Latest news with #Birlasoft
Mint
3 days ago
- Business
- Mint
Stocks to buy: Rajesh Palviya of Axis Sec suggests Birlasoft, Glenmark Pharma, Heritage Foods shares today
Stock market today: The domestic benchmark indices, Nifty 50 and Sensex, on Friday, were muted as investors awaited the Reserve Bank of India's (RBI) policy announcement, which is widely expected to include a rate cut. The Nifty 50 decreased by 0.02% to reach 24,746.95, whereas the Sensex fell by 0.09% to 81,381.77 at 9:25 IST. The RBI is anticipated to lower its key lending rate by 25 basis points for the third consecutive time. The policy decision is set to be announced at 10:00 a.m. IST. Although a 25 basis point reduction seems likely, market participants will pay close attention to the statement regarding inflation, economic growth, and future rate trajectories, noted market experts. Other Asian markets remained lackluster, and US equities on Wall Street declined overnight due to a significant dispute involving President Donald Trump and billionaire Elon Musk. Over the past 10-12 sessions, Nifty 50 is consolidating within 25,200-24,500 levels, and hence any either-side breakout may indicate further direction. Nifty 50 is firmly placed above its 20,50,100, and 200-day SMA, which reconfirms a bullish trend on a higher time frame. On the upside, the index is expected to extend this momentum towards the 25,200-25,500 levels. The crucial support zone is located around the 24,500-24,400 levels; hence, any minor correction around this remains a buying opportunity for traders. The weekly strength indicator, RSI, is in positive territory, indicating rising strength. On the daily chart, Birlasoft share price has confirmed a trend reversal, forming a series of higher tops and bottoms. In addition, the positive crossover of the 20 and 50-day SMA reconfirms bullish sentiments. This recent rally is supported by huge volumes, which signifies increased participation. The daily and weekly strength indicators, including the Relative Strength Index (RSI), are in favourable territory, indicating rising strength. Investors should consider buying, holding, and accumulating this stock. Its expected upside is 440-475, and its downside support zone is the 395-390 levels. On the daily chart, Glenmark Pharma share price has decisively surpassed its multiple resistance zone of 1555 levels on a closing basis along with huge volumes, which signifies increased participation. The positive crossover of 20, 50 and 100-day SMAs signifies bullish sentiments. The daily and weekly "band Bollinger" buy signal suggests increased momentum. The daily and weekly strength indicators, including the Relative Strength Index (RSI), are in favourable territory, indicating rising strength. Investors should consider buying, holding, and accumulating this stock. Its expected upside is 1660-1755, and its downside support zone is the 1555-1500 levels. On the daily chart, Heritage Foods share price has decisively broken out of an "inverse head and shoulder" pattern on a closing basis, indicating bullish sentiments. Huge rising volumes indicate increased participation. The stock is sustaining above its 20-, 50, and 100-day Simple Moving Averages (SMA), reconfirming the bullish trend. The daily and weekly "band Bollinger" buy signal suggests increased momentum. The daily and weekly strength indicators, including the Relative Strength Index (RSI), are in favourable territory, indicating rising strength. Investors should consider buying, holding, and accumulating this stock. Its expected upside is 500-520, and its downside support zone is the 448-435 levels. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
Time of India
30-05-2025
- Business
- Time of India
Birlasoft shares slide over 6% in 2 days post Q4 earnings miss; Nuvama slashes target price on bleak outlook
Shares of Birlasoft Ltd have dropped 6.4% over two sessions since the company reported its fourth-quarter earnings, with the stock falling as much as 5.8% on Friday to Rs 396 on the BSE. The slide comes after the IT services firm posted a sequential decline in revenue and a tepid outlook, prompting Nuvama Institutional Equities to slash its target price and reiterate a negative stance. Nuvama lowered its 12-month target price on Birlasoft to Rs 350 from Rs 370, maintaining a 'reduce' rating. The revised target implies a potential downside of about 11.6% from Friday's low. