CDSL Q1 Results 2025: Net Profit Falls 23.6% YoY; Two Quarters of Falling Profits; Analysts Stay Neutral

Central Depository Services (India) Ltd. (CDSL), one of India's leading securities depositories, released its Q1 FY26 financial results on Saturday, July 26. The company posted a sharp drop in net profit for the second consecutive quarter even as revenue was largely stable.

CDSL Q1 Results FY26

CDSL reported a 23.6% YoY decline in consolidated net profit, which stood at Rs. 102.4 crore for the June 2025 quarter, compared to Rs. 134 crore in Q1 FY25. This is the second consecutive quarterly dip in the company's bottom line.
However, the company's revenue from operations grew marginally by 0.6% to Rs. 259 crore in Q1 FY26, up from Rs. 257.4 crore in the same quarter last year.

Moreover, the rising expenses significantly impacted CDSL's EBITDA, which dropped by 15.1% to Rs. 130.6 crore, down from Rs. 154.4 crore in Q1 FY25.

Consequently, EBITDA margins contracted sharply to 50.4% from 60% YoY due to increasing cost pressures in operational activities.

Recap of Q4 FY25 Performance

In the previous quarter of Financial Year 2024-25, CDSL had also reported a 22% YoY fall in net profit, registering Rs. 100.39 crore compared to Rs. 129.42 crore in Q4 FY24. Revenue from operations in Q4 FY25 stood at Rs. 224.45 crore, down 6.78% YoY.

Total income fell to Rs. 255.78 crore, compared to Rs. 267.37 crore a year ago.
Expenses rose significantly to ₹129.40 crore from ₹100.93 crore, adding pressure to the company's profitability.

CDSL Share Price Movements

CDSL share price fell 3.77% in the last trading session, closing at Rs. 1,616 apiece on the NSE. Last week alone CDSL shares dropped 5.5% of their value. Despite some positive moves earlier this year, CDSL shares are down 10.65% so far in 2025.
As per the latest research report from Motilal Oswal Financial Services,a neutral rating has been given for the stock. With two consecutive quarters of profit contraction and narrowing margins, analysts and retail investors are expected to monitor CDSL's cost management strategies and any signs of volume growth.