KFin Technologies Limited , a leading technology-driven financial services platform, has announced its financial results for the first quarter, demonstrating strong growth across its diverse business segments.

Financial Highlights

KFin Technologies reported a robust financial performance for Q1:

• Revenue from operations stood at ₹2,740.60 million, up 15.4% year-on-year
• EBITDA reached ₹1,138.60 million, a 14.2% increase year-on-year, with an EBITDA margin of 41.5%
• Profit After Tax (PAT) grew by 13.5% year-on-year to ₹772.60 million, with a PAT margin of 28.2%
• Diluted Earnings Per Share (EPS) improved by 13.0% to ₹4.45

Business Segment Performance

Domestic Mutual Fund Investor Solutions

• Overall Assets Under Management (AAUM) grew by 23.0% year-on-year, outpacing the industry growth of 22.3%
• Market share in AAUM increased to 32.5%
• Equity AAUM grew by 21.7% year-on-year, with a market share of 33.0%

Issuer Solutions

• Added 880 new corporate clients during the quarter
• Market share in NSE500 companies reached 50.8% based on market capitalization
• Secured new RTA mandates from prominent companies including Canara HSBC Life Insurance Company Limited and ICICI Prudential Asset Management Company Limited

International and Other Investor Solutions

• Number of international clients increased to 82
• Overall AAUM in this segment grew by 33.5% year-on-year to ₹0.90 trillion
• Won several new deals, including a full-service FA & TA deal in Malaysia and a maiden deal for the mPowerWealth platform in the Philippines

Alternative Investment Funds (AIF) and Wealth Management

• Number of alternate funds reached 592, with a market share of 37.0%
• AAUM in this segment grew by 38.1% year-on-year to ₹1.60 trillion
• Secured 23 new AIF fund mandates, including from Tata AMC and Multiples

National Pension Scheme (NPS)

• Subscriber base grew to 1.67 million, up by 32.2% year-on-year, outpacing the industry growth of 12.7%
• Market share in overall subscribers' base increased to 9.9%

Strategic Initiatives and Outlook

Sreekanth Nadella, Managing Director and CEO of KFin Technologies Limited, commented on the company's performance: "We delivered a strong quarterly performance amidst global uncertainty and positioned ourselves for stronger growth during the rest of the fiscal. Our mature lines of businesses continue to grow in line with industry growth, while our new business lines of future continue to grow at a faster pace."

The company has undertaken several strategic initiatives, including:

• Incubating a second "Centre of Excellence" in Vijaywada, Andhra Pradesh, focused on cloud-native enterprise mobility solutions
• Launching KRA solutions with embedded AI technology
• Introducing "IRIS", a multi-asset platform for financial intermediaries, and "Swiftflow", a payment orchestration platform

As KFin Technologies continues to execute its growth strategy, the company remains focused on driving innovation, expanding its client base, and maintaining profitability in a rapidly evolving financial services landscape.

Dividend Announcement

The Board of Directors has proposed a dividend of ₹7.50 per share, subject to shareholders' approval at the upcoming Annual General Meeting.

With a strong start to the fiscal year and a clear focus on technological innovation and market expansion, KFin Technologies appears well-positioned to capitalize on the growing opportunities in the financial services sector.

KFin Technologies Limited (KFintech), a leading technology-driven financial services platform, has announced robust financial results for the first quarter, demonstrating solid growth across its diverse business segments.

Financial Highlights

KFintech reported a significant year-on-year increase in its key financial metrics for Q1:

• Revenue from operations stood at ₹2,740.60 million, up 15.4% compared to the same quarter last year
• EBITDA reached ₹1,138.60 million, marking a 14.2% increase, with an EBITDA margin of 41.5%
• Profit After Tax (PAT) grew by 13.5% to ₹772.60 million, with a PAT margin of 28.2%
• Diluted Earnings Per Share (EPS) rose by 13.0% to ₹4.45

The company's core revenue, excluding global business solutions, showed an impressive growth of 19.4% year-on-year. Notably, the International and Other Investor Solutions segment (excluding global business solutions) saw a substantial revenue increase of 29.3% compared to the same quarter last year.

Business Performance

KFintech demonstrated strong performance across its various business segments:

Domestic Mutual Fund Investor Solutions

• Overall Assets Under Management (AAUM) grew by 23.0% year-on-year, outpacing the industry growth of 22.3%
• Market share in AAUM stood at 32.5%
• Equity AAUM increased by 21.7% year-on-year, with a market share of 33.0%

Issuer Solutions

• Added 880 new corporate clients during the quarter
• Achieved a 50.8% market share in NSE500 companies based on market capitalization

International and Other Investor Solutions

• The number of international clients increased to 82
• Overall AAUM in this segment grew by 33.5% year-on-year to ₹0.90 trillion

Alternative Investment Funds (AIF) and Wealth Management

• Number of alternate funds reached 592, with a market share of 37.0%
• AAUM in this segment grew by 38.1% year-on-year to ₹1.60 trillion

National Pension Scheme (NPS)

• Subscriber base grew to 1.67 million, up by 32.2% year-on-year
• Market share in overall subscribers' base increased to 9.9%

Strategic Developments

KFintech has made several strategic moves to strengthen its market position:

• Won RTA deals from three new Asset Management Companies (AMCs)
• Secured new mandates for digital asset development and Know Your Customer (KYC) Registration Agency (KRA) services
• Expanded international presence with new deals in Malaysia and the Philippines
• Onboarded five new funds in Gift City, bringing the total to 35

Management Commentary

Sreekanth Nadella, Managing Director and CEO of KFin Technologies Limited, commented on the company's performance: "We delivered a strong quarterly performance amidst global uncertainty and positioned ourselves for stronger growth during the rest of the fiscal. Our mature lines of businesses continue to grow in line with industry growth, while our new business lines are growing at a faster pace."

Nadella also highlighted the company's ongoing initiatives, including:

• The establishment of a second "Centre of Excellence" in Vijaywada, Andhra Pradesh
• Launch of AI-embedded KRA solutions
• Introduction of new platforms like "IRIS" for financial intermediaries and "Swiftflow" for payment orchestration

Conclusion

KFin Technologies' Q1 results reflect the company's strong market position and its ability to capitalize on growth opportunities across various segments of the financial services industry. With a focus on technology-driven solutions and strategic expansions, KFintech appears well-positioned for continued growth in the coming quarters.