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Endava shares gain 5.4% on strong Q1 results

EditorRachael Rajan
Published 12/11/2024, 12:56
DAVA
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LONDON - Endava plc (NYSE:DAVA) reported better-than-expected fiscal first quarter results on Tuesday, sending shares up 5.4% in early trading.

The technology services company posted adjusted earnings per share of £0.25, beating analyst estimates of £0.21. Revenue grew 3.5% YoY to £195.1 million, slightly ahead of consensus forecasts of £194.61 M.

For the quarter ended September 30, Endava's revenue increased 5.2% at constant currency. Profit before tax declined to £4.2 million from £17.3 million in the same period last year. Adjusted profit before tax was £19.2 million, representing 9.9% of revenue.

"We are pleased with our results for the first quarter of FY25 showing both year on year and quarter on quarter revenue growth," said CEO John Cotterell. "Our focus on AI is establishing leading edge propositions to solve real business challenges and our acquisition of GalaxE has enhanced our core modernization capability."

Looking ahead, Endava provided guidance for the second quarter and full fiscal year 2025. For Q2, the company expects revenue of £195-197 million and adjusted EPS of £0.24-£0.25. For the full year, Endava forecasts revenue of £800-810 million and adjusted EPS of £1.12-£1.17.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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