Reliable Data Services demonstrates solid financial performance and growth. The company's compounded sales growth has been robust, especially in recent years. Similarly, the compounded profit growth has been impressive, indicating efficient management in converting sales into profits.

| Metric | 2014-2016 | 2017-2019 | 2020-2022 | 2023 | 2024 | 2025 | |---|---|---|---|---|---| | Compounded Sales Growth | 17.67% | 22% | 5.67% | 36% | 9% | 65% | | Compounded Profit Growth | 12.84% | 25.67% | 33% | 37% | 23% | 99% |

The sales growth was 65% and profit growth was 99%. This indicates management's ability to drive revenue and profitability.

Reliable Data Services exhibits moderate capital efficiency and returns. The ROCE has fluctuated, indicating some variability in the company's ability to generate returns from its capital employed. Similarly, the ROE has also shown some fluctuation, suggesting that shareholder funds are yielding inconsistent returns.

| Metric | 2014-2016 | 2017-2019 | 2020-2022 | 2023 | 2024 | 2025 | |---|---|---|---|---|---| | ROCE % | 21.67% | 22.67% | 12% | 12% | 11% | 19% |

The ROCE % value is 19% which shows that management needs to improve on capital efficiency.

The financial health and prudence of Reliable Data Services present a mixed picture. While the company has managed to maintain a reasonable dividend payout, there has been an increase in borrowings, which has led to a higher debt-to-equity ratio. This increased leverage could pose risks.

| Metric | 2014-2016 | 2017-2019 | 2020-2022 | 2023 | 2024 | 2025 | |---|---|---|---|---|---| | Borrowings | 7.33 | 8 | 13.33 | 29 | 38 | 20 |

The borrowings has increased which indicates that management needs to take care of debt.

Reliable Data Services faces challenges in strategic and operational efficiency. The company's working capital management is inefficient, as evidenced by increasing debtor days and a lengthening cash conversion cycle. This indicates that the company is taking longer to collect payments from its customers, tying up its working capital.

| Metric | 2014-2016 | 2017-2019 | 2020-2022 | 2023 | 2024 | 2025 | |---|---|---|---|---|---| | Debtor Days | 77.67 | 113.33 | 191.67 | 172 | 239 | 205 | | Cash Conversion Cycle | 77.67 | 113.33 | 191.67 | 172 | 239 | 205 |

The business is facing challenges in strategic and operational efficiency.

There are borrowings in the balance sheet. In Mar 2025 the value is 20 Cr and in Mar 2024 the value is 38 Cr. So there is debt exposure in the balance sheet.

There are other liabilities in the balance sheet. In Mar 2025 the value is 75 Cr and in Mar 2024 the value is 36 Cr. So there is liability exposure in the balance sheet.

The company's quarterly results show fluctuations in sales and profit growth. The YOY sales growth % and YOY profit growth % indicate variability in performance, which could pose risks to sustained growth.

The company has borrowings, as shown in the balance sheet, which could expose it to interest rate risk. Changes in interest rates could impact the company's profitability and ability to service its debt obligations.