ICICI Direct: Mastek’s Organic Revenue Dips Led By Covid Challenges
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ICICI Direct Report
Mastek Ltd.’s revenues increased 12.1% QoQ (in constant currency terms) and by 9.7% QoQ (in reported terms) to 50.8 million U.S. dollar.
The increase in revenues was mainly led by Evosys acquisition (up 47.1% QoQ) partially offset by 3.3% QoQ decline in organic revenues.
Ebit margins declined 31 basis points QoQ to 14.7% mainly led by higher depreciation cost. Adjusted profit after tax fell 21.6% QoQ to Rs 40.4 crore.
The order book fell 2.4% QoQ (up 16% YoY) to 101 million U.S. dollar (Rs 764.5 crore).
The key positive in the quarter was the company has reduced debt 6 million U.S. dollar (approximately Rs 45 crore) and day sales outstanding (DSO) days by nine days QoQ to 72 days.
Mastek will receive 26.4 million U.S. dollar (approximately Rs 200 crore) from Majesco U.S. sale.
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