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Tanla Solutions

BSE:532790
Snowflake Description

Flawless balance sheet with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
532790
BSE
₹6B
Market Cap
  1. Home
  2. IN
  3. Software
Company description

Tanla Solutions Limited, together with its subsidiaries, provides cloud communication services for mobile operators and enterprises in India and internationally. The last earnings update was 86 days ago. More info.


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  • Tanla Solutions has significant price volatility in the past 3 months.
532790 Share Price and Events
7 Day Returns
-3.7%
BSE:532790
1.2%
IN Software
1.1%
IN Market
1 Year Returns
15.3%
BSE:532790
-15.6%
IN Software
-0.9%
IN Market
532790 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Tanla Solutions (532790) -3.7% 14.7% 37.5% 15.3% 6.3% 687.9%
IN Software 1.2% 3.4% -4.5% -15.6% -4.7% 26.3%
IN Market 1.1% 1.8% 5.7% -0.9% 41% 72.2%
1 Year Return vs Industry and Market
  • 532790 outperformed the Software industry which returned -15.6% over the past year.
  • 532790 outperformed the Market in India which returned -0.9% over the past year.
Price Volatility
532790
Industry
5yr Volatility vs Market

Value

 Is Tanla Solutions undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Tanla Solutions to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Tanla Solutions.

BSE:532790 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 16.9%
Perpetual Growth Rate 10-Year IN Government Bond Rate 7.6%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for BSE:532790
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IN Govt Bond Rate 7.6%
Equity Risk Premium S&P Global 8.6%
Software Unlevered Beta Simply Wall St/ S&P Global 1.13
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.134 (1 + (1- 35%) (0%))
1.09
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.09
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 7.55% + (1.09 * 8.6%)
16.92%

Discounted Cash Flow Calculation for BSE:532790 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Tanla Solutions is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

BSE:532790 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (INR, Millions) Source Present Value
Discounted (@ 16.92%)
2019 126.60 Est @ 10.73% 108.28
2020 138.98 Est @ 9.77% 101.66
2021 151.63 Est @ 9.11% 94.87
2022 164.73 Est @ 8.64% 88.15
2023 178.43 Est @ 8.31% 81.66
2024 192.85 Est @ 8.08% 75.49
2025 208.13 Est @ 7.92% 69.68
2026 224.39 Est @ 7.81% 64.25
2027 241.74 Est @ 7.73% 59.21
2028 260.31 Est @ 7.68% 54.53
Present value of next 10 years cash flows ₹797.78
BSE:532790 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= ₹260.31 × (1 + 7.55%) ÷ (16.92% – 7.55%)
₹2,987.88
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ₹2,987.88 ÷ (1 + 16.92%)10
₹625.87
BSE:532790 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ₹797.78 + ₹625.87
₹1,423.65
Equity Value per Share
(INR)
= Total value / Shares Outstanding
= ₹1,423.65 / 137.63
₹10.34
BSE:532790 Discount to Share Price
Calculation Result
Value per share (INR) From above. ₹10.34
Current discount Discount to share price of ₹42.15
= -1 x (₹42.15 - ₹10.34) / ₹10.34
-307.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Tanla Solutions is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Tanla Solutions's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Tanla Solutions's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
BSE:532790 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in INR ₹1.45
BSE:532790 Share Price ** BSE (2019-04-18) in INR ₹42.15
India Software Industry PE Ratio Median Figure of 48 Publicly-Listed Software Companies 16.08x
India Market PE Ratio Median Figure of 2,736 Publicly-Listed Companies 16.34x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Tanla Solutions.

