Nippon Life India Asset Management Q2 FY27 Results: Consolidated Net Profit ₹324 Crore on Total Income of ₹819 Crore

Summary

Figures are in ₹ crore; YoY compares with Q2 FY26 and QoQ with Q1 FY27. Click Total income or Net profit to see the rows behind them.

Net profit fell 5.9% YoY while total income rose 17.9%, so the gap between income and profit widened this quarter. Revenue from operations rose 20.9% to ₹795.75 crore, while other income fell 36.8% to ₹23.14 crore. Other income was 2.8% of total income this quarter, against a much larger share in the prior quarter, when it was ₹170.21 crore.

The quarter includes an exceptional item of ₹96.76 crore, which the filing says relates to the SEBI show cause notice on investments in Yes Bank AT-1 bonds. It comprises ₹89.08 crore of management fees earned on the investments, with interest, and ₹7.68 crore of settlement amounts for the company and its officials. Profit before tax after this item was ₹449.80 crore, against ₹455.51 crore a year earlier. Tax was 27.9% of profit before tax, up from 24.4%.

Finance costs of ₹1.64 crore are 0.2% of total income this quarter, so financing is a very small part of the cost base. Depreciation rose 40.7% YoY to ₹12.41 crore. The filing does not give a reason for the rise in depreciation.

Figures are in ₹ crore; YoY compares with Q2 FY26 and QoQ with Q1 FY27. Click Total income or Net profit to see the rows behind them.

Standalone total income rose 18.0% YoY to ₹765.63 crore, and revenue from operations rose 22.1% to ₹746.80 crore. Net profit fell 6.4% to ₹316.70 crore. Standalone net profit fell by more than consolidated net profit in percentage terms over the year, and the consolidated figure is ₹7.67 crore higher than the standalone figure.

The standalone exceptional item is the same ₹96.76 crore. Standalone profit before tax after this item was ₹441.01 crore, and tax expense was ₹124.31 crore, or 28.2% of profit before tax. Standalone EPS was ₹4.95, down 7.1% YoY.

Profit fell faster than income on a quarter-on-quarter basis: net profit was down 35.6% consolidated and 34.9% standalone, against total income down 12.6%. The prior quarter's other income of ₹170.21 crore consolidated is the main difference in the base. The filing does not explain why other income was so much higher in the prior quarter.

The media release describes Q2 FY27 operating profit of ₹5.23 billion, up 25% YoY, and profit after tax of ₹3.24 billion, down 6% YoY. It also calls the operating profit the highest ever for a quarter. The reported profit figures in the statements are in a different measure from operating profit, and the filing does not reconcile the two.

The board approved an interim dividend of ₹9.50 per share with a record date of 28 Oct 2026 and payment on and from 5 Nov 2026. The auditor's review report on both sets of results is unmodified and draws attention to the SEBI settlement note.

Inference

The results show a quarter of lower profit than the year-earlier quarter despite higher revenue from operations. The filing does not explain the fall in profit after tax while revenue from operations rose, nor the reason other income was much higher in the prior quarter.

The interim dividend of ₹9.50 per share is declared for the record date of 28 Oct 2026. The filing does not state its total payout, though it can be estimated from EPS and profit. The company says the SEBI settlement is at an in-principle stage with the settlement order awaited, and it does not give the timing or any further amount. The company says any recovery from the Supreme Court judgment will accrue to unitholders and will not affect its results; the filing does not state how much, if any, that recovery would be.

Reference: Original filing (PDF)