Computer Age Management Services (CAMS) is targetting revenue growth of 14-15% in the current financial year and a profit growth of around 15-16%.

The Chennai-based company, which is a registrar and transfer agency for mutual funds, aims to sustain its EBITDA (earnings before interest, tax, depreciation and amortisation) margin at around 43-44% for the year.

Anuj Kumar, the company's Managing Director highlighted that Systematic Investment Plan (SIP) registrations have risen to 60 lakh per month from 45 lakh earlier with inflows crossing ₹10,000 crore per month.

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In the second quarter of the financial year 2024, CAMS posted a net profit of ₹84.5 crore versus ₹72 crore registered in the second quarter of the last year. Revenue from operations rose 13.5% year-on-year (YoY) to ₹275 crore. The EBITDA margin, representing the profitability as a percentage of revenue, was at 44.4%.

Kumar said the plan is to enhance margins by 50-100 basis points annually. He projected a 40% margin in the non-mutual fund segment within the next 2-3 years.

CAMS has a market capitalisation of ₹13,956 crore. Shares of the company have risen over 10% in the past month versus gains of a little over 1% in the Nifty 50.

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(Edited by : Shweta Mungre)

First Published:Nov 22, 2023 8:23 PM IST