CDSL’s profit grows 24% as demat accounts expand

Central Depository Services (India) Limited (NSE: CDSL) reported Q2 FY27 consolidated net profit of ₹173 crore, up 24% year-on-year. Revenue increased 23.7% to ₹395 crore. What happened? The depository continued to benefit from the expansion of India's investor base. Key numbers from the September quarter: Consolidated EBITDA increased to ₹229 crore. EBITDA margin expanded to 58%, compared with 56% a year earlier. Approximately 75 lakh new demat accounts were opened during the quarter. Assets under custody crossed ₹89 lakh crore. For the first half of FY27, consolidated net profit increased 20% to ₹291 crore, while total income grew 19% to ₹758 crore. My analysis CDSL represents a different way to participate in India's capital-market growth. Brokerages depend heavily on trading activity and transaction volumes. A depository benefits from a broader ecosystem: new demat accounts, securities held in custody, corporate actions and transaction-related services. The 24% profit growth, accompanied by margin expansion, suggests that the business is still benefiting from operating leverage.