Conference Call with Zensar Technologies Ltd. Management and Analysts on Q3FY23 Performance and Outlook. Listen to the full earnings transcript.
IT consulting and software firm Zensar Technologies announced Q3FY23 results: Q3FY23: The company reported revenue of US$ 145.9 million, quarterly YoY growth of 3.6% in constant currency and sequential QoQ decline of 5.3% EBITDA was at 11.3% of revenues and the PAT stood at 6.4% of revenues The company reported net cash of US$ 179.4 million at the end of Q3FY23 The US region posted sequential QoQ decline of 8.0% and quarterly YoY decline of 2.1% The Europe region registered sequential QoQ growth of 2.2% and quarterly YoY growth of 18.7% in constant currency South Africa registered quarterly YoY growth of 15.0% in constant currency and was flat on QoQ Banking, Financial Services, and Insurance (BFSI) reported sequential QoQ decline of 1.3% and quarterly YoY growth of 19.8% in constant currency Hi-Tech and Manufacturing (HTM) and emerging registered sequential QoQ decline of 9.3% and quarterly YoY decline of 2.5% in constant currency Consumer services registered sequential QoQ decline of 2.3% and quarterly YoY decline of 6.8% in constant currency. Manish Tandon, CEO and Managing Director, Zensar Technologies, said, "In Q3FY23, we reported a marked improvement in profitability, with the EBITDA increasing by 270 basis points. Our quarterly revenues are at US$ 145.9 million, with a YoY growth of 3.6% in constant currency. In the one month since joining Zensar, I have spent time understanding our fundamentals. With our strong investments in our service lines, our vertical capabilities, and our strong leadership, we are positioned well to drive sustainable and profitable growth. Currently, I am focused on meeting with our global teams and top clients to understand the opportunities to build a more resilient organization with client-centricity at its core." He further added, "I am amazed at the energy and passion of our associates worldwide and am working closely with the board, senior leadership team, and the extended teams to drive client-centric initiatives, people-driven investments with a clear objective to add value at each step of the client's engagement with us." Commenting on Q3F23 performance, Sachin Zute, CFO Zensar Technologies, said, "This quarter was marked by furloughs across client organizations, impacting our overall metrics. The initiatives we undertook in the previous quarters have resulted in an increase in EBITDA to 11.3% and our constant currency YoY growth in revenues by 3.6% kept the momentum on a quarterly YoY basis. We intend to keep the rigor on the margins as we focus on driving growth across accounts." Result PDF