Vedavaag Systems Limited, a provider of IT and IT-enabled services, has reported a 12.40% increase in standalone profit after tax for the quarter. The company's net profit rose to Rs 192.43 lakhs, up from Rs 171.22 lakhs in the same quarter of the previous year.

Financial Highlights

• Revenue from operations grew by 4.76% year-over-year to Rs 1,784.18 lakhs, compared to Rs 1,703.15 lakhs.
• On a consolidated basis, profit after tax increased by 9.20% to Rs 244.75 lakhs, up from Rs 224.12 lakhs in the year-ago period.
• Consolidated revenue from operations rose by 4.38% to Rs 2,306.70 lakhs, compared to Rs 2,209.93 lakhs.

Earnings Per Share

The company's earnings per share (EPS) showed improvement:

• Standalone EPS increased to Rs 0.84, up from Rs 0.75 in the corresponding quarter of the previous year.
• Consolidated EPS rose to Rs 1.07, compared to Rs 0.98.

Key Financial Metrics

Management Commentary

The Board of Directors approved these results at their meeting held on August 11, 2022. The financial statements were reviewed by the company's statutory auditors, PARY & Co.

Company Overview

Vedavaag Systems Limited specializes in providing IT and IT-enabled services, with a focus on governance and citizen services, banking, finance, and insurance sectors. The company's improved performance reflects its resilience and continued growth in its core business segments.

Vedavaag Systems Limited, a prominent player in the IT and ITES sector, has announced its financial results for the first quarter, showcasing substantial growth in revenue and profitability.

Consolidated Performance Highlights

The company reported a significant increase in its consolidated revenue from operations, which rose to Rs 3,110.91 crore, marking a 39.5% growth compared to Rs 2,229.32 crore in the same quarter of the previous year. This robust performance was driven by strong contributions from both its IT & ITES segment and the newly introduced System Integration segment.

Vedavaag Systems' consolidated profit after tax (PAT) also saw an improvement, reaching Rs 215.49 crore, up by 6.1% from Rs 203.16 crore in the corresponding quarter of the previous year. The company's earnings per share (EPS) on a consolidated basis increased to Rs 0.92, compared to Rs 0.89 in the same period.

Segment-wise Performance

The company operates in two primary segments:

1. IT & ITES (including Financial Inclusion)
2. System Integration (Smart Solar Lighting System)

For the quarter, the IT and ITES segment generated revenue of Rs 2,290.51 crore, while the System Integration segment contributed Rs 820.40 crore to the total revenue.

Standalone Results

On a standalone basis, Vedavaag Systems reported:

Financial Position

As of June 30, Vedavaag Systems' consolidated financial position showed:

Management Commentary

J. Murali Krishna, Managing Director of Vedavaag Systems Limited, stated, "We are pleased with our strong start to the fiscal year. The significant growth in our consolidated revenue demonstrates the success of our diversified business model and the increasing demand for our IT services and system integration solutions."

Conclusion

Vedavaag Systems Limited's Q1 results reflect a robust performance, particularly in terms of revenue growth. The company's expansion into the System Integration segment appears to be contributing positively to its overall financial health. As the company continues to navigate the dynamic IT and ITES landscape, investors and stakeholders will be keen to observe how Vedavaag Systems maintains this growth momentum in the coming quarters.

The financial results were reviewed by the company's statutory auditors and approved by the Board of Directors at their meeting held on August 14.