• OUTLOOK ARENA
  • VIEWS ON NEWS
  • APRIL 24, 2000

Soffia net profit up tenfold.

Soffia Software is a software solutions company that is engaged in enterprise resource planning,e-commerce,internet solutions and customer relationship management.

The company has done exceedingly well for the 3rd quarter of financial year 99--00 with sales zooming by 583% and net profits by a whopping 1,000%(See Table).

The company has declared an interim dividend of 21% for the current year as a result of its excellent showing.Another notable feature of the company is that it is debt free.The equity capital has gone up from Rs 30 m to Rs 40 m during the year on account of a preferential issue of 10,00,000 shares of Rs 10 each on 25.1.2000.

Since the company is registered with the Software Technology Parks of India, its export income shall be free from income tax despite the recent announcement by the finance minister that export income shall be marginally taxed at the rate of 20% from the next financial year progressively upto 100% over the next five years.

(Rs m) 3QFY1999 3QFY2000 Change
Sales 6 41 583%
Other Income - -  
Expenditure 4 25 525%
Operating Profit (EBDIT) 2 16 700%
Operating Profit Margin (%) 33.3% 39.0%  
Interest - - 0%
Depreciation 1 4 300%
Profit before Tax 1 12 1100%
Other Adjustments -  
Tax - 1  
Profit after Tax/(Loss) 1 11 1000%
Net profit margin (%) 16.7% 26.8%
Earnings per share 0.33 2.75 725%

Copyright © Equitymaster Agora Research Private Limited. All rights reserved.
Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

LEGAL DISCLAIMER: Equitymaster Agora Research Private Limited (Research Analyst) bearing Registration No. INH000000537 (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA, Canada or the European Union countries, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.

SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

Equitymaster Agora Research Private Limited (Research Analyst)
103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
Telephone: +91-22-61434055. Fax: +91-22-22028550. Email: info@equitymaster.com. Website: www.equitymaster.com. CIN:U74999MH2007PTC175407