Why Did SIS Report a Net Loss Surging Over 1,800% to Rs 223 Crore?
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Synopsis
Discover the staggering financial report from SIS, revealing a shocking rise in net loss and a dramatic decline in annual profit. What does this mean for the company's future and its operational achievements amidst these challenges?
Key Takeaways
- SIS reported a net loss increase of 1,814% to Rs 223.35 crore in Q4 FY25.
- Annual profit dropped by 93.80% to Rs 11.79 crore.
- Revenue for Q4 FY25 rose 9.25% to Rs 3,427.87 crore.
- Despite losses, SIS achieved record quarterly revenue and EBITDA.
- SIS operates across multiple countries, including India and Australia.
Mumbai, May 2 (NationPress) Security and Intelligence Services (SIS) disclosed a staggering increase of over 1,814% in net loss for the March 2025 quarter (Q4 FY25), escalating to Rs 223.35 crore compared to a net loss of Rs 11.67 crore during the same quarter of the previous fiscal year (Q4 FY24).
For the entire financial year ending March 2025, SIS reported a significant 93.80% drop in net profit, plummeting to Rs 11.79 crore from Rs 190.04 crore in the prior year.
The company’s earnings per share (EPS) also reflected this downturn, falling by 1,789% to Rs 15.5 in Q4 compared to Rs 0.8 in the same period last year.
For the complete financial year, EPS decreased drastically by 93.7% to Rs 0.8 in FY25, down from Rs 13.1 in FY24.
Despite these disappointing profitability figures, SIS pointed out certain operational breakthroughs. Group Managing Director Rituraj Kishore Sinha noted that SIS attained its highest-ever quarterly revenue and EBITDA during Q4 FY25.
"SIS achieves its highest ever quarterly revenue and EBITDA in Q4-FY25. EBITDA Margin continues to improve," stated Sinha.
He emphasized improvements in EBITDA margin and a robust cash conversion cycle. Additionally, he highlighted advancements in reducing the company’s Net Debt-to-EBITDA ratio, along with enhanced Days Sales Outstanding (DSO) metrics.
This sharp decline in bottom-line performance occurred alongside a 9.25% increase in revenue, rising to Rs 3,427.87 crore from Rs 3,137.63 crore in the March 2024 quarter.
Furthermore, annual revenue climbed by 7.57% to Rs 13,189.04 crore, up from Rs 12,261.43 crore the previous year.
SIS Group Enterprises is an Indian multinational entity offering security, facility management, and cash logistics services across India, Australia, New Zealand, and Singapore.
Point of View
I believe SIS's recent financial report reflects both challenges and opportunities. While the drastic net loss raises concerns, the company’s operational achievements indicate resilience and potential for recovery in a competitive market. Our commitment remains to provide factual and unbiased coverage on such significant developments.
NationPress
21/05/2025
