hSenidBiz closes FY2025 with strong fourth quarter results

hSenid Business Solutions PLC (hSenidBiz) has reported its financial results for the fourth quarter of FY2025, with a strong topline performance and continued margin improvements. 

Total revenue for the quarter reached Rs. 499.8 million, reflecting a year-over-year growth of 15 percent in LKR terms and 22 percent in constant currency (US$) terms. 

The growth was driven by steady performance in the PeoplesHR Cloud segment and a sharp rebound in new deal closures after several subdued quarters. Recurring revenue contributed 60 percent of total revenue for the quarter.

The PeoplesHR Cloud business continued to serve as the primary growth engine, delivering a 22 percent year-over-year increase in LKR terms and 31 percent in USD constant currency. Subscription revenues comprised 79 percent of the segment and saw a 26 percent growth year-over-year, underscoring the continued shift toward long-term recurring revenue streams.

New deal closures amounted to US$ 820,737 during the quarter, up from US$ 255,968 in the previous quarter,with 96 percent of these deals attributed to the PeoplesHR Cloud segment. 

Commenting on the company’s strategic direction, Founder and Chairman Dinesh Saparamadu stated, “As we carry forward the progress made throughout FY2025, we continue sharpening our focus on high-potential markets and industries. We remain committed to building the PeoplesHR brand as a leading HR technology provider across our focus regions.”

Profitability saw a significant improvement during the quarter. Normalized EBITDA margin rose to 7 percent, a notable turnaround from prior quarters. hSenidBiz reported a net profit of Rs. 3.2 million, which included a forex gain of Rs. 10.5 million. The combination of strong topline growth and the cumulative impact of sustained cost discipline was instrumental in this margin recovery.

Commenting on the outlook, CEO Sampath Jayasundara stated, “We’re excited about the key product development initiatives underway, particularly the integration of AI capabilities into the PeoplesHR platform which is set to commence in 2Q of FY2026. With strong foundations built over the past quarters, we are optimistic about accelerating our ARR growth trajectory in the year ahead.”