Mumbai: Based in Mumbai, IT and Cloud Infrastructure company Varanium Cloud Limited has reported robust growth in its earnings report for Q4FY2023 and FY2023 owing to its expansion in the cloud technology business and rollout of data centres across the places.
The company reported a net profit of Rs 29.48 crore against Revenue of Rs 150.32 crore in the March quarter, along with a nearly 38% increase in sales over the previous quarter, driven by its new data centre operations. The company recorded total sales of Rs 383.36 crore in FY2023, against which net profit has been reported as Rs 82.44 crore. Compared to the previous financial year’s net profit of Rs 8.40 crore, the profit in FY23 has increased almost 10 times. EBITDA margin stood at 29.48% in the March quarter with EBITDA of Rs 44.32 crore as against 36.17% in the previous quarter; the decline in EBITDA margin was mainly due to depreciation expenses of the data centre, which was set up earlier. Annualised EBITDA has been strong at 31.11% this year.
Varanium Cloud has declared a total dividend of Rs.10 (100%) in the Financial Year 2023; in the recent board meeting, the company declared a final dividend of Rs 7 and Rs 3 was paid during the previous fiscal as a part of Interim Dividend. The company rewarded its shareholders by issuing bonus shares in a ratio of 1:1. It has also approved the sub-division of one equity share of the face value of Rs 10, each fully paid up into 2 equity shares of the face value of Rs 5 each fully paid up via stock-split for which 12th May 2023 has been set as a record date.
Recently QMS, in partnership with MAS (Medical Allied Services), unveiled a cloud-based medical wearable device named “Vyana” on 21 April 2023. Vyana aims to address the growing need for medical wearables that provide timely assistance and is designed to continuously monitor vital parameters and send instant notifications as well as directly contact the user and their emergency contacts in case of significant fluctuations, making it must be used for high-risk groups.
It has entered into a processing services agreement with Que Processing Services Pvt Ltd to launch Rupe prepaid cards leveraging its physical infrastructure in non-urban markets. As emphasised by the company’s management, they will continue to grow at the same revenue run-rate in FY 2024 as well. Apart from that, they expect a new business cable cloud (OTT streaming platform services) to go live in Q1FY24. EaaS (e-commerce as a service) is garnering significant traction, and expects this to grow to 20% of total revenue in FY24. The company has stated with much confidence and excitement that the year 2024 could be significant with expansion of Hydra Web Services to 500 seats, full rollout of 10 EDCs, full rollout of 3 more “Edmission” centres, preferential issue, full Fastway acquisition, 10 more clients for EaaS. A major event will be the signing and launch of the cable cloud streaming platform.
The Company came out with an SME IPO in September 2022 at an issue price of Rs.122 per share and gets listed on the NSE EMERGE platform. In the short span of listing, the stock has delivered whopping returns of 12 times on its IPO price, recording an all-time high of 1602 per share in January 2023. Currently, the stock is trading at around 780 per share.
Incorporated in Dec 2017, Varanium Cloud Limited is a technology company focused on providing services surrounding digital audio, video, and financial blockchain (for PayFac) based streaming services. Varanium Cloud has a diversified set of service offerings to its various clients across different domains. In the past year company has been on a spree of expansion and has made various partnerships with best-in-class companies to provide solutions in Ed-Tech, Medical Tech, Cloud Services, BPO, as well as Data Centres.
