On standalone basis
Quarter ended March 2024 compared
with Quarter ended December 2023.
Net sales (including other operating income) of Tata Elxsi has declined 0.91%
to Rs 905.94 crore.
Operating profit margin has declined
from 29.55% to 28.84%, leading to 3.28% decline in operating profit to Rs
261.27 crore. Purchase of finished goods cost fell from 4.85% to
4.62%. Employee cost increased from 53.99% to 54.72%.
Other expenses rose from 11.61% to 11.86%.
Other income fell 3.58% to Rs 33.68
crore. PBIDT fell 3.32% to Rs 294.95 crore. Provision for
interest fell 10.45% to Rs 4.97 crore. Loan funds remained
nil.
PBIDT fell 3.32% to Rs 294.95
crore. Provision for depreciation rose 8.37% to Rs 27.58
crore.
Profit before tax down 4.26% to Rs
262.40 crore. Provision for tax was expense of Rs 65.47 crore,
compared to Rs 67.64 crore. Effective tax rate was 24.95% compared
to 24.68%.
Profit after tax fell 4.60% to Rs
196.93 crore.
Promoters’ stake was 43.92% as of 31
March 2024 ,compared to 43.92% as of 31 December 2023 .
Quarter ended March 2024 compared
with Quarter ended March 2023.
Net sales (including other operating income) of Tata Elxsi has increased 8.12%
to Rs 905.94 crore. Sales of System Integration & Support Serv
segment has gone up 13.91% to Rs 25.92 crore (accounting for 2.86% of total
sales). Sales of Software Development & Services segment has
gone up 7.96% to Rs 880.03 crore (accounting for 97.14% of total
sales).
Profit before interest, tax and
other unallocable items (PBIT) has jumped 17.10% to Rs 322.40
crore. PBIT of System Integration & Support Serv segment rose
2,174.20% to Rs 12.80 crore (accounting for 3.97% of total
PBIT). PBIT of Software Development & Services segment rose
12.68% to Rs 309.60 crore (accounting for 96.03% of total PBIT).
PBIT margin of System Integration
& Support Serv segment rose from 2.47% to 49.39%. PBIT margin of
Software Development & Services segment rose from 33.71% to
35.18%. Overall PBIT margin rose from 32.86% to 35.59%.
Operating profit margin has declined
from 29.80% to 28.84%, leading to 4.62% rise in operating profit to Rs 261.27
crore. Purchase of finished goods cost fell from 6.58% to 4.62%.
Employee cost increased from 51.27% to 54.72%. Other
expenses fell from 12.32% to 11.86%.
Other income up 31.10% to Rs 33.68
crore. PBIDT rose 7.09% to Rs 294.95 crore. Provision for
interest up 20.63% to Rs 4.97 crore. Loan funds rose to Rs 223.98
crore as of 31 March 2024 from Rs 182.26 crore as of 31 March
2023. Inventories rose to Rs 1.11 crore as of 31 March 2024 from Rs
0.39 crore as of 31 March 2023. Sundry debtors were lower at Rs
971.59 crore as of 31 March 2024 compared to Rs 976.38 crore as of 31 March
2023. Cash and bank balance rose to Rs 1,357.10 crore as of 31 March
2024 from Rs 1,191.55 crore as of 31 March 2023.
PBDT rose 6.89% to Rs 289.98 crore. Provision
for depreciation rose 30.83% to Rs 27.58 crore. Fixed assets
increased to Rs 384.69 crore as of 31 March 2024 from Rs 324.37 crore as of 31
March 2023. Intangible assets declined from Rs 16.20 crore to Rs 13.44
crore.
Profit before tax grew 4.87% to Rs
262.40 crore. Provision for tax was expense of Rs 65.47 crore,
compared to Rs 48.7 crore. Effective tax rate was 24.95% compared to
19.46%.
Profit after tax fell 2.28% to Rs
196.93 crore.
Equity capital stood at Rs 62.28
crore as of 31 March 2024 to Rs 62.28 crore as of 31 March 2023. Per
share face Value remained same at Rs 10.00.
Promoters’ stake was 43.92% as of 31
March 2024 ,compared to 43.92% as of 31 March 2023 .
