Tera Software ‘s Q2 Report: Revenue Rises by 19.69% YoY

The comprehensive analytics outlining the performance and outlook of Tera Software Limited‘s stock. This analysis encompasses various metrics including stock performance, investor sentiment, market trends, future outlook, risk factors, investment opportunities, long-term strategy, dividend policy, analyst insights, and the overall risk-reward profile. These insights aim to provide investors with a holistic understanding of the company”s stock, enabling informed decision-making and strategic investment planning.

Today, we’re looking at Tera Software Limited’s financial performance for the Q2(Sep 2024-25).Starting with the top line, the company reported a robust year-over-year sales growth of 19.69 %. However, it did see a marginal increase of 1.98 % from the previous quarter. Expenses ticked up slightly by 7.52 % quarter-on-quarter, aligning with the annual rise of 20.26 %. Operating profit, while up 14.36 % compared to last year, faced a quarter-on-quarter dip of -32.65 %, signaling a short-term contraction in margins.
The Operating Profit Margin (OPM) % contradicts this narrative, showing weakness on an annual basis with a decrease of -0.42 %, but a shrinkage of -4.68 % sequentially. Other income fell by -52.4 % compared to the last quarter, despite an annual growth of 221.98 %. Interest expenses surged remarkably by 65.67 % from the previous quarter, yet the year-over-year increase remains at a moderate 50 %. Depreciation costs climbed by 0 % quarter-on-quarter, whereas on an annual scale, they saw an increase of 0 %. Profit before tax grew annually by 140.54 % but saw a reduction from the preceding quarter by -55.61 %.
Tax expenses as a percentage of profits decreased slightly by -94.73 % compared to last year, with a more notable quarter-on-quarter decrease of -2.12 %. Net profit rose by 800 % year-on-year but witnessed a -54.01 % contraction from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual uptick of 814.29 % but a quarterly fall of -54.34 %. In summary, Tera Software Limited’s annual performance indicates steady growth, although the quarter-on-quarter figures suggest some areas may require strategic attention.

In reviewing Tera Software Limited’s 2024-25(Q2) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales saw a robust 19.69 % year-on-year growth, however, there was a minor increase of 1.98 % from the previous quarter. Expenses rose by 20.26 % compared to the previous year, with a 7.52 % increase quarter-on-quarter. Operating Profit surged by 14.36 % annually, and saw a -32.65 % decrease from the last quarter.
Net Profit showed yearly increase of 800 %, and experienced a -54.01 % decrease from the previous quarter. Earnings Per Share (EPS) rose by 814.29 % annually, however dipped by -54.34 % compared to the last quarter. In essence, while Tera Software Limited exhibits strong annual growth indicators, short-term fluctuations suggest the need for agile strategies to navigate market dynamics effectively. That’s all for now in the financial sector.