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like New Container Houses Indonesia (Prices May Surprise You) Container House | Search ads Search Now Undo "Birlasoft reported weak Q4FY25 results," Nuvama said in a post-results note, adding that the company missed the brokerage's estimates. 'Birlasoft continues to disappoint on revenue growth,' it added, citing the weakest annual growth across its coverage universe apart from Wipro. For the March quarter, Birlasoft's consolidated revenue fell 3.36% QoQ to Rs 1,316.89 crore, and 3.35% YoY. In dollar terms, revenue stood at USD 152.2 million, down 5.4% QoQ and 7.2% YoY. Constant currency revenue fell 5.3% QoQ. Despite the revenue miss, operating margins improved, with EBITDA rising 6.2% QoQ to Rs 173.6 crore. EBITDA margin expanded to 13.2% from 12% in the previous quarter, although it was down from 16.3% a year earlier. EBIT margin also rose by 110 basis points QoQ to 11.5%, beating Nuvama's estimate of 10.7%. Live Events Management attributed the margin gains to operating efficiencies and one-off benefits, including lower variable pay and currency gains, which contributed around 200 basis points to the expansion. Project ramp-downs, segment weakness The top-line pressure was largely due to project closures and ramp-downs in key verticals. 'Revenue declined 5.3% CC QoQ/6.9% CC YoY due to higher-than-usual furloughs extending into January, some project closures and ramp-downs in a couple of large accounts, mainly in the Manufacturing and Lifesciences segments,' Nuvama said. The company highlighted leadership changes in underperforming verticals, including Manufacturing and the MedTech segment within Lifesciences. The ERP segment also continued to decline, falling 7% QoQ. Among verticals, Energy & Utilities (E&U) was the only segment to post growth, rising 1.9% QoQ, while Lifesciences, Manufacturing, and BFSI declined 7.2%, 6.8% and 5.7% QoQ, respectively. Growth revival expected from Q2 The management indicated a muted Q1 FY26, with growth expected to pick up from Q2 onwards, while margins are expected to remain in a narrow band through FY26. "Management highlighted a muted Q1 in terms of growth and deal-wins with growth starting from Q2. Management's endeavour is a better FY26 than FY25 while EBITDA margin are likely to remain in a similar range," Nuvama said noting the company's post-earnings call. Full-year FY25 performance remained soft, with constant currency revenue flat, margins contracting 280 basis points, and total TCV declining 13% YoY. Net new deal TCV was down 20% YoY. 'Birlasoft has had a disappointing FY25 on all fronts,' Nuvama said. 'A weak exit run rate in Q4 along with tepid TCV in FY25 raises serious concern about FY26 growth prospects. We continue to be negative as we see little respite in the near term.' TCV stable, but net wins still subdued Total contract value (TCV) for Q4 came in at $236 million, up 4% QoQ but down 2% YoY, including $112 million in new deals and $124 million in renewals. Net new deal wins grew 5% YoY, indicating some momentum despite the overall soft environment. Management said it is using 'its specialised domain expertise within each of the verticals and sub-verticals together with technology capabilities to create an offering.' The company is also focusing on organic growth, with no mention of M&A-led expansion. The post-earnings decline suggests investor concerns about the company's weak growth visibility and execution risks. Birlasoft's efforts to revive momentum through leadership changes and operational efficiencies have yet to reassure the market, as the stock now trades close to the revised target price set by analysts. 'Growth remains elusive,' Nuvama concluded, underscoring persistent challenges for the mid-tier IT firm as it navigates a tough demand environment and attempts to rebuild its growth engine in FY26. Also read | Market surge leads to Rs 50,000 crore worth stake sales by promoters and shareholders ( Disclaimer : Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
Economic Times
30-05-2025
- Business
- Economic Times
Birlasoft shares slide over 6% in 2 days post Q4 earnings miss; Nuvama slashes target price on bleak outlook
