Datamatics Global Services Limited (DATAMATICS)

Information Technology · IT - Services · NSE · Updated 15 July 2026
₹853.5 ↑ 14.3% (1Y)

🎯 Key Takeaways

  • Datamatics Global Services Limited is navigating a strategic consolidation phase aimed at strengthening its digital and AI capabilities through structural simplification. The company has approved an amalgamation of three entities effective April 1, 2026, to integrate complementary strengths in AI, cloud CRM, and Salesforce solutions, while reappointing CEO Rahul L.
  • Revenue grew 4.6% QoQ to ₹425 in Q3FY25.
  • ⚠️ Integration risk from the amalgamation of three entities, which requires NCLT, shareholder, and creditor approvals and may face delays or operational
Market Cap
₹4,385
P/E Ratio
20.6
Div Yield
0.00%
Promoter
0.0%

📖 The Story

Datamatics Global Services Limited is navigating a strategic consolidation phase aimed at strengthening its digital and AI capabilities through structural simplification. The company has approved an amalgamation of three entities effective April 1, 2026, to integrate complementary strengths in AI, cloud CRM, and Salesforce solutions, while reappointing CEO Rahul L. Kanodia for five years to ensure leadership continuity. This reflects a deliberate shift from fragmented growth to consolidated, capability-driven expansion in high-potential segments.

📰 What's Happening

In the latest developments, Datamatics approved the FY2026 financial results and recommended a final dividend of ₹5 per share, alongside implementing a scheme of amalgamation effective April 1, 2026, to merge Dextara Digital, Datamatics Cloud Solutions, and itself into a unified entity. The Board also reappointed Rahul L. Kanodia as Whole-time Director for five years and appointed two new independent directors via postal ballot to enhance governance. A special resolution was passed on May 29, 2026, formalizing the appointments of Hitesh Gajaria and Navnit Singh as independent directors, effective May 8, 2026, with shareholder voting conducted through NSDL e-voting. Additionally, the company reconstituted its Board committees, placing CEO Kanodia and Director Mona Bhide in key oversight roles across Audit, Nomination & Remuneration, and other committees, reinforcing strategic continuity and governance rigor.

Source: Stock Announcements

📊 Quarterly Results (₹ Cr)

MetricQ4FY23Q1FY24Q2FY24Q3FY24Q4FY24Q1FY25Q2FY25Q3FY25
Revenue416391377369413394407425
Operating Profit89776863816263100
OPM %20.2%17.3%15.6%14.3%15.7%13.1%12.0%12.8%
Net Profit5855494152444275
EPS₹32.05₹9.34₹8.36₹7.01₹8.90₹7.37₹7.18₹12.58

The company's revenue has shown a steady upward trend over the past four quarters, rising from ₹391 crores in Q1FY24 to ₹425 crores in Q3FY25, with operating profit margin peaking at 20.2% in Q4FY23 before moderating to 12.8% in Q3FY25. While net profit and EPS have fluctuated — notably spiking to ₹58 crores in Q4FY23 due to exceptional items — the recent quarters reflect a normalization, with Q3FY25 reporting ₹75 crores in net profit and ₹12.58 EPS. This suggests that while top-line growth is consistent, profitability is being recalibrated, likely in anticipation of integration costs or investments related to the amalgamation and digital transformation initiatives.

🔮 Management Outlook & What's Next

Management has not provided explicit forward guidance on revenue or margin expectations in the latest filings. However, the Board’s actions — particularly the amalgamation to enhance AI and cloud capabilities and the emphasis on leadership continuity — indicate a focus on long-term structural transformation rather than short-term earnings acceleration. The reappointment of the CEO and strategic board enhancements signal confidence in execution, but no formal projections or timelines for turnaround milestones were disclosed in the available filings.

Extracted from official company announcements. Not StockFin.ai's opinion.

⚖️ Peer Comparison — IT - Services

Company MCap (₹ Cr) P/E ROCE ROE D/E
L&T Technology Services Limited 37,049 28.5
Inventurus Knowledge Solutions Limited 27,371 37.5
Tata Technologies Limited 25,193 39.0
Netweb Technologies India Limited 21,868 106.3
Affle 3i Limited 20,797 45.6 15.4% 12.4% 0.00
SAGILITY LIMITED 19,662 21.3
Black Box Limited 15,597 79.7
Cyient Limited 9,676 15.1
Amagi Media Labs Limited 8,751
Datamatics Global Services Limited 4,385 20.6

🔗 Peer Stock Analyses

⚠️ Risk Factors

1. Integration risk from the amalgamation of three entities, which requires NCLT, shareholder, and creditor approvals and may face delays or operational disruptions. 2. The subsidiary with negative net worth remains a potential drag, despite management’s confidence in its turnaround, introducing execution and financial uncertainty. 3. No forward guidance was provided, leaving investors without clarity on timing or magnitude of expected benefits from the restructuring. 4. Auditor’s unmodified opinion is qualified by reference to unaudited subsidiaries, which may hide emerging operational or financial issues.

📋 Recent Filings

🧠 Analyst's Read

Datamatics is in a pivotal phase of strategic consolidation, leveraging structural reforms and leadership continuity to reposition for growth in AI and cloud services. While financial trends show stable revenue growth and improving governance, the lack of forward guidance and unresolved subsidiary risks require close monitoring. Investors should watch for progress on amalgamation approvals and early signs of operational synergy in the integrated entity.

Based on filing content and financial data. Not a recommendation.

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Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-07-15.

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