Full year results analysis
Net sales (including other operating income) of Tata Elxsi has increased 12.96%
to Rs 3,552.15 crore. Sales of System Integration & Support Serv
segment has gone up 4,287.51% to Rs 3,456.26 crore (accounting for 97.30% of
total sales). Sales of Software Development & Services segment has
gone down 96.87% to Rs 95.89 crore (accounting for 2.70% of total
sales).
Profit
before interest, tax and other unallocable items (PBIT) has jumped 21.61% to Rs
1,301.86 crore. PBIT of System Integration & Support Serv
segment rose 33,418.80% to Rs 1,277.34 crore (accounting for 98.12% of total
PBIT). PBIT of Software Development & Services segment fell
97.70% to Rs 24.52 crore (accounting for 1.88% of total PBIT).
PBIT
margin of System Integration & Support Serv segment rose from 4.84% to
36.96%. PBIT margin of Software Development & Services segment
fell from 34.79% to 25.57%. Overall PBIT margin rose from 34.04% to
36.65%.
Operating
profit margin has declined from 30.57% to 29.46%, leading to 8.86% rise in
operating profit to Rs 1,046.44 crore. Purchase of finished goods
cost fell from 5.92% to 5.46%. Employee cost increased from 50.81%
to 53.75%. Other expenses fell from 12.70% to 11.34%.
Other
income up 65.22% to Rs 121.95 crore. PBIDT rose 12.88% to Rs 1168.39
crore. Provision for interest up 25.06% to Rs 20.26
crore. Loan funds rose to Rs 223.98 crore as of 31 March 2024 from
Rs 182.26 crore as of 31 March 2023. Inventories rose to Rs 1.11
crore as of 31 March 2024 from Rs 0.39 crore as of 31 March 2023. Sundry
debtors were lower at Rs 971.59 crore as of 31 March 2024 compared to Rs 976.38
crore as of 31 March 2023. Cash and bank balance rose to Rs 1,357.10
crore as of 31 March 2024 from Rs 1,191.55 crore as of 31 March
2023.
PBDT
rose 12.68% to Rs 1148.13 crore. Provision for depreciation rose
22.19% to Rs 99.45 crore. Fixed assets increased to Rs 384.69 crore
as of 31 March 2024 from Rs 324.37 crore as of 31 March
2023. Intangible assets declined from Rs 16.20 crore to Rs 13.44
crore.
Profit
before tax grew 11.86% to Rs 1,048.68 crore. Provision for tax was
expense of Rs 256.44 crore, compared to Rs 182.31 crore. Effective
tax rate was 24.45% compared to 19.45%.
Profit
after tax rose 4.91% to Rs 792.24 crore.
Equity
capital stood at Rs 62.28 crore as of 31 March 2024 to Rs 62.28 crore as of 31
March 2023. Per share face Value remained same at Rs
10.00.
Promoters’
stake was 43.92% as of 31 March 2024 ,compared to 43.92% as of 31 March 2023
.
Cash
flow from operating activities increased to Rs 701.23 crore for year ended
March 2024 from Rs 486.86 crore for year ended March 2023. Cash flow
used in acquiring fixed assets during the year ended March 2024 stood at Rs
83.11 crore, compared to Rs 64.10 crore during the year ended March
2023.
Dividend: The Board of
Directors has recommended a dividend of 700% at Rs. 70/-, per equity share of
Rs. 10 each, for the financial year 2023-24, subject to the approval of the
shareholders of the Company.
Management commentary:
Mr. Manoj Raghavan, CEO and Managing Director, Tata Elxsi,
commenting on the company’s performance in the financial year 2023-24, said:
“Financial year 2024 has been a year of consistent operational performance with
a revenue growth of 13% despite global macroeconomic uncertainties, and
volatility in the media and communications industry over the last few quarters.
We have done well to maintain industry leading EBITDA margin at 29.5% for the
year, even while we continued to invest in expanding our talent base through
all four quarters, with a net addition of 1535 Elxsians through the year.
