CDSL Q2 FY27: Profit +24%, IPO Fees Drive Growth

📊 Depository major

reported Q2 FY27 numbers and the stock moved over 6% intraday on 3 Nov. Here is what the quarter actually shows: ✅ Revenue from operations: ₹394 Cr vs ₹319 Cr, up about 24% YoY ✅ Net profit: ₹173.9 Cr vs ₹140.2 Cr, up about 24% YoY (and about 47% QoQ) ✅ EBITDA ₹227 Cr, margin 57.6% vs 55.8% a year ago ✅ Demat accounts: 19.34 Cr vs 16.51 Cr; about 75 lakh net additions in the quarter ✅ Biggest driver: IPO and corporate-action fees rose to about ₹102 Cr from ₹62 Cr, helped by a busy primary market What to track before forming a view: 🔍 IPO-linked income is event-driven and may not repeat every quarter 🔍 Technology costs rose to about ₹52 Cr from ₹38 Cr 🔍 KYC fee cuts from April 2026 are pressuring the data business 🔍 Valuation was rich at roughly 50x trailing earnings before the results Key learning: in market-linked businesses, separate recurring income (annual issuer fees, transaction charges) from one-off spikes (IPO fees) to judge earnings quality. 💬 Do you think the IPO wave can keep depository income growing in H2 FY27? Share your view in the comments. 📲 For daily market notes, search "Neha Gupta SEBI RA" on Telegram and join the FREE channel. Neha Gupta | SEBI Registered Research Analyst | Reg. No. INH000016542 ⚠️ Disclaimer: This content is for educational purposes only and is not investment advice or a buy/sell recommendation. Investments in the securities market are subject to market risks. Read all related documents carefully before investing.