Bodhtree Consulting is a leading IT solutions provider in India and has been in the business of providing services such as Cloud computing, Salesforce CRM and managed support, big data analytics, Data warehousing, Big Data, Business Intelligence, advanced analytics, IoT, tableau license selling with customization etc. The Software Industry verticals in which the company operates are Government, Hi-tech, Healthcare and Life Sciences, Pharmaceuticals, Healthcare payers, Healthcare providers, Manufacturing, Education, Financial Services.
Yash Ved From NewsBarons provides you the highlight of an interaction with L.N. Ramakrishna, MD – Bodhtree Consulting, who informed “We will grow our revenues at 50% for the next two years and our profits would grow 100% in the next two years. ”
NB: Brief us about your business growth?
Ramakrishna: Last year, the company has made a foray in GST by signing partners Pan India to provide GST Services, we are very optimistic about this part of our business. Other achievement was the acquisition of INR 100 crore order from Medical Council of India, under Digital Mission Mode II, part of Prime Ministers “Digital India” rollout program.
We have an order to cover 550 Medical colleges with Closed Circuit Television (MCI-CCTV) solution. After signing marquee clients like Indian Coast Guard for implementing Oracle enterprise solutions, the company is confident of taking the business to INR 150 crore under the enterprise solutions segment in the next three years. We have signed in PayTM to provide GST services.
NB: What is your business outlook for 2018?
Ramakrishna: Our biggest growth will come from digital segment of our business, which includes cloud, salesforce, digital marketing and analytics. We have been consciously concentrating on PSUs and Quasi Government organisations to win large orders. Our order book position by end of this financial year would be Rs. 150 crore, which would take care of the growth in FY19. Being a GST Suvidha Provider and with GST services running in full swing, 2018 looks very promising to us.
NB: Brief us about your agreement with Andhra Pradesh government?
Ramakrishna: We intend to set up our new IT centre for 200 people in the Fintech valley of Andhra Pradesh. We are confident that we will expand our footprint in the State with this centre and will be able to cater to the needs of GST of the State and this centre will act as the central back-office for all GST business of Bodhtree. This centre in Visakhapatnam will develop other software products/services coming from Bodhtree to make GSP-offerings of Bodhtree complete for its market leadership.
Our goal is to build this centre as our largest operating centre for all financial related services and solutions, in line with the vision of Honourable Chief Minister of the State Shri. Nara Chandra Babu Naidu Garu to make Visakhapatnam as Fintech Valley of India.
NB: Brief us about your expansion plans?
Ramakrishna: We have pan India presence and have been working with leading corporates in the country. Besides that, we have strong presence in USA, Singapore, Malaysia and Dubai and aggressively targeting North America to reap higher profit margins.
NB: What is your revenue mix?
Ramakrishna: In the current year, the company’s revenue mix is expected to be 80:20 i.e. 80% from Indian operations and 20% from Global operation excluding India. However we are planning to change this to 50:50 in the next two years.
NB: Brief us about your financials?
Ramakrishna: We have declared revenues of Rs. 78.76 crore during the financial year 2017 and PAT of Rs. 2.67 crore. EBIDTA was at Rs.4.72 crore as against Rs. 2.47 crore in H1 FY17, registered growth of 91.09%.EBIDTA margin has improved by 212 basis points from 10.31% in H1 FY17 to 12.43% in H1 FY18
NB: Comment on your Capex plans?
Ramakrishna: Our biggest asset is our employees. We are going to expand our employee base and we may spend on that. Otherwise, there will not be any major capex for the next two years.
NB: What is your revenue target by 2022?
Ramakrishna: We will grow our revenues at 50% for the next two years and our profits would grow 100% in the next two years. We are expecting margin expansion at EBIDTA level also. We have set up an internal target of reaching INR 5 crore business per client like large IT companies does in the market. We have succeeded in the last six months and this would definitely put us in the league of midsize IT company in the country.