How has been the historical performance of Sonata Software?

Answer:The historical performance of Sonata Software shows a consistent growth trajectory in net sales and profits over the years, with net sales reaching 10,157.25 Cr in March 2025, up from 8,613.06 Cr in March 2024 and 7,449.12 Cr in March 2023. The total operating income also followed this upward trend, culminating at 10,157.25 Cr in March 2025. Operating profit, excluding other income, was 689.25 Cr in March 2025, slightly down from 727.43 Cr in the previous year, while the overall operating profit, including other income, was 760.40 Cr. Profit before tax increased to 573.66 Cr in March 2025 from 461.38 Cr in March 2024, and profit after tax rose to 424.67 Cr from 308.50 Cr in the same period.

On the balance sheet side, total liabilities decreased to 4,669.62 Cr in March 2025 from 5,060.68 Cr in March 2024, while total assets also saw a decline to 4,669.62 Cr from 5,060.68 Cr. The company’s cash flow from operating activities significantly improved to 644.00 Cr in March 2025 compared to 280.00 Cr in March 2024, although cash flow from investing activities turned negative at -437.00 Cr. The closing cash and cash equivalents stood at 309.00 Cr in March 2025, down from 536.00 Cr in March 2024. Overall, Sonata Software has demonstrated a robust growth pattern in sales and profits, although it faced challenges in maintaining asset levels and cash reserves.

Breakdown:
Sonata Software has shown a strong growth trend in net sales, which increased from 8,613.06 Cr in March 2024 to 10,157.25 Cr in March 2025. This growth is reflected in the total operating income, which matched the net sales figure in March 2025. Operating profit, while slightly declining to 689.25 Cr from 727.43 Cr, still indicates a solid performance. Profit before tax rose to 573.66 Cr, and profit after tax reached 424.67 Cr, marking a significant increase from the previous year. On the balance sheet, total liabilities decreased to 4,669.62 Cr, while total assets also fell to the same figure, indicating a tightening of financial resources. The cash flow from operating activities improved significantly, highlighting operational efficiency, despite a negative cash flow from investing activities. The closing cash and cash equivalents decreased to 309.00 Cr, reflecting a need for careful cash management moving forward.