Aurionpro reports revenue of Rs. 184.07 Cr in Q4 F

MUMBAI, INDIA --(Marketwired - May 31, 2017) - Aurionpro Solutions Ltd ( NSE : AURIONPRO ) ( BSE : 532668 ), a provider of technology solutions for Banking, Digital Innovation and Enterprise Security, today announced its consolidated financial results for the fourth quarter and financial year ended March 31, 2017.

*Adjustment to EBITDA for the quarter stood at Rs.35.93 Cr (19.5%) and includes the following adjustment of Rs.24.97 Cr

• Forex Losses -- Rs.14.60 Cr
• Non-cash charge for vested stock options and earn out cost of Rs.6.73 Cr

Adjustment to PAT for the quarter stood at Rs.26.26 Cr (14.2%) which includes the goodwill amortization and warrants finance cost of Rs.3.64 Cr.

**Adjustment to EBITDA for the year stood at Rs.102.76 Cr (16.1%) and includes the following adjustment of Rs.38.82 Cr

• Forex Losses -- Rs.10.40 Cr
• Non-cash charge for vested stock options and earn out cost of Rs.28.42 Cr

Adjustment to PAT for the year stood at Rs.64.12 Cr (10%) which includes the goodwill amortization and warrants finance cost of Rs.9.37 Cr and gain on sale of IT services business of Rs.27.53 Cr.

***Numbers not comparable to previous financial year owing sale of IT consulting business on March, 31, 2016 and acquisition of Spikes Security and subsequent merger to form Cyberinc in August 2016.

" About two years ago, we embarked on a strategy to unlock and maximize shareholder value by sharpening and strengthening our focus around core businesses -- Enterprise Security, Digital Innovation and Banking. This last fiscal, we exited low-margin businesses of IT consulting and acquired new technology in way of Spikes Security, and also proactively restructured Aurionpro from a Business, Operational and Financial perspective ." Samir Shah, CEO, Aurionpro said, " I am happy to share that our strategy is bearing fruit with strong and clear growth on all fronts -- Cybersecurity, Digital Innovation and Banking ."

Business Restructuring:

• In May 2016, Aurionpro acquired Spikes Security and merged it with its Enterprise Security Division to form a dedicated subsidiary focused on Cybersecurity with Isla as its flagship product. The company has been doing business as 'Cyberinc, An Aurionpro Company' since August 15, 2016
• As a result of business restructuring and a strong focus on IP driven revenue, product based revenue has increased to 60% of overall company revenues in FY 16-17
• On 10th May, 2017 the Board of Directors approved the Scheme of Arrangement for the demerger of some its non-core business divisions into its wholly owned subsidiary Trejhara Solutions Limited subject to the receipt of the requisite approvals under the applicable laws. Full announcement can be read here

Operational Restructuring:

• Isla, the company's flagship product for cybersecurity, will adopt a partner driven sales strategy and towards this the company has already established key partnerships with OvationData and Sohonet. Cyberinc will aggressively sign-up new partnerships across the globe and is steadily ramping up specific talent to enable channel driven sales.
• Isla has also been seeing traction outside of USA, in new markets like India, Thailand, Australia and UK.
• Cyberinc, the cybersecurity focused subsidiary has launched new products in Identity Access & Management (IAM) space and thereby look to accelerate revenue growth for the IAM line of business.
• Cyberinc continues to invest in strong partnerships for the IAM space with leading Identity Product companies including Oracle, Ping Identity, SailPoint, Forgerock, Gigya and BeyondTrust. The company secures and services more than 100 million identities for leading corporates worldwide and continues to expand the impact of its engagements
• The company is establishing a 'Center of Excellence', by consolidating infrastructure and its employees to a single location in in Mumbai

Financial Restructuring:

• The company has made significant investment in product development and R&D and all the investments have been expensed out in this fiscal year
• Debt Reduction: The company has been reducing debt aggressively and looks to achieve zero-debt status in 24 months
• Net Debtor days have been reduced from 94 to 84 days through this fiscal
• We are focusing on better working capital cycle management and free cash flow has improved over the last financial year

Dividend

Given the healthy order book, market opportunities culminating in increased requirement for working capital coupled with the company's focus on reducing debt levels, the board has recommended a dividend of 10%.

New wins and go-lives -- Q4 FY 16-17

Enterprise Security

• Cyberinc, the company's dedicated subsidiary saw strong tractions with over 5 deployments across the globe of its flagship product Isla
• Helped modernize IAM systems for a leading multinational financial services corporation based in Boston in collaboration with our partner Ping Identity.
• Successful integration of CES (Cyberinc Entitlements Server) for a leading global contract research organization to manage access and authorizations
• Clinched a ForgeRock IAM deal at an Australian public research university based in Bentley, Perth

Banking and Fintech

• SmartLender, our industry leading loan origination system was selected by a large state-owned bank in Vietnam to help streamline approval and management of their credit processes
• Signed a partnership agreement with FPT Information System Corporation, one of the leading system integrators in Vietnam to aggressively gain market dominance
• Recorded 3 key wins for cash management platform across India, Sri Lanka and Kenya. Completed roll-out of our web-based, online trading and distribution application at a leading Indian Private bank

Digital Innovation

• Aurionpro also launched ACE (Aurionpro Customer Experience) its flagship platform that integrates its Customer Experience suite of products and helps banking and financial companies leverage the best of digital and new-age technologies in creating superior customer journeys. The platform has seen strong traction and adoption from existing as well as new customers.
• Interact DX, our leading customer communication management platform was selected by 7 customers across India, Middle East and UK to enhance customer engagements. Along with 5 successful project Go-Lives across leading banking and financial institutions
• The company launched Virtual Teller Machine, a new variant of its Branch-in-a-box product, a fully integrated kiosk for automating 90% of banking transactions in a branch, in February 2017

SCMProFit

• Freight Forwarding module of SCMProFit Gone-Live at a leading international logistics business for the printing and publishing industry
• SCMProFit's Warehouse Management System (WMS) was selected by a local subsidiary of a global logistics company

In conclusion, Samir Shah, CEO, Aurionpro, said, " We are experiencing good business momentum. Our products are getting strongly established in various geographies and markets. We are on our way to gaining market leadership and strong market dominance. The growth for FY 17-18, will be product led and hence margin accretive. We believe that the current year will see significant margin expansion, accelerated profit growth and net cash flows. "

About Aurionpro

Aurionpro Solutions ( NSE : AURIONPRO ) ( BSE : 532668 ) Aurionpro is a global technology solutions leader that helps enterprises accelerate their digital innovation, securely and efficiently. It combines core domain expertise, thought leadership in innovation, security and leverages industry leading IP to deliver tangible business results for global corporations. Employing more than 1,300 domain and technology experts across North America, Asia and Europe, Aurionpro caters to a host of clients across BFSI, Telecom and Logistics industry. For more information, visit www.aurionpro.com