1. At a Glance
From ₹0.83 Cr in FY24 revenue to ₹8.05 Cr in FY25. No, that’s not a typo. This microcap software firm just ctrl+alt+deleted its past and rebooted with a 870% growth spike. Suspicious? Maybe. Juicy? Definitely.
2. Introduction with Hook
If Hypersoft were a Windows version, it just went from Vista to Windows 11 overnight.
- FY25 Sales: ₹8.05 Cr (Up from ₹0.83 Cr in FY24. Yep, 870% growth!)
- Net Profit: ₹0.21 Cr vs loss of ₹0.67 Cr last year
- P/E: A staggering 89.5 — because why not?
They’ve survived 40 years of irrelevance and are now suddenly buying Singapore-based NX Global Pte Ltd. Either genius or… Ctrl+F “Satyam”
3. Business Model (WTF Do They Even Do?)
Hypersoft makes software for financial and business apps and offers:
- Turnkey database solutions
- Custom software development
- Web & Windows app dev
- Consultancy & deployment
Think ERP-lite, only from 2002. They cater to niche clients, mostly in BFSI and small enterprises. But now—plot twist—they’re making open offers, acquiring overseas entities, and rebooting growth strategy. Midlife crisis, or Midas touch?
4. Financials Overview
| Metric | FY23 | FY24 | FY25 |
|---|---|---|---|
| Revenue | ₹0.87 Cr | ₹0.83 Cr | ₹8.05 Cr |
| EBITDA | -₹0.13 Cr | -₹0.32 Cr | ₹0.43 Cr |
| Net Profit | -₹0.11 Cr | -₹0.67 Cr | ₹0.21 Cr |
| EPS | -₹0.26 | -₹1.58 | ₹0.49 |
| RoE | -2.7% | -8.57% | 9.07% |
| RoCE | -2.69% | -8.57% | 20.65% |
TLDR: This thing’s gone from financial ventilator to “hey, maybe we can walk again.” But those margins? Still beta mode.
5. Valuation
- Current Price: ₹44.2
- Market Cap: ₹18.8 Cr
- P/E: 89.5 (because microcaps don’t care about reality)
- Book Value: ₹5.69 → Trading at 7.77x BV
Fair Value Range: ₹24 – ₹36
(assuming sustainable FY25 profit and reasonable P/E ~30–50, or ~5x EV/Sales)
Upside baked in? Maybe. But one earnings hiccup and this turns back into Windows 95.
6. What’s Cooking – News, Triggers, Drama
- Open Offer Drama: Major buyout attempt — open offer for 100% public holding
- NX Global Acquisition: Singapore-based software firm being gobbled up
- Promoter stake jump: From 34.89% to 47.86% — they’re loading up
- EPS Jump: -₹1.58 to ₹0.49
- Sales Spike: 870% in a single year. From a software firm that looked dead.
Translation: They want control, and they’ve got a plan. Or an illusion of one.
7. Balance Sheet
| Particulars | FY23 | FY24 | FY25 |
|---|---|---|---|
| Equity Capital | ₹4.49 Cr | ₹4.49 Cr | ₹4.49 Cr |
| Reserves | -₹1.26 Cr | -₹2.28 Cr | -₹2.07 Cr |
| Borrowings | ₹0.14 Cr | ₹0.02 Cr | ₹0.00 Cr |
| Total Assets | ₹3.74 Cr | ₹2.79 Cr | ₹3.12 Cr |
Key Points:
- Nearly debt-free
- Still in negative net worth territory (but improving)
- Reserve erosion slowing down
8. Cash Flow – Sab Number Game Hai
| Year | CFO | CFI | CFF | Net Cash Flow |
|---|---|---|---|---|
| FY23 | -₹0.19 Cr | ₹0.06 Cr | ₹0.13 Cr | ₹0.00 Cr |
| FY24 | -₹1.39 Cr | ₹1.55 Cr | -₹0.13 Cr | ₹0.03 Cr |
| FY25 | ₹0.35 Cr | ₹0.05 Cr | -₹0.02 Cr | ₹0.38 Cr |
Takeaway: First positive operating cash flow in a while. Finally, the keyboard keys are responding.
9. Ratios – Sexy or Stressy?
| Metric | FY23 | FY24 | FY25 |
|---|---|---|---|
| RoCE | -2.69% | -8.57% | 20.65% |
| RoE | -2.29% (3Y avg) | 9.07% | |
| Debtor Days | 37.76 | 35.18 | 81.61 |
| Working Capital Days | 176.21 | 13.19 | 84.34 |
Verdict: A dramatic rebound in return metrics. But watch out for receivables — doubled debtor days are a red flag with lipstick.
10. P&L Breakdown – Show Me the Money
| Metric | FY23 | FY24 | FY25 |
|---|---|---|---|
| Revenue | ₹0.87 Cr | ₹0.83 Cr | ₹8.05 Cr |
| EBITDA | -₹0.13 Cr | -₹0.32 Cr | ₹0.43 Cr |
| PAT | -₹0.11 Cr | -₹0.67 Cr | ₹0.21 Cr |
| EPS | -₹0.26 | -₹1.58 | ₹0.49 |
From red to green in one year. That’s either skill… or spreadsheet yoga.
11. Peer Comparison
| Company | Price | P/E | ROCE | ROE | Sales (Cr) | Mcap (Cr) |
|---|---|---|---|---|---|---|
| TCS | 3222 | 23.7 | 64.6% | 52.4% | 63,437 | ₹11.6L Cr |
| Infosys | 1570 | 24.6 | 37.5% | 28.8% | 40,925 | ₹6.5L Cr |
| Persistent | 5605 | 64.6 | 30.4% | 24.1% | 3,242 | ₹87.7K Cr |
| Hypersoft | 44.2 | 89.5 | 20.6% | 9.1% | 8.05 | ₹18.8 Cr |
Yes, it’s a baby. But it’s screaming loud enough to make its presence known.
12. Miscellaneous – Shareholding, Promoters
- Promoter Stake:
- FY24: 34.89%
- FY25: 47.86%
Big jump = big confidence (or big plan)
- Open Offer Activity: Attempting to acquire full public holding
- No Dividends in 25 years – this baby reinvests (or just hoards)
13. EduInvesting Verdict™
Hypersoft was practically a DOS-era relic. Now suddenly, revenue 10x, EPS positive, overseas acquisitions, and a hostile-style open offer? Either they cracked the code or cracked the shareholders’ patience.
This could be your classic turnaround story or a masterclass in financial sleight of hand. There’s momentum, there’s mystery, and there’s math.
Just remember: in tech, hype can sometimes outrun software.
Metadata
– Written by EduInvesting Team | 15 July 2025
– Tags: #HypersoftTech #Microcap #Turnaround #OpenOffer #AcquisitionTrail #SmallCapExplosions #EduInvestingPremium
