Company Update : CAMS by Motilal Oswal Financial Services Ltd
In-line performance across parameters
* CAMS’ AAUM grew 16% YoY and 7% QoQ to INR52.1t in 2QFY26 with a market share of ~68%. Equity mix stood at 55.1% vs 55.4% in 2QFY25 and 54.8% in 1QFY26. Equity AUM rose 16% YoY to INR28.7t.
* The transaction volume grew 16% YoY and 6% QoQ to 259.8m in 2QFY26.
* CAMS reported an operating revenue of INR3.8b in 2QFY26 (in line), reflecting 3% YoY/6% QoQ growth. For 1HFY26, revenue came in at INR7.3b, +5% YoY.
* The non-MF segment contributed 14.4% of the overall revenue vs 12.9% in 2QFY25 and 13% in 1QFY26.
* Total operating expenses grew 7% YoY to INR2.1b (in-line). Employee expenses/other expenses grew 5%/10% YoY to ~INR1.2b/INR843m.
* EBITDA came in at INR1.7b, which declined 2% YoY, reflecting an EBITDA margin of 44.5% (vs. 46.6% in 2QFY25 and our est. of 45%). For 1HFY26, EBITDA came in at INR3.2b, +1% YoY.
* Other income at INR122m declined 3% YoY/7% QoQ.
* PAT was down 6% YoY to INR1.1b (in line), with PAT margins at 30.2% vs. 33.1% in 2QFY25. For 1HFY26, PAT came in at INR2.2b, down 3% YoY.
Valuation and view
* Structural tailwinds in the MF industry are likely to drive absolute growth in MF revenue. With favorable macro triggers and the right investments, the non-MF share of revenues for CAMS is expected to increase in the next three to five years.
* We will revise our estimates after the conference call scheduled for 29th Oct’25.
For More Research Reports : Click Here
For More Motilal Oswal Securities Ltd Disclaimer
http://www.motilaloswal.com/MOSLdisclaimer/disclaimer.html
SEBI Registration number is INH000000412
