Conference Call with Hinduja Global Solutions Management and Analysts on Q1FY25 Performance and Outlook. Listen to the full earnings transcript.
BPO/KPO company Hinduja Global Solutions announced Q1FY25 results: Total income stood at Rs 1,218.6 crore, a YoY dip of 2.3%. Revenue from operations decreased by 3.7% on YoY basis to Rs 1,091.9 crore. Operating EBITDA was Rs 16.7 crore; EBITDA margins for the quarter were 1.5%. Total PAT for the quarter, including discontinued operations, stood at Rs 161.5 crore. As on June 30, 2024, Net Cash and Treasury Surplus stood at Rs 5,177.2 crore. Speaking on the results, Partha DeSarkar, Whole-time Director and Group CEO of HGS said: “HGS’ revenues in the first quarter of FY2025 were in line with our expectations, considering the environment of continued macroeconomic volatility and delayed decision-making by some key clients. Profitability in the quarter was adversely impacted due to some one-time costs and we expect our profitability to improve from Q2 FY2025 onwards. During the quarter ended June 2025, we received additional payment towards the sale of the healthcare business resulting in net profit of Rs 218.5 crore shown under Profits from Discontinued Operations. Our pipeline remains healthy, and we are enthused by the increasing demand for our technology-enabled CX services by both new and existing clients as evidenced by the number of new client engagements signed during FY2025, including larger cross-sell deals, across verticals such as telecom and public sector. HGS is investing in developing tech offerings to support fast growing sectors like BFSI, retail & consumer, and hitech. Our aim is to help clients future-proof their businesses through digital transformation as Al becomes more mainstream.” Result PDF
BPO/KPO company Hinduja Global Solutions announced Q4FY24 & FY24 results: Q4FY24 Financial Highlights: Total income stood at Rs 1,257.9 crore, a YoY growth of 7.7%. Revenue from operations stood at Rs 1,098.7 crore, a YoY growth of 2.7%. Operating EBITDA was Rs 66.2 crore, up 82.5% YoY; EBITDA margins for the quarter were 6.0%. PAT stood at Rs 87.9 crore. As on March 31, 2024, Net Cash and Treasury Surplus stood at Rs 5,012.6 crore FY24 Financial Highlights: Total income stood at Rs 5,087.8 crore, a YoY growth of 1.6%. Revenue from operations stood at Rs 4,615.7 crore, a YoY growth of 2.5%. Operating EBITDA was Rs 355.9 crore, a 45.8% growth YoY; EBITDA margins were 7.7%. PAT stood at Rs 131.2 crore. Total dividend for the year is Rs 7 per share. Speaking on the results, Partha DeSarkar, Whole-time Director and Group CEO of HGS said: “HGS ended the year with a solid performance in Q4FY24 across both our BPM and media divisions. On YoY basis, HGS’ operating EBITDA has increased by 82.5% while operating EBITDA margins expanded by 260 basis points to 6.0%. The recently acquired entities TekLink and Diversify have done very well. HGS also signed 11 new CX clients in Q4, taking the fiscal count to 41, showcasing strong demand for our technology-led CX services. The highlight of the full-year performance has been our operating EBITDA growing by 45.8% YoY and our Operating EBITDA expanding by 230 basis points to 7.7%. In March 2024, we incorporated a subsidiary in South Africa to service clients from the UK, US and Australia, and expect to start operations in July 2024. In the BPM business, we continue to focus aggressively on customizing horizontal services such as AI, automation and cloud etc., to develop industry-specific solutions and drive more value in the key verticals we support. An important part of this approach has been to engage with partners such as Cranium and Form1 Partners to crossleverage our capabilities for the market. FY2024 was the first full year since the merger with NXTDIGITAL. We are pleased with how the synergies between the two businesses are panning out – including collaborating to develop the NetX application under the recentlylaunched B2B brand CelerityX and co-working on automating various processes to enhance productivity and speed. We are excited about creating more collaborative opportunities between the two entities going ahead.” Commenting on the Digital Media division’s performance, Vynsley Fernandes, Whole-time Director of HGS and Head of the Digital Media business said, “Our focus in FY2024 was to build on our strong pan-India digital distribution expertise and technology innovation – by driving our retail, commercial and enterprise broadband ventures. Those initiatives, setting the foundation for future growth, are seeing traction. Whilst CelerityX, our enterprise business, continues to make gains on the back of the recently launched OneX unified network-as-aservice solution, our OIL retail broadband customer base has surged by more than 23% over the previous fiscal. That focus on digital inclusion is also reflected in our corporate actions over the last few months – first acquiring a majority stake in leading Mumbai-based ISP Seven Star Broadband and then signing on Triple Play Broadband, a Delhi-based premier ISP as an alliance partner.” Result PDF
Conference Call with Hinduja Global Solutions Management and Analysts on Q3FY24 Performance and Outlook. Listen to the full earnings transcript.
BPO/KPO company Hinduja Global Solutions announced Q3FY24 & 9MFY24 results: 12 new logos were added for digital-enabled CX solutions, and eight for HRO/Payroll Processing. The Digital Media business's new enterprise solutions brand, CelerityX, experienced good traction. NetX, a solution jointly developed by the digital teams of the BPM and Digital Media businesses, was launched. Q3FY24 operating revenue reached Rs 1,203.7 crore, marking a 7.6% YoY increase. Operating EBITDA for Q3FY24 amounted to Rs 115.1 crore, reflecting a substantial growth of 39.9% YoY. 9MFY24 operating revenue stood at Rs 3,517 crore. Operating EBITDA for 9MFY24 reached Rs 289.5 crore, representing a significant 39.3% YoY increase. A one-time cost of Rs 6.53 crore related to property exits was incurred in Q3FY24. Digital Services (comprising Technology Services and Digital Media) contributed 38.4% of 9MFY24 operating revenue. Speaking on the performance, Partha DeSarkar, Whole-time Director and Group CEO of HGS said: “Despite a challenging global macro-environment, HGS posted a resilient performance in Q3FY24, continuing to build on our efforts to improve our topline and margins. We saw a strong total revenue increase of 11.2% YoY, led by growth in Canada, TekLink and offshore businesses. Operating EBITDA (excluding other income) grew significantly at 39.9% YoY and 18.1% on sequential basis. During the third quarter, we added 12 new logos and signed multiple opportunities with 22 existing clients for our digital-led CX services. Our engagements reflect the changes in the market toward more complex, technology arbitrage driven deals for both large and mid-market clients. We are aggressively investing in people and technology to support this demand, including in areas such as Cloud, analytics, generative AI, social care, etc.” Commenting on the Digital Media division’s performance, Vynsley Fernandes, Whole-time Director of HGS and Head of the Digital Media business said, “Our media division saw robust broadband and digital television growth continuing in Q3 - ending the quarter with a customer base of 5.75 mn connected homes across India. At the same time, we’ve operationalised a primary national long distance network of 4,000 kms, with a resilient back-up of around 2,500 kms in progress. This will further accelerate our broadband growth in Tier 2 & 3 cities whilst providing for a high quality of service. CelerityX, our enterprise business has commenced rolling out innovative solutions and has signed on corporates in the retail, BFSI and manufacturing sectors for NetX, India’s first-of-its-kind platform – connecting enterprises with 18,000+ Internet Service Providers pan-India. The NetX solution, jointly developed and deployed by the digital teams of BPM and Digital Media businesses, will significantly change the digital networking landscape.” Result PDF