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Earnings Call Transcript

CMS Info Systems Earnings Call Transcript: Key Takeaways

Revenue growth was dampened by a significant nationwide cash supply squeeze, but management aggressively raised EBITDA margin guidance through automation and pricing discipline despite external macro headwinds.

Guidance and delivery
EBITDA Margin: guided vs achieved 27.20% achieved Guided 25.00%–26.00%, 4.6% above the top of the range; confirmed by management
EBITDA Margin guidance 25.5% → 27.0% Raised by 1.5 percentage points
Management target Revenue 19.0% FY27
Highlights
Revenue growthService revenue up 9.3% YoY; total revenue hit 635 Cr.
MarginsStructurally expanding due to automation; guidance raised to 27%.
Order bookWon 500 Cr orders in Q1, including large HDFC Bank mandate.
Demand visibilityStrong tech/payment traction; currency supply expected to normalize by Q2-end.
Management confidenceBalanced; cautious on macro but confident in technology-driven productivity.

Growth

Service revenue grew 9.3% YoY to 625 Cr; EBITDA margins expanded 170 bps sequentially to 27.2%.

Outlook

Full-year FY27 revenue target revised to 2750-2850 Cr with 15-19% service revenue growth.

Risks

Persistent cash supply issues (currently at 80% of intended volume) and high statutory minimum wage inflation.

Last quarter's promises, checked

Delivered

  • Guided 300-325 Cr Capex → delivered 250-300 Cr (= BEAT)
  • Guided H2 recovery for SBI/ATM base → delivered 9.3% YoY growth (= BEAT)
  • Guided 153k touch points expansion → delivered 11-14% volume growth (= BEAT)

Partly delivered

  • Guided Q1 margin dip recovery → delivered 27.2% EBITDA vs 25.5% prev (= PARTIAL)

Missed

  • Guided 13-14% services growth → delivered 9.3% (= MISS)
Source

Earnings Call Transcript filed with BSE, NSE: CMSINFO. Summary written with AI assistance from the document.

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CMS Info Systems Ltd: key numbers

Share price
₹233.17
Market cap
₹3,732 Cr
Revenue (annual)
₹2,487 Cr
Net profit (annual)
₹303.4 Cr
P/E (TTM)
12.7×Sector 22.0×
Promoter holding
0.00%+0.00% QoQ
FII holding
22.70%Current quarter

Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.

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