Sagility India is making waves in the stock market following its impressive Q2FY25 results. The company reported a staggering 236% year-on-year (YoY) increase in profit after tax (PAT), reaching ₹117.34 crore. Its shares have gained 28% in just eight sessions, hitting a new all-time high of ₹34.69 per share on November 27, 2024.
Key Financial Highlights
| Metric | Q2FY25 | Q2FY24 | YoY Growth |
|---|---|---|---|
| Revenue | ₹1,325 crore | ₹1,094.10 crore | 21% |
| EBITDA | ₹316.5 crore | ₹263 crore | 20.3% |
| EBITDA Margin | 23.9% | 24.1% | Slight decline |
| Profit After Tax (PAT) | ₹117.34 crore | ₹34.96 crore | 236% |
Despite a slight dip in EBITDA margins, the company’s overall financial performance reflects robust growth, driven by increased operational efficiency and client expansion.
Operational Achievements
As of September 30, 2024, Sagility India:
- Operates in five countries.
- Manages 32 delivery centers.
- Serves 45 active clients.
- Achieved a client Net Promoter Score (NPS) of 53, demonstrating high customer satisfaction.
Stock Performance: A Rising Star
Sagility India’s shares have seen a dramatic turnaround since their weak IPO debut on November 12, 2024. Initially listing at ₹29.32, 2.3% below the IPO price of ₹30, the stock struggled before gaining momentum post-Q2 results.
| Date | Share Price |
|---|---|
| November 13 | ₹27 |
| November 27 | ₹34.69 |
| Increase | 28% |
Expert Commentary
Ramesh Gopalan, Managing Director and Group CEO of Sagility India, emphasized the company’s strategic investments in advanced technologies like AI and its strong positioning in the US healthcare services market. He remarked, “Our runway for growth is long, backed by favorable industry dynamics and strategic investments in value-creating technologies.”
Growth Drivers
- Expanding Client Base: Long-standing client relationships and growing demand for healthcare services.
- Tech-Enabled Solutions: Investments in AI and advanced analytics to enhance service delivery.
- Global Presence: A diverse geographical footprint supports risk mitigation and scalability.
Future Prospects
Sagility India’s strong financial results and market positioning make it a promising stock for long-term investors. With industry dynamics favoring growth and continued investments in innovation, the company is well-equipped to maintain its upward trajectory.
- Disclaimer: This article is for informational purposes only and does not constitute financial advice. Investors should perform independent research before making investment decisions.
