Ladies and gentlemen, good day, welcome to CMS Info Systems Limited Q3 FY23 results conference call hosted by Axis Capital Limited. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Shalin Choksey from Axis Capital. Thank you, and over to you, Mr. Choksey. Yes. Thank you, Nirav. Hi, everyone. On behalf of Axis Capital, we are happy to welcome you all today on CMS Info Systems Q3 FY23 earnings call. From the management side, we have with us Mr. Rajiv Kaul, Executive Vice Chairman, Whole Time Director, and CEO, Mr. Pankaj Khandelwal, President and CFO, Mr. Anush Raghavan, President, Cash Management, and Mr. Manjunath Rao, President, Managed Services. I now hand over to Mr. Rajiv Kaul for his opening remarks. Thanks, and over to you, Mr. Kaul. Thank you. Good afternoon, everyone. Thank you for taking the time to attend our Q3 earnings call. This is our first fifth quarterly earnings call since our listing on December 31st, 2021. We are happy to report that we are continuing our growth momentum with another quarter of strong 20%+ year-on-year growth across revenue, EBITDA, and PAT metrics. In fact, this is our 7th consecutive quarter with an EBITDA growth of more than 20% year-on-year. Given we are close to the end of the fiscal year, I wanted to highlight our nine-month results. Our revenue has grown by 23% to INR 1,413 crores. Our EBITDA has grown 39%, and our EBITDA margin profile is at 27.9%. Our PAT has grown by 36% to INR 217 crore, which is almost equal to our full year PAT of FY 2022. All of this is a reflection of our market leadership, our execution capability, a methodical expansion strategy, and a right to win for large, complex end-to-end outsourcing deals in the banking sector. I now request our CFO, Pankaj, to take you through the Q3 financial highlights. Thanks, Rajiv. Good afternoon, everyone. In Q3, our revenue has grown by 21% on year-on-year basis to INR 488 crore. EBITDA in the same period has grown by 99% to INR 135 crore. Net profit grew to INR 76 crore, 26% over year-on-year basis. PAT margin has expanded by 50 basis points to 15.4% on year-on-year basis. All our business segments have seen strong growth. Coming to the business, cash management business revenue has grown 16% to INR 338 crore in Q3, with EBIT growth of 21% to INR 85 crore. Managed services segment revenue has grown by 39% to INR 156 crore in Q3, with EBIT growing by 49% to INR 31 crore. With this, I now hand over the call to Anush Raghavan, President of our Cash Logistics business, for more insight into the business performance. Thank you, Pankaj. Good afternoon, everyone. For the cash business on a nine-month basis, our YTD FY 2023 revenues have grown by 20% to INR 975 crores and the EBIT by 28% to INR 243 crores. Our EBIT margins have expanded by 110 basis points year-on-year despite an inflationary cost environment. To reinforce the usage of cash in everyday commerce, I want to share some interesting insights from our CMS Cash Index. At INR 3.3 lakh crore, we had the highest ever quarterly throughput of currency through our network in the company's history. This represents 11% growth on a year-on-year basis. In FY 2023 or for the last nine months, we have seen a trend reversal with currency usage growing in metros by 16% year-on-year, outpacing the growth of semi-urban and rural. Our business network has expanded, and we currently service 120,000 active business points. As the largest company in this sector, we remain committed to investing in our network and infrastructure to comply with the RBI and MHA guidelines. As shared in prior calls, two-third of our estate will be compliant by the end of this year. End of this fiscal year. This, we feel, is gonna be a key differentiator in keeping our quality and reliability of service offerings to the banking sector. With that, I now request my colleague, Manjunath Rao to share with you an update on the managed services and tech solutions. Thanks, Anush. Good afternoon, everyone. Pankaj has already shared with you the Q3 financial details. I'm happy to share that we are now 35% of the total revenue of the company. In the last three years, we have grown our share from 29% to 35% of the overall revenue. FY 2023 continues to be a strong growth. In nine months of FY 2023, we have seen revenue growth of 36% to INR 458 crores, with EBIT growing by 69% to INR 93 crores. In the banking automation sector with the RBI push on ATM network compliance, most banks are focused on this as a top priority. This is leading to some delays in key RFPs for ATM refresh and expansion. We are hopeful that these will be completed in the months, coming months between March and June 2023 timeframe. In our AIoT remote monitoring business, we are happy to announce that we have crossed 20,000 live installations, making this one of the large IoT implementations in India. In our software business, CMS won a prestigious order for our ALGO software, AIoT-based ATM security application for a large bank. This will be implemented over 15,000 ATMs. With this, I will hand over to Rajiv for his closing