The Automation and IT company, Datamatics Global Services Ltd. has shown nearly 12% rally today, drawing investor attention amid a broader tech market that remained relatively subdued.
Market Updates:
Today, Nifty 50 opened at 25,243.30, made its high/low at 25,246.25/ 25,018.70 respectively, and closed with a fall of 157.80 points (0.63%) at 25,062.10 whereas Sensex opened at 82,779.95, made its high/low at 82,784.24/ 82,047.22 respectively, and closed with a fall of 542.47 points (0.66%) at 82,184.17. Despite of negative sentiments in the main indices, this automation IT company Datamatics Global Services Ltd. Has closed with ~5% up. The share had shown ~12% up around 01:00 P.M. Here we will discuss about the company, its reason of rise and financial context.
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https://investmentgrip.com/fertilizer-stock-strong-fundamentals-growth/
About the company:
The automation IT company Datamatics Global Services Ltd., with headquartered in Mumbai was founded in 1975 It is a publicly listed IT company such as Specializing in digital transformation, intelligent automation, AI, and data management solutions. The company has more than 300 both national and international level of clientele such as US, UK, Europe, Philippines, and India.
There are three core operations of this automation and IT company: (a) Digital Technologies, (b) Digital Operations, and (c) Digital Experiences, delivering AI‑powered platforms like TruBot (RPA), TruCap+ (IDP), TruBI (BI/analytics), TrueAI, and FINATO (CFO automation). These three operation pillars provide services to different sectors such as banking, insurance, healthcare, manufacturing, and logistics.
This IT company has over 10,000 employees across four continents with annual revenue of around USD 181 million.
The reason of stock spike:
It is reported that, there will a collaboration between the company and Microsoft to co-develop AI-powered copilot solutions in the upcoming days. this collaboration represents the Datamatics positions at the forefront of enterprise automation and generative AI adoption.
Now the AI-driven technologies reshape global IT priorities, in that case companies like Datamatics are innovating fast and forming strategic alliances.
The stock has boosted by investor’s confidence which is due to company’s future-facing product suite and its growing relevance in the enterprise AI ecosystem. Due to this reason, the stock surges ~12% today.
Key Fundamentals of Datamatics Global
Strong Revenue Growth
In FY25, Datamatics reported consolidated revenue of ₹1,723.4 crore and in FY24 it was ₹1,549.9 crore which is 11.2% rise in the revenue.
Similarly, the company has reported ₹ 497 crore revenue in March 2025 which is ~17% higher than Dec 2024 (In December 2024 the revenue was ₹ 425 crore). In March 2024 the revenue was ₹ 413 crore compare March 2025 which is 20% up.
The company’s performance both QoQ and YoY are improving quite fast which reflecting resilient demand across its business lines.
EBITA and Net profit of the company
In FY25, Datamatics reported consolidated EBITA of ₹229 crore and in FY24 it was ₹246 crore which is 7.4% down due to rise in expenses.
Similarly, the company has reported ₹ 75 crore EBITA in March 2025 which is ~36% higher than Dec 2024 (In December 2024 the EBITA was ₹ 55 crore) and in March 2024 the EBITA was ₹ 65 crore compare to this 15% up in March 2025.
In FY25, Datamatics reported consolidated Net profit of ₹206 crore and in FY24 it was ₹197 crore which is 4.5% up.
Similarly, the company has reported ₹ 45 crore Net profit in March 2025 which is ~66% down than Dec 2024 (In December 2024 the Net profit was ₹ 75 crore) and in March 2024 the Net profit was ₹ 52 crore compare to this 15.5% down in March 2025.
Here, we can observe that although the company’s revenue has increased both QoQ and YoY but it cannot find the consistent growth in EBITA and Net profit which is because of company’s investments into AI and expansion.
Company’s reserves, borrowing, and investments
The company’s reserves are increasing; in FY 2024 it was ₹ 1200 crore and FY 2025 it is ₹ 1335 crore.
The company’s borrowings are also increasing slowly but as compared to reserves these are very less in amount; in FY 2024 it was ₹ 17 crore only but FY 2025 it is ₹ 190 crore. Increase in borrowings are due to company’s investments into AI and expansion. The company’s investments were ₹ 546 crore in FY 2024 whereas in FY 2025 it is ₹ 355 crore.
Shareholding pattern
According to March 2025 data, the Promoter’s holding is 63.33% of the company’s share. The FIIs and DIIs holdings are 1.02% and 0.12% respectively and the public holdings are 32.54%.
Conclusion
Datamatics Global Services is an emerging IT company which lead as a digitally forward, innovation-led IT company that’s steadily carving a niche in the fast-evolving AI and automation space. Its focus on intelligent automation and enterprise AI are strategically capitalize on the next wave of digital transformation.
Very informative