ESDS Software Solution Limited
PROSPECTUS · filed 02 Sept 2026
ESDS Software Solution Limited provides cloud computing and data center services, having reported a revenue of Rs 472.21 crore and a profit of Rs 120.823 crore in the latest fiscal year, with a 28.38% revenue CAGR and a 22.22% ROE. The company has a low debt-to-equity ratio of 0.08 and is not a loss-making entity. The offer structure consists of a fresh issue of equity shares, and the company's financial trajectory is supported by a subsidiary that has incurred losses in recent years. The most material risks include high-severity technology risks regarding infrastructure obsolescence and regulatory changes, as well as the high-severity risk that the subsidiary's continued losses could threaten its ability to operate as a going concern.
What stands out
Risk factor. If we fail to innovate in response to new technological changes or adapt to technological developments, our business, financial condition, and results of operations could be adversely affected.
Risk factor. Our cloud computing infrastructure may become obsolete due to the development of new systems to deliver power to or eliminate heat from servers or as a result of the development of new server technology, and our power and cooling systems are difficult and expensive to upgrade.
Risk factor. Any changes in government policies or budgetary allocations or our ability to satisfy eligibility and selection criteria in relation to outsourcing of services may adversely affect our business, financial condition, results of operations and cash flows.
Low leverage. Debt-to-equity of 0.08x.
Strong revenue growth. Restated revenue CAGR of 28.4%.
Healthy return on equity. ROE of 22.2%.
How the offer is structured
- Purchase and installation of cloud computing and other equipment and infrastructure for our Relevant Data Centres₹576 Cr
- General corporate purposes₹91.0 Cr
Restated financials
Revenue
₹472 Cr
Latest fiscal year
Profit after tax
₹121 Cr
Revenue CAGR
28.4%
Return on equity
22.2%
Debt / equity
0.08
P/E at upper band
36.33
Only in a priced RHP
PAT CAGR
198.0%
| Fiscal year | Revenue | EBITDA | PAT | Net worth |
|---|---|---|---|---|
| 2024 | ₹287 Cr | ₹13.6 Cr | ₹226 Cr | |
| 2025 | ₹361 Cr | ₹55.6 Cr | ₹418 Cr | |
| 2026 | ₹472 Cr | ₹121 Cr | ₹544 Cr |
Promoters, litigation & related parties
Promoter (pre)
45.9%
Except as stated below, there are no outstanding (i) criminal proceedings; (ii) actions by regulatory authorities and statutory authorities (including all penalties and show cause notices); (iii) claims relating to direct and indirect taxes; and (iv) other material outstanding proceedings including arbitration proceedings involving the Company, its Promoters, Subsidiaries and Directors. There are no disciplinary actions including penalties imposed by SEBI or stock exchanges against the Promoters in the last five Fiscals. There are no outstanding (i) criminal proceedings involving the Key Managerial Personnel and members of Senior Management; or (ii) actions by statutory and regulatory authorities against the Key Managerial Personnel and members of Senior Management. Pre-litigation notices received by any of the Relevant Parties or Group Companies from third parties (excluding those notices issued by any regulatory, government, tax or statutory authorities or notices threatening criminal action) shall, unless otherwise decided by the Board, not be considered as outstanding material litigation.
Risks the company discloses
If we fail to innovate in response to new technological changes or adapt to technological developments, our business, financial condition, and results of operations could be adversely affected.(Technology)
Our cloud computing infrastructure may become obsolete due to the development of new systems to deliver power to or eliminate heat from servers or as a result of the development of new server technology, and our power and cooling systems are difficult and expensive to upgrade.(Technology)
Any changes in government policies or budgetary allocations or our ability to satisfy eligibility and selection criteria in relation to outsourcing of services may adversely affect our business, financial condition, results of operations and cash flows.(Regulatory)
Revenue from government entities and government projects represented 27.37%, 29.52%, and 34.04% of our revenue from operations for Fiscals 2026, 2025 and 2024, respectively.(Customer Concentration)
ESDS Cloud FZ-LLC, our Company’s subsidiary, had a loss of ₹40.46 million and ₹60.19 million for Fiscals 2025 and 2024, respectively, and these losses represented (7.28%) and (44.23%) of our profit for the year for Fiscals 2025 and 2024, respectively.(Subsidiary Performance)
If ESDS Cloud FZ-LLC were to experience a loss for the year over continuous fiscal years, especially if the losses were large, its ability to operate its business as a going concern may be adversely affected, which may require it to raise additional financing, which may not be available.(Subsidiary Performance)
Our Company could lose its investment in ESDS Cloud FZ-LLC and may not repay the money it has lent to ESDS Cloud FZ-LLC, which would have an adverse effect on its financial condition on a standalone basis.(Subsidiary Performance)
As at June 30, 2026, ₹44.78 million remains outstanding on an unsecured loan of ₹399.50 million given by our Company to ESDS Cloud FZ-LLC.(Subsidiary Performance)
How this document reads, dimension by dimension
Each bar is a fixed formula applied to the figures shown above, scored 0–100. This is a reading of what the company disclosed — not a recommendation to apply or avoid, not a price target, and not a prediction of listing performance. Dimensions that could not be extracted are excluded rather than assumed, so coverage varies between documents.