remarks. Thank you, Manju. I think what I want to highlight is a couple of things here. First, as we look at the whole banking sector, and some of you would have read these articles in the last week, we feel very happy to see a renewed focus the banks have on expanding their branch network. It was quite obvious to us for the past few years that there was a dire need to increase banking access. At the same time, I think due to COVID and also disproportionate investments going towards digital and other banking areas, this area did not get the requisite focus. Today it, we feel fairly vindicated that banks are recognizing the need for balancing their investments in both physical and digital infrastructure. There is plans to increase the number of branches. In fact, private sector branch banks are poised to add maybe 12,000 branches in the coming year across the country. There is severe under-penetration in tier four, five, six towns in India, and these will need branches, ATMs, Micro ATMs, DBUs and whatnot. This, along with the formalization which we are seeing in the economy on the back of the reform efforts like GST, should present to us good growth avenues over the medium term. When we started FY 2023, we had said our big focus in this year and thrust from the team at CMS is going to be on execution of a large order book. I'm very happy to report that all our key projects are well on tracks. Our enterprise sales execution is also showing good results. We today have expanded and we have several large banks in India where we are winning contracts across multiple business lines. Our track record of bidding and winning for these large complex contracts continues, and we have added more than INR 800 crore of new wins in the first nine months of FY 2023. As Manju already mentioned to you about our AIoT business, when we had started this business with a focus at the end of FY 2021, we went and acquired a small company which had maybe 2,000 sites, which have now grown to over 20,000 sites. As reiterated, we will hit an annual revenue run rate in this business of INR 100 crore by the end of March 2023. Thank you for attending your call. Now we can move to the Q&A. Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. Participants, you may press star and one to ask the question. The first question is from the line of Balaji from India Infoline. Please go ahead. Hello. Good afternoon, and congrats on a great set of results. I just had three questions, if I may. The first is on the central bank digital currency that was recently launched. In the long run, what are the potential risks that you see from CBDC? The second question would be on the AIoT-based remote monitoring business. Once you achieve the targeted delivery of 25,000 ATMs by March 2023, what is the future visibility we have? The final would be more on a more on a housekeeping basis. We have seen a pretty sharp increase in other expenses. I believe that, you know, I understand that, inflationary pressures are there, but, is some of this attributable to, anything like an increase in, bad debt provisions or any risk-related costs? That would be my last question. Thank you. Balaji, sure. We'll take these questions one by one. Let Anush give you his view on CBDC, and then I'll tell you quickly about AIoT, and Pankaj can help you on the other expenses part. Sure. Balaji, we've obviously been following the CBDC and the development, as well as the white papers published by the regulator with quite a bit of interest to understand how they're thinking about it, because each central bank in each country is looking at things somewhat differently. From what we understand, you know, of the two types of CBDCs that are being looked at, the wholesale and retail. On the retail side, the implementation The use case seems to be very similar to the UPI right now, in terms of scanning a QR code and you know, how the payments will be realized. To that extent, we feel that this sort of falls more into, this could supplement, complement the UPI-led growth. We will have to see in what way and what sort of momentum it achieves in terms of being able to scale up. That's what we're seeing on the retail side. Where we feel, and in some of our discussions with some of these people, is that the real impact of this would be more in the wholesale markets, either in terms of facilitating and enabling a more frictionless cross-border, payments and remittances. Also more importantly, it could have helped in the settlement of interbank transactions. That's sort of where we feel the wholesale CBDC could make an impact. We'll obviously keep watching. You know, as this stabilizes and evolves, and we'll update you in some of the future calls. Thank you. Manjunath will help you with the answer on the RMS side. Hi, Balaji. On the remote monitoring, we have launched very well, as I explained. I just spoke a little earlier. We are ramping up very well too. As I said, our install base has grown, crosses 20,000 sites. But we have also expanded our solution capability to new areas like the branches, vaults, and