The shares of the prominent securities depository fell around 5 percent in today’s trading session after the company’s net profit and revenue decreased by 23 percent and 19 percent QoQ, respectively, in Q4.
With a market capitalization of Rs 26,438.50 crore, the shares of Central Depository Services (India) Ltd were trading at Rs 1,263.80 per share, decreasing around 4.85 percent as compared to the previous closing price of Rs 1,328.20 apiece.
Reason for fall
The shares of Central Depository Services (India) Ltd have seen bearish movement after reporting muted results in Q4FY25, Revenue decreased by 19 percent on a quarter-on-quarter basis from Rs 278 crore in Q3FY25 to Rs 224 crore in Q4FY25. Further, revenue fell by 7 percent year on year, from Rs 241 crore in Q4FY24 to Rs 224 crore in Q4FY25.
The company’s net profit decreased by 23 percent on a quarter-on-quarter basis, from Rs. 130 crore in Q3FY25 to Rs. 100 crore in Q4FY25. Further, net profit decreased by 22 percent year on year from Rs 129 crore in Q4FY24 to Rs 100 crore in Q4FY25.
The company posted a strong FY24- 25 performance, with revenue increased by 33 percent from Rs 812 crore to Rs 1,082 crore. Net profit jumped 25 percent, from Rs 420 crore to Rs 526 crore, reflecting positive profitability over the previous financial year. The board of directors has also approved a final dividend for FY 24-25 of Rs. 12.50 per equity share of face value of Rs. 10 each.
Additionally, EBITDA fell 32 percent quarter-on-quarter to Rs 109.35 crore, with margins shrinking by nearly 10 percentage points to 48.73 percent from 57.79 percent. The decline reflects weaker operational performance compared to the previous quarter, indicating pressure on profitability and efficiency during the period.
Operational Highlights
CDSL’s BO accounts grew to 1,529 lakh in Q4FY25 despite a decline in new account openings to 64 lakh. Demat custody stood at Rs 71 lakh crore. The number of issuers rose to 35,922, and ISINs surged to 98,436, reflecting continued market expansion and increasing participation.
Company Profile
Central Depository Services (India) Limited is an India-based company which is engaged in providing depository services, data processing services, and others. The Company operates through three segments: Depository Segment, Data Entry and Storage, and Repository.
Written by Abhishek Singh
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