KFin Technologies Reports Robust Q1 FY26 Results with Broad-Based Growth and Strong Margins

KFin Technologies Limited has announced its financial results for the quarter ending June 30, 2025, showcasing solid growth across business verticals, strategic deal wins, and continued operational efficiency.

Key Financial Highlights – Q1 FY26

• Revenue from operations stood at ₹2,740.6 million, reflecting a 15.4% year-on-year increase, with core revenue growth at 19.4% y-o-y.

• EBITDA reached ₹1,138.6 million, up 14.2% y-o-y, maintaining a strong EBITDA margin of 41.5%.

• Profit After Tax (PAT) rose to ₹772.6 million, an increase of 13.5% y-o-y, with a PAT margin of 28.2%.

• Diluted EPS came in at ₹4.45, up 13.0% y-o-y.

• The company held cash and cash equivalents of ₹7,500.0 million as of June 30, 2025.

Operational Highlights

KFin Technologies delive

KFin Technologies Limited has announced its financial results for the quarter ending June 30, 2025, showcasing solid growth across business verticals, strategic deal wins, and continued operational efficiency.

Key Financial Highlights – Q1 FY26

• Revenue from operations stood at ₹2,740.6 million, reflecting a 15.4% year-on-year increase, with core revenue growth at 19.4% y-o-y.

• EBITDA reached ₹1,138.6 million, up 14.2% y-o-y, maintaining a strong EBITDA margin of 41.5%.

• Profit After Tax (PAT) rose to ₹772.6 million, an increase of 13.5% y-o-y, with a PAT margin of 28.2%.

• Diluted EPS came in at ₹4.45, up 13.0% y-o-y.

• The company held cash and cash equivalents of ₹7,500.0 million as of June 30, 2025.

Operational Highlights

KFin Technologies delivered exceptional performance across its service segments:

• Mutual Fund Services: Total AAUM grew 23.0% y-o-y, outpacing the industry’s 22.3%. The equity AAUM saw a 21.7% y-o-y growth. The company’s market share now stands at 32.5% overall and 33.0% in equity AAUM.

• Issuer Solutions: Added 8,802 new corporate clients. Market share in NSE500 companies rose to 50.8%. New mandates included names like Meesho, Pine Labs, and Prestige Hospitality Ventures.

• New Mandates & Wins: Secured RTA mandates from Abakkus Asset Managers, Marcellus Investment Managers, and Wealth Company Asset Management (Pantomath). It also bagged a deal for digital asset development and five maiden clients in its newly launched KRA business.

• International Business: Number of clients climbed to 824; AAUM rose 33.5% y-o-y to ₹0.9 trillion. KFintech won a full-service FA & TA deal in Malaysia, an LOI from a corporate treasury desk, and a maiden deal for its mPowerWealth platform in the Philippines. It onboarded five new funds in GIFT City, taking the total to 35.

• Alternate Investment Funds (AIFs): Market share stood at 37.0%, with AAUM reaching ₹1.6 trillion (up 38.1% y-o-y). It onboarded 23 new AIF funds, including from Tata AMC and Multiples. Additionally, KFintech secured tech deals for its Order Management System and fund admin platforms from major institutions.

• Pension Solutions: The NPS subscriber base expanded to 1.67 million, marking a 32.2% y-o-y growth against the industry’s 12.7%. Market share in the overall subscriber base increased to 9.9%, up from 8.4% a year earlier.

CEO Commentary

Sreekanth Nadella, Managing Director and CEO of KFin Technologies, remarked:

“It has been an eventful quarter with several initiatives coming to fruition. Amidst global uncertainty, we posted a strong performance and are well-positioned for further growth. Our traditional businesses—mutual funds and issuer services—grew in line with industry benchmarks, while newer verticals like global fund administration, AIF and wealth solutions, and pensions showed rapid acceleration, with a 29% y-o-y revenue growth.

As we await regulatory approval for our integration with Ascent Fund Services, we are proud to share that the business continues to grow at a 35% CAGR. Our second Centre of Excellence in Vijayawada will focus on building cloud-native mobility solutions infused with AI.

The launch of KRA solutions with AI integration and the global success of mPowerWealth underscore our capability to deliver transformative platforms. Products like IRIS and Swiftflow further demonstrate our vision to redefine the fintech landscape globally. At KFintech, our mission is to remain agile and ahead of the curve while ensuring sustainable, responsible growth.”