Slides
Page 1
Where Platform Meets Possibilities Earnings Presentation Q3 FY26
Page 2
Services revenue @ ₹ 577 Cr (4% QoQ growth) starting to recover with uptick in consumption and order book execution ATM Management Solutions • Signed contract with SBI for ₹ 1,000 Cr over 10 years ; Incremental Revenue ₹ 500 Cr; Going live in Q4 • Rapid execution of ICICI/IPPB contract won in H1 (~₹ 750 Cr TCV); 75% live • New RFPs are switching towards fixed price revenue models; Pipeline of 7k+ units (TCV of ₹ 2,000 Cr+) Tech and Payment Solutions • HAWKAI expanded to 47k+ sites; On track to achieve 50k sites by Mar’26 • Enterprise HAWKAI solution went live at leading PSU Bank after 12 months of product and solution build • Card Management Solutions revenue up by 37% QoQ Q3 FY26 update
Page 3
Q3 FY26 update Retail Solutions & Currency Logistics • Retail cash volumes have rebounded meaningfully following the GST rate reduction (Illustrative example below) • Rationalized low yield long tail of smaller retail/CIT customers, as part of network optimization Customer Same Store Cash Collection Dec’24 Dec’25* Quick Commerce Player 100 126 Organized Retail Chain 100 147 Value Retail Chain 100 110 High End Electronics Retailer 100 135 QSR Player 100 115 *Indexed to 100
Page 4
Q3 FY26 update • 5% ATM cash yield improvement by Mar’26 on track • Significant network optimization through tech investments for dynamic routing • On track to achieve 10% reduction in # of routes by Mar’26 • Ramping up Gig delivery model for retail clients: 2,300-member team servicing 20%+ of retail points 145 158 23.9% 25.5% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0% 45.0% 50.0% 100 110 120 130 140 150 160 170 Q2-FY26 Q3-FY26 Business EBITDA (INR Crs) EBITDA Margin (%) Business EBITDA = Reported EBITDA+ Corporate Expenses Business EBITDA margin up by 160 bps QoQ
Page 5
M&A/Capital Allocation Update • Ramped up Capex spend in line with strong order wins (YTD Capex of ₹ 275 Cr) • Securens Integration complete; Final Investment of ₹ 70 Cr • Signed Term Sheet with top 5 MSP for ATM/Managed Services Business Transfer ➢ Deal Value Est. at ₹ 100-125 Cr ; Strong growth synergy and enables consolidation of the sector ➢ Targeting closure by Mar’26 • Paid FY25 full year and special dividend of ~₹ 100 Cr • Declared FY26 Interim Dividend of ~₹ 45 Cr • Continue to evaluate value accretive opportunities in core as well as in Payments and Technology Segment
Page 6
Q3 FY26 financial summary Revenue Business EBITDA PBT before exceptional items Q3-FY25 Q2-FY26 Q3-FY26 182 145 158 31.3% 23.9% 25.6% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0% 45.0% 50.0% 100 110 120 130 140 150 160 170 180 190 Q3-FY25 Q2-FY26 Q3-FY26 EBITDA EBITDA % 125 96* 88 21.6% 15.7% 14.3% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 50 60 70 80 90 100 110 120 130 Q3-FY25 Q2-FY26 Q3-FY26 PBT PBT%₹ Cr 581 609 618 YoY QoQ 6% 2% YoY QoQ -13% 9% YoY QoQ -30% -8% Business EBITDA = Reported EBITDA + Corporate Expenses *Q2 FY26 had one off benefits of INR 12 Crs due to ESOP/PLI reversal
Page 7
Q3 FY26 segmental financials Revenue EBIT 404 395 384 210 271 295 Q3 FY25 Q2 FY26 Q3 FY26 103 59 63 38 38 39 Q3 FY25 Q2 FY26 Q3 FY26 YoY QoQ Cash -5% -3% MS & TS 41% 9% BU YoY QoQ Cash -39% 7% MS & TS 5% 4% ₹ Cr Cash Logistics MS & Tech Solutions
Page 8
