Zensar reports 4.0% YoY revenue growth for Q2FY25

Pune, India, October 22, 2024: Zensar Technologies, a leading experience engineering and technology solutions company, announced its consolidated financial results for its second quarter, ending September 30, 2024, of the fiscal year 2024-2025.

Key Highlights:

• In Q2FY25, the company reported revenue of $156.2M, sequential QoQ growth of 1.2% in reported currency. On a YoY basis, this translates to 4.0% growth in reported currency and 3.3% in constant currency
• In Q2FY25, the EBITDA stood at 15.4% of revenues, representing a sequential QoQ increase of 20 basis points
• Banking and Financial Services reported a sequential QoQ revenue growth of 4.2% and quarterly YoY revenue growth of 14.0% in reported currency
• Manufacturing and Consumer Services reported a sequential QoQ revenue growth of 2.8% and quarterly YoY revenue growth of 5.5% in reported currency
• Telecommunication, Media and Technology reported a sequential QoQ revenue decline of 8.6% and quarterly YoY revenue decline of 14.4% in reported currency
• Healthcare and Life Sciences reported a sequential QoQ revenue growth of 8.8% and quarterly YoY revenue growth of 13.3% in reported currency

Manish Tandon, CEO and Managing Director, Zensar Technologies, said, “We delivered a rounded positive performance in Q2FY25, with sequential growth in majority of our portfolio. Our highest ever order book this quarter reflects the continued focus on client-centricity and commitment of our employees to drive value and innovations.
While pleased with our overall performance, we recognize that the market landscape remains dynamic and competitive. A disciplined approach and continuous investment in focus areas to support long-term growth will enable us to thrive. “

Pulkit Bhandari, CFO, Zensar Technologies, commenting on the Q2FY25 performance, said, “We have given annual salary increments across the organization whilst improving EBITDA margin by 20 basis points to 15.4%. Our Profit After Tax (PAT) for the quarter stood at 11.9%. On the back of strong collections, we have further improved our DSO by 1 day to 71 days which translated to healthy cash and cash equivalents of $255.0M post pay-out for dividend and an acquisition.
With strong commitment towards customer satisfaction and innovation we strive to further improve Zensar’s performance”

Significant Wins in Q2FY25:

• Application modernization and maintenance of IT applications for a Global sustainable technology client
• Managing client’s complex global SAP modules and AWS data layer to run services for a British Multinational Company
• End to end IT operations transformation for a leading UK specialist banking company across their technological landscape
• Reservation system modernization for a global leader in hospitality to manage 90% of their travel Leisure revenue
• Accelerating store transformation and reducing time to market via cloud for one of the largest department stores in USA

Awards and Recognitions in Q2FY25:

• Best Digital Learning Initiative: Zensar was honoured at the 17th Edition of the Future of L&D Summit & Awards 2024, recognizing its innovative approaches to digital learning.
• Best Soft Skill Development Program (Bronze): The Economic Times' ETHRWORLD Future Skills Awards 2024 acknowledged Zensar's exceptional soft skill development programs.
• Excellence in Tech Innovation and Leadership: CIO News bestowed the CISO Excellence Award upon Zensar at EmergeTech 2024, highlighting its cutting-edge technology solutions and leadership.
• Excellence in Cybersecurity: Zensar demonstrated its cybersecurity prowess, earning recognition at the Indian Cyber League Hackathon, organized by the CIO association.