By HDFC Asset Management Company (HDFC AMC) reported a strong financial performance for the fourth quarter of fiscal year 2025, with a notable rise in both profit and revenue. The company’s standalone net profit climbed by 18% year-on-year (YoY), reaching ₹638 crore in Q4FY25, compared to ₹541 crore in the corresponding quarter last year.
The asset manager also saw a sharp increase in revenue, which surged by 30% YoY to ₹901 crore, up from ₹695 crore reported in the fourth quarter of FY24. The company’s operating profit for the quarter ended March 31, 2025, stood at ₹711.5 crore, reflecting a robust rise from ₹523.6 crore recorded during the same period a year earlier.
Operational Performance
Operating profit for the quarter ended March 31, 2025, stood at ₹711.5 crore, up from ₹523.6 crore a year earlier — marking a healthy 36% rise. Despite a sequential drop from ₹642 crore reported in Q3FY25, HDFC AMC’s quarterly earnings remain strong overall, reflecting its consistent business performance.
Other income declined by 20% YoY to ₹124 crore in Q4FY25 from ₹155 crore in Q4FY24, likely due to lower returns from treasury operations or changes in investment income. Meanwhile, total expenditure grew 11% year-on-year to ₹189.6 crore, in line with business expansion and increasing operating activities.
Slight Dip in Sequential Profit
While the year-on-year figures reflect strong growth, there was a minor drop in profit on a sequential basis. The net profit in Q3FY25 (October–December 2024) was ₹642 crore, slightly higher than the Q4FY25 figure of ₹638 crore.
Other income for the quarter declined to ₹124 crore from ₹155 crore in the year-ago period, marking a dip of over 20%. Meanwhile, total expenses saw an upward trend, rising by 11% YoY to ₹189.6 crore during the quarter.
Dividend Payout
In a significant announcement for shareholders, the board of HDFC AMC recommended a final dividend of ₹90 per equity share with a face value of ₹5 for the financial year ending March 31, 2025. This final dividend will be subject to approval by shareholders at the upcoming Annual General Meeting (AGM).
Earlier in the fiscal year, the company had already disbursed an interim dividend of ₹70 per share. If approved, the final dividend will be paid out in accordance with applicable regulatory timelines following the AGM.
In its regulatory filing with the stock exchanges, HDFC AMC stated: “The board has recommended a final dividend of ₹90 per equity share of ₹5 each for the financial year ended March 31, 2025, subject to shareholder approval at the ensuing Annual General Meeting. Upon approval, the dividend will be distributed within the required time frame.”
Core Business and Market Response
HDFC AMC provides asset management services through HDFC Mutual Fund and also manages alternative investment funds. Additionally, the company offers portfolio management and investment advisory services to a broad client base.
Following the announcement of the financial results, the company’s stock gained momentum and closed over 2% higher on the Bombay Stock Exchange (BSE), ending the day at ₹4,216 per share.
Summary of Key Financials (Q4FY25 vs Q4FY24)
| Metric | Q4FY25 | Q4FY24 | Change (YoY) |
|---|---|---|---|
| Net Profit (Standalone) | ₹638 crore | ₹541 crore | +18% |
| Total Revenue | ₹901 crore | ₹695 crore | +30% |
| Operating Profit | ₹711.5 crore | ₹523.6 crore | +35.9% |
| Other Income | ₹124 crore | ₹155 crore | -20% |
| Total Expenses | ₹189.6 crore | ~₹171 crore (est.) | +11% |
| Final Dividend Recommended | ₹90 per share | ₹70 (interim paid) | – |
With this performance, HDFC AMC has demonstrated strong growth and profitability, despite a marginal dip in sequential profits. The rise in revenue and operating profit indicates the company’s ability to manage costs efficiently while growing its core business. The attractive dividend payout further enhances shareholder value.
As India’s mutual fund industry continues to expand and retail participation grows, HDFC AMC appears well-positioned to capitalize on the rising demand for investment management and wealth advisory services.
