UTI AMC hits 52-week high as firm returns to profit in March quarter

Shares of UTI Asset Management Company (AMC) hit fresh 52-week high of Rs 641.25 on the BSE in Thursday's intra-day session after the company reported a return to profit during the quarter ended March 2021.

The company on Thursday posted a consolidated net profit of Rs 133.62 crore for the March quarter of the financial year 2020-21 (FY21) as against a loss of Rs 27.58 crore in the corresponding period a year ago.

The revenue from operations for Q4FY21 came in at Rs 289.24 crore, up 112 per cent compared with Rs 136.32 crore posted in the year-ago quarter.

“Commenting on the performance, Imtaiyazur Rahman, Chief Executive Officer, UTI AMC said, “The mutual fund industry continues to attract investors amidst an unprecedented and challenging business environment in the last one year. The industry is looking to combat volatility and provide investment opportunities to investors for their long term financial goals. UTI AMC has registered an increase in its assets under management in this challenging environment and will continue to strive for growing its business in future. The mega vaccination drive across the country is a positive development which can help in the economic recovery”.

The board of the company also recommended a final dividend of Rs 17 per equity share for the financial year ended March 31, 2021, subject to the approval of the shareholders.

The shares of the company have gained nearly 16 per cent over its issue price of Rs 554. The stock of the AMC had listed on the bourses on October 12, 2020.

At 12.05 pm, the scrip was trading 3.13 per cent higher at Rs 628 on the BSE as against a 0.11 per cent gain in the S&P BSE Sensex.