Protean eGov Technologies (544021) Q4 18/19 earnings summary

Executive summary

• FY2018-19 revenue from operations was ₹7,562.5 million, down from ₹8,975.8 million; PBT fell to ₹1,818 million, while PBT margin improved to 23% from 21%.

• Operations span tax and PAN services, NPS recordkeeping, Aadhaar authentication and e-KYC, GST, e-sign, education portals, judicial systems and data centres.

Financial highlights

• Total income was ₹7,910.5 million versus ₹9,246.6 million; total expenses were ₹6,092.5 million versus ₹7,279 million.

• PBT was ₹1,818 million versus ₹1,967.6 million; profit after tax was ₹1,244.8 million versus ₹1,355.2 million.

• Other income rose to ₹348 million from ₹270.8 million, including interest income on long-term investments of ₹211.7 million versus ₹161 million.

• Operating cash flow increased to ₹1,269.1 million from ₹985.3 million; cash and cash equivalents ended FY19 at ₹393.9 million.

Outlook and guidance

• Digital India, government e-services and the expansion potential in public-service access underpin opportunities; future business remains sensitive to government policy changes and competitive tendering.

• A JV with Sterling & Wilson, formed May 29, 2019, will pursue e-governance and data-centre projects in Africa, the Middle East and South Asia.