BSE:532790 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BSE:532790 Share Price ÷ EPS (both in INR)

= 42.15 ÷ 1.45

29.02x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Tanla Solutions is overvalued based on earnings compared to the IN Software industry average.
  • Tanla Solutions is overvalued based on earnings compared to the India market.
Price based on expected Growth
Does Tanla Solutions's expected growth come at a high price?
Raw Data
BSE:532790 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 29.02x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
30%per year
India Software Industry PEG Ratio Median Figure of 9 Publicly-Listed Software Companies 0.94x
India Market PEG Ratio Median Figure of 584 Publicly-Listed Companies 1.32x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Tanla Solutions, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Tanla Solutions's assets?
Raw Data
BSE:532790 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in INR ₹61.53
BSE:532790 Share Price * BSE (2019-04-18) in INR ₹42.15
India Software Industry PB Ratio Median Figure of 66 Publicly-Listed Software Companies 1.21x
India Market PB Ratio Median Figure of 3,627 Publicly-Listed Companies 1.11x
BSE:532790 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BSE:532790 Share Price ÷ Book Value per Share (both in INR)

= 42.15 ÷ 61.53

0.68x

* Primary Listing of Tanla Solutions.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Tanla Solutions is good value based on assets compared to the IN Software industry average.
X
Value checks
We assess Tanla Solutions's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Software industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Software industry average (and greater than 0)? (1 check)
  5. Tanla Solutions has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Tanla Solutions expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

  • No analysts cover Tanla Solutions, future earnings growth has been estimated based on fundamentals.
The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
30%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Tanla Solutions expected to grow at an attractive rate?
  • Tanla Solutions's earnings growth is expected to exceed the low risk savings rate of 7.6%.
Growth vs Market Checks
  • Tanla Solutions's earnings growth is expected to exceed the India market average.
  • Unable to compare Tanla Solutions's revenue growth to the India market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
BSE:532790 Future Growth Rates Data Sources
Data Point Source Value (per year)
BSE:532790 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts 30%
India Software Industry Earnings Growth Rate Market Cap Weighted Average 16.6%
India Software Industry Revenue Growth Rate Market Cap Weighted Average 12.1%
India Market Earnings Growth Rate Market Cap Weighted Average 18.6%
India Market Revenue Growth Rate Market Cap Weighted Average 11.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
BSE:532790 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in INR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
BSE:532790 Future Estimates Data
Date (Data in INR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
BSE:532790 Past Financials Data
Date (Data in INR Millions) Revenue Cash Flow Net Income *
2018-12-31 8,939 164
2018-09-30 8,122 100
2018-06-30 7,919 89
2018-03-31 7,916 323 191
2017-12-31 7,615 381
2017-09-30 7,301 464
2017-06-30 6,668 488
2017-03-31 5,793 716 409
2016-12-31 5,159 263
2016-09-30 4,559 185
2016-06-30 4,270 129
2016-03-31 4,316 927 72

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Tanla Solutions's earnings are expected to grow significantly at over 20% yearly.
  • Unable to determine if Tanla Solutions is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
BSE:532790 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Tanla Solutions Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BSE:532790 Future Estimates Data
Date (Data in INR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
BSE:532790 Past Financials Data
Date (Data in INR Millions) EPS *
2018-12-31 1.45
2018-09-30 0.89
2018-06-30 0.78
2018-03-31 1.70
2017-12-31 3.46
2017-09-30 4.31
2017-06-30 4.48
2017-03-31 3.81
2016-12-31 2.59
2016-09-30 1.67
2016-06-30 1.26
2016-03-31 0.71

