The share price of Sonata Software Ltd. has increased by 183.19% in last one year, while the benchmark index S&P BSE Sensex has increased by 44.68%.
The stock rallied to its 52 week high of Rs.884.05 during the intra-day trade after the company announced its financial results for the quarter ended June 30, 2021 on Wednesday.
Consolidated revenues increased by 33% year on year (YoY) and 18% quarter on quarter (QoQ) to Rs 1,268 crore. Ebitda margin increased 165 basis points (bps) year on year but fell 116 bps quarter on quarter to 10.17%.
The company reported a 74% year-on-year (YoY) increase in consolidated net profit of Rs 86.7 crore for the quarter ended June 30. Profit increased by 4% quarter on quarter, from Rs 83.1 crore in Q4FY21.
According to management, the demand situation is extremely satisfactory, with growth in existing accounts and a new deal pipeline. “The acquisition of Encore is promising because it provides the company with fast access to the growing health care provider segment as well as expanding the cloud footprint, in addition to a new delivery location in Chennai,” management said.
Sonata Software is in the business of providing IT Services and Solutions to customers in the United States, Europe, the Middle East, and Asia Pacific, as well as the distribution of software products in India.
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