Coforge posts strong Q1 FY23 results; revenue up 4.7% Q-o-Q in CC terms
Revenue up 4.7% Q-o-Q in CC terms; up 25.2% Y-o-Y Adjusted EBITDA up 27.7% Y-o-Y
Order intake of $315 million during the quarter including two large deals Board recommends interim dividend of INR 13 per share
Coforge Limited (NSE: COFORGE), a leading global IT solutions organization, today announced its financial results for the quarter ended June 30, 2022 (Q1 FY23).
The Company reported strong operating and financial performance marked by robust growth, healthy profitability, record order intake and sustained hiring.
Q1 FY23 – Financial Highlights
- Revenue for the quarter was INR 18,294 million and $238.7 million
o Up 4.7% Q-o-Q in constant currency terms
o Up 25.2% in INR terms Y-o-Y
- Adjusted EBITDA margin for the quarter (which reflected full impact of annual wage hikes across the firm and
continued investments to drive growth) was 16.5%, an increase of 27.7% Y-o-Y in INR terms
Q1 FY23 – Business Highlights
- Order intake was $315 million, which almost equaled the record order intake of $318 million in Q1FY22
- Total order book executable over the next 12 months at $745 million
- 12 new clients were added during the quarter
- LTM attrition remained relatively stable at 18.0% and continues to be amongst the lowest in the industry
- Headcount at the end of the quarter increases to 22,742
“The fifth deal in the last five quarters with a TCV greater than USD 50 Million was signed during this quarter. The size and velocity of large deals, including a USD 100 plus Million deal, sets us up for continued robust growth. Equally importantly it helps us further enhance our offshore operations helping us build strong moats around margin defence.” said Mr. Sudhir Singh, Chief Executive Officer, Coforge Ltd.
The firm has upgraded its annual revenue guidance to grow at least 20% in constant currency terms and reiterated its Adjusted EBITDA margin guidance between 18.5% and 19.0% during the year.
The Board has recommended an interim dividend of INR 13 per share, and the record date for this payout will be 4th
Q1 FY23 – Achievements and Engagements
- Coforge was chosen as one of the 'Most Preferred Workplaces of 2022' by Marksmen Daily in association with India Today.
- Coforge received the prestigious Great Place to Work® certification in India from July 2022-July 2023 – the second consecutive year that the company got Great Place to Work®-Certified.
- Coforge announced a partnership with Sysdig, the unified cloud, and container security leader, to enable customer success in the new multi-cloud environment by offering visibility across cloud & container workloads from source to run. With Sysdig, Coforge provides container services to help organizations reduce risk and deliver reliable cloud applications by addressing the essential security use cases of running Kubernetes and containers in multi-cloud production environments.
- Coforge announced a partnership with Estes Express Lines (Estes), the largest privately held freight carrier in North America. With this partnership, Coforge will bring agile, next-generation solutions to the transportation & logistics industry.
- Coforge announced a partnership with Newgen Software, a global provider of a low code digital transformation platform to empower leading insurance firms, public sector organizations, and others in the US, Europe, and the rest of the world to help these companies transform current processes, enhance operational efficiency, and
gain a competitive edge over peers.
- Coforge achieved the Azure Expert MSP from Microsoft – a critical milestone in the partnership with Microsoft that will unlock significant value.