DAM Capital FY26 PAT Down 30% at ₹73 Crore

Date: May 22, 2026

Operational Highlights

Deal Highlights

Executed 18 ECM transactions and 1 M&A advisory in FY26, raising over ₹19,000 crore
Achieved 10% market share in IPOs by number in FY26
Executed 96 ECM transactions from November 2019 to March 2026, raising over ₹1,60,000 crore
Comprising 41 IPOs (including ReIT), 22 QIPs, 9 Buyback, 8 Preferential Issues, 7 OFS, 5 Rights Issue, and 4 Open Offer

Mandate Pipeline

25 IPOs currently in the pipeline
4 new IPO mandates added in Q4 FY26
13 IPOs as Left Lead Banker, including 6 Sole Banker IPOs

Institutional Equities

Broking: Total active institutional clients stood at 298 as of March 31, 2026
Research: Coverage spans 187 stocks across 21 sectors
Continued client engagement through conferences, thematic roadshows and corporate access initiatives

Financial Highlights

Quarterly Performance (Q4 FY26)

Total Income: ₹29.3 crore (down 20.1% YoY)
Revenue from Merchant Banking: ₹7.4 crore (down 52.4% YoY)
Revenue from Broking: ₹17.7 crore (up 1.3% YoY)
Profit After Tax: ₹0.25 crore (down 97.1% YoY)
PAT Margin: 0.85%

Annual Performance (FY26)

Total Income: ₹237 crore (down 5.2% YoY)
Revenue from Merchant Banking: ₹151 crore (down 2.6% YoY)
Revenue from Broking: ₹71 crore (down 12.8% YoY)
Profit After Tax: ₹73 crore (down 30.0% YoY)
PAT Margin: 30.65%
Return on Equity: 24.4%

Comparative Financial Performance

| Total Income | 29 | 70 | 37 | 237 | 250 | -5.20% |

| Merchant Banking | 7 | 48 | 16 | 151 | 155 | -2.60% |

| Broking | 18 | 18 | 17 | 71 | 81 | -12.80% |

| Profit After Tax | 0.25 | 20 | 9 | 73 | 104 | -30.0% |

| PAT Margin | 0.85% | 28.70% | 23.20% | 30.65% | 41.50% | |

Capital Allocation & Balance Sheet

Board recommended a dividend of 50% (Re 1 per equity share of face value ₹2 each), subject to shareholder approval
Net cash available as on March 31, 2026: ₹311 crore (vs ₹242 crore as on March 31, 2025)

Management Commentary

Dharmesh Mehta, Managing Director & CEO, commented on the challenging capital markets environment in FY26 due to:

Global tariff concerns
Heightened geopolitical tensions
Ongoing war-related uncertainties
Elevated market volatility
Cautious investor sentiment

He noted that fund-raising activity remained muted with IPO launches in Q4 FY26 at one of the lowest levels in recent periods, reflecting broader slowdown in equity capital markets activity.

The Institutional Equities business was impacted by market volatility, but the company continues efforts to scale up the business and increase market share through:

Strong client relationships
Depth of research
Delivery of consistent value across segments

During the quarter, the company won several large marquee mandates, reinforcing its leadership position in the Indian capital markets ecosystem.

The company maintains a robust pipeline of 25 IPO mandates and several QIP and advisory transactions, providing strong visibility for future growth once market conditions improve.

Looking ahead, the company is exploring avenues to diversify revenue streams by expanding into additional fee-based businesses to:

Complement existing capital markets and institutional equities platforms
Create sustainable, long-term growth
Maintain disciplined approach to capital allocation

Management emphasized that due to the inherently cyclical and volatile nature of capital markets, business performance is best evaluated over a long-term investment horizon rather than quarter-to-quarter.

With a strong pipeline, diversified platform and disciplined execution approach, the company remains agile and well-positioned to capitalize on opportunities across both private and public markets as the fund-raising environment gradually improves.