Shares of Canara Robeco Asset Management Company fell 10% to ₹315.90 apiece on Tuesday after the firm posted a disappointing September quarter (Q2 FY25) performance on Monday.
Despite recent gains — over 6% in the past month and nearly 5% in six months — the stock came under pressure as earnings failed to meet expectations.
Q2 Financial Highlights
- Revenue: Down 11% sequentially to ₹107.7 crore.
- EBITDA: Fell 17% QoQ to ₹17 crore.
- EBITDA Margin: Declined by 440 basis points to 63% (from 68% in June).
- Net Profit: Dropped 20% quarter-on-quarter, mainly due to higher operational expenses.
- Profit Before Tax: ₹6,605.22 lakh, down 0.3% YoY and 17.3% QoQ.
- Profit After Tax (PAT): ₹4,871.33 lakh, a 2.7% YoY and 20.1% QoQ decline.
- Earnings Per Share (EPS): Fell to ₹2.44, from ₹2.51 a year earlier.
- Total Comprehensive Income: ₹4,828.46 lakh, marking a 3% YoY decrease.
New Fund Plans and AUM Update
The company announced plans to launch two new mutual fund schemes — the Canara Robeco Innovation Fund and the Canara Robeco Banking & Financial Services Fund — subject to SEBI and regulatory approvals and favourable market conditions.
As of September 2025, the company’s Assets Under Management (AUM) stood at ₹1.17 lakh crore, while it reported revenue of ₹121.3 crore and net profit of ₹61 crore for the period.
Founded in 1993, Canara Robeco AMC evolved from Canbank Mutual Fund (established in 1987) and operates as a joint venture between Canara Bank and Orix Corporation Europe N.V., formed in 2007.
