Interactive Financial's profit grew 22% on flat revenue. Q4 did all the work.
A single strong quarter powered the full-year result. The nano-cap's equity is now more than three times its market value.
— 2 earlier stories on Interactive Financial Services Ltd. →What's new
- Full-year net profit rose 22% to ₹3.49 cr, but annual revenue was flat at ₹7.37 cr.
- Q4 revenue jumped 83% to ₹2.84 cr; net profit rose to ₹1.33 cr from ₹0.45 cr sequentially.
- Total equity stands at ₹31.65 cr, more than three times the ₹10 cr market capitalisation.
Why this matters
The annual numbers mask a dramatic quarterly swing. The company's entire profit growth for the year came from a single quarter where revenue nearly doubled. The deep discount to book value, with equity of ₹31.65 cr against a ₹10 cr market cap, is a persistent feature, not a new development.
What we're watching
- Whether the Q4 revenue surge of ₹2.84 cr holds into the new fiscal year.
- The new internal auditor's first report on the company's financial controls.
- Any corporate action to close the valuation gap between equity and market cap.
The full read
Interactive Financial Services reported a 22% increase in FY26 net profit to ₹3.49 crore, but the headline hides the quarterly story. Annual revenue was flat at ₹7.37 crore, meaning the entire profit improvement came from a single quarter. In Q4, revenue jumped 83% to ₹2.84 crore and net profit surged to ₹1.33 crore from ₹0.45 crore in the preceding three months. For the first nine months, the nano-cap merchant bank was barely breaking even. The balance sheet shows ₹31.65 crore in total equity against a market capitalisation of just ₹10 crore. The statutory auditors signed off with a clean opinion, and a new internal auditor is in place for the coming year. One strong quarter carried the entire year.
Questions answered
- How did profit grow 22% on flat revenue?
- The full-year result was driven by the fourth quarter, where net profit of ₹1.33 cr was nearly three times the ₹0.45 cr earned in the third quarter. The first nine months contributed little to the full-year growth.
- What is the valuation discrepancy on the balance sheet?
- The company's total equity is ₹31.65 crore, while its market capitalisation is only ₹10 crore. The stock trades at a significant discount to its stated net worth.
- Why was the full-year revenue flat despite a strong Q4?
- Weak performance in the first three quarters offset the Q4 surge. Annual revenue stayed at ₹7.37 crore because the earlier quarters did not generate sufficient growth.
- Were there any changes to the company's auditors?
- The board appointed S. J. Bhesaniya & Co. as the internal auditor for the 2026-27 financial year. The statutory auditors provided a clean, unmodified opinion on the FY26 accounts.
Story so far
All notes on IFINSER →- 29 May 2026 · 5:06 PM IST Interactive Financial's profit grew 22% on flat revenue. Q4 did all the work.
- 1d ago Interactive Financial's profit tripled in Q4, lifting the full-year 22%
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