IT - Software · Founded 1995 · www.allieddigital.net · BSE 532875 · NSE ALLIED DIGIT · ISIN INE102I01027
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Business
Allied Digital Services Ltd. is an India-based IT infrastructure and digital transformation solutions provider. The company offers a range of IT services including IT infrastructure management, cybersecurity, cloud services, enterprise applications, and digital transformation consulting. Its core business model revolves around providing end-to-end IT services to enterprises and government organizations, helping them manage their IT environments, modernize their infrastructure, and adopt new digital technologies. Revenue is primarily generated through project-based engagements, managed services contracts, and recurring revenue models for infrastructure and security services.
Revenue Mix
While specific revenue contribution percentages are not consistently published without detailed financial reports, ADSL's primary service offerings can be broadly categorized as:
IT Infrastructure Services: Includes data center management, network services, end-user computing, and managed services.
Cybersecurity Services: Offering solutions for threat detection, prevention, and compliance.
Cloud Services: Assisting clients with cloud migration, management, and optimization across various platforms.
Digital Transformation: Consulting and implementation services for areas like analytics, IoT, and enterprise mobility.
Enterprise Applications: Implementation and support for various business applications.
The company typically serves clients across various sectors including BFSI, manufacturing, government, and retail.
Industry
The Indian IT services industry is highly competitive, characterized by a mix of large global players (e.g., TCS, Infosys, Wipro), mid-sized companies, and niche specialists. ADSL operates as a mid-tier IT service provider, focusing on delivering specialized IT infrastructure and digital transformation services. It competes by offering customized solutions, leveraging its expertise in specific technologies, and often targeting enterprises and government bodies that may seek more personalized attention than what larger players might offer. Its positioning lies in providing integrated technology solutions rather than pure staffing or generic outsourcing.
MOAT
ADSL's competitive advantages are relatively modest, common for mid-tier IT service providers. Potential areas include:
Client Relationships: Long-standing relationships with specific enterprise and government clients can create sticky revenue.
Integrated Offerings: Ability to provide end-to-end solutions across IT infrastructure, cybersecurity, and cloud can be attractive to clients seeking single-vendor convenience.
Domain Expertise: Niche expertise in specific industry verticals or technologies can differentiate it from generalists.
However, the IT services industry generally has low switching costs for many services and intense price competition, making strong moats difficult to build and sustain without significant scale or proprietary technology.
Growth Drivers
Digital Transformation Spend: Continued global enterprise investment in digital initiatives (cloud, AI, IoT, automation) drives demand for ADSL's services.
Cybersecurity Demand: Increasing sophistication of cyber threats and regulatory mandates boost demand for robust security solutions.
Cloud Adoption & Hybrid IT: Enterprises continue to migrate to cloud environments and manage complex hybrid IT infrastructures, requiring specialized support.
IT Infrastructure Modernization: The need for organizations to update legacy IT systems and infrastructure to improve efficiency and agility.
Geographic Expansion: Potential to expand its client base in existing or new international markets.
Risks
Intense Competition: Highly fragmented and competitive IT services market, leading to pressure on pricing and margins.
Talent Attrition & Shortage: Difficulty in attracting and retaining skilled IT professionals, particularly in high-demand areas like cloud and cybersecurity.
Technological Obsolescence: Need for continuous investment in new technologies and skill development to remain relevant.
Global Economic Slowdown: Reduced IT spending by clients during economic downturns.
Currency Fluctuations: Exposure to foreign exchange rate volatility given international client base.
Client Concentration: Potential over-reliance on a few large clients for a significant portion of revenue.
Data Security Breaches: Reputational and financial risks associated with security incidents for itself or its clients.
Management & Ownership
Allied Digital Services Ltd. is an Indian public listed company. It is typically promoter-driven, a common structure among Indian enterprises. The management team focuses on navigating the competitive IT landscape, expanding service offerings, and securing new client engagements. Information regarding specific promoter names or management quality assessments would require a deeper dive into recent annual reports and corporate governance disclosures. The ownership structure generally includes promoters, institutional investors, and public shareholders.
