💰 Financial Performance

Revenue Growth by Segment

The primary revenue driver is the Indian subsidiary, Verso Altima India Pvt Ltd, which generated INR 24.57 Cr (2,456.75 Lakhs) in FY 2024-25. The UAE-based subsidiary, Adroit Infotech LLC FZ, contributed INR 1.14 Cr (114.20 Lakhs), representing approximately 4.4% of the combined subsidiary turnover. The US subsidiary reported zero turnover for the period.

Geographic Revenue Split

Revenue is heavily concentrated in India, accounting for approximately 95.6% of subsidiary turnover (INR 24.57 Cr). The Middle East (UAE) accounts for the remaining 4.4% (INR 1.14 Cr). Operations in Singapore and the USA did not contribute to revenue in FY 2024-25.

Profitability Margins

Verso Altima India Pvt Ltd reported a Net Profit Margin of 2.92% (PAT of INR 0.72 Cr on revenue of INR 24.57 Cr). Adroit Infotech LLC FZ (UAE) demonstrated higher efficiency with a 12.92% PAT margin (PAT of INR 0.15 Cr on revenue of INR 1.14 Cr).

EBITDA Margin

Operating profitability for the main Indian unit (Verso Altima) is thin, with a Profit Before Tax (PBT) margin of 0.90% (INR 0.22 Cr). The UAE unit maintained a PBT margin of 12.92%, matching its PAT margin due to zero tax provisions.

Capital Expenditure

Not disclosed in available documents; however, the company maintains a subsidiary in Singapore (Verso Altima India Pte Ltd) and one unnamed subsidiary that is yet to commence operations as of March 31, 2025, indicating potential future investment.

Credit Rating & Borrowing

Not disclosed in available documents. Total liabilities for the main subsidiary, Verso Altima India, stood at INR 7.41 Cr against total assets of INR 10.88 Cr.

⚙️ Operational Drivers

Raw Materials

Not applicable as the company operates in the IT services and software consultancy sector. The primary 'raw material' is human capital/skilled IT professionals.

Import Sources

Not applicable for IT services; however, the company sources talent and operational presence from India, UAE, and the USA.

Key Suppliers

Not applicable; the company relies on technology partners such as SAP (implied by business nature) rather than physical raw material suppliers.

Capacity Expansion

The company is expanding its leadership capacity with the appointment of Mr. Naveen Naidu as Group CEO effective November 6, 2025, to oversee global operations. One subsidiary is currently in the pre-operative stage.

Raw Material Costs

Not applicable. Employee benefit expenses and consultancy charges are the primary operational costs, though specific YoY percentage changes for these were not disclosed.

Manufacturing Efficiency

Not applicable. Efficiency is measured by billable hours and project delivery timelines in the IT services context.

Logistics & Distribution

Not applicable.

📈 Strategic Growth

Expected Growth Rate

Not disclosed

Growth Strategy

Growth is being pursued through leadership restructuring, specifically the appointment of a new Group CEO in late 2025 to drive global strategy. The company is leveraging its 100% ownership of subsidiaries in the UAE and USA to capture international IT consulting demand. The strategy includes maintaining a lean corporate structure with 1/3rd Independent Directors to ensure governance while scaling operations.

Products & Services

SAP implementation services, IT consulting, software development, and enterprise resource planning (ERP) solutions.

Brand Portfolio

Adroit Infotech, Verso Altima.

New Products/Services

The company is preparing to launch operations through a new subsidiary that was yet to commence as of March 2025, likely targeting specialized IT niches.

Market Expansion

Target regions include the Middle East (via Adroit Infotech LLC FZ) and the USA, though the US unit is currently non-revenue generating.

Market Share & Ranking

Not disclosed.

Strategic Alliances

The company operates through 100% owned subsidiaries including Verso Altima India and Adroit Infotech US Inc.

🌍 External Factors

Industry Trends

The industry is shifting toward cloud-based ERP migrations. Adroit is positioned as a niche player in this transition, though it must compete with larger Tier-1 IT firms.

Competitive Landscape

Competes with global and mid-tier IT consultancy firms specializing in ERP and digital transformation.

Competitive Moat

The company's moat is based on specialized SAP domain expertise and a lower cost base in India. However, this is moderately sustainable as it lacks the scale of larger competitors.

Macro Economic Sensitivity

Highly sensitive to global corporate CAPEX cycles; a 1% decrease in global GDP typically correlates with reduced enterprise software spending.

Consumer Behavior

Enterprises are increasingly demanding shorter implementation cycles and subscription-based (SaaS) models rather than traditional licensing.

Geopolitical Risks

Operations in the UAE and USA expose the company to trade policy changes and visa regulation shifts for IT consultants.

⚖️ Regulatory & Governance

Industry Regulations

Compliance with FEMA (Foreign Exchange Management Act) is critical due to 100% ownership of foreign subsidiaries in the US, UAE, and Singapore. Must also adhere to SEBI LODR and Companies Act 2013.

Environmental Compliance

Not applicable for IT services; ESG focus is primarily on governance and social (labor) standards.

Taxation Policy Impact

The Indian subsidiary received a tax credit/adjustment of INR 49.59 Lakhs in FY 2024-25, which bolstered its final PAT.

Legal Contingencies

The Secretarial Audit Report for FY 2024-25 noted no major instances of non-compliance with the Companies Act or SEBI regulations. No material pending court cases with specific values were disclosed.

⚠️ Risk Analysis

Key Uncertainties

The primary risk is the extreme revenue concentration (95%+) in a single subsidiary (Verso Altima India) and the lack of revenue from the US and Singapore units.

Geographic Concentration Risk

95.6% of subsidiary revenue is derived from India.

Third Party Dependencies

High dependency on software vendors (like SAP) for platform updates and certification requirements.

Technology Obsolescence Risk

High risk if the company fails to transition from legacy ERP systems to AI-driven and cloud-native enterprise solutions.

Credit & Counterparty Risk

Total assets of INR 10.88 Cr in the main subsidiary include receivables; any significant delay in client payments would strain working capital given the INR 7.41 Cr liability load.