. BSE: In line revenue, PAT misses our estimate due to a MTM loss (BSE IN, Mkt Cap USD1.2b, CMP INR687, TP INR680, 1% Downside, Neutral) BSE reported an operating revenue growth of 13% YoY (down 10% QoQ) to INR1.7b in 1QFY23. Revenue was broadly in line with our estimate. Operating expense stood at INR1.3b in 1QFY23, 2% higher than our estimate, on account of higher technology cost. PAT fell 23% YoY and 44% QoQ to INR400m in 1QFY23. While BSE has multiple levers for growth from a surge i...
BSE: Strong beat led by higher market share (BSE IN, Mkt Cap USD0.9b, CMP INR1417, TP INR1800, 27% Upside, Buy) BSE reported a strong operational revenue growth of 42% YoY in 2QFY22. The revenue beat to our estimate was led by a 15% YoY increase in equity transaction charges on account of strong volumes and market share gains. Revenue from the Star MF platform rose 22% YoY in 1HFY22. Overall volumes (number of orders) saw a 99% YoY increase in 2QFY22. BSE continues to command strong mark...
BSE: Strong performance; better outlook (BSE IN, Mkt Cap USD0.7b, CMP INR1218, TP INR1430, 17% Upside, Buy) BSE reported strong operational revenue growth of 48% YoY in 1QFY22. Growth was led by a 180% YoY increase in equity transaction charges - on account of strong volumes and an increase in transaction pricing (by 10%). This was partially offset by revenue decline in Star MF on moderation in realization on the platform on a YoY basis. The robust increase in margins was the function of ...
Full Article at IIR has reaffirmed its Recommended rating for PIA after undertaking a review post the appointment of a new Portfolio Manager, Harding Loevner. The full report can be found on the IIR website. On 26 July 2021, Pengana International Equities Limited (PIA) announced a fully franked dividend of 1.35 cents per share for the June quarter. This represents an 8% increase on the March quarter dividend and takes the total dividends declared for FY21 of 5.1 cents per share, fully franked....
BSE: Operational miss led by market volatility (BSE IN, Mkt Cap USD0.4b, CMP INR569, TP INR720, 26% Upside, Buy) Star MF remains the key Equity cash volumes increased marginally QoQ in 3QFY20. Revenue was largely driven by strong traction in the Star MF platform and the decent performance in corporate services. In Dec'19, BSE monetized 4% stake in CDSL, which resulted in higher reported PAT. Our EPS estimates over FY20-22 are largely unchanged. Reiterate Buy. Miss at operational l...
BSE: Underperformance led by market volatility (BSE IN, Mkt Cap USD0.3b, CMP INR541, TP INR750, 39% Upside, Buy) Muted performance due to lower transaction income: Operating revenue declined 3% YoY in 2QFY20, with the EBITDA margin crashing to -5.3% (-800bp QoQ) from the levels of >20% two years ago, given the operating leverage in the business and higher other expenses. PAT before the share of profits from CDSL declined 20% YoY to INR368m. The impact from lower operational income was partia...
BSE: Star MF – key revenue driver; Operating profit misses estimate (BSE IN, Mkt Cap USD0.4b, CMP INR481, TP INR650, 35% Upside, Buy) Below estimate on low listing charges, high other expenses: 1QFY20 operating revenue declined 8% YoY (missing our est. of 10% growth). EBITDA margin was at 2.6% (slight improvement sequentially), as against >20% level two years ago, given lower volumes and operating leverage in the business. PAT before share of profits from CDSL, declined 20% to INR414m (we...
BSE: Buyback and dividend make for 18% yield (BSE IN, Mkt Cap USD0.5b, CMP INR637, TP INR750, 18% Upside, Buy) Admin expenses drag profitability: FY19 operating revenue declined 9% YoY with EBITDA margin crashing to 5.3% (from 23% in FY18), given the operating leverage in the business. PAT before share of profits from CDSL, declined 24% to INR1.65b. 4QFY19 operating revenues (excluding treasury income), was down 19% YoY to INR1.13b (but better than our est. of INR1.05b). However, operatin...
BSE: PAT dragged by market volumes; one-time expenses; Star MF could possibly move the needle (BSE IN, Mkt Cap USD0.4b, CMP INR588, TP INR750, 28% Upside, Buy) Below estimate on low transaction charges: BSE’s 3QFY19 consolidated operating revenues declined 22% YoY to INR1.02b, below our estimate of INR1.07b. The miss was on account of lower-than-expected transaction charges. EBITDA at -INR93m was below our estimate of INR93m, but included one-time charges totaling INR120m from (a) provisi...
BSE: Subdued markets weigh upon earnings; Emergence of new revenue streams like MF platform is positive (BSE IN, Mkt Cap USD0.6b, CMP INR822, TP INR950, 15% Upside, Buy) 1QFY19 results below expectations: BSE’s 1QFY19 consol. revenue grew 8% YoY to INR1.19b, below our estimate of INR1.21b, led by (i) a 14% YoY decline in transaction charges because of depreciation in small and midcap equities and (ii) lower book-building charges due to lower new issues. EBITDA margin of 16.3% missed our e...
BSE: Earnings reflective of FY18 market momentum; Emergence of new revenue streams like MF platform is positive (BSE IN, Mkt Cap USD0.9b, CMP INR818, TP INR1000, 22% Upside, Buy) 4QFY18 results exceed expectations: BSE's 4QFY18 consol. revenue grew 25% YoY to INR1.39b (excl. investment income), above our estimate of INR1.2b, led by continued growth in Services to corporates (+30% YoY). However, EBITDA margin of 20.1% missed our estimate by 130bp due to a surge in other expenses (incl. reg...
BSE: Going anti-tide, pro-value; Upgrading to Buy (BSE IN, Mkt Cap USD0.9b, CMP INR788, TP INR1070, 36% Upside, Buy) BSE has started charging 32 of the 37 asset management companies (AMCs) for services through its mutual fund (MF) platform. This could be an INR150m-200m revenue opportunity in the next fiscal; however, being the first year, we are currently modeling INR100m revenues from the segment. With ~50% of equity transaction revenues from exclusive segments, dependence on equity tr...
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