Thread by @ValueEducator

#Birlasoft Q3 concall Highlights 💻⌨

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Numbers Updates -

1. The revenue for Q3 was 143.4 Million dollars up by 4.7%QoQ and 20.1% YoY

2. The TCV of the deal wins in Q3 was 185 million dollars, the new business contributing about 121 million dollars, The year to date TCV stood at 474 million dollars.
3. The Enterprise business was up by 6.1% QoQ and 81% YoY

4. Business technology and transformation was up by 4.4% QoQ and 31% YoY
5. Cloud based services was up by 2.7% QoQ and 29%YoY
6. The manufacturing vertical was up by 9% QoQ and 20% YoY
7. Energy and utilities was up by 8.4% QoQ and 20.2% YoY

8. EBITDA margin was 15.2%, PAT stood at 114 cr up by 10.5% QoQ
9. The DSO stood at 55 days
10. The Offshore contributed overall 49.5%
11. The Overall deal pipeline stood at 1.2 billion dollars
12. Cash and cash equivalent stood at 1135 cr as of 31st Dec 2021

Business Updates -
1. #Birlasoft was named as a leader in the SAP S/4HANA System Transformation – Midmarket - U.S. region by Information Services Group.

2. The capex for the quarter was 39 cr out of which 23 cr was for renewal of premises and rest of it was for IT and related assets
3. The company foresees a lot of demand as the customers are increasing their IT spends

4. Strategy going forward is to be a business ready platform where to bring about benefit in tech space and other industries and services
OEM based net new selling, it was a separate initiative, it was started as a 9 month experiment and it was successful.

5. Birlasoft shifted form ERP player to a digital enterprise in the past 3 years, while improving the efficiencies the company wants to focus on bringing newer offerings.
6. Life Sciences revenues will start coming from February.

7. Enterprise digital business to do well as the focus is on adding value after cloud migration.
8. Annuity revenue mix was 72% in last quarter, and will be computing the number next in Q4.
9. Company is seeing growth in all the ERP SAP, Oracle etc

10. The company has moved a few things from Time and material to fixed Price components without reducing the billing.

Employee Update-
1. The total headcount stands at 11,945 which is down by 120 personnel QoQ, company has started freshers hiring, 80 freshers were hired in the month of Jan.
2. The sales & support headcount stood at 1104, sales headcount is up by 8% this year.

3. The attrition was all time high at 31.4% in Q2 it was about 40%
Company plans to add 1500 freshers for the next financial year

Guidance-
1. The Guidance is to maintain more than 15% margin
2. Attrition to stabilize in coming quarters at 18% - 19%