April 24, 2019
| Press Release
Nucleus Software announces FY19 Financial Results
With continuous focus on digital, supporting Banks and other Financial Institutions to stay ahead of competitive landscape and accelerate growth
New Delhi, April 24, 2019: Nucleus Software, the leading provider of lending and transaction banking solutions to the global financial services industry, announced its financial results for the financial year ended March 31, 2019.
Consolidated revenue for the fourth quarter of FY 19 is at Rs. 127.0 crore compared to Rs 111.0 crore in the corresponding quarter of the previous year. Revenue for FY19 is at Rs. 484.0 crore, against Rs. 411.8 crore in FY18.
Mr. R P Singh (CEO, Nucleus Software) said, “During the year, we have had growth across all geographies, driven by our market leading value proposition which is resonating with financial institutions around the globe. We have added 19 new customers, won 26 product orders across APAC, India, Africa and The Middle East and also implemented 69 product modules successfully. Our transaction banking solution – FinnAxia – continued to gain solid traction in the International markets. Our cloud lending business reached a significant milestone of 30 customers in the current financial year. With more of our customers embarking on a digital journey, the quality of discussions plus our deal pipeline, we remain confident in our ability to deliver long term value to all our customers”.
Consolidated results for the Quarter ended 31st March, 2019
- - Consolidated revenue at Rs. 127.0 crore in comparison to Rs. 111.0 crore in the corresponding quarter of the previous year
- - Product business revenue for the quarter at Rs. 100.4 crore in comparison to Rs. 89.0 crore in the corresponding quarter of the previous year
- - EBIDTA for the quarter at Rs. 21.5 crore in comparison to Rs. 15.7 crore in the corresponding quarter of the previous year
- - Net Profit after Tax (PAT) stood at Rs. 17.1 crore in comparison to Rs. 17.3 crore in the corresponding quarter of the previous year
- - Earnings Per Share (EPS) for the quarter at Rs. 5.88 in comparison to Rs. 5.94 in the corresponding quarter of the previous year
Consolidated results for the Year ended 31st March, 2019
- - Consolidated revenue for FY 2019 stood at Rs. 484.0 crore, in comparison to Rs. 411.8 crore in the previous year
- - Product business revenue for the year at Rs. 383.3 crore in comparison to Rs. 326.1 crore in the previous year
- - EBIDTA for the year at Rs. 84.8 crore in comparison to Rs. 58.2 crore in the previous year
- - Net Profit after Tax (PAT) stood at Rs. 74.5 crore in comparison to Rs. 62.5 crore in the previous year
- Earnings Per Share (EPS) for the year at Rs. 25.67 in comparison to Rs. 20.47 in the previous year
Cash and cash equivalents, including investments in debt schemes of mutual funds, fixed deposits with banks and tax free bonds, etc. are at Rs. 498.5 crore as on 31st March, 2019 as against Rs. 455.9 crore on 31st March, 2018.
- Narayanan Subramaniam, joined the Board of Directors of the Company in July 2012 and was appointed as an Independent Director at the Annual General Meeting held on July 8, 2014 for a term of 5 years. Accordingly, the tenure of Mr. Narayanan Subramaniam as an Independent Director of the Company, came to end on 31st March, 2019. Mr. Narayanan Subramaniam, has conveyed his desire not to seek re-appointment as Independent Director of the Company for the second term. The Board thanked him for his immense contribution and guidance in framing a strategic roadmap of the company during his tenure.
- The Board of Directors in their meeting held on 23rd April 2019 recommended the final dividend of Rs. 9 per Share (on Equity share of Par Value of Rs. 10 each) for the Year ended March 31, 2019. The payment is subject to approval of the shareholders at the ensuing Annual General Meeting.
