HDFC AMC Reports 16% Revenue Growth, Announces 1:1 Bonus Share Issue
HDFC AMC reported robust Q2 FY26 results with 16% YoY revenue growth to ₹10,260.00 crore and 13% YoY operating profit increase to ₹7,796.00 crore. AUM reached ₹8.70 trillion with an 11.5% market share. The company announced a 1:1 bonus share issue, subject to shareholder approval, with a record date of November 26, 2025. Two new funds were successfully launched, collecting a total of ₹35.00 billion. CEO Navneet Munot expressed optimism about the company's growth potential in the industry.
*this image is generated using AI for illustrative purposes only.
HDFC AMC , one of India's largest mutual fund houses, has reported strong financial results for the quarter ended September 30, 2025, along with a significant corporate action announcement.
Financial Performance
HDFC AMC witnessed robust growth in its key financial metrics:
| Metric | Q2 FY26 | YoY Growth |
|---|---|---|
| Revenue from Operations | ₹10,260.00 | 16% |
| Operating Profit | ₹7,796.00 | 13% |
| Profit After Tax | ₹7,179.00 | - |
The company's profit after tax included a ₹468.00 million reversal of income tax provision from earlier periods.
Assets Under Management (AUM) and Market Share
HDFC AMC's AUM reached ₹8.70 trillion, representing a market share of 11.5%. The company maintains a strong position in actively managed equity-oriented funds:
| Category | AUM | Market Share |
|---|---|---|
| Equity-oriented | ₹5.40 trillion | 12.9% |
| Overall (ex-ETF basis) | - | 12.8% |
Investor Base and Distribution
The company serves 14.5 million unique investors, maintaining its leadership among individual investors with a 13.1% market share. HDFC AMC's systematic transactions showed strong momentum, with monthly flows in September 2025 reaching ₹45.10 billion across over 13 million transactions.
New Fund Offerings
During the quarter, HDFC AMC successfully launched two new funds:
- HDFC Innovation Fund: Collected ₹24.00 billion
- HDFC Diversified Equity All Cap Active FoF: Collected ₹11.00 billion
Bonus Share Announcement
HDFC AMC's Board of Directors has approved a 1:1 bonus share issue, subject to shareholder approval. This means shareholders will receive one new equity share for each existing share held.
Key points of the bonus issue:
- Record Date: November 26, 2025
- Ratio: 1:1 (One bonus share for every one share held)
- Face Value: ₹5.00 per share
- Funding: To be capitalized from the Capital Redemption Reserve Account and Securities Premium Account
The bonus issue reflects the company's strong financial position and positive growth outlook. It is designed to enhance liquidity and make the shares more affordable for investors.
Management Commentary
Navneet Munot, Managing Director and CEO of HDFC AMC, commented on the results: "We have built a significant franchise over the last 25 years. With our best-in-class product bouquet, long-term performance track record, extensive physical and digital presence, and partnerships with hundreds of thousands of distributors, we see tremendous potential for growth in our industry."
Conclusion
HDFC AMC's strong quarterly performance, coupled with the announcement of a bonus share issue, underscores the company's robust financial health and commitment to shareholder value. As the mutual fund industry in India continues to grow, HDFC AMC appears well-positioned to capitalize on the expanding market opportunities.
Investors and stakeholders will be keenly watching the implementation of the bonus issue and the company's performance in the coming quarters as it navigates the evolving landscape of the asset management industry in India.
Historical Stock Returns for HDFC AMC
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -1.96% | +4.52% | -1.09% | +4.91% | +25.98% | +83.72% |
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