Brightcom Group shares rally 12% today, 18% in two days

Badly battered shares of Brightcom Group rallied 12 per cent in Monday's trade, in addition to a 6 per cent rally on Friday. The company on November 13 reported a strong set of September quarter results.

The scrip rose 12.04 per cent to hit a high of Rs 41.40 on BSE, in addition to a 6.18 per cent jump on Friday. Despite this, the scrip is down 61 per cent year-to-date.

The company said its net profit rose 51.15 per cent YoY to Rs 320.68 crore for the quarter on a 52.48 per cent YoY rise in sales at Rs 1,683.07 crore.

Revenue jumped on enhancing client reach across various locations and businesses, through focused efforts by the teams, the company told BSE.

"On the demand side, this quarter, the company added: 5 New Ad agencies, 16 new direct advertisers, 7 new newspaper relationships for ‘B-local’ exchange our news platform," it said.

Brightcom Group is a provider of comprehensive online or digital marketing services to direct marketers, brand advertisers and marketing agencies.

Its has three major divisions namely Media (Ad-Tech and digital marketing), software services and future technologies. The company's primary clients are end advertisers, agencies and publishers, but also include ad exchanges & networks.

The company said its return on equity (ROE), on an annualised basis, has reached 20.74 per cent and that the focus continues to remain on improving this key metric.

Brightcom Group said the changes in the competitive landscape of the digital AdTech market is making way for the midsize, nimbler players to ramp up their piece of the pie.

Brightcom Group said its consolidated tax rate across all geographies stood at 27.79 per cent for the quarter and that the company achieved operating cash flow of approximately Rs 216.50 crore in the September quarter.

Brightcom Group will host a conference call on November 18, Friday at 4.30 pm.

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