Mukul Agrawal portfolio stock surges 25% in 3 days; up 43% so far in Dec

Intellect Design Arena shares price hit a multi-month high of Rs 1,022, as it rallied 12 per cent on the BSE in Thursday's intra-day trade

Shares of Intellect Design Arena, a global leader in enterprise-grade financial technology services, hit a multi-month high of Rs 1,022, as they rallied 12 per cent on the BSE in Thursday’s intra-day trade, extending its previous day’s upward movement. In the past three trading days, the stock price of this computer software and consulting company has surged 25 per cent. It had hit a record high of Rs 1,198.80 on March 15, 2024.

 

On clarification on volume movement of the company’s shares, Intellect said that there has been no event, information decision that has hav a bearing on the company's operations/ performance, including all price sensitive information that requires disclosure under the Listing Regulations.

 

If and when there is any event or decision that requires reporting under the Listing Regulations, the company would comply with its reporting obligations in this regard, it added.

 

Meanwhile, thus far in the month of December, Intellect Design Arena share price has zoomed 43 per cent. In comparison, the BSE Sensex is down 1.4 per cent during the same period.

 

Investor Mukul Mahavir Agrawal held 2 million equity shares, or 1.45 per cent stake, in Intellect at the end of the September 2024 quarter, the shareholding pattern data from the exchanges showed.

 

Intellect is an enterprise-grade financial technology leader, providing composable and intelligent solutions for futuristic global financial institutions across 57 countries. Intellect’s revolutionary First Principles Thinking-based Enterprise Connected Intelligence Platform, eMACH.ai, is a leading comprehensive, composable, and intelligent open finance platform. 

 

Intellect is expanding its global brand reputation with eMACH.ai as a leading Open Finance platform, successfully hosting eight events across the key financial centres of the world, ranging from the Middle East to Europe and to the Americas and Canada, and engaging with partners and clients to drive discussions on the future of open finance. eMACH.ai Open Finance platform has been chosen by 12 financial institutions worldwide in Q2FY25, the company said.

 

The company had announced key partnerships with Wipro and HCL Technologies to deliver innovative technology solutions.

 

However, for the first half (April to September) of the financial year 2024-25 (H1FY25), Intellect had reported a 22.4 per cent year-on-year (YoY) decline in profit after tax at Rs 127.26 crore. Total income was down by 8.3 per cent YoY to Rs 1,160.71 crore. Reported earnings before interest, tax, depreciation and amortisation (Ebitda) margin contracted to 17.19 per cent in H1FY25 from Rs 22.13 per cent in H1FY24.

 

Intellect Design has been focusing on increasing its license-linked revenues, as a higher license-linked revenue would lead to steady revenue growth. The company’s annuity revenue (AMC + SaaS) contributes approximately 40 per cent to total revenue, and it is expected to post a robust growth going ahead, given its early investments in Cloud capabilities. Improving contribution of annuity revenues would also help the company drive its profitability, including cash flow generation.

 

Analysts believe a strong order pipeline, increasing traction from artificial intelligence (AI)/machine learning (ML) offerings, and expected booking of the postponed deal in Q4FY25, will enable the company to achieve its FY25 guidance.