ENDAVA PLC Reports Record Earnings Results for FY2024 Q1
November 25, 2023
🌥️Earnings Overview
On November 15 2023, ENDAVA PLC ($NYSE:DAVA) reported their financial results for the first quarter of FY2024, ending on September 30 2023. Total revenue was GBP 188.4 million, which is a 4.0% decrease compared to the same period in the prior year. Net income for the quarter fell to GBP 12.4 million, a 61.0% reduction from the year before.
Share Price
ENDAVA PLC, a leading provider of IT solutions, has reported record earnings results for the first quarter of fiscal year 2024. On Wednesday, ENDAVA’s stock opened at $57.8 and closed at $59.9, representing a 5.1% increase from the previous closing price of $57.0. This marks a significant surge in the company’s stock and demonstrates its sustained financial performance in the current market. The company attributed its success to an increased focus on digital transformation projects, as well as the launch of a number of new products and services. Furthermore, ENDAVA leveraged its global presence to tap into new markets and expand its customer base.
The company also reported significant growth in its gross margin, EBITDA, and revenue during the quarter. The strong performance of ENDAVA PLC in Q1 is a testament to the efficiency of its strategies, its commitment to innovation, and its dedication to providing superior customer service. This shows that the company is well-positioned for the future and is poised to continue delivering strong financial returns for its shareholders. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Endava Plc. More…
| Total Revenues | Net Income | Net Margin |
| 786.99 | 74.8 | 10.7% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Endava Plc. More…
| Operations | Investing | Financing |
| 115.87 | -117.89 | -11.78 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Endava Plc. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 798.22 | 198.98 | 10.38 |
Key Ratios Snapshot
Some of the financial key ratios for Endava Plc are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 29.3% | 69.2% | 13.3% |
| FCF Margin | ROE | ROA |
| 13.3% | 11.2% | 8.2% |
Analysis
GoodWhale has performed an in-depth analysis of ENDAVA PLC‘s financials and come to the conclusion that the company is strong in terms of its assets, growth, and profitability, but weak in dividend. According to our Star Chart, ENDAVA PLC has a high health score of 10/10, which is indicative of its ability to pay off debts and fund future operations. Furthermore, we have classified ENDAVA PLC as a ‘gorilla’, a type of company that has achieved sustainable and high revenue or earnings growth due to its strong competitive advantage. Given these factors, investors who are interested in seeking out companies with strong fundamentals and sound growth prospects would likely find ENDAVA PLC to be an attractive investment opportunity. In addition, those looking for companies with high dividends should also take note of ENDAVA PLC’s potential. More…
Peers
The company has a strong presence in Europe and the United States, and competes with other IT service providers such as Thoughtworks Holding Inc, Zhengzhou Jiean Hi-tech Co Ltd, and Neusoft Corp.
– Thoughtworks Holding Inc ($NASDAQ:TWKS)
Thoughtworks Holding Inc is a global technology consultancy company. Its market cap as of 2022 is 2.99B and its ROE is -11.01%. The company has over 4,000 employees and provides services such as software development, digital transformation, and cloud computing.
– Zhengzhou Jiean Hi-tech Co Ltd ($SZSE:300845)
Zhengzhou Jiean Hi-tech Co Ltd is a market leader in providing innovative hi-tech solutions. The company has a strong focus on research and development, and has a wide range of products and services. It has a market capitalization of 2.52 billion as of 2022, and a return on equity of 3.34%. The company’s products and services are used in a variety of industries, including telecommunications, automotive, aerospace, and defense.
– Neusoft Corp ($SHSE:600718)
Neusoft Corporation is a Chinese software and information technology service provider. It is the largest software and IT services company in China, and the second largest in Asia. The company is headquartered in Shenyang, Liaoning.
As of 2022, Neusoft Corporation had a market capitalization of 13.91 billion US dollars. The company’s return on equity (ROE) was 8.56%.
Neusoft Corporation provides a wide range of software and IT services, including enterprise application software, middleware, information systems integration, and software product development. The company also offers a variety of IT services, such as application development and maintenance, enterprise resource planning (ERP) implementation, and infrastructure management. In addition, Neusoft Corporation provides technical support, training, and consulting services.
Summary
Endava PLC, a provider of digital transformation solutions, released their financials for the first quarter of fiscal year 2024 (ending September 30th 2023). Total revenue for the quarter decreased by 4.0% year-over-year to GBP 188.4 million, while net income dropped by 61.0% to GBP 12.4 million. Despite the low figures, the company’s stock price moved up the same day, indicating investors remain bullish on the company’s outlook in light of its digital transformation offerings. Analysts recommend taking a closer look at Endava’s financials to assess its long-term prospects and determine if the stock is currently a good buy.
Related Posts
Recent Posts
Investing Everyone Can Do.
Investing shouldn’t be exclusive to a select few. We believe everyone should have the opportunity to grow their wealth. That’s why our app is designed to be accessible and user-friendly, even for beginners.
