EdServ Softsystems Limited
Encyclopedia
EdServ Softsystems Limited is one of the online education companies in India. Founded in 2001 by Mr. S. Giridharan, EdServ is world’s first 4th generation education company which makes use of technology to meet the education and employment needs of the people. Currently, it is having over 30 lakh registered users from all over India.
EdServ went for IPO on Feb 05, 2009. Currently, it is listed on major stock exchange
markets in India; namely Bombay Stock Exchange
(BSE: 533055) and National Stock Exchange of India
(NSE: EDSERV).
Company’s headquarter office is located in Kodambakkam, Chennai, India. As of March 2011, it has 10 offices and 35 centres across India. It employs over 500 people, excluding the distributors and dealers network of the company which spans across the length and breadth of the country.
(Company was re-christened to M/s EdServ Softsystems Limited on as late as April 22, 2008), EdServ was incorporated by Mr. S. Giridharan in 2001 with a view to provide training solutions, customized software solutions, staffing solutions and placement consulting to both Corporate as well as Institutional clients (IT
, Healthcare, Banking, Financial Services
, Manufacturing
, Retail
sectors etc). At that time, it was mainly focused on IT learning and placement solutions.
For the financial year 2007-08, EdServ registered revenue of Rs. 3.95 crore with adjusted net profit
of Rs. 2.92 crore. Next year, for the six month period ending September 2008, firm recorded revenue of Rs. 4.34 crore with an adjusted net profit of Rs. 1.82 crore.
in India, assigned an IPO Grade 1 to EdServ IPO, which meant that company had ‘poor fundamentals’. Accordingly, IPO got lukewarm response on the first two days from the investors. But till the end of IPO on Feb 09, 2009, IPO got oversubscribed by 1.3 times in spite of poor ratings from CARE.
in the following years; namely 2tion.com (Sep 30, 2009), SchoolMate (Feb 23, 2010), SmartLearn WebTV (March 2, 2010), Sparkling Mind (March 30, 2010).
is based on the following four pillars
and videos and animation
s to make learning more interactive.
EdServ went for IPO on Feb 05, 2009. Currently, it is listed on major stock exchange
Stock exchange
A stock exchange is an entity that provides services for stock brokers and traders to trade stocks, bonds, and other securities. Stock exchanges also provide facilities for issue and redemption of securities and other financial instruments, and capital events including the payment of income and...
markets in India; namely Bombay Stock Exchange
Bombay Stock Exchange
The Bombay Stock Exchange is a stock exchange located on Dalal Street, Mumbai and is the oldest stock exchange in Asia. The equity market capitalization of the companies listed on the BSE was 1.63 trillion as of December 2010, making it the 4th largest stock exchange in Asia and the 8th largest...
(BSE: 533055) and National Stock Exchange of India
National Stock Exchange of India
The National Stock Exchange is a stock exchange located at Mumbai, Maharashtra, India. It is the 9th largest stock exchange in the world by market capitalization and largest in India by daily turnover and number of trades, for both equities and derivative trading. NSE has a market capitalization...
(NSE: EDSERV).
Company’s headquarter office is located in Kodambakkam, Chennai, India. As of March 2011, it has 10 offices and 35 centres across India. It employs over 500 people, excluding the distributors and dealers network of the company which spans across the length and breadth of the country.
History
Formerly known as Lambent Softsystems Private LimitedLimited company
A limited company is a company in which the liability of the members or subscribers of the company is limited to what they have invested or guaranteed to the company. Limited companies may be limited by shares or by guarantee. And the former of these, a limited company limited by shares, may be...
(Company was re-christened to M/s EdServ Softsystems Limited on as late as April 22, 2008), EdServ was incorporated by Mr. S. Giridharan in 2001 with a view to provide training solutions, customized software solutions, staffing solutions and placement consulting to both Corporate as well as Institutional clients (IT
Information technology
Information technology is the acquisition, processing, storage and dissemination of vocal, pictorial, textual and numerical information by a microelectronics-based combination of computing and telecommunications...
, Healthcare, Banking, Financial Services
Financial services
Financial services refer to services provided by the finance industry. The finance industry encompasses a broad range of organizations that deal with the management of money. Among these organizations are credit unions, banks, credit card companies, insurance companies, consumer finance companies,...
, Manufacturing
Manufacturing
Manufacturing is the use of machines, tools and labor to produce goods for use or sale. The term may refer to a range of human activity, from handicraft to high tech, but is most commonly applied to industrial production, in which raw materials are transformed into finished goods on a large scale...
