Covance Softsol Ltd (COVANCE)

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Covance Softsol Ltd (COVANCE) · mywealthgrid

About

Covance Softsol is an IT software and consulting firm that has scaled rapidly—revenue grew 2.6x in one year to ₹24.35 Cr (Mar 2026 quarter), with consistent profitability enabling self-funded growth. At ₹223.3 per share and ₹493.49 Cr market cap, the company operates with 47.92% operating margins and moderate leverage (D/E 0.95), controlled by 71.71% promoter holding.

Face value: ₹10

Market cap

₹346 Cr

P/E

10.9×

P/B

2.2×

Dividend yield

ROE

27.1%

ROCE

25.1%

Debt / equity

OPM

47.9%

EPS (TTM)

₹14.3

Book value

₹71.2

52-week high

—

52-week low

Key insights

Company research notes and source-linked reviews

Key risks

OPM swung 24 percentage points from 59.79% (Jun 2025) to 35.18% (Mar 2026)—verify if structural cost pressures or temporary competitive pricing drive the deterioration
EPS halved year-on-year from ₹5.61 (Jun 2025) to ₹2.85 (Mar 2026) despite revenue above ₹20 Cr, signaling profitability quality issues—verify cost structure and customer mix changes
Extreme valuation spike of 636% in 12 months to current ₹223 creates repricing risk if growth momentum slows further
Zero institutional backing (FII/DII both 0%) against 71.71% promoter concentration limits external validation of business quality

Generated analysis · source review pending

Growth drivers

Revenue scaled 2.6x year-on-year to ₹24.35 Cr (Mar 2026 from ₹9.25 Cr Mar 2025), demonstrating project acquisition ability—verify whether margin collapse indicates temporary disruption or structural competitive pressure
Operating margins averaging 47.92% are typical for IT services sector—verify Covance's competitive differentiation and pricing power vs peers
Debt-to-equity ratio of 0.95 provides financial flexibility for growth investment without immediate equity dilution
Enterprise digital transformation and cloud adoption drive IT services sector growth—verify Covance's addressable market size and customer win trends

Generated analysis · source review pending

380 historical price candles were omitted because the exchange source has not been verified.

₹156.4-0.8%1Y

Quick read

rule-based

Pros

+Strong return on equity of 20.2% (3-yr avg)
+Healthy operating margin of 47.9%
+Almost debt-free (debt/equity 0)
+Comfortable interest coverage of 14.8×
+High promoter holding of 71.7% with no pledge

Cons

No red flags triggered.

Research score

Structured signal from quality, growth, valuation and momentum.

94/100

Business quality: 91
Growth: 100
Valuation

Peers

Comparable companies from the narrowest available industry classification.

Screen this industry Compare top 5 side-by-side

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Financials

Reported profit and loss, balance sheet, cash flow and growth history.

Annual Quarterly

Consolidated Standalone

Standalone figures · ₹ crore

₹ Cr	Mar 2025	Mar 2026
	28	80
	17	42
	11	38
OPM %	38.4%	47.9%
Depreciation	0	0
Interest	4	3
	7	8
Profit before tax	13	43
Tax	3	11
Tax %	21.1%	25.5%
	10	32
PAT margin %	36.1%	39.8%
EPS (₹)	6.9	17
EPS adjusted (₹)	6.9	14.3
Annual report	Annual report for Mar 2025	—

₹ Cr	Mar 2024	Mar 2025	Mar 2026
Equity capital	15	15	22
Reserves	25	62	136
Minority interest	0	0	—
	73	0	0
	5	94	56
Total equity & liabilities	118	170	214
	0	0	0
CWIP	—	0	0
Investments	36	71	94
	82	99	120
Total assets	118	170	214

₹ Cr	Mar 2025	Mar 2026
	-6	23
	6	11
	0	-31
Net cash flow	0	3
Free cash flow	-6	23
CFO / Operating profit %	-53.4%	60.5%

Compounded sales growth

7 years: —
5 years: —
3 years: —
1 year: 181%

Compounded profit growth

7 years: —
5 years: —
3 years: —
1 year: 209%

Return on equity

7 years: —
5 years: —
3 years: —
Last year: 20%

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Ratios

Annual operating, return, leverage and working-capital ratios.

No ratio history

Ratios derive from annual statements, which haven't been ingested yet.

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Shareholding

Quarterly ownership, named holders, insider transactions and disclosed deals.

