Excelsoft Technologies Limited Makes Strong Debut with 12.50% Premium, Lists at ₹135.00 Against Exceptional Subscription

Excelsoft Technologies Limited, a global vertical SaaS company specializing in learning and assessment market with AI-powered applications including SARAS LMS, EnablED LXP, OpenPage digital books, test and assessment platforms, online proctoring solutions, and student success platforms serving over 200 organizations impacting 30 million learners across India, Malaysia, Singapore, UK, and USA with prominent clients including Pearson Education, AQA Education, and Brigham Young University, made a strong debut on BSE and NSE on November 26, 2025. After closing its IPO bidding between November 19-21, 2025, the company commenced trading with a premium of 12.50% opening at ₹135.00 and touched ₹142.65 (up 18.88%).

Excelsoft Technologies Limited Listing Details

Excelsoft Technologies launched its IPO at ₹120 per share with minimum investment of 125 shares costing ₹15,000. The IPO received exceptional response with subscription of 45.46 times - retail at 16.44 times, QIB at 50.06 times, NII at 107.04 times (sNII at 75.25 times and bNII at 122.93 times), indicating overwhelming institutional and high net worth investor confidence in vertical SaaS business model and learning technology platform.

First-Day Trading Performance

Listing Price: Excelsoft Technologies opened at ₹135.00 representing premium of 12.50% from issue price of ₹120.00, touched high of ₹142.65 (up 18.88%) and low of ₹134.95 (up 12.46%), with VWAP at ₹138.84, reflecting strong investor enthusiasm supported by exceptional subscription levels and robust growth trajectory in global learning and assessment market.

Growth Drivers and Challenges

Growth Drivers:

Strong Growth Trajectory: Revenue increased 24% and PAT surged 172% between FY24 and FY25, exceptional ROE of 10.38%, robust ROCE of 16.11%, healthy PAT margin of 14.87%, impressive EBITDA margin of 31.40% demonstrating operational excellence and scalability.

Comprehensive Product Portfolio: Diversified suite including SARAS e-Assessments, EasyProctor proctoring, SARAS Learning Solutions, OpenPage digital books, EnablED LXP, CollegeSparc student success platform, and LearnActiv K12 solutions serving educational publishers, universities, schools, government agencies, and corporations globally.

Global Market Presence: Operations across India, Malaysia, Singapore, UK, and USA with long-term relationships serving over 200 organizations, impacting 30 million learners worldwide, team of 1,118 employees, expertise in delivering compliant digital learning and assessment solutions with robust product capabilities.

Challenges:

Profit Volatility: Despite 172% PAT growth in FY25, the company experienced a severe setback with PAT decline to ₹12.75 crore in FY24 from ₹22.41 crore in FY23.

Premium Valuation: Post-issue P/E of 57.46x appearing elevated, price-to-book of 3.23x, strong listing premium of 12.50% creating concerns about valuation sustainability, operating in highly competitive and fragmented vertical SaaS segment requiring continuous innovation investments.

Significant Promoter Dilution: Promoter stake reduction from 94.60% to 59.09%, high proportion of offer for sale at ₹320 crore versus fresh issue of ₹180 crore, low debt-to-equity of 0.05.

Utilisation of IPO Proceeds

Infrastructure Expansion: ₹61.77 crore for capital expenditure including purchase of land and construction of new building at Mysore property, ₹39.51 crore for upgradation including external electrical systems of existing facility in Mysore supporting business growth.

Technology Investment: ₹54.64 crore for upgradation of IT infrastructure including software, hardware, communications, and network services enhancing platform capabilities, product development, and service delivery efficiency to support expanding global customer base.

General Corporate Purposes: ₹8.98 crore allocated for general corporate purposes supporting working capital requirements, operational needs, and strategic initiatives to maintain competitive positioning in global learning and assessment market.

Financial Performance

Revenue: ₹248.80 crore for FY25, growth of 24% from ₹200.70 crore in FY24, reflecting expanding global customer base, deeper client penetration, and growing adoption of AI-powered learning and assessment solutions across educational institutions and corporations.

Net Profit: ₹34.69 crore in FY25, remarkable growth of 172% from ₹12.75 crore in FY24, demonstrating significant operational leverage, improved profitability through better product mix, and operational efficiency gains offsetting previous year setback.

Financial Metrics: ROE of 10.38%, ROCE of 16.11%, debt-to-equity of 0.05, PAT margin of 14.87%, EBITDA margin of 31.40%, price-to-book of 3.23x, post-issue EPS of ₹2.09, P/E of 57.46x, net worth of ₹371.29 crore, total borrowings of ₹26.59 crore, and market capitalisation of ₹1,607.73 crore.