Oracle Financial shares gain after revenue growth returns to double digits after four quarters

Shares of Oracle Financial Services Software Ltd. gained in early trade on Thursday, January 22, in response to the company's third quarter results that were reported after market hours on Monday.

The company said its revenue increased 15% to ₹1,966 crore from the. On a sequential basis, OFSS reported revenue growth of 10%. This was the first instance in four quarters that the company reported double-digit revenue growth.

Net profit at the end of the December quarter stood at ₹606.9 crore, compared to ₹541.3 crore in the year-ago period. Its profit before tax was at ₹857.4 crore in the third quarter compared to ₹770 crore in the previous year.

The company's chief financial officer Avadhut Ketkar said the net profit margin for the third quarter was at 31% despite the new labour code-related accruals.

"Our revenues grew 15% over the corresponding quarter year-over-year driven by our strong execution and new strategic customer wins," Makarand Padalkar, managing director and CEO of Oracle Financial Services Software, said.

Its operating income was up 14% as well at 797 crore.

Shares of Oracle Financial Services are trading 3.8% higher at ₹7,968. The stock is still down 17% over the last 12 months.

Also Read:Eternal share price target crosses the ₹500 mark after Q3, Deepinder Goyal transition