9M FY26 financial summary Revenue Business EBITDA PBT before exceptional items 9M FY25 9M FY26 539 484 29.9% 26.1% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0% 45.0% 50.0% 100 150 200 250 300 350 400 450 500 550 600 9M FY25 9M FY26 EBITDA EBITDA % 369 309 20.5% 16.7% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 50 100 150 200 250 300 350 400 9M FY25 9M FY26 PBT PBT%₹ Cr 1805 1854 YoY 3% YoY -10% YoY -16% Business EBITDA = Reported EBITDA + Corporate Expenses
Page 9
Significant change in business mix 22% 24%35% 19% FY24 Revenue Mix Largest customer Private Sector Banks/Retail Managed Service Providers PSU Banks 18% 30% 29% 22% 9MFY26 Revenue Mix
Page 10
4th edition of CMS Consumption Report India’ s Consumption Story CY’25 India’s Spending Priorities in CY’25 Festive season and GST reforms were key drivers Insurance Organised Retail Chains 22% ₹14 Lakh Cr. Cash processed within CMS network in CY’25, powering everyday spending India’s Cash Landscape in CY’25 ₹1.26 Cr. Festive season drives peak monthly average ATM dispense in Oct’25 ₹1.31 Cr. Monthly average ATM withdrawals in SURU in CY’25 Download Download 32% Consumer Durables 5% E-commerce -20%
Page 11
Recognised for women empowerment & integrated village development projects Most Impactful Integrated CSR Initiative of the Year – 2025 CMS Foundation Best Women Empowerment Initiative of the Year - 2025 In association with IICA (Indian Institute of Corporate Affairs) a Government of India entity operating under the Ministry of Corporate Affairs
Page 12
COMPANY OVERVIEW
Page 13
STRENGTHEN CORE • Market share focus, large scale to drive lowest unit cost economics • World-class talent, tech & quality EXPAND TAM • Forward & backward integration to offer customer value • Drive higher growth through integrated offerings ROBUST PERFORMANCE • High margin profile and FCF generation • Disciplined capital allocation PLATFORM APPROACH • Each business to generate FCF to drive own growth India’ s best business services platform: Driving growth by gaining market share in core business, investing to expand T AM with a ‘PLA TFORM’ approach
Page 14
₹216 Cr FY 15 ₹1,129 Cr ₹1,146 Cr ₹1,915 Cr ₹2,425 Cr 11X revenue and 16X PAT through market cycles & shocks 16% Revenue CAGR PAT CAGR 19% 10.5% 15.4% FY 09 FY 19 FY 23 FY 25 COVID & Regulatory Compliance High Growth & Competition NPA Crisis & Demonetization Increased Competitive Intensity Total Revenues (₹ Cr) PAT% Total revenues
Page 15
Consistent operating cash flows and free cash flow conversion Avg. OCF/EBITDA @ 73% FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 FY 25 78136 149 214 185 256 407 440 483 86% 97% 43% 61% 64% 73% 76%75% 84% OCF (₹ Cr) OCF/EBITDA (%) Avg. FCF/EBITDA @ 47% FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 FY 25 122 129 47 131 130 213 332 328 -28 77% 84% 26% 51% 43% -7% 39% 55% 52% FCF (₹ Cr) FCF/EBITDA (%)
Page 16
Dividend is on paid-out basis Prudent capital allocation resulting in high ROCE Capex (₹ Cr) M&A (₹ Cr) Dividend (₹ Cr) FY 23 FY 25FY 24FY 19FY 17 FY 22 Ramped up investments (weaker competitor b/s) Reduced capex, higher competitive intensity Preserve capital post- demonetization Invested to grow MS business FY 18 FY 20 FY 21 36 27 33 208 90 129 156 99 92 1 21 197 23 25 10 2 74 38 4 108 7 20 13 21.8% Avg. ROCE* FY 18FY 17 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 FY 25 15.8%16.1% 17.4% 23.9% 24.3% 23.4% 24.4% 25.4% 25.2% * Post tax ROCE Cash balance of ₹1,000 Cr as of Mar’25
Page 17
