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Info-Tech
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Joelton
Supreme |
30-Aug-2025 13:33
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OCBC Investment Research initiates &lsquo buy&rsquo on Info-tech with target price of $1
 
OCBC Investment Research analyst Ada Lim has initiated &ldquo buy&rdquo on Mainboard-listed Info-Tech as she sees favourable secular growth trends &mdash such as the global movement towards software-as-a-service (SaaS) offering, rising focus on human resource and finance departments, as well as a growing need for companies to stay compliant and mitigate regulatory risks &mdash benefitting the human resource management software firm.
 
Referring to information from research and analysis firm Converging Knowledge, Lim notes that the small- and medium-sized enterprise (SME) market for cloud-based SaaS human resource management software and accounting software for Singapore, Malaysia, Hong Kong and India is estimated to be at US$3.3 billion ($4.24 billion) in 2024, 100 times Info-Tech&rsquo s FY2024 revenue, which stood at $43.7 million. Info-Tech&rsquo s financial year-end is in December.
 
In her Aug 29 report, Lim adds that these geographies are expected to grow at compound annual growth rates (CAGR) of 11.9%, 9.2%, 10% and 7.2% from FY2025 to FY2029, which means there is &ldquo significant runway for growth&rdquo for the company.
 
For its 1HFY2025 results, Lim notes improvements, including Info-Tech&rsquo s revenue, which grew by 4.7% y-o-y to $22.4 million due to faster growth from its overseas markets. The increase was underpinned by a 15% growth in the number of human resource management software users and a 28% increase in accounting customers since the end of FY2024. Info-Tech&rsquo s gross customer retention rate also improved by 3 percentage points to 94% in the six months.
 
Overall, the group reported an adjusted net profit of $7.2 million for the 1HFY2025, 9% higher y-o-y, as higher labour costs from an increase in research and development (R& D) headcount were offset by lower selling and distribution costs and tax expense.
 
In 2HFY2025, Info-Tech&rsquo s management believes it will see higher growth as the company continues to focus its marketing spend on initiatives with higher returns on investment (ROI), says Lim.
 
The analyst has also initiated a target price estimate of $1, which represents a P/E multiple of 16 times to her forecasted FY2026 earnings per share (EPS) of 6.4 cents.
 
&ldquo Our target P/E multiple is derived from applying a 20% discount to the average P/E of the company&rsquo s peers, taking into account Info-Tech&rsquo s focus on Asia and relatively smaller market capitalisation versus some of its peers and notwithstanding its industry-leading profit margins,&rdquo says Lim.
 
In her view, key near-term growth catalysts include a &ldquo deeper penetration of existing markets and the launch of new products&rdquo , while downside risks include a &ldquo sudden intensification of competition&rdquo due to the fragmented market landscape the company is operating in. Deteriorating macroeconomic conditions, which may impact SMEs and increase Info-Tech&rsquo s credit risk, are another negative.
 
In FY2025, Lim has forecast the company to report revenue of $53.6 million with a profit after tax of $16.5 million.
 
With Info-Tech&rsquo s last-closed price of 86 cents on Aug 28, the company&rsquo s dividend yield is at 4.1% based on Lim&rsquo s FY2025 estimates.
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SmallSmall
Supreme |
29-Aug-2025 11:29
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Aletheia Capital starts Info-Tech at &lsquo buy&rsquo , expecting $18 million ebitda in FY2025With a &ldquo buy&rdquo call on Info-Tech, Tiruchelvam values the company on a discounted cash flow model, leading to his target price of $1.17Info-Tech, which listed on the Singapore Exchange in July, is poised to capture Southeast Asia&rsquo s SME digitalisation wave, writes Nirgunan Tiruchelvam. Photo: Info-Tech Systems
 
Nirgunan Tiruchelvam of Aletheia Capital has initiated coverage on newly listed payroll software software provider Info-Tech Systems, praising its &ldquo resilient&rdquo software-as-a-service (SaaS) framework targeted at small- and medium-sized enterprises (SMEs). &ldquo It supports high client retention and strong operating efficiency. Government support programmes, such as Singapore&rsquo s PSG (Productivity Solutions Grant) improve onboarding economics by lowering customer acquisition costs. With recognised certifications (ISO and MTCS) and a unique product range, Info-Tech is well-positioned to expand into multiple markets in Asean,&rdquo writes Tiruchelvam in an Aug 29 note.   |
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n3wbie
Elite |
10-Aug-2025 20:46
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A new listing and positioned as a value stock is just quite a joke. Even if its a yield stock, why not just allocate to s-reits which gives higher returns with greater visibility. It is going to be really challenging for them to regain investors' confidence. Will see how market reacts to the share price tomorrow.
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k2kingkong
Senior |
09-Aug-2025 13:58
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Investment Analysis: Info-Tech Corporation (Listed on SGX)1. Revenue Decline & Business OutlookInfo-Tech&rsquo s declining revenue could stem from:
If earnings and dividends are expected to decrease, the stock may  not  be a strong growth play but rather a  value or turnaround candidate  (if management executes a recovery strategy). 2. Why Not List on Nasdaq?Possible reasons Info-Tech remains on SGX instead of Nasdaq:
3. Valuation & Entry PriceGiven declining earnings, traditional valuation methods apply: a) P/E Ratio Approach
b) Dividend Discount Model (if dividends persist)
c) Technical Support Levels
Suggested Entry:  SGD 0.45&ndash 0.50  (assuming no further deterioration in fundamentals). Final Verdict
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n3wbie
Elite |
09-Aug-2025 13:38
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Not sure how to make, first set of earnings with revenue and gross profit up marginally and EPS down > 20% y/y. Got some dividends which is good but isnt this meant to be a growth stock rather than a yield stock? Have they got their positioning completely wrong?
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Joelton
Supreme |
09-Aug-2025 13:17
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Newly-listed Info-Tech reports lower earnings of $5.16 mil for 1HFY2025 due to one-off expenses
Newly listed Info-Tech has reported earnings of $5.16 million for the 1HFY2025 ended June 30, down 21% y-o-y.
 
