IRIS Business Services (540735) Investor Day 2024 summary

Strategic direction and business model evolution

• Focus on four core segments: SupTech, RegTech, TaxTech, and DataTech, each with distinct business models and growth strategies, serving regulators, enterprises, and financial institutions in over 54 countries.

• Emphasizes SaaS-based, scalable, and modular solutions, with a shift toward cloud-ready architectures and subscription pricing models.

• Expanding use cases beyond regulatory mandates, including ESG, sustainability, and advanced analytics for investors and corporates.

• Leveraging AI and automation to drive product agility, reduce implementation time, and enhance customer experience.

• SupTech is the largest revenue contributor, accounting for 50% of revenues in H1, with strong relationships with regulators globally and a land-and-expand strategy.

Financial performance and growth outlook

• FY24 consolidated revenue reached ₹10,296 lakhs, up from ₹7,490 lakhs in FY23, with PAT rising to ₹879 lakhs and 35% revenue growth in the last year.

• SupTech led segment revenue at ₹4,584 lakhs, followed by RegTech at ₹3,832 lakhs, TaxTech at ₹1,436 lakhs, and DataTech at ₹99 lakhs.

• EBITDA margin improved to 15% in FY24, with EBIT margin at 11% and ROE at 21%.

• Africa and India are key geographies, contributing 28% and 27% of FY24 revenue, respectively.

• Customer base includes marquee global clients (e.g., Renault, BMW, Reliance, RBI), with high retention and strong satisfaction scores (NPS 92, retention 92%).

Product innovation and competitive positioning

• SupTech and RegTech platforms are built around data standards (XBRL, SDMX), with deep expertise and participation in global standards bodies.

• IRIS Carbon serves 6,000+ customers in 35+ countries, recognized for high customer satisfaction, rapid implementation, and integrated ESG suite.

• TaxTech solutions integrate compliance and business process automation, leveraging AI for litigation management and accounts automation.

• Competitive landscape includes CoreFiling, Regnology, Fujitsu (SupTech), and Workiva (RegTech), with IRIS offering integrated, end-to-end platforms.

• Ongoing investments in AI and automation aim to reduce implementation timelines, enhance scalability, and address resource constraints in emerging markets.