Subex Ltd - Stock Valuation and Financial Performance

BSE: 532348 | NSE: SUBEXLTD | IT - Software | Small Cap

Subex Share Price

31.69 -0.52 -1.61%
as on 12-Apr'24 10:20

DeciZen - make an informed investing decision on Subex

Overall Rating
Bole Toh

1. Quality

2. Valuation

Fair

3. Price Trend

Subex stock performance -

mw4me loader
P/E Ratio (SA):
0.00
Market Cap:
1,810.2 Cr.
52-wk low:
26.8
52-wk high:
45.8

Is Subex Ltd an attractive stock to invest in?

1. Is Subex Ltd a good quality company?

Past 10 year’s financial track record analysis by Moneyworks4me indicates that Subex Ltd is a below average quality company.

2. Is Subex Ltd undervalued or overvalued?

The key valuation ratios of Subex Ltd's currently when compared to its past seem to suggest it is in the Fair zone.

3. Is Subex Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Weak which suggest that the price of Subex 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 Subex:

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.
Subex Ltd has not performed well majority of the past ten years indicating its past ten year financial track record is not good

Value Creation

Value Creation Index Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
ROCE % 1.6%2.3%-19.6%1.1%0.8%-1.8%-36.4%1.6%-1.1%-14.8%-
Value Creation
Index
-0.9-0.8-2.4-0.9-0.9-1.1-3.6-0.9-1.1-2.1-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 29430629632418019.210.829.268.4274253
Sales YoY Gr.-4.1%-3.2%9.7%-44.5%-89.4%-43.7%170.3%134.4%300.1%-
Adj EPS -1.5-0.8-4.1-00-0.2-3.90.1-0.1-1.2-1.7
YoY Gr.-NANANANA-675%NANA-171.4%NA-
BVPS (₹) 16.415.812.712.613.212.78.98.98.77.56.8
Adj Net
Profit
-25.5-13.9-205-1.92.3-13.1-2207.8-5.5-69.2-98
Cash Flow from Ops. 36.649.335.458.962.5-0.8-12.61.5-18.745.5-
Debt/CF from Ops. 18.913.24.31.9000000-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales -0.8%8.7%193.8%300.1%
Adj EPS NA-298.4%NANA
BVPS-8.4%-10.8%-5.6%-13.9%
Share Price 12.7% 37.9% -10% -1.6%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
Return on
Equity %
-8.4-5-44.3-0.30.3-1.8-36.41.6-1.1-15.2-24.4
Op. Profit
Mgn %
16.91517.816.76-10.3-59.315.8-25.9-23.7-31
Net Profit
Mgn %
-8.7-4.6-69.3-0.61.3-68.2-2042.926.7-8-25.3-38.6
Debt to
Equity
2.52.30.20.2000000-
Working Cap
Days
9269147964633211,0022,1041,070563190137
Cash Conv.
Cycle
-179-168-172-12018148242144164494

Recent Performance Summary

Sales growth is growing at healthy rate in last 3 years 193.76%

Sales growth is good in last 4 quarters at 44.50%

Return on Equity is Poor

Latest Financials - Subex Ltd.

Standalone Consolidated
TTM EPS (₹) -1.7 -1.5
TTM Sales (₹ Cr.) 253 273
BVPS (₹.) 6.8 8.7
Reserves (₹ Cr.) 100 208
P/BV 4.75 3.70
PE 0.00 0.00
From the Market
52 Week Low / High (₹) 26.75 / 45.80
All Time Low / High (₹) 2.80 / 803.25
Market Cap (₹ Cr.) 1,810
Equity (₹ Cr.) 281
Face Value (₹) 5
Industry PE 34.2

Management X-Ray of Subex:

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

Adj EPS (Rs.)

Sales (Cr.)