Outlook
Allied Digital Services Ltd. operates in a growing but highly competitive IT services market, driven by secular trends like digital transformation, cloud adoption, and cybersecurity. The company has opportunities to grow by expanding its service offerings, deepening client relationships, and leveraging its expertise in infrastructure management and digital solutions. However, it faces significant challenges from larger, more established players and niche specialists. Sustained growth will depend on its ability to continuously innovate, attract and retain top talent, manage costs effectively, and adapt to evolving client demands amidst intense pricing pressures. The need for ongoing investment in new technologies and skill development will be crucial for its future performance.
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| #(Fig in Cr.) | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Sales | 171 | 177 | 179 | 203 | 221 | 204 | 219 | 234 | 247 | 268 |
| Other Income | 1 | 0 | 1 | 4 | 2 | 38 | 3 | 7 | 5 | 6 |
| Total Income | 172 | 177 | 180 | 207 | 223 | 242 | 222 | 241 | 252 | 274 |
| Total Expenditure | 150 | 152 | 160 | 184 | 196 | 214 | 200 | 212 | 221 | 278 |
| Operating Profit | 21 | 24 | 20 | 23 | 27 | 28 | 22 | 28 | 31 | -4 |
| Interest | 1 | 2 | 1 | 3 | 2 | 2 | 2 | 3 | 3 | 3 |
| Depreciation | 4 | 4 | 5 | 5 | 5 | 15 | 5 | 5 | 5 | 5 |
| Exceptional Income / Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1 | 0 |
| Profit Before Tax | 16 | 19 | 14 | 16 | 20 | 11 | 14 | 21 | 21 | -13 |
| Provision for Tax | 4 | 5 | 4 | 4 | 2 | 18 | -0 | 5 | 8 | -9 |
| Profit After Tax | 12 | 14 | 10 | 12 | 18 | -7 | 14 | 15 | 14 | -3 |
| Adjustments | 0 | 0 | 0 | -1 | 0 | -0 | 0 | -2 | 0 | -0 |
| Profit After Adjustments | 12 | 14 | 10 | 10 | 18 | -8 | 14 | 14 | 14 | -3 |
| Adjusted Earnings Per Share | 2.1 | 2.5 | 1.9 | 1.8 | 3.2 | -1.4 | 2.6 | 2.4 | 2.5 | -0.6 |
| #(Fig in Cr.) | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net Sales | 234 | 237 | 215 | 225 | 240 | 330 | 358 | 485 | 660 | 687 | 807 | 968 |
| Other Income | 11 | 8 | 2 | 4 | 4 | 6 | 4 | 3 | 6 | 1 | 45 | 21 |
| Total Income | 245 | 245 | 218 | 229 | 244 | 336 | 362 | 487 | 666 | 688 | 852 | 989 |
| Total Expenditure | 200 | 198 | 175 | 178 | 201 | 282 | 313 | 415 | 572 | 604 | 752 | 911 |
| Operating Profit | 45 | 47 | 43 | 51 | 43 | 53 | 49 | 73 | 94 | 85 | 100 | 77 |
| Interest | 16 | 19 | 16 | 5 | 10 | 7 | 4 | 3 | 4 | 5 | 10 | 11 |
| Depreciation | 28 | 22 | 21 | 23 | 22 | 22 | 22 | 20 | 17 | 16 | 30 | 20 |
