Market Performance
Kfin Technologies' share price witnessed a strong rally on Tuesday, rising 5% after the company announced its Q4 FY25 financial results.
As of 9:40 a.m. on April 29, KFin Technologies' shares were trading at ₹1,299 apiece on the National Stock Exchange (NSE).
In the past month alone, the stock has posted an impressive growth of 23.86%, showcasing strong investor confidence.
The company has also announced a final dividend of ₹7.50 per share has been declared for the fiscal year 2024-25
Main News
The surge in KFin Technologies' share price is due to robust earnings for the fourth quarter of FY25.
Here's a quick snapshot of their financial performance:
Revenue
- Revenue from operations rose 23.8% year-on-year (YoY).
- The company posted ₹282.7 crore in Q4 FY25, compared to ₹228.3 crore in the same quarter last year.
EBITDA
- EBITDA climbed by 16.9% YoY to ₹122.2 crore, up from ₹104.5 crore in Q4 FY24.
EBITDA Margins
- Despite the growth in EBITDA, the EBITDA margin saw a slight dip, standing at 43.2%, compared to 45.8% in the previous year.
- The margin compression was primarily due to a rise in operating expenses.
Net Profits
- Consolidated net profit rose by 14.3% YoY, reaching ₹85 crore compared to ₹74.5 crore a year earlier.
Company Details
KFin Technologies highlighted the year's achievements, emphasizing strong revenue, profitability, and cash flow performance.
The company's business expansion was notable not only in India but also across Southeast Asia.
It recorded significant client acquisitions and market share gains in both regions.
One of the significant milestones for the year was the successful acquisition of Ascent Fund Services, a company with:
- A multi-jurisdiction presence
- A diversified client base
- A well-experienced operational team
This acquisition is expected to bolster KFin Technologies' growth trajectory, especially with its partnership with BlackRock's Aladdin Provider Network.
Summary
Kfin Technologies' share price continues to gain momentum, supported by a strong financial performance in Q4 FY25 and strategic business expansions.
The company's practical focus on executing growth strategies, backed by technological advancements and key acquisitions, has positioned it well for future market leadership.
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