The Software Products industry in India is rapidly expanding, projected to grow from USD 43.1 billion in 2024 to USD 101.64 billion by 2030. This growth is fueled by digital transformation, cloud computing, and increasing demand for cybersecurity solutions across diverse sectors, establishing India as a global software hub.
With a market capitalization of Rs 9,678.10 crore, the shares of C.E. Info Systems Ltd were trading at Rs 1,778.95 per share, decreasing around 4.28 percent as compared to the previous closing price of Rs 1,858.40 per share. The company has a Debt to equity of 0.05 which shows the company has less obligation.
Matter explanation:-
The company hit a 52-week or all-time high in June 2024 at Rs 2,745 per share and, comparing the same with the current stock price prevailing in the market, there is a discount of approximately 35 percent.
Financial Performance:-
Looking forward to CE Info tech’s financial performance, revenue magnified significantly by 14 percent from Rs 91 crore in Q2FY24 to Rs 104 crore in Q2FY25, during the same period, net profit dipped 9 percent from Rs 33 crore to Rs 30 crore.
Business Segments:-
The company’s map-led business EBITDA grew from ₹36 crores to ₹39 crores YoY, with a 50% margin, while its IoT-led business EBITDA rose from ₹1.4 crores to ₹3.7 crores YoY, with a 15.7% margin. It is strategically shifting toward higher-margin SaaS and service sales.
Market Dynamics:-
The company saw significant customer acquisition in the automotive sector, securing contracts with leading EV OEMs and utility vehicle manufacturers. Revenue from C&E grew 16.9%, driven by applications in flood modeling and defense projects, reflecting strong demand for advanced automotive solutions like ADAS and EV software.
Future Outlook:-
The company’s open order book is ₹1,300 crores, with a target of ₹1,000 crores for FY27-28. It plans to invest in AI-driven data analytics and consulting services to boost customer engagement. Management highlights long-term mapping expertise, deeming competition a minimal risk.
New Initiatives:-
The company is participating in government cadastral mapping projects, utilizing advanced geospatial capabilities, and expanding into international markets. It is also developing drone-based solutions, focusing on diversification and innovation. Continuous investment in product development aims to sustain competitive advantage and enhance customer satisfaction.
Margin Guidance:-
The company maintains an EBITDA margin guidance of 40%, focusing on balancing technology investments with profitability. Management emphasizes value-based pricing, prioritizing the quality of offerings over aggressive discounting strategies to sustain margins and long-term profitability.
Company profile:-
C E Info Systems Limited provides data and technology goods and platforms, including proprietary digital maps as a service (“MaaS”), software as a service (“SaaS”), and platform as a service (“PaaS”). They are India’s top provider of innovative digital maps, geospatial software, and location-based IoT solutions.
Written by:- Abhishek Singh
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