MPS Q4 Review - Result Miss; Commentary Stays Positive For Content Business: Dolat Capital

MPS Q4 Review - Result Miss; Commentary Stays Positive For Content Business: Dolat Capital

A student attends an online class from home. (Photographer: Jayme Gershen/Bloomberg)

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Dolat Capital Report

MPS Ltd. reported a revenue decline of 1.7% QoQ (our estimate: up 1.3%) largely due to decline in platform business (down 10.8% QoQ) from contraction in Highwire portfolio while content business grew 7.0% QoQ led by sustained boost in publishing volumes.

E-learning business declined 8.5% QoQ.

Ebit margin declined to 20.1% (our estimate: 21.9%) despite cost control in e-learning and platform business (cost down 9.6%/ 0.4% QoQ) as revenue contracted in both business.

Content segment margins went down to 31% from 33.6%.

Click on the attachment to read the full report:

Dolat Capital MPS Q4FY21 Result Update.pdf
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