Cams Services Q1 FY27 Results (NSE: CAMS)
Signal: Steady quarter
The read
CAMS delivered steady Q1FY27 results with 11.5% consolidated revenue growth and 17.4% PAT growth, maintaining a strong EBITDA margin above 50%. The core RTA business continues to scale efficiently, and acquisitions (Fintuple now wholly owned, Think Analytics stake increasing) provide future growth optionality. However, a SEBI warning letter regarding compliance deficiencies in mutual fund operations is a governance overhang that needs monitoring. Revenue was flat sequentially, but profitability improved year-on-year. The declared interim dividend of ₹2.50 per share signals management confidence.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹395.03 Cr | 11.5% | -0.05% |
| EBIT | ₹174.77 Cr | 19.2% | |
| Net profit | ₹128.02 Cr | 17.4% | |
| EPS | ₹5.16 | 17.0% | |
| EBIT margin | 50.5% |
P&L walk
Revenue grew 11.5% YoY to ₹39,503 lakh, driven by core RTA business. Employee costs (₹12,366 lakh) rose moderately, and other expenses were controlled, lifting EBITDA margin to 50.5% (vs ~48% estimated). Depreciation and finance costs stable. PAT at ₹12,802 lakh, +17.4% YoY, with EPS of ₹5.16 (+17%).
Key positives
- Consolidated revenue up 11.5% YoY to ₹39,503 lakh
- PAT up 17.4% YoY to ₹12,802 lakh
- EBITDA margin at 50.5%, indicating strong operating leverage
- Interim dividend of ₹2.50 per share declared
- Think Analytics acquisition progressing – 20.91% additional stake for ₹17.73 Cr, completion expected by Sep 2026
Key concerns
- SEBI issued an administrative warning letter for deficiencies in mutual fund compliance (corrective actions taken, no financial impact stated)
- Consolidated revenue flat sequentially (QoQ -0.05%)
- Employee cost growth may warrant monitoring if it outpaces revenue over time
Research and educational content only. Not investment advice.