Rs 17.50/Sh Interim Dividend Announced; Small-Cap Stock Posts Strong Q3 Results - Is It in Your Portfolio?

Small-cap stock Computer Age Management Services (CAMS) Ltd. has made headlines by announcing its highest-ever interim dividend payout for the fiscal year 2024-25, alongside impressive Q3 results. With a market capitalization of Rs 19,524 crore, the company reported a robust 27% year-on-year (YoY) revenue growth.

CAMS Interim Dividend Announcement

The Board of Directors of CAMS has recommended an interim dividend of Rs 17.50 per equity share for the fiscal year 2024-25. The record date for this dividend payout has been set for February 7, 2025.

CAMS Dividend History

CAMS has a consistent track record of dividend payouts, which has continued into the current fiscal year. Based on data from the Bombay Stock Exchange (BSE), the company's recent dividend history includes the Interim Dividend on Rs. 14.50 per share on November 8, 2024 Special Dividend of Rs. 10.50 per share on November 8, 2024 and then another Interim Dividend Of Rs. 11.00 per share on August and the Final Dividend: Rs. 16.50 per share in July 2024

CAMS Q3 Results

CAMS has posted impressive results for Q3 FY24, across both its mutual fund (MF) and non-mutual fund segments. For the quarter ending December 31, 2024, CAMS reported a 27.6% year-on-year (YoY) growth in revenue. This was driven by a 28.4% YoY increase in revenue from the mutual fund segment, while the non-MF segment saw a 22.3% YoY growth.

The company's earnings before interest, taxes, depreciation, and amortization (EBITDA) grew by an impressive 34% YoY. CAMS' EBITDA margin also saw a notable increase, rising by 220 basis points to 47%. Profit after tax (PAT) surged by 40.5% YoY, and the PAT margin expanded by 280 basis points to reach 32.6%.

About CAMS

Computer Age Management Services (CAMS) is a leading financial infrastructure and service partner to the asset management industry in India. The company provides platform-based services to the banking, financial services, and insurance (BFSI) sector, specializing in registry and transfer services for mutual funds. CAMS is India's largest registrar and transfer agent for mutual funds, with an impressive market share of approximately 68%, based on the average assets under management (AAUM) of the mutual funds it services. CAMS works with some of the largest mutual funds in India, including ten of the fifteen biggest players in the mutual fund space. This widespread client base further establishes CAMS as a trusted and reliable partner for the asset management industry.