ROE (%)

ROCE (%)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Sales29430629632418019112968274
Operating Expenses 25028025027817839374586339
Manufacturing Costs27675100128
Material Costs41510000000
Employee Cost 6572798562761443122
Other Costs 18018616318611131303142188
Operating Profit 442546472-20-26-16-18-65
Operating Profit Margin (%) 14.9%8.3%15.5%14.4%0.9%-104.0%-243.0%-54.3%-25.9%-23.8%
Other Income 32713924147152
Interest 58525115500002
Depreciation 23337662212
Exceptional Items -150-204-4640-214-200
Profit Before Tax -28-27-205-42-25-20527-4-77
Tax 125320100-8
Profit After Tax -30-28-210-70-25-20626-4-69
PAT Margin (%) -10.1%-9.3%-71.0%-2.1%0.2%-128.0%-1,908.1%89.9%-6.5%-25.1%
Adjusted EPS (₹)-1.8-1.6-4.2-0.10.0-0.4-3.70.5-0.1-1.2
Dividend Payout Ratio (%)0%0%0%0%0%0%0%161%0%0%

Balance Sheet

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23

Equity and Liabilities

Shareholders Fund 273288637637742711499499487419
Share Capital 167183503507562562562281281281
Reserves 106105134130180149-63218206138
Minority Interest0000000000
Debt69165013386000000
Long Term Debt543525290000000
Short Term Debt14812510486000000
Trade Payables51445745214443341282
Others Liabilities 941195962735598655105
Total Liabilities 1,5731,5131,280929753749561589554606

Fixed Assets

Gross Block72757106363666363108
Accumulated Depreciation68693571354545567
Net Fixed Assets36455650129741
CWIP 0000000000
Investments 772772718657644644476476428346
Inventories0000000000
Trade Receivables57052249719014892258109
Cash Equivalents 11222144946
Others Assets2262126076374661795266
Total Assets 1,5731,5131,280929753749561589554606

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Cash Flow From Operating Activity 3749355962-1-131-1945
PBT -28-27-205-42-25-20527-4-77
Adjustment 869327069523192-211568
Changes in Working Capital -22-12-25-16630-4-2859
Tax Paid 1-5-5-5-10-200-1-4
Cash Flow From Investing Activity 3-5-2-5-750162533-24
Capex -1-5-1-4-6300-10-3
Net Investments 30-1-11-11-20-1-7
Others 200-1-1310182633-14
Cash Flow From Financing Activity -40-44-33-54130-1-27-10-5
Net Proceeds from Shares 00007700141
Net Proceeds from Borrowing 0000000000
Interest Paid -23-19-10-12-100000-2
Dividend Paid 0000000-27-140
Others -17-24-23-42-540-1-10-4
Net Cash Flow 01101-130416
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Ratios
ROE (%)-9.73-10.12-45.39-1.070.05-3.37-34.025.25-0.91-15.18
ROCE (%)3.092.61-17.771.40.99-3.37-33.735.32-0.87-16.33
Asset Turnover Ratio0.190.20.210.290.210.030.020.050.120.47
PAT to CFO Conversion(x)N/AN/AN/AN/AN/AN/AN/A0.04N/AN/A
Working Capital Days
Receivable Days676652629386206210297194214111
Inventory Days0000000000
Payable Days0000000000

Subex Ltd Stock News

Subex Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Subex on 12-Apr-2024 10:20 is ₹31.69.
Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 12-Apr-2024 10:20 the market cap of Subex stood at ₹1,810.2.
The latest P/E ratio of Subex as of 12-Apr-2024 10:20 is 0.00.
The latest P/B ratio of Subex as of 12-Apr-2024 10:20 is 4.75.
The 52-week high of Subex is ₹45.80 and the 52-week low is ₹26.75.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Subex is ₹253.4 ( Cr.) .

About Subex Ltd

Incorporated in 1992 by Subash Menon, Subex is the leading global provider of Operation Support System solutions (OSS) with a mission to empower communication service providers to achieve competitive advantage and deliver new service experiences to subscribers.

With a start up capital of Rs 20,000 in 1992, it has won a client list that includes 32 of the world's 50 largest telecommunications service providers within a period of 17 years. It has more than 300 installations across 70 countries worldwide. Subex migrated into the software space in 2000.