Retail Solutions & Currency Logistics Formalization & Consumption Drive currency velocity across diverse sectors by leveraging tech and network capabilities Technology & Payment Solutions Automation SaaS solutions for BFSI & Retail to mitigate risk and powering self-service banking channels FY 21 Services Revenue ~₹390 Cr ~₹110 Cr~₹665 Cr FY 25 Services Revenue ~₹640 Cr ~₹240 Cr~₹1,300 Cr ATM Management Solutions Partnering banks for integrated end-to-end ATM channel management Outsourcing Our three businesses: created to deliver scalable growth and strong margin profile
Page 18
OUTLOOK
Page 19
Assumptions Revenue Estimates CMS Market Share* 25% to 30% ATM O/S Base 120K to 144K to 170K Overall ATM Base 250K to 260K to 275K ~ ₹1,300 Cr ~ ₹1,575 Cr to ~ ₹1,625 Cr ~ ₹2,200 Cr to ~ ₹2,250 Cr FY 25 FY 27 FY 30 Drivers Increase in interchange fee Increased outsourcing through integrated contracts Contract renewal cycle with two major private banks Pricing uplift potential FY 30: ATM management solutions outlook 11% growth potential, driven by market expansion and share gains *For overall ATM Platform, excluding WLAs Services revenues only
Page 20
Drivers Retail, E-commerce, NBFCs & Banks expanding branches/stores Expanding the market breadth beyond tier-II Banks consolidating currency chest operations FY 30: Retail solutions & currency logistics outlook 11% growth potential Assumptions Revenue Estimates 200K to 300K Touch Points Growth 38% to 43% CMS Market Share FY 25 FY 30FY 27 ~ ₹640 Cr ~ ₹1,050 Cr to ~ ₹1,100 Cr ~ ₹725 Cr to ~ ₹750 Cr
Page 21
ALGO MVS Expand into top 5 banks No. of ATMs: 68K to 100K VISION AI Vision AI Points: 30K to 80K (20% CAGR) CMS BFSI Market Share: 25% to 40% ~₹2000 Cr TAM in BFSI (bank branch automation opportunity) Non-BFSI segment acceleration Potential in international markets Drivers Assumption Payment Cards Growth in new bank accounts opened Annual Growth of 7-10% FY 30: T echnology & payment solutions outlook 20%+ growth potential Revenue Estimates FY 25 FY 30FY 27 ~ ₹240 Cr ~ ₹500 Cr to ~ ₹600 Cr ~ ₹400 Cr Vision AI revenue contribution in this business to increase from 50% to 70%
Page 22
FY 27 estimates & FY 30 revenue potential FY 2030 Revenue (₹ Cr) FY 2025 Revenue (₹ Cr) FY 2027 Revenue (₹ Cr) ATM Management Solutions 11% CAGR ~1,300 ~1,575 - 1,650 ~2,200 - 2,250 Retail Solutions & Currency Logistics 11% CAGR ~640 ~725 - 750 ~1,050 - 1,100 Technology & Payment Solutions 20% CAGR ~240 ~400 ~500 - 600 Total Services Revenues 12% CAGR ~2,180 ~2,700 – 2,800 ~3,750 – 3,950
Page 23
AIM FOR ‘RULE OF 35’ (REVENUE GROWTH + EBITDA MARGIN > 35%) Strong market consolidation opportunity with pricing upside Maintain high margin quality & ROCE profile Strong capital allocation and reinvest for expansion *Including inorganic growth ~ ₹4,500 - 4,750 Cr (Incl. inorganic) Aspiration CMS 2030 summary Total services revenues 58% 42% ~ ₹2,180 Cr FY25 Retail & Tech Businesses ATM Management Solutions ~ ₹3,750 - 3,950 Cr FY30 47%* 53%* Potential
Page 24
ANNEXURE
Page 25
Experienced board; Seasoned leadership Strong Management With Deep Industry Know-How Shyamala Gopinath Vishnu Jerome Founding Partner: Jerome Merchant+ Partners; Former Partner AZB & Partners Pankaj Khandelwal President & CFO 30+ years of industry experience Anush Raghavan Chief Business Officer 15+ years of industry experience Experienced Directors Vidya Krishnan Non-Executive Independent Director, Deputy Managing Director, SBI Group Rajiv Kaul Exec. VC, Whole Time Director & CEO 30+ years of industry experience Sanjay Singh Chief Human Resources Officer (CHRO) 30+ years Rajeev Bhatia Chief Information Officer (CIO) 20+ years of industry experience Former Deputy Governor, RBI Krzysztof Jamroz Executive Chairman at Roadrunner Sunil Mehta Former MD & CEO - PNB, CEO Indian Banks’ Association Puneet Bhirani Chief Operations Officer 25+ years of industry experience