have won contracts with leading private banks and gold loan companies. That's where the expansion we would, we feel would come across. In our IoT and software business, we have also won a new win, which I mentioned, which is for our ALGO software, and it is an AIoT-based security software used at the ATMs. Balaji, I think when we think of our business classification, increasingly you'll hear us talking about both our IoT business, which is RMS, and also our software, which is again ML-driven software business, as a category. To your question on what is the visibility, I think there are a couple of key RFPs which should get decided in the coming months. Hopefully at our analyst meeting in the first quarter of FY 2024, we'll be able to give you a better direction of the short-term growth opportunity. At the midterm, we have already talked about. I'll pass on the baton to Pankaj to answer your question on the other expenses. Yeah. The other expenses that increased because of the business mix. Like, take the example of the IoT-based remote monitoring, which we obviously started recently. Majority of the expenses of the remote monitoring has gone to the other expenses. Second is basically because of the initiative we have taken in recent past for the new businesses. All the expenses are booked in the other expenses. Of course, we have to make an adequate provision for our bad debts and ECL provisioning. That is also going in this particular bucket. All this put together, the other expenses slightly increased. Given we've, you know, our financials, the way we have shared them with the. In the past, we had different businesses. Now we have incubating new businesses, including the AIoT business and a couple of businesses we alluded to in our earlier calls. Some of the startup costs and the incubation costs are being categorized as other expenses. As these business units become by themselves independent, we will then categorize them separately. Okay, one quick follow-up, if I may. Is it fair to assume that there is no significant increase in the bad debt provisions beyond what is par for the course? The, all the provisions, we have to make adequate provision for the impairment and which is in line with, whatever the four, five quarters you have seen, this is in line with those numbers. There's no significant increase in any of these numbers. Okay, thank you. That is quite helpful. Thanks a lot. All the best. Thank you. Thank you. R7, you may press star and one to ask a question. Next question is from the line of Achal Lohade from JM Financial. Please go ahead. Good afternoon, gentlemen. Thank you, for the opportunity. You know, my first question was, is it possible to give some market share in terms of the CMS, CIT, RMS business, as we speak? A ballpark number would be of great help. Is it market share of CIT or RMS? I didn't understand. All three sub-segments of cash management business. Achal, I think we've, you know, we mentioned this last call, given the competitive dynamics and given that now we have more companies in the sector which are listed also, I think we will feel comfortable talking about market share on an annual basis at our annual meeting. That will be wiser and better for all of us. There isn't any significant up or down trend, just for your comfort, in the last 3 months since we have talked last. We will classify our market shares annually as we had said even at the end of September. Got it. With respect to the slide on the pipeline for ATMs, you've mentioned that there's a 40,000 ATMs pipeline, what you've talked about. Is it possible to get some color in terms of how much of that would be replacement and how much is actually the net addition? Uh. Second year asks. Just one second, hold on. We're just checking. Our estimate at this stage, because, you know, these are, this pipeline which, you're referring to is, mostly what we know from the RFPs of some key public sector banks. They don't classify this at the RFP time. We will know this only once the implementation, their award implementation is done. Our estimate is that, from just looking at the track record of, some of these banks, we think it'll be closer to 65% will be replacement and about. Two-third, one-third. One-third of this is possibly gonna be expansion and two-thirds is gonna be replacement. Just additional question on that. You know, how much of that will go under the BLA, and how much would banks be managing on their own and you would just be doing the cash management part of it? We'll have to wait for the RFPs to get concluded. I think only then will we, you know. Till the RFPs don't get closed out, we will not know the final mix and what decisions bank takes. As of today, from, again, our knowledge, we, I think it is gonna be, on the overall 40,000 number, it's 50/50. It's a 50/50 bank-owned versus industry-owned or third party-owned, assets. Got it. With respect to the compliance, if you could, you know, talk also about the industry you'll be 65% compliant, you know, two-third compliance by end of March 2023. Can