CRIZACNSEAugust 05, 2025

Crizac Limited

8,678words
216turns
11analyst exchanges
0executives
Key numbers — 40 extracted
INR209.53
ill open up for Q&A. Over to you, Vikash sir. Sure. In the quarter one, company made a revenue of INR209.53 crotes. Our cost of services was 64% of the revenue, which s equivalent to INR134.38 crores compare
64%
. Sure. In the quarter one, company made a revenue of INR209.53 crotes. Our cost of services was 64% of the revenue, which s equivalent to INR134.38 crores compared to INR101 crores last year, quarte
INR134.38 crore
a revenue of INR209.53 crotes. Our cost of services was 64% of the revenue, which s equivalent to INR134.38 crores compared to INR101 crores last year, quarter-on-quarter basis. Which leads to a bit of INR60.47 c
INR101 crore
s. Our cost of services was 64% of the revenue, which s equivalent to INR134.38 crores compared to INR101 crores last year, quarter-on-quarter basis. Which leads to a bit of INR60.47 crores, which is 28% of our
INR60.47 crore
4.38 crores compared to INR101 crores last year, quarter-on-quarter basis. Which leads to a bit of INR60.47 crores, which is 28% of our revenue. The path is INR45.81 crores, which is 10% above last year. Last yea
28%
R101 crores last year, quarter-on-quarter basis. Which leads to a bit of INR60.47 crores, which is 28% of our revenue. The path is INR45.81 crores, which is 10% above last year. Last year we did INR41.
INR45.81 crore
n-quarter basis. Which leads to a bit of INR60.47 crores, which is 28% of our revenue. The path is INR45.81 crores, which is 10% above last year. Last year we did INR41.5 crores, which is INR45.81 crores is equiv
10%
ds to a bit of INR60.47 crores, which is 28% of our revenue. The path is INR45.81 crores, which is 10% above last year. Last year we did INR41.5 crores, which is INR45.81 crores is equivalent to 21% of
INR41.5 crore
is 28% of our revenue. The path is INR45.81 crores, which is 10% above last year. Last year we did INR41.5 crores, which is INR45.81 crores is equivalent to 21% of PAT. In terms of operational data, the company
21%
is 10% above last year. Last year we did INR41.5 crores, which is INR45.81 crores is equivalent to 21% of PAT. In terms of operational data, the company had 20% growth on quarter-on-quarter basis comp
20%
ich is INR45.81 crores is equivalent to 21% of PAT. In terms of operational data, the company had 20% growth on quarter-on-quarter basis compared to last year in the number of applications processed.
30%
: Yes, sure. First of all, congratulations on a great set of numbers. Quite good growth. I mean, 30% revenue, 18% EBITDA. And also on the application side, we see very strong growth in the number of
Guidance — 20 items
Management
qa
“And as Al is becoming more and more mature, we are trying to add the same on our platform, which will be used for interview and application assessment and processing.”
Management
qa
“And the AI will be used to improve the productivity of the employees and helping them in their day-to-day working.”
Management
qa
“And that's why there will be a churn in the overall top five.”
Management
qa
“But if you see, quarter 3 will be higher because of September intake.”
Rahil
qa
“So now, given the current business scenario, what kind of a growth CAGR outlook can you share on an overall annual basis for this year and next year?”
Rahil
qa
“So for FY 26 overall, we can expect this 30% and plus?”
Management
qa
“I think 25% will be more reasonable one.”
Mayank Agarwal
qa
“The first question is regarding, with over 50% of the revenue coming from our institutions, like from UK, and what safeguards are in place to mitigate client concentrations going forward?”
Management
qa
“Yes, so with over 50% of the revenue coming from just three institutions, what safeguards are in place to mitigate client concentrations going forward?”
Management
qa
“In terms of diversification, we have acquired a company called Raj Consultant last year, and which will be helping us diversify into US market.”
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Risks & concerns — 8 flagged
And just on a broad-cut basis, sir, I wanted to understand, I mean, how casy or how comfortable or how difficult is it for us to change a university?
— Management
I mean, how easy or difficult is it for us to getrevenue from different universities or get business from different universities?
— Management
It' very difficult to guess the change in number of applications because of that one.
— Management
So, for us to make differentiate between the impact of IPO would be difficult to gauge.
— Management
How are we looking at particularly UK applications to kind of go for this year and next 1-year as well, considering there have been a lot of talks that it's becoming difficult or whether the number of students going to UK for study is kind of coming down.
— Management
And you don' see a challenge for that number basically to come down or any problems for that, right?
— Kunal Shah
So it's not difficult for an analyst to model this, right?
— Omprakash
If that translates into student worker visa program also, student visa graduate, as well as the graduate, will it not be a challenge for us because given the fact that the base itself has gone up almost 7x in the last 5 years?
— Vikash Agarwal
Q&A — 11 exchanges
Q
Okay. So, my question is about Crizac Limited. First of all, I am very excited to see the individual investors. So, my question is from the Al perspectives, what Al techs are you looking to invest in? What kind of Al technologies you guys are looking to invest in the AI field? Sure. Vivaan, we have a very sophisticated electronic platform. This is the platform that we use. And as Al is becoming more and more mature, we are trying to add the same on our platform, which will be used for interview and application assessment and processing. We haven' used too much of Al as of today. Page 2 0of 21
Vivaan Saxena
Okay. Okay. Yes, that makes sense. Thank you. Thank you so much.
Q
Yes, hi. Thanks for giving the opportunity. Am I audible?
Management
Yes, Mihir. Yes, sure. First of all, congratulations on a great set of numbers. Quite good growth. I mean, 30% revenue, 18% EBITDA. And also on the application side, we see very strong growth in the number of applications being processed. Sir, I wanted to understand the number of enrollments. ‘What was the number of enrollments for 1Q 26 versus 1Q FY '25? Some color around that? Mihir, we do not disclose the students' numbers because those are sensitive data and have not even been disclosed in SAP. But it is in line with the number of applications processed. So, the ratio means consistency lik
Q
Yes, hi, good evening. Sir, firstly, on the revenue growth front, year-on-year you have posted a healthy 30% growth. And even for your annual growth rate in the past have been pretty strong, 50% plus. So now, given the current business scenario, what kind of a growth CAGR outlook can you share on an overall annual basis for this year and next year? Any visibility of sorts?
Management
Sure. Again, as said, we don't sce anything changing. If things remain the same, we believe similar level of growth as we have seen quarter-on-quarter basis. So for FY 26 overall, we can expect this 30% and plus? Wait, I can say yes. Is that a yes? Yes. Sorty, I couldn't hear you there. Yes, Page 4 0f 21 ‘@rizoc MAKING EDUGATION EASY Yes, okay, okay. And then coming to this margins front, although year-on-year basis in this quarter, they have dropped a bit, but 29% margin seems pretty strong. So are these sustainable or s there a scope for improvement there? These are sustainable. There's alwa
Q
Yes, please.
Management
Q
Thank you, sir, for the opportunity. And congratulations for the good set of numbers. So I just want to understand, if I was just looking at the realization, the revenue to the number of applications. So it was in Q1, this FY '26 was around 19,000, compared to Q1 of FY 25 was 24,