Quarterly Annual

Every quarter filed · % of equity

Holder (%)	Dec 2024	Mar 2025	Jun 2025	Sep 2025	Dec 2025	Mar 2026	Jun 2026
	73.47%	73.47%	73.47%	73.42%	72.13%	71.71%	71.71%
FII	0%	0%	0%	0%	0%	0%	0%
DII	0%	0%	0%	0%	0%	0%	0%
Government	0%	0%	0%	0%	0%	0%	0%
	26.53%	26.53%	26.53%	26.58%	27.87%	28.29%	28.29%
No. of shareholders	—	—	—	2,102	2,078	2,578	2,568

Promoter holding down 1.76 percentage points since Dec 2024.

Mr. SRINIVASA RAO MADALAExecutive Director-Chairperson-MD
Mr. ARAVIND KUMAR MADALANon-Executive - Non Independent Director
Mr. SUBBIAH SRINIVASAN BATTINANon-Executive - Independent Director
Mr. VEERAGHAVULU KANDULANon-Executive - Independent Director
Mr. RAKESH SRI VANKINANon-Executive - Independent Director
Mrs. NAGA PADMA VALLI KILARINon-Executive - Independent Director
Ms. Chandana KonduruCompany Secretary & Compliance Officer

Current officeholders as filed with BSE. A person holding two offices is listed once per office.

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F&O

Current futures and options contracts with compact option-chain pages.

Not in the F&O segment

Only about 210 stocks have listed futures and options. Contracts appear here for those, refreshed after each close.

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Fund holders

Mutual-fund schemes that disclosed a holding in the company.

No fund holdings on record

No scheme among the 32 fund houses on record reported a position in Covance Softsol Ltd. Portfolios are published monthly by each AMC; coverage is still partial.

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Documents

Annual reports, exchange filings, offer documents, ratings and earnings-call material.

Announcements

Annual reports

Annual Report FY2025from bse Summary

Documents link to external sources (exchange filings, company investor pages).

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Events

Upcoming dates and the company’s corporate-action history.

1

Board meeting to consider results14 Aug 2026

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Announcements

Latest exchange announcements, filings and downloadable documents.

1 month 3 months 6 months 1 year All

15 announcementsExport CSV

1 Oct 2026, 6:48 pmAGM/EGM

Shareholder Meeting / Postal Ballot-Scrutinizer''s Report

AGM PDF

30 Sept 2026, 7:33 pmAGM/EGM

Shareholder Meeting / Postal Ballot-Outcome of AGM

AGM PDF

9 Sept 2026, 5:23 pmInsider Trading / SAST

Disclosures under Reg. 10(7) of SEBI (SAST) Regulations, 2011

Disclosures under Reg. 10(7) of SEBI (SAST) Regulations, 2011 PDF

8 Sept 2026, 11:50 amCompany Update

Announcement under Regulation 30 (LODR)-Newspaper Publication

Newspaper Publication PDF

7 Sept 2026, 7:21 pmOthers

Reg. 34 (1) Annual Report.

Reg. 34 (1) Annual Report PDF

7 Sept 2026, 7:19 pmAGM/EGM

03Rd Annual General Meeting To Be Held On September 30, 2026 At 11:30 AM

AGM PDF

1 Sept 2026, 10:40 amInsider Trading / SAST

Disclosures under Reg. 10(6) of SEBI (SAST) Regulations, 2011

Disclosures under Reg. 10(6) of SEBI (SAST) Regulations, 2011 PDF

31 Aug 2026, 4:17 pmInsider Trading / SAST

Disclosures under Reg. 29(2) of SEBI (SAST) Regulations, 2011

Disclosures under Reg. 29(2) of SEBI (SAST) Regulations, 2011 PDF

Date	Category	Subject	Filing
1 Oct 2026, 6:48 pm	AGM/EGM AGM	Shareholder Meeting / Postal Ballot-Scrutinizer''s Report	PDF
30 Sept 2026, 7:33 pm	AGM/EGM AGM	Shareholder Meeting / Postal Ballot-Outcome of AGM

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Covance Softsol Ltd

About

Key insights

Key risks

Growth drivers

Quick read

Pros

Cons

Research score

Peers

Financials

Profit & loss

Balance sheet

Cash flow

Compounded returns

Compounded sales growth

Compounded profit growth

Return on equity

Ratios

No ratio history

Shareholding

Quarterly record

Board and management

F&O

Not in the F&O segment

Fund holders

No fund holdings on record

Documents

Announcements

Annual reports

Events

Board meetings1

Announcements

No ratio history

Quarterly record

Board and management

Announcements

Annual reports

Board meetings1

Not in the F&O segment

No fund holdings on record

Profit & loss

Balance sheet

Cash flow

Compounded returns

Compounded sales growth

Compounded profit growth

Return on equity

1

1