Share the post "SoftSol India ‘s Q1 Report: Revenue Rises by 39.57% YoY"
Highlights
- The presented financial data is Consolidated to provide a comprehensive overview of the company performance.
- Sales over the Year and quarter: The company experienced a substantial growth of 39.57 % in the past year, substantial increase in net sales/revenue by 26.03 %.
- Income over the Year and quarter: There has been either a marginal increase or a decline in other income over the past year which is 540.03 %. Marginal increase in other income during this quarter, up by 471.08%.
- Profit over the Year and quarter: Significant improvement in profitability for SoftSol India Limited.. Notable increase of 396.57 % in net profit Year to Year, SoftSol India Limited.’s profitability increased by 362.33 % in this quarter.
- EPS over the Year and quarter: EPS increased by 395.73 % Year to Year. EPS increased by 361.93 % in previous quarter. Positive impact on shareholders.
| Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
|---|---|---|---|---|---|
| Sales | Rs. 19.001 Cr | Rs. 21.042 Cr | Rs. 26.519 Cr | + 26.03 % | + 39.57 % |
| Expenses | Rs. 16.16 Cr | Rs. 16.01 Cr | Rs. 18.12 Cr | + 13.18 % | + 12.13 % |
| Operating Profit | Rs. 2.84 Cr | Rs. 5.03 Cr | Rs. 8.4 Cr | + 67 % | + 195.77 % |
| OPM % | 14.95 % | 23.9 % | 31.68 % | + 7.78 % | + 16.73 % |
| Other Income | Rs. 0.762 Cr | Rs. 0.854 Cr | Rs. 4.877 Cr | + 471.08 % | + 540.03 % |
| Interest | Rs. 0.09 Cr | Rs. 1.45 Cr | Rs. 0.09 Cr | -93.79 % | + 0 % |
| Depreciation | Rs. 0.43 Cr | Rs. 0.74 Cr | Rs. 0.49 Cr | -33.78 % | + 13.95 % |
| Profit before tax | Rs. 3.08 Cr | Rs. 3.69 Cr | Rs. 12.7 Cr | + 244.17 % | + 312.34 % |
| Tax % | 21.73 % | 29.68 % | 5.49 % | -24.19 % | -16.24 % |
| Net Profit | Rs. 2.42 Cr | Rs. 2.6 Cr | Rs. 12 Cr | + 361.54 % | + 395.87 % |
| EPS in Rs | Rs. 1.64 | Rs. 1.76 | Rs. 8.13 | + 361.93 % | + 395.73 % |
Today, we’re looking at SoftSol India Limited.’s financial performance for the Q1(Jun 2024).Starting with the top line, the company reported a robust year-over-year sales growth of 39.57 %. However, it did see a marginal increase of 26.03 % from the previous quarter. Expenses ticked up slightly by 13.18 % quarter-on-quarter, aligning with the annual rise of 12.13 %. Operating profit, while up 195.77 % compared to last year, faced a quarter-on-quarter increase of 67 %, signaling a short-term expansion in margins.
The Operating Profit Margin (OPM) % echoes this narrative, showing resilience on an annual basis with an increase of 16.73 %, but an expansion of 7.78 % sequentially. Other income rose by 471.08 % compared to the last quarter, despite an annual growth of 540.03 %. Interest expenses dropped significantly by -93.79 % from the previous quarter, yet the year-over-year increase remains at a moderate 0 %. Depreciation costs fell by -33.78 % quarter-on-quarter, whereas on an annual scale, they saw an increase of 13.95 %. Profit before tax grew annually by 312.34 % but saw an increase from the preceding quarter by 244.17 %.