| Exceptional Income / Expenses | 0 | 0 | 0 | -3 | 4 | 0 | 0 | 24 | 0 | 0 | 0 | -1 |
| Profit Before Tax | 1 | 6 | 5 | 19 | 15 | 24 | 24 | 74 | 73 | 63 | 61 | 43 |
| Provision for Tax | 2 | 2 | 6 | 9 | 2 | 5 | 4 | 13 | 19 | 17 | 29 | 4 |
| Profit After Tax | -0 | 4 | -0 | 10 | 12 | 19 | 19 | 61 | 54 | 46 | 32 | 40 |
| Adjustments | 0 | -1 | -0 | 1 | -0 | 0 | -2 | -11 | -47 | 0 | 0 | -2 |
| Profit After Adjustments | -0 | 3 | -1 | 11 | 12 | 19 | 17 | 50 | 7 | 46 | 32 | 39 |
| Adjusted Earnings Per Share | -0 | 0.7 | -0.2 | 2.2 | 2.5 | 3.8 | 3.3 | 9.3 | 1.3 | 8.3 | 5.7 | 6.9 |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Sales CAGR | 17% | 18% | 20% | 13% |
| Operating Profit CAGR | 18% | 11% | 14% | 8% |
| PAT CAGR | -30% | -19% | 11% | 0% |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Share Price CAGR | -39% | 11% | 14% | 14% |
| ROE Average | 6% | 8% | 8% | 5% |
| ROCE Average | 11% | 12% | 11% | 7% |
| #(Fig in Cr.) | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Shareholder's Funds | 663 | 442 | 442 | 424 | 437 | 456 | 471 | 531 | 536 | 579 | 602 |
| Minority's Interest | 5 | 6 | 7 | 8 | 9 | 12 | 14 | 25 | 35 | 40 | 45 |
| Borrowings | 26 | 20 | 10 | 5 | 13 | 6 | 5 | 5 | 19 | 12 | 24 |
| Other Non-Current Liabilities | 10 | 11 | 18 | 24 | 26 | 27 | 26 | 27 | 12 | 22 | 44 |
| Total Current Liabilities | 132 | 159 | 309 | 159 | 149 | 122 | 126 | 105 | 93 | 125 | 210 |
| Total Liabilities | 836 | 638 | 786 | 620 | 633 | 623 | 641 | 693 | 695 | 778 | 924 |
| Fixed Assets | 308 | 287 | 226 | 211 | 196 | 192 | 175 | 171 | 186 | 202 | 195 |
| Other Non-Current Assets | 98 | 97 | 165 | 143 | 115 | 105 | 120 | 129 | 125 | 129 | 94 |
| Total Current Assets | 430 | 254 | 395 | 266 | 323 | 326 | 346 | 393 | 384 | 448 | 635 |
| Total Assets | 836 | 638 | 786 | 620 | 633 | 623 | 641 | 693 | 695 | 778 | 924 |
| #(Fig in Cr.) | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Opening Cash & Cash Equivalents | 21 | 23 | 19 | 16 | 29 | 24 | 24 | 58 | 59 | 83 | 127 |
| Cash Flow from Operating Activities | 0 | 23 | 26 | 32 | 19 | 31 | 49 | 15 | 49 | 68 | 92 |
| Cash Flow from Investing Activities | 1 | 8 | 2 | 4 | 5 | -11 | -12 | -6 | -12 | -3 | -12 |
| Cash Flow from Financing Activities | 1 | -35 | -31 | -24 | -32 | -20 | -3 | -8 | -13 | -10 | -18 |
| Net Cash Inflow / Outflow | 2 | -4 | -3 | 13 | -8 | -0 | 34 | 1 | 24 | 54 | 61 |
| Closing Cash & Cash Equivalent | 23 | 19 | 16 | 29 | 22 | 24 | 58 | 59 | 83 | 138 | 188 |
| # | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Per Share (Rs) | -0 | 0.68 | -0.15 | 2.17 | 2.45 | 3.83 | 3.34 | 9.32 | 1.26 | 8.29 | 5.7 |
| CEPS(Rs) | 5.93 | 5.16 | 4.21 | 6.61 | 6.77 | 8.25 | 8.04 | 15 | 12.9 | 11.25 | 10.95 |
| DPS(Rs) | 0 | 0 | 0 | 0 | 0 | 0.5 | 0.75 | 1 | 1.25 | 1.5 | 1.5 |
| Book NAV/Share(Rs) | 143.17 | 86.59 | 86.61 | 82.98 | 85.65 | 90.91 | 92.5 | 96.8 | 95.81 | 102.71 | 104.77 |
| Core EBITDA Margin(%) | 14.59 | 16.49 | 18.75 | 20.8 | 16.11 | 14.44 | 12.47 | 14.45 | 13.38 | 12.13 | 6.88 |
| EBIT Margin(%) | 7.46 | 10.59 | 9.86 | 10.89 | 10.27 | 9.4 | 7.59 | 15.71 | 11.66 | 9.92 | 8.71 |
| Pre Tax Margin(%) | 0.57 | 2.54 | 2.53 | 8.46 | 6.06 | 7.28 | 6.56 | 15.17 | 11.05 | 9.17 | 7.51 |
| PAT Margin (%) | -0.13 | 1.76 | -0.14 | 4.45 | 5.16 | 5.82 | 5.37 | 12.59 | 8.14 | 6.67 | 3.98 |
| Cash Profit Margin (%) | 11.72 | 10.93 | 9.81 | 14.74 | 14.18 | 12.55 | 11.39 | 16.77 | 10.71 | 9.05 | 7.65 |
| ROA(%) | -0.04 | 0.57 | -0.04 | 1.42 | 1.97 | 3.06 | 3.04 | 9.15 | 7.74 | 6.22 | 3.77 |
| ROE(%) | -0.05 | 0.76 | -0.07 | 2.35 | 2.92 | 4.34 | 4.16 | 12.28 | 10.24 | 8.38 | 5.54 |
| ROCE(%) | 2.21 | 3.71 | 3.9 | 4.82 | 5.01 | 6.14 | 5.25 | 13.86 | 13.26 | 11.13 | 10.72 |
| Receivable days | 450.63 | 364.7 | 393.36 | 367.33 | 264 | 220.56 | 186.91 | 136.66 | 99.05 | 82.19 | 76.3 |
| Inventory Days | 60.2 | 55.69 | 57.35 | 54.06 | 51.15 | 38.24 | 35.63 | 27.42 | 22.33 | 24.13 | 21.98 |
| Payable days | 25.93 | 70.73 | 169.01 | 198.22 | 112.15 | 79.04 | 107.36 | 75.45 | 39.92 | 39.42 | 45.08 |
| PER(x) | 0 | 59.28 | 0 | 9.17 | 5.62 | 3.31 | 13 | 12.27 | 60.35 | 16.78 | 33.14 |
| Price/Book(x) | 0.14 | 0.46 | 0.33 | 0.24 | 0.16 | 0.14 | 0.47 | 1.18 | 0.79 | 1.35 | 1.8 |
| Dividend Yield(%) | 0 | 0 | 0 | 0 | 0 | 3.94 | 1.73 | 0.87 | 1.64 | 1.08 | 0.79 |
| EV/Net Sales(x) | 0.87 | 1.24 | 1.03 | 0.57 | 0.47 | 0.28 | 0.6 | 1.24 | 0.58 | 1.01 | 1.14 |
| EV/Core EBITDA(x) | 4.51 | 6.29 | 5.21 | 2.53 | 2.62 | 1.76 | 4.44 | 8.3 | 4.1 | 8.17 | 9.21 |
| Net Sales Growth(%) | -11.99 | 1.41 | -9.18 | 4.46 | 6.59 | 37.71 | 8.46 | 35.36 | 36.19 | 4.09 | 17.47 |
| EBIT Growth(%) | -18.18 | 43.88 | -15.42 | 15.4 | 0.49 | 26.04 | -12.38 | 179.99 | 1.13 | -11.44 | 3.15 |
| PAT Growth(%) | -103.35 | 1443.86 | -107.19 | 3433.33 | 23.7 | 55.38 | 0.05 | 217.26 | -11.92 | -14.7 | -29.95 |
| EPS Growth(%) | -100.05 | 0 | -122.65 | 1514.27 | 12.95 | 56.42 | -12.82 | 178.81 | -86.45 | 556.89 | -31.29 |
| Debt/Equity(x) | 0.21 | 0.26 | 0.21 | 0.14 | 0.15 | 0.12 | 0.12 | 0.08 | 0.1 | 0.11 | 0.12 |
