NSE Q2 results: Sebi provision drags Q2 profit down 33% YoY to ₹2,098 crore

A one-time provision towards Sebi settlement fees and a reduction in volumes across the cash market and derivatives segments weighed on the National Stock Exchange’s (NSE) September quarter performance.

The country’s leading bourse reported a consolidated net profit of ₹2,098 crore in the second quarter of FY26, down 33% from ₹3,137 crore in the year-ago period. Sequentially, the profit dropped 28% from ₹2,924 crore in the June quarter of FY26.

The profitability was impacted by a one-time provision for the Securities and Exchange Board of India (Sebi) settlement fees of ₹1,297 crore. The matter pertains to settlement applications related to the Colocation and Dark Fibre issues.

Excluding the provision for Sebi settlement fees, NSE’s consolidated net profit in Q2 FY26 stood at ₹3,395 crore, growing by 8% year-on-year (YoY) and 16% sequentially, the exchange said in a release.

For Q2 FY26, NSE reported a consolidated total income of ₹4,160 crore, down 17% YoY compared to ₹5,023 crore in the previous quarter, the release noted. On a quarter-on-quarter (QoQ) basis, revenue declined 13% from ₹4,798 crore in Q1 FY26.

The exchange’s consolidated revenue from transaction charges came in at ₹2,785 crore, down 12% QoQ, dented by lower volumes in both the cash market and derivatives segments.

Total consolidated expenditure surged to ₹2,354 crore from ₹1,053 crore in the preceding quarter, primarily due to the ₹1,297 crore provision towards Sebi settlement applications. Excluding this provision, total expenditure stood at ₹1,056 crore versus ₹1,053 crore in Q1 FY26.

Consequently, consolidated operating EBITDA was ₹1,484 crore compared with ₹3,130 crore in the previous quarter. Adjusted for the Sebi provision, operating EBITDA was ₹2,782 crore, with a healthy operating margin of 76%.

For the half year ended September 30, 2025 (H1 FY26), consolidated total income stood at ₹8,959 crore, compared to ₹9,974 crore in the year-ago period. Reported net profit for H1 FY26 was ₹5,022 crore, with EPS of ₹20.29. Excluding the Sebi provision, consolidated net profit was ₹6,320 crore.

During H1 FY26, NSE contributed ₹28,308 crore to the exchequer, including securities transaction tax (STT) and commodities transaction tax (CTT) of ₹23,451 crore, stamp duty of ₹1,651 crore, Sebi fees of ₹496 crore, income tax of ₹1,809 crore, and GST of ₹901 crore. Of the total STT/CTT, 49% came from the cash market (delivery-based), 7% from the cash market (intraday), and 44% from the equity derivatives segment.