Oracle Financial Services Software Ltd's Q3FY25 Quarter Results
- 22 Jan 2025
Result Summary
- Oracle Financial Services Software Ltd reported a 0.4% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Dec (Q3FY25). On a year-on-year (YoY) basis, it witnessed a decline of 6.9%.
- Its expenses for the quarter were up by 6.9% QoQ and 3.2% YoY.
- The net profit decreased 6.3% QoQ and decreased 26.9% YoY.
- The earnings per share (EPS) of Oracle Financial Services Software Ltd stood at 62 during Q3FY25.
Financial Statments for Q3FY25
| (₹ crores) | Q3FY25 | Q2FY25 | Q3FY24 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total Income | 1784.90 | 1778.50 | 1917.56 | 0.4% | -6.9% |
Total Expenses | 1014.90 | 949.50 | 983.42 | 6.9% | 3.2% |
Profit Before Tax | 770.00 | 829.00 | 934.15 | -7.1% | -17.6% |
Tax | 228.70 | 251.30 | 193.33 | -9.0% | 18.3% |
Profit After Tax | 541.30 | 577.70 | 740.81 | -6.3% | -26.9% |
Earnings Per Share | 62.00 | 66.20 | 85.10 | -6.3% | -27.1% |
Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results
Company Overview
Oracle Financial Services Software Ltd (OFSS) is a prominent player in the financial technology industry. It specializes in providing comprehensive software solutions and services to the financial sector, including banking, insurance, and capital markets. OFSS is known for its range of products that cater to core banking, digital banking, and enterprise performance management. The company leverages Oracle's technological expertise to deliver innovative solutions that enhance operational efficiency and customer experience for financial institutions worldwide. As a part of the Oracle Corporation group, OFSS has access to a vast network of resources and expertise, enabling it to maintain a strong competitive position in the global market. Recent developments in the company are not available based on the provided information.
Revenue
In Q3FY25, Oracle Financial Services Software Ltd reported a total income of ₹1784.90 crores, which marks a marginal quarter-over-quarter increase of 0.4% from ₹1778.50 crores in Q2FY25. However, when compared to the same quarter in the previous year, Q3FY24, the total income shows a year-over-year decline of 6.9% from ₹1917.56 crores. These figures highlight the variations in revenue generation over the periods in consideration. The slight QoQ growth indicates stable revenue, while the YoY decline reflects a decrease in the overall income compared to the previous year.
Profitability
The profitability metrics for OFSS demonstrate a downward trend over the reported periods. The Profit Before Tax (PBT) for Q3FY25 was ₹770.00 crores, which is a 7.1% decrease from Q2FY25's ₹829.00 crores and a 17.6% decline from ₹934.15 crores in Q3FY24. This decrease in PBT is accompanied by a reduction in the Profit After Tax (PAT), which stood at ₹541.30 crores for Q3FY25, showing a 6.3% decrease from the previous quarter's ₹577.70 crores and a 26.9% drop from ₹740.81 crores in the same quarter last year. The tax expenditure also saw a reduction, with Q3FY25 tax at ₹228.70 crores, down 9.0% QoQ from ₹251.30 crores but up 18.3% YoY from ₹193.33 crores. These changes are mirrored in the Earnings Per Share (EPS), which decreased by 6.3% QoQ and 27.1% YoY, standing at ₹62.00 in Q3FY25.
Operating Metrics
The operating metrics of Oracle Financial Services Software Ltd reveal some notable trends. Total expenses for Q3FY25 were ₹1014.90 crores, reflecting a 6.9% increase from Q2FY25's ₹949.50 crores and a 3.2% rise from Q3FY24's ₹983.42 crores. This indicates that the company is incurring higher operational costs compared to both the previous quarter and the same quarter last year. The increase in total expenses, amidst decreasing profitability, can be a significant factor impacting the company's financials. Although specific ratios such as P/E, debt-to-equity, or current ratios are not provided in the data, the declining profits and increasing expenses suggest shifts in the company's operational efficiency and cost management over the reported periods.
