we will do a fundamental analysis of Tanla Platforms where we will cover its Business Profile, Leadership, Key Strengths, Competitors and Future Growth and then we will cover the Company’s Financial Position, finally, we conclude Determine whether tonal platforms are fundamentally strong.
This is a sharp improvement in technology sector companies and has made some of these technology companies available at attractive valuations, so today I want to discuss the business of a very fast-growing technology company which is the hottest and fastest growing Works at one of the companies. Blockchain technologies including cloud computing, machine learning, etc.
I share some quick facts about this company since 2016, the revenue of this company has increased from 432 crores to 3001 crores, which is an increase of 600 in the last five years, and its profit has increased from 7 crores to 501 crores And that seven thousand percent growth over the last five years, which is an incredible journey so far, and in this journey, the stock has generated more than 30x returns in five years.
The company is virtually debt free and has generated a free cash flow of Rs 613 crore in the last three years, now you must be wondering if the stock has already risen so much that the reason why I am talking about it is because Despite that exponential growth this company has a huge growth potential over the next five to ten years, with a market capitalization of around ₹9917 crores.
Introduction
Established in 1999. Tanla Platforms is a Cloud Communication Company based on Hyderabad Tanla Platforms which basically works on C-PASS technology which is a Communication Platform as a Service.
Communications Platform as a Service is a cloud-based delivery model that enables enterprises to add voice, video,and messaging features to their existing business software using APIs.
C-Pass allows enterprises to choose real-time communication features and embed them in their apps and services to give you an idea. C-Pass technology is one of the fastest growing technology in the telecommunications sector and its growing Hopefully several times over the next few years.
Tanla platforms was the first company to develop and deploy A2P SMSC in India, so A2P SMSC stands for the app-to-person short message service center, it aims to send SMS on behalf of mobile users and deal with bulk SMS from applications.
One of the simple use cases of this a2p smsc is otp service, we all know how important otp are especially when it comes to bank login or confirmation of any transaction or any authorization and that is where bulk SMS to tal enterprises And helps in sending OTP.
In fact, the Tanla platforms was the technology partner of the Government of India during covid vaccination, so the covid app we use for immunization uses the Tanla platforms service for OTP, now you can imagine the scale of the Tanla business Huh.
Tanla processes over 800 billion interactions annually and approximately 62 percent of India’s A2P SMS traffic is processed through its distributed ledger platform called TripLock, making it the world’s largest blockchain use case, so 2021 has been a marquee year for Tanla with two massively successful launches. Platform two blocks and wisely.
Fundamental Analysis of Tonal Platforms
The fundamental analysis of tonal platforms is as follows:
Products
• If you look at the product, TrueBlock is the world’s first blockchain blockchain-enabled c-pass stack processing over 270 billion transactions so far and Tanla recently partnered with Microsoft and in January 2021, Wise One The product is launched.
• It is a blockchain-enabled communications platform as a service offering built on Microsoft Azure, a unique marketplace for enterprises and suppliers to intelligently deliver a global H2S network that connects your It Provides a private secure, and reliable communication experience.
• Tanla is the leader in the Indian sea-pass industry with 42% revenue market share and around 800 billion interactions per year.
Fundamental Analysis of Tarsons Products Ltd in 2022
Business segment
• If you look at the business segment of Tanla it works with both enterprises as well as telecom operators for example enterprises use the Tanla platform for SMS Marketing Two-Factor Authentication where the user is required to login to Omnichannel Communications Telecom Get OTP to SMS Voice Calls Chat Apps Email Push Notification and so on.
• Mobile operators use TANLA for services like SMS A Firewall which monitors your SMS traffic plug revenue leakage and product network from spam spoofs and other abusers, then it provides a PSMSC service which is a 2P messaging Short Message Service Center for Telecom Companies. ,
• This is basically for sending messages through the app.
Management
• If you look at the leadership, its chairman and chief executive officer is Mr. Uday Reddy, he is also the founder of the company, so he is the chief architect of the development, so that
Key strength
• If you look at the core strength of the company, the last major strength is innovation.
• The main reason for the extraordinary development of the Tanla Manch was an innovation.
• It built tools that work on the latest CPA technology and use other technologies such as blockchain and machine learning.
Competitor
• If you look at the competitors Tanla’s competitive route in India is mobile.
• If you look at the future growth by 2023, the global sea-pass industry is projected to grow to $47 billion by 2023.
