A prominent workforce management and outsourcing services provider, recognised for its diversified solutions across industries, faces market turbulence as shares plummet 11.5 percent post a surprise Q4 loss. Despite 3.4 percent annual revenue growth, quarterly earnings slid 9 percent, with profitability reversing to red.
Quess Corp Limited’s stock, with a market capitalisation of Rs. 5,068 crores, fell to Rs. 330.40, hitting a low of 11.48 percent from its previous closing price of Rs. 373.25. Furthermore, the stock over the past year has given a negative return of 44.5 percent.
Business Segments
Quess Corp operates across four key business segments: general staffing (banking, retail, manufacturing, and construction) contributing 87 percent of revenue; professional staffing (digital skills and GCC services) generating 6 percent revenue; overseas business spanning APAC and the Middle East with 8 percent revenue contribution; and digital platforms featuring blue-collar job/HRMS and on-demand gig services. This workforce ecosystem demonstrates Quess’s strategic focus on diverse staffing solutions.
Also read: Smallcap stock hits 20% upper circuit after reporting 125% net profit growth in Q4
Financial Highlight
In Q4FY25, the company reported revenue of Rs. 3,656 crore, reflecting a 3.4 percent year-on-year (YoY) increase from Rs. 3,537 crore in Q4FY24. However, on a quarter-on-quarter (QoQ) basis, revenue declined by 9 percent from Rs. 4,019 crore in Q3FY25.
The company posted a net loss of Rs. 95 crore in Q4FY25, compared to a profit of Rs. 40 crore in the same quarter last year and Rs. 42 crore in Q3FY25. The loss was primarily driven by one-time exceptional items, including goodwill impairment, expected credit loss (ECL), and demerger-related expenses.
Excluding these exceptional items, adjusted profit stood at Rs. 63 crore in Q4FY25, up 49 percent YoY from Rs. 42 crore and 31 percent QoQ from Rs. 48 crore, indicating a strong underlying performance despite headline losses. The board recommended a final dividend of Rs. 6 per share, aggregating to Rs. 10 per share for FY25.
Written By Fazal Ul Vahab C H
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