NIIT Technologies reports industry-leading Q4 FY’20 results

FY20 Revenue up 18.5% YonY, PAT up 23.2% YonY Q4FY’20 Revenue up 3.3% QonQ, 19% YonY

Order intake during the year increases 16% YonY to US$ 748 mn Board recommends third interim dividend of Rs 11 per share

Noida | May 5th 2020, Tuesday: NIIT Technologies Limited (NSE: NIIT Technologies), a leading global IT solutions organization, today announced a robust financial and operating performance for the quarter and year ended March 31, 2020 (FY2019-20). Continuing its growth momentum, the Company has reported consolidated revenue of Rs 4,180.9 crore representing a growth of 18.5% over the previous year. Profit after Tax (PAT) for the year scaled 23.2% to Rs 474.0 crore. For the fourth quarter of FY’20, the Company has reported a 19.0% increase in consolidated revenue to Rs 1,109.3 crore and a 11.4% rise in net profit to Rs 113.6 crore, over the same period last year.

FY’20 Highlights:

• Revenues grew 18.5%
• EBITDA up 22.4%, EBITDA margin at 17.9%. Post RSU, EBITDA margin at 17.8%.
• Profit after taxes were up 23.2%
• Cumulative order intake for the year is US$ 748 million, up 16% over previous year
• The Board recommends an interim dividend of Rs 11 per share, which comes on the back of two interim dividends paid out earlier during the financial year under review. The record date for this payout will be 15th May 2020.

Q4FY’20 Highlights:

• Revenues grew 19.0% YonY and 3.3% QonQ
• EBITDA* up 24.4% YonY and 2.5% QonQ resulting in best-in-class EBITDA margin of 17.9%
• Profit after taxes were up 11.4% YonY and down 7.9% QonQ
• Order intake of US$ 180 mn, with 3 large deals secured, reflecting continued deal signing momentum

*The numbers above are for continuing operations (excl ESRI business)

*Q4FY’20 EBITDA is before RSU cost. (EBITDA post RSU is Rs 197.1 Cr implying 17.8% margin)

“The firm recorded one of its best annual performances ever in FY’20, which has come on the back of a strong performance delivered in the preceding year as well. A differentiated emerging technologies led strategy, rigorous execution and the commitment of our employees enabled us to deliver the 11th consecutive quarter of robust revenue growth overcoming unprecedented COVID-19 headwinds,” Sudhir Singh, CEO

Consolidated revenues for the quarter under review grew 19.0% over the same period last year and 3.3% sequentially over the preceding quarter to Rs 1,109.3 crore. EBITDA margin for the quarter expanded 92 bps YoY to 17.9%. EBITDA margin (post RSU) for the quarter was up 76 bps YoY at 17.8%. Profit After Tax for the quarter was up 11.4% YonY at Rs 113.6 crore.

Among verticals, during Q4 FY’20 Insurance grew 5.8% QonQ contributing 31% of overall revenues, BFS contracted 0.1% QonQ contributing to 15% of revenue, and Travel & Transport was down 2.1% QonQ contributing to 27% of revenue. The “Others” portfolio grew 8.7% QoQ and they account for 27% of overall revenues during Q4 FY’20

Digital revenues stood at 38% of the total revenues same as last quarter and increased 47% YoY. Among geographies, Americas, EMEA, and ROW contributed 46%, 40%, and 14% of the Q4 FY’20 revenue mix, respectively.

Fresh business of US$180 mn was secured by the company during the quarter, which included three large deals. As a result of this continued deal momentum, the order book executable over the next twelve months has also increased to US$468 mn, representing a growth of 20% YonY.

Acknowledgements:

Incessant Technologies & RuleTek, NIIT Technologies companies, reached a new milestone of 100 Certified Lead System Architects (CLSAs) as part of their global Pega certification program.