you, give us some sense about the industry as well, where the industry is, and, how do you see it in FY 2024 for the industry and us? I think when I look at the industry overall, Achal, the industry number is more representative in terms of the cities that the SRO or the Currency Cycle Association has picked and chosen to implement 100% compliance on. I think as we speak, that number is somewhere between 80-100 cities, depending on ATM or retail, which I think is a number which should be a little bit more than 50%. Closer to 60% for ATMs, perhaps 50% for the RCM business. We are a little ahead of it given that, you know, we decided to expand and cover more cities in the initial period. I think, you know, that it's not very different, like I said. you know, if we are at about, we will be at about 65%, the industry number should be about 55 odd. Understood. How about for FY 2024, Anush? I think as we had guided earlier, we sensed that those, and we told you, I think at the beginning of this fiscal year, we estimate that the rollout of compliance will take, should be mostly complete for ATMs by end of FY 2024. I think we are sort of on track to delivering to that. Our R CM business was, it's sort of lagging by one or two quarters. Again, I think whatever commitments we made or indications that we've given in terms of the rollout of compliance, as things stand, we are pretty much on track to achieving those. Middle of through the middle of FY 2025 is I think where we will have a significant portion of RCM covered, and ATMs should get completed by FY 2024. Got it. I have more questions, I'll come back in the queue. Thank you. Thank you. Participants, you may press star and 1 to ask a question. Next question is from the line of Vishal from Motilal Oswal. Please go ahead. Yeah. Hi. Am I audible? Yes, sir, you are. Yeah. Thank you. Just quickly, of the three sub-segments of cash management, being ATM, RCM and CIT, can you just break down the growth for the current quarter and nine months, respectively? I think, you know, we've expressed this also earlier. You know, just given the sheer competitive dynamics of, you know, certain listed companies as well as the ones which have listed recently, we would prefer to share certain more intensive data on our performance on annual basis than breaking this out on a quarterly basis. I mean, I think the question, another way to think what is, are we seeing any different trends in the three segments? Are we seeing them all growing recently? I think we... Again, to go back and reaffirm the same, I think our growth in the cash business has been fairly secular, whichever way you cut it. We are seeing a fairly secular growth across the different business segments. The only thing that we called out, which is sort of a departure from the earlier norm, was more in terms of where we are seeing the intensity of cash usage changing. And in some of our earlier calls, we had alluded to the fact that the semi-urban and rural India had seen a much faster recovery from from COVID. And in fact, towards end of last fiscal, they were at about 8%-10% ahead of the pre-COVID usage, and metros were closer to 90%-95%. What we've seen as a very interesting development in the last nine months and on a more specific basis in this quarter, has been that the usage of cash in the metros has actually increased quite sharply, which as I said earlier, corresponds to almost a 16% increase on a year-on-year basis. I think with that, if I sort of compare to pre-COVID, they are all sort of within the ballpark of each other. Metros being slightly ahead, followed by semi-urban and rural. Got it. Thank you. Thank you, sir. Thank you. Participants, you may press star and one to ask a question. The next question is from the line of Shakthi, individual investor. Please go ahead. Hello, can you hear me? Yes, sir, you are. I wanted to ask a question regarding the growth drivers. We are seeing the total installed ATMs in the country. We are seeing the trends happening in semi-urban and the rural areas are contributing towards significant growth. Can I assume that going forward, like the management said, that the addition of close to 12,000 bank branches? Can I assume that going forward it will be the Tier 2, 3 areas that is going to be contributing to a significant growth for the company? I think If I, your line was audible but not completely clear, but if I understood, your question was more about saying, do we see ATM growth to be dominated in the semi-urban and rural areas? Is my understanding correct of your question? Yes. Yes. Yes. Let's talk about the specific pipeline right now. We can talk about the last nine months has seen almost 8,000 ATM additions in the country. I don't have the exact breakup, but I would assume that a significant part of that would be in semi-urban and rural areas. The 40,000 ATM pipeline to which we think 1/3 of that is gonna be expansion, we'll have to wait and see where the banks are planning to install it. When we anecdotally look at our interactions with the private sector