Shares of Central Depository Services (India) Limited (CDSL) surged over 3% today.
The company has reported robust earnings for Q2 FY25, demonstrating significant growth in its core business and emerging verticals, positioning itself for scalability and sustained profitability.
Key Highlights:
- Solid Earnings Performance:
- Revenue from operations rose 55% YoY to ₹322 crore in Q2 FY25, while net profit jumped 49% YoY to ₹162 crore.
- EBITDA increased by 54% YoY to ₹200 crore, maintaining strong margins at 62%.
- Transaction Volume Growth:
- Despite a reduction in transaction charges, volume growth remained robust, boosting revenue.
- CVL Subsidiary Performance:
- CVL, CDSL’s subsidiary providing KYC services, posted a profit of ₹66 crore in H1 FY25, contributing significantly to the overall growth.
- Key Metrics and Milestones:
- The company reached 13.73 crore active demat accounts by September 2024, a 43% YoY increase compared to 9.62 crore in September 2023.
- Future Growth Triggers:
- Issuance of insurance policies in dematerialized form presents a significant growth opportunity.
- Expansion into new business areas offers scalability and enhances earnings visibility.
CDSL’s strong financials and strategic initiatives underline its leadership in India’s capital market infrastructure. As of 9:50 AM, shares of CDSL were trading 3.22% higher at ₹1,243.10 on the NSE.
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