On consolidated basis
Quarter ended December 2023 compared with Quarter ended September 2023.
Net sales (including other operating income) of Oracle Financial Services
Software has increased 26.25% to Rs 1823.62 crore.
Operating profit margin has jumped
from 38.64% to 47.63%, leading to 55.63% rise in operating profit to Rs 868.58
crore. Employee cost decreased from 51.78% to 41.70%.
Other expenses rose from 9.58% to 10.67%. Selling and
administration expenses rose from 5.72% to 7.64%. Other direct
service cost fell from 3.86% to 3.03%.
Other income rose 44.21% to Rs 93.94
crore. PBIDT rose 54.44% to Rs 962.52 crore. Provision
for interest rose 16.54% to Rs 9.37 crore.
PBDT rose 54.93% to Rs 953.15
crore.
Profit before tax grew 56.68% to Rs
934.14 crore. Share of profit/loss were nil in both the
periods. Provision for tax was expense of Rs 193.33 crore, compared
to Rs 178.75 crore. Effective tax rate was 20.70% compared to
29.98%.
Minority interest was nil in both
the periods. Net profit attributable to owners of the company
increased 77.46% to Rs 740.81 crore.
Promoters’ stake was 72.78% as of 31
December 2023 ,compared to 72.81% as of 30 September 2023 .
Quarter ended December 2023 compared
with Quarter ended December 2022.
Net sales (including other operating income) of Oracle Financial Services
Software has increased 25.83% to Rs 1823.62 crore. Sales of Product
license & related activitie segment has gone up 28.93% to Rs 1,679.55 crore
(accounting for 92.10% of total sales). Sales of IT Solutions &
Consulting services segment has gone down 1.73% to Rs 144.07 crore (accounting
for 7.90% of total sales).
Profit before interest, tax and
other unallocable items (PBIT) has jumped 40.18% to Rs 903.86
crore. PBIT of Product license & related activitie segment rose
40.74% to Rs 866.67 crore (accounting for 95.88% of total PBIT). PBIT
of IT Solutions & Consulting services segment rose 28.25% to Rs 37.20 crore
(accounting for 4.12% of total PBIT).
PBIT margin of Product license &
related activitie segment rose from 47.27% to 51.60%. PBIT margin of
IT Solutions & Consulting services segment rose from 19.78% to
25.82%. Overall PBIT margin rose from 44.49% to 49.56%.
Operating profit margin has jumped
from 41.83% to 47.63%, leading to 43.28% rise in operating profit to Rs 868.58
crore. Employee cost decreased from 49.94% to 41.70%.
Other expenses rose from 8.23% to 10.67%. Selling and
administration expenses rose from 5.32% to 7.64%. Other direct
service cost rose from 2.91% to 3.03%.
Other income rose 130.25% to Rs
93.94 crore. PBIDT rose 48.76% to Rs 962.52 crore. Provision
for interest rose 42.19% to Rs 9.37 crore.
PBDT rose 48.83% to Rs 953.15
crore. Provision for depreciation fell 7.76% to Rs 19.01
crore.
Profit before tax grew 50.71% to Rs
934.14 crore. Share of profit/loss were nil in both the
periods. Provision for tax was expense of Rs 193.33 crore, compared
to Rs 182.48 crore. Effective tax rate was 20.70% compared to
29.44%.
Minority interest was nil in both
the periods. Net profit attributable to owners of the company
increased 69.39% to Rs 740.81 crore.
Promoters’ stake was 72.78% as of 31
December 2023 ,compared to 72.99% as of 31 December 2022 .
For year-to-date (YTD) results
analysis.
Net sales (including other operating income) of Oracle Financial Services
Software has increased 11.89% to Rs 4730.53 crore. Sales of Product
license & related activitie segment has gone up 13.20% to Rs 4,295.27 crore
(accounting for 90.80% of total sales). Sales of IT Solutions &
Consulting services segment has gone up 0.42% to Rs 435.26 crore (accounting
for 9.20% of total sales).
Profit before interest, tax and
other unallocable items (PBIT) has jumped 12.21% to Rs 2,146.83
crore. PBIT of Product license & related activitie segment rose
11.97% to Rs 2,029.81 crore (accounting for 94.55% of total PBIT). PBIT
of IT Solutions & Consulting services segment rose 16.54% to Rs 117.03
crore (accounting for 5.45% of total PBIT).
