CAMS Unveils Ambitious Growth Plan: Targets 25% EBITDA Margins for Non-Mutual Fund Business

Computer Age Management Services (CAMS), a leading technology-driven financial infrastructure and services provider, has outlined an ambitious growth strategy that aims to significantly boost its non-mutual fund business and overall revenue in the coming years.

Key Growth Targets

During a recent conference call, CAMS management revealed several key objectives:

Business Segment	Growth Target
Non-Mutual Fund Business	20% annual growth
Alternatives Business	15% annual growth
Overall Annual Revenue Increase	INR 200.00 crore
- From Mutual Funds	INR 150.00 crore
- From Non-Mutual Fund Operations	INR 50.00 crore

Margin Improvement and Cost Control

CAMS is setting its sights on improving profitability in its non-mutual fund business. The company projects that EBITDA margins for this segment will reach 25% in the coming years, indicating a strong focus on operational efficiency and value creation.

To support these growth targets, CAMS plans to implement strict cost control measures. The company aims to limit cost growth to 10-11% annually, which should help in expanding margins and improving overall profitability.

Diversification Strategy

The growth strategy highlights CAMS' efforts to diversify its revenue streams. While the mutual fund business remains a core focus, with an expected contribution of INR 150.00 crore to the annual revenue increase, the company is placing significant emphasis on its non-mutual fund operations.

Investor Interest

CAMS' growth plans appear to be generating interest among investors and analysts. According to the company's recent disclosure, several upcoming meetings are scheduled with prominent investment firms and asset managers, including:

Carnelian Asset Advisors
ICICI Securities (as part of their Annual Investor Conference)
JP Morgan
Stewart Investors
FSSA Investment Management

These meetings, scheduled throughout November, suggest that institutional investors are keen to understand more about CAMS' growth strategy and future prospects.

Conclusion

CAMS' ambitious growth targets, particularly in its non-mutual fund business, reflect the company's confidence in its diversification strategy and operational capabilities. As the financial services sector continues to evolve, CAMS appears to be positioning itself to capitalize on new opportunities while maintaining its strong presence in the mutual fund services space.

Investors and market observers will likely be watching closely to see how effectively CAMS can execute this strategy and achieve its targeted growth and margin improvements in the coming years.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.40%	+1.57%	+4.86%	+0.90%	-11.31%	+203.39%

Computer Age Management Services Limited (CAMS), India's largest registrar and transfer agent of mutual funds, has announced its financial results for the quarter ended September 30, 2025, showcasing robust growth across its business segments.

Financial Highlights

CAMS reported its highest-ever quarterly revenue in Q2 FY'26, with consolidated revenue reaching Rs. 376.74 crore, marking a 3.2% year-on-year increase and a 6.4% quarter-on-quarter growth. The company's profit after tax (PAT) stood at Rs. 114.94 crore, up 5.4% from the previous quarter, with PAT margins at 29.6%.

Mutual Fund Business Performance

The mutual fund segment, which remains CAMS' core business, demonstrated strong growth:

Assets under management (AUM) crossed Rs. 52 lakh crore in September 2025, maintaining a market share of approximately 68%.
Equity net sales reached an all-time high of over Rs. 1.02 lakh crore, with net sales market share growing to 69% in Q2 from 65% in Q1.
SIP collections by CAMS-serviced funds grew 21% year-on-year, clocking Rs. 17,555 crore average gross sales for the quarter.
The company's unique investor base crossed 4.3 crore, growing 17% year-on-year, outpacing the industry growth of 14%.

Non-Mutual Fund Business Growth

CAMS' diversification efforts showed positive results:

Non-mutual fund revenue share improved to 14.4% in Q2 FY'26.
CAMSPay's revenue grew 26% quarter-on-quarter, with 25 new deals signed in Q2.
CAMS Alternatives delivered its highest-ever quarterly revenue, reinforcing market leadership with over Rs. 2.8 lakh crore in assets under administration.

Strategic Developments

CAMS won two new RTA mandates – ASK Asset Managers and Alphagrep Asset Managers – bringing its mutual fund RTA client count to 28.
The company successfully completed the migration of Taurus Mutual Fund during the quarter.
CAMS entrenched its footprint in GIFT City with the launch of India's first outbound retail fund from the region, DSP Global Equity Fund.

Dividend Announcement

The Board of Directors has declared an interim dividend of Rs. 14 per equity share, with the record date set for November 7, 2025.

Management Commentary

Anuj Kumar, Managing Director of CAMS, stated, "It is heartening to share that CAMS has delivered a strong performance this quarter, reflecting our continued focus on consistency and value creation across our business lines. We recorded our highest-ever quarterly revenue, supported by sustained growth in both mutual fund and non-mutual fund segments."

Kumar added, "These developments reflect the strength of our integrated business model, where technology, domain expertise, and execution come together to support sustainable growth. Our performance this quarter highlights our resilience and reinforces our role as a key player in financial infrastructure services."

As CAMS continues to expand its service offerings and client base, the company appears well-positioned to capitalize on the growing mutual fund industry and diversify its revenue streams through non-mutual fund businesses.