RADIANT CASH MGMT SER LTD

Radiant Cash Management Services Limited reported standalone revenue growth of 7% in Q1 FY27, driven by a new large mandate with IDBI Bank and improved performance in cash van operations. The Ecom Logistics segment, which had previously declined, showed positive growth. Cash volume handled reached Rs. 0.43 trillion, a 2.3% increase year-over-year, with gross cash losses at Rs. 2 million, the lowest in the industry. Standalone EBITDA margins fell to 13.5% from 15.9% in the prior year due to increased manpower costs, including higher wages and gunman expenses. Management is seeking price revisions from customers and expects them to materialize in the current quarter. Radiant Valuable Logistics (RVL) reported revenues of Rs. 22.1 million, showing 24% sequential growth, and is on track to achieve breakeven. Consolidated PAT dropped to Rs. 52 million from Rs. 57 million in the same period last year, but the Fintech subsidiary, Radiant Acemoney, is reducing losses and aims to turn EBITDA positive. Acemoney has deployed 58,000 Soundboxes, with a target of 50,000 in FY27, and is expanding into corporate BC networks, white-label UPI solutions, and Fintech software for smaller banks. Management expects improved profitability from price revisions, cost optimization, and growth in direct client business. The payment aggregator license application is pending RBI clarifications, with management expecting submission by late August 2026 and a potential license by early 2027. Management emphasized ongoing efforts to address challenges and achieve growth targets.

The document highlights both growth areas like new mandates and RVL's improvement, while also acknowledging challenges such as margin compression and dependency on price revisions.