CMS Info Systems (CMSINFO) Q4 25/26 earnings summary

Executive summary

• FY26 was challenging due to adverse climate, geopolitical issues, weaker H1 consumption, competitor exit, delayed SBI contract, and ATM shutdowns, but Q4 marked a strong sequential turnaround with improved margins and revenue growth.

• Revenue grew 2.6% YoY to ₹2,487 Cr; services revenue up 5.8% YoY to ₹2,312 Cr.

• Management focused on protecting revenue, gaining market share, shifting to fixed fee models, and improving portfolio quality.

• Significant investments made in technology and gig delivery models, with two strategic acquisitions (Securens and FSS Managed Services) consolidating market position.

• Board approved a final dividend of ₹2.50 per share and a buyback of up to 3% of outstanding shares at ₹340 per share.

Financial highlights

• Q4 FY26 consolidated revenue: ₹633 Cr (+2.4% QoQ); services revenue: ₹609 Cr (+6% QoQ); EBITDA: ₹162 Cr (+15% QoQ); EBITDA margin: 25.6%.

• Q4 PAT: ₹79 Cr (+38% QoQ), down 19% YoY; PAT margin: 12.5%.

• FY26 EBITDA: ₹600 Cr (down 5% YoY); PAT: ₹303 Cr (down 18.5% YoY); EBITDA margin: 24.1%; PAT margin: 12.2%.

• Historical revenue CAGR since FY09 is 15%, PAT CAGR is 16%.

Outlook and guidance

• FY27 revenue guidance: total revenue ₹2,800–2,900 Cr (13–17% growth); services revenue ₹2,700–2,800 Cr (17–21% growth); EBITDA margin aspiration 25%+.

• FY30 aspiration: services revenue ₹3,750–3,950 Cr, tech and payments to reach 26–28% of mix, maintain high margin and ROCE.

• Order book at ₹2,000 Cr+, with 85% of FY27 services revenue target secured through marquee contracts.

• Long-term growth platforms: ATM management, retail/currency logistics, and technology/payment solutions.