Birlasoft shares hit a 52-week high after IT company reports upbeat Q2 numbers

Birlasoft Share Price: IT company Birlasoft's shares hit a 52-week high of Rs 567.90 each on BSE on Wednesday (November 1) after the IT giant beat Zee Business research estimates to report outstanding second-quarter results on Tuesday.

The company's stock was up by 3.31 per cent, or Rs 18.10, at Rs 565.25, at 9:50 am on Wednesday.

In its September quarter results, Birlasoft's consolidated revenue from operations was up by 3.7 per cent, while its profit after tax jumped by 5.5 per cent Quarter-on-Quarter. 

Nomura maintains 'buy' rating

Brokerage Nomura has maintained a 'buy' rating for the company's share price, raising the target to Rs 630 from Rs 610.

Birlasoft Q2 Results

The IT company beat analysts' estimates to clock a 5.5 per cent jump in its consolidated profit after tax (PAT) to Rs 145 crore in the quarter under review from Rs 137.5 crore in the previous quarter.

The company's revenue from operations also rose 3.7 per cent to Rs 1,310 crore in Q2 against Rs 1,263 crore Quarter-on-Quarter (QoQ).

In terms of US dollar, the revenue was up by 3.1 per cent to US$ 15.83 crore compared to US$ 15.36 crore QoQ.

EBIDTA also beat Street estimates of Rs 174 crore as it came at Rs 185.7 crore in the second quarter as compared to Rs 172.2 crore in the first quarter. 

The margin also improved to 14.2 per cent in the second quarter as against 13.6 per cent in Q1 of the same financial year.      

Other salient features of Birlasoft Q2 Results

The company's CC revenue growth for the second quarter rose to 3.1 per cent QoQ, which was much higher than analysts' estimates of 1.9 per cent. 

It has strong order bookings with deals TCV of $271 million.

The company's attrition rate improves to 15 per cent from 18.8 per cent QoQ.

The total headcount in the second quarter increased by 87 employees on a qoq basis.

While the company reported strong financial and operating performances, it is delivering strongly across all three fronts– growth, margins and deal wins.