ICICI Pru, HDFC and SBI are the most profit-making among the top 15 AMCs

An analysis of net profit or profit after taxation (PAT) data of top 15 AMCs done by Cafemutual shows that ICICI Prudential, HDFC and SBI were the top three fund houses in terms of profits in FY 2021-22.

In terms of net profit, ICICI Prudential AMC became the most profitable fund house by overtaking HDFC AMC. The PAT of ICICI Prudential grew by 17% from Rs.1245 crore in March 2021 to Rs.1454 crore in March 2022.

Next in the list were HDFC AMC with net profit of Rs.1393 crore and SBI AMC with Rs.1082 crore. Nippon AMC (Rs.743 crore) and ABSL AMC (Rs. 673 crore) occupied the next two spots in terms of PAT.

In absolute terms, SBI AMC saw the highest growth by adding Rs.219 crore to its net profit kitty. ICICI Pru and Axis AMC followed SBI AMC in terms of absolute PAT growth.

Further, Edelweiss AMC, Invesco AMC and Mirae Asset clocked the highest profit growth in percentage terms. These AMCs saw their net profit increase by 300%, 161% and 91%, respectively.

The data further shows that all 15 AMCs saw growth in their net profits last financial year.  A key contributor for AMCs to increased profitability is growth in equity assets and the buoyant equity markets in FY 2021-22 must have helped these AMCs increase their profitability.

Also, AMCs derive profit from portfolio management, alternative investment funds and offshore advisory services among other things.

Note – Franklin Templeton AMC and HSBC are among the top 15 AMCs based on AUM but they have been excluded from this analysis, as their profitability data was not available.

Here is the complete list of PAT data of top 15 AMCs: