The shares of the AI and cloud-based solutions provider gained up to 5 percent after the board of the company fixed the record date for the stock split in the ratio of 1:1.
With a market capitalization of Rs 2,162.65 crore, the shares of Blue Cloud Softech Solutions Ltd were trading at Rs 99.10 per share, increasing around 3.14 percent as compared to the previous closing price of Rs 96.08 apiece.
Reason for Rise
The shares of the company have seen positive movement after Blue Cloud Softech Solutions Ltd’s board fixed Monday, 20 January 2025 as a record date for the stock split in the ratio of 1:1 which means existing equity shares of the company have a face value of Rs 2 each fully paid‐up into equity shares having face value of Rs 1 each fully paid up.
Financial performance
Examining the company’s financial performance, revenue stretched by 170 percent from Rs 87 crore in Q2FY24 to Rs 235 crore in Q2FY25. During the same duration, net profit magnified drastically by 267 percent from Rs 3 crore to Rs 11 crore.
Growth Drivers
The company’s focus on adopting new technologies like AI and cloud computing is crucial for maintaining competitiveness and attracting new clients and expanding its client base in high-growth sectors such as healthcare and finance will be vital for sustaining revenue growth.
Ratio analysis
The company’s critical ratios show that the return on equity increased from 5.37 percent in FY22-23 to 8.67 percent in FY23-24, while the return on capital employed increased from 7.25 percent to 12.01 percent. The net profit margin (NPM) for fiscal year 23-24 is 2.80 percent.
Shareholding pattern
In the company’s recent shareholding pattern, the Promoters of the company own 1.74 percent while Retail shareholders own a 75.32 percent stake in the company and domestic Institutional Investors own a 22.94 percent stake.
Company Overview
Blue Cloud Softech Solutions Limited is a software development company. The Company is engaged in designing, and developing computer software and provides data processing services of all kinds including computer consultancy service, system analysis, programming, and computer maintenance.
Written by Abhishek Singh
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