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Tanla Solutions will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Tanla Solutions's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the India market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the India market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Tanla Solutions has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Tanla Solutions performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Tanla Solutions's growth in the last year to its industry (Software).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Tanla Solutions has delivered over 20% year on year earnings growth in the past 5 years.
  • Tanla Solutions's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Tanla Solutions's 1-year earnings growth is negative, it can't be compared to the IN Software industry average.
Earnings and Revenue History
Tanla Solutions's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Tanla Solutions Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BSE:532790 Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 8,939.47 163.77 32.16
2018-09-30 8,121.68 100.07 31.12
2018-06-30 7,918.95 88.62 20.54
2018-03-31 7,916.13 191.08 41.38
2017-12-31 7,614.82 381.26 47.78
2017-09-30 7,300.75 463.73 47.65
2017-06-30 6,668.36 487.85 30.40
2017-03-31 5,793.00 409.13 38.63
2016-12-31 5,158.76 262.72 101.23
2016-09-30 4,558.57 185.04 108.41
2016-06-30 4,270.46 128.66 27.27
2016-03-31 4,315.54 72.41 139.60
2015-12-31 4,087.31 163.63 123.10 1.17
2015-09-30 3,650.32 145.42 124.21 1.17
2015-06-30 3,047.73 86.01 51.07
2015-03-31 2,460.59 25.88 26.80
2014-12-31 2,193.19 -109.79 94.18 1.25
2014-09-30 1,775.83 -115.60 89.33 1.25
2014-06-30 1,220.39 -159.10 37.58
2014-03-31 1,333.14 -198.26 82.16 1.25
2013-12-31 986.34 -695.62 86.81
2013-09-30 999.78 -1,004.88 92.85
2013-06-30 1,058.52 -1,229.46 104.32
2013-03-31 1,225.74 -1,469.03 116.16
2012-12-31 1,303.36 -1,673.52 519.99 4.14
2012-09-30 1,460.96 -1,793.45 323.24 4.14
2012-06-30 1,613.68 -1,710.64 457.03

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Tanla Solutions has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Tanla Solutions used its assets less efficiently than the IN Software industry average last year based on Return on Assets.
  • Tanla Solutions's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Tanla Solutions's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Software industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Tanla Solutions has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Tanla Solutions's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Tanla Solutions's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Tanla Solutions is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Tanla Solutions's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Tanla Solutions's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Tanla Solutions has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Tanla Solutions Company Filings, last reported 3 months ago.

BSE:532790 Past Debt and Equity Data
Date (Data in INR Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 6,920.60 0.00 1,711.65
2018-09-30 6,920.60 0.00 1,711.65
2018-06-30 6,876.48 0.00 1,654.44
2018-03-31 6,876.48 0.00 1,654.44
2017-12-31 6,843.68 0.00 1,468.58
2017-09-30 6,843.68 0.00 1,468.58
2017-06-30 6,563.01 0.73 1,333.02
2017-03-31 6,563.01 0.00 1,333.02
2016-12-31 6,639.86 4.35 699.39
2016-09-30 6,639.86 4.35 699.39
2016-06-30 6,570.02 5.74 508.99
2016-03-31 6,548.27 0.00 508.99
2015-12-31 6,303.51 7.58 242.25
2015-09-30 6,303.51 7.58 242.25
2015-06-30 6,211.21 4.15 299.03
2015-03-31 6,211.21 4.15 299.03
2014-12-31 5,967.58 0.00 185.43
2014-09-30 5,967.58 0.00 185.43
2014-06-30 6,016.74 0.00 244.71
2014-03-31 6,016.74 1.85 244.71
2013-12-31 5,848.28 0.00 277.54
2013-09-30 5,848.28 0.00 277.54
2013-06-30 6,151.79 0.00 521.17
2013-03-31 6,151.79 0.00 521.17
2012-12-31
2012-09-30
2012-06-30 6,912.96 0.00 713.59
  • Tanla Solutions has no debt.
  • Tanla Solutions had no debt 5 years ago.
  • Tanla Solutions has no debt, it does not need to be covered by operating cash flow.
  • Tanla Solutions has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Tanla Solutions's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Tanla Solutions has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Tanla Solutions's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.71%
Current annual income from Tanla Solutions dividends.
If you bought ₹2,000 of Tanla Solutions shares you are expected to receive ₹14 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Tanla Solutions's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.5%).
  • Tanla Solutions's dividend is below the markets top 25% of dividend payers in India (1.94%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
BSE:532790 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
India Software Industry Average Dividend Yield Market Cap Weighted Average of 18 Stocks 2.7%
India Market Average Dividend Yield Market Cap Weighted Average of 1400 Stocks 1.4%
India Minimum Threshold Dividend Yield 10th Percentile 0.3%
India Bottom 25% Dividend Yield 25th Percentile 0.5%
India Top 25% Dividend Yield 75th Percentile 1.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

