💰 Financial Performance

Revenue Growth by Segment

Software activities revenue fell 77.22% from INR 9.00 Lacs in FY 2023-24 to INR 2.05 Lacs in FY 2024-25. Total income, however, grew 1,699.51% to INR 257.51 Lacs, driven by a 4,710.92% surge in Other Income (INR 255.46 Lacs).

Profitability Margins

Net Profit Margin was 46.16% (INR 118.88 Lacs) in FY 2024-25 compared to -61.50% in FY 2023-24. Note: The company's ratio table reports a Net Profit ratio of (97.78%) for FY 2024-25, citing a decrease in profits relative to the preceding year, which contradicts absolute profit growth.

EBITDA Margin

EBITDA margin improved to 90.17% (INR 232.2 Lacs) in FY 2024-25 from -51.92% (INR -7.43 Lacs) in FY 2023-24. This massive swing is primarily due to non-operational Other Income rather than core software service profitability.

⚙️ Operational Drivers

Raw Materials

Human Capital/Talent (Software consulting services) represents the primary input cost, with employee benefit expenses totaling INR 6.67 Lacs (2.59% of total income).

Raw Material Costs

Employee benefit expenses increased 25.85% YoY to INR 6.67 Lacs. As a software firm, talent procurement and retention are the primary cost drivers.

📈 Strategic Growth

Expected Growth Rate

Not disclosed in available documents

Growth Strategy

The company plans to achieve growth by undertaking new operational activities and implementing cost-cutting measures. It is focusing on building capabilities in emerging technologies to adapt to the IT industry's shift away from traditional outsourcing and cost arbitrage models.

Products & Services

Software development and software consulting services.

Brand Portfolio

Omega Interactive Technologies Limited.

🌍 External Factors

Industry Trends

The IT industry is shifting from cost-based competition to value-based delivery due to automation. Traditional outsourcing demand is slowing down, requiring a talent model overhaul. Omega is attempting to pivot to emerging capabilities but currently shows a 77.22% decline in core revenue.

Competitive Landscape

Intense competition from larger IT players and automation technologies that replace traditional software consulting.

Competitive Moat

The company lacks a durable moat, as evidenced by its 77.22% drop in operational revenue. Its competitive positioning is weak, relying on other income (INR 255.46 Lacs) for profitability rather than core software services.

Consumer Behavior

Clients are increasingly adopting automated solutions, reducing the demand for legacy software consulting.

Geopolitical Risks

Regulations in key markets are forcing IT players to rethink talent models, impacting traditional outsourcing delivery.

⚖️ Regulatory & Governance

Industry Regulations

Compliance with the Companies Act 2013 and general software industry standards.

Taxation Policy Impact

Effective tax rate of 25.17% based on a current tax provision of INR 39.98 Lacs on PBT of INR 158.86 Lacs.

Legal Contingencies

INR 0 (No pending litigations reported that would impact financial position).

⚠️ Risk Analysis

Key Uncertainties

The primary uncertainty is the viability of the core software business, which generated only INR 2.05 Lacs in revenue, and the impact of a 5,253.28% increase in finance costs.

Technology Obsolescence Risk

High risk due to the industry-wide shift toward automation and the obsolescence of traditional manual outsourcing models.

Credit & Counterparty Risk

Receivables risk is high as the trade receivable turnover ratio fell 83.66% to 0.80, indicating significantly slower collections.