The shares of the leading IT solution provider fell up to 10 percent after the company’s revenue and net profit sank by 68 percent and 6 percent in Q2FY25, respectively.
With a market capitalization of Rs 3,922.35 crore, the shares of Quick Heal Technologies Ltd were trading at Rs 720.35 per share, decreasing around 5.30 percent as compared to the previous closing price of Rs 760.65 apiece.
Reason for Fall:-
The shares of the company have seen bearish movement after Quick Heal Technologies Ltd revenue fell by 6 percent on year on year basis from Rs 78.36 crore in Q2FY24 to Rs 73.49 crore in Q2FY25, however in Quarter on a Quarter basis revenue increased by 4.5 percent from Rs 70.29 crore in Q1FY25 to Rs 73.49 crore Q2Y25.
Moreover, net profit plummeted drastically by 68 percent on a yearly basis from Rs 12.90 crore in Q2FY24 to Rs 4.15 crore in Q2FY25, meanwhile on a quarter-on-quarter basis net profit jumped by 3 percent from Rs 4.03 crore in Q1FY25 to Rs 4.15 crore in Q2FY25.
Key Product Developments:-
The company is evolving its product offerings, with Horizon-2 products like Extended Detection and Response (XDR) and Zero Trust gaining traction. It launched on-premises Endpoint Detection and Response (EDR) for the Indian government and is developing Horizon-3 products focused on Zero Trust, Data Privacy, and AI-driven security enhancements.
Market Strategy:-
Quick Heal maintains a strong consumer brand presence, while Seqrite is recognized as a cybersecurity thought leader. Both brands actively participate in major cybersecurity events to boost visibility and thought leadership. Ongoing initiatives focus on enhancing consumer awareness through social media and innovative marketing strategies.
Future outlook:-
With the enforcement of India’s Data Protection and Digital Privacy (DPDP) Act, demand for cybersecurity solutions is expected to rise. Management anticipates a 4-5% increase in corporate IT spending for compliance. The company is confident in capturing market opportunities through its strong partner network and local presence.
Management Guidance:-
The company is committed to profitable growth through innovation and R&D, aiming to expand its serviceable market from ₹3,000 crores in FY’25 to ₹4,000 crores by FY’27 via new products and geographical expansion. Management is optimistic about scaling enterprise revenue and improving EBITDA margins.
Company profile:-
Quick Heal Technologies Limited is an India-based cybersecurity products company, which is engaged in cybersecurity solutions. The Company offers cyber security products to retail consumers and enterprises, encompassing a range of platforms such as personal computers (PCs), laptops, MACs Androids, and others.
Written by:- Abhishek Singh
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