SANKHYA INFOTECH LTD (532972) - STOCK OF THE WEEK

Dear Investor friends, Today i am expressing my view on one IT related company.

SANKHYA INFOTECH LTD (532972)

Sankhya Infotech established in 1997, an IT company based from Hyderabad. During the short 6 years company has Fortune 500 clients, highly successful product line, Services that have received testimonials for impeccable quality predictability, and reliability. Sankhya brand stands for technological excellence with domain strength.

Sankhya is an ISO 9001:2008 certified company, serving its global customers through offices in France, UAE and United States. The corporate office is located at Hyderabad, India. Company is having regional offices at Bangalore, Mumbai and Delhi.

Company is having 6 verticals. Mainly Sankhya having following segments in their portfolio.

1.    Aerospace

2.    Defence

3.    BFSI(Banking Financial Services & Insurance)

4.    Transportation

5.    Energy

6.    Higher Education

1.    Aerospace

At Sankhya, company design training solutions that are customer driven and tailored to meet specific requirements. Having come a long way from launching the world’s first remote training facility for any airline in the world, Samkhya’s innovative training solutions are used by many leading aerospace companies and aviation schools.

Training Management Information System (TMIS)

Learning Management System (LMS)

Learning Content Management System (LCMS)

Online Examination/Assessment System

Crew Rostering and Scheduling

Virtual Maintenance Trainer

Desktop Simulation

Part task Trainer

Full System Simulator (with motion platform)

Customised CBT/WBT

Legacy Content Conversion

Graphics, Modeling and Animations

Video Integration

Consultancy Services

2.    Defence

Sankhya's main strength has been its involvement in supply of advanced training platform and services for the defense forces since its inception. Today, Sankhya serves all the three services of Indian Defense (Army, Airforce and Navy).

Sankhya's has also partnered with major Defense PSU and Defense Labs to provide cutting edge virtual training and simulation solutions to Indian Defense forces. Sankhya commitment to defense training with a major American defense contractor selecting the training platform for integration with their training system.

Following are the services in this segment.

Training Management Information System (Defense version)

Simulators

Driving Simulators

Heavy Vehicle Simulators

Advanced Weapon Simulators

Tank Simulator

Electronic Warfare Simulator

Maintenance Simulator

3.    BFSI (Banking Financial Services & Insurance)

Revolution in communication and technology has transformed the image of today's financial services. Dynamic market conditions, tighter regulatory compliance coupled with increased competition have led to a deluge of financial products.

Following are the services that company offers in this segment.

Learning Management System (LMS)

Learning Content Management System (LCMS)

Online Examination/Assessment System

Virtual Classroom

Customised Content Development (Multimedia CBT/WBT/ILT)

Content Modification and Updation

Content conversion

4.    Transportation

Sankhya has developed simulators and training solutions that cater to all needs of the transportation sector. Today transportation sector is facing lot of challenges be it sea, rail or road.  Company’s simulators are customized to its clients operating conditions offering varied situations and scenarios that could be easily modified in real time based on the trainee and training needs.

Following are few services from the company.

Driving Simulators

Maintenance Simulators

Desktop Simulators

Full System Simulators

Procedural Trainers

Virtual Maintenance Trainers

5.    Energy

With a powerful simulated virtual environment, operators can train and accredit their personnel on standard, incidental and accidental operations for compliance with Safety and Regulation. Simulation also enables rapid initiation to the overall function at a much reduced training cost.

Sankhya offers a wide range of simulation solutions and training platforms that not only automates the entire training system but also provides an excellent opportunity to monitor training and calculate the efficacy of the training programs.

6.    Higher Education

This is another segment where in company provides numerous trainings to the universities.

CLIENTS

Company is having strong client base across globe. Following are the few major customers.

Company website: Click here

FINANCIALS AND OUTLOOK

Company shares are trading in BSE.

Company posted 45.09 Cr top line in sept Qtr.

Net profit is 1.96 Cr bottom-line in sept Qtr.

Book value: RS 73 Rs

Debt  to Equity: 0.38

Stock is trading at low PE (10.3) compared to industry & its major peers.

Stock is trading at Rs 55

Company stocks are trading lower than the book value. Company is performed consistency over the years. Products are mainly in the simulation field as the defence space is one of the highest growth picker in the coming days is a huge positive for the company.

Company is having a strong customer base, and leading in this domain.

Considering this performance, the stock has to catch the momentum and rerate in future, will give handsome returns to the investors in coming days.

NOTE : THE ABOVE IS NOT A RESEARCH REPORT NOR A RECOMMENDATION  BUT INFORMATION AS AVAILABLE ON PUBLIC DOMAIN. 

Registration status with SEBI: I am not registered with SEBI under the (Research Analyst) regulations 2014 and as per clarifications provided by SEBI: “Any person who makes recommendation or offers an opinion concerning securities or public offers only through public media is not required to obtain registration as research analyst under RA Regulations”