banks, the branch infrastructure expansion is mostly in Tier 4, 5 and 6. SURU is where. Usually, different banks have different strategies. Some banks will add one ATM for each branch, some will add two. It would be fair to assume that a large part of the expansion should come in the Tier 4, 5 and 6 cities. The only thing I would like to add to that is, you may have heard this from us earlier or also seen this in the presentation, but of our existing network and reach, 2/3 of the business that we do is already in semi-urban and rural India. There is already sort of that inherent distribution of where we do business. In the past it has been our experience that, you know, as and when we have incremental business coming up in these pockets, it sort of works well as in terms of fitting into some of the net infrastructure that we already created. You know, we help, we sort of, you know, expand then basis the requirement. Yes. Thank you, sir. Thank you. A reminder to all the participants, press star and one to ask a question. Next question is from the line of Aasim Bharde from DAM Capital Advisors. Please go ahead. Hey. Hi, everyone. I had a few questions. Firstly on your BLA business, the large orders you had including the bonus ones, is all of it now implemented and live? Manju? Yeah. 98% of it has been executed and that's the question you asked, right? Yeah, yeah. You had from two large banks and plus you had bonus orders as well. All of it is now into the system, 98% of it, right? 98% of it is in the system. Going forward, are there any materially decent size orders you're working on or rather is in the, or on the radar or will the run rate fall back to around 1,000 ATM additions per year on the BLA side? Aasim, here I think Manju and you, we have said our strategy will remain. We'll really be very selective and picky about where to bid. We will share as and when we have any development in the space. What we talked about also, the INR 800 crore order wins, I do want to reiterate that this year the order wins, most of them are not capital in nature at all. They are. I think that's another good highlight of the order wins this year. Today on the roughly 5,500 BLA sites, there is very little left to be executed. There is no order book pending on the BLA side. If there is a significant bid or deal we win, we will come and share that. Is the commentary similar on the remote monitoring side as well? Is most of the sites live and up and running? Remote monitoring, I think we are a little lesser because this business was, you know, started much later. I think we'll be close to 85% completed. We hope to finish it all as per our commitment by March of this year. Okay. Okay. Just in terms of a CapEx number for FY 2023, I guess it will be more heavier vis-a-vis FY 2024. Can you just talk about how much you would end up incurring on CapEx in FY 2023 and any rough estimate for FY 2024? FY 2023, we stick to our guidance, which we said will be roughly around the INR 225 crore range. I don't see that changing. FY 2024, I don't know if we have already given. We haven't given any guidance really. Let's just wait for the year to finish and then I think we can give you an idea on that. It should still be much lesser compared to FY 2023, right? It should be lesser than our FY 2022-2023 track record. Yes. Okay. Okay. Second question is basically on, you know, what is, what is happening on the cassette swap thing in terms of compliance. Deadline was March end. How many ATMs are already on the system? In your estimate or in your talks with, the industry, would FY 2024 would be the year when things ramp up quickly on this front? Anush, I'm gonna have give you more color on this. Sure. Yeah. Hi, Aasim. I think, you're absolutely right on that one. FY 2024 would be, you know, when I look at it in terms of the overall, to the overall lens of compliance, given that the base RBI/MHA's implementation is well underway and on track as we spoke. 2024 would be the year of cassette swap. The most recent update is, you know, with most banks and ATM OEMs coming out of the supply chain related issues which were causing a challenge in terms of the availability of cassettes and shipments. I think that there's a renewed thrust in to focus on cassette swap. We've. The regulator had a meeting a few weeks back where they have reiterated very strongly that in fiscal FY24, they would like to see a significant coverage for cassette swap across Tier 1 and Tier 2 cities. The most immediate plan that I can share with you is that there are 4 large cities which are being planned for implementation. Four large metros, Delhi, Bangalore, Calcutta and Chennai. All of which have been scheduled for an industry-wide rollout over the next 90-120 days. I think that for the overall industry should add about 25,000 ATMs for cassette swap, which I think is a significant number. Once you're able to sort of get such large numbers done in a, in 90 to 120 days, I think that will just create its own momentum and make sure that, you know, we will be able to sort of, you know, meet