In an interaction with V Srinivasan, Executive Chairman of eMudhra Limited

We are confident that our one-stop positioning, strong focus on IP, leadership team experience and marquee reference customers will help us capture opportunities in the future, expresses V Srinivasan, Executive Chairman of eMudhra Limited

In Q4FY23, the total income of the company surged by 23 per cent on YoY basis while the net profit of the company zoomed 46 per cent from the corresponding quarter last year. What were the contributing factors to your outperformance? 

For Q4FY23, the total income increased 73 per cent on a y-o-y basis and net profit increased 46 per cent on a y-o-y basis.

This was largely due to the fact that our Enterprise Solutions saw healthy growth in India and the international markets as well, which was driven by the adoption of both our eSignature workflow platform for “Paperless Office” and our Cybersecurity suite of offerings including emCA and emAS. Over the past year, our solutions have been deployed across a range of mission critical use cases from paperless transformation of various industries such as BFSI, Pharma, Manufacturing, eGovernment, etc. to enhancing cyber security for use cases in Government and Defence, Card Payments, ePassport implementation, and for securing Connected Vehicles, Smart Grids and Blockchains.

On Trust Services, we enjoy a strong brand in India resulting in healthy growth and stickiness for our retail and direct to consumer sale of digital signature certificates. During Q4 FY23, to address the pricing pressure from master partners, we also broad based our sale of digital signature certificates to a much larger set of sub partners, thereby broad basing our revenue and also improving its quality.

What are the key drivers of eMudhra's growth in the past few years? What are the company's plans to sustain its growth in the future?

eMudhra’s business revolves around providing solutions for paperless transformation and cyber security, both of which are the need of the hour today. Many enterprises globally are moving to a paperless form and using digital signatures to save costs and improve customers’ experiences. Also, as a result of extensive digital adoption, cyber security has become a critical focal point for enterprises, given the threat of data breaches, etc. Our one-stop-shop positioning around both these segments augmented by our push to expand into international markets has aided our growth in the past few years.

We continue to expand our range and reach and verticalize our products to cater to industry-specific offerings for the large global addressable market. We are confident that our one-stop positioning, strong focus on IP, leadership team experience and marquee reference customers will help us capture opportunities in the future.

What are your plans for expansion into new markets? 

We constantly evaluate new geographies in terms of their potential based on the maturity of the digital transformation and cyber security landscape and have already made meaningful inroads into North America, the Middle East, Africa and Asia Pacific markets. We would intend to continue to go deeper into select countries through a direct market approach and go after large territories such as the Americas through a combination of the direct market and partnership-led approach.

What is your outlook on Enterprises Solutions for the next few quarters?

We have a strong order book as outlined in our Investor Presentation which has consistently grown over the last few years. We anticipate good growth based on the order book position and industry landscape.

What are your thoughts on the future of digital transformation and cyber security? How is eMudhra positioned to benefit from these trends? 

The future of this space is moving towards a paradigm of Zero Trust which means “Never Trust, Always Verify”. 

In this context, digital signature certificates are likely to become mainstream in the context of:

· Identity traceability using digital signature certificates in electronic document exchange.

· Securing enterprise IT environments and leveraging multi-factor authentication using digital signature certificates.

· Encrypting personally identifiable data using cryptographic keys.

eMudhra, with its range of solutions including its recently launched emDiscovery product for Certificate Lifecycle Management, is ideally positioned as a vendor of choice to cater to this growing need of adopting Zero Trust in the context of the Enterprise Cyber Security landscape.