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    BSE

    BSENeutral
    Financial Services·11 Nov 2025
    Management Summary

    BSE delivered another record-breaking quarter despite challenging global environment, demonstrating resilience through strong domestic investor participation and continued market share gains in derivatives. The SME platform momentum accelerated with record fund raising, while the exchange maintained leadership in capital formation amid FII selling pressure.

    Highlights

    8

    • 10th consecutive quarter of record revenue with Rs. 1,139 crores (40% YoY growth)

    • Operating EBITDA increased to Rs. 680 crores with margins expanding to 64% from 52%

    • Net profit grew 61% to Rs. 558 crores from Rs. 346 crores

    • SME platform achieved 657 listings with Rs. 13,083 crores raised, record October with 27 companies

    • Transaction charges increased 57% to Rs. 794 crores driven by derivatives growth

    • Total investor accounts crossed 23 crores with 10 states having over 1 crore investors each

    • Index business AUM reached Rs. 2.54 lakh crores across passive products

    • Domestic institutional investors infused Rs. 6.3 lakh crores countering FII outflows of Rs. 2.5 lakh crores

    What Changed1

    vs Q3 FY26

    Tone shiftHighly confident and optimistic → Confident and optimistic

    Key financials

    Single quarter

    07 metrics
    1. 01Total Revenue₹1,139 Cr+40%YoY
    2. 02Operational Revenue₹1,068 Cr+44%YoY
    3. 03Transaction Charges₹794 Cr+57.0%YoY
    4. 04Operating EBITDA₹680 Cr+75%YoY
    5. 05Net Profit₹558 Cr+61%YoY

    Guidance & targets

    3
    CategoryTargetPriority
    Core SGF Policy
    SGF Contribution
    5% of transaction revenue monthly until 150% of minimum requirement
    		High
    Market Strategy
    Market Participation
    Increase institutional participation in derivatives, monthly options, and index futures
    		Medium
    Business Focus
    Strategic Objectives
    Deepening and broadening of markets
    		High

    Risks & concerns

    4
    RiskSeverity

    FII Selling Pressure

    FIIs sold Rs. 2.5 lakh crores in 2025 vs Rs. 3 lakh crores entire previous year, but DIIs infused Rs. 6.3 lakh crores — Other acknowledged

    medium

    Volatility Impact on Margins

    Premium realization affected by volatility changes, compressing margins in Q2 vs Q1 due to subdued volatility — Other acknowledged

    medium

    Global Economic Headwinds

    Challenging global economic and geopolitical environment, elevated US tariffs, but Indian economy showing resilient growth — Other acknowledged

    medium

    Treasury Income Decline

    32% decrease in treasury income to Rs. 42 crores from Rs. 63 crores, but overall revenue growth strong — Other acknowledged

    low

    Q&A highlights

    3

    “our market share is 100% because our product is unique... We have been taking multiple steps in including more number of participants, more number of members, and more FPIs”

    Clarifies unique positioning in derivatives and ongoing efforts to expand institutional participation base

    asked by Amit Chandra - HDFC Securities

    1 min read5 chapters

    Detailed Narrative

    01

    Record Financial Performance and Market Leadership

    BSE achieved its 10th consecutive quarter of record revenue at Rs. 1,139 crores (40% YoY growth), surpassing previous record of Rs. 1,045 crores. Operating EBITDA margins expanded significantly to 64% from 52%, while net profit grew 61% to Rs. 558 crores. Transaction charges increased 57% to Rs. 794 crores, primarily driven by robust derivatives trading activity.

    02

    Domestic Capital Market Resilience

    Despite FII selling of Rs. 2.5 lakh crores in 2025 (vs Rs. 3 lakh crores entire previous year), domestic institutional investors provided strong counterbalance by infusing Rs. 6.3 lakh crores. SIP inflows reached all-time high of Rs. 29,529 crores in October 2025, with equity mutual fund inflows of Rs. 24,691 crores, demonstrating unwavering retail investor confidence.

    03

    SME Platform Accelerating Growth

    SME platform continued strong momentum with 657 companies listed collectively raising Rs. 13,083 crores. October 2025 was record month with 27 companies listed raising Rs. 1,056 crores. Platform supports entrepreneurial landscape and contributes to Viksit Bharat vision through productive capital channelization into infrastructure development and employment generation.

    04

    Index Business and Product Innovation

    Index business accumulated Rs. 2.54 lakh crores in AUM across passive products tracking BSE indices. Actively expanding customer base to insurance companies, market-linked debenture issuers, and foreign clients. Strong client adoption and product innovation driving rapid growth in this segment.

    05

    Risk Management and Financial Prudence

    Implemented 5% monthly SGF contribution policy from transaction revenue with 150% cap to smoothen quarterly earnings impact and ensure financial prudence. Core SGF stood at Rs. 1,159 crores as of October 2025. This proactive approach addresses unpredictable SGF requirement fluctuations while maintaining adequate risk coverage.

    This is an AI-generated summary of a publicly available earnings call transcript. It is for informational purposes only and does not constitute investment advice, a recommendation, or an endorsement. inve.money is not a SEBI-registered investment advisor. Please consult a qualified financial advisor before making any investment decisions.