the regulatory goals in, FY 2024. Sir, newer ATMs that are coming in the pipeline, as you talked about, to an earlier question, that would all be on cassette swap, right? Regardless of which market they are coming in, metro or the smaller ones. There are two parts to that. The ATMs which are being procured by the banks, those, the banks are now procuring ATMs with an additional set of cassettes. In those RFPs orders, you know, the availability of cassettes are not the constraint. Banks also undertake in many cases, a significant back-end tech upgrade to change the way of reporting reconciling informations in their accounting system and risk management software to implement cassette swap. Most of that is fully done. In terms of the cash companies or, you know, CMS readiness, we have upgraded quite a few vaults. We have planned upgrades for the further vaults. I think that with that, you know, most of the work that needs to be done is well underway. In that case, I think even FY 2024 seems ambitious, right? Maybe, maybe the top four cities might be more proactive. Maybe the 2,500 ATMs you talked about would probably be the only thing that happens in FY 2024, right? Given the back-end headaches that need to be targeted. I think the approach that the regulator is urging, Aasim, is one of, is both the top-down, bottom-up. When I say that, what I mean is bottom-up, they're saying you pick the largest cities and implement it, because typically implementation of this nature is more challenging in the large city, given that you need large infrastructure to, and space and vaulting capacity to deal with the sheer number of ATMs. In the tier two, tier three cities, it's typically a little bit more easier, especially from an operational standpoint. The top-down approach that they are recommending is that in addition to these large cities, wherever as a cash company you have incremental vaulting infrastructure available, they are urging the banks to make full use of those and implement those. In addition to these 25,000 ATMs in the large cities, the Currency Cycle Association has indicated that they will be able to roll out another 10,000, 8,000-10,000 ATMs in the next two to three months in the smaller cities. I think, I think the regulatory push is there. I think there's also a standing committee which has been created under the IBA, which includes participation from OEMs, MSPs and cash companies. Again, like I'm saying, you know, like a lot of the time in the last eight to 12 quarters has been about creating that infrastructure and ensuring that we are fully in compliance with the mentioned RBI regulation. I think with, that, those investments having been done and having now created an infrastructure which is both world-class and as per regulatory needs, and with the whole, different industry stakeholders focusing on cassette swap, we are fairly optimistic that, we should be able to pick up the pace on this one. I think, Aasim, you know, the one number I would look, will reiterate and maybe Anush mentioned it already. Some of the larger banks have already gone and bought almost 150,000-175,000 cassettes in the country, which have now landed in India. Their supply chain has worked because you can't do cassette swap. There's many things in the infrastructure, but first of all, you need the product. So we were surprised when we were tabulating all this data. This data adds up to almost 175,000 cassettes, which are now in the country for the purpose of cassette swap. That gives you a good base of ATMs. Let's say 40,000-50,000 ATMs could move on to cassette swap sooner than what you and I may be able to forecast right now. Let's wait and see. We would always like to be conservative and see. I think the central bank's push is very clear. They have recently very strongly reiterated the drive and focus on this and they are taking an active role in monitoring this. Thank you. Aasim, I'll request you to come back in the question queue for a follow-up question. I request all the participants you may press star and one to ask a question. The next question is from the line of Dhiral from PhillipCapital. Please go ahead. Yeah. Good afternoon, sir. Thanks for the opportunity. Sir, we have registered a very strong growth. If I look at your Managed Services revenue on a nine-month basis, and even if I look at your EBIT margin, there has been a very sharp improvement on a YoY basis. Just wanted to know, sir, what has led to this, you know, good improvement in the EBIT margin and you know, how, what kind of improvement we see going ahead? This EBIT margin improvement in this managed services is because of the new line of business we have added. The IoT-based remote monitoring as well as the more service revenue we have added, like software services we have added. That has resulted in higher revenue as well as higher margin in this business. Manjunath has given you the 40,000 more ATMs which are in pipeline over a period and the banks Focus on the higher remote monitoring, be it a bank ATMs or other gold loan companies or