A dominant player in India’s mutual fund infrastructure commands an impressive 70% market share in the registrar and transfer agent sector, serving as the backbone of investment processing.
With robust financials showcasing 40% EBITDA margins and 32% return on equity, this industry leader derives nearly 90% of its revenue from mutual fund services, demonstrating its pivotal role in India’s financial ecosystem.
Share Price Movement
The share price of Computer Age Management Services Limited hit an intraday high of 1.48 percent to Rs. 4,510 per share on Friday, an increase from its previous close of Rs. 4,444.15 per share. The market capitalisation now stands at approximately Rs. 21,803 crore as of January 17, 2025. CAMS has seen impressive returns, with a 6-month return of 5.90% and a 1-year return of 56.40%, reflecting strong performance in the market.
Recent Updates
Computer Age Management Services (CAMS) is set to announce its Q3 results for the fiscal year 2024-2025 on January 29, 2025. This announcement will follow a board meeting on the same date to review the standalone and consolidated unaudited financial results for the quarter ending December 31, 2024.
Assets Under Management (AUM)
Total Assets Under Management (AUM) reached about Rs. 45 lakh crore, experiencing the fastest quarterly growth with an increase of nearly Rs. 5 lakh crore. Active equity AUM grew by 59.4%, surpassing the industry average of 53.5%. CAMS managed to capture around 66% of the industry’s net sales, totalling over Rs. 1 lakh crores.
Financial Highlights
According to its recent filing, in the quarter ending September 2024, Computer Age Management Services’s consolidated revenue from operations has increased by 34.12 percent YOY from Rs. 255 crore in Q2 FY24 to Rs. 342 crore in Q2 FY25 and increased by 11.03 percent QoQ from Rs. 308 crore in Q4 FY24.
The company’s consolidated net profit has increased by 41.97 percent YoY from Rs. 81 crore in Q2 FY24 to Rs. 115 crore in Q2 FY25. As compared to the last quarter of 2025, the company’s net profit has increased by 12.74 percent QoQ from Rs. 102 crore.
The average price-to-earnings (P/E) ratio in the e-commerce industry is 76.95, which is higher than Computer Age Management Services’s current P/E ratio of 60.40.
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Market Outlook
The mutual fund industry saw strong growth in FY24, with a 37% YoY rise in AUM and a record 17.78 crore folios. CAMS maintained its leadership with a 70% market share. handling Rs. 37.3 lakh crore AUM.
The company also saw a 28% increase in transaction volumes, 2.7 crore SIP registrations, and continued expansion in AIF and PMS services. CAMS is enhancing its digital platforms and expanding into new services like multicurrency accounting and fund administration in GIFT City.
Shareholding Pattern
As of the September 2024 shareholding pattern, Computer Age Management Services Limited is primarily held by foreign institutional investors at 56.53 percent, the public holds 24.83 percent, and the promoters with 0.00 percent.
About Company
Computer Age Management Services (CAMS) Ltd, based in Chennai, is a major player in India’s financial services sector, with over 25 years of experience. It is the largest registrar and transfer agent for mutual funds in India, holding a 70% market share. CAMS offers various technology-driven services like registrar and transfer agent services for mutual funds, electronic payment collection, insurance repository services, and KYC registration.
They also provide software solutions and IT support to financial institutions. CAMS has 278 service centres across 25 states and five union territories, ensuring access through physical and digital platforms. With consistent growth in data processing services and strong leadership under CEO Anuj Kumar, CAMS continues to innovate and expand its client base, solidifying its position in India’s financial landscape.
Written By Fazal Ul Vahab C H
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