PBIT margin of Product license &
related activitie segment fell from 47.77% to 47.26%. PBIT margin of
IT Solutions & Consulting services segment rose from 23.17% to
26.89%. Overall PBIT margin rose from 45.25% to 45.38%.
Operating profit margin has jumped
from 43.06% to 43.30%, leading to 12.51% rise in operating profit to Rs
2,048.18 crore. Employee cost decreased from 48.91% to 47.04%.
Other expenses rose from 8.03% to 9.66%. Selling and
administration expenses rose from 5.35% to 6.21%. Other direct
service cost rose from 2.68% to 3.45%.
Other income rose 98.85% to Rs
259.66 crore. PBIDT rose 18.28% to Rs 2307.84
crore. Provision for interest rose 186.14% to Rs 14.25
crore.
PBDT rose 17.86% to Rs 2293.59
crore. Provision for depreciation fell 8.83% to Rs 56.5
crore.
Profit before tax grew 18.73% to Rs
2,237.09 crore. Share of profit/loss were nil in both the
periods. Provision for tax was expense of Rs 577.85 crore, compared
to Rs 557.3 crore. Effective tax rate was 25.83% compared to 29.58%.
Minority interest was nil in both
the periods. Net profit attributable to owners of the company
increased 25.05% to Rs 1,659.24 crore.
Promoters’ stake was 72.78% as of 31
December 2023 ,compared to 72.99% as of 31 December 2022 .
Full year results analysis.
Net sales (including other operating income) of Oracle Financial Services
Software has increased 9.13% to Rs 5698.31 crore. Sales of Product
license & related activitie segment has gone up 9.36% to Rs 5,130.90 crore
(accounting for 90.04% of total sales). Sales of IT Solutions &
Consulting services segment has gone up 7.09% to Rs 567.41 crore (accounting
for 9.96% of total sales).
Profit before interest, tax and
other unallocable items (PBIT) has slumped 0.21% to Rs 2,577.50
crore. PBIT of Product license & related activitie segment fell
0.21% to Rs 2,447.10 crore (accounting for 94.94% of total
PBIT). PBIT of IT Solutions & Consulting services segment fell
0.16% to Rs 130.40 crore (accounting for 5.06% of total PBIT).
PBIT margin of Product license &
related activitie segment fell from 52.27% to 47.69%. PBIT margin of
IT Solutions & Consulting services segment fell from 24.65% to
22.98%. Overall PBIT margin fell from 49.47% to 45.23%.
Operating profit margin has declined
from 47.86% to 43.37%, leading to 1.10% decline in operating profit to Rs
2,471.38 crore. Employee cost increased from 46.08% to 48.68%.
Other expenses rose from 6.06% to 7.95%. Selling and
administration expenses rose from 3.73% to 5.29%. Other direct
service cost rose from 2.34% to 2.66%.
Other income rose 42.80% to Rs
191.84 crore. PBIDT rose 1.14% to Rs 2663.22
crore. Provision for interest rose 3.77% to Rs 12.66
crore. Loan funds declined from Rs 83.39 crore as of 31 March 2022
to Rs 69.40 crore as of 31 March 2023. Sundry debtors were higher at
Rs 1,083.37 crore as of 31 March 2023 compared to Rs 926.27 crore as of 31
March 2022. Cash and bank balance rose to Rs 5,469.74 crore as of 31
March 2023 from Rs 5,122.49 crore as of 31 March 2022.
PBDT rose 1.12% to Rs 2650.56
crore. Provision for depreciation fell 13.08% to Rs 80.66
crore. Fixed assets declined from Rs 266.57 crore as of 31 March
2022 to Rs 238.72 crore as of 31 March 2023. Intangible assets stood
at Rs 608.66 crore.
Profit before tax grew 1.65% to Rs
2,569.90 crore. Share of profit/loss were nil in both the
periods. Provision for tax was expense of Rs 763.76 crore, compared
to Rs 639.45 crore. Effective tax rate was 29.72% compared to
25.29%.
Minority interest was nil in both
the periods. Net profit attributable to owners of the company
decreased 4.38% to Rs 1,806.14 crore.
Equity capital increased from Rs
43.12 crore as of 31 March 2022 to Rs 43.20 crore as of 31 March
2023. Per share face Value remained same at Rs 5.00.
Promoters’ stake was 72.98% as of 31
March 2023 ,compared to 73.11% as of 31 March 2022 .