Page 26
Quarterly Consolidated Financial Performance Particulars (All figures in INR Mn) Q3’FY26 Q2’FY26 Q-o-Q Q3’FY25 Y-o-Y Operating Income 6,182 6,086 1.6% 5,815 6.3% Expenses 4,786 4,712 1.6% 4,221 13.4% Operating EBITDA 1,396 1,374 1.6% 1,594 (12.4)% EBITDA Margins (%) 22.58% 22.58% 0 Bps 27.41% (483) Bps Finance costs 45 45 0.0% 47 (4.3)% Depreciation and amortisation expense 556 482 15.4% 410 35.6% Other Income 86 109 (21.1)% 117 (26.5)% PBT before Exceptional Items 881 956 (7.8)% 1,254 (29.7)% Exceptional Items 111 - NA - NA Profit before tax 770 956 (19.5)% 1,254 (38.6)% Tax 196 222 (11.7)% 322 (39.1)% Profit After Tax 574 734 (21.8)% 932 (38.4)% PAT Margins (%) 9.29% 12.06% (277) Bps 16.03% (674) Bps Other Comprehensive income for the year 4 (3) NA (2) NA Total Comprehensive Income for the year 578 731 (20.9)% 930 (37.8)%
Page 27
YTD Consolidated Financial Performance Particulars (All figures in INR Mn) 9M’FY26 9M’FY25 Y-o-Y Operating Income 18,542 18,055 2.7% Expenses 14,193 13,409 5.8% Operating EBITDA 4,349 4,646 (6.4)% EBITDA Margins (%) 23.45% 25.73% (228) Bps Finance costs 132 136 (2.9)% Depreciation and amortisation expense 1,483 1,187 24.9% Other Income 359 369 (2.7)% PBT before Exceptional Items 3,093 3,692 (16.2)% Exceptional Items 111 - NA Profit before tax 2,982 3,692 (19.2)% Tax 739 943 (21.6)% Profit After Tax 2,243 2,749 (18.4)% PAT Margins (%) 12.10% 15.23% (313) Bps Other Comprehensive income for the year (1) (5) (80.0)% Total Comprehensive Income for the year 2,242 2,744 (18.3)%
Page 28
Historical Consolidated Income Statement Particulars (All figures in INR Mn) FY23 FY24 FY25 9M’FY26 Operating Income 19,147 22,647 24,245 18,542 Expenses 13,770 16,652 17,977 14,193 Operating EBITDA 5,377 5,995 6,268 4,349 EBITDA Margins (%) 28.08% 26.47% 25.85% 23.45% Finance costs 196 162 182 132 Depreciation and amortisation expense 1,318 1,502 1,615 1,483 Other Income 147 340 507 359 PBT before Exceptional Items 4,010 4,671 4,978 3,093 Exceptional Items - - - 111 Profit before tax 4,010 4,671 4,978 2,982 Tax 1,038 1,200 1,253 739 Profit After Tax 2,972 3,471 3,725 2,243 PAT Margins (%) 15.52% 15.33% 15.36% 12.10% Other Comprehensive income for the year 4 (12) (15) (1) Total Comprehensive Income for the year 2,976 3,459 3,710 2,242
Page 29
Historical Consolidated Balance Sheet (All figures in INR Mn) FY23 FY24 FY25 H1’FY26 Assets Non-current assets Property, plant and equipment 4,697 4,677 4,842 5,863 Capital work-in-progress 203 147 1,525 1,416 Right-of-use assets 1,826 1,558 1,624 1,693 Goodwill 2,061 2,061 2,061 2,061 Other Intangible assets 109 64 46 212 Intangible assets under development - 34 119 89 Financial assets Investments 338 600 1,255 978 Other financial assets 319 481 795 1,456 Deferred tax assets (net) 369 390 399 503 Income tax assets (net) 196 206 77 50 Other non-current assets 112 187 366 579 Total of Non-current assets 10,230 10,405 13,109 14,900 Current assets Inventories 742 1,269 796 772 Financial assets Investments 2,455 4,251 4,908 2,414 Trade receivables 5,260 7,197 8,146 10,217 Cash and cash equivalents 963 1,590 2,308 573 Bank balances other than above 599 1,080 648 1,473 Other financial assets 30 99 482 340 Other current assets 733 696 802 1,025 Total of Current assets 10,782 16,182 18,090 