NSE and BSE saw net profits fall in Q2FY27, but sentiment improved after Sebi rolled back CAS on 15 October. Shrikant Chouhan said, “With the removal of CAS, we have seen trading volume revive.” Meanwhile, MCX growth depends on gold and silver volatility, which has started to moderate recently.
The outlook for the three exchanges, however, could shift. With the Securities and Exchange Board of India (Sebi) rolling back CAS and restoring the earlier settlement mechanism, trading volumes could recover at equity exchanges, lifting profitability. For MCX, the key question is whether volatility in gold and silver prices can sustain the levels that have driven its recent growth.
NSE's net profit fell 17% sequentially to ₹2,578 crore in the second quarter of fiscal year 2027 (Q2FY27), according to its investor presentation. Its revenue from operations declined 11% quarter-on-quarter (QoQ) to ₹4,067 crore. BSE reported a 7.4% sequential decline in net profit to ₹807 crore, while its revenue from operations fell 8.5% to ₹1,432 crore.
“With the removal of CAS, we have seen trading volume revive in the October-month series, and it is expected to be back to levels before CAS implementation,” said Shrikant Chouhan, head of equity research at Kotak Neo.
The recovery in sentiment is also reflected in the exchanges' share prices. NSE shares have risen 8.8% since 15 October, when Sebi rolled back CAS, while BSE shares have gained 10.8% over the same period.
Sebi revised the CAS framework on 15 October, restoring the 30-minute volume-weighted average price (VWAP) for settling derivatives contracts on expiry days. The changes will take effect on 7 December. The regulator's move followed concerns that the framework, introduced on 3 August, had triggered abrupt price swings and uncertainty over settlement values on expiry days, prompting market participants to flag risks to liquidity and price discovery.
Volatility in gold has already begun to moderate. In Q2FY27, spot gold on MCX traded within a 15% range, between a closing low of ₹1,40,269 per 10g on 1 July and a closing high of ₹1,61,657 per 10g on 24 August. From the start of Q3FY27 until now, the range has narrowed to 9%, based on closing prices.
Gold and silver accounted for 66% of MCX's futures turnover in the first half of the fiscal (H1FY27), according to its investor presentation. The presentation did not include the corresponding figure for options turnover.
“Among both exchanges, NSE is currently trading at a discount to BSE and has a higher market share in all segments plus add-on services like clearing agents. NSE has been better in terms of cost optimization with better financial ratios too,” Chouhan added.
Srushti Vaidya
Srushti is a markets reporter at Mint. She writes on equity markets, and her areas of coverage range from brokers and exchanges to mutual funds and the fast-evolving alternatives space, including GIFT City, from the financial capital of India. She has an experience of over three years in journalism, and has previously worked at Moneycontrol. She has an undergraduate degree in mass communication and a postgraduate diploma in business and financial journalism from Asian College of Journalism, Chennai.Srushti prefers meeting people from the industry over making calls. Her work aims to drive impact—her story on illegal gold imports, for instance, caught the government’s attention and contributed to a policy shift. She specialises in turning complex market data into clear, engaging stories so even her grandmother could understand futures and options.Outside of the newsroom, she enjoys spending money on jewellery and watching thriller films—especially the kind that keep her awake at night. She spends 1.5 hours a day commuting in Mumbai locals, listening to horror podcasts on her way to work. She’s also very talkative—so reach out only if you have lots of time.