Athena Global - Athena Global

📊 BSE: 517429 🏢 Computers - Software & Consulting 📅 Last Updated: 11/13/2025 15:25

💰 Financial Performance

Revenue Growth by Segment

The company reported a 25.42% increase in total revenue from operations, rising from INR 9.71 Cr (Rs. 970.95 Lakhs) in FY 2023-24 to INR 12.18 Cr (Rs. 1217.80 Lakhs) in FY 2024-25. The IT Segment & SEZ division drove this growth despite a decline in overall profitability.

Geographic Revenue Split

Not disclosed in available documents, though the company notes operations in both domestic and global markets with a strategic presence in the Manikonda SEZ.

Profitability Margins

Net Profit Margin was reported at -104% for FY 2024-25, a slight improvement from -105% in FY 2023-24. The company recorded a significant net loss of INR 14.12 Cr (Rs. 1411.98 Lakhs) in FY 2024-25, compared to high profits in the previous year which were inflated by fair value gains on investment property.

EBITDA Margin

Not explicitly disclosed, but the company reported a negative Return on Investment of -0.05% and a Debt Service Coverage Ratio of 0.48, indicating stressed core profitability and limited cash flow to cover debt obligations.

Capital Expenditure

Not disclosed in absolute INR Cr; however, the company is prioritizing investments in digital capabilities, AI, machine learning, and expanding global delivery capacity.

Credit Rating & Borrowing

Not disclosed, but the Debt-Equity ratio increased significantly to 1.07 in FY 2024-25 from -0.01 in the previous year, indicating a substantial increase in leverage.

⚙️ Operational Drivers

Raw Materials

As an IT services firm, primary 'raw materials' are Skilled IT Talent (Human Capital) and Digital Infrastructure/Cloud Services, which constitute the bulk of operational costs.

Import Sources

Not disclosed; however, the company operates in Special Economic Zones (SEZ) in Manikonda, Hyderabad, to leverage tax and regulatory incentives.

Capacity Expansion

Current operations are centered in the Manikonda SEZ. Expansion is focused on digital platforms: Tutoroot (Edtech) and Medley Medical Solutions (Telehealth) to diversify revenue streams.

Raw Material Costs

Not disclosed as a % of revenue; however, the company notes that talent retention and acquisition are critical challenges, implying high human capital costs.

Manufacturing Efficiency

Not applicable for IT services; however, the company is focused on improving 'realisation time' for debtors, which saw a 26% decline in turnover ratio (from 0.99 to 0.73).

Logistics & Distribution

Not disclosed; distribution is primarily digital through software delivery and cloud-based platforms like Tutoroot.

📈 Strategic Growth

Expected Growth Rate

10.1%

Growth Strategy

Growth will be achieved by leveraging the 10.1% CAGR in the global software development market through expansion into high-growth verticals: Edtech (via Tutoroot) and Healthcare/Telehealth (via Medley). The company is also integrating AI, Blockchain, and IoT into its core IT offerings to command premium pricing.

Products & Services

Software Application Development, Digital Transformation services, Quality Assurance & Testing, Tutoroot (digital education platform), and Medley (integrated pharmacy and telehealth solution).

Brand Portfolio

Athena Global Technologies, Tutoroot, Medley Medical Solutions.

New Products/Services

Expansion of Medley (telehealth) and Tutoroot (Edtech app) are expected to provide stable, recession-resilient revenue streams.

Market Expansion

Targeting e-governance and smart city initiatives in India, alongside expanding global delivery capacity for enterprise clients in healthcare and retail.

Strategic Alliances

Strategic initiatives are being executed through subsidiaries Medley Medical Solutions and Tutoroot Technologies Private Limited.

🌍 External Factors

Industry Trends

The global software development market is projected to reach USD 1,027.96 billion by 2032. Enterprises are shifting toward AI integration, automation, and cloud-native development, which Athena is positioning to capture.

Competitive Landscape

Faces intense competition from larger, well-capitalized IT service providers who exert pricing pressure.

Competitive Moat

Moat includes strategic SEZ locations providing tax incentives and a diversified portfolio in recession-resilient sectors like Healthcare (Medley) and Education (Tutoroot). Sustainability depends on continuous upskilling to match rapid tech shifts.

Macro Economic Sensitivity

Highly sensitive to global IT spending and the 'Digital India' mission, which fuels domestic growth for startups and MSMEs.

Consumer Behavior

Enterprises are shifting from traditional IT support to outcome-based delivery models and value-driven transformation.

Geopolitical Risks

Geopolitical uncertainties and global economic headwinds are cited as factors impacting project timelines and revenue stability.

⚖️ Regulatory & Governance

Industry Regulations

Must comply with evolving global data protection regulations (GDPR, etc.) and governance standards to mitigate legal and reputational risks.

Environmental Compliance

Adopting 'Green IT' and ESG practices to align with investor expectations, though specific costs are not disclosed.

Taxation Policy Impact

Benefits from tax incentives due to operations in Special Economic Zones (SEZ).

⚠️ Risk Analysis

Key Uncertainties

The primary uncertainty is the ability to restore profitability after a net loss of INR 14.12 Cr, with a potential 20% impact if talent retention costs continue to rise.