Coforge Q1 Highlights: Revenue up 8.1% YoY. EBITDA up 23.3% YoY

Greater Noida and New Jersey, July 22, 2024, Monday: Coforge Limited(NSE: COFORGE), a leading global IT solutions organization, today announced its financial results for the quarter ended June 30, 2024 (Q1FY25).

Q1FY25 – Financial Highlights

• Revenue for the quarter was INR 24,008 million / US$ 291.4 million
  • Up 1.6% Q-o-Q and 7.8% Y-o-Y in constant currency (CC) terms
  • Up 1.6% Q-o-Q and 7.2% Y-o-Y in USD terms
  • Up 1.8% Q-o-Q and 8.1% Y-o-Y in INR terms
• EBITDA margin for the quarter stood at 17%, up 210 bps YoY
• Normalized PAT at INR 2,285 million, up 28.2% on a YoY basis
• Cash Flow from Operations for the quarter stood at $ 23.2 million
• The Board has recommended an interim dividend of INR 19/- per share, and the record date for this payout will be August 2, 2024

Q1FY25 – Business Highlights

• Order intake at US$ 314 million - tenth consecutive quarter of US$ 300+ million order intake.
• 10 new clients were added during the quarter.
• Headcount at the end of the quarter stood at 26,612; net addition of 1,886 sequentially.
• LTM attrition (IT) at 11.4%, down 192 bps Y-o-Y.
• Acquires 28% stake in Cigniti Limited, Revamps Board.

“FY25 has started on a strong note with a healthy increase in EBITDA margins by 210bps over last year and OCF of $23.2 million. A very strong executable order book, backed by the highest ever headcount addition, sets us up for continued growth ahead.” said Sudhir Singh, Chief Executive Officer, Coforge Ltd. 

Q1FY25 – Partnerships and Awards

• Coforge was honored with “ServiceNow 2024 Emerging Industry Partner of the Year – Worldwide Award”
• Coforge was honored with the “Intelligent Automation Award” from Pega at PegaWorld iNspire2024
• Coforge was also recognized with the 'Market Maker Partner of the Year' award at PegaWorld iNspire 2024
• Duck Creek Technologies recognized both IAT Insurance Group and Coforge (Strategic Transformation Partner) with the 2024 Standard of Excellence Customer Award at Formation ’24
• For the 10 the consecutive year, Coforge received the prestigious MuleSoft “Top Partner of the Year” Award from Salesforce
• Coforge was certified as ‘Great Place To Work’ for the fourth consecutive year
• Coforge recognized as ‘Most Preferred Workplace’ by Marksman Daily for the third consecutive year.

Q1FY25 - Recognitions:

• Everest recognized Coforge as a ‘Leader’ in the Insurance IT Services PEAK Matrix® Assessments 2024 for Duckcreek.
• Whitelane Research recognized Coforge as an 'Exceptional Performer' in the general satisfaction category in the 2024 IT Sourcing Study UK. Coforge ranked #1 (shared) in Digital Transformation, #2 in General Satisfaction, #2 in Application Services and #3 (shared) in Cloud & Infrastructure Services
• NelsonHall positioned Coforge as a ‘Leader’ within the Wealth & Asset Management Services NEAT Overall, for AI & Analytics Services, Cloud Migration Services, Process Automation Services
• NelsonHall positioned Coforge as a ‘Leader’ within the Salesforce Services NEAT 2024 in the MuleSoft Services segment
• NelsonHall positioned Coforge as a ‘Leader’ in the End-to-End Cloud Infrastructure Management Services 2024 NEAT Overall, for AWS Capabilities, Microsoft Azure Capabilities, Cloud Management Services, and Cloud Orchestration Services
• Zinnov Zones positioned Coforge in the ‘Leadership Zone’ across four categories of Zinnov Zones - Generative AI Services, Banking, Insurance and Overall IA Services category for mid-tier service providers
• Nelson Hall positioned Coforge as ‘High-Achiever’ in the Marketing Cloud Services segments in Salesforce Services 2024 NEAT
• Everest positioned Coforge as a Major Contender in Insurance IT Services PEAK Matrix® Assessments 2024 for Guidewire.
• Avasant recognized Coforge as a Challenger in the Banking Process Transformation 2024 RadarView.
• ISG recognized Coforge as a Product Challenger for its market standing in the 'Private/Hybrid Cloud - Data Center Services 2024' ISG Provider Lens™ Study
• Everest recognized Coforge as a Major Contender in the Insurance Intermediaries Services PEAK Matrix® Assessment 2024.
• • Quadrant Knowledge Solutions positioned Coforge as a Major Contender in the Quadrant SPARK Matrix “SPARK Matrix™: Artificial Intelligence Services, 2024.
• Avasant positioned Coforge as a Challenger in the Applied AI Services 2024 RadarView.

About Coforge

Coforge is a global digital services and solutions provider, that leverages emerging technologies and deep domain expertise to deliver real-world business impact for its clients. A focus on very select industries, a detailed understanding of the underlying processes of those industries and partnerships with leading platforms provides us a distinct perspective. Coforge leads with its product engineering approach and leverages Cloud, Data, Integration and Automation technologies to transform client businesses into intelligent, high growth enterprises. Coforge’s proprietary platforms power critical business processes across its core verticals. The firm has a presence in 21 countries with 25 delivery centers across nine countries.

Learn more at www.coforge.com

Forward Looking Statements Safe Harbor

This presentation contains forward-looking statements. In some cases, you can identify these forward-looking statements by the use of words such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “could,” “seeks,” “predicts,” “intends,” “trends,” “plans,” “estimates,” “anticipates” or the negative version of these words or other comparable words. Among other things, the outlook for the full fiscal year 2025, the business outlook and quotations from management in this announcement, as well as Coforge’s strategic and operational plans, contain forward-looking statements. Coforge may also make written or oral forward-looking statements in its periodic reports to regulators, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about Coforge’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the performance of the Coforge's clients; the successful implementation of its business strategy; its ability to compete effectively; its ability to maintain its pricing, control costs or continue to grow its business; the effects of the novel coronavirus (COVID-19) on its business; the continued service of certain of its key employees and management; its ability to attract and retain enough highly trained employees; and its involvement in any disputes, legal, regulatory, and other proceedings arising out of its business operations. All information provided in this presentation is as of the date of this presentation, and Coforge undertakes no obligation to update any forward-looking statement, except as required under applicable law.

Disclaimer

This communication and the information contained herein is not an offer to sell securities in the United States or elsewhere. The securities of Coforge or any of its subsidiaries and affiliates may not be offered or sold in the United States or to, or for the account or benefit of U.S. person (as such term in defined in Regulation S under the U.S. Securities Act of 1933, as amended (the “Securities Act”)) absent registration pursuant to the Securities Act, or an exemption from registration. Any public offering of securities to be made in the United States will be made by means of a prospectus that may be obtained from the issuer or selling security holder and that will contain detailed information about the issuer and management, as well as financial statements. A Registration Statement on Form F-1 relating to certain securities of Coforge has been filed with the U.S. Securities and Exchange Commission but has not yet become effective. The Form F-1 Registration Statement and all subsequent amendments may be accessed through the SEC’s website at www.sec.gov. Such securities not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective under the Securities Act. Nothing in this communication shall constitute an offer to sell or the solicitation of an offer to buy securities in any jurisdiction in which such offer or sale would be unlawful.