I am very worried when i compare majesco with guidewire , i know it would be not justified but if we look at guidewire it had more than 200 customers in dec 2015 and now 380+ clients tremendous growth where as majesco had around 150 clients in 2015 and now 175 very bleak contract win and those also small deals secondly guidewire has lowered down the projections for next year. Thirdly main reason why guidewire wins the major deals bcos of there product ranking by gartner in which majesco is at 3rd.
I am trying to figure out that can adam elster could do a tremendous job bcos client winning is now like steroids to majesco, i am sounding a lot bearish for majesco pardon me for that and correct me so that i can take proper decision with my investment
Disc- invested
Opinion could also be put like - 1)What is the key advantage of majesco over guidewire.(2) What is the roadmap to scale up the sales.(3) majesco management always says there is huge opportunity but i am failing to understand that what are the steps towards achieving big clients okay you are winning mid clients but what about big clients what is the roadmap you already skipped talking about $ 220m sales but atleast give us some view about future earnings and not potential
What you’re mentioning is way too theoritical. Even if you list out the swots, the ground reality is way different. Technical capabilities is on one side while ability to market the company and bag deals is another thing.
Whats the topline n bottomline of Guidewire over the last 3 years
Secondly long-term success boils down to management of the balance sheet and capital allocation.
Any views on recent acquisition, please share
@paragbharambe ji how r u looking towards the recent acquisition,do you think payment of 4.50million euro in 2019,2020,2021 is making this acquisition a little bit costly?
Costly on what basis? Is the valuation available in public domain?
Sir revenue is around 30cr annually with 17 customers, they valued it at a multiple of 3 on basis of revenue just like on same parameter we value an insurance technology company.
Where’s this mentioned?
Please go through acquisition statement given by magesco to bseindia.com for revenue of exaxe, and for number of customers surf exaxe website
Exaxe has 17 customers with 30crore annual revenue , avg revenue around 1.76cr/customer , if majesco applies exaxe product sells exaxe product to current clients ( around 160 clients), if majesco is able to push exaxe product to half of current clients revenue addition could be 80×1.76crore =140 crore sales annually+30 crore exaxe revenue= 170cr/annum sales($24million) !! I admit that all products of exaxe cant be applied on present customers but product like advice plus which is a good product can be pushed Just thought , is it possible what say @paragbharambe sir
Here are my two cents to your questions @Divyanshu_Taneja.
I am not too sure about Exaxe target market overlap with Majesco’s Life and Annuity market, other than both are targeting the L&A market. Based on my limited reading of Exaxe, it seems it is more focused on cloud-based revenue whereas Majesco has earned more income in L&A through the on-premise sale. Exaxe introduced a cloud version of their products in 2016, not too long ago (https://info.exaxe.com/blog/exaxe-launches-software-as-a-service-offering).
Furthermore, Majesco’s primary customers are in P&C segment which is entirely different to what Exaxe is targeting to. I think Majesco will use Exaxe acquisition to step in customer’s door and then offer more products and services.
Most of the Majesco’s sales in L&A is in UK and Asia. But the UK has been struggling for a couple of years. Cloud still not a common mode for companies to consume services in Europe in particular. However, the perception and momentum of it is changing slowly but surely towards clouds. In that sense, Exaxe will arm Majesco will its expertise in the European market, particularly in Ireland and UK.
One of the ways to look at the acquisition is how much cross-sell potential Majesco has in term of selling to Exaxe’s existing client. Based on the client list, they have quite an impressive list of client in UK and Ireland. Majesco certainly has few clients in the UK, but I doubt if they have any meaningful presence in Ireland. So Ireland customers are indeed potential candidates for cross-sell potential.
Exaxe has also stated their ambition to offers their services to the European customer. Majesco does not have a European presence, and they have not indicated an aspiration towards Europe – other than the UK. So it is to see if Exxa is allowed to expand in Europe or align themselves to Majesco’s focus on UK and Ireland or expand it’s offering in the US.
Life and Annuity as a segment is much more fragmented as compared to P&C. They certainly do not have a Guidewire in that segment, so this acquisition is strengthening Majesco position in L&A segment. Coupled that with Majesco as an IBM’s partner in Insurance L&A platform will help strengthen Majesco L&A focus on help them win more customer.
Overall, a good acquisition for Majesco and also the price they paid is not hefty (3-times revenue). Exaxe will not add much towards immediate profitability, but I think it does not looks like loss-making company either.
Huge positive for Majesco-
@paragbharambe ji i am not able to understand that, “How will growth come in future for majesco?”,
“How they will sustain the revenue growth?”
Please sir explain
Thanks sir
Please some one explain me
Presently majesco is winning contracts and implementing softwares and receiving money for the same, but what will happen after 2 or 3 years when every insurance company had implemented the software from where will growth come for majesco, i agree that in cloud deals money will come in parts, but i am not able to understand that how will growth come in future, how they will increase the top line,since they are dealing only with insurance companies it is very much possible that after one point all insurance companies are equipped with new software then at that point what will happen w.r.t growth and higher topline
Please some one explain i am new to investing
https://www.bseindia.com/stock-share-price/disclosures/sast/539289#!#equity
As per latest sast updates ashish kacolia has increased his holding in majesco by 3 times
Good Results
What’s the other income?
https://www.bseindia.com/corporates/anndet_new.aspx?newsid=4e38d37d-6b53-4dad-ba30-9deeae3c37d9
Sir @paragbharambe how this development should be read, positive move or negative move?
Also there was no prior intimation of board meeting, can board meeting could take place without prior intimation to shareholders?
@paragbharambe sorry for tagging you everytime but it is your knowledge and viewpoint which repeatedly forces me to take comments from you on developments happening in this company