LatentView Analytics today posted a muted 4 per cent year-on-year growth in its consolidated net profit for the first quarter as higher employee costs and other expenses brought down the profitability of the company.

The Chennai-based data and analytics company posted a net profit of ₹32.9 crore for Q1FY24 ,compared to a net profit of ₹31.5 crore for the corresponding quarter of the previous fiscal. On a sequential basis, net profit was down by 4 per cent from ₹34.2 crore in Q4FY23.

Revenue from operations grew by 23 per cent year-on-year to ₹147.6 crore (₹119.9 crore). However, total expenses went up by 40 per cent to ₹122.7 crore (₹87.9 crore). Employee costs alone went up by 36 per cent to ₹100.3 crore (₹73.6 crore) during the latest quarter.

Rajan Venkatesan, CFO, LatentView Analytics, said EBITDA margin was at 19 per cent, a decline of 235 bps Q-o-Q primarily due to seasonally higher visa costs, wage hikes, and increased go-to-market spends.

US market

Of the total revenues, the US market contributed 96.5 per cent, followed by the rest of the world (3.2 per cent) and Europe (0.3 per cent). Sector-wise, Technology contributed 69.2 per cent of the total revenue, followed by Industrial (13.6 per cent), Consumer and retail (9.7 per cent) and Financial Services (7.5 per cent)   

As of June quarter, the company has 65 clients, of which 3 are over $500 million, 10 are in the range of $100-500 million, 8 are in the range of $50-100 million, and 44 are under $50 million in revenues.

Shares of LatentView Analytics fell by 2 per cent to ₹367 on the NSE on Thursday.