Firstsource Solutions Ltd Stock Analysis

BSE: 532809 | NSE: FSL | BPO/ITeS | Mid Cap

BSE Share Price Jul 05, 18:01
101.10 -0.75 (-0.74%)

DeciZen - Make an Informed Decision on Firstsource Solution

Overall Rating

1. Quality

2. Valuation

Somewhat overvalued

3. Price Trend

FAQs

1. Is Firstsource Solutions Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that Firstsource Solutions Ltd is a average quality company.

2. Is Firstsource Solutions Ltd undervalued or overvalued?

The key valuation ratios of Firstsource Solutions Ltd's currently when compared to its past seem to suggest it is in the Somewhat overvalued zone.

3. Is Firstsource Solutions Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Weak which suggest that the price of Firstsource Solutions Ltd is likely to Fall in the short term. However, please check the rating on Quality and Valuation before investing.

10 Year X-Ray of Firstsource Solution:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Firstsource Solutions Ltd has performed well in some of the past ten years indicating its past ten year financial track record is somewhat good

Value Creation

Value Creation Index Colour Code Guide

Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
ROCE % 2.7%7.5%10.6%10.2%8%9.2%8.9%7.9%8.6%17.6%-
Value Creation Index -0.8-0.5-0.2-0.3-0.4-0.4-0.4-0.4-0.40.3-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 7549119549148759408617689401,3251,536
YoY Gr. Rt. %-20.7%4.8%-4.2%-4.3%7.5%-8.4%-10.8%22.4%40.9%-
Adj EPS 0.31.42.22.42.22.72.82.52.65.25.6
YoY Gr. Rt. %-372.4%57.7%11.1%-9.6%25.4%1.1%-8.4%1.2%105.5%-
BVPS (₹) 20.418.720.824.426.229.230.932.829.630.833.3
Adj Net Profit 12.690.4142160146186189174177365388
Cash Flow from Ops. 91.6330-17.450.676.978.341.1222388418-
Debt/CF from Ops. 13.10.4-11.24.62.52.40.40.100-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 6.5%8.7%15.4%40.9%
Adj EPS 37.9%19.3%24%105.5%
BVPS 4.73.3-0.14.1
Share Price 25.7% 23.6% 26% -46.9%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
Return on Equity % 1.48.610.910.78.69.89.27.98.217.217.4
Op. Profit Mgn % 8.714.920.622.822.724.427.224.228.53734.6
Net Profit Mgn % 1.79.914.917.516.719.72222.618.827.525.3
Debt to Equity 1.40.10.10.10.10.100000
Working Cap Days 350139137204233238304353265192203
Cash Conv. Cycle 4222296699116177215140107150

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 17.40%

Sales growth is growing at healthy rate in last 3 years 15.43%

Net Profit is growing at healthy rate in last 3 years 23.97%

Sales growth is good in last 4 quarters at 24.59%

No data to display

Latest Financials - Firstsource Solutions Ltd.

Standalone Consolidated
TTM EPS (₹) 5.6 7.7
TTM Sales (₹ Cr.) 1,536 5,866
BVPS (₹.) 33.3 43.5
Reserves (₹ Cr.) 1,623 2,336
P/BV 3.06 2.34
PE 18.33 13.22
From the Market
52 Week Low / High (₹) 93.00 / 242.65
All Time Low / High (₹) 5.67 / 242.65
Market Cap (₹ Cr.) 7,104
Equity (₹ Cr.) 697.5
Face Value (₹) 10
Industry PE 8.2

Management X-Ray of Firstsource Solution :

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Event Update

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Analyst's Notes

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News

About Firstsource Solutions Ltd

Firstsource Solutions Limited, incorporated in 2001, is a leading player in the Business Process Management (BPM) industry. Part of the RP-Sanjiv Goenka Group, the company provides bespoke services and solutions to its customers across Banking and Financial Services, Healthcare, Communications, Media and Technology and other diverse industries.

