It is my pleasure to highlight the business performance of the Sasken Group for the second quarter of FY 2019 - 20, ending September 30, 2019.
We must point out that certain statements made here or those we make subsequently in response to your queries concerning our future growth prospects are forward-looking statements. Please read the Safe Harbor clause in the second slide of our presentation for full details
Let me begin by walking you through our financials for Q2 Fiscal 2020. In Q2 FY 2019-20, the consolidated revenues for the Sasken Group were down over the previous quarter to ₹ 125.70 crores. However on a comparable quarter basis the revenue was up by 11.2%. Consolidated Earnings before Interest and tax for Q2 fiscal ‘20 were ₹ 14.44 crores, a decrease of 34.7% sequentially and was up by 23.1% on comparable quarter in the previous fiscal. Consolidated PAT for Q2 fiscal ‘20 was at ₹ 22.74 crores, down by 1.9% over the previous quarter and up by 34.6% when compared to Q2 FY 19. PAT margin for Q2 fiscal ’20 was 18.10%. Consolidated earnings per share, was ₹ 13.34 for the quarter. Cash and cash equivalents were approximately ₹ 550.94 crores as of September 30, 2019.
On the people front, the headcount for the Sasken Group stood at 1,734 as of September 30, 2019. The annualized attrition rate stands at 21.9%, which is a drop of 2% over the previous quarter.
The utilization (including trainees) during Q2 FY 20 across the Sasken group was 71.00%. Sasken continues with its strategy to invest in the training of fresh engineers to meet its niche skillset.
We have successfully added 4 new customers during the quarter, taking the total number of active customers to 91.
In the Product Engineering Space, we have worked to strengthen our offerings forged partnerships to widen our market reach. We are reinforcing our existing engagements by investing in the development of both our current and new offerings. We continue to showcase our unique Point of View/Proof of Concepts in global events to increase customer traction.
In the Digital landscape, we are investing to further develop our capabilities in IoT and DevOps, having recently announced an alliance with Siemens Mindsphere. This alliance will help us address opportunities in Connected Intelligent Products and Operations. DevOps is an essential set of technologies that renders speed and agility to our customers for executing on their digital transformation agenda, and we see excellent opportunities for us in this segment.
The Board of Directors of the Company at their meeting held on April 23, 2019 and Shareholders by way of Special Resolution passed through Postal Ballot / e-voting dated June 19, 2019 approved the proposal for buy-back of up to 19,98,678 fully paid up Equity Shares at a price not exceeding ₹ 850 per share for a total consideration not exceeding ₹ 16,988.76 lakhs. The Buy-Back Committee of the Board on June 20, 2019, had fixed the buy-back price of ₹ 825 per equity share and accordingly to buy-back up to 20,59,243 Equity Shares. The Company had made a Public Announcement in national and local newspapers on June 24, 2019 and also filed the Draft Letter of Offer with SEBI on June 26, 2019 for their comments. Upon receipt of comments from SEBI on September 26, 2019, the company dispatched the Letter of Offer to shareholders. The buy-back opened on October 11, 2019 and is set to close by October 25, 2019.
My team and I are grateful for the trust reposed in us and wish to assure you of our commitment to do our best for all stakeholders.
Rajiv C Mody
Chairman, Managing Director, and CEO
Sasken Technologies Limited