R Systems International incorporated in 1993 as a consulting firm in the United States. Started its India operations in 1997, in Noida, and started offshore software development services.
The Company had received strategic investments by Intel Capital and GE Capital in 2001 and 2002, and with a backdrop of success response obtained from ISVs (An independent software vendor is a company specializing in making or selling software, designed for mass or niche markets), R Systems had undergone a massive transformation by the year 2006.
Remarkable acquisitions include: Pune based Indus Software, and Singapore based ECnet. To further strengthen the Telecom Vertical, R Systems acquired UK based Computaris.
R Systems rapidly growing customer list includes a variety of Fortune 1000, government and mid-sized organizations across a wide range of industry verticals including Banking and Finance, High Technology, Independent Software Vendors, Telecom and Digital Media, Government, HealthCare, Manufacturing and Logistic Industries The company also continued its focus on quality and got the certification, SEI CMMi Level 5 v 1.2. R Systems maintains 13 development and service centres and serve customers in the US, Europe, South America, the Far East, the Middle East and Africa.
Services Provided :
* OPD-iPLM
* Application Services
* Testing Services
* BPO & KPO Services
* Packaged Services
A highly diversified product portfolio across various business domains and a diversified Geographical Presence:
* India
o Noida
o Pune
o Chennai
* Singapore
* United States of America
o El Dorado Hills
o Salt Lake City
o Atlanta
* Europe
o Enschede, Netherlands
o Metz, France
o Bucharest, Romania
o Warsaw, Poland
o London, United Kingdom
o Moldova
Past performance: (All Figures in Rs. Cr.)
| Period | Dec '10 (12 months) | Dec '11 (12 months) | Dec '12 (12 months) | Dec '13 (12 months) | Trailing 12 months |
|---|---|---|---|---|---|
| sales | 290.5 | 409.5 | 465 | 596.05 | 646.5 |
| operating profit | 22.66 | 33.09 | 34.61 | 78.03 | 103.09 |
| OPM (%) | 7.8 | 8.08 | 7.44 | 13.09 | 15.92 |
| other income | 5.41 | 4.65 | 5 | 4.71 | 4.13 |
| EBIDTA | 28.07 | 37.74 | 39.61 | 82.74 | 107.22 |
| PBT | 14.04 | 23.81 | 28.85 | 71.83 | 95.43 |
| PAT | 16.78 | 16.51 | 18.36 | 52.7 | 68.11 |
| EPS | 1.37 | 1.35 | 1.47 | 4.19 | 5.38 |
| Dividend Payout (%) | 17.64 | 26.83 | 159.86 | 49.32 | - |
Operating margins are improving
RoCE is >30%
PAT growth = 30%
The company is Debt Free
Ahighly qualified management.
CMP: Rs. 49/50
P.E.: 9.10
Net profit grew by 75.53% at Rs. 85.57 million in current June quarter compared to Rs. 48.75 million in the corresponding quarter of the previous year
Total Consolidated Cash and bank balance as on June30, 2014 was Rs. 99.51 Cr
One of the leading providers of cloud-basedproducts for health insurers and state healthagencies based in USA has engaged R Systems forvarious cloud based J2EE initiatives using springand Hibernate technologies.
Concerns:
Slowdown in west (US and UK)
I do not have much direct information, but looks very interesting.
Views Invited.