Revenue came in 5% y-o-y higher at $22.4 million for 1HFY2025, and gross profit increased by 3% y-o-y to $19.1 million.
 
Excluding the one-off listing-related expenses of $2.0 million and one-off Malaysia office relocation-related expenses of $0.1 million, earnings would have increased 9% y-o-y to $7.2 million for the 1HFY2025.
 
The group says that the topline improvement was largely due to a $1.3 million increase in subscription revenue, which includes its proprietary cloud-based one-stop HRMS solution, which is its main product line and accounts for more than 80% of total revenue, as well as its Accounting Software.
 
The group registered a double-digit revenue growth of 28% to $4.9 million from Malaysia and 29% to $1.6 million from Others, which include Hong Kong and India, but sales from Singapore remained relatively stable at $15.9 million.
 
As at June 30, the group&rsquo s cash and cash equivalents stood at $33.7 million excluding IPO proceeds. Order book amounted to $26.8 million, representing advance billings primarily for subscription services for the next 12 months.
 
The group says that this provides revenue visibility for the next half of its financial year ending Dec 31.
 
The board of directors has declared an interim dividend of 1.55 cents per share, 55% of the group&rsquo s adjusted net profit after tax for 1HFY2025.
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spursfan
Supreme |
08-Aug-2025 18:00
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https://links.sgx.com/1.0.0/corporate-announcements/I91ICJC5TZ1M2HKW/854876_2_Info-Tech%20-%20Press%20Release_1H2025%20Results.pdf | ||||
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n3wbie
Elite |
05-Aug-2025 21:33
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Share price been weak ahead of upcoming earnings... are they going to disappoint on their first set of results? | ||||
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shk363
Elite |
04-Aug-2025 16:44
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all counters green except this one | ||||
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Sgvale
Supreme |
04-Aug-2025 16:42
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Good & wide customers base in many countries yet share price not liquid. | ||||
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Sgvale
Supreme |
04-Aug-2025 13:17
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Watch this. Bottom out at 0.80 today. | ||||
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cherintc
Senior |
01-Aug-2025 11:33
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Both big IPOs not doing well... so much hype for the first main board ipo in 4 years.
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n3wbie
Elite |
01-Aug-2025 10:39
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Thanks but really a SaaS company should be recording higher than 15% y/y topline growth if we reference playbook of US tech firms given the scalability and operating leverage that they enjoy. Let' s see how their 1H numbers look.
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Sgvale
Supreme |
01-Aug-2025 09:15
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Watching this. | ||||
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MrBear12
Supreme |
23-Jul-2025 20:20
Yells: "Cast all our anxieties on Jesus for He cares for us" |
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For the year ended Dec 31, 2024, Info-Tech cited top-line growth of around 15 per cent year on year to $43.7 million, thanks to a jump in revenue of its cloud accounting software.
Net profit for the period grew 17.6 per cent to $12.3 million.
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n3wbie
Elite |
23-Jul-2025 19:09
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Mind sharing your views? Stock isnt the cheapest in terms of valuations, growth in largest core market (i.e. Singapore) has plateaued so wondering where are the growth drivers. They were $30m net cash before IPO so that should be > $50m so would be keen to see how they put money to work and how their returns on capital look like. Would very much prefer a growth rather than a yield stock.
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MrBear12
Supreme |
23-Jul-2025 12:05
Yells: "Cast all our anxieties on Jesus for He cares for us" |
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Good stock | ||||
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smallsgshare
Senior |
23-Jul-2025 12:03
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Very strong selling | ||||
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n3wbie
Elite |
22-Jul-2025 22:22
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After a strong few days of IPO, it is now underwater... | ||||
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Joelton
Supreme |
14-Jul-2025 08:53
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Info-Tech Systems
Info-Tech Systems : ITS -0.56% officially listed on Jul 4, with Setin Subramanian Dilip Babu &ndash executive director, CEO, and controlling shareholder &ndash at the helm. 
 
Holding a direct stake of 41.42 per cent, Babu has been instrumental in shaping the company&rsquo s evolution into a leading provider of HR and accounting solutions. His journey began with a degree in agricultural engineering from Coimbatore in 1996. In pursuit of greater opportunities, he moved to Singapore in 2000, only to face the daunting challenge of unemployment. Undeterred, he printed 100 copies of his resume and personally canvassed the city, knocking on doors in search of a breakthrough. 
 
That persistence led to his first role as a software engineer at Info-Tech Systems, then a small startup with just five employees. From those modest beginnings, Babu&rsquo s leadership propelled the company into a global enterprise, now employing over 500 staff, serving over 30,000 customers, and supporting more than one million users worldwide. He spearheaded the modernisation of Info-Tech&rsquo s legacy disc operating system and Windows systems, transforming them into a cloud-based human resources (HR) management system and accounting platform. 
 
His mission remains clear: to deliver affordable, intuitive software that empowers small and medium-sized enterprises to streamline HR and financial operations, helping them thrive in today&rsquo s fast-paced business environment. The stock maintains a market capitalisation of S$228 million as at Jul 10.
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