Future development prospects
• The Indian c-pass addressable market is expected to grow to $1.1 billion, accelerating the pace of growth with the rapid adoption of digital transformation by enterprises and then increasing the smartphone user base for commerce and communications and the need for personalized and targeted communications powered by Omnichannel. Driven by necessity. Experience.
• Overall, ninety percent of enterprises globally will adopt CPA-driven growth in the coming years in 2018. Tanla had acquired Curix Mobile for 340 crores.
• Carix is a leading commercial cloud communications provider, reaching over 1500 enterprise customers across various industries across the country, with this transaction Tanla is India’s leading enterprise cloud communication with top clients in Banking, Insurance, Automotive, and DTH Retail has become one of the providers. , and many other platforms.
• Tanla also acquired Gamuga which is a big data and AI-powered omnichannel marketing automation platform that enables businesses to engage in person with their users across channels including SMS, email, voice, website, app, and other key channels.
• Gamooga is a marketing automation service provider for the b2c company, besides the last two latest products intelligently and high growth potential Triblock which is in the blockchain platform has a 63% market share in India and it is one day Manages over one billion transactions in the US. Wisely, which is in partnership with Microsoft, has been ranked amongst two of the top 10 Indian banks for secure and important notification.
• It has also entered into a multi-year partnership with Vodafone Idea, one of the largest deals in the c-pass industry globally, with the solution in February 2022. The Tanla platform will go live.
• There are also two new partnerships that will be announced soon in 2022, it is also in the final stages of launching its GTM which is a globally intelligent market strategy, so the growth potential for Tanla is not limited to India it will be global.
• We are not here for linear thinking. We are here for big opportunities, says Mr. Uday Reddy, Chairman and CEO of Tanla Platforms, My team is poised to be the fastest growing sea-pass company in the world, we are just getting started so you can understand the confidence level and growing respect for Tanla.
Tanla Platform Financial
Tanla Platforms Financials are as follows:
Tanla Platforms Financials
Increase in revenue
• If we look at the growth ratio, Tanla platforms revenue has increased from 432 crores in FY16 to 3001 crores by 21st December.
• Consistent and exponential growth in revenue over the last 5 years.
• The CAGR rate of growth is 40% which is exceptional.
Profit growth
• Tanla’s profit has increased from 7 crores in FY16 to 501 crores till 21st December.
• One-time decline in net profit in FY20 due to one-time adjustment in depreciation, CAGR growth, and profit is 110%, which is insane.
• Now you can see how the craziness of this company has grown in the last 5 years.
• This was mainly due to their innovative products using the latest technologies.
• The one-time fall in profit was only on account of higher depreciation otherwise operating profit in FY 20 was positive.
ROE and ROCE
• If you look at profitability, Tanla’s latest ROE is 24% and ROCE is 29.47%, which is good.
Debt to equity ratio
• It is a debt-free company, which is again great. So on debt to equity, I would rate it 10 out of 10.
• Now you actually find companies that are growing insanely with zero debt and at such high profitability, and that’s a recipe for a multi-bagger company. No wonder Tanla’s share price has risen more than 30 times in the last 3 years.
Shareholding pattern
• If we look at the shareholding pattern of Tanla, its promoters have continuously increased the stake from 35.06% to 43.74 percent in the company.
• FIIs have also increased their stake from zero to 13.46%.
• The most interesting aspect of the shareholding pattern is that the promoters have consistently increased the shareholding in the company, despite the huge jump in the share price.
• Tanla has announced its quarterly results and its revenue is up 35% year on year and profits are up 68% year on year. So Q3 has been a very good performance again.
Conclusion
• In this article, we discuss the basic principles of the tonal stage.
• Companies in the CPaaS (Communication Platform as a Service) business.
• It uses latest technologies like Blockchain, Cloud, Machine Learning etc. to provide services to both Enterprises and Telecom Operators including SMS OTP, Push Notification, Secure Messaging etc.
• Tanla is a leader in India’s CPaaS industry with 42% revenue share, and the industry is growing rapidly.
• With the acquisition Tanla is growing both organic and inorganic.
• Its financial position is looking strong with amazing growth and profitability and zero debt. The promoters of the company have continuously increased their stake in the company which shows the confidence of the promoter in the company.
• It is currently trading at a PE ratio of 35.75 around two P1300. Although a PE of 35.75 is generally considered high, it would command a premium, given the fact that Tonalla is moving fast.
• The stock has already recovered about 37% from its peak, and has a PEG ratio of less than 1 which makes it attractive even at current levels.
• Any downside in this stock will be a buying opportunity on the downside, but like I said, please do your research before investing your money. I hope you found this article useful.