This IT company’s stock rose 66% in 6 weeks, hit an all-time high

Shares of Expleo Solutions hit a new high of Rs 1,746, after a 15% rally on BSE during Wednesday’s intra-day trading in an otherwise weak market. Over the past six weeks, the stock of the information technology (IT) consulting software company has risen 66%, compared to a 3.4% decline for the S&P BSE Sensex.

Expleo Solutions stated on December 8, 2021 that the increase in the volume of the shares of the company is purely based on market conditions and absolutely determined by the market, and that the company is in no way related to such an increase in volume.

Expleo Solutions is a technology services company specializing in the provision of services for banking, finance and insurance (BFSI) software and in the automation and digital transformation of its clients. The company has served more than 150 clients in APAC, the United States, the United Kingdom, Europe and the Middle East.

Digital and specialty testing services accounted for over 35% of the company’s total business, up from around 25% at the start of the year. The company added seven new customers during the July-September quarter (T2FY22). The contribution from offshore activities continues to grow and represents approximately 65% ​​of revenue, compared to 49% year-on-year.

“The integration of unlisted companies is progressing well, we have received the green light from the Stock Exchange and SEBI. We have now filed an application with NCLT and expect to complete this transaction before year end, ”company management said when announcing second quarter results on November 10, 2021.

For the first half (April to September) of fiscal year 2021-22 (S1FY22), Expleo Solutions posted 23.9% year-over-year growth in its consolidated operating income at Rs 185 crore. Profit after tax (PAT), however, fell 9% year-on-year to Rs 24.50 crore.

As of September 30, 2021, Expleo Solutions had a total of 10.25 million shares outstanding. Among these promoters held 56.17 percent of the company’s capital. The remaining 43.83% was held by individual shareholders (29.77%), legal persons (7.94%) and Rajasthan Global Securities Private Limited (4.03%), according to data on the structure of the shareholding.

In the past six months, the stock has climbed 162%, compared to 9.4% for the S&P BSE Sensex. While in one year, it rebounded 269%, against almost 25% increase of the benchmark.

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