HDFC Asset Management Company has reported an eight per cent drop in its September quarter net profit at ₹338 crore against ₹368 crore logged in the same period last year, on the back of lower income. Revenue from operations was down eight per cent at ₹456 crore (₹498 crore).

Though the fund house doubled other income to ₹114 crore (₹51 crore), it could not match last year’s profit as the overall tax outgo was higher at ₹125 crore (₹59 crore).

Asset base dips

The quarterly average asset under management of the fund house was down marginally at ₹3.75 lakh crore (₹3.76 lakh crore). Equity-oriented asset was down 14 per cent at ₹1.44 lak crore (₹.63 lakh crore) with marginal fall in market share to 14 per cent (16 per cent).

However, assets under debt funds were higher by 15 per cent at ₹1.21 lakh crore (₹1.06 lakh crore) and maintained its last year’s market share of 13 per cent. The monthly average asset under management of individuals was down 6 per cent at ₹2.03 lakh crore (₹2.16 lakh crore).

Înflow through systematic învestment plan was down 30 per cent at ₹900 crore (₹1,280 crore) in September, as most investors discontinued their SIP due to Covid pandemic and poor returns.

It processed 2.98 million systematic transactions worth ₹900 crore in September. The contribution from beyond top 30 cities to total monthly average AUM was at 14.2 per cent.