KFin Technologies shares in focus after announcing robust Q3 results; Check details

Synopsis: The shares of this capital market company rose 7.4 percent on strong Q3, driven by 28 percent YoY revenue growth, international expansion, new RTA deals, alternate funds, and rising NPS subscriber base.

The share of this company, which acts as a Registrar & Transfer Agent for mutual funds, corporates, and alternative investment funds (AIFs). It provides services including investor servicing, transaction management, compliance solutions, and data analytics are in focus after strong Q3.

With the market capitalization of Rs 17,263 crore, KFin Technologies Ltd’s shares on Monday made a day high of Rs 1,040.25 per share, up by 7.4 percent from its previous day’s closing price of Rs 968.10 per share. The share trades at P/E of 49x, around the same as the industry P/E of 47.2x.

Results highlights

QoQ View: The revenue from operations grew by 20 percent to Rs 371 crore in Q3 FY26 from Rs 309 crore in Q2 FY26, and EBIDT grew by 11.8 percent to Rs 152 crore in Q3 FY26 from Rs 136 crore in Q2 FY26. Accompanied by a net profit decline of 1.4 percent to Rs 92.0 crore in Q3 FY26 from Rs 93.3 crore in Q2 FY26.

YoY View: The revenue from operations grew by 28 percent to Rs 371 crore in Q3 FY26 from Rs 290 crore in Q3 FY25, and EBIDT grew by 16 percent to Rs 152 crore in Q3 FY26 from Rs 131 crore in Q3 FY25. Accompanied by a net profit growth of 8 percent to Rs 92.0 crore in Q3 FY26 from Rs 90.2 crore in Q3 FY25, resulting in an EPS growth of 2 percent to Rs 5.33 per share in Q3 FY26.

Business highlights

The company’s overall AAUM grew 17.9 percent YoY, slightly below the industry’s 18.1 percent, with a market share of 32.5 percent. Equity AAUM grew 15.3 percent YoY vs. 17.8 percent for the industry. The firm secured RTA deals from Nuvama Wealth and Monarch Networth, and won two SIF mandates from AMC clients.

International client base expanded to 428, with overall AUM rising 325.3 percent YoY to US$40.9 billion. Ascent added 47 new funds, while KFintech SEA secured 7 deals, including pension administration in the Philippines, digital solutions in Malaysia, and full-suite fund administration in Bahrain.

Alternate funds reached 669 with 39 percent market share and Rs 1.8 trillion AUM, adding 25 new AIF funds. NPS subscribers grew 34.1 percent YoY to 2 million, outperforming the industry’s 12.7 percent growth. Market share in overall subscribers increased to 11.2 percent from 9.4 percent last year.

KFin Technologies Limited is a leading technology-driven financial services platform. The company provides services and solutions to asset managers and corporate issuers across asset classes in India and provides several investor solutions including transaction origination and processing for mutual funds and private retirement schemes in Malaysia, the Philippines and Hong Kong.

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