BSE:532790 Future Dividends Estimate Data
Date (Data in ₹) Dividend per Share (annual) Avg. No. Analysts
BSE:532790 Past Annualized Dividends Data
Date (Data in ₹) Dividend per share (annual) Avg. Yield (%)
2018-05-18 0.300 0.879
2017-08-24 0.250 0.733
2017-05-18 0.250 0.698
2016-08-22 0.200 0.434
2016-05-26 0.200 0.571
2016-03-16 0.200 0.523
2013-02-13 0.000 0.000
2012-10-26 0.000 0.000
2012-09-03 0.000 0.000
2012-08-14 0.000 0.000
2011-10-03 0.100 1.494
2010-09-06 0.100 0.604
2009-04-20 0.500 1.037

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have fallen over the past 10 years.
Current Payout to shareholders
What portion of Tanla Solutions's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (4.8x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Tanla Solutions's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Tanla Solutions afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Tanla Solutions has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Tanla Solutions's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Dasari Uday Reddy
COMPENSATION ₹13,274,328
AGE 51
TENURE AS CEO 20.3 years
CEO Bio

Mr. Dasari Uday Kumar Reddy is the Founder of Tanla Solutions Limited and has been its Managing Director and Chairman since 1999. Mr. Reddy serves as a Non-Independent & Executive Director of Tanla Solutions Limited. He joined Tanla Solutions Limited since November 27, 1999. An entrepreneur at heart, with sharp focus, determination and a go-getter attitude, holds an MBA degree from Manchester Business School in the UK.

CEO Compensation
  • Dasari Uday's compensation has been consistent with company performance over the past year.
  • Dasari Uday's remuneration is higher than average for companies of similar size in India.
Management Team Tenure

Average tenure and age of the Tanla Solutions management team in years:

4.8
Average Tenure
47
Average Age
  • The tenure for the Tanla Solutions management team is about average.
Management Team

Dasari Uday Reddy

TITLE
Chairman & MD
COMPENSATION
₹13M
AGE
51
TENURE
20.3 yrs

Srinivas Kamoji

TITLE
Chief Financial Officer
COMPENSATION
₹4M
AGE
56
TENURE
7.6 yrs

Seshanuradha Chava

TITLE
Company Secretary
COMPENSATION
₹3M
AGE
46

Chandra Konetisetti

TITLE
Vice President of Product Planning
AGE
38

Sriram Vinjamuri

TITLE
Chief Operating Officer
TENURE
0.5 yrs

K. RamaKrishna

TITLE
Vice President of Human Resource
COMPENSATION
₹1M
AGE
48

Kedarnath Gupte

TITLE
Senior Vice President - International Markets
TENURE
1.9 yrs

Kiran Sikhakolli

TITLE
General Manager of Operations
AGE
39
Board of Directors Tenure

Average tenure and age of the Tanla Solutions board of directors in years:

9.3
Average Tenure
56
Average Age
  • The tenure for the Tanla Solutions board of directors is about average.
Board of Directors

Dasari Uday Reddy

TITLE
Chairman & MD
COMPENSATION
₹13M
AGE
51
TENURE
20.3 yrs

Anantapur Guggilla Reddy

TITLE
Independent & Non-Executive Director
COMPENSATION
₹170K
AGE
61
TENURE
5.3 yrs

Ram Agarwal

TITLE
Independent Non-Executive Director
COMPENSATION
₹135K
AGE
77
TENURE
13.4 yrs

