Birlasoft revenue increases Y-o-Y but decreases Q-o-Q

Birlasoft, a subsidiary of CK Birla Group, released its financial results for the quarter ended September 30, 2020. The company reported fair growth in revenues and earnings on a Y-o-Y basis. At the same time, its quarterly revenue has dropped as compared to the previous quarter. This decline can be considered as the result of an economic breakdown caused by the COVID-19 pandemic.

Its revenue for Q2 stands at Rs 857 crore, up 10.9% compared to the same quarter last year. Revenue has declined by 6.3% from what it was in the previous quarter. Earnings before interest, taxes, depreciation and amortization (EBITDA) has increased by 39.7 per cent, standing at Rs 119 crore. It has declined by 5.8 per cent QoQ. PAT is reported as Rs 69 crores, up 69.3 per cent YoY and up 22.7% QoQ.

Notably, Birlasoft did well in terms of winning deals and acquiring clients. The company signed TCV deals of $273.9 million during Q2, which brings its total TCV deals of H1 to $454 million. Its active client count stands at 310. Manpower count was 9,908 in Q1 of FY21 which increased to 10,010 in Q2 as the company added 102 professionals. It also inked MoU with Chandigarh University to enhance employability skills of the Engineering students. Also, it announced a global strategic cloud alliance with tech giant Microsoft. The company also won major servicing deals from companies in Europe, the USA and Canada.

Comment from Dharmender Kapoor, CEO and Managing Director, Birlasoft

“Our Q2 results are a testimony to the trust that our customers have in our executional capabilities. Despite the challenging times, we have seen a positive outcome across key performance parameters such as profit, margins, utilization, deal wins, receivables, attrition, among others. With a consistent and strong record of TCV deal wins in H1 combined with a healthy pipeline, we are confident about further growth in revenues as we enter the second half of FY21. We will continue to focus on being a trusted partner to our clients and build long term sustainable growth.”