Thread by @ValueEducator

#PersistentSystems Q3 2022 Concall Highlights 💻🖥

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Financial Updates-
1. Total revenue for the Quarter was ₹1492 Cr which is up 10.7% QoQ and 38.7% YoY.
2. BFSI Revenue is up by 48.9%
3. Healthcare and Lifesciences revenue is up by 47.9%

4. Software and Hitech revenue is up by 24.7%
5. The DSO stands at 58 days, an increase compared to the previous quarter.
6. EBITDA margin for Q3 stands at 16.8% and 16.6% for Q2
7. EBIT stands at 14% and PBT at ₹236.4 cr at 15.8%

8.The revenues from new acquisitions - SCI was $3.7 million and Shree Partners was $800,000.

Geography-
1. The revenue from North America is up by 33.1% YoY
2. The revenue from India is up by 71.5% YoY
3. Europe revenues are up by 28.6% YoY
4. ROW grew by 47.9%.

Employees Update -
1. 1,110 employees added in this quarter, total number of employees at 16,989 as of Dec 21.
2. Employee utilisation currently stands at 83%
3. Persistent Systems plans to add 3000 freshers in the next 12 months.

4. Attrition for Q3 was at 26.9% and Q2 was at 23.6%, attrition is elevated and will remain high for a few more quarters the management alluded.

Business Update -
1. In the BFSI segment the company has won a multi year deal in the Insurance segment for nocode and cloud computing

2. Partnered with a leading pharma and healthcare organisation providing end to end solutions for planning and executing live and virtual events for healthcare professionals.

3. Made a Patient 360 platform using SalesForce for a healthcare leader.

4. Partnered with a top 3 global EdTech publication for developing digital education content.

5. Partnership with Hyperscalers to transfer data from other SaaS platforms to Hyperscalers platform.
Persistent plans to ramp up nearshore employees and also in Canada and Mexico.

6. Management hinted IBM is their top customer and revenue from IBM is 17.5% for the quarter.

7. Communication, media and technology is seeing some traction and might start reporting it as a separate vertical in coming years

Acquisitions -
1. Company acquired Software Corporation International (SCI) and Shree Partners, boosting the capabilities in the payments segment.
2. SCI to develop client portfolios and relationships with top 10 market leading banks.

3. Shree Partners helped to consolidate position in strategic account and to attract talent in NCR region north India.
4. Acquisition enables cross selling and up selling

5.The total acquisition payout amount is $38 Million and Persistent availed a loan of $25 million to part fund the acquisitions.