Sonata Software Q1 Results – International business delivers 1.3% QoQ growth

Sonata Software: International Services Dollar revenue for Q1’25 of 82.7 Mn grew 1.3% QoQ and EBITDA grew by 1.4%. Domestic business delivered Gross contribution for Q1’25 of 68.5 Cr 5.8% QoQ

Bengaluru, July 31, 2024 : Sonata Software [NSE: SONATSOFTW, BSE: 532221], a leader in Modernization Engineering, today reported its unaudited financial results for its Quarter ended June 30, 2024.

^#EBITDA (before other income)

*Includes one-time expense for bad debts

Speaking on the quarterly results, Samir Dhir, MD & CEO of the Company said, “In Q1 25, our international business delivered 1.3% QoQ growth.  We won three large deals during the quarter, including a healthcare deal. Our “responsible first” differentiated Harmoni.AI offering is enabling growth for Sonata resulting in new logo wins within the quarter.  We remain optimistic about our long-term vision and growth prospects “.

Speaking on the results, Sujit Mohanty, MD & CEO of Sonata Information Technology Limited said, “We continue to make progress and renewed multiple existing client contracts with enhanced contract values, despite industry head winds in ITeS sector. Our consistent focus on SI business is enabling us to deliver better Gross Contribution YoY.”

Performance Highlights for the Q1’25:                                                                                                

• Consolidated:

• Revenues for Q1’25 at Rs 2,527.4 crores; QoQ growth of 15.3%.
• EBITDA for Q1’25 is Rs 176.2 Crores; QoQ growth of 22.2%.
• PAT for Q1’25 stood at Rs 105.6 Crores; QoQ de-growth of 4.3%.
• Net Cash and equivalents of approximately Rs 122.9 Crores (net of borrowings).

• International IT Services:

• Revenues for Q1’25 at Rs 687.8 crores; QoQ growth of 1.3%.
• Revenue for Q1’25 in USD at 82.7 Mn, QoQ growth of 1.3% and YoY growth of 6.9%.
• EBITDA for Q1’25 at Rs 128.8 crores; QoQ growth of 9.5%.
• PAT for Q1’25 stood at Rs 65.1 Crores; QoQ de-growth of 7.3%.
• DSO at 45 days (same as Q4’24)
• 14 New Customer added during the quarter.
• Growth from verticals like MS Sell to, HLS and BFSI.
• Our pipeline continues to be healthy with multiple modernization deals both from existing and new

customers.

• Domestic Products & Services:

• Revenues for Q1’25 at Rs 1,849.4 crores; QoQ growth of 22.1%.
• Gross contribution for Q1’25 at Rs 68.5 Crs; QoQ growth of 5.8%.
• EBITDA for Q1’25 at Rs 47.3 crores; QoQ growth of 78.7%.
• PAT for Q1’25 at Rs 40.5 crores; QoQ growth of 0.9%.
• DSO at 35 days (Q4’24 at 36 days)