16,814 Total Assets 21,012 26,585 31,199 31,714 (All figures in INR Mn) FY23 FY24 FY25 H1’FY26 Equity share capital 1,544 1,628 1,644 1,645 Other equity 14,081 17,840 21,021 21,688 Total equity attributable to equity holders 15,625 19,468 22,665 23,333 Liabilities Non-current liabilities Financial liabilities Lease liabilities 1,528 1,281 1,321 1,372 Provisions 211 239 254 300 Other Liabilities 6 82 58 85 Total of Non-current liabilities 1,745 1,602 1,633 1,757 Current liabilities Financial liabilities Lease liabilities 505 527 575 596 Trade Payables Dues of micro enterprises and small enterprises 52 65 102 72 Dues of creditors other than micro enterprises and small enterprises 2,200 3,965 3,399 2,996 Other financial liabilities 597 597 1,935 1,576 Provisions - - - 259 Other current liabilities 32 35 475 606 Total of Current liabilities 255 327 415 519 Total Liabilities 3,642 5,516 6,901 6,624 Total Equity & Liabilities 5,388 7,118 8,534 8,381
Page 30
Historical Consolidated Cash Flow Statement (All figures in INR Mn) FY24 FY25 H1’FY2 6 Cash flow from operating activities: Profit before tax 4,671 4,978 2,212 Adjustments to reconcile profit before tax to net cash flow: Depreciation & amortisation on Property, plant and equipment & Intangible asset 1,070 1,151 683 Depreciation on Right-of-use assets 432 464 245 Unrealised foreign exchange (gain) / loss - (1) (1) Lease rent concession - - - Bad and doubtful debts and bad debts written off 907 367 197 Debit balance written off - - - ATM Cash shortage and claims provision - 524 249 (Profit) on disposal of property, plant and equipment (net) (12) (24) (7) Sundry balances written back (22) (30) (6) Impairment for doubtful claims receivables - 35 (5) Bad debts written back - - - Insurance claims receivables written off 17 7 - Net gain on lease modification (10) (9) (8) Finance income (137) (203) (151) Profit on sale of current investments (92) (151) (83) Net change in fair value of current investments measured at FVTPL (64) (88) (18) Employee stock option compensation cost 366 307 (12) Finance costs 162 182 87 Operating profit before working capital changes 7,288 7,509 3,382 Movement in working capital Increase / (Decrease) in trade payables and other liabilities 1,991 (391) (714) Increase / (Decrease) in provisions 15 (87) (100) (Increase) in inventories (527) 473 168 (Increase) in trade receivables (2,844) (1,315) (2,146) (Increase) / Decrease in other assets and prepayments (296) (235) (1,205) Cash flow generated from operations 5,627 5,954 (615) Direct taxes paid (net of refunds) (1,228) (1,129) (555) Net cash flow from operating activities 4,399 4,825 (1,170) (All figures in INR Mn) FY24 FY25 H1’FY26 Cash flow from investing activities Proceeds from sale of property, plant and equipment 23 24 9 Purchase of property, plant and equipment, Intangible assets (including CWIP and capital advances) (1,084) (1,543) (1,739) Purchase consideration paid on acquisition of business - - (250) Investment in mutual funds and non convertible debentures (15,408) (16,461) (6,889) Proceeds from redemption of mutual funds 13,506 15,389 9,762 Loan given to Others - - - Investment in deposits with banks (1,568) (649) (664) Proceeds from maturity of deposits with banks (including interest) 1,281 575 331 Interest received - - 194 Net cash flow (used in) / from investing activities (3,250) (2,665) 754 Cash flows from financing activities Proceeds from Issue of Equity Shares 1,154 243 21 Dividend paid (1,135) (1,063) (1,027) Finance costs - (2) (3) Loan repayment - - (12) Finance costs on lease liability (162) (180) (83) Payment of principal portion of lease liabilities (378) (440) (235) Net cash flow (used in) financing activities (521) (1,442) (1,339) Net (decrease) / increase in cash and cash equivalents 628 718 (1,755) Cash and cash equivalents at the beginning of the year 963 1,591 2,309 Cash and cash equivalents through acquisition of Subsidiary - - 19 Cash and cash equivalents at the end of the year 1,591 2,309 573
