Mark-to-Market gains aided Canara Robeco AMC’s net profit growth during the quarter, which increased sharply after a tough March quarter. The company’s net profit for the June quarter increased by 83% quarter-on-quarter to ₹75.6 crore from ₹41.4 crore.
Canara AMC’s Mutual Fund Quarterly Average Assets Under Management (QAAUM) was up 1% at ₹1.18 lakh crore from ₹1.17 lakh crore in the previous quarter. The market share of the same remained unchanged.Equity QAAUM increased 1% as well to ₹1.08 lakh crore from ₹1.06 lakh crore quarter-ago.
SIP flows declined 5% to ₹690 crore in the June quarter from ₹727 crore in the previous one.
Canara AMC’s revenue increased 2% to ₹116.2 crore from ₹114.2 crore sequentially.Its other income for the quarter stood at ₹29.6 crore, compared to a negative ₹10.4 crore during the previous quarter. That also contributed to the rebound in the company’s profitability during the quarter.
The company’s operating profit increased 3% to ₹72.8 crore from ₹71 crore last quarter. Its operating margin expanded to 62.65% from 62.17% sequentially.
Shares of Canara Robecco AMC gained 16.6% to hit an intraday high of ₹294 apiece on Wednesday. The stock now trades 8.4% higher at ₹273.44, marginally higher than its issue price of ₹266 per share and lower than its listing price of ₹280 apiece.
Canara Robeco AMC’s IPO received an overall subscription of 9.74 times during the three day period that it was open for subscription. The subscription was led mainly by the Qualified Institutional Bidders (QIBs), whose portion was subscribed 9.74 times the total number of shares on offer, the NII portion was subscribed 6.45 times, while the retail portion was subscribed 1.91 times the number of shares on offer for them.
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