Sonata Software – Consolidated Q1 FY 21-22 PAT at Rs 86.7 Crores, YoY growth of 74%

Mumbai, August 04, 2021 (GNI): Sonata Software, a global IT services and technology solutions company, today reported its unaudited financial results for its 1 st quarter ended 30 th June 2021.

Speaking on the results Srikar Reddy, Managing Director & CEO of the Company said: Our overall strategy of building digital enterprises by creating platforms through our unique Platformation methodology has proven more relevant in the current context with greater reliance and investments by enterprises in digitization and automation. Our investments to create a stronger organization in the quality of clients, relationships, and internal investments, in creating world class competencies aligned to Platformation across platform engineering, cloud transformation, data analytics and Microsoft Dynamics, have created the required market impact. We see the demand situation being extremely satisfactory with growth in existing accounts and new deal pipeline. In view of super high demand for talent, we have a comprehensive talent plan in place for digital focussed skills, for talent retention, creating talent in advance and expanding our delivery centres with near shore delivery centres for US and Europe. Our acquisition of Encore is promising as it gives us access to fast the growing health care provider segment and expanding our cloud footprint apart from a new delivery location in Chennai. With continued clear visibility and business opportunity, we stay focused now on investing for long term growth, in talent acquisition and transformation, IP and competency development, stated in the press release.

Performance Highlights for the quarter:
 Consolidated:
 Revenues at Rs 1268.5 crores; YoY growth of 33%
 EBITDA at Rs 129.1 crores; YoY growth of 59%
 PAT at Rs 86.7 crores; YoY growth of 74%
 DSO days improved from 43 days to 38 days
 Cash and equivalents of approximately Rs 840.4 Crores (net of borrowings).
 International IT Services:
 Revenues at Rs 323.9 crores; YoY growth of 17%
 Revenue in USD at 44.5 Million, YoY revenue growth of 21.9% in USD terms
 QoQ Growth across all geographies (USA 1.7%, Europe 0.3%, Rest of World 2.3%).
 Strong Execution through Platformation led growth, IP led growth and Alliance led growth
 Sonata’s approach to Digitizing business using Platformation
 EBITDA at Rs 97.1 crores; YoY growth of 50%
 PAT at Rs 63.7 crores; YoY growth of 66%
 Addition of 13 new customers.
 Strong cash and liquidity positions maintained. DSO is at 37 days.
 Our pipeline continues to be healthy and strong through multiple new digital wins from existing and new
customers.
 Domestic Products & Services:
 Revenues at Rs 946.2 crores; YoY growth of 39%
 DSO days improved from 49 days to 39 days
 EBITDA at Rs 32.4 crores; YoY growth of 92%
 PAT at Rs 23 crores; YoY growth of 98%
About Sonata Software is a global technology company, that enables successful platform based digital transformation initiatives for enterprises, to create businesses that are connected, open, intelligent and scalable. Sonata’s Platformation™ methodology brings together industry expertise, platform technology excellence, design thinking-led innovation and strategic engagement models to deliver sustained long term value to customers. A trusted partner of world leaders in the Retail, Manufacturing & Distribution, Travel and Software industries, Sonata’s solution portfolio includes its own digital platform such as Brick & Click Retail Platform©, Modern Distribution Platform©, Rezopia Digital Travel Platform©, RAPID DevOps Platform©, Kartopia E-commerce Platform© , Halosys Mobility Platform©, and Commodity CTRM Platform©, best-in-class capabilities on ISV digital technology platforms such as Microsoft Dynamics 365, Microsoft Azure, SAP Hybris, Cloud Engineering and Managed Services, as well as new digital applications like IoT, Artificial Intelligence, Machine Learning, Robotic Process Automation, Chatbots, Block Chain and Cyber Security. Sonata’s people and systems are nurtured to bring together the depth of thought leadership, customer commitment and execution excellence to make a difference to business with technology.