Orchasp Limited Posts Loss of Rs. 10.52 Crore in FY25
By Ankur Chandra | Updated at: May 31, 2025 10:46 PM IST
Hyderabad, May 28, 2025 — Orchasp Limited (BSE: 532271, NSE: ORCHASP) has released its financial results for the fiscal year ended March 31, 2025. The reports are negative as the company incurred a net loss of ₹1,052.35 lakh in FY25.
Key Financial Highlights (₹ in lakh)
| Particulars | FY25 | FY24 | YoY Growth |
|---|---|---|---|
| Revenue from Operations | 2,108.27 | 1,324.53 | 59.2% |
| Total Income | 2,162.48 | 1,404.54 | 54.0% |
| Total Expenses | 3,213.82 | 1,322.65 | 143.0% |
| Net Profit/(Loss) | (1,052.35) | 67.95 | – |
| Basic & Diluted EPS (₹) | (0.42) | 0.03 | – |
| Share Capital | 6,391.01 | 2,996.83 | 113.3% |
| Other Equity | 4,824.63 | 7,811.29 | -38.2% |
Segment Performance
Orchasp is only involved in operating a single business segment: computer programming consultancy and related services, as per IND AS-108.
Audit Qualifications
The auditors, JMT & Associates, issued a qualified opinion on both standalone and consolidated results:
- Investment in Portugal Subsidiary: The company’s substantial investment of ₹6,825 lakh in Cybermate International, Unipessoal, LDA remains impaired, as it has been without operations for over four years. The subsidiary faces de-registration by Portuguese authorities due to non-compliance.
- Outstanding Receivables/Payables: The company’s trade receivables and payables exceeding six months lack external confirmations, which raises doubts on their recoverability.
Despite these issues, the company’s management has said that corrective actions will be taken, including compliance resolution and transferring the Portuguese investment to another subsidiary within the current quarter.
Foreign Exchange Impact
Upon converting 1% unsecured FCCBs (excluding accrued interest), the company incurred a major loss of ₹1,459.87 lakh. However, this hit was partly offset by the gains of ₹144.69 lakh from the FX restatement of trade receivables.
Consolidated Balance Sheet Overview (₹ in lakh)
| Particulars | FY25 | FY24 |
|---|---|---|
| Total Assets | 20,137.37 | 17,921.50 |
| Total Equity | 11,224.05 | 10,808.12 |
| Trade Receivables | 12,972.63 | 10,755.89 |
| Trade Payables | 5,981.26 | 4,207.91 |
| Cash & Cash Equivalents | 32.08 | 46.35 |
Cash Flow Summary (Standalone)
- Net cash used in operations: ₹(1,557.99) lakh
- Net cash from investing: ₹48.02 lakh
- Net cash from financing: ₹1,495.77 lakh
Management Commentary
P. Chandra Sekhar, Managing Director & CFO, stated:
“Despite macroeconomic challenges and foreign exchange volatility, our operational revenue has grown significantly. Strategic corrective actions are underway to address legacy issues and position the company for long-term value creation.”
Strategic Outlook
With ongoing restructuring of its international subsidiary and a recovery focus on ageing receivables, Orchasp aims to improve financial stability in FY26. The infusion of capital through FCCB conversion and a streamlined business model focused on tech consultancy positions the company to leverage emerging digital transformation demand.
Disclaimer: The auditor’s report includes emphasis on qualifications, which investors should review closely.
REF: https://nsearchives.nseindia.com/corporate/ORCHASP_28052025143754_Orchasp-Outcome_of_BM-28-05-2025.pdf
