Stories
HDFC AMC Shares Jump Over 5% Following Strong Q2 Results and Margin Expansion
- •Shares of HDFC Asset Management Company Ltd. surged over 5% on Thursday following an all-round beat in September quarter results.
- •Revenue grew by 6% sequentially to reach ₹1,170 crore, beating the analyst poll projection of ₹1,128.8 crore.
- •EBITDA stood at ₹930 crore, marking a 9% increase quarter-on-quarter and surpassing expectations.
- •Net profit declined 11% sequentially to ₹749 crore due to a 73% drop in volatile other income, yet remained above analyst estimates.
Key Questions Answered
HDFC AMC reported a sequential revenue increase of 6% to reach ₹1,170 crore for the September quarter, beating analyst expectations of ₹1,128.8 crore. The Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) stood at ₹930 crore, which was 9% higher sequentially and surpassed the projected ₹888.9 crore.
HDFC AMC's net profit for the September quarter declined by 11% sequentially to ₹749 crore due to a sharp 73% drop in other income, which is typically more volatile and driven by market movements. Despite this decrease in profitability, the net profit figure still marginally exceeded the poll expectation of ₹708 crore.
Shares of HDFC Asset Management Company Ltd. gained over 5% on Thursday, October 15, trading at ₹2,406.5 following the release of their September quarter results. This positive price movement helped the stock trim its year-to-date losses down to 8.5%.