The Company is a public limited company incorporated and domiciled in India having registered office at Mumbai, Maharashtra, India. The Company is listed on the Bombay Stock Exchange and National Stock Exchange in India.

Business area of the company

The company is engaged in the business of providing customer management services like contact center, transaction processing and debt collection services including revenue cycle management in the healthcare industry.

Business verticals

  • Retail and SME banking (customer experience, transaction processing)
  • Complaints and remediation (complaints handling, fraud management)
  • Commercial finance (invoice factoring, risk management)
  • Mortgages (loan processing, servicing, title and valuations)
  • Collections and Recoveries (credit card, auto and student loan collections)
  • FinTech

Awards and Accolades

2016-17

  • Welsh Contact Centre Awards, 2017: Won Award in three categories including ‘Diverse Workplace’, ‘Trainer of the Year’ and ‘Special Industry Champion’
  • Global HR Excellence Awards, 2017: Won in ‘Innovation in Retention Strategy’ category. Firstsource was recognised for its’ employee retention practices and policies
  • European Contact Centre & Customer Service Awards, 2016: Honoured with the Bronze Award in the ‘Customer Service Team of the Year’ in partnership with its client giffgaff
  • U.K. Customer Experience Awards, 2016: Won in the ‘Technology & Telecoms’ category in partnership with its client NOW TV and received the silver award in the ‘Engaging Customers Online’ category in partnership with its client giffgaff
  • Asia’s Best Employer Brand Awards, 2016: Won the ‘Best Employer Brand’ Award for its excellence in building the Employer Brand as an Employer of Choice
  • 100 Best Companies for Women in India: Recognised in the 100 Best Companies for ‘Women in India’ by the 2016 Working Mother & AVTAR Best Companies
  • Business in the Community Awards: Honoured as ‘Employer of Choice’ at the Business in The Community Northern Ireland Awards in Belfast
  • Best Adversity Management Stories of Asia, 2016: Secured the 1st Runner-up position at the ‘Best Adversity Management Stories of Asia’ 2016 Awards for its response to the Chennai floods in Nov-Dec 2015

2018-19

  • European Contact Centre and Customer Service Awards (ECCCSA) 2018: Awarded Bronze for ‘Best Outsourcing Partnership’ for collaboration with Lloyds Banking Group
  • UK Complaints Handling (UKCH) Awards 2019: Won the ‘Customer Insight Strategy’ Award and was adjudged the ‘Overall Winner’ at the UK Complaints Handling (UKCH) Awards 2019, with NOWTV
  • North East Contact Centre Awards (NECCA): Awarded the ‘Best Outsourcing Partnership 2018’ with TSB, reinstating its strong partnership ethos
  • Wales HR Award: Recognised for the ‘Best HR Team’ with outstanding individuals and teams, learning, and people management practices across Wales in the last 12 months
  • Welsh Contact Centre Awards 2019: Won two awards: Gold for ‘People Engagement’ and Silver for the ‘Best Support Manager of the Year’
  • Nasscom BPM Summit 2018: Awarded the coveted ‘Customer Service Excellence Award’ in the Process Efficiency category

2019-20

  • ‘Best Complaint Handling’ and ‘Best Complaint Handling Team of the Year – Financial Services’ at the UK Complaints Handling (UKCH) Awards 2020
  • ‘Technology-Enabled Project of the Year’ and ‘Customer Experience Provider of the Year’ at the Global Sourcing Association (GSA) UK Awards 2019
  • Winner of ‘Best Use of Technology in HR’ at Employee Engagement Summit, Mumbai, India
  • Gold Award for ‘Best Use of Customer Insight’ at the UK Customer Experience Award (CXA ’19)
  • ‘Outsourced Contact Centre of the Year’ recognition at the Contact Centre Network Northern Ireland (CCNNI) Awards 2019
  • Winner in ‘Creating an Impact: Business Skills’ category at the India Innovation Awards at Perspectives 2019
  • ‘Best Outsourcing Partnership’ at the North East Contact Centre Awards 2019
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