Rolta has not been having a good run ever since Glaucus Research published a report, advocating a “strong sell” on the stock as it was expected to underperform the trend in average market returns. It stated that Rolta India did not produce free cash flow and could not repay offshore bondholders without refinancing.

And now we have its Q4 and FY15 performance which does not look encouraging. Its consolidated net profit for Q4FY15 was down 50% (QoQ) at Rs.36 crore on a 2% drop in net revenue at Rs.946 crore. EBITDA was down 10% at Rs.311 crore. Increased costs on account of higher material and sub contracting costs, along with higher interest outgo and all this on a tepid sales pulled down the bottomline.

About its cash balance, as at 31st March 2015, it shot up from Rs.61 crore in FY14 to Rs.547 crore. Debt stands at around Rs.4900 crore.

The market is not too enthused with the performance as the stock is deep in the red at Rs.117, down 7% with an intra day low of Rs.115.