Shares of Birlasoft Ltd have dropped 6.4% over two sessions since the company reported its fourth-quarter earnings, with the stock falling as much as 5.8% on Friday to Rs 396 on the BSE. The slide comes after the IT services firm posted a sequential decline in revenue and a tepid outlook, prompting Nuvama Institutional Equities to slash its target price and reiterate a negative stance. ADVERTISEMENT Nuvama lowered its 12-month target price on Birlasoft to Rs 350 from Rs 370, maintaining a 'reduce' rating. The revised target implies a potential downside of about 11.6% from Friday's low. "Birlasoft reported weak Q4FY25 results," Nuvama said in a post-results note, adding that the company missed the brokerage's estimates. 'Birlasoft continues to disappoint on revenue growth,' it added, citing the weakest annual growth across its coverage universe apart from Wipro. For the March quarter, Birlasoft's consolidated revenue fell 3.36% QoQ to Rs 1,316.89 crore, and 3.35% YoY. In dollar terms, revenue stood at USD 152.2 million, down 5.4% QoQ and 7.2% YoY. Constant currency revenue fell 5.3% the revenue miss, operating margins improved, with EBITDA rising 6.2% QoQ to Rs 173.6 crore. EBITDA margin expanded to 13.2% from 12% in the previous quarter, although it was down from 16.3% a year earlier. EBIT margin also rose by 110 basis points QoQ to 11.5%, beating Nuvama's estimate of 10.7%.Management attributed the margin gains to operating efficiencies and one-off benefits, including lower variable pay and currency gains, which contributed around 200 basis points to the expansion. ADVERTISEMENT The top-line pressure was largely due to project closures and ramp-downs in key verticals. 'Revenue declined 5.3% CC QoQ/6.9% CC YoY due to higher-than-usual furloughs extending into January, some project closures and ramp-downs in a couple of large accounts, mainly in the Manufacturing and Lifesciences segments,' Nuvama said. ADVERTISEMENT The company highlighted leadership changes in underperforming verticals, including Manufacturing and the MedTech segment within Lifesciences. The ERP segment also continued to decline, falling 7% verticals, Energy & Utilities (E&U) was the only segment to post growth, rising 1.9% QoQ, while Lifesciences, Manufacturing, and BFSI declined 7.2%, 6.8% and 5.7% QoQ, respectively. ADVERTISEMENT The management indicated a muted Q1 FY26, with growth expected to pick up from Q2 onwards, while margins are expected to remain in a narrow band through FY26."Management highlighted a muted Q1 in terms of growth and deal-wins with growth starting from Q2. Management's endeavour is a better FY26 than FY25 while EBITDA margin are likely to remain in a similar range," Nuvama said noting the company's post-earnings call. ADVERTISEMENT Full-year FY25 performance remained soft, with constant currency revenue flat, margins contracting 280 basis points, and total TCV declining 13% YoY. Net new deal TCV was down 20% YoY.'Birlasoft has had a disappointing FY25 on all fronts,' Nuvama said. 'A weak exit run rate in Q4 along with tepid TCV in FY25 raises serious concern about FY26 growth prospects. We continue to be negative as we see little respite in the near term.'Total contract value (TCV) for Q4 came in at $236 million, up 4% QoQ but down 2% YoY, including $112 million in new deals and $124 million in renewals. Net new deal wins grew 5% YoY, indicating some momentum despite the overall soft said it is using 'its specialised domain expertise within each of the verticals and sub-verticals together with technology capabilities to create an offering.' The company is also focusing on organic growth, with no mention of M&A-led post-earnings decline suggests investor concerns about the company's weak growth visibility and execution risks. Birlasoft's efforts to revive momentum through leadership changes and operational efficiencies have yet to reassure the market, as the stock now trades close to the revised target price set by analysts.'Growth remains elusive,' Nuvama concluded, underscoring persistent challenges for the mid-tier IT firm as it navigates a tough demand environment and attempts to rebuild its growth engine in FY26. Also read | Market surge leads to Rs 50,000 crore worth stake sales by promoters and shareholders (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times) (You can now subscribe to our ETMarkets WhatsApp channel)
Business Standard
29-05-2025
- Business
- Business Standard
Birlasoft Q4 PAT rises 4% QoQ to Rs 122 cr
