Better days ahead for Infibeam Avenues, here's why!

Almost 15,000 terminals deployed with CCAvenue TapPay solution in India. Company targets to reach 100,000+ by the end of FY23

India’s first listed platform and payments infrastructure company, Infibeam Avenues Limited (Infibeam), has today announced its financial results for the quarter ended September 30, 2022. The company's consolidated PAT for the said quarter has increased by 123 per cent at Rs.40 crore YoY.

 Key Business Highlights for Q2 FY23:

• Company to raise Rs 162 crore through preferential allotment to VYBE Ventures, owned by Executive Director, Mr. Vishwas Patel and his relative(s), at an issue price of Rs 17. An amount upward of Rs 40 crore (25 per cent) has already been received by the company, as committed, and the rest will be received within 18 months.

• Almost 15,000 terminals deployed with CCAvenue TapPay solution in India. Company targets to reach 100,000+ by the end of FY23 and 1 million+ by FY24.

• Made an investment in a software startup, Vishko22 Products & Services Pvt Ltd, to develop omnichannel enterprise software products and services for B2B eCommerce players in India and globally.

• Launched Payments business in Australia. Targeting to commercially offer to merchants there before the closing of FY23, upon fulfilling all the local compliances.

• Also targeting to commercially start payments business in Saudi Arabia before the end of FY23.

• Consolidated all international businesses (Saudi, USA, Australia) to aggressively penetrate the global digital payment and payment infrastructure market.

• Bill Payments: Processed >27 million bills in Q2, up 26 per cent YoY. Number of agents increased to nearly 930,000. Gross margin (Net Revenue ÷ Gross Revenue) in the business improved to >40 per cent.

• Hospitality Payments: >3,500 hotels contributed to 3,100 avg. daily room nights booked in Q2.

Standalone Financial Highlights (Rs crore)

Standalone comprises: India Payments + Platforms incl. Govt. e Marketplace (GeM)

Consolidated Financial Highlights (Rs crore)

Consolidated comprises: Standalone + Intl. Payments + Majority owned subsidiaries + share of associates

Consolidated Other Financial Performance Highlights

• Cash and bank incl. short term investments as at Sep 30, 2022 – Rs 315.5 crore, up 50 per cent YoY
• Cash flow from operations (CFfO) H1 FY23 – INR 115 crore (Cash conversion ratio: 140 per cent)
• Capex H1 FY23 – Rs 16 crore, down 40 per cent YoY (11 per cent as percentage of Net Revenue)
• Free Cash Flow H1 FY23 (CFfO – Capex) – INR 99 crore (H1 FY23 annualised FCF per share = Rs 0.73)
• Debt – Nil

1 Total TPV incl. TPV of non-MDR based payment options

2 TPV of MDR based payment options + GeM GMV

PAT includes divestment of stake in DRC Systems in the quarter.

The Company’s superior performance can be attributed to growing digital transactions that have led to record growth in TPV (from Payments and GeM), further complemented by an increase in gross take rate (GTR) and net take rate (NTR). Improving business mix- rise in contribution from profitable COVID-impacted sectors and rise in credit card transactions- 47 per cent contribution to India Payments TPV, are among the key reasons for the increase in GTR and NTR in the Payments business. Additionally, a record GeM GMV of close to Rs 40,000 crore in the quarter has led to strong performance in the Platforms business.

“Infibeam is geared toward delivering superior growth and creating long-term value for all its stakeholders. Our solutions have global acceptability, and we are expanding our geographical footprints at a fast pace. The payment aggregator licence only strengthens our unique position in India. We are extremely excited about the next phase of growth that we will deliver through our comprehensive omnichannel solutions and are fully geared to take this organisation to the next level”, said Mr. Vishal Mehta, Managing Director, Infibeam Avenues Ltd.