Allied Digital Services Limited — PPTs, 06-06-2025: Investor Presentation

1. Financial Highlights:

Allied Digital reported consolidated revenues of ₹807 crore, up 17% YoY, the highest annual revenue to date. EBITDA grew 17% to ₹99 crore, maintaining a 12% margin. PAT declined 30% to ₹32 crore due to one-time additional expected credit loss provisions. Operating expenses rose 25% while finance costs dropped 59%. Total assets increased to ₹925 crore from ₹778 crore, with net cash standing at ₹188 crore. Working capital and cash flows improved, supporting liquidity.

2. Strategic Initiatives & Growth Drivers:

The company is investing heavily in AI-enabled Digital Engineering Services, including Generative AI, Cloud AI, IoT, cybersecurity, and big data. Growth is driven by Smart City projects and digital transformation across government and enterprise segments in India, with accelerating traction in the US, EMEA, and Rest of World. A 360-degree transformation program is underway to boost governance, processes, and scalability.

3. Business Developments:

Allied Digital won key contracts for 24x7 multilingual service desk support (North America), IT support for a UK oil & gas company’s US operations, and digital workplace services for a healthcare research firm. New orders came from Maharashtra State Electricity Transmission and a Gujarat-based multi-specialty hospital. Several contract renewals occurred across FMCG, medical devices, and IT consulting sectors.

4. Market Position & Competitive Advantage:

With 41 years of experience and presence in over 70 countries, Allied Digital leads as a managed services provider and system integrator. Early involvement in Smart City projects and partnerships with Fortune 100 clients underpin differentiation. The expanding digital services portfolio and deepening ecosystem alliances reinforce its competitive edge.

5. Investor Implications:

Robust revenue growth and focus on AI/digital transformation indicate strong growth potential. The PAT decline reflects a one-time provisioning event, not operational issues. Margin sustainability amid rising expenses is a risk to watch, but solid order inflow and cash reserves support long-term value. The steady 30% dividend payout adds shareholder appeal.