retails. There is a lot of revenues related to that, which will lead to the expansion in our revenue as well as margin. Sir, we expect, you know, this trajectory to even improve going ahead, right? Yeah. This is... Yeah. That's what it looks like. That's what it is showing, the trend. With these additional lines and adding into those points, I think that's what is going to be re-increasingly being seen right now. Okay. Sir, if I look at your other income, there has been a sharp, you know, rise in the other income on a console basis. What is the reason for that? Amount-wise is not significant. It is approximately INR 1.5 crore, and that is largely related to any of the investment we have sold. We are doing the short-term mutual fund, et cetera. Another mutual fund we have sold related to that. Sir, this is INR 32 crore versus INR 6 crore, if I look at on a YY basis. You are talking about nine months? Yeah, yeah. If, no, if look at, INR 3 crore versus, you know, INR 60 lakh on the YoY basis. Sir, that is basically as at as on thirty-first. On 20th September, we have INR 248 crore of cash available with us. Higher the cash limit, the higher the investment and resulted in higher other income as well. Okay. Sir, last one question, sir. How many percentage of our routes, you know, are compliant? Are the banks, you know, slow or quick to get it compliant? Yeah, I think, sorry, I didn't hear the second part of your question. If you could just repeat that. About the banks. Sir, are banks, you know, quick enough to get it compliant or they are very slow, you know, to from their end to compliant? Let me answer the second part first. The way we've rolled out compliance now, especially over the last year and a half has been after we demonstrated pilots in some of the large cities to the banks and all this, all of the industry stakeholders are fully on board. The onus of rolling out compliance has been more to more on part of the SRO, which is a regulatory organization for the cash industry. Sorry, I hope I'm audible now. The onus of rolling out compliance is more driven by the regulatory organization for the cash industry, which is the CCA, Currency Cycle Association. What that body does is on a quarterly basis, it publishes an incremental list of cities in which all cash companies regardless should be able to deliver the compliance. When that happens, it means that any type of services which are provided in that city, whether it's ATM or RCM, will switch over to a compliance. Banks are very comfortable with this model of rollout. With respect to our coverage, we, you know, obviously the route compliance or the infrastructure compliance will for us run a little bit ahead of the business compliance. We try and manage this as efficiently as we can. When we finish the fiscal at 600% compliance for business points, the actual routes may be of the order of 70-75%. Thank you. We move on to the next participant. The next question is from the line of Sahil Shah, Individual Investor. Please go ahead. Hello. Hello. Yeah. Sorry, I removed myself from the queue. My question has been answered. Thank you. Thank you. The next question is from the line of Zaid from Concept Investor. Please go ahead. Yeah. Hi. Am I audible? Yes, sir, you are. Yeah. Thank you. Sir, can you give a breakup of the contribution from private and public banks in your overall business? We say 50/50 between public sector and private sector. We don't track on a quarterly basis. Right now, it is approximately 50/50 is the private and public sector banks. Okay. It's 50/50. Yeah. Okay. Okay. Thank you. Thank you. That's it. Thank you. Participants, you may press star and one to ask a question. The next follow-up question is from the line of Aasim Bharde from DAM Capital Advisors. Please go ahead. Yeah. Just one question on the cash swap bit again. What would that do to our ATM realization? Aasim I think, there were some figures that had been broadly discussed during the industry negotiation stage. What I recollect from those discussions were the implementation of base compliance is an incremental realization of about INR 3,000, INR 3,500, about INR 3,000. cassette swap should add another INR 1,000 on top of it. That's sort of the broad split. Okay. Okay. Just lastly, any comment on the way forward for your RCM business? Market opportunity is there. You have the vans running on most of the routes. Nice way to improve productivity. What are your plans on this front? No. You know, in fact, if I look at, if you look at our business point additions and, you know, we look at our performance, I think quite pleased with how the growth trajectory in RCM is shaping up. We've always sort of alluded to this business in the mid to long term, having fairly strong tailwinds, especially driven by formalization of the Indian sector, increase in the organized retail. While on one side we are seeing the financial sector having, very strong growth aspirations for incremental bank branches, the private sector by itself wants to add close to 12,000 bank branches in the next year and