Tax expenses as a percentage of profits decreased slightly by -16.24 % compared to last year, with a more notable quarter-on-quarter decrease of -24.19 %. Net profit rose by 395.87 % year-on-year but experienced a 361.54 % expansion from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual uptick of 395.73 % but a quarterly rise of 361.93 %. In summary, SoftSol India Limited.’s annual performance indicates steady growth, although the quarter-on-quarter figures suggest some areas may require strategic attention.
| Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
|---|---|---|---|---|---|
| Sales | Rs. 19.001 Cr | Rs. 21.042 Cr | Rs. 26.519 Cr | + 26.03 % | + 39.57 % |
| Expenses | Rs. 16.16 Cr | Rs. 16.01 Cr | Rs. 18.12 Cr | + 13.18 % | + 12.13 % |
| Operating Profit | Rs. 2.84 Cr | Rs. 5.03 Cr | Rs. 8.4 Cr | + 67 % | + 195.77 % |
| Net Profit | Rs. 2.42 Cr | Rs. 2.6 Cr | Rs. 12 Cr | + 361.54 % | + 395.87 % |
| EPS in Rs | Rs. 1.64 | Rs. 1.76 | Rs. 8.13 | + 361.93 % | + 395.73 % |
In reviewing SoftSol India Limited.’s 2024(Q1) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales saw a robust 39.57 % year-on-year growth, however, there was a minor increase of 26.03 % from the previous quarter. Expenses rose by 12.13 % compared to the previous year, with a 13.18 % increase quarter-on-quarter. Operating Profit surged by 195.77 % annually, and saw a 67 % increase from the last quarter.
Net Profit showed yearly increase of 395.87 %, and experienced a 361.54 % increase from the previous quarter. Earnings Per Share (EPS) rose by 395.73 % annually, however rose by 361.93 % compared to the last quarter. In essence, while SoftSol India Limited. exhibits strong annual growth indicators, short-term improvements suggest the potential for recovery and the importance of strategic adjustments to counter market challenges effectively. That’s all for now in the financial sector.
32
3-Year Profit
25
5-Year Profit
9
10-Year Profit
283
Current Price
3,055
Market Cap
The company associated with BSE code 540797 presents a financial narrative of mixed fortunes. Over a five-year period, the company achieved a profit of 25 units, which subsequently rose to 32 units over the three years that followed. Yet, despite this initial growth, the company now faces a troubling trailing twelve-month (TTM) profit loss of 26 units. What’s particularly striking is the company’s complete absence of reported sales across all analyzed periods, which brings into question the viability of its revenue generation strategies and long-term business sustainability. Moreover, stock prices have been highly volatile, reflecting the company’s uncertain future. While the stock was valued at 26 units over the last five years, it has recently dropped to 15 units, underscoring a rapid decline in market confidence. Over the longer ten-year period, the stock price was at 0 units, illustrating a pattern of fluctuating performance that could pose risks for potential investors.
The company has a market capitalization of ₹3,055 crore and is currently trading at a stock price of ₹283. Over time, the stock has fluctuated between the historical highs and lows of ₹340 / 210, reflecting the market's volatility. With a Price-to-Earnings (P/E) ratio of 39.5, the stock appears highly valued, indicating that investors are willing to pay a premium for its earnings potential. The company's book value per share stands at ₹92.6, showcasing the underlying asset value. Additionally, the dividend yield is 0.42%, suggesting that the company offers shareholders a moderate return on their investment in the form of dividends. The Return on Capital Employed (ROCE) is 11.0%, indicating the efficiency with which the company generates profit from its capital. Meanwhile, the Return on Equity (ROE) is 8.16%, highlighting the profitability relative to shareholder equity. Despite these figures, the company maintains a very low debt-to-equity ratio of 0.38, signaling minimal leverage. It also reports a net cash flow of ₹14.9 crore, reflecting the company's ability to generate cash. The Piotroski score is 5.00, a measure of the company's financial strength, while the Graham Number estimates the intrinsic value of the stock at ₹123. The Price-to-Book (P/B) ratio of 3.05 further suggests that the stock is trading at a premium relative to its book value, potentially reflecting positive market sentiment or expectations of future growth.
