Cms Info Systems Ltd. · NSE:CMSINFO
Cms Info Systems — Q2/H1 FY25 Earnings Presentation
33 slides from Cms Info Systems's earnings presentation, Oct 26, 2024
Slide 1: Exchange filing cover letter: Earnings Call Presentation
CMSINFO/2410/006 October 26, 2024 To BSE Limited National Stock Exchange of India Limited Listing Department, Exchange Plaza, C-1, Block-G, Bandra 1st Floor, PJ Towers, Dalal Street, Kurla Complex, Bandra (East), Fort, Mumbai – 400 001 Mumbai – 400 051 Scrip Code: 543441 Symbol: CMSINFO Sub: Earning
Slide 2: Earnings Presentation Q2/H1'FY25
Earnings Presentation Q2/H1’FY25 G R O W T H T H R O U G H T R A N S F O R M A T I O N
Slide 3: CMS: Integrated platform delivering customer value and growth across BFSI and Retail
CMS: Integrated platform delivering customer value and growth across BFSI and Retail Providing a breadth of unique Established team solutions with proven track Market leader in record three distinct 7 Offerings in banking & retail businesses sectors 16+ years Avg. experience of Strong growth and #1
Slide 4: Q2'FY25: 15% revenue growth
Q2’FY25: 15% revenue growth Revenue EBITDA PAT 6% 8% 15% 156 91 624 147 84 544 264 206 360 390 Q2'FY24 Q2'FY25 Q2'FY24 Q2'FY25 Q2'FY24 Q2'FY25 EBITDA Cash MS & Tech PAT Logistics Solutions INR Crore consolidated revenues YoY 3 G R O W T H T H R O U G H T R A N S F O R M A T I O N
Slide 5: H1'FY25: 16% revenue growth
H1’FY25: 16% revenue growth Revenue EBITDA PAT 5% 310 8% 16% 1224 295 182 169 1055 503 388 711 777 H1'FY24 H1'FY25 H1'FY24 H1'FY25 H1'FY24 H1'FY25 EBITDA Cash MS & Tech PAT Logistics Solutions INR Crore consolidated revenues YoY 4 G R O W T H T H R O U G H T R A N S F O R M A T I O N
Slide 6: Cash Logistics
Cash Logistics Revenue EBIT # of business points Q2’FY25 8% 390 2% 360 95 97 11% 143,000 129,000 Q2'FY24 Q2'FY25 Q2'FY24 Q2'FY25 Sept-2023 Sept-2024 H1’FY25 9% 4% 777 189 196 • Continued momentum on business points 711 • Subdued consumption in H1’FY25 effected realizations • Good traction in Bullion
Slide 7: Managed Services & Technology Solutions
Managed Services & Technology Solutions Revenue EBIT Q2’FY25 ₹ 200 Cr new wins in Q2’FY25. Total new 28% 264 3% wins at ₹ 400 Cr in H1’FY25 40 206 39 • Execution of order book (PSU Banks) was delayed in H1 due to testing and integration delays. • AIoT Remote Monitoring Solution: AI use cases develop
Slide 8: Recognised for our financial strength & governance
Recognised for our financial strength & governance Best CFO 2024 - Medium Sized Enterprise The Award was presented by Union minister for Electronics & IT, I & B and Railways, Shri Ashwini Vaishnaw. The FE CFO Awards, now in its 7th year, was presented to 14 institutions in recognition of their pione
Slide 9: Establishing CMS' thought leadership
Establishing CMS’ thought leadership Global Currency Forum: CMS along with BoE, Fed, Bundesbank, MNB on the flagship panel 1. CMS Cash Index seen as a significant methodology to shape policy to drive inclusion 2. Europe is taking a ‘U’ turn – from cash-less to ‘access & right’ to cash 3. Bank of Eng
Slide 10: CMS Consumption Report 2024
CMS Consumption Report 2024 2nd edition of annual trends compendium 1 3 Highest annual growth Despite growth in across India’s 20+ aviation, railways consumption sectors continue to be a mode of transport for the masses 2 4 FY24 saw a remarkable Average spending in recovery after decline in Aviation
Slide 11: Company Overview
Company Overview G R O W T H T H R O U G H T R A N S F O R M A T I O N
Slide 12: CMS: India's leading business services platform
CMS: India’s leading business services platform Managed Services & Cash Logistics Technology Solutions ATM Cash Mgmt. Software and AIoT Managed Services Retail Cash Mgmt. Banking Automation ATM-as-a-Service Cash-in-Transit Payment Cards CMS Platform Next-gen Technologies Expansive Physical Network D
Slide 13: Our Services Our Solutions
Our Services Our Solutions ATM Cash Management Banking Automation Retail Cash Management AIoT RMS 72,000+ 40,000+ 2,000+ 25,000+ ATMs Machine installed Retail, NBFC, e-com ATMs, branches & enterprises vaults with AIoT 64% 2,000 1,800+ ATMs in semi-urban & ATMs prod. capacity 65,000+ Mishaps prevente
Slide 14: Track record of delivering high revenue and earnings growth
Track record of delivering high revenue and earnings growth Revenue EBITDA1 PAT1 CAGR 20% 28% 30% 28.8% 28.3% 400 15.9% 16.5% 700 30.0% 2,265 25.7% 14.4% 350 375 600 23.3% 641 25.0% 13.0% 1,915 300 500 551 304 1,590 20.0% 250 400 1,306 408 200 15.0% 229 300 150 304 10.0% 170 200 100 100 5.0% 50 0 0.
