IT Consulting & Software company Datamatics Global Services announced Q2FY25 results Financial Highlights: Revenue from Operations: Rs 406.8 crore compared to Rs 376.8 crore during Q2FY24, change 8%. EBITDA: Rs 48.8 crore compared to Rs 58.9 crore during Q2FY24, change -17.2%. EBITDA Margin: 12.0% for Q2FY25. PBT: Rs 52.7 crore compared to Rs 58.5 crore during Q2FY24, change -10%. PBT Margin: 12.5% for Q2FY25. PAT: Rs 42.4 crore compared to Rs 49.3 crore during Q2FY24, change -14%. PAT Margin: 10.1% for Q2FY25. Operational Highlights: Datamatics expanded its client portfolio by adding 12 new customers. Datamatics has strengthened its board with the induction of Dr. Avnish Kshatriya, Kanika Mittal, and Himanshu Verma, bringing a wealth of industry experience. A global logistics leader handling cargo movement in over 180 countries, implements Datamatics FINATO for finance transformation in over 50 countries. One of the big 3 credit rating agencies selected Datamatics for financial reports processing and credit rating analysis by leveraging AI. A new-age European bank selected Datamatics to digitize and automate critical banking processes to improve operational efficiency and customer experience. A banking giant in the Middle East selected Datamatics to modernize the reporting of the core banking processes for actionable intelligence, efficient data management, and enhanced customer experience Rahul Kanodia, Vice Chairman and CEO, Datamatics Global Services, said: "We are pleased to report YoY Q2 revenue growth of 8%. However, profitability faced headwinds due to a decline in volumes from some key customers and our investments in building FINATO as an AI-powered platform for finance transformation.” “Artificial Intelligence is our strategic initiative, and we continue to upscale our AI capabilities. Google has recognized us as the ‘Strategic partner for the back office of the future.' Additionally, we have partnered with Microsoft to offer customized copilot solutions to accelerate AI adoption in enterprises.” Result PDF
Conference Call with Datamatics Global Services Management and Analysts on Q1FY25 Performance and Outlook. Listen to the full earnings transcript.
IT Consulting & Software company Datamatics Global Services announced Q1FY25 results: Revenue from Operations: Rs 394.0 crore, a slight YoY increase of 0.7% compared to Q1FY24 (Rs 391.1 crore), but down 4.5% from Q4FY24 (Rs 412.7 crore). EBITDA: Rs 51.4 crore, down 24.2% from Q1FY24 (Rs 67.8 crore) and down 20.5% from Q4FY24 (Rs 64.7 crore). EBITDA Margin: 13.0%, a decrease of 429 basis points from Q1FY24 (17.3%) and down 262 basis points from Q4FY24 (15.7%). Profit After Tax (PAT): Rs 43.5 crore, a decline of 21.1% compared to Q1FY24 (Rs 55.1 crore) and down 17.2% from Q4FY24 (Rs 52.5 crore). PAT Margin: 10.7%, down 311 basis points from Q1FY24 (13.8%) and down 159 basis points from Q4FY24 (12.3%). Earnings Per Share (EPS): Rs 7.37, a decrease of 21.2% compared to Q1FY24 (Rs 9.35) and down 17.3% from Q4FY24 (Rs 8.90). Commenting on Q1FY25 results, Rahul Kanodia, Vice Chairman and CEO, said, "Datamatics' Q1 revenue increased by 0.7% YoY to Rs 394 crore, with Dextara contributing 3.1% to this growth. Organic growth, however, declined by 2.4% primarily due to market slowdown in the US and Europe and stagnant business growth. In Q2FY25, we expect to grow our topline and improve EBIT margin by 150-200 bps." He further added, "We remain bullish on the opportunities that AI offers. We are excited to announce that Datamatics has become one of the early receivers globally to earn ISO 42001:2023 Certification for Artificial Intelligence Management Systems. It also demonstrates our commitment to responsible and ethical AI, transparency, and continuous learning. This certification will help our customers manage risks and opportunities associated with AI while balancing innovation with governance for their enterprises." Result PDF
