Quess Corp- Business, Performance, and Future Outlook
Quess Corp Ltd. (NSE: QUESS) is a leading Indian business services provider headquartered in Bengaluru. The company offers a diverse range of services, including staffing solutions, facility management, and IT services, catering to various industries such as IT, healthcare, manufacturing, and telecom. ICICI Direct+3Simply Wall St+3Editable Templates+3Vizologi+1Business Today+1
๐งฉ Business Model
Quess Corp operates through multiple strategic business units, delivering comprehensive and tailored business solutions that drive operational and cost efficiencies for its clients. The company's services encompass:Vizologi
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Workforce Management (WFM): Providing staffing solutions, recruitment services, payroll management, and compliance management.Editable Templates
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Global Technology Solutions (GTS): Offering IT consulting services, including digital transformation, cloud solutions, and cybersecurity.
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Operating Asset Management (OAM): Managing facilities and providing maintenance, cleaning, and other essential services.
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Product-Led Business (PLB): Developing digital platforms like "foundit" (formerly Monster) for job matching and recruitment.
This diversified approach allows Quess to cater to the end-to-end needs of businesses across various sectors. Simply Wall St+7Vizologi+7Editable Templates+7
๐ Recent Financial Performance
In Q1 FY25, Quess Corp reported:Simply Wall St+8CNBCTV18+8CNBCTV18+8
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Revenue: โน5,003 crore, a 1.9% increase quarter-on-quarter.CNBCTV18+1MarketsMojo+1
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EBITDA Margin: 3.7%, slightly down due to seasonal factors and wage inflation.ETCFO.com+2CNBCTV18+2CNBCTV18+2
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Profit After Tax (PAT): โน103 crore, a 10% increase quarter-on-quarter.CNBCTV18
The company added over 30,000 headcount, indicating strong demand in domestic IT staffing, while international markets remained subdued. CNBCTV18
๐ Growth Outlook
Quess Corp projects a 14-15% revenue growth for FY25, with expectations to surpass a 4% EBITDA margin by the end of the fiscal year. Analysts forecast:ETCFO.com+5CNBCTV18+5CNBCTV18+5
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Earnings Growth: 24.3% per annum.India Infoline+2Simply Wall St+2Simply Wall St+2
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Revenue Growth: 12.8% per annum.Simply Wall St+1Simply Wall St+1
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Return on Equity: Expected to be 17.4% in three years. Simply Wall St+1Simply Wall St+1
The company is also undergoing a demerger into three independent entities—Digitide (GTS), Bluspring (OAM and PLB), and Quess (WFM and remaining businesses)—to simplify its corporate structure and unlock value. Business Today+2India Infoline+2ICICI Direct+2
๐ Analyst Sentiment
Analysts have a positive outlook on Quess Corp, citing its diversified services, strong hiring trends, and potential benefits from economic formalization and industry consolidation. Antique Stock Broking initiated coverage with a "BUY" rating and a target price of โน1,000, implying a 50% upside from current levels. Business Today
๐งพ Summary
Quess Corp's diversified business model, strategic demerger, and focus on high-growth sectors position it well for future growth. While challenges in international markets persist, the company's strong domestic performance and digital transformation initiatives offer a promising outlook.