Earnings |Computer Age Management Services Ltd. (NSE:CAMS): Q3FY23 Results Out; Total Income rise 4% YoY

Computer Age Management Services Ltd. (NSE:CAMS) is a financial infrastructure and services provider that offers mutual fund transfer agency, registrar, KYC registration agency, and other services. It was incorporated in 1988 and is headquartered in Chennai, India. CAMS is India’s largest registrar and transfer agent of mutual funds, with a market share of approximately 70%.

Computer Age Management Services Ltd. has reported its Q3FY22 results, posting consolidated PAT growth of 37% YoY. The company has recommended a third interim dividend of Rs. 10.75 per share. The average assets under management (AAuM) of CAMS serviced funds have reached an all-time high of Rs. 26.7 lakh crore. The company has achieved a lifetime high of 110.6 million transactions, an increase from 102.5 million in the previous quarter. The momentum of new SIP registrations continued with 43 lakh new registrations in the current quarter. The SIP book grew by 9% in the current quarter due to a reduction in SIP cancellations.

In terms of quarterly highlights, the company has achieved revenue of Rs. 237.71 crores, representing a YoY growth of 28%. The PBT has grown by 35% YoY to Rs. 102.25 crores. The PAT has also increased by 37% YoY to Rs. 77.31 crores with PAT margins standing at 32%. The basic EPS for Q3FY22 stands at Rs. 15.81 (not annualised).

For the nine-month period, the company has achieved revenue of Rs. 666.48 crores, a YoY growth of 32%. The PBT has grown by 47% YoY to Rs. 283.71 crores. The PAT has also increased by 47% YoY to Rs. 213.11 crores with PAT margins at 31%. The basic EPS for 9M FY22 stands at Rs. 43.63 (not annualised).

Commenting on the performance, Mr. Anuj Kumar, Managing Director said, “We had a strong quarter both in terms of our financial results and in maintaining our focus on operational excellence and financial prudence. The momentum in retail investor participation continued and we saw new highs in transaction volumes on the back of strong equity inflows, SIP inflows and new SIP registrations. The growth in AAuM was driven by equity assets, which touched life-time highs and helped us retain our leadership position with a market share of nearly 70% based on the quarterly AAuM. On the technology front, our focus during the quarter has been to strengthen our digital offerings and launch industry first initiatives such as SMART statement, digital portal for intermediary commission management, instant statement and modern APIs to power distribution channels. We concurrently made large scale upgrades to our technology infrastructure.”