Highlights:

Mutual fund industry exhibited stable performance in Q4FY2022. The growth on yoy basis was led by equity and passive funds, while fixed income assets saw marginal fall. The net flows in equities grew at a strong pace in FY22.

The mutual fund industry performance is mainly driven by retail and HNI investments.

The industry base of unique investors has increased 10% yoy to 34 million end March 2022. However, the unique investor base accounts for just 3-4% of population.

The company expects industry to maintain growth momentum.

The focus of the company is to be future ready to capture future opportunities. The company continued focus on regaining market share and improved market share by 26 bps in FY2022 to 7.38% on MF QAAUM basis.

The company has delivered highest ever net profit of Rs 740 crore, up 9%, in FY2022.

The MF QAAUM has increased 24% to Rs 283300 crore end March 2022.

The company added 7 million investors in FY2022. The company has the largest customer base of 17 million. The market share in industry unique investor base has increased sharply to 36% or 12 million end March 2022 from 30% end March 2021.

The company has continued to expand product suite meeting customer needs. As per the company, about 11 schemes are filed for regulatory approvals.

The focus is on asset growth but not at cost of profitability

The company has one of the largest retail assets in the Industry, at Rs 76438 crore. Retail assets contributed 28% to AUM compared to 23% for industry.

AUM of Rs 47825 crore came from ‘Beyond the Top 30 cities' category, which accounted for 17.2% of AUM against 16.6% for the Industry.

Individual AUM was Rs 138133 crore and contributed 50% to company's AUM.

The company is one of the largest ETF players with AUM of Rs 58883 crore and a market share of 14%.

The company has geographical presence at over 270 locations pan India, and is amongst the highest in the industry.

About 56% of AUM is contributed directly.

The company has base of 84400 distributors end March 2022 with 22 digital partners.

The digital purchase transactions increased to over 30 lakh - an increase of 63% as against FY2021. Digital channel contributed 58% to total new purchase transactions.

The company has posted strong 46% growth in the operating profit, while the operating profit to AUM margin has improved from 25 bps to 28 bps in FY22.

The company aims to create sustainable value and focus on cost initiatives and diversifying revenue streams.

The non-MF revenues increased 19% and contributed 11% of consolidated core profit of the company.

The company has announced highest ever dividend of Rs 11 per share in FY2022

The company expects to continue profitable growth in the future.

The company expects to maintain profit to revenue ratio at 50% ahead.

Any pressure on yield would be taken care by operating leverage.

The revenue growth in Q4FY2022 was impacted due to lesser number of working days.