Oracle Financial Q2 Review - Results Miss, Signs Record License Wins, Hiring Momentum Revives: Dolat Capital

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Dolat Capital Report.Oracle Financial Services Software Ltd. reported revenue growth of 5% YoY at Rs 14.4 billion (our estimate: at Rs14.5 billion). Revenue miss was on account of weak signings in On-Premise license model. Robust signing of nearly $30 million in cloud segment out of $40.5 million license signing (up 47% on trailing twelve months basis) results in poor revenue recognition in Q2. License signings for Q2 stood at $40.5 million (up 48% QoQ, up 209% YoY). Healthy hiring up 4% QoQ suggest sustained pipeline on implementation that would drive overall growth momentum in coming quarters.Operating profit margins stood at 37.3% (DE: 40.2%) given weak license recognition in Q2 sustained investments in talent costs – net added ~384 resources QoQ as it is building capacity to meet rising implementation revenue opportunities. Despite the result miss we believe Oracle Financial Services Software’s delivery continues to trend on improved track while healthy cloud signings adds to improved annuities and growth visibility over coming quarter. Maintain Accumulate with discounted cash flow based target price of Rs, 4,730 (implies 17 times on FY25E). .Click on the attachment to read the full report:.Bajaj Auto Q2 Results Review - Inline; Export Realisation Under Pressure: Prabhudas Lilladher.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Oracle Financial Q2 Review - Results Miss, Signs Record License Wins, Hiring Momentum Revives: Dolat Capital

Headcount growth is back; hints uptick in Implementation revenue.

NDTV Profit

NDTV Profit

Follow Us

DISCOVER US FASTER

DOWNLOAD THE APP