KFin Technologies' Q2 FY 2025-26 Quarterly Results

Result Summary

• KFin Technologies Ltd reported a 12.6% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Sep (Q2 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a growth of 10.0%.
• Its expenses for the quarter were up by 7.9% QoQ and 12.5% YoY.
• The net profit increased 20.8% QoQ and increased 4.5% YoY.
• The earnings per share (EPS) of KFin Technologies Ltd stood at 5.38 during Q2 FY 2025-26.

Financial Statments for Q2 FY 2025-26

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

KFin Technologies Ltd is a company engaged in providing a range of services primarily focused on financial technology. The company operates within the financial services sector, offering solutions that facilitate investment management and distribution. These services are typically aimed at mutual funds, alternative investment funds, and other institutional investors. The company's product offerings include transaction processing, compliance management, and investor reporting. As of the latest data available up to October 2023, there are no specific recent major developments publicly noted for KFin Technologies Ltd in the financial or business landscape. The company's strategic position allows it to cater to a diverse clientele, leveraging its expertise in technology-driven financial solutions.

Revenue

KFin Technologies Ltd reported a total income of ₹320.01 crores in Q2FY26, marking a significant increase of 12.6% from the previous quarter (Q1FY26), where the total income was ₹284.09 crores. Similarly, on a year-over-year basis, the total income grew by 10.0% from the ₹291.02 crores recorded in Q2FY25. This indicates a consistent upward trajectory in revenue generation over both the quarterly and yearly periods. The revenue figures suggest sustained demand for the company's services, reflecting its capacity to capture market opportunities within the financial services industry.

Profitability

The profitability of KFin Technologies Ltd in Q2FY26 is demonstrated by its reported profit before tax (PBT) of ₹126.99 crores, which represents a 20.8% increase from the previous quarter (Q1FY26) and a 6.3% rise compared to Q2FY25. The profit after tax (PAT) for Q2FY26 stood at ₹93.31 crores, reflecting a 20.8% quarter-over-quarter growth from ₹77.26 crores in Q1FY26 and a 4.5% year-over-year increase from ₹89.32 crores in Q2FY25. These figures indicate an improvement in the company's ability to convert income into profit. The earnings per share (EPS) for Q2FY26 was ₹5.38, up 20.9% from ₹4.45 in Q1FY26 and 4.3% above the ₹5.16 reported in Q2FY25, highlighting enhanced shareholder value.

Operating Metrics

KFin Technologies Ltd's total expenses in Q2FY26 were reported at ₹193.02 crores, showing a 7.9% increase from the previous quarter's expenses of ₹178.93 crores and a 12.5% rise from the ₹171.55 crores in Q2FY25. The growth in expenses parallels the increase in revenue, maintaining operating leverage. The tax expense for Q2FY26 was ₹33.63 crores, which is a 21.6% increase from ₹27.65 crores in Q1FY26 and an 11.5% rise from ₹30.15 crores in Q2FY25. These operating metrics suggest that the company is managing its cost structure effectively while accommodating increased tax obligations due to higher profitability levels.