Page 31
Source: BSE, NSE Share Price Movement (Up to 31st December, 2025) -40% -30% -20% -10% 0% 10% 20% Jan-25 Feb-25 Mar-25 Apr-25 May-25 Jun-25 Jul-25 Aug-25 Sep-25 Oct-25 Nov-25 Dec-25 CMS BSE Sensex BSE Small Cap Shareholding Pattern (31st December, 2025) Mutual Funds 26.70% AIF 5.91% FII 28.20% Others 39.19% Share Price Data (As on 31st December, 2025) Face value (₹) 10.0 Market Price (₹) 339.5 52 Week H/L (₹) 540.5/337.0 Market Cap (₹ Mn) 55,838.4 Equity Shares Outstanding (Mn) 164.5 Avg. trading volume (‘000) 595.7 Capital Market Information (BSE: CMSINFO | 543441, NSE: CMSINFO)
Page 32
Disclaimer No representation or warranty, express or implied, is made as to, and no reliance should be placed on the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are in all events not current after the date of this presentation. Certain statements made in this presentation may not be based on historical information or facts and may be "forward looking statements" based on the currently held beliefs and assumptions of the management of CMS Info Systems Limited (CMS), which are expressed in good faith and in their opinion reasonable, including those relating to the Company’s general business plans and strategy, its future financial condition and growth prospects and future developments in its industry and its competitive and regulatory environment. Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, financial condition, performance or achievements of the Company or industry results to differ materially from the results, financial condition, performance or achievements expressed or implied by such forward-looking statements, including future changes or developments in the Company’s business, its competitive environment and political, economic, legal and social conditions. Further, past performance is not necessarily indicative of future results. Given these risks, uncertainties and other factors, viewers of this presentation are cautioned not to place undue reliance on these forward-looking statements. The Company disclaims any obligation to update these forward-looking statements to reflect future events or developments. This presentation is for general information purposes only, without regard to any specific objectives, financial situations or informational needs of any particular person. This presentation does not constitute an offer or invitation to purchase or subscribe for any securities in any jurisdiction, including the United States. No part of it should form the basis of or be relied upon in connection with any investment decision or any contract or commitment to purchase or subscribe for any securities. None of our securities may be offered or sold in the United States, without registration under the U.S. Securities Act of 1933, as amended, or pursuant to an exemption from registration there from. This presentation is confidential and may not be copied or disseminated, in whole or in part, and in any manner.
Page 33
cms.com THANK YOU