ICICI AMC profit falls as other income drops despite 7% revenue growth
Standalone operating margin edged up as revenue growth outpaced expenses, but other income fell 90.65% sequentially and diluted profit.
Filed 12 Oct 2026, 17:42 IST · after market close · ICICI Prudential Asset Management Co Ltd (ICICIAMC)
Key takeaways
- Standalone revenue grew 7.00% sequentially, ahead of the 6.31% increase in expenses, lifting operating margin by 0.18 percentage points.
- Net profit fell 7.84% sequentially to Rs 888.96 cr as other income dropped 90.65% and the tax rate rose 1.10 percentage points.
- Operating margin recovered to 72.59% from 72.41% but remained below 75.29% in Q3FY26 and 76.47% in Q4FY26.
Price around the results
Revenue momentum did not carry through to net profit
ICICI Prudential Asset Management’s standalone revenue rose 7.00% sequentially, while operating profit increased 7.27%. That operating improvement did not translate into net profit growth because other income fell from Rs 180.80 cr to Rs 16.91 cr, taking profit before tax down 6.48% and net profit down 7.84%. Other income was only 1.41% of current-quarter profit before tax, so the prior quarter had an unusually larger contribution from this line.
Costs stayed below revenue growth, but margins remain below earlier levels
Expenses increased 6.31% sequentially against 7.00% revenue growth, supporting a 0.18 percentage-point expansion in operating margin. Interest was nearly unchanged, rising 0.21%, while depreciation increased 4.88%. The margin has recovered slightly from 72.41% in Q1FY27, but remains below 75.29% in Q3FY26 and 76.47% in Q4FY26, so the earlier downtrend has not been fully reversed.
Management highlighted digital-stack modernisation
Management said the company is modernising its digital stack across mutual-fund portals and apps, a service desk and search capabilities. The presentation also said the programme includes a marketing chatbot, WhatsApp, calculators and automation. These initiatives were described by the company as part of its digital modernisation effort, rather than as quantified contributors to this quarter’s revenue.
Results filed after close; historical stock moves have leaned negative
The results were filed after market close on 12 October 2026, so there is no post-result market reaction to assess yet. After its last three results, the stock rose once and fell twice, with a median absolute move of 3.95%; the recorded moves ranged from -3.95% to +7.29%.
Q2FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹1,674 cr | ₹1,564 cr | +7.00% |
| Other income | ₹17 cr | ₹181 cr | -90.65% |
| Expenses | ₹459 cr | ₹432 cr | +6.31% |
| Operating profit | ₹1,215 cr | ₹1,133 cr | +7.27% |
| Operating margin (%) | 72.59% | 72.41% | — |
| Interest | ₹5 cr | ₹5 cr | +0.21% |
| Depreciation | ₹29 cr | ₹28 cr | +4.88% |
| Profit before tax | ₹1,198 cr | ₹1,281 cr | -6.48% |
| Tax | ₹309 cr | ₹316 cr | -2.30% |
| Net profit | ₹889 cr | ₹965 cr | -7.84% |
| EPS (₹) | ₹17.99 | ₹19.52 | -7.84% |
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
New initiatives
- The company is modernizing its digital stack with MF portals, MF apps, a service desk and search capabilities.
- The digital modernization includes a marketing chatbot, WhatsApp, calculators and automation.
What to watch
- Whether operating margin holds above 72.59% after the recovery from 72.41% in Q1FY27.
- Whether revenue growth remains ahead of expense growth after +7.00% versus +6.31% sequentially.
- Whether other income remains close to 1.41% of profit before tax rather than affecting quarterly profit materially.