration of the growing wealth management market in India. These factors combined position Choice International as a case study in balanced growth within the competitive financial services landscape.
Stonegate Capital Partners' updated coverage provides institutional investors with analysis of these developments. The full research report and additional materials are available through their platform. The company's affiliate, Stonegate Capital Markets, provides investment banking services for public and private companies, though this coverage update represents their equity research function. The sustained momentum into the second half of FY26, as expressed by management confidence, suggests continued positive trajectory for the company's operations and financial performance.
