Sagility India shares in 5% upper circuit after strong Q3 margin expansion

Healthtech services provider Sagility India Ltd. are locked in a 5% upper circuit on Thursday, February 6, post its December quarter results.

The company’s revenue in US Dollar terms grew by 8.9% from the September quarter to $172 million, while its revenue in rupee terms rose by 9.7% sequentially to ₹1,453 crore.

Sagility’s growth in constant currency terms was at 9% sequentially and 14% from the same quarter last year.

Net profit for the quarter also increased by 85% from the July-September period to ₹217 crore, while margins expanded by over 400 basis points to 27% from 22.7%.

Also Read: Kansai Nerolac Q3 Results | Net profit zooms over 4x on land sale gains, revenue flat

The company achieved basic earnings per share (EPS) of ₹0.46, reflecting a YoY growth of 181.4%. Adjusted basic EPS stood at ₹0.56, marking a YoY growth of 53.5%.

Sagility also closed the acquisition of BroadPath Healthcare Solutions on January 29, 2025, gaining access to a large national payor and over 30 new mid-market payor clients. As of the end of Q3, the company had 39,595 employees, with an improved attrition rate of 21.8%. Geographically, Sagility maintained a presence in five countries, operating 32 delivery centres.

Also Read: GE Vernova Q3 net profit zooms nearly 3-fold on higher margin, order wins; beats forecast

Adjusted profit after tax (PAT) for the period was ₹570.9 crore ($68 million), up 34.5% YoY, contributing to 14.3% of revenue. Basic EPS for 9M stood at ₹0.78, a 124.6% YoY increase, while adjusted basic EPS reached ₹1.24, reflecting a growth of 25.4%. The company also reported an operating cash flow to the EBITDA ratio of 94%.

All five analysts who have coverage on Sagility have a “buy” rating on the stock.

Shares of Sagility are in a 5% upper circuit at ₹52.73. The stock is trading close to its recent high of ₹56.4.