Synoptics Technology offers IT services in the areas of IT infrastructure like connectivity to the branches, supply, implementation and support of the network equipment needed to run the IT setup like routers, switches, etc. They design the solution for customers who need to put their applications in Cloud and further help with the application migration and manage the setup in the cloud. Synoptics helps enterprises, small businesses and governments in their digital journey with various use cases of specific industry verticals with our technology-led and innovation-driven approach.
Synoptics is currently operating across India with a team of 584 employees. Their B2B customers include government entities, Public sector undertakings (PSUs), and private enterprises. Some of Synoptics' customers include the Government of Gujarat, Blue Dart Express Limited, BOB Financial Services, Hennes & Mauritz Retail Private Limited (H&M), TATA Communications Limited, Shoppers Stop Limited, Lifestyle International Private Limited, GIC Housing Finance Ltd, Motilal Oswal Financial Services Limited, Fedbank Financial Services Limited, etc.
Recently, Synoptics Technologies also signed an agreement with BSNL to become their authorised Private LTE/Private 5G service partner nationwide.
Synoptics Technologies Limited IPO Details
Synoptics is a fresh issue and Offer for Sale. The issue comprises 22,80,000 shares at the issue price of Rs. 237 each aggregating up to Rs. 5,403.60 lakh. Retail investors can bid for the Synoptics Technologies Limited IPO that will open on 30th June 2023. Synoptics Technologies Limited’s IPO will list on the NSE exchange on 13th July 2023.
Synoptics Technologies Limited IPO Objectives
The objectives of Synoptics Technologies Limited's IPO are listed below:
- To repay certain borrowings.
- For the investment in strategic acquisition/joint venture.
- To meet the working capital requirements.
- For general corporate expenses.
- To meet the expenses of the issue.
Peer Details
Synoptics Technologies has only one comparable peer in the industry Allied Digital Services Limited.
Highlights of Synoptics Technologies Ltd
- Synoptics Technologies Ltd’s customer base includes the Government of Gujarat and BSNL.
- The company holds unsecured loans which can be recalled by the lenders at any time, impacting their finances.
- A considerable portion of their revenue has been dependent upon a limited number of customers. The revenue from operations from their top 10 customers constituted 82.99% for the period ending on 31st December 2022 and 82.77% for 31st March 2022. The loss of any significant client would impact their earnings.
Company Financials
| Particulars | As of 31st Dec 2022 (Rs. lakhs) | Year ending on 31st March 2022Total Expense (Rs. lakhs) |
|---|---|---|
| Total Revenue | 3,466.81 | 5,097.07 |
| Profit After Tax (PAT) | 525.36 | 432.36 |
| Net Worth | 2,402.21 | 1,876.85 |
| Total Borrowings | 1,959.06 | 1,410.03 |
| EPS (in Rs.) | 7.51 | 6.18 |
Know before investing
Strengths
2There is only one comparable peer for Synoptics’ in the industry.
The company’s PAT consistently grew from Rs. 236.02 lakh in March 2021 to Rs. 432.36 lakh in March 2022 and Rs. 525.36 in December 2022.
Risks
2The unavailability or rise in the cost of IT equipment can have an adverse effect on their profit.
There are certain legal proceedings like civil cases and tax-related matters involving the company, promoters, directors and group companies.