half, two years. Likewise, you know, the counterparts on the retail, I think have very solid aspirations, in terms of just increasing their, physical stores and presence, in across the country. we've added more business in Q3 of the year than we had for H1 of RCM. I think we are seeing a pretty robust growth coming in from expansion of organized retail, e-commerce as well as financial services. Okay. Okay. Thanks a lot. Great results as usual. Congratulations to the team. Thank you. Thank you. Next question is from the line of Franklin Templeton Wealth. Please go ahead. Yeah, thanks for taking my question, congratulations on a good set of numbers. What is the, you know, gross and net order book in your managed services business? I think the way we allude to or refer to our order book, it cuts across all our businesses. Of course, a large part of it, you may, it'll be a large part of it is an IMS business. Our order book we had shared was roughly INR 2,000 crores when we were going public. That order book is now at a size of- INR 3,000. INR 3,000 crores. More INR 800 crores was added to this. Would this entirely be unexecuted? The INR 3,000 crore. INR 2,000 crore is almost executed, and of that INR 1,000 is around 75%. No, live. The October is live. I think the order book we had last year is all under institution. It's already been executed, not obviously revenue has been accrued. The new order book of INR 1,000 crores addition of that, I think about- How much currently successful? Has gone live? No, not yet. No. No. I think it'll be roughly 50% would have gone live. The revenue is a more complex calculation because order book, contract periods vary from four, five, six, seven years. We, you know, take an approximate 5 to 6 years as a order, you know, contract duration. Correct. I was trying to understand what part of the order book, you know, has not been converted into revenues. Yeah, I know. I think this is a number which we, I don't have top of the mind because, you know, we sort of take stock of this end of fiscal year. I think it would be a better time for us to share this update with you. We'll have a more accurate number at that time. Okay. Fair enough. Fair enough. Also I wanted to know what is the, you know, how many ATM and RCM touchpoints do you have as of nine months? Sorry, same answer. This is annual number reporting. We'll, we'll break this down. Our total, Anush can tell you where we are. Our combined number would be, about 120,000 right now. 120. Okay. Okay. Last, in terms of, you know, the cassette swap compliance, you did allude to the fact that, you know, 40,000-50,000 ATMs are likely to move. You know, for our number of ATMs, how much, what percentage of it is already compliant in terms of, you know, the cassette swap? yeah. The cassette swap for, you know, both for CMS and industry are both closely similar at about 7% or 8%. Which, you know, based on the plan which is under discussion, with the banks as well as the regulator, we think, in the next four to six months, we should be able to move from the 7%, 8% closer to 20%. Is it fair to understand, assume that, you know, as and when this is getting more compliant, then we'll incrementally get, you know, higher revenues, which is proportionate to the cassette swap? Yes, of course. There will be the impact on the revenue for sure, which is positive. I think overall cassette swap, you have to think it more from a broad term industry trend, not our industry, just banking sector. I think it just brings in a global best practice on how routes are managed, how currency is managed in the country. It leads to a lot of benefit to the central bank, to the banking sector, to the banks themselves, and to our industry in terms of the efficiency, productivity, and the probability reduces dramatically of something going wrong with the cash while in transit. Yeah. For whatever reason, you know, in case RBI announces any penalty in case of non-compliance by March 2023, who does the bank share this penalty entirely, or would it be equally distributed? I think RBI, I mean, it would be improper for me to tell you what RBI could do or would do. I've, having seen the, just being as a normal citizen in the country reading the papers, I think any penalty a central bank would pass would be onto the banks which it regulates and not anybody else. That's what I think. Now, what banks may wanna do in turn, I don't know. I'm just saying from a central bank perspective, I think the purview would be focused on the banking sector itself. Fair enough. Fair enough. Thanks a lot. Thank you very much. I now hand the conference over to the management for closing comments. Thank you so much. Thank you for your questions. We look forward to talking to you in 3 months time. Hopefully we end the year on the same track we have done the remaining three quarters. Hope to talk to you soon in more detail at that time. Thank you very much. On behalf of CMS Info Systems Limited, that concludes this conference. Thank you for joining us. You may now disconnect your lines. Thank you.