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CMS Info Systems steadily progressing toward FY25 revenue goal of Rs 2,500-2,700 crore
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CMS Info Systems steadily progressing toward FY25 revenue goal of Rs 2,500-2,700 crore
Sep 11, 2023 6:45 AM

CMS Info Systems, India's leading cash management and payment Solutions Company, on Monday (September 11) announced its revenue guidance for the fiscal year 2025. With a projected range of Rs 2,500 to 2,700 crore, the company seems to be on an impressive growth trajectory.

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Speaking to CNBC-TV18, Rajiv Kaul, the executive vice chairman, CEO, and whole-time director of CMS Info Systems, said, "For the FY25 guidance, we gave Rs 2,500 to 2,700 crore. As of now, we seem to be on track to be in that range. And that's good growth.

If you look at our last two years, we have grown revenue by 20 percent each year. If you look at our last four years, we have grown revenue more than 20 percent in three or four years other than the year of COVID.”

Looking ahead to the fiscal year 2027, Rajiv Kaul expressed ambitious aspirations for CMS Info Systems. He mentioned, "Rs 3,400-3,800 crore revenue by FY27 is an aspiration. We don't know where we will land. But we also told investors that by the end of this year, we will come back and give closer and more refined guidance for that year."

Kaul emphasised the importance of organic growth in achieving their future revenue targets. He stated, "I would think that 80 to 90 percent of the revenue in FY27 should come from organic sources.

We want to keep some luxury to be able to invest in expansion areas. As a team, we have done seven M&A transactions, but most of them have been very small. We don't buy growth. Our focus on M&A is really to expand into new skill sets and new sectors and then we like to scale ourselves."

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Rajiv Kaul also highlighted the company's disciplined approach to capital allocation. He mentioned, "In the last two years, we invested about Rs 210 crore each year. Thankfully, our ROEs have expanded, which is remarkable. So, therefore, that shows you the discipline of our capital allocation. We forecast again; this depends on growth opportunity, we forecast that for the next two years, our capital requirements would be in the Rs 150 to 200 crore range."

In the 'Swotlight' segment, CNBC-TV18's Sonal Bhutra discussed Voltamp Transformers. This Vadodara-based company is a key player in the transformers manufacturing space and also offers aftermarket services post-sales. Watch the video for more.

Also Read | August witnessed highest-ever sales of passenger vehicles and three-wheelers: SIAM data

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