IT Consulting & Software company Onward Technologies announced Q2FY24 & H1FY24 results: 1. Financial Performance: Q2FY24: Total Revenue in Q2FY24 saw a slight QoQ decrease of 0.5% but a substantial YoY growth of 9.5%, amounting to Rs 121.7 crore. EBITDA for Q2FY24 increased by 3.8% QoQ and a remarkable 375.4% YoY, reaching Rs 15.0 crore. EBITDA Margin in Q2FY24 was 12.5%, which is a 39bps increase QoQ and a significant 962bps increase YoY. Profit After Tax (PAT) for Q2FY24 decreased by 11.9% QoQ but showed a remarkable YoY growth of 1556.0%, totaling Rs 9.6 crore. PAT Margin in Q2FY24 was 8.0%, which is a decrease of 112bps QoQ and a substantial 745bps increase YoY. Diluted Earnings Per Share (EPS) in Q2FY24 was Rs 4.18, reflecting a decrease of 12.4% QoQ and an impressive 1572.0% increase YoY. H1FY24: Total Revenue for H1FY24 experienced strong YoY growth of 17.9%, amounting to Rs 243.9 crore, compared to Rs 206.9 crore in H1FY23. EBITDA for H1FY24 demonstrated substantial YoY growth of 386.2%, reaching Rs 29.5 crore, compared to Rs 6.0 crore in H1FY23. EBITDA Margin in H1FY24 was 12.3%, reflecting an impressive 932bps increase YoY, up from 3.0% in H1FY23. Profit After Tax (PAT) for H1FY24 showed remarkable YoY growth of 1053.7%, totaling Rs 20.5 crore, compared to Rs 1.8 crore in H1FY23. PAT Margin in H1FY24 was 8.5%, which is a significant 766bps increase YoY, up from 0.9% in H1FY23. Diluted Earnings Per Share (EPS) in H1FY24 was Rs 8.94, reflecting a remarkable YoY growth of 1031.6%, compared to Rs 0.79 in H1FY23. 2. Vertical Performance: - The Industrial Equipment & Heavy Machinery vertical contributed 52% of consolidated revenues. - The Transportation & Mobility vertical accounted for 37% of consolidated revenues. - The Healthcare vertical contributed 8% of consolidated revenues. 3. Digital Engineering Services: - The Digital Engineering Services Line of Business (LOB) showed continued traction and contributed 41% of Q2FY24 consolidated revenue. 4. New Deals and Client Base: - Onward Technologies won 4 new deals with large OEMs in the USA and Europe during Q2FY24. - Top 25 clients contributed 85% of total revenues. 5. Employee Count and Recognition: - Onward Technologies had a total headcount of 2,674 employees. - The company was named a Major Contender in engineering services for electric mobility in the Everest Group Autonomous, Connected, Electric, Shared (ACES) Automotive Engineering Services PEAK Matrix® 2023. Commenting on the Q2FY24 results, Jigar Mehta, Managing Director, Onward Technologies, said, "We are glad to report another quarter of consistent performance across geographies and industry verticals. Despite global economic uncertainties, we witnessed 9.2% YoY revenue growth in Q2FY24. Furthermore, we maintained a strong double-digit EBITDA margin of 12.5% for the third consecutive quarter, and this is after factoring in annual wage hikes across the company & impact of ESOP costs. This demonstrates our long-term relationships with customers and the dedication of our talented team. We will continue to invest in building capabilities and offshore expansion to drive our future growth." Result PDF
Conference Call with Onward Technologies Management and Analysts on Q1FY24 Performance and Outlook. Listen to the full earnings transcript.
IT Consulting & Software company Onward Technologies announced consolidated Q1FY24 results: Revenue Growth of 27.7% YoY to Rs 119.6 crore PAT grew by 9 times YoY to Rs 10.9 crore EBITDA Margin of 12.1%; up 900 bps YoY The company continued to experience substantial growth in its focused verticals in Q1FY24 Industrial Equipment & Heavy Machinery contributed 53% of consolidated revenues Transportation & Mobility contributed 35% of consolidated revenues Healthcare contributed 9% of consolidated revenues The Digital Services Line of Business (LOB) continued good traction and contributed 37% of revenue Top 25 clients contributed 85% of total revenues Total headcount stood at 2,646 employees Commenting on the Q1FY24 results, Jigar Mehta, Managing Director, Onward Technologies, said, “We are pleased to report another strong quarter driven by our continuous focus on execution and transformation journey. Despite macroeconomic challenges, we reported revenue growth of 27.7% on a YoY basis and maintained a double-digit EBITDA margin of 12.1%. One of the most remarkable achievements is robust growth in our PAT, which grew by 9 times as compared to the previous year. This demonstrates our long-term relationships with customers and the dedication of our talented team. Going forward, we remain focused on sustaining the growth trajectory and maximizing value for our shareholders. We will continue to invest in building capabilities and offshore expansion to drive our future growth. I would like to extend my sincere gratitude to our shareholders, customers, and employees for their support throughout this journey.” Result PDF
Conference Call with Onward Technologies Management and Analysts on Q4FY23 Performance and Outlook. Listen to the full earnings transcript.