Zensar Technologies report 75 per cent QoQ PAT growth

Zensar Technologies reported stellar operational performance in the fourth quarter of the fiscal year 2019-20. The company’s revenue dipped marginally, by 0.3 per cent to Rs 1,017.8 crore, on a sequential basis. Revenue from Europe (14.9 per cent of revenue) and US (74.3 per cent of revenue) declined by nearly 6.2 per cent and 1.7 per cent on QoQ basis. However, revenue from Africa (10.1 per cent of revenue) improved by seven per cent QoQ.

Notably, company’s EBITDA for Q4FY20 jumped 103.4 per cent to Rs 141.6 crore from its preceding quarter with a corresponding margin expansion of 709 bps while, EBITDA margin for the quarter stood at 13.91 per cent.

Profit after tax surged nearly 74.8 per cent QoQ to Rs 72 crore. Higher effective tax rate and lower other income restricted further PAT growth.

Attrition during the quarter remained largely flat at 16.3 per cent. Also, employee utilisation was flat at 83.5 per cent.

In the year 2019-20, the company’s revenue increased 5.4 per cent YoY to Rs 4,158 crore while, profit after tax dipped 14.8 per cent during the same period to Rs 272 crore.