NSE achieved a significant milestone by surpassing USD 1 billion in profit, with a consolidated profit after tax exceeding Rs 8,300 crore in fiscal 2023-2024. This accomplishment occurred despite a 90% year-on-year increase in total expenses, totaling Rs 5,350 crore compared to Rs 2,812 crore in FY23.
The company recommended issuing 4 bonus shares for every existing share held and proposed a dividend of Rs 90 per share (pre-bonus), totaling Rs 4,455 crore. In FY24, NSE contributed Rs 43,514 crore to the exchequer, primarily from Securities Transaction Tax (STT), income tax, stamp duty, GST, and Sebi charges.
The net worth of NSE as of March 31, 2024, stood at Rs 23,974 crore.
In April, the average daily turnover of futures and options (F&O) on both BSE and NSE hit a five-month low, down 3.5% from the previous month. Cash volumes in local equity markets remained stagnant. Analysts attribute the decrease in F&O trading to low expected volatility and cheap option prices, with the Nifty showing stability and less upward momentum.
The upcoming elections are expected to result in less price fluctuation than usual. Regulatory warnings about F&O trading are also contributing to cautious investor behavior. Global market turmoil, driven by geopolitical tensions and rising oil prices, added to negative sentiment.
RBI has advised fintech companies to moderate their growth, especially in loan products and services, due to concerns about systemic risks. Despite explanations from fintech leaders about their growth trajectory, the RBI is urging them to aim for a more conservative growth rate of 15-20%.
This directive has caused concern among fintech CEOs as it could impact their valuation multiples and hinder plans for profitability and IPOs. Fintechs are exploring options such as venture debt, alternative business models like gold loans and loan against property, to adjust their growth rates while maintaining profitability.