Slide 15: High cash flow generation with strong capital allocation discipline
High cash flow generation with strong capital allocation discipline Strong cash flow ...reinvesting for …delivering high RoCEs… …increasing dividends generation… growth… 74% 69% 500 75% 250 27.4% 61% 63% 219 450 65% 208 27.0% 23.96 400 440 200 24.5% 25.0% 350 407 55% 25.0% 23.9% 19.76 300 45% 23.0%
Slide 16: Diverse board; Seasoned leadership
Diverse board; Seasoned leadership Shyamala Gopinath Tapan Ray Jimmy Mahtani Former Deputy Governor, RBI MD & Group CEO of Gift City Partner at BPEA EQT Experienced Directors Rajiv Kaul Krzysztof Jamroz Executive Vice Chairman, Whole Time Director & Executive Chairman at Roadrunner Sayali Karanjkar
Slide 17: Mid-term growth drivers: Formalization, Consumption, Increased Outsourcing and new solutions
Mid-term growth drivers: Formalization, Consumption, Increased Outsourcing and new solutions Oct 22, 2024 • 100,000 ATMs yet to be outsourced for Cash Mgmt. Cash Logistics • Growth in organised retail SBI to outsource 40% onsite ATMs • Currency chest outsourcing RFP is seen coming through in next 45
Slide 18: Fast-growing & underpenetrated organised retail opportunity
Fast-growing & underpenetrated organised retail opportunity Organised Retail FS and Insurance Retail 360 Solution 77k 75k Payment Automation • Secure Automation Healthcare Govt. and Utilities • Data & Analytics Services 40k • Payment Reconciliation Management 45k e-com Logistics Food & • 550k+ out o
Slide 19: FY25 revenue outlook
FY25 revenue outlook Revenue (₹ Cr) 3,000 ~2x 2,500-2,700 2,500 2,265 20% 2,000 1,915 1,590 1,500 1,306 FY27 TAM of ₹ 22,000+ Cr1 1,000 500 0 FY21 FY22 FY23 FY24 FY25 Target FY21-FY24 FY24-FY27 • ATM Cash Logistics • Retail Solutions High • Compliance roll-out • AIoT scale-up growth drivers • ATM-as
Slide 20: Market growth: Higher outsourcing creates a large TAM opportunity
Market growth: Higher outsourcing creates a large TAM opportunity INR Crore 2.6x ₹ 22,000 Cr CAGR** BFSI Remote 3,000 25% Monitoring 11,620 ATM-as-a- 17% Service ₹ 8,500 Cr 4,600 Banking 19% 6,200-6,500 Automation 4,570 1,650 1,800-2,000 7,900 Cash Logistics 19% 2,730 3,500-3,700 FY21 FY27 Total TAM
Slide 21: Annexures
Annexures G R O W T H T H R O U G H T R A N S F O R M A T I O N
Slide 22: Our Playbook: Accelerating growth & market expansion
Our Playbook: Accelerating growth & market expansion Lowest unit economics Establish right-to-win Scale & productivity Integrated offerings Strengthen Core Strong cashflow Expand TAM Drive innovation Large & complex projects Talent & Tech generation Customer engagement World class Invest in Quality
Slide 23: CMS platform approach leading to deeper and wider penetration
CMS platform approach leading to deeper and wider penetration Deepening enterprise engagement Gaining wallet share Managed Services & Tech Solutions Number of Large BFSI Accounts Bank Cash Logistics (₹ 100 Cr+ Annual Revenue) Banking ATM-as- ALGO Software ALGO AIoT Payment Cards Automation a-Service
Slide 24: CRISIL ESG Rating: 53/100
