IT Consulting & Software company Mastek announced Q2FY24 results: 1. Financial Performance: - Q2FY24 revenue at Rs 765.5 crore, up by 22.4% YoY - Operating revenue up by 13.5% YoY in constant currency terms - 12 months order backlog grew by 22.3% YoY in rupee terms 2. Operational Performance: - Added 29 new clients in Q2FY24 - 12 months order backlog at Rs 1,861.8 crore (USD 224.2 million) - Total active clients: 441 - Total employees: 5,598 3. Key Wins for the Quarter: - Provided a single sign-on flagship digital program for the UK government - Implemented Oracle cloud solutions in the healthcare industry - Implemented ERP system for a US-based airport hospitality customer - Delivered cloud solutions and implementation services for a European government organization - Implemented Microsoft Dynamics 365 CRM for a leading bank in Southeast Asia - Implemented Oracle ERP for a UK-based international ferry port 4. Acquisition Update: - Mastek completed the acquisition of BizAnalytica, LLC in August 2023 - BizAnalytica brings data cloud and modernization expertise to Mastek 5. Strategic Priorities: - Expanding presence in the Americas, specifically targeting healthcare, retail, and manufacturing sectors - Continued growth in the UK public sector and expansion in Europe and the Middle East - Differentiated talent and delivery model to attract and retain top talent - Value-based delivery to drive business outcomes - Strengthening strategic partnerships, particularly in the Oracle cloud - Focus on innovation, intellectual property, and ESG (Environment, Social, and Governance) Commenting on the Q2FY24 results, Hiral Chandrana, Chief Executive Officer, Mastek, said, “We are glad to report revenue growth of 13.5% YoY in constant currency fueled by organic growth in the US and demand for digital & cloud services. Our 12-month order backlog was USD 224.2 million, a growth of 19.8% Y-o-Y in dollar terms, with a robust Order Book from the UK. Mastek was recognized by Everest Group as Top 5 Global SI’s in Oracle Cloud Applications. We rewarded employees for their contributions and have implemented companywide salary increments during the quarter. We successfully completed the acquisition of BizAnalytica, accelerating our presence in Data Cloud and the fast-evolving Generative AI space.” Arun Agarwal, Chief Financial Officer, Mastek, said, “We reported revenue of Rs 766 crore for the quarter, a growth of 4.4% on a QoQ basis in constant currency driven by momentum in our existing business and integration of BizAnalytica. Despite challenges such as delayed deal closures, we were able to maintain a growth trajectory in the order book. We delivered an operating EBITDA margin of 16.1% in Q2FY24 after incorporating salary hikes across the organization. We are cautious about prevailing macroeconomic conditions, however, our resilient business model, strong pipeline, and improved utilization are encouraging as we execute in H2FY24.” Result PDF
Conference Call with Mastek Management and Analysts on Q1FY24 Performance and Outlook. Listen to the full earnings transcript.
IT Consulting & Software company Mastek announced Q1FY24 results: Revenue at Rs 725.3 crore in Q1FY24 compared to Rs 570.3 crore in Q1FY23, up by 27.2% YoY Signed definitive agreement to acquire BizAnalytica, LLC - a data cloud & modernization specialist 12 months order backlog grew by 16.9% YoY Opearting EBITDA of Rs 127 crore in Q1FY24 compared to Rs 109.2 crore in Q1FY23, up 16.3% YoY Operating EBITDA at 17.5% of revenue Net Profit of Rs 73.5 crore in Q1FY24 compared to Rs 84.4 crore in Q1FY23, down 12.8% YoY Dituted EPS of Rs 22.7 in Q1FY24 compared to Rs 25.1 in Q1FY23 Commenting on the Q1FY24 results, Hiral Chandrana, Chief Executive Officer, Mastek, said: “We reported revenue growth of 20.2% YoY in constant currency driven by demand for Digital Engineering, Experience, and Cloud Transformation services and disciplined execution. Despite macroeconomic challenges, we maintained growth momentum and deeper engagement with our strategic clients. We are excited about opportunities in Data Cloud and Generative AI space and pleased to welcome the BizAnalytica team to the Mastek family. We are thankful to our customers, employees, and shareholders for their continued trust in Mastek.” Arun Agarwal, Chief Financial Officer, Mastek, said: “Despite uncertain market conditions, we continued to demonstrate resilience and adaptability, maintaining stable growth and margins. During the quarter, we reported revenue of Rs 725.3 crore, a growth of 2.3% QoQ in reported currency. We continued to prioritize financial discipline and operational efficiency to drive sustainable growth, resulting in an operating EBITDA margin of 17.5%. Mastek’s capability in data cloud has been strengthened with the acquisition of BizAnalytica, and we are optimistic about our prospects to drive shareholder value for the remaining FY24 and beyond.” Result PDF