Computer Age Management Services Ltd (CAMS) Q1 FY27 Results Analysis: EBITDA Margin Expands 271 bps, Revenue Grows 11.5%

Computer Age Management Services Ltd's Q1 FY27 numbers came in strong, with revenue of Rs. 395.03 Cr (+11.54% YoY) and PAT growth of +17.35% YoY. Here's a quick read of what worked, what to watch, and what management said.

Quarter Snapshot

CAMS delivered strong Q1 results with 11.5% revenue growth and 271 bps EBITDA margin expansion, driven by operating leverage and subsidiary growth. The company met its EBITDA margin guidance of 45%+ and declared an interim dividend. Non-MF diversification is gaining traction, but the effective tax rate increased slightly.

Key Investment Insights

Key Positives

• Revenue grew 11.54% YoY to Rs.395.03 crore.
• PAT to owners grew 17.35% YoY to Rs.128.02 crore.
• EBITDA margin expanded 271 bps YoY to 46.20%, the highest Q1 margin.
• Employee costs grew only 1.00% YoY, driving operating leverage.
• Subsidiary PAT contribution increased 59% YoY to Rs.6.20 crore, reflecting non-MF diversification.
• Interim dividend of Rs.2.50 per share declared.

Risk Factors

• Effective tax rate increased to 26.55% from 25.17% YoY, reducing net margin benefit.