Company Update - Persistent Systems - ICICI Direct

Persistent reported robust Q4FY22 results.

- Dollar revenues increased 9.1% QoQ, organic growth was 6.8% QoQ

- EBIT margins increased 8 bps QoQ to 14.0%

- Deal TCV was at US$361 mn, up 8% QoQ

Key triggers for future price performance

- The company is looking to reach US$1 bn annual revenue in six to eight quarters from now and looking at EBITDA margin expansion of 16-17%, while a further 100-150 bps margin improvement is expected

- It has acquired five companies in FY22 building capabilities in payments, cloud, etc. The company is not shying away from acquisitions in coming years as well

- Strong deal win momentum will help improve its revenue growth. We expect dollar revenue to grow at 23.5% CAGR in FY22-24E along with EBIT margin expansion of ~80 bps to 14.7% in FY22-24E

For details, click on the link below: Link to the report

Shares of Persistent Systems Limited was last trading in BSE at Rs. 4152.90 as compared to the previous close of Rs. 4312.65. The total number of shares traded during the day was 9884 in over 1438 trades.

The stock hit an intraday high of Rs. 4315.00 and intraday low of 4133.05. The net turnover during the day was Rs. 41335811.00.

Source : Equity Bulls

Keywords

PersistentSystems INE262H01013 Q4FY22 FY2022 ResultUpdate ICICIDirect