We had first invested in Hexaware Pre-IPO Shares at around Rs. 470/share on Nov’2020 and since then here is how the price graph has moved of Hexaware Pre-IPO Shares:
Jan 2021 – Rs. 525/share
October 2021 – Rs. 899/share
Aug 2022 – Rs. 535/share
This translate to a CAGR of roughly around 6.69%+
Now let’s have a look at company’s business model, Insights, Financials, Valuation, Latest News and FAQs.
About the Company – Hexaware Technologies
One of the top suppliers of BPO and IT services worldwide is Hexaware Technologies Limited. The business serves customers in the following areas: manufacturing, healthcare insurance, capital markets, banking, and financial services. Telecom for Retail Education Verticals include travel, transportation, logistics, and professional services (tax audit, accounting, and law).
Rapid application prototyping, development, and deployment; cloud migration and deployment; automation-based application support; enterprise solutions for back-office digitization; customer experience transformation; business intelligence and analytics; digital assurance (testing); infrastructure management services; and business process services are among the highly distinctive services that Hexaware offers.
The business not only performed exceptionally well in 2020, but it has also positioned itself for long-term success. Despite a poor start to the year, EBITDA increased by 24.2% and revenue increased by 12.2%. Hexaware has changed, putting itself in a new and better gear to adapt to the COVID environment today and be prepared for a post-COVID world tomorrow. It has also assisted its client partners in doing the same. They improved their performance and produced exceptional outcomes for their clients, staff, investors, and the communities in which they reside and operate. On a scale of -100 to +100, their Customer Delight Score actually reached an industry-high of 84.3.
The company launched its automated application transformation platform for cloud replatforming, AMAZE, and the suite of products and services has seen outstanding traction, already garnering us over a dozen referenceable Fortune 100 and 500 client success stories. AMAZE helps create their differentiated and value-driven competitive advantage to win in the US$ 120 billion cloud migration market (growing at 28% annual growth), and they expect this to be a significant driver of growth for many years.
Insights – Hexaware Technologies
Operating income grew by 12.2% from ~55,825.18 million in 2019 to ~62,620.80 million in 2020. From US$ 793.26 million in 2019 to US$ 845.04 million in 2020, there was a 6.5% increase in dollar terms. In 2020, revenue increased by 5.4% to US$ 844.50 million in constant currency. Growth was driven largely by volume increase.
EBITDA after RSU costs increased to US$ 140.60 million in 2020 compared to US$ 124.84 million in 2019, a growth of 12.6%. In INR terms, it saw growth of 19.2% and increased to ` 10,468.44 million in 2020 compared to ` 8,782.87 million in 2019.
Profit from Operations (profit before Exchange rate difference, Interest, Other income and Provision for taxation) was at ` 8,144.55 million in 2020 as against ` 7,748.74 million in 2019, growth of 5.1%. The growth in profit from operations without considering RSU cost under long term incentive plan was 10.8%.
Profit before tax grew 2.7% to ` 8,004.99 million in 2020 compared to ` 7,792.67 million in 2019.
Profit after tax stood at ` 6,215.00 million in 2020 as compared to a profit of ` 6,413.43 million in 2019, a decrease of 3.1%. PAT margins in INR terms were at 9.9% in 2020 compared to 11.5% in 2019.
Financial Performance – Hexaware Technologies
Why you should invest in Hexaware Pre-IPO Shares?
The following are the three main reasons to invest in Hexaware pre-IPO shares:
1. Hexaware Tech. is active in futuristic verticals: Poised for robust growth
By utilizing the industry-leading delivery and execution model, which is based on a three-pronged strategy, Hexaware is taking its clients’ digital transformation experience to the next level:
Amaze (Cloud Everything): Businesses may use automation features and cloudify their data warehouse and analytics ecosystems using Hexaware’s Data & AI platform.
Tensai (Automate everything): Hexaware’s Tensai for AIOps offers clients amazing advantages from the moment their apps are launched, helps guarantee that the apps function in accordance with business needs, and offers the necessary performance and availability levels.
Mobiquity (Transform Customer Experiences): The world’s top businesses collaborate with Mobiquity (Transform Customer Experiences), a digital consultancy, to create and provide its clients with engaging digital goods and services.
2. Investment By Calyle in Hexaware Technologies:
For an estimated nearly $3 billion, US-based private equity firm Carlyle Group purchased Baring Private Equity Asia’s interest in the IT company. This acquisition is the reason for the board change. In November 2020, the promoter Baring delisted Hexaware from the Indian stock exchanges in preparation for the acquisition.
Why is this important?
Private equity clearly adds value to a business. These professionals examine businesses on a regular basis. They therefore have a solid understanding of best practices in a variety of industries.
Focused on Exit: Timeliness is a major priority for the majority of private equity firms, which guarantees that the portfolio business will either pursue an IPO or a secondary buyout. Either way, investors are able to quickly withdraw from these businesses.
To read more – Click her
Why does this matter ?
-
- Private equity offers clear added value to a company. These are experts who constantly analyze businesses. As a result, they have a good insight into best practice, across diverse sectors.
- Exit Focused: Most private equity funds are extremely focused on timelines and this ensures that the portfolio company either goes for an IPO or a secondary buyout. In either case the investors get a timely exit from such companies
3. PE Ratio of Hexaware as compared to its peers:
While its competitors, like Infosys, are trading at significantly greater multiples, Hexaware’s PE Ratio is approximately 36
Because a re-rating is anticipated to occur when the business goes for an IPO, this makes Hexaware’s current valuation appealing. Investors could gain an extra 30–50% if the PE ratio increases from 24 to industry norms.
Latest News about Hexaware Pre-IPO Shares
IT Company Hexaware Tech To Add 10,000 More To Headcount In 2022
FAQs about Hexaware Pre-IPO Shares
How can I buy Hexaware Pre-IPO Shares?
To invest in Hexaware Pre-IPO Shares – Click Here
What is Hexaware Pre-IPO Shares?
The current market price of Hexaware Pre-IPO Shares is 595/share (as of Aug’2022)
Is it possible to buy Hexaware Pre-IPO Shares before listing?
Altius Investech, which deals in more than 130 pre-IPO shares, including Hexaware Technologies, does indeed provide Hexaware Pre-IPO Shares for purchase.
For any query/ personal assistance feel free to reach out at support@Altiusinvestech.com or call us at +91-8240614850.
To know, more about Unlisted Company. Click here – https://altiusinvestech.com/blog/what-is-listed-and-unlisted-company
For Direct Trading, Visit – https://altiusinvestech.com/companymain.
To know more about How to apply for an IPO? Click- https://altiusinvestech.com/blog/how-to-apply-for-an-ipo/