IT Consulting & Software company Datamatics Global Services announced Q4FY24 & FY24 results: Q4FY24 Financial Highlights: Revenue from Operations: Rs 412.7 crore; increased by 11.8% QoQ and decreased by 0.9% YoY. EBITDA: Rs 64.7 crore; increased by 22.8% QoQ and decreased by 23.2% YoY. EBITDA Margin: 15.7%; increased by 141 basis points (Bps) QoQ and decreased by 455 Bps YoY. EBIT: Rs 55.9 crore; increased by 27.8% QoQ and decreased by 25.8% YoY. EBIT Margin: 13.5%; increased by 170 Bps QoQ and decreased by 455 Bps YoY. Profit Before Tax (PBT): Rs 71.3 crore; increased by 32.6% QoQ and decreased by 11.0% YoY. Profit After Tax (PAT) (After Non-Controlling Interest): Rs 52.5 crore; increased by 27.2% QoQ and decreased by 12.0% YoY. PAT Margin: 12.3%; increased by 138 Bps QoQ and decreased by 191 Bps YoY. Diluted Earnings Per Share (EPS): Rs 8.90; increased by 27.1% QoQ and decreased by 12.1% YoY. FY24 Financial Highlights: Revenue from Operations: Rs 1,549.9 crore; increased by 6.2% YoY. EBITDA: Rs 244.0 crore; increased by 0.6% YoY. EBITDA Margin: 15.7%; decreased by 88 basis points (Bps) YoY. EBIT: Rs 207.7 crore; remained almost unchanged with a marginal increase of 0.1% YoY. EBIT Margin: 13.4%; decreased by 82 Bps YoY. Profit Before Tax (PBT): Rs 250.8 crore; increased by 3.1% YoY. Profit After Tax (PAT) (After Non-Controlling Interest): Rs 198.2 crore; increased by 4.9% YoY. PAT Margin: 12.4%; decreased by 19 Bps YoY. Diluted Earnings Per Share (EPS): Rs 33.60; increased by 4.9% YoY. Commenting on Q4FY24 results, Rahul Kanodia, Vice Chairman and CEO, said, "We are happy to end Q4FY24 on a healthy note. Our revenue increased by 11.8% QoQ and EBIT increased by 27.8% QoQ. For FY24, we witnessed a revenue growth of 6.2% over FY23." He further added, “As we step into FY25, we will continue to focus on the Western markets, strengthen capabilities along hyper-scalers, and penetrate deeper into existing accounts. In line with this, we recently acquired Dextara Digital, a premier provider of Salesforce services. We remain bullish on the opportunities that Artificial Intelligence presents and have incorporated GenAI in our Intelligent Automation suite of products. We have strengthened the management team and will continue to do so through the course of the next year.” Result PDF
IT Consulting & Software company Datamatics Global Services announced Q3FY24 & 9MFY24 results: Q3FY24 Financial Performance Revenue from Operations: Rs 369.3 crore, a decrease of 0.9% YoY from Rs 372.6 crore. EBITDA: Rs 52.6 crore, a decrease of 10.7% YoY from Rs 59.0 crore, with the margin at 14.3%. EBIT: Rs 43.7 crore, down by 14.8% YoY, with the margin standing at 11.8%. Profit After Tax (PAT): Rs 41.3 crore, down by 10.0% YoY with the margin at 10.9%. Earnings Per Share (Diluted): Rs 7.01, a decrease of 10.0% from Rs 7.78 in Q3FY23. 9MFY24 Financial Performance Revenue from Operations: Rs 1,137.2 crore, up by 9.0% from Rs 1,042.9 crore in 9MFY23. EBITDA: Rs 179.3 crore, representing a 13.2% increase from the previous year. EBIT: Rs 151.9 crore, an increase of 14.8% YoY. Profit After Tax (PAT): Rs 145.6 crore, with a margin of 12.7%. Earnings Per Share (Diluted): Rs 24.71, up from Rs 21.92 in 9MFY23. Balance Sheet Highlights Total Cash & Investments: Rs 594.7 crore (net of debt). Days Sales Outstanding (DSO): 60 days. Operational Highlights Datamatics TruBot RPA services are empaneled by the UK's NHS Shared Business Services. New client acquisitions across the financial services, market research, digital solutions, healthcare, and engineering sectors. Introduction of TruCap+ Marketplace to enhance Intelligent Document Processing efficiencies. A strategic partnership is established with OutSystems for high-performance, low-code application development. Recognition and Rankings Listed in Forbes Asia 200 Best Under A Billion Companies. Recognized by IDC, Forrester, and Everest Group in various categories of technology and services. Hailed as a 'Technology Leader' by Quadrant in SPARK Matrix™ for RPA and Intelligent Document Processing. Commenting on Q3FY24 results, Rahul Kanodia, Vice Chairman and CEO, said, "During the traditionally soft quarter for Datamatics, our Q3 revenues decreased by 0.9% compared to the same period last year. This was mainly due to the slow decision-making of large deals in Western markets. Nevertheless, we continue to add new customers at a steady rate.” He further added, "We are happy to be in Forbes Asia 200 Best Under A Billion Companies prestigious list. The list comprises the top 1% of 20,000 listed companies in Asia. It is a recognition of our outstanding corporate performance over the years. I take this opportunity to thank all our stakeholders, including employees, customers, and shareholders, for being an integral part of the journey." Result PDF