Payment Solution Provider Commences Management of Indian Oil Corporation’s XtraPower Prepaid Card Platform, Expected to Generate Around Rs 58 Crore Over Five Years!
The company’s shares have delivered an impressive return of over 50 per cent in just 3 months.
AGS Transact Technologies Ltd one of the leading providers of integrated omnichannel payment solutions in India, offering both digital and cash-based solutions to banks and corporate clients, today announced that it has implemented and commenced managing the Prepaid Card Platform for ‘XtraPower,’ the fuel and fleet management program of Indian Oil Corporation Ltd, India's largest public sector enterprise. AGS Transact will receive a fixed fee for these services, generating an estimated revenue of approximately Rs 58 crore over five years.
IndianOil’s ‘XtraPower’ is accepted at over 35,000 IOCL fuel retail outlets across India and handles fuelling transactions exceeding Rs 70,000 crore annually.
AGS Transact Technologies a Small-Cap company will provide comprehensive end-to-end services for the platform, including application development and hosting, IT infrastructure provisioning (hardware and software), application maintenance support, change management, and backend operations management. Additionally, the company will implement a Security Operations Center (SOC) and a Security Information and Event Management (SIEM) system to enhance the platform’s cybersecurity and threat detection capabilities.
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Currently, the shares of AGS Transact Technologies are trading at around Rs 107.70 per share on the BSE. The company’s current market capitalization stands at Rs 1307.51 crore. Additionally, the shares have delivered an impressive return of over 50 per cent in just 3 months.
As per the Quarterly Results, in the Q1 FY25, AGS Transact Technologies recorded a revenue of Rs 340 crore compared to Rs 371 crore same quarter last year. The operating profit stood at Rs 93 crore with a margin of 28 per cent which was earlier Rs 83 crore with 22 per cent margin. The net profit stood at around Rs 14 crore compared to a profit of around Rs 1 crore representing a gain of 1,300 per cent YoY.
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Disclaimer: The article is for informational purposes only and not investment advice.