MapmyIndia has huge headroom for growth with its debt-free status and an asset-light model, Whole-Time Director and CEO Rohan Verma said in an interview to CNBC-TV18. His remarks come as CE Info Systems, the owner of the MapmyIndia platform, on Thursday launched an initial public offer (IPO) to raise Rs 1,040 crore.

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MapmyIndia has a high operating leverage, said Verma.

The company generated cash flow of Rs 82 crore in FY21, and the cash on its books stands at Rs 380 crore. Its net profit margin in the first half of FY22 stood at 38 percent, he said.

Some of the company's clients are Flipkart, PhonePe, HDFC Bank and Hyundai Safexpress, he said.

“Our customers are consumer tech companies, automotive OEMs, mobility and logistics companies or enterprises like BFSI, telecom, retail etc. So companies like Flipkart, PhonePe, Hyundai, MG Motors, HDFC, Airtel, Safe Express Airways or Yulu, these are some of our customers, and we provide them advanced solutions for usage of maps or geospatial software. Even customers like goods and service tax network, we provide them solutions that help vehicles become smarter, cities or governments to become smarter," he said.

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Google Maps has a negligible presence in Indian auto companies, he said.

“In the automotive space, typically, there are global peers who are supporting those companies in the Western markets. In India, they have negligible share. In the enterprise space, we are the market leader,” he said.

MapmyIndia plans to make investments in areas of technology and sales & marketing, and to expand geographically, Verma added.

CE Info Systems' IPO is entirely offer for sale (OFS) of equity by promoters and existing shareholders. CE Info Systems shares are available for bidding in a price range of Rs 1,000-1,033 under the IPO in multiples of 14. The MapmyIndia IPO will close for subscription on December 13.

MapmyIndia is a provider of digital maps, geospatial software and location-based IoT technologies.

For the full interview, watch the accompanying video.

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First Published:Dec 9, 2021 11:41 AM IST