Shares of this smallcap jumped 3 percent in Tuesday’s trading session after announcing a partnership with JOYNEXT to address EV challenges. The shares have delivered more than 90 percent returns to its shareholders in one year.
With a market capitalization of Rs. 2,370 crores, the shares of Sasken Technologies Ltd started Tuesday’s trading session on a lower note at Rs. 1,510 compared to its previous close of Rs. 1,526.20. During the trading session, the shares hit a high of Rs. 1,600, gaining around 3 percent and closed the day at Rs. 1,566 apiece.
Such a positive movement in the share price was observed after the company in an exchange filing announced that they had entered into a strategic partnership with JOYNEXT to collaborate on the development and launch of cutting-edge platforms for both in-vehicle systems and off-vehicle cloud and digital services leveraging emerging technologies for the automotive industry.
Through the integration of JOYNEXT’s established automotive solutions with Sasken’s innovative automotive hardware and software capabilities, encompassing chip-to-cloud cognitive engineering, connected car solutions, optimized edge computing solutions, computer vision, generative AI, and cybersecurity, the collaboration seeks to cater to the intricate requirements of the automotive sector while enhancing customer experiences.
The partnership started with a multi-year collaboration on automotive software maintenance and ASPICE compliance, along with enhancements for new products to align with Software Defined Vehicle (SDV) architectures. Sasken will tackle EV challenges like range anxiety and integration with navigation systems and ADAS, optimizing battery range for safer, more efficient journeys.
Coming onto the company’s financial statements, the revenue decreased by 7 percent from Rs. 103 crores during the September quarter to Rs. 96 crores in the December quarter. On the other hand, the net profits remained constant at Rs. 18 crores during the same period.
The company derives its revenue from various regions worldwide, with North America accounting for 39 percent, Europe, the Middle East, and Africa contributing 30 percent, and India bringing in 26 percent. The remaining 5 percent comes from the APAC region.
Looking at the company’s important financial ratios, the return on equity (RoE) stood at 14.49 percent during FY22-23 and during the same timeframe the Return on Capital employees (RoCE) was recorded at 17.79 percent. Furthermore, the Net Profit Margin (NPM) was at 22.25 percent in FY22-23.
Headquartered in Bangalore, Sasken Technologies Ltd was incorporated in 1989. The company designs and develops product lifecycle management software solutions, offering product engineering and digital transformation services to various industries globally.
Written By Vaibhav Patil
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