1. At a Glance
Ksolves is the guy in your tech WhatsApp group who talks about “AI/ML, Generative AI, and LLMOps” but still charges clients in US dollars and pays dividends in rupees. With31.9% operating margins,154% ROE, and5% dividend yield, you’d expect the stock to fly. Instead, it’s down40% in one year. Because while the company’s financials scream “Silicon Valley unicorn,” the market smells “family-owned IT sweatshop in Noida.”
2. Introduction
Founded in 2014, Ksolves does everything buzzword-compliant: AI, Big Data, Salesforce, Odoo, Penetration Testing. If it was 2021, they’d have added “metaverse” too.
On paper, this is a dream: 150+ projects delivered, clientele spread across BFSI, telecom, healthcare, and even EVR Motors. Overseas revenue? 60% from the US, 7% Europe, 6% Australia — basically, global clients minus China (and thank God for that).
But the irony? While revenue has compounded69% over 5 years, profit119% CAGR, and dividends paid like clockwork, the stock still crashed from ₹548 to ₹307. Why? Investors finally looked past the Excel ROEs and realized the company’stop 5 customers = 40% revenue. Too concentrated, too small, and too dependent on repeat orders (82% of revenue). Translation: a couple of clients ghost them, and the Noida HQ starts looking like a WeWork during COVID.
3. Business Model (WTF Do They Even Do?)
Ksolves = outsourced tech ninjas. Services offered:
- AI/ML + GenAI:They slap “Ninja” on products (Lead Manager Ninja, Dashboard Ninja, Mind AI Ninja) because branding is 50% of tech.
- Big Data & Data Flow Manager:Helps clients not drown in Kafka/NiFi pipelines.
- Salesforce + Odoo ERP:Connectors, roll-ups, themes. Basically plug-ins to make big platforms less annoying.
- DevOps + LLMOps:Fancy way of saying they babysit servers and large language models.
- Custom Apps:BFSI
- chatbots, EdTech dashboards, telecom analytics — you name it.
Clients? Shaka Wear, Echo360, EVR Motors. Sounds fancy, but revenues are still ₹144 Cr annually — literallyTCS’s training expense for one quarter.
4. Financials Overview
Q1 FY26 (Jun’25):
| Metric | Latest Qtr | YoY Qtr | Prev Qtr | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | ₹37.7 Cr | ₹31.6 Cr | ₹33.3 Cr | +19% | +13% |
| EBITDA | ₹9.9 Cr | ₹12.0 Cr | ₹8.6 Cr | -17% | +16% |
| PAT | ₹6.4 Cr | ₹9.0 Cr | ₹5.9 Cr | -28% | +10% |
| EPS (₹) | 2.71 | 3.78 | 2.47 | -28% | +10% |
Annualised EPS ~₹11. At CMP ₹307 →P/E ~28x run-rate(vs Screener’s trailing 23x).
Commentary: Sales up, but profits shrinking faster than a cold coffee in Gurgaon winters.
5. Valuation (Fair Value RANGE only)
Method 1 – P/E:EPS ~₹11 × 18–22x = ₹200–₹240.Method 2 – EV/EBITDA:FY25 EBITDA ~₹46 Cr; EV ~₹727 Cr → EV/EBITDA ~15.7x. Reasonable 12–16x = ₹220–₹260.Method 3 – DCF:Assume FCF ~₹25 Cr growing 20% CAGR 10 yrs, WACC 12%. PV ≈ ₹550–₹650 Cr → ₹230–₹270/share.
FV Range: ₹200–₹270.This FV range is for educational purposes only and is not investment advice.
6. What’s Cooking – News, Triggers, Drama
- Mega Order:$600K project from a NY-based research firm.
