BSE Q4FY26 Results: Net Profit Jumps 61% to ₹795 Crore, Board Declares ₹10 Dividend

The BSE Ltd has delivered an impressive performance during the March quarter owing to increased activities in derivatives trading and expansion of the company’s mutual fund distribution segment.

Net Profit Surges in Q4FY26

The stock exchange reported a consolidated net profit of ₹795.47 crore for the fourth quarter of FY26, up by 61% against ₹494 crore recorded in the fourth quarter of FY25. Net profit on a sequential basis increased by 32.5%, up from ₹602 crore recorded in the previous quarter.

Total operating revenue jumped to ₹1,564 crore, showing an annual growth of 85% over ₹847 crore. Revenue on a sequential basis grew by 26% from ₹1,244 crore recorded in the September quarter.

Total revenue for the quarter was ₹1,630 crore versus ₹926.38 crore in the previous year.

EBITDA surged by 44% on a sequential basis to ₹1,061 crore from ₹738 crore, while EBITDA margin improved dramatically to 67.9% from 59.3%.

FY26 Becomes Strongest Financial Year for BSE

BSE had its best-ever financial year in FY26 with net profit increasing by 88% to ₹2,487 crore, up from ₹1,322 crore in FY25. Total revenue for the year increased by 59% to ₹5,148 crore.

The company attributed the high growth rate to increased derivatives trading, active participation of investors, and growth in various business units.

Dividend Announcement and Record Date

The Board of Directors declared a final dividend of Rs. 10 per share on equity shares of Rs. 2 face value.

The company decided to use July 10, 2026, as the record date for ascertaining the dividend entitlements of shareholders. Payment of the dividend shall be done not later than September 17, 2026.

BSE Shares Hit Record High

The BSE stocks gained 2.89% to close at ₹3,963 ahead of the results announcement and made a record high of ₹3,985 in Thursday’s session.

The share price has appreciated 50.55% since the start of 2026, compared to the Nifty50 index that fell 7% in the same period.

Derivatives Business Drives Growth

The success of the exchange was due to the rapid growth experienced in the equity derivatives market.

Derivatives trading revenues increased by more than two times to ₹3,134 crore for FY26. Daily average premium volume witnessed an increase of 118% to ₹19,522 crore from ₹8,977 crore in the preceding financial year.

Daily average national volume in the equity derivatives market stood at ₹245 trillion in Q4FY26 against ₹210 trillion in the preceding quarter and ₹112 trillion in the corresponding quarter of the previous year.

Cash Market Share Remains a Concern

Sundararaman Ramamurthy, MD & CEO of BSE, said that the exchange continues to be unhappy with their cash market share of 7-8%, despite rapid growth in derivative markets.

Ramamurthy added that delays in the introduction of smart order routing (SOR) from brokers have hindered growth in the cash market business segment.

BSE had anticipated that institutional and individual investors would develop an agnostic attitude towards the exchanges and conduct transactions where the prices were more favorable to them. However, approvals relating to SOR applications have been pending for over six months in rival exchanges.

Higher Participation From Brokers and FPIs

As per Ramamurthy, BSE has been concentrating on expanding and strengthening participation through their derivatives program rather than trading volumes alone.

The participation of brokers in options trading at BSE increased from 446 to 587 within the last one year.

Participation of foreign portfolio investors (FPI) also witnessed substantial growth, and the number of FPIs at BSE jumped from 100 to 520. BSE aims to have about 800 FPIs on board.

Commodity Derivatives Plans

Furthermore, BSE also highlighted its intention to venture into the commodity derivatives space.

Nevertheless, the management made it clear that the exchange is not interested in adopting a “me too” strategy but rather seeks to develop distinctive products with a unique value proposition.

Strong Growth in Mutual Fund Business

StAR Mutual Fund platform by BSE maintained its high growth trajectory in FY26.

The StAR Mutual Fund platform saw an increase of 24% in its revenues, which reached ₹285 crore compared to ₹231 crore in the previous year. Its transaction volume grew by 27%, reaching 84 crore.

At the close of FY26, the StAR MF platform had a network of 83,280 distributors, 281 million registered investors, 15,268 schemes, and coverage in 721 cities.

For the year, BSE entered into a memorandum of understanding with the Department of Posts for mutual fund distribution. The exchange also introduced BSE StAR NPS and BSE Focused IT Derivatives.

BSE stated that the total number of investor accounts on the exchange surpassed 25 crore in FY26, with additions of 3.53 crore investor accounts in the year.

NSE Also Reports Strong Earnings

On the other hand, NSE's rival stock exchange, the National Stock Exchange of India, also made some remarkable earnings in its quarterly report.

National Stock Exchange of India's net profit grew by 8% to ₹2,871 crore, whereas total income surged by 22% to ₹5,360 crore due to increased equity derivatives trading.