Endava plc Reports Fiscal Year 2024 Financial Results
Intellectia.AI2024-09-19
Endava plc Reports Fiscal Year 2024 Financial Results
Endava plc (NYSE: DAVA), a leading technology services company, has issued its financial results for the fourth quarter and fiscal year ended June 30, 2024.
Key Financial Metrics (Q4 FY2024 vs. Prior Year & Consensus Estimates)
| Metric | Q4 FY2024 | Prior Year Q4 | YoY Change | Consensus Estimates |
|---|---|---|---|---|
| Revenue | £194.4 million | £189.8 million | +2.4% | £196.6 million* |
| Revenue (Constant Currency) | +3.5% | - | ||
| Diluted EPS | £(0.03) | £0.40 | - | £0.23* |
| Adjusted Diluted EPS | £0.22 | £0.57 | - |
*Exchange Rate: 1 GBP = 1.31 USD (approximate for conversion purposes).
Interpretation : Despite a 2.4% increase in revenue, Endava's earnings per share fell significantly compared to the previous year, reflecting operational challenges.
Revenue Performance by Segments
| Segment | Q4 FY2024 Revenue | Prior Year Q4 | Change |
|---|---|---|---|
| North America | 38% | 30% | +8pp |
| Europe | 25% | 24% | +1pp |
| UK | 30% | 38% | -8pp |
| Rest of World | 7% | 8% | -1pp |
Interpretation : North America shows significant growth, shifting focus slightly away from the UK, which has seen a decline.
Operational Highlights
- Headcount at the end of the period was 12,085.
- Completed the acquisition of GalaxE in April 2024.
- 146 clients generated over £1 million revenue annually, consistent with the previous year.
Comments from Company Leadership
CEO John Cotterell acknowledged fiscal year challenges, attributing revenue decline primarily to exposure in the UK market and payments industry. He emphasized efforts to diversify geographically and by industry, alongside investment in skills for digital transformation, aiming for a return to profitability.
Forward Guidance
For FY2025, Endava anticipates revenue between £800.0 million and £810.0 million, suggesting a year-over-year increase of 10.0 to 11.5% at constant currency. Adjusted diluted EPS is projected to range from £1.12 to £1.17 per share.
Stock Price Movement
Following the announcement, Endava's stock experienced a 2.25% decrease in value.
Note: The financial figures reflect conversions made using the exchange rate as of the guidance announcement date.
The report has been organized into a clear markdown table format, and unnecessary sections have been removed for clarity.
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