1. At a Glance
UTI AMC reported a Q1 FY26 PAT drop of 7%, but don’t worry — they also announced a ₹45 Cr loan to their own subsidiary because… why not lend money to yourself when you can? Assets are up 13.28% YoY, but the stock’s enthusiasm was down 3.7% today. Classic fund house behaviour: long-term vision, short-term confusion.
2. Introduction with Hook
Imagine your granddad running a fintech startup. Now imagine that granddad invented mutual funds in India.
That’s UTI AMC.
They’ve gone from launching the country’s first equity mutual fund to managing ₹21.93 lakh crore in QAAUM (Q1 FY26), which is 13.28% higher YoY. Meanwhile, PAT dropped 7%, and the market said, “Cool story bro,” and pulled the price down by 3.69%.
Numbers look like this:
- Revenue: ₹547 Cr (up 3%)
- PAT: ₹254 Cr (down 7%)
- EPS: ₹18.5 (which is also your Uber fare in Mumbai for 300 meters)
3. Business Model (WTF Do They Even Do?)
UTI AMC is in the business of taking your money and giving it back to you with some dressing, some expense ratios, and hopefully a gain.
Here’s what they actually do:
- Manage mutual funds, PMS, EPFO mandates, and National Pension System (NPS) accounts.
- They hold a 5.04% market share in Mutual Funds (QAAUM).
- And a chunky 27.4% market share in NPS.
Basically, they manage your retirement dreams with the same calm intensity of an LIC agent offering Jeevan Anand for the 17th time.
4. Financials Overview
Q1 FY26 (Consolidated):
| Metric | ₹ Cr |
|---|---|
| Revenue | 547 |
| Expenses | 207 |
| EBITDA | 340 |
| OPM % | 62% |
| Net Profit | 254 |
| EPS | ₹18.50 |
YoY AUM is up. QoQ EPS is up. But YoY PAT is down. Management’s answer: let’s loan ₹45 Cr to a subsidiary. Strategic genius or CFO boredom? You decide.
5. Valuation
Fair Value Range:
| Method | Basis | Valuation |
|---|---|---|
| P/E Basis | 25x FY25 EPS of ₹57.16 | ₹1,430 – ₹1,550 |
| DCF (Assuming 12% growth, 10% CoE) | Long-term compounding | ₹1,400 – ₹1,600 |
Current Price: ₹1,416
Verdict: Fairly valued. Not too hot, not too cheap — basically the dal khichdi of the asset management universe.
6. What’s Cooking – News, Triggers, Drama
- PAT down 7%? Yes. But they still lent ₹45 Cr to their wholly owned subsidiary. Because who needs outside borrowers when you can float cash internally?
- Consistent dividend payout (~84% payout ratio FY25)
- Steady increase in AUM, especially in high-margin equity schemes
- FIIs holding firm at 7.7%, DIIs holding 59.47%. Public still unsure.
More action in board meetings than your average Bollywood courtroom drama.
7. Balance Sheet
FY25 Consolidated Snapshot (₹ Cr):
| Metric | Value |
|---|---|
| Equity Capital | ₹128 Cr |
| Reserves | ₹4,471 Cr |
| Borrowings | ₹0 (Yes, zero) |
| Other Liabilities | ₹1,059 Cr |
| Investments | ₹4,558 Cr |
| Total Assets | ₹5,658 Cr |
Commentary:
Debt-free. Thick reserves. They hold more investments than your average family WhatsApp group holds conspiracy theories.
8. Cash Flow – Sab Number Game Hai
| Year | CFO | CFI | CFF | Net Flow |
|---|---|---|---|---|
| FY23 | ₹395 Cr | ₹-93 Cr | ₹-267 Cr | ₹36 Cr |
| FY24 | ₹325 Cr | ₹-146 Cr | ₹-238 Cr | ₹-59 Cr |
| FY25 | ₹536 Cr | ₹124 Cr | ₹-554 Cr | ₹106 Cr |
Dividends are bleeding the CFF line dry — but it’s shareholder-friendly bleeding, so we’ll allow it.
9. Ratios – Sexy or Stressy?
| Metric | Value |
|---|---|
| ROCE | 21% |
| ROE | 16.3% |
| OPM | 62% |
| D/E | 0 |
| Dividend Yield | 1.84% |
Verdict:
Ratios are looking sharper than a fintech founder’s pitch deck. ROCE’s a beauty. ROE’s healthy. And zero debt is the cherry on top.
10. P&L Breakdown – Show Me the Money
| Year | Revenue (₹ Cr) | EBITDA (₹ Cr) | PAT (₹ Cr) |
|---|---|---|---|
| FY23 | 1,267 | 612 | 440 |
| FY24 | 1,737 | 1,034 | 802 |
| FY25 | 1,851 | 1,102 | 813 |
| TTM | 1,879 | 1,090 | 793 |
A textbook compounding engine — except for the slight bump in PAT this quarter. Probably just tripped on its own dividend slip.
11. Peer Comparison
| AMC | Market Cap (₹ Cr) | P/E | ROE | PAT (TTM ₹ Cr) |
|---|---|---|---|---|
| HDFC AMC | 1,19,023 | 45.69 | 32.35% | 2,605 |
| Nippon Life | 52,652 | 40.93 | 31.39% | 1,286 |
| Aditya AMC | 25,281 | 26.01 | 26.99% | 972 |
| UTI AMC | 18,139 | 25.40 | 16.28% | 714 |
Verdict:
UTI AMC is the stable old player — low valuation, decent yield, but less zing. Like a well-behaved student in a class full of startup rebels.
12. Miscellaneous – Shareholding, Promoters
| Shareholder | Q1 FY26 (%) |
|---|---|
| FIIs | 7.7% |
| DIIs | 59.47% |
| Public | 32.84% |
- Shareholding is stable.
- No promoter group (it’s held by SUUTI, LIC, SBI, BOB, PNB — a mutual fund version of Avengers, just older and slower).
- Number of shareholders down from 1.8 lakh to 1.62 lakh — probably the traders who got bored with the AMC business model.
13. EduInvesting Verdict™
UTI AMC is like the grandpa who invented mutual funds and still jogs 5 km every morning. Solid. Stable. Occasionally sleepy.
If you like low volatility, predictable income, and believe in India’s SIP-mania — UTI AMC is your guy.
A slow-burn compounding bet. But don’t expect fireworks. This one’s more Diwali sparklers than rocket bombs.
Metadata:
Written by EduInvesting Team | 24 July 2025
Tags: UTI AMC, Mutual Fund Stocks, Q1 FY26, Asset Management, EduInvesting Premium
