💰 Financial Performance

Revenue Growth by Segment

Standalone Software License Sale grew 16.13% to INR 74.99 Cr (from INR 64.58 Cr). Standalone IT/Software Services decreased 18.14% to INR 11.81 Cr (from INR 14.43 Cr). Consolidated Goods Transport revenue fell 84.73% following the divestment of Wowtruck Technologies.

Geographic Revenue Split

India remains a primary market, but the company has significant international exposure with Foreign Exchange Earnings of INR 21.10 Cr in FY2024-25, representing approximately 24.3% of standalone revenue.

Profitability Margins

Standalone Net Profit Margin improved to 16.42% (INR 14.81 Cr) from 2.91% (INR 2.34 Cr) in FY2023-24, primarily driven by a one-time profit of INR 15.63 Cr from land sales. Consolidated Net Profit Margin stood at 10.73% (INR 9.90 Cr) compared to a net loss of 2.31% (INR 2.18 Cr) in the previous year.

EBITDA Margin

Operating Profit Margin (Standalone) turned negative, decreasing from 2.24% to -0.47% in FY2024-25. Consolidated Operating Profit Margin worsened to -5.63% from -2.47% due to heavy discounting on large software license orders and operating losses in subsidiaries.

Capital Expenditure

The company invested INR 8.50 Cr in its wholly-owned subsidiary ROQIT Greenfleet Digital Solutions. It also realized INR 15.63 Cr from the sale of land in Cherlapally, Hyderabad, to support liquidity and future investments.

Credit Rating & Borrowing

CRISIL upgraded the long-term rating to 'CRISIL BB-/Stable' from 'CRISIL B+/Stable'. Borrowing costs are linked to an overdraft facility with a sanctioned limit of INR 6.90 Cr, of which INR 2.35 Cr was utilized as of March 31, 2025.

⚙️ Operational Drivers

Raw Materials

Software Licenses (resale products from partners like Tableau and Snowflake) represent the primary cost of sales, though specific percentage of total cost is not disclosed.

Import Sources

Sourced globally through partnerships with companies based in the USA and UK (e.g., Alteryx UK, DVW UK, Tableau, Snowflake, Fivetran).

Key Suppliers

Key technology partners include Tableau (Salesforce), Snowflake, Fivetran, Alteryx UK, DVW UK, and Simply Learn.

Capacity Expansion

Not a manufacturing entity; however, the company is expanding its technological footprint into EV and Hydrogen mobility through its subsidiary ROQIT, which was incorporated in December 2024.

Raw Material Costs

Margins on Software License sales were significantly impacted by discounts given to large-sized orders, leading to a standalone segment profit decrease of 15.35% in IT services.

Manufacturing Efficiency

Not applicable as the company provides IT services and software licenses. Efficiency is measured by employee productivity and service quality.

Logistics & Distribution

Distribution costs are minimal for software; however, the company exited the physical logistics space by selling its 100% stake in Wowtruck Technologies for INR 8.53 Cr.

📈 Strategic Growth

Expected Growth Rate

10%

Growth Strategy

Growth is targeted through the acquisition of ETO to boost revenue, further investment of INR 8.50 Cr in ROQIT for zero-emission fleet technology (EV/Hydrogen), and leveraging strategic partnerships with Snowflake and Fivetran to expand the business intelligence portfolio.

Products & Services

Business intelligence software licenses, IT consulting services, software development, and technology for zero-emission EV/Hydrogen mobility fleets.

Brand Portfolio

Aion-Tech Solutions, Goldstone Technologies (legacy), ROQIT.

New Products/Services

Launch of zero-emission fleet management platforms under ROQIT; expected revenue contribution is not yet quantified as it is in the development phase.

Market Expansion

Expansion into the Green Energy and EV mobility sector in India; standalone revenue is projected to stay above INR 90 Cr.

Market Share & Ranking

Not disclosed in available documents; described as having a 'modest scale of operations' in a highly competitive industry.

Strategic Alliances

Partnerships with Fivetran, Snowflake, Simply Learn, Alteryx UK, DVW UK, and Tableau for product resale and service delivery.

🌍 External Factors

Industry Trends

The IT industry is shifting toward data protection (DPDP Act) and cybersecurity (CERT-In). The company is positioning itself for the future by pivoting toward AI and Green Tech (EV/Hydrogen mobility).

Competitive Landscape

Intense competition from both large-scale IT firms and niche software resellers, constraining the company's ability to scale revenue beyond INR 93 Cr.

Competitive Moat

Moat is based on long-standing promoter experience (10+ years) and established strategic partnerships with global software leaders. However, the moat is challenged by intense competition and low switching costs in license resale.

Macro Economic Sensitivity

Sensitive to global IT spending and GDP growth (projected at 3.0% for 2025). Sluggish demand in Europe and high interest rates in the US impact corporate earnings growth for IT clients.

Consumer Behavior

Shift toward zero-emission mobility and data-driven business intelligence is driving the company's recent investment pivots.

Geopolitical Risks

Trade and tariff risks impacting IT service exports; vulnerability to changes in international trade policies as noted in August 2025 reports.

⚖️ Regulatory & Governance

Industry Regulations

Must comply with the Digital Personal Data Protection (DPDP) Act (Jan 2025) and CERT-In Cybersecurity Guidelines (2025) regarding data localization, consent, and incident reporting.

Environmental Compliance

Focusing on zero-emission technology through ROQIT to align with global ESG trends; specific compliance costs are not disclosed.

Taxation Policy Impact

Subject to standard Indian corporate tax rates; fiscal 2025 performance was impacted by tax treatments of land sale capital gains.

Legal Contingencies

The company received a 'true and fair' audit opinion for FY2024-25; no specific pending High Court or Supreme Court litigation values were disclosed in the provided documents.

⚠️ Risk Analysis

Key Uncertainties

The acquisition of ETO and the startup phase of ROQIT may continue to drag down consolidated profitability in the short term due to initial expansion costs.

Geographic Concentration Risk

Significant revenue concentration in India, though export earnings contribute roughly one-fourth of the standalone business.

Third Party Dependencies

High dependency on a few key software vendors (Tableau, Snowflake) for the 'Software License Sale' segment, which is the largest revenue contributor.

Technology Obsolescence Risk

Risk of rapid shifts in software preferences; mitigated by maintaining partnerships with multiple leading-edge platforms like Snowflake and Fivetran.

Credit & Counterparty Risk

Receivables management has improved (Debtors Turnover 4.25), but the company remains vulnerable to the business policies of its top 5 clients who control 40% of revenue.