, Retail
Retail
Retail consists of the sale of physical goods or merchandise from a fixed location, such as a department store, boutique or kiosk, or by mail, in small or individual lots for direct consumption by the purchaser. Retailing may include subordinated services, such as delivery. Purchasers may be...
sectors etc). At that time, it was mainly focused on IT learning and placement solutions.
For the financial year 2007-08, EdServ registered revenue of Rs. 3.95 crore with adjusted net profit
Net profit
Net profit or net revenue is a measure of the profitability of a venture after accounting for all costs. In a survey of nearly 200 senior marketing managers, 91 percent responded that they found the "net profit" metric very useful...
of Rs. 2.92 crore. Next year, for the six month period ending September 2008, firm recorded revenue of Rs. 4.34 crore with an adjusted net profit of Rs. 1.82 crore.
IPO
EdServ went for IPO on Feb 05, 2009. CARE, a credit rating agencyCredit rating agency
A Credit rating agency is a company that assigns credit ratings for issuers of certain types of debt obligations as well as the debt instruments themselves...
in India, assigned an IPO Grade 1 to EdServ IPO, which meant that company had ‘poor fundamentals’. Accordingly, IPO got lukewarm response on the first two days from the investors. But till the end of IPO on Feb 09, 2009, IPO got oversubscribed by 1.3 times in spite of poor ratings from CARE.
Acquisitions
EdServ, in its initial years, was mainly focused on IT training and placement solutions. After IPO, it began concentrating on online education sector. Intent on moving into an Education and Training space, it made series of acquisitionsMergers and acquisitions
Mergers and acquisitions refers to the aspect of corporate strategy, corporate finance and management dealing with the buying, selling, dividing and combining of different companies and similar entities that can help an enterprise grow rapidly in its sector or location of origin, or a new field or...
in the following years; namely 2tion.com (Sep 30, 2009), SchoolMate (Feb 23, 2010), SmartLearn WebTV (March 2, 2010), Sparkling Mind (March 30, 2010).
Business model
EdServ’s business modelBusiness model
A business model describes the rationale of how an organization creates, delivers, and captures value...
is based on the following four pillars
- Humanware Education And Deployment System (HEADS): HEADS is a patentPatentA patent is a form of intellectual property. It consists of a set of exclusive rights granted by a sovereign state to an inventor or their assignee for a limited period of time in exchange for the public disclosure of an invention....
ed learning model which connects learning with placements. - Trademarked content: All content is copyrighted. Part of the content is indigenous and the rest is third party copyrightCopyrightCopyright is a legal concept, enacted by most governments, giving the creator of an original work exclusive rights to it, usually for a limited time...
content. - e-learning and patented education models: EdServ has many patented education models like HEADS, Vidhyadhana, etc.
- New product development and acquisitions: Since its inception, EdServ has acquired different online education companies and has come up with many new products like EdSmart, AreaPartner, Humthum etc.
Products
EdServ provides education solutions across all fields, from K-12 to careers through Industry Demand Aligned education with career orientation. Lampsglow, 2tion, Vidhyadhana, SmartLearn WebTV, SchoolMATE, AreaPartner are some of the products under EdServ umbrella.Lampsglow
Lampsglow is the complete education solutions package. It is a comprehensive learning programme based on technology and interactive methods for all levels, from pre-school to graduation and post-graduation. It includes solutions for regular academic curriculum as well as for various competitive exams like Olympiads, Talent Search Examinations, IIT-JEE, AIEEE, CAT, CA-CPT etc. It also includes IT courses for graduates and post-graduates and a programme to assist them in their placements.Vidhyadhana
Vidhyadhana is an innovative business concept modeled into a practical business prospect. It is an ongoing programme aimed at integration of technology with the conventional Indian educational system. Vidhyadhana helps in school building process right from staff recruitment to technology deployment at school level. The important feature of this programme is to enable technology based learning in each classroom of India with the help of computers and projectors.Placement solutions
It is a comprehensive programme designed by EdServ to seamlessly connect education and employment. It focuses on job-oriented training. Under this, a student is first enrolled in education training programme and then his profile is fed into the career databases of partner companies. In the event of recruitment, the profile of candidate is available to partner companies and action is taken depending upon the performance report of the candidate.2tion
2tion.com is a robust platform created to address the needs of students and their parents, and tutors. It acts as a link between tutors and students. It has millions of users, both students and tutors, from all over the globe. It has all technology tools like whiteboardWhiteboard
A whiteboard is a name for any glossy, usually white surface for nonpermanent markings. Whiteboards are analogous to chalkboards, allowing rapid marking and erasing of markings on their surface...
and videos and animation
Animation
Animation is the rapid display of a sequence of images of 2-D or 3-D artwork or model positions in order to create an illusion of movement. The effect is an optical illusion of motion due to the phenomenon of persistence of vision, and can be created and demonstrated in several ways...
s to make learning more interactive.
