SBI Funds’ Q1FY27 profit gets support from 80.22% operating margin
Other income of Rs 236.27 cr also supported pre-tax profit, while management pointed to equity, passive and SIP flows.
Filed 03 Aug 2026, 18:55 IST · after market close · SBIFUNDS (SBIFUNDS)
Key takeaways
- An expense base of Rs 227.25 cr against revenue of Rs 1,148.67 cr supported a standalone operating margin of 80.22%.
- Other income of Rs 236.27 cr materially supported standalone profit before tax of Rs 1,143.08 cr, so earnings were not purely operating.
- Management said equity and passive flows, along with continued SIP momentum, supported the quarter while the company retained a 15.1% mutual-fund market share.
Q1FY27 converts revenue into high operating profit
The standalone quarter generated Rs 1,148.67 cr of revenue and Rs 921.43 cr of operating profit. Expenses were Rs 227.25 cr, leaving a wide spread between revenue and operating costs and producing an 80.22% operating margin. Net profit was Rs 872.81 cr, with basic EPS at Rs 4.29.
Other income was a meaningful part of pre-tax earnings
Other income of Rs 236.27 cr was a material contributor to standalone profit before tax of Rs 1,143.08 cr, making the earnings mix less purely operating. The Rs 270.27 cr tax charge implies a 23.64% tax rate, while depreciation and interest were Rs 12.18 cr and Rs 2.44 cr respectively.
Management highlighted flows, distribution and new products
Management said the quarter was supported by equity and passive flows and continued SIP momentum. The company said it retained the top mutual-fund-manager position with a 15.1% market share and the top passive-assets position with a 27.4% share; it also said six new schemes were launched in Q1FY27. Management said it plans to deepen distribution through the SBI network, target first-time mutual-fund investors, expand passive and AIF offerings, and launch a new outbound product.
Results were filed after market close
The standalone results were filed after market close on 3 August 2026. There is no post-result market move to compare with the stock’s own reaction history yet.
Q1FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹1,149 cr |
| Other income | ₹236 cr |
| Expenses | ₹227 cr |
| Operating profit | ₹921 cr |
| Operating margin (%) | 80.22% |
| Interest | ₹2 cr |
| Depreciation | ₹12 cr |
| Profit before tax | ₹1,143 cr |
| Tax | ₹270 cr |
| Net profit | ₹873 cr |
| EPS (₹) | ₹4.29 |
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
This quarter
- The quarter was supported by healthy flows across equity and passive strategies.
- The company reported continued SIP momentum during the quarter.
Guidance & outlook
- The company plans to further penetrate the SBI network.
- The company plans to target first-time mutual fund investors.
- The company plans to launch a new outbound product.
- The company plans to expand passive offerings.
Expansion
- The company plans to expand AIF offerings across categories.
New products
- The company launched six new schemes in Q1 FY27.
New initiatives
- The company is building AI capabilities.
- The company uses AI and machine learning across operations, including research, risk management and customer service.
- The company is developing AI-enabled self-service assistance for customer engagement.
Competition
- The company reported a 15.1% market share and continued to rank first among mutual fund managers.
- The company maintained first rank in passive assets with a 27.4% market share.
What to watch
- Whether standalone operating margin remains near 80.22%.
- Whether other income remains a material contributor alongside the Rs 1,143.08 cr pre-tax profit base.
- Whether mutual-fund and passive market shares remain at 15.1% and 27.4%.