Cash flow from operating activities
decreased to Rs 1,758.42 crore for year ended March 2023 from Rs 1,856.15 crore
for year ended March 2022. Cash flow used in acquiring fixed assets
during the year ended March 2023 stood at Rs 38.13 crore, compared to Rs 37.57 crore
during the year ended March 2022.
Management Comment:
Commenting on the performance, Makarand Padalkar,
Managing Director and Chief Executive Officer, Oracle Financial Services
Software said, “The results demonstrate our strength in all aspects. For the
quarter, we posted strong growth in revenue and profits. Our license fees
signings were US$ 49.5 million across our product lines for both Cloud/SaaS and
on-premises deployment modes. For the nine months ended December 2023, our
license signings were US$ 117.4 million, 76% higher than the corresponding
period last fiscal. We signed a landmark cloud deal with Navy Federal Credit
Union, USA during the previous quarter, and we continue to see a robust deal
pipeline across all the regions as we continue to serve the market with our product
portfolio.”
Avadhut Ketkar, Chief Financial Officer, Oracle
Financial Services Software said “Our margins
were strong this quarter with the operating margin at 46.1% and net margin at 40.6%.
For the nine months ended December 31, 2023, we posted a 13% increase in the operating
income and a 25% increase in the net income compared to the corresponding period
of the last financial year.”
| Oracle Financial Services Software : Consolidated Results | | | Quarter ended | Year to Date | Year ended |
|---|
| Particulars | 202312 | 202212 | Var.(%) | 202312 | 202212 | Var.(%) | 202303 | 202203 | Var.(%) |
|---|
| Net Sales (including other operating income) | 1,823.62 | 1,449.30 | 25.83 | 4,730.53 | 4,227.79 | 11.89 | 5,698.31 | 5,221.46 | 9.13 | | OPM (%) | 47.63 | 41.83 | 580 bps | 43.30 | 43.06 | 24 bps | 43.37 | 47.86 | -449 bps | | OP | 868.58 | 606.21 | 43.28 | 2,048.18 | 1,820.51 | 12.51 | 2,471.38 | 2,498.94 | -1.10 | | Other Inc. | 93.94 | 40.80 | 130.25 | 259.66 | 130.58 | 98.85 | 191.84 | 134.34 | 42.80 | | PBIDT | 962.52 | 647.01 | 48.76 | 2,307.84 | 1,951.09 | 18.28 | 2,663.22 | 2,633.28 | 1.14 | | Interest | 9.37 | 6.59 | 42.19 | 14.25 | 4.98 | 186.14 | 12.66 | 12.20 | 3.77 | | PBDT | 953.15 | 640.42 | 48.83 | 2,293.59 | 1,946.11 | 17.86 | 2,650.56 | 2,621.08 | 1.12 | | Depreciation | 19.01 | 20.61 | -7.76 | 56.5 | 61.97 | -8.83 | 80.66 | 92.8 | -13.08 | | PBT | 934.14 | 619.81 | 50.71 | 2237.09 | 1884.14 | 18.73 | 2569.9 | 2528.28 | 1.65 | | Share of Profit/(Loss) from Associates | 0 | 0 | - | 0 | 0 | - | 0 | 0 | - | | PBT before EO | 934.14 | 619.81 | 50.71 | 2237.09 | 1884.14 | 18.73 | 2569.9 | 2528.28 | 1.65 | | EO Income | 0 | 0 | - | 0 | 0 | - | 0 | 0 | - | | PBT after EO | 934.14 | 619.81 | 50.71 | 2237.09 | 1884.14 | 18.73 | 2569.9 | 2528.28 | 1.65 | | Taxation | 193.33 | 182.48 | 5.95 | 577.85 | 557.3 | 3.69 | 763.76 | 639.45 | 19.44 | | PAT | 740.81 | 437.33 | 69.39 | 1659.24 | 1326.84 | 25.05 | 1806.14 | 1888.83 | -4.38 | | Minority Interest (MI) | 0 | 0 | - | 0 | 0 | - | 0 | 0 | - | | Net profit | 740.81 | 437.33 | 69.39 | 1659.24 | 1326.84 | 25.05 | 1806.14 | 1888.83 | -4.38 | | P/(L) from discontinued operations net of tax | 0 | 0 | - | 0 | 0 | - | 0 | 0 | - | | Net profit after discontinued operations | 740.81 | 437.33 | 69.39 | 1659.24 | 1326.84 | 25.05 | 1806.14 | 1888.83 | -4.38 | | EPS (Rs)* | 85.51 | 50.48 | 69.39 | 191.52 | 153.15 | 25.05 | 208.48 | 218.02 | -4.38 | | | * EPS is on current equity of Rs 43.32 crore, Face value of Rs 5, Excluding extraordinary items. | | # EPS is not annualised | | bps : Basis points | | EO : Extraordinary items | | Figures in Rs crore | | Source: Capitaline Corporate Database |
|
| Oracle Financial Services Software : Consolidated Segment Results | td>-| | Quarter ended | Year to Date | Year ended |
|---|
| % of (Total) | 202312 | 202212 | Var.(%) | % of (Total) | 202312 | 202212 | Var.(%) | % of (Total) | 202303 | 202203 | Var.(%) |
|---|
| Sales | | Product license & related activitie | 92.10 | 1,679.55 | 1,302.70 | 28.93 | 90.80 | 4,295.27 | 3,794.36 | 13.20 | 90.04 | 5,130.90 | 4,691.60 | 9.36 | | IT Solutions & Consulting services | 7.90 | 144.07 | 146.60 | -1.73 | 9.20 | 435.26 | 433.42 | 0.42 | 9.96 | 567.41 | 529.85 | 7.09 | | KPO-Services | 0.00 | 0.00 | 0.00 | - | | Joint Venture | 0.00 | 0.00 | 0.00 | - | | Corporate | 0.00 | 0.00 | 0.00 | - | | BPO-Services | 0.00 | 0.00 | 0.00 | - | | Total Reported Sales | 100.00 | 1,823.62 | 1,449.30 | 25.83 | 100.00 | 4,730.53 | 4,227.79 | 11.89 | 100.00 | 5,698.31 | 5,221.46 | 9.13 | | Less: Inter segment revenues | | 0.00 | 0.00 | - | | 0.00 | 0.00 | | 0.00 | 0.00 | - | | Net Sales | 100.00 | 1,823.62 | 1,449.30 | 25.83 | 100.00 | 4,730.53 | 4,227.79 | 11.89 | 100.00 | 5,698.31 | 5,221.46 | 9.13 | | PBIT | | Product license & related activitie | 95.88 | 866.67 | 615.80 | 40.74 | 94.55 | 2,029.81 | 1,812.74 | 11.97 | 94.94 | 2,447.10 | 2,452.23 | -0.21 | | IT Solutions & Consulting services | 4.12 | 37.20 | 29.00 | 28.25 | 5.45 | 117.03 | 100.42 | 16.54 | 5.06 | 130.40 | 130.61 | -0.16 | | KPO-Services | 0.00 | 0.00 | 0.00 | - | | Joint Venture | 0.00 | 0.00 | 0.00 | - | | Corporate | 0.00 | 0.00 | 0.00 | - | | BPO-Services | 0.00 | 0.00 | 0.00 | - | | Total PBIT | 100.00 | 903.86 | 644.80 | 40.18 | 100.00 | 2,146.83 | 1,913.16 | 12.21 | 100.00 | 2,577.50 | 2,582.83 | -0.21 | | Less : Interest | | -101.80 | -46.11 | -120.76 | | -256.96 | -105.55 | -143.46 | | -167.28 | -90.19 | -85.49 | | Add: Other un-allcoable | | -71.51 | -71.10 | -0.59 | | -166.71 | -134.57 | -23.88 | | -174.88 | -144.74 | -20.82 | | PBIT Margin(%) | | Product license & related activitie | | 51.60 | 47.27 | 433.01 | | 47.26 | 47.77 | -51.76 | | 47.69 | 52.27 | -457.51 | | IT Solutions & Consulting services | | 25.82 | 19.78 | 603.58 | | 26.89 | 23.17 | 371.74 | | 22.98 | 24.65 | -166.79 | | KPO-Services | | 0.00 | 0.00 | 0.00 | | Joint Venture | | 0.00 | 0.00 | 0.00 | | Corporate | | 0.00 | 0.00 | 0.00 | | BPO-Services | | 0.00 | 0.00 | 0.00 | | PBT | 100.00 | 934.15 | 619.81 | 50.71 | 100.00 | 2,237.09 | 1,884.14 | 18.73 | 100.00 | 2,569.90 | 2,528.28 | 1.65 |
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