EdSmart
EdSmart is a mobile application designed to meet the education needs of the people on mobile. It is basically a hybrid mobile app and runs on almost all mobile platforms.Key financial data
| Year | Mar ‘06 | Mar ‘07 | Mar ‘08 | Mar ‘09 | Mar ‘10 |
|---|---|---|---|---|---|
| Total Revenue (Rs. lakhs) | 40 | 18 | 396 | 858 | 5,268 |
| EBITDA EBITDA EBITDA is an acronym for earnings before interest, taxes, depreciation, and amortization. It is a non-GAAP metric that is measured exactly as stated. All interest, tax, depreciation and amortization entries in the income statement are reversed out from the bottom-line net income... (Rs. lakhs) |
19 | 8 | 345 | 674 | 3,051 |
| Net Income (Rs. lakhs) | 23 | 1 | 253 | 369 | 1,802 |
| EPS Earnings per share Earnings per share is the amount of earnings per each outstanding share of a company's stock.In the United States, the Financial Accounting Standards Board requires companies' income statements to report EPS for each of the major categories of the income statement: continuing operations,... (Rs./share) |
10.08 | 0.16 | 9.02 | 3.07 | 15.01 |
Timeline
| Sr. No. | Date | Events |
|---|---|---|
| 1 | Mar 13, 2001 | Lambent Systems Private Limited founded by Mr. S. Giridharan |
| 2 | Oct 03, 2001 | Lambent signed as a partner by Microsoft for Exchange Solutions |
| 3 | Dec 05, 2001 | Company name changed to Lambent Softsystems Private Limited |
| 4 | Feb 13, 2002 | Infosys Technologies granted staffing solutions contract to Lambent |
| 5 | Jun 07, 2002 | ERP product develop programme MERU launched by Lambent |
| 6 | Aug 18, 2005 | Sun Microsystems (India) Private Limited signed up for authorized Java education partnership |
| 7 | Sep 23, 2005 | Oracle signed up for authorized education partnership |
| 8 | 2007 | ELMAQ education acquired by Lambent Softsystems Private Limited |
| 9 | Jan 09, 2008 | Company name changed to EdServ Softsystems Private Limited |
| 10 | Jan 28, 2008 | HEADS model launched by EdServ |
| 11 | Apr 22, 2008 | Conversion into a public limited company and company name changed to EdServ Softsystems Limited |
| 12 | Feb 05, 2009 | IPO issued by EdServ Softsystems Limited |
| 13 | Mar 12, 2009 | Online Placement Campus launched by EdServ |
| 14 | Apr 21, 2009 | Power Partner Model launched by EdServ with a view to target 1 million job positions |
| 15 | Jun 12, 2009 | EdCademy, the academic in-campus support programme for Engineering & Management students launched by EdServ |
| 16 | Jul 02, 2009 | Mother Teresa University gives LoI to EdServ to implement EdCademy |
| 17 | Jul 23, 2009 | Complete implementation of EdCademy Assessment Engine for Anna University by EdServ |
| 18 | Sep 30, 2009 | 2tion.com acquired by EdServ Softsystems Limited |
| 19 | Oct 08, 2009 | Training deal from Government of India granted to EdServ |
| 20 | Nov 10, 2009 | 'VIDHYADHANA', the Academy of Excellence for schools launched by EdServ |
| 21 | Dec 07, 2009 | $ 25 million raised by EdServ through GDR / FCCB issue |
| 22 | Jan 27, 2010 | EdServ becomes VTP of Ministry of Labour, GoI |
| 23 | Feb 23, 2010 | SchoolMate acquired by EdServ Softsystems Limited |
| 24 | Mar 02, 2010 | SmartLearn Web TV acquired by EdServ Softsystems Limited |
| 25 | Mar 19, 2010 | ‘LAMPSGLOW’ education service portal launched by EdServ |
| 26 | Mar 30, 2010 | Sparkling Mind acquired by EdServ Softsystems Limited |
| 27 | Jun 03, 2010 | EdServ’s Vidhyadhana Academy signs MOU with 40 year old city school. |
| 28 | Aug 25, 2010 | EdServ strikes e-training Partnership with Canadian Company |
| 29 | Oct 06, 2010 | 5 Year Gujarat Government Training Deal granted to EdServ |
| 30 | Jan 25, 2010 | CA Online Training on lampsglow.com launched by EdServ |