HDFC Asset Management Company, which was recently listed on the bourses, announced that its net profit for the first quarter of the current financial year rose by 25% to touch Rs.205 crore, against a net profit of Rs.165 crore during the corresponding period in the previous financial year. The firm also announced that its total revenue for the period under revenue increased by 20% to Rs.501 crore, from Rs.417 crore in the year-ago period.
The growth in the company’s revenues and profit after tax was attributed to a 22% rise in the assets under management (AUM) of the firm, within which the total number of individual investors increased by 29% to about 84 lakh.
HDFC MF, which was formed in partnership between HDFC and Standard Life Investments, is the second-biggest asset management company in the country. The firm has announced that its assets under management at the end of the April-June quarter of the current financial year was over Rs.3 lakh crore. The firm has a market share of around 13% in a sector that has 40 fund houses/asset management companies in total.
HDFC AMC, which saw a high subscription rate during its IPO, was listed on 6 August 2018 at Rs.1,739, against an issue price of Rs.1,100. The company, thus, listed at a 58% premium over the issue price.
Sources: The Times of India