IT services and digital solutions firms Coforge announced their first quarter numbers reporting a 19.4% year-on-year (YoY) drop in profit due to a one-time hit with a stake acquisition of Cigniti Technologies announced in May. On a sequential basis, profit fell 40.5% to Rs 133.2 crore in April to June period 2024 as compared to Rs 223.7 crore in the previous quarter.The mid-tier firm’s profit stood at Rs 165.3 crore a year ago. Without the acquisition impact, the “normalised profit” grew 38.2% YoY at Rs 228.5 crore.

The revenue grew 8.1% YoY and 1.8% quarter-on-quarter (QoQ) to Rs 2,400.8 crore for the first quarter ending June as compared to Rs 2,221 crore in Q1FY24 and Rs 2,358.5 crore in the March quarter or Q4FY24.

In dollar terms, revenue grew 7.8% YOY and 1.6% QoQ in constant currency terms at $291.4 million.

Margins were impacted due to acquisition of Cigniti-related expenses at Rs 79.5 crore. Its EBIDTA margins declined to 17.9% from 19.0% in previous quarter and up from 16% a year ago.

“FY25 has started on a strong note with a healthy increase in EBITDA margins by 210 bps (basis points) over last year and OCF of $23.2 million. A very strong executable order book, backed by the highest ever headcount addition, sets us up for continued growth ahead,” said Sudhir Singh, chief executive officer, Coforge.

The firm’s total executable order book over next 12 months edged down to $1.75 billion in Q1FY25 from $1.95 billion in the fourth quarter FY24.The company’s board also declared an interim dividend of Rs 19 per equity share for the financial year 2024-25. The record date has been fixed as August 2 to determine the eligibility of shareholders for the proposed dividend.

Coforge’s total global headcount saw additions of 1,886 people from previous quarter with total employees at 26,612 as of June end. Last twelve months (LTM) attrition improved a tad to 11.4% from 11.5% in the previous quarter.

The earnings per share (EPS) for Q1 stood at Rs 20.78, marking a 21.7% YoY decline.

On Tuesday, Coforge shares rose by 4% in early trade and was trading 1.5% higher at Rs 6166 apiece by noon. Quarter results were announced late evening on Monday.

IT services and digital solutions firms Coforge announced their first quarter numbers reporting a 19.4% year-on-year (YoY) drop in profit due to a one-time hit with a stake acquisition of Cigniti Technologies announced in May. On a sequential basis, profit fell 40.5% to Rs 133.2 crore in April to June period 2024 as compared to Rs 223.7 crore in the previous quarter.The mid-tier firm’s profit stood at Rs 165.3 crore a year ago. Without the acquisition impact, the “normalised profit” grew 38.2% YoY at Rs 228.5 crore.

The revenue grew 8.1% YoY and 1.8% quarter-on-quarter (QoQ) to Rs 2,400.8 crore for the first quarter ending June as compared to Rs 2,221 crore in Q1FY24 and Rs 2,358.5 crore in the March quarter or Q4FY24.

In dollar terms, revenue grew 7.8% YOY and 1.6% QoQ in constant currency terms at $291.4 million.

Margins were impacted due to acquisition of Cigniti-related expenses at Rs 79.5 crore. Its EBIDTA margins declined to 17.9% from 19.0% in previous quarter and up from 16% a year ago.

“FY25 has started on a strong note with a healthy increase in EBITDA margins by 210 bps (basis points) over last year and OCF of $23.2 million. A very strong executable order book, backed by the highest ever headcount addition, sets us up for continued growth ahead,” said Sudhir Singh, chief executive officer, Coforge.

The firm’s total executable order book over next 12 months edged down to $1.75 billion in Q1FY25 from $1.95 billion in the fourth quarter FY24.The company’s board also declared an interim dividend of Rs 19 per equity share for the financial year 2024-25. The record date has been fixed as August 2 to determine the eligibility of shareholders for the proposed dividend.

Coforge’s total global headcount saw additions of 1,886 people from previous quarter with total employees at 26,612 as of June end. Last twelve months (LTM) attrition improved a tad to 11.4% from 11.5% in the previous quarter.

The earnings per share (EPS) for Q1 stood at Rs 20.78, marking a 21.7% YoY decline.

On Tuesday, Coforge shares rose by 4% in early trade and was trading 1.5% higher at Rs 6166 apiece by noon. Quarter results were announced late evening on Monday.