MCLOUD - Magellanic Cloud

📊 NSE: MCLOUD 🏢 Computers - Software - Medium / Small 📅 Last Updated: 12/14/2025 9:25

💰 Financial Performance

Revenue Growth by Segment

Total Income for Q2 FY26 grew 5.42% YoY to INR 165.83 Cr. Annual revenue for FY25 grew 6.6% from INR 560 Cr to INR 597 Cr, driven by strong operating momentum in digital transformation and e-surveillance verticals.

Geographic Revenue Split

The company serves 100+ clients across the USA, Europe, and Asia; however, the specific percentage contribution from each region is not disclosed in available documents.

Profitability Margins

Net Profit Margin for FY25 was 17%, a decline from 24% in FY24. Operating Profit Margin also decreased from 88% in FY24 to 78% in FY25, reflecting shifts in operational costs during business evolution.

EBITDA Margin

EBITDA rose 4.2% in FY25. Core profitability remains stable with PAT growing 13.10% YoY to INR 27.62 Cr in Q2 FY26, signaling strategic stabilization and consistent cost discipline.

⚙️ Operational Drivers

Raw Materials

As a technology-focused firm, the primary 'raw material' is human capital, consisting of 1,600+ professionals. Specific hardware component costs for the drone and surveillance divisions are not disclosed.

Capacity Expansion

The company currently employs over 1,600 professionals. Expansion is focused on scaling innovation in AI, cloud, and analytics through subsidiaries like Motivity Labs and Scandron.

📈 Strategic Growth

Expected Growth Rate

Not disclosed in available documents

Growth Strategy

Growth will be achieved by leveraging a INR 140+ Cr order pipeline in e-surveillance from Indian Railways and NHAI, expanding the drone division which clocks orders every quarter, and exploring new sectors and geographies to broaden market reach.

Products & Services

Digital transformation services, AI/ML solutions, cloud services, e-surveillance systems, and drone technologies (Scandron).

Brand Portfolio

Motivity Labs, Scandron, IVIS, Finoux, JNIT Technologies, and Provigil Surveillance.

New Products/Services

New product focus includes AI-driven surveillance and advanced drone solutions, with Scandron securing work orders for drone-based services.

Market Expansion

Actively exploring new sectors and geographies, specifically targeting growth in the USA, Europe, and Asia through its global delivery model.

Strategic Alliances

Formed strategic global partnerships with leading technology companies to enhance digital transformation and AI capabilities.

🌍 External Factors

Industry Trends

The industry is seeing an accelerating trend in cloud adoption and digital transformation. MCLOUD is positioning itself as a preferred partner for clients seeking cloud-native capabilities to power business transformation.

Competitive Landscape

Operates in a dynamic and intense competitive environment within the IT services and advanced surveillance industries.

Competitive Moat

Moat is built on deep domain expertise across multiple industry verticals and CMMI Level 3 process discipline, which provides a durable advantage in securing large-scale government projects like those from Indian Railways.

Macro Economic Sensitivity

Sensitive to global digital adoption trends and IT spending cycles, which drive demand for cloud migration and transformation services.

Consumer Behavior

Clients are increasingly seeking integrated digital ecosystems that combine security, intelligence, and enterprise efficiency.

Geopolitical Risks

Exposure to global shifts in technology-sensitive sectors requires agility and strategic adaptation to mitigate international trade or regulatory barriers.

⚖️ Regulatory & Governance

Industry Regulations

Complies with the Companies Act 2013 and SEBI regulations. The drone division (Scandron) operates under specific aviation and technology standards, though specific compliance costs are not detailed.

Legal Contingencies

The Secretarial Audit for FY25 noted that the term of an Independent Director (Mr. Robert Alan Forbes Jr.) expired on May 27, 2024, requiring shareholder approval for reappointment. No specific court case values were disclosed.