- During the year, 69 product module implementations successfully went live. In Q4, 14 product module implementations were completed worldwide
- - In Q4 FY19, we won 6 product orders including 02 in Middle East and 04 in India
- - Added 4 new customers during the quarter from various geographies
- Gained over 30 new customers, including 13 in FY2019, for its revolutionary cloud lending solution - FinnOne Neo Cloud. Leading Non-Banking Finance Companies (NBFCs) and Housing Finance Companies (HFCs) across a wide range of industry sectors have selected the solution to power their innovative businesses
- - CRDB Bank, a leading financial services provider in Tanzania with current presence in Tanzania and Burundi has gone live with Nucleus FinnOne Collectionsand Lending Analytics
- - Won award for ’Best Cloud Lending Solution’at the BFSI Innovative Technology Awards 2018 for FinnOne Neo Cloud. In addition to this, one of our implementation also won the “Best Lending Technology Implementation of the Year". These awards reinforce Nucleus Software’s proven leadership in the lending technology segment for the financial services industry.
- - Ranked second in “Corporate Governance and Sustainability Vision Awards 2019“ as held by Indian Chamber of Commerce, for the Best Practices followed in the Industry.
- - Our Annual Report FY17-18 won a Gold award for excellence within the Industry - Technology-Software and a ranking of # 33 amongst the top 100 Annual Reports worldwide by League of American Communications Professionals LLC (LACP)
- -The global strength of employees at Nucleus Software as on March 31st 2019 stands at 2,054 as compared to 1,851 as on March 31st
Participation in Industry Forums:
During the year, we participated in number of leading Industry forums globally in order to showcase our expertise and product offerings. Key forums include:
- - Australia: Attended the 10th annual Australian Mortgage Innovation Summit 2019, being hosted by the RFi Group. Presented views on “Transforming Lending for Tomorrow - Going Beyond Digital” at the 10th annual Australian Mortgage Innovation Summit 2019 in Australia
- - SEA: Attended the 8thEdition Innovation and New Technology in Cash Management, being hosted by GFMI. Conducted an exclusive Masterclass workshop on ‘Chasing Digital - A Digitization Playbook for Wholesale Banking’
- - Middle East: Showcased its digital lending solutions at the Middle East Banking Innovation Summit 2018, (MEBIS) and addressed the session on “Transforming Financial Services Beyond Digital”. Organized the largest global Government event, the GCC Smart Government & Smart Cities. The Conference is a global platform dedicated to shaping the future of governments worldwide in Dubai.
- -Africa: Attended the 61st RBAP Charter Anniversary Symposium 2018 in Philippines and showcased expertise on how the unique combination of advanced lending technology and cloud can help Rural banks in the Philippines in providing end-to-end digitized loan services, making better credit decisions faster, quickly scaling operations and ensuring faster compliance to regulatory requirements. Participated in The New Age Banking Summit (NABS 2018) in Lagos, Nigeria. Demonstrated how banks in Malaysia can leverage technologies such as artificial intelligence and analytics in payments to enable added security, speed and convenience for their corporate customers at the IDC Financial Insights’ FinTech Innovation Summit 2018 in Malaysia. Participated in the Seamless East Africa 2018 and showcased expertise on how our solutions can help you become the digital corporate bank of tomorrow – today. Presented views on the topic - “Artificial Intelligence for Risk Mitigation in an era of Faster Payments” at the Asian Banker Future of Finance Summit in Indonesia.
- India: Showcased expertise on how our advanced technology solution, FinnOne Neo Cloud is helping NBFCs and HFCs drive innovation in lending by enabling faster launch of personalized products, customer centric loan services, making better credit decisions faster and on-demand scalability at the 5th NBFC100 Tech Summit in Mumbai. Nucleus team attended the 5th Microfinance & NBFCs Exhibition (MiNE 2018) in Kolkata and demonstrated how the use of advanced technology can help them in reducing their time to market, making better credit decisions faster, scaling up quickly as per need and incorporating data driven insights easily. Hosted an online, interactive roundtable webinar on ‘Driving Innovation in lending with cloud’ in association with Dun & Bradstreet. Attended the 3rd NBFC100 Tech Summit in Delhi. Organized an industry roundtable, for banks & NBFCs, on ’Lending with Analytics & AI: Profitable, Smarter & Customer-oriented’ in Mumbai in association with Dun & Bradstreet.