It is organized into three distinct business units namely: Revenue Maximization Solutions BU, Fulfillment and Assurance Solutions BU (formerly Syndesis) and BT Business BU.

The company pioneered the strategic concept of the Revenue Operations Center  -- a centralized and integrated infrastructure for end-to-end monitoring, measurement and control of the operator's revenue chain -- to foster operational dexterity and, hence, sustained profitability.

Subex offers a wide range of solutions namely Revenue Assurance, Fraud Management, Credit Risk Management, Interconnect Billing, Interparty Management, Route Optimization and Cost Management.

Acquisitions:

  • 2001- Acquired Canada based Magardi Inc, 
  • 2004- Acquired Alcatel FMS Biz , Lightbridge FMS business,
  • 2006- Acquired Azure Solutions, UK
  • 2007- Acquired Syndesis , Canada

Milestones Achieved:

  • 2001- First international installation of FMS
  • 2002- Awarded a £39M 5-year contract by BT
  • 2004- Became largest FMS vendor globally
  • 2007- Listing on London stock Exchange; Market Ccapitalisation of $600 million
  • 2011
    Subex Completes successful implementation of its ROC TM Revenue Assurance Solution for leading South East Asian Operator"".
    Subex and Swisscom presented award winning fraud model at GSMA Fraud Forum 2011.
    Subex wins US$ 12 mln Revenue Operations Center (ROC) License Contract.
    Subex wins Multi-Million Dollar deal from Middle East operator for Revenue Operations Centre (ROCâ„¢) for complete Business Optimization.
    Subex introduces Prepaid Channel Assurance solution.
    Subex and Swisscom awarded the Global Telecoms Business Innovation Award 2011 for industry's first Risk Reward Sharing Model.
    2012
    Subex launches ROCware Product Performance Management solution.
    Subex launches Integrated Bypass Fraud solution.
    Subex Ranked Number One by Leading Industry Analyst Firm"".
    Subex awarded the Global Telecoms Business Innovations Awards 2012.
    Subex awarded 2012 Global Communications Service Provider Financial Assurance Market Share Leadership Award by Frost & Sullivan.
    Awards:
  • Subex wins 2007 Verizon Supplier Excellence Award
  • Subex finalist for Billing & OSS World 2008 Excellence Award
  • Chosen as one of NASSCOM's 100 IT Innovators - 2007
  • Subex Azure awarded for Successful Listing at LSE
  • Subex wins ‘ISV Partner of the Year’ award from Sun Microsystems
  • Subex honored by AT&T as Outstanding Supplier
  • Included in Deloitte & Touche's Tech Fast 50 APAC 2006 and 2007
  • Chosen as one of the 8 most innovative Indian companies by NASSCOM (India) 2005
  • Winner of Best Revenue Assurance Project for KPN at the World Billing Awards 2005
  • Winner of Most Promising Company award at Billing and OSS World Excellence Awards 2005
  • Best Customer Success Story, Billing and OSS World Excellence Awards 2004
  • Product of the Year, Communications Solutions Magazine 2003
  • Internet Telephony Product of the Year 2003
  • Best New Product, OSS Excellence Awards 2003
  • Operational Excellence, OSS World Excellence Awards 2003
  • SBC Supplier Recognition Award, Customer Service 2003
  • Tele Management Forum Operational Excellence Award 2003
  • Winner of Organization with Innovative HR Practices at India HRD Congress 2002
  • Best Provisioning Product, OSS World Excellence Awards 2002
  • Best Customer Service, OSS World 2001

Strategic Alliances:

Subex has partnered with various leading system integrators and technology vendors from around the globe to offer best-in-class solutions.

Its Global System Integration Partners include Accenture, Wipro, IBM, Infosys, Siemens, and Tech Mahindra.

The Regional System Integration Partners are AMT, Business edge, TCS, Gantech Technology and its technology partners include CISCO, NEC, SUN, GE Energy, IBM, Polystar, Broad Soft etc.

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