We had laid down a strategy of integrating our design
business deeply with our key industry verticals, complementing our software and
digital business with a design-led proposition. This is now complete, with a
seamless end-to-end proposition from ideation to market introduction. This is
enhancing our competitive differentiation, providing early visibility into
customer product roadmaps, and creating larger downstream development deals.
Starting with this quarter, we are reporting this integrated view of
design-digital in all three verticals, under the Software and Design Services
segment (SDS).
During the financial year, our transportation business grew
strongly at 24.6% YoY, and now accounts for 49.9% of our overall SDS revenues.
OEMs now constitute over 56% of the transportation business, and we are now
embedded into the SDV programs of 5 global OEMs. I am especially delighted with
the SDV program with a global OEM we won this quarter, and the German Design
Award 2024 for our work on automotive HMI, which demonstrates the world-class
design-led proposition we offer to customers.
The Healthcare & Lifesciences business registered a
growth of 10.8% YoY. We have established a strong foundation for continued
growth, with the addition of 5 marquee customer logos in the year and expanded
capabilities and platforms in new growth areas such as digital therapeutics and
connected health. The Offshore Development Centre for innovation and R&D we
announced in March 2024 for Dräger Medical, the German headquartered leader in
critical care and safety equipment, demonstrates the relevance of our
technology and design expertise and deep domain capabilities for
next-generation healthcare.
Our Media & Communications business grew 0.2% during the
financial year. While this quarter saw a one-off impact of a deal ramp-down
with a customer due to a merger, we have done well through the year to protect
business, add marquee customers and increase wallet share with key customers.
Even while the industry continues to experience significant reductions in
discretionary spend and R&D budgets, we are placed well with our integrated
design-digital offerings and investments in platforms for the future.
Our Systems Integration and Support (SIS) Business is pivoting
to value-added services, innovation-led projects such as experience centres,
and supporting downstream deployment and run management for our products and
platforms. While Q4 revenues and growth was impacted by hardware shipment
delays due to the Red Sea shipping crisis, it grew creditably by 19.0% in FY24,
getting to a near 100 Crores business in this financial year.
We are transforming our customer base across industries,
with a significant shift towards OEMs in the automotive industry, and operators
in the media and telecom industry, while we continue to invest in deepening our
key customer relationships. This is reflected in the strong growth in our Top
10 and Top 25 customers across the company.
We are continuing to invest ahead in building our talent
pipeline, and are expanding our presence across locations in India and
overseas. Our employee retention continues to be the best amongst our peers and
industry at large.
Even as we step into the new financial year, we are pleased
to announce two new members to the board. Mr. Soumitra Bhattacharya has had an
illustrious corporate career especially in the automotive industry with over 28
years with the Bosch group. He serves as Chairman of Bosch Limited, and is the
Director for IFQM - an industry-led initiative focused on Quality, Excellence,
and Innovation. Ms. Ashu Suyash is a highly respected leader and served as MD
and CEO of CRISIL, among leadership roles across many leading institutions. She
has recently set up Colossa Ventures, an investment ecosystem for women
entrepreneurs, and is an Independent Director on a few Boards including
Hindustan Unilever. We look forward to leveraging the rich experience and
network, industry knowledge and strategic inputs from our new directors.
I am pleased with our overall performance and resilience in
revenues, margins, and customer additions through the year, in a volatile
macroeconomic environment.
We are entering the new financial year with a commitment for
growth, and the continued confidence in our differentiated design-led
engineering capabilities. This is backed by strategic relationships we have
built over years with key customers, the qualitative change in revenues towards
OEMs and SDV programs, entries into new operators and marquee healthcare logos,
investments in strategic technology areas and AI, and the strong deal pipeline
we carry into the new financial year.”
