Canara Robeco Asset Management Company Q2 FY27 results: net profit down 46.0% to ₹59.19 crore

How did Canara Robeco Asset Management Company perform in Q2 FY27?

Standalone revenue from operations was ₹121.59 crore in Q2 FY27, up 4.6% from ₹116.20 crore in Q1 FY27. Against the supplied Q2 FY26 comparison, revenue was lower by ₹107.13 crore, or 46.8%. Total income was ₹128.14 crore, down ₹17.70 crore, or 12.1%, from Q1 FY27.

EBITDA was ₹76.14 crore, up ₹3.34 crore, or 4.6%, from Q1 FY27, while the EBITDA margin was 62.6% against 62.7%. Profit before tax fell to ₹79.90 crore from ₹99.35 crore, and net profit fell to ₹59.19 crore from ₹75.60 crore. Basic EPS was ₹2.97, compared with ₹3.79 in Q1 FY27.

The company’s earnings release presented the results on a consolidated basis and reported revenue from operations of Rs. 1,216 Mn, up 17% year on year, with profit after tax of Rs. 592 Mn, up 22% year on year and down 22% sequentially. The figures used above are the standalone figures supplied for this article.

What changed in Canara Robeco Asset Management Company's costs and profit?

Total expenses were ₹48.24 crore in Q2 FY27, lower by ₹35.18 crore, or 42.2%, from the supplied year-ago comparison. Employee cost fell by ₹21.11 crore to ₹29.45 crore, finance costs declined by ₹0.31 crore to ₹0.66 crore, depreciation fell by ₹1.34 crore to ₹2.14 crore and other expenses were lower by ₹12.40 crore at ₹16 crore. There was no exceptional item.

Other income was ₹6.55 crore, up ₹5.92 crore from the supplied year-ago comparison, but down ₹23.09 crore from ₹29.64 crore in Q1 FY27. Tax expense was ₹20.72 crore, lower by ₹15.52 crore from the supplied year-ago comparison and by ₹3.03 crore from the previous quarter. The filings do not state a reason for the sequential fall in other income.

Profit before tax was ₹79.90 crore, down ₹19.45 crore from Q1 FY27, while net profit declined by ₹16.41 crore to ₹59.19 crore. The EBITDA margin narrowed by 0.1 percentage point from Q1 FY27 and by 2.9 percentage points from the supplied year-ago comparison.

What do the balance sheet and cash flow show?

Total assets increased to ₹913.61 crore on 30 September 2026 from ₹818.61 crore on 31 March 2026, while total equity rose to ₹835.55 crore from ₹745.82 crore. The company reported no borrowings on either date. Cash was ₹3.81 crore, compared with ₹2.18 crore, and trade receivables were ₹39.66 crore against ₹44.87 crore.

For H1 FY27, operating cash flow was ₹104.08 crore, compared with ₹70.32 crore in H1 FY26. Investing cash flow was negative ₹51.23 crore against negative ₹31.07 crore, financing cash flow was negative ₹51.21 crore against negative ₹30.99 crore, and capital expenditure was ₹1.04 crore against ₹3.69 crore.

How has Canara Robeco Asset Management Company done over the last 5 quarters?

Revenue increased from ₹109.77 crore in Q3 FY26 to ₹114.2 crore in Q4 FY26 and ₹116.2 crore in Q1 FY27, reaching ₹121.59 crore in Q2 FY27. Q2 FY26 was the highest in the supplied five-quarter series at ₹228.72 crore, while Q3 FY26 was the lowest at ₹109.77 crore.

Net profit was lowest at ₹41.36 crore in Q4 FY26, recovered to ₹75.60 crore in Q1 FY27 and then declined to ₹59.19 crore in Q2 FY27. The highest profit in the series was ₹109.69 crore in Q2 FY26. The EBITDA margin bottomed at 55.8% in Q3 FY26, peaked at 65.5% in Q2 FY26 and was 62.6% in Q2 FY27.

What else did the company announce?

The board approved the unaudited financial results for the quarter and half year ended 30 September 2026. The statutory auditors issued an unmodified opinion on the results. The same-day filings did not report a fund raise or any appointment.

The board declared an interim dividend of ₹2.00 per equity share, equal to 20% of the face value of ₹10 per share, for FY2026-27. The record date was fixed as 16 October 2026, and the company said the dividend would be paid within 30 days of the declaration.

What did Canara Robeco Asset Management Company's management say?

Management maintained revenue yields in the 35–40 basis points range and said the company preferred to focus on growth and additional volumes rather than yields alone. The company expects at least 2 new fund offerings before the end of March 2027, subject to regulatory approvals, including an equity fund, and plans to select 1–2 new business lines from passives, SIF, AIF and GIFT City over the next 6–12 months.

MD and CEO Rajnish Narula said the company was building the AMC for the long term and that quarter-on-quarter movements did not drive its medium- or long-term strategy. He also said the company was positive on Indian markets because the country had withstood global and domestic volatility well.

Management cited market volatility, SIP non-renewals following the ELSS tax change, maturity of vintage SIP books and regulatory portfolio overlap norms as risks. It reported closing AUM of ₹1.17 lakh crore, SIP AUM of ₹41,000 crore, B-30 AUM of ₹28,944 crore, 57,186 empanelled distributors and 29 branches.

How did Canara Robeco Asset Management Company shares react?

After the filing appeared after market hours, the stock was down 1.5% after 5 minutes, down 1.0% after 15 minutes and down 2.3% after 30 minutes. At the close of the first session that could trade on the results, it was down 0.1% from the pre-results close; by the next day's close, it was up 1.4%, and by the fifth session's close it was unchanged from the pre-results close.

The Asset Management Company industry median was up 0.1% on the reaction day, up 0.9% by the next day's close and down 1.5% by the fifth session's close. The stock therefore underperformed the industry median by 0.3 percentage points on the reaction day and by 1.5 percentage points over five sessions. Earlier results-day moves were up 4.7% on 21 July 2026, down 9.1% on 20 January 2026 and down 5.1% on 27 October 2025.