Birlasoft reported a 4.42% increase in consolidated net profit to Rs 122.11 crore in Q4 FY25, up from Rs 116.94 crore in Q3 FY25. However, revenue from operations decreased 3.36% quarter-on-quarter (QoQ) to Rs 1,316.89 crore in Q4 FY25. As compared to Q4 FY24, the companys consolidated net profit fell 32.19% and revenue declined 3.35%. EBITDA stood at Rs 173.6 crore in Q4 FY25, up 6.2% QoQ but down 21.7% year-on-year (YoY). EBITDA margin improved to 13.2% in Q4 FY25 compared to 12% in Q3 FY25, though it declined from 16.3% in Q4 FY24. In dollar terms, the companys revenue was $152.2 million, registering a decline of 5.4% QoQ and 7.2% YoY. In constant currency terms, revenue declined 5.3% QoQ. The company signed deals with a total contract value (TCV) of $236 million during the quarter, up 4% QoQ, comprising new deal wins worth $112 million and renewals worth $124 million. Active client count stood at 254 in Q4 FY25, down from 265 in Q3 FY25 and 259 in Q4 FY24, reflecting some rationalization of the tail. Cash and cash equivalents rose to $259.5 million at the end of Q4 FY25, compared to $240.1 million at the end of Q3 FY25. In rupee terms, cash and cash equivalents increased to Rs 22,177 million at the end of Q4 FY25 from Rs 20,552 million at the end of the previous quarter. The workforce strength stood at 11,930 as of 31 March 2025, with an attrition rate of 12.8% during Q4 FY25. Angan Guha, chief executive officer and managing director of Birlasoft, said, We are pleased to report a steady year in the face of a soft demand environment owing to sustained macro-economic challenges, with revenue during FY2025 growing 1.8% over the preceding year. We continue to generate consistently strong cashflows. We also saw a noticeable uptick in our deal wins during the second-half of the year under review, with a sequential increase in TCV of deals won during the quarter under review to $236 million led by higher new deals, demonstrating the strength of our pipeline and our ability to pursue deal closures. While our near-term outlook is likely to reflect the impact of shifts in customer priorities, we continue to invest in our capabilities such as generative AI, where we have been early adopters. Kamini Shah, chief financial officer, Birlasoft, said, "Our consolidated revenue during FY25 has grown 1.8% over the preceding year to Rs 53,752 million. Our EBITDA margin performance for the year reflects the investments we have been making in our business as well as higher furloughs, consolidation deals, and growth in the Infra business. For the quarter under review, revenue stood at $152.2 million and the EBITDA margin expanded 119 basis points sequentially to 13.2%. Cash flow from operations during the year and the quarter were 88.3% and 88.1%, respectively, of EBITDA, led by sustained focus on collections. We have ended the year with a robust balance sheet and believe that we are well-positioned to successfully navigate through the prevalent macroeconomic environment." Meanwhile, the companys board has recommended a final dividend of Rs 4 per equity share for the financial year 2024-25, subject to approval by the members at the upcoming Annual General Meeting (AGM) of the company. The date of the AGM will be intimated in due course, and the dividend, if declared by the members, will be paid within the statutory timelines. Further, the companys board has approved that Manjunath Kygonahally, senior management personnel (SMP) and currently chief executive officer for rest of the world (CEO-ROW), will take on an additional role as Global Head of Strategic Growth Initiatives, effective 28 May 2025. He will be designated as CEO-ROW and Global HeadStrategic Growth Initiatives. Birlasoft, part of the CK Birla Group, provides digital and information technology consulting, services, solutions and products for organizations across industries worldwide. The counter shed 0.77% to Rs 420.05 on the BSE.
Business Standard
29-05-2025
- Business
- Business Standard
Birlasoft consolidated net profit declines 32.19% in the March 2025 quarter
Sales decline 3.35% to Rs 1316.89 crore Net profit of Birlasoft declined 32.19% to Rs 122.11 crore in the quarter ended March 2025 as against Rs 180.08 crore during the previous quarter ended March 2024. Sales declined 3.35% to Rs 1316.89 crore in the quarter ended March 2025 as against Rs 1362.55 crore during the previous quarter ended March 2024. For the full year,net profit declined 17.15% to Rs 516.76 crore in the year ended March 2025 as against Rs 623.76 crore during the previous year ended March 2024. Sales rose 1.84% to Rs 5375.24 crore in the year ended March 2025 as against Rs 5278.15 crore during the previous year ended March 2024. Particulars Quarter Ended Year Ended Mar. 2025 Mar. 2024 % Var. Mar. 2025 Mar. 2024 % Var. Sales 1316.891362.55 -3 5375.245278.15 2 OPM % 13.1816.27 - 12.9815.84 - PBDT 187.94263.31 -29 782.54919.79 -15 PBT 166.30242.22 -31 696.83834.76 -17 NP 122.11180.08 -32 516.76623.76 -17
