Any current/future new fundraising through debt or equity?

There is no mention of any current or planned fundraising through debt or equity in the provided transcript. The focus appears to be on organic growth through execution and client expansion rather than external funding. Jigar Mehta emphasizes internal investments in capacity building, such as new design centers and hiring, funded through operational cash flows. No comments were made regarding raising capital via equity or debt during the Q&A or closing remarks. The company aims to deliver double-digit revenue and EBITDA growth primarily by leveraging existing resources and new client projects.

Any current/future capex/capital investment/strategic investment?

Onward Technologies is opening a new design center in Chennai, which will allow hiring a few hundred more employees and increase capacity to 2,000 people in Chennai over the next 2-3 years. The new Chennai design center will significantly boost capacity and capability to support client projects and accelerate growth. Onward has moved back to a state-of-the-art office in Pune (Almonte IT Park, Kharadi). A new office in Chennai, the largest and biggest design center to date, is expected to go live in Q2 2025. Investments are focused on building global delivery capabilities, especially in North A

Future growth expectations in sales/revenue/volumes?

Onward Technologies targets consistent double-digit revenue growth and EBITDA growth annually over the next several years. Management aims to achieve INR 1,000 crores in revenue within a couple of years, effectively doubling from the current INR 500 crore level. They plan to maintain this growth by focusing on existing clients, verticals, and markets. The company expects to deliver three consecutive years of double-digit revenue and EBITDA growth as a key milestone. Expansion of capacity through new design centers, especially in Chennai targeting 2,000 employees, supports scaling. Increased on

Future growth expectations in earnings/operating earnings/profits/EPS?

Onward Technologies aims for **consistent double-digit revenue and EBITDA growth annually** over the next several years. The company targets to **double revenue from INR 500 crores to INR 1,000 crores within a couple of years**, a record growth milestone. Growth is driven by a focus on **existing customers, verticals, and markets**, emphasizing execution excellence. Margin expansion is expected through increased **on-site presence in U.S. and Europe** leading to more offshore work and efficiency. Wage hikes in Q2 may slightly impact margins short term, but the company expects **mid-teens EBITD

Current/ Expected Orderbook/ Pending Orders?

Onward Technologies does not share specific order book or Annual Contract Value (ACV) figures publicly, as customer approvals are required to disclose such details. The company views its order book as mature and solid internally. Internal projections and visibility from the existing order book and client engagements support consistent double-digit revenue and EBITDA growth targets. The order book provides confidence for sustained growth over the next several quarters. The business model is heavily based on time-and-material contracts, making up around 85% or more of revenues recently, facilita

IN US

Sale is live|00:00:00left today

Onward Technologies LtdQ2 FY25IT - Services

Onward Technologies Ltd Q2 FY25 Earnings Call Analysis

Revenue, margin, capex, fundraise and order book outlook from management commentary.

Price: ₹248P/E: 13.5Market Cap: ₹629 CrSector: IT - Services

Management growth scorecard

Revenue

Category 3

Margin

Category 3

Fundraise

N/A

Order

N/A

Capex

Yes

1 of 3 growth signals are positive — mixed outlook.

Full analysis

Revenue guidance

Category 3

→Onward Technologies targets consistent double-digit revenue growth and EBITDA growth annually over the next several years.
→Management aims to achieve INR 1,000 crores in revenue within a couple of years, effectively doubling from the current INR 500 crore level.
→They plan to maintain this growth by focusing on existing clients, verticals, and markets.
→The company expects to deliver three consecutive years of double-digit revenue and EBITDA growth as a key milestone.
→Expansion of capacity through new design centers, especially in Chennai targeting 2,000 employees, supports scaling.
→Increased on-site presence in North America and Europe is expected to boost offshore revenues and margins.
→Growth is driven by expanding within 80+ existing clients, increasing clients billing over USD 1 million, and growing $1M clients to $3M or more.
→The company emphasizes execution and building strong delivery capabilities to sustain growth momentum.

Margin guidance

Category 3

→Onward Technologies aims for **consistent double-digit revenue and EBITDA growth annually** over the next several years.
→The company targets to **double revenue from INR 500 crores to INR 1,000 crores within a couple of years**, a record growth milestone.
→Growth is driven by a focus on **existing customers, verticals, and markets**, emphasizing execution excellence.
→Margin expansion is expected through increased **on-site presence in U.S. and Europe** leading to more offshore work and efficiency.
→Wage hikes in Q2 may slightly impact margins short term, but the company expects **mid-teens EBITDA margins over the long term**.
→Headcount is projected to grow moderately to support business scale, with **about 2,700 employees by March 31, 2026**, enabling delivery capacity.
→Overall, the outlook relies heavily on **execution discipline, market focus, and leveraging client relationships** for sustainable profit growth.

3 more insights locked — sign up free to unlock

Fundraise plans

→There is no mention of any current or planned fundraising through debt or equity in the provided transcript.
→The focus appears to be on organic growth through execution and client expansion rather than external funding.
→Jigar Mehta emphasizes internal investments in capacity building, such as new design centers and hiring, funded through operational cash flows.
→No comments were made regarding raising capital via equity or debt during the Q&A or closing remarks.
→The company aims to deliver double-digit revenue and EBITDA growth primarily by leveraging existing resources and new client projects.

Order book

→Onward Technologies does not share specific order book or Annual Contract Value (ACV) figures publicly, as customer approvals are required to disclose such details.
→The company views its order book as mature and solid internally.
→Internal projections and visibility from the existing order book and client engagements support consistent double-digit revenue and EBITDA growth targets.
→The order book provides confidence for sustained growth over the next several quarters.
→The business model is heavily based on time-and-material contracts, making up around 85% or more of revenues recently, facilitating steady monthly cash inflows.
→Onward focuses on deepening engagements with existing clients and expanding on-site presence, which supports a healthy project pipeline and future order execution.

Capex plans

Yes

→Onward Technologies is opening a new design center in Chennai, which will allow hiring a few hundred more employees and increase capacity to 2,000 people in Chennai over the next 2-3 years.
→The new Chennai design center will significantly boost capacity and capability to support client projects and accelerate growth.
→Onward has moved back to a state-of-the-art office in Pune (Almonte IT Park, Kharadi).
→A new office in Chennai, the largest and biggest design center to date, is expected to go live in Q2 2025.
→Investments are focused on building global delivery capabilities, especially in North America and Europe, including local on-site presence and offshore execution models.
→No specific mention of product development investments; Onward is a pure-play services organization, with innovation starting post project wins and POCs largely client-funded.
→Future investments align with customer demand and economic viability.

How does Onward Technologies Ltd rank vs peers in IT - Services?

Pro feature

1Onward Technologies Ltd

Rev 3Mar 3

See full IT - Services sector rankings

Want more stocks like Onward Technologies Ltd?

Build an AI portfolio filtered by sector, market cap, and growth rank. Takes 2 minutes.

Build my portfolio