CMS Info Systems showcases strong performance in FY24 across all business segments
CMS Info Systems Limited, India’s premier business services provider, announced its financial results for the fourth quarter and full year ending March 31, 2024, today. Demonstrating significant growth, the company reported a notable increase in revenue and earnings, driven by its Managed Services & Technology Solutions, which now contribute 39% to its overall revenue.
Key Financial Highlights
The fourth quarter of FY24 saw CMS Info Systems achieve a 25.1% year-on-year increase in revenue, reaching INR 627 Crores. The company’s adjusted EBITDA rose by 16.2% to INR 168.6 Crores, while adjusted Profit After Tax (PAT) grew by 23.3% to INR 99.4 Crores, marking an adjusted PAT margin of 15.9%.
For the entire fiscal year, CMS Info Systems’ revenue stood at INR 2,265 Crores, marking an 18.3% increase from the previous year. The adjusted EBITDA for FY24 was INR 641 Crores, up by 16.4%, and the adjusted PAT reached INR 374.5 Crores, a 23.1% increase, with an adjusted PAT margin of 16.5%.
CMS Info Systems Limited announces strong FY24 results, highlighting robust growth in Managed Services & Technology Solutions with a positive outlook for FY25.
Strategic Business Developments and Future Outlook
The Managed Services & Technology Solutions business segment reported a robust 56% growth in Q4 FY24. This growth has been pivotal in deepening enterprise relationships, particularly in the Banking, Financial Services, and Insurance (BFSI) sector, leading to new orders worth INR 1,850 Crores during the fiscal year.
Additionally, the Cash Logistics business segment witnessed an 11% revenue growth and expanded by adding 13,000 new business points. The Retail segment also saw significant advancements, with the onboarding of over 40 new retail clients.
Dividend Announcement and Shareholder Returns
In recognition of the successful fiscal year, CMS Info Systems recommended a final dividend of INR 3.25 per equity share, bringing the total dividend for FY24 to INR 5.75 per share.
Management Commentary
Rajiv Kaul, Executive Vice Chairman, Whole Time Director, and CEO of CMS Info Systems, commented on the results, “This is our eighth consecutive quarter with 20%+ YoY earnings growth. We are seeing strong growth in our Retail, AIoT Remote Monitoring Solution, and Managed Services segments. We are reasonably confident of meeting the upper end of our FY25 revenue guidance of INR 2500-2700 Cr.”
From an expert perspective, the remarkable financial performance of CMS Info Systems reflects not only its solid business model but also its ability to adapt and innovate in a dynamic market. The company’s focus on expanding its managed services and technology solutions is particularly commendable, providing it with a sustainable growth trajectory. Looking ahead, CMS Info Systems appears well-positioned to capitalize on emerging opportunities, especially in digital and AI-driven solutions, which are becoming increasingly crucial in the business services sector.