| Current Ratio(x) | 3.25 | 1.6 | 1.28 | 1.67 | 2.17 | 2.66 | 2.75 | 3.74 | 4.13 | 3.59 | 3.02 |
| Quick Ratio(x) | 2.96 | 1.38 | 1.17 | 1.5 | 1.94 | 2.38 | 2.47 | 3.38 | 3.67 | 3.2 | 2.78 |
| Interest Cover(x) | 1.08 | 1.32 | 1.35 | 4.48 | 2.44 | 4.44 | 7.37 | 29.06 | 19.15 | 13.09 | 7.24 |
| Total Debt/Mcap(x) | 1.51 | 0.56 | 0.64 | 0.58 | 0.93 | 0.84 | 0.25 | 0.07 | 0.12 | 0.08 | 0.07 |
| # | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 52.26 | 52.2 | 52.09 | 51.7 | 51.33 | 51.19 | 51.19 | 51.15 | 51.07 | 51.07 |
| FII | 1.08 | 1.01 | 1.81 | 2.01 | 1.67 | 1.44 | 1.29 | 1.17 | 0.8 | 0.42 |
| DII | 0.01 | 0 | 0 | 0 | 0 | 0.11 | 0 | 0 | 0 | 0 |
| Public | 46.66 | 46.79 | 46.1 | 46.29 | 47 | 47.26 | 47.52 | 47.68 | 48.13 | 48.51 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 |
| # | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 2.89 | 2.89 | 2.89 | 2.89 | 2.89 | 2.89 | 2.89 | 2.89 | 2.89 | 2.89 |
| FII | 0.06 | 0.06 | 0.1 | 0.11 | 0.09 | 0.08 | 0.07 | 0.07 | 0.05 | 0.02 |
| DII | 0 | 0 | 0 | 0 | 0 | 0.01 | 0 | 0 | 0 | 0 |
| Public | 2.58 | 2.59 | 2.55 | 2.58 | 2.64 | 2.66 | 2.68 | 2.69 | 2.72 | 2.74 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 5.52 | 5.53 | 5.54 | 5.58 | 5.62 | 5.64 | 5.64 | 5.64 | 5.65 | 5.65 |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Sales CAGR | +17% | +18% | +20% | +13% |
| Operating Profit CAGR | +18% | +11% | +14% | +8% |
| PAT CAGR | -30% | -19% | +11% | — |
| Share Price CAGR | -39% | +11% | +14% | +14% |
| ROE Average | +6% | +8% | +8% | +5% |
| ROCE Average | +11% | +12% | +11% | +7% |
| # | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 52.26 | 52.2 | 52.09 | 51.7 | 51.33 | 51.19 | 51.19 | 51.15 | 51.07 | 51.07 |
| FII | 1.08 | 1.01 | 1.81 | 2.01 | 1.67 | 1.44 | 1.29 | 1.17 | 0.8 | 0.42 |
| DII | 0.01 | 0 | 0 | 0 | 0 | 0.11 | 0 | 0 | 0 | 0 |
| Public | 47.74 | 47.8 | 47.91 | 48.3 | 48.67 | 48.81 | 48.81 | 48.85 | 48.93 | 48.93 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 |
| # | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 2.89 | 2.89 | 2.89 | 2.89 | 2.89 | 2.89 | 2.89 | 2.89 | 2.89 | 2.89 |
| FII | 0.06 | 0.06 | 0.1 | 0.11 | 0.09 | 0.08 | 0.07 | 0.07 | 0.05 | 0.02 |
| DII | 0 | 0 | 0 | 0 | 0 | 0.01 | 0 | 0 | 0 | 0 |
| Public | 2.64 | 2.64 | 2.65 | 2.7 | 2.74 | 2.75 | 2.75 | 2.76 | 2.77 | 2.77 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 5.52 | 5.53 | 5.54 | 5.58 | 5.62 | 5.64 | 5.64 | 5.64 | 5.65 | 5.65 |
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