Tata Elxsi : Standalone Results | | Quarter ended | Year ended |
---|
Particulars | 202403 | 202303 | Var.(%) | 202403 | 202303 | Var.(%) |
---|
Net Sales (including other operating income) | 905.94 | 837.92 | 8.12 | 3,552.15 | 3,144.72 | 12.96 | OPM (%) | 28.84 | 29.80 | -96 bps | 29.46 | 30.57 | -111 bps | OP | 261.27 | 249.73 | 4.62 | 1,046.44 | 961.28 | 8.86 | Other Inc. | 33.68 | 25.69 | 31.10 | 121.95 | 73.81 | 65.22 | PBIDT | 294.95 | 275.42 | 7.09 | 1,168.39 | 1,035.09 | 12.88 | Interest | 4.97 | 4.12 | 20.63 | 20.26 | 16.2 | 25.06 | PBDT | 289.98 | 271.30 | 6.89 | 1,148.13 | 1,018.89 | 12.68 | Depreciation | 27.58 | 21.08 | 30.83 | 99.45 | 81.39 | 22.19 | PBT | 262.40 | 250.22 | 4.87 | 1048.68 | 937.5 | 11.86 | PBT before EO | 262.4 | 250.22 | 4.87 | 1048.68 | 937.5 | 11.86 | EO Income | 0 | 0 | - | 0 | 0 | - | PBT after EO | 262.4 | 250.22 | 4.87 | 1048.68 | 937.5 | 11.86 | Taxation | 65.47 | 48.7 | 34.44 | 256.44 | 182.31 | 40.66 | PAT | 196.93 | 201.52 | -2.28 | 792.24 | 755.19 | 4.91 | P/(L) from discontinued operations net of tax | 0 | 0 | - | 0 | 0 | - | Net profit after discontinued operations | 196.93 | 201.52 | -2.28 | 792.24 | 755.19 | 4.91 | EPS (Rs)* | 31.62 | 32.36 | -2.28 | 127.21 | 121.26 | 4.91 | | * EPS is on current equity of Rs 62.28 crore, Face value of Rs 10, Excluding extraordinary items. | # EPS is not annualised | bps : Basis points | EO : Extraordinary items | Figures in Rs crore | Source: Capitaline Corporate Database |
|
Tata Elxsi : Standalone Segment Results | | Quarter ended | Year ended |
---|
| % of (Total) | 202403 | 202303 | Var.(%) | % of (Total) | 202403 | 202303 | Var.(%) |
---|
Sales | System Integration & Support Serv | 2.86 | 25.92 | 22.75 | 13.91 | 97.30 | 3,456.26 | 78.78 | 4,287.51 | Software Development & Services | 97.14 | 880.03 | 815.17 | 7.96 | 2.70 | 95.89 | 3,065.95 | -96.87 | Total Reported Sales | 100.00 | 905.94 | 837.92 | 8.12 | 100.00 | 3,552.15 | 3,144.72 | 12.96 | Less: Inter segment revenues | | 0.00 | 0.00 | - | | 0.00 | 0.00 | - | Net Sales | 100.00 | 905.94 | 837.92 | 8.12 | 100.00 | 3,552.15 | 3,144.72 | 12.96 | PBIT | System Integration & Support Serv | 3.97 | 12.80 | 0.56 | 2,174.20 | 98.12 | 1,277.34 | 3.81 | 33,418.80 | Software Development & Services | 96.03 | 309.60 | 274.75 | 12.68 | 1.88 | 24.52 | 1,066.70 | -97.70 | Total PBIT | 100.00 | 322.40 | 275.32 | 17.10 | 100.00 | 1,301.86 | 1,070.51 | 21.61 | Less : Interest | | 4.97 | 4.12 | 20.76 | | 20.26 | 16.20 | 25.08 | Add: Other un-allcoable | | -55.02 | -20.98 | -162.22 | | -232.92 | -116.81 | -99.40 | PBIT Margin(%) | System Integration & Support Serv | | 49.39 | 2.47 | 4,691.51 | | 36.96 | 4.84 | 3,211.96 | Software Development & Services | | 35.18 | 33.71 | 147.61 | | 25.57 | 34.79 | -921.87 | PBT | 100.00 | 262.41 | 250.22 | 4.87 | 100.00 | 1,048.68 | 937.50 | 11.86 |
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Peer Comparision (Standalone)
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Sales
(Rs. Crs)
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var.(%)
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OP
(Rs. Crs)
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var.(%)
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Net Profit
(Rs. Crs)
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var.(%)
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Share Price(Rs)
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var.(%)
over
One year
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TTM EPS
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TTM PE
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