Kunda N. Reddy

TITLE
Independent & Non-Executive Director
COMPENSATION
₹170K
AGE
36
TENURE
3.5 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Tanla Solutions insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (₹) Value (₹)
30. Jan 19 Buy Dasari Uday Reddy Individual 28. Jan 19 29. Jan 19 636,947 ₹36.86 ₹22,647,190
X
Management checks
We assess Tanla Solutions's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Tanla Solutions has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

With An ROE Of 2.78%, Can Tanla Solutions Limited (BOM:532790) Catch Up To The Industry?

and want a simplistic look at the return on Tanla Solutions Limited (BOM:532790) stock. … Tanla Solutions Limited’s (BOM:532790) most recent return on equity was a substandard 2.78% relative to its industry performance of 11.47% over the past year. … Return on Equity (ROE) is a measure of Tanla Solutions’s profit relative to its shareholders’ equity.

Simply Wall St -

Value-Adding Discounted Stocks To Buy Now

Tanla Solutions and Galaxy Bearings are stocks on my list that are potentially undervalued. … Tanla Solutions Limited (BSE:532790) Tanla Solutions Limited, together with its subsidiaries, provides cloud communication services for mobile operators and enterprises in India and internationally. … BSE:532790 PE PEG Gauge May 21st 18 Galaxy Bearings Limited (BSE:526073) Galaxy Bearings Limited manufactures and sells ball and roller bearing products in India.

Simply Wall St -

March Top Undervalued Stocks

Tanla Solutions and Ceeta Industries may be trading at prices below their likely values. … Tanla Solutions Limited (BSE:532790) Tanla Solutions Limited, together with its subsidiaries, provides cloud communication services for mobile operators and enterprises in India and internationally. … BSE:514171 PE PEG Gauge Mar 19th 18 Cambridge Technology Enterprises Limited (BSE:532801) Cambridge Technology Enterprises Limited, a business and technology services company, provides service oriented architecture–based enterprise transformation and integration solutions and services.

Simply Wall St -

Company Info

Description

Tanla Solutions Limited, together with its subsidiaries, provides cloud communication services for mobile operators and enterprises in India and internationally. It offers messaging products and services, such as Application to Person messaging services; SMS Firewall, a telco grade platform that plugs loop holes in the telecom network for fraud and revenue leakage using various filtering capabilities; SMS Hub, a solution that simplifies SMS interoperability, manages number portability, and introduces real-time online monitoring to manage large volumes of SMS; unstructured supplementary service data (USSD) Center for service providers, MVNO’s, and wireless operators to offer USSD-based applications and services to enterprises; and Push Notifications to create and manage multiple push notification campaigns through a single user interface. The company also provides cloud voice services, including Hosted IVR solution that enables enterprises to design, build, and update custom IVR applications using a Web interface; Voice Broadcast technology that enables enterprises to initiate and deploy personalized interactive voice broadcasts; Free Ring, a solution for interactive communications with customers and prospects; and Source Trace, which enables enterprises and agencies to track inbound calls back to the marketing source. In addition, it offers IoT platform, which enables businesses to connect people, machines, and processes, as well as provides products and services development, and aggregator and offshore development services. The company was incorporated in 1995 and is based in Hyderabad, India.

Details
Name: Tanla Solutions Limited
532790
Exchange: BSE
Founded: 1995
₹5,800,963,339
137,626,651
Website: http://www.tanla.com
Address: Tanla Solutions Limited
Tanla Technology Centre,
Hi-Tech City Road,
Hyderabad,
Andhra Pradesh, 500081,
India
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BSE 532790 Equity Shares Mumbai Stock Exchange IN INR 05. Jan 2007
NSEI TANLA Equity Shares National Stock Exchange of India IN INR 05. Jan 2007
Number of employees
Current staff
Staff numbers
0
Tanla Solutions employees.
Industry
Application Software
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/19 12:43
End of day share price update: 2019/04/18 00:00
Last estimates confirmation: 2017/05/18
Last earnings filing: 2019/01/23
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.