CRISIL ESG Rating : 53/100 FY23 Score FY24 Score E 25 32 FY24 ESG Rating S 37 57 53 vs. 44 in FY23 G 65 69 Source: CRISIL ESG Rating Rationale. On a rating scale of 0-100 with 100 being the highest and 0 being the lowest 23 G R O W T H T H R O U G H T R A N S F O R M A T I O N
Slide 25: Driven with passion and impact
- Driven with passion and impact H1’FY25 Education beneficiaries 4,000 (vs. 387 in FY24) Financial Inclusion beneficiaries 10,642 (vs. 1,395 in FY24) Elderly Care beneficiaries 17,671 (vs. 1,010 in FY24) Employment & Healthcare beneficiaries 22,268 (vs. 11,963 in FY24) Carbon Sequestration through 2
Slide 26: Historical Financials
Historical Financials G R O W T H T H R O U G H T R A N S F O R M A T I O N
Slide 27: Quarterly Consolidated Financial Performance
Quarterly Consolidated Financial Performance Particulars (All figures in INR Mn) Q2’FY25 Q1’FY25 Q-o-Q Q2’FY24 Y-o-Y Operating Income 6,245 5,994 4% 5,437 15% Expenses 4,716 4,472 5% 3,981 18% Operating EBITDA 1,530 1,523 0% 1,456 5% Adj. EBITDA 1,634 1,639 0% 1,573 4% EBITDA Margins (%) 24.5% 25.4%
Slide 28: Half-yearly Consolidated Financial Performance
Half-yearly Consolidated Financial Performance Particulars (All figures in INR Mn) H1’FY25 H1’FY24 Y-o-Y Operating Income 12,240 10,553 16% Expenses 9.187 7,620 21% Operating EBITDA 3,053 2,933 4% Adj. EBITDA 3,273 3,089 6% EBITDA Margins (%) 24.9% 27.8% (290 bps) Adj. EBITDA Margins (%) 26.7% 29.3%
Slide 29: Historical Consolidated Income Statement
Historical Consolidated Income Statement Particulars (All figures in INR Mn) FY21 FY22 FY23 FY24 Operating Income 13,061 15,897 19,147 22,647 Expenses 10,125 11,900 13,770 16,652 Operating EBITDA 2,936 3,997 5,377 5,995 Adj. EBITDA 3,040 4,080 5,506 6,408 EBITDA Margins (%) 22.48% 25.14% 28.08% 26.4
Slide 30: Historical Consolidated Balance Sheet
Historical Consolidated Balance Sheet (All figures in INR Mn) FY22 FY23 FY24 H1’FY25 (All figures in INR Mn) FY22 FY23 FY24 H1’FY25 Assets Equity share capital 1,531 1,544 1,628 1,631 Non-current assets Other equity 11,030 14,081 17,840 19,389 Property, plant and equipment 3,470 4,697 4,677 4,407 To
Slide 31: Historical Consolidated Cash Flow Statement
Historical Consolidated Cash Flow Statement (All figures in INR Mn) H1’FY24 FY24 H1’FY25 (All figures in INR Mn) H1’FY24 FY24 H1’FY25 Cash flow from operating activities: Cash flow from investing activities Profit before tax 2,272 4,671 2,438 Adjustments to reconcile profit before tax to net cash fl
Slide 32: Capital Market Information (BSE: CMSINFO | 543441, NSE: CMSINFO)
Capital Market Information (BSE: CMSINFO | 543441, NSE: CMSINFO) Share Price Movement (Up to 30th September, 2024) 80.00% 45.00% 10.00% -25.00% Oct-23 Nov-23 Dec-23 Jan-24 Feb-24 Mar-24 Apr-24 May-24 Jun-24 Jul-24 Aug-24 Sep-24 CMS BSE Sensex BSE Small Cap Share Price Data (As on 30th September, 202
Slide 33: Safe Harbour Statement
Safe Harbour Statement No representation or warranty, express or implied, is made as to, and no reliance should be placed on the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are in all events not current