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View Claim Ledger →Computer Age Management Services Ltd — Q4 FY26
CAMS delivered a solid Q4 FY26 with 11% YoY revenue growth and EBITDA margin of 46.5%, expanding 150bps YoY.
bullish
high
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CAMS delivered a solid Q4 FY26 with 11% YoY revenue growth and EBITDA margin of 46.5%, expanding 150bps YoY. Non-MF revenue grew 24.5% YoY, now contributing 15.3% of enterprise revenue, driven by payments, AIF, and K. MF revenue was flat due to muted AUM growth, but equity AUM share improved to 67% and equity net sales share rose to 76%. Management guided for sustained 20%+ non-MF growth, flat K revenue in FY27 despite a price cut, and further margin expansion via rearchitecture and automation. Key risk: potential yield compression from passive mix shift or AMC renegotiations, though management sees limited impact.
Promises2 met · 0 missedRisks4 trackedTranscriptfull text
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Yield compression from passive mix shift
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Read Transcript →Quarter Snapshot
Equity AUM Share
67%
+1pp YoY
Equity AUM share grew from 66% to 67% YoY, outpacing industry growth.
Equity Net Sales Share
76%
+5pp YoY
Share of equity net sales rose from 71% to 76% YoY, indicating strong market position.
New SIP Registrations
1.26 Cr
+46% YoY
New SIP registrations grew 46% YoY, significantly outpacing industry growth of 37%.
SIP Collections Share
64%
+7pp YoY
Share of industry SIP collections increased from 57% to 64% YoY.
What Changed vs Last Quarter
NEW
Non-MF revenue to grow 20%+ in FY27
Management expects non-MF revenue to grow at least 20% YoY in FY27, driven by payments, AIF, and other segments.
NEW
K revenue to be flat in FY27
Despite a ~8 Cr price down, K revenue is expected to remain flat due to new logo wins and growth.
NEW
EBITDA margin to sustain around 46-47% in FY27
Management aims to maintain Q4 FY26 EBITDA margin levels in FY27, despite salary increments and investments.
NEW
Non-MF margin to reach 20% by end of FY27
Non-MF segment margin is targeted to improve from current 16.5% to 20% by end of next fiscal year.
DROPPED
Non-MF revenue growth target of 20-25%
Management expects non-MF revenue to grow 20-25% in the near term, with a long-term aspiration of 25%.
DROPPED
EBITDA margin guidance of 45%+
Management reiterated margin guidance of 45%+, with potential to reach 46-47% in good quarters.
DROPPED
5-6 new AMC go-lives in FY27
Management expects to take 5-6 new AMCs live in FY27, including four carryovers from FY26 and new wins.
DROPPED
Non-MF EBITDA margin target of 25-30% in 2-3 years
Management aims to improve non-MF EBITDA margins to 25-30% over the next 2-3 years, from current ~13%.
NEW RISK
Yield compression from passive mix shift
Increasing share of passive AUM could compress blended yields, though management expects impact to be muted.
NEW RISK
Potential AMC renegotiations on RTA fees
AMCs facing 3-5 bps impact from new regulations may seek to pass on costs to RTAs, though management sees limited risk.
NEW RISK
KYC price down impact on revenue
A 20% industry-wide KYC price cut effective April 1 could reduce K revenue by ~8 Cr, partially offset by growth.
NEW RISK
One KYC regulation could disrupt K business
If CKYC subsumes KYC, the K business model may face structural changes, though management sees it as a gradual process.
RISK GONE
Potential pricing impact from exit load regulation change
The proposed removal of 5 bps exit load on mutual funds could lead to renegotiation of TA contracts, with a potential revenue impact of ₹20-25 crore.
RISK GONE
KRA pricing pressure
Industry discussions about lowering KRA charges could impact CAMS' KRA business, though management notes friendly rates already exist for smaller SIPs.
RISK GONE
Slowdown in capital market account openings
Depository and broking account momentum has slowed, impacting KRA revenue growth despite sequential improvement.
RISK GONE
Execution risk in cloud migration
The multi-year cloud migration program involves significant complexity and may not deliver expected efficiencies on schedule.
Fast read
Guidance and risk preview
Management expects non-MF revenue to grow at least 20% YoY in FY27, driven by payments, AIF, and other segments.
Increasing share of passive AUM could compress blended yields, though management expects impact to be muted.
View Risks →