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HDFC AMC - Q3FY21 First Cut - ICICI Direct

Posted On : 2021-01-21 11:04:42( TIMEZONE : IST )

(CMP - Rs. 3208, MCap - Rs. 68330 crore)

HDFC AMC reported decent overall performance with AUM showing improving trajectory.

Q3FY21 Earnings Summary

- Industry AUM increased from Rs. 26.9 lakh crore as of Q2FY21 to Rs. 31 lakh crore as of Q3FY21, largely led by pick up in non-equity inflows. Equity related AUM increased by 12% YoY at Rs. 12.2 lakh crore, proportion of equity AUM stood at 39% as against 41% YoY. Debt schemes witnessed healthy traction at ~31% YoY. SIP inflows increased sequentially from Rs. 7800 crore to Rs. 8400 crore.

- HDFC AMC's AUM saw a growth of 10.3% YoY to Rs. 406800 crore (14.7% QoQ), mainly driven by 40% YoY rise in debt AUM to Rs. 155300 crore. Non-equity oriented AUM increased by 21% YoY to Rs. 242200 crore and now form 59% of total AUM.

- HDFC AMC has witnessed slight decline in market share from 13.9% in Q3FY20 to 13.1% in Q3FY21. Equity AUM market share also declined from 15.6% in Q3FY20 to 13.4% in Q3FY21.

- Income from operations declined by 8.2% YoY to Rs. 481 crore, while other income jumped by 68% YoY to Rs. 113 crore. Cost were kept under control with opex declining by 10.9% YoY. Net profit for the quarter stood at Rs. 369 crore, up 4.7% YoY and 8.7% sequentially.

- SIP inflows remained steady at Rs. 910 crore in Dec'20 compared to Rs. 900 crore in Sep'20. SIP book market share declined further from ~11.5% in Q3FY20 to ~10.8% in Q3FY21 (market shares calculated). Sourcing of business from direct channel continued to remain robust at 49.2% in Q3FY21 vs 41.7% in Q3FY20.

Recent revival in equity market supported business growth, though sustainability needs to be watched ahead.

Shares of HDFC Asset Management Company Ltd was last trading in BSE at Rs.3208.85 as compared to the previous close of Rs. 3206.75. The total number of shares traded during the day was 28439 in over 3264 trades.

The stock hit an intraday high of Rs. 3240.1 and intraday low of 3181.8. The net turnover during the day was Rs. 91479423.