DAM Capital Advisors announced its quarterly results for the period ending 31 December 2024. The DAM Capital Q3 results clearly highlight the company’s dominance in the finance world, with its net profit soaring by a significant 144% year-over-year, hitting INR 51.5 crore compared to INR 21 crore last year. As for income, it leapt 132% to INR 104 crore from INR 45 crore.
DAM Capital Q3 Results at a Glance
The Q3 FY25 results reflect DAM Capital’s strong market positioning and operational efficiency:
- Net Profit: Soared 144% YoY to INR 51.5 crore, a significant increase from INR 21 crore in Q3 FY24.
- Total Income: Jumped 132% YoY to INR 104 crore, driven by robust performance in key business segments.
- Merchant Banking Revenue: Grew 168% YoY to INR 80.4 crore, contributing 77% to the total income and underscoring the strength of the company’s investment banking services.
- Stock Broking Revenue: Recorded a steady 52% YoY growth, reaching INR 20.4 crore for the quarter.
- Return on Equity now stands at 60.9% for the first nine months of FY25, up from 45% last year. That’s a testament to their efficiency.
- Net Cash Position has climbed to INR 237.8 crore from INR 198 crore, showing the company is not just profitable but also liquid.
On a quarter-to-quarter basis – total revenue increased by 64% from INR 63 crore in September 2024. However, the stock broking side saw an 11% drop this quarter due to the market’s violent swings, going from INR 23 crore to INR 20 crore.
Milestones and More in FY25
DAM Capital is active in other areas too:
- Managed 17 transactions, raising close to INR 20,000 crore. That includes 5 IPOs, 4 QIPs, and various other financial maneuvers.
- The company’s prominence in the equity capital markets is further strengthened by the fact that it has a substantial pipeline of 18 IPOs in the works, leading 12 of them and managing just 4.
Market Reaction
Despite the good news, the stock market hasn’t reacted positively yet. On 24 January 2025, the company’s shares closed at INR 278, down 2.37% from the day before, and below their IPO price of INR 283. It’s trading 40% below its peak of INR 456. Yet, analysts are keeping faith, banking on the company’s strong fundamentals and upcoming deals to turn things around.
Looking Ahead
DAM Capital’s strategy is all about doubling down on investment banking and equity markets. With such a robust pipeline and a focus on financial strength, the company is setting the pace for where the financial services in India are headed. Dam Capital’s ability to adapt to market shifts and capitalize on new opportunities paints a promising picture for investors and clients alike. In essence, while the stock might not reflect it yet, DAM Capital is shaping up to be a key player in India’s financial landscape, ready to tackle whatever comes next.
DAM Capital Advisors made its primary market debut on 27 December 2024, the issue was completely an offer for sale with an issue size of INR 840.25 crore. The stock was listed at an impressive premium of 46.68%.
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