DBT Bureau
Bengaluru, 27 July 2024
Chennai-based digital analytics consulting and solutions firm, LatentView Analytics hopes to increase its offerings to CPG (Consumer Packaged Goods) clients in the generative AI space through its acquisition of Decision Point.
The company, which announced its Q1 results this week, said its integration of the newly acquired entity- Decision Point- is now complete.
“The integration of our recent Decision Point acquisition has been successfully completed and this will bolster our footprint in the CPG vertical and in delivering business value to our clients through RGM and Gen AI expertise,” Rajan Sethuraman, CEO of LatentView Analytics, said in the Q1FY25 earnings release.
In March, the company announced that it would acquire 70% of Decision Point’s outstanding equity capital for $39.1 million. The remaining 30% equity would be acquired over the next two years with a pay-out based on agreed valuation principles, it has said.
In its investor presentation, LatentView Analytics said that Decision Point’s RGM (Revenue Growth Management) projects are 6-12 months long, which are executed in both fixed and managed services modes.
“(Revenue is in the form of) Seasonal business with more than 60% share coming in the 2nd half of the calendar year, historically,” the company added.
LatentView Analytics said Decision Point will continue to operate as a separate legal entity, which will be led by the existing management team.
In April-June quarter, the company saw a 18.2% rise in its net profit year-on-year basis to Rs 39 crore. Its revenue for the quarter increased by 21.1% to Rs 179 crore. However, its operating margin fell to 21.4% in Q1 of the ongoing fiscal year from 23.5% reported in the previous quarter.
“The EBITDA margin was lower on a sequential basis owing to the impact of salary increments and cyclical visa costs,” Rajan Venkatesan, CFO of LatentView Analytics said.
LatentView Analytics is the most subscribed IPO in India, with an overall subscription of over 326.49 times. Currently, the share price of the company is hovering around Rs 534, around 2.5 times of its IPO price of Rs 197.
