1. At a Glance
Trading at just 0.37x book value and flaunting a 1.14% dividend, HGS looks cheap. But a ₹322 Cr FY25 loss and an ROE of -1.5% remind us — sometimes cheap things are just broken.
2. Introduction with Hook
Hinduja Global Solutions is like that once-popular soap opera — great legacy, confused present, and a plot twist called “other income”.
- FY25 Net Loss: ₹-322 Cr
- Book Value: ₹1,657 per share
- CMP: ₹614
So what gives? Is this the deepest value play in BPM? Or a digital transformation story with more hype than hope?
3. Business Model (WTF Do They Even Do?)
HGS operates two verticals:
1. BPM (Business Process Management)
- Voice/non-voice services
- Contact centers & back-office ops
- Clients across North America, UK, ME, Asia
2. Media & Digital
- Delivers cable, satellite, and broadband to 5Mn+ customers in India
- Acquisitions in Canada, UK, Philippines & AI-powered CX hubs
What they’re trying:
→ Combine BPO + AI + Digital CX = Cost-effective omnichannel solutions
What’s the challenge:
→ Making it profitable post-pandemic + post-divestment
