BSE (BSE IN) – Q1FY27 Result Update – Volume-led growth; diversified opportunities – BUY
Published on 05 Aug 2026
Operating revenue grew 63% YoY to INR15.7bn, supported by higher trading activity across cash, derivatives and Star MF. Consequently, Q1FY27 net profit grew 66% YoY to INR8.7bn in-line with revenue growth. We marginally tweak our FY27 operating revenue estimates (-80bps) factoring in the impact of regulatory changes (STT hike and prop. trading guidelines). We expect opex to remain elevated, driven by continued investments in technology infrastructure and higher clearing & settlement costs linked to rising volumes, which are likely to weigh on EBITDA margins (-37bps for FY27E). However, lower contribution to core SGF (~2% of FY27E transaction income) offsets the impact, improving PAT (+28% YoY in FY27E). Reiterate “Buy” with a multiple of 49x FY28E EPS (earlier 50x) and a TP of INR4,850
