Coforge Ltd. has reported robust financial performance for the quarter ending December 2024, with significant revenue growth and strategic developments, including an acquisition and interim dividend announcement.
Key Highlights:
- Revenue Growth:
- Revenue in constant currency terms grew by 8.4% sequentially.
- In US Dollar terms, the topline increased by 7.5% QoQ to $397 million.
- In rupee terms, revenue rose by 8.4% QoQ to ₹3,318.2 crore.
- Profit and Margins:
- Earnings Before Interest and Tax (EBIT) stood at ₹316.2 crore, up from ₹287.6 crore in the previous quarter.
- EBIT margin, as per the company’s P&L account, improved marginally to 9.5% from 9.4%.
- Net profit for the quarter increased by 6.6% QoQ to ₹215.5 crore.
- Order Intake and Business Updates:
- Coforge recorded its second consecutive quarter of order intake exceeding $500 million.
- The newly acquired Cigniti business delivered 3.5% revenue growth in constant currency terms, with its EBITDA margin improving to 17.3% from 16.2% in the previous quarter.
- Acquisition of Xceltrait Inc.:
Coforge has signed an agreement to acquire a 100% stake in Xceltrait Inc., a US-based company specializing in ServiceNow’s Financial Services Operations (FSO) and Customer Service Management (CSM) modules. The acquisition is valued at $17.85 million and strengthens Coforge’s expertise in the P&C insurance industry. - Interim Dividend:
The board has declared an interim dividend of ₹19 per share, with the record date set as January 30, 2025. - Employee Metrics:
The company reported an attrition rate of 11.9% at the end of the December quarter.
Sudhir Singh, CEO and Executive Director, expressed confidence in Coforge’s sustained growth, citing strong deal wins, improved margins, and a robust order book.
