Sonata Software Ltd (BOM:532221) Q4 2025 Earnings Call Highlights: Navigating Growth Amidst ...

GuruFocus News

Thu, May 8, 2025, 12:09 AM 4 min read

• International Services Revenue: $335.5 million, 3.7% maturation successful reported currency, 3.9% successful changeless currency for FY25.

• Rupee Revenue: INR 20,082.97 crore, 5.6% maturation for FY25.

• EBITDA Margin: 17% for FY25, down from 21% successful FY24.

• EBITDA Growth: 1.9% sequential maturation to 16.5% successful Q4 FY25.

• Domestic Business Revenue: INR 7,340.6 crore, 23.4% year-on-year maturation for FY25.

• Gross Contribution: INR 299.1 crore for FY25, 14.8% year-on-year growth.

• Consolidated Revenue: INR 10,157.2 crore, 17.9% year-on-year maturation for FY25.

• Consolidated EPS: INR 15.3 per stock for FY25, up from INR 11.12 per stock successful FY24.

• Cash Flow to EBITDA: 93.3% for FY25.

• Closing Cash Balance: INR 707 crore for FY25.

• Headcount: 6,810 astatine the extremity of Q4 FY25, down from 7,090 successful Q3 FY25.

• Attrition Rate: 14% successful Q4 FY25, unchanged from Q3 FY25.

• Utilization Rate: 87% successful Q4 FY25, level quarter-on-quarter.

• New Customers: 14 added successful Q4 FY25.

• Top 10 Clients Revenue Contribution: 61% successful Q4 FY25, down from 66% successful Q3 FY25.

• Warning! GuruFocus has detected 3 Warning Signs with BOM:532221.

Release Date: May 07, 2025

For the implicit transcript of the net call, delight notation to the afloat net telephone transcript.

• Sonata Software Ltd (BOM:532221) won 11 ample deals successful FY25, including 2 marquee wins, which underscores their increasing relevance and translation impact.

• The institution has expanded its beingness successful BFSI and Healthcare Life Sciences, with these verticals present contributing to 35% of full planetary concern revenue, up from 13% 12 quarters ago.

• Sonata Software Ltd (BOM:532221) achieved AWS generative AI competency and became a subordinate of the Microsoft Partner AI Council, reinforcing its enactment successful enterprise-grade AI adoption.

• The institution reported a beardown annuity-driven maturation successful SITL with an industry-leading ROCE of 43.2% successful Q4 FY25.

• Sonata Software Ltd (BOM:532221) maintained a dependable utilization complaint of 87% and a debased attrition complaint of 14%, indicating businesslike workforce management.

• The institution faced headwinds successful the retail and manufacturing verticals owed to fund cuts and broader macroeconomic uncertainty, impacting growth.

• Sonata Software Ltd (BOM:532221) experienced a important gross diminution from its largest lawsuit owed to fund cuts, which was much than anticipated.

• The EBITDA borderline for FY25 stood astatine 17%, down from 21% successful FY24, indicating a alteration successful profitability.

• There is uncertainty successful the retail and manufacturing sectors, with longer woody closure cycles and continued softness expected.

• The institution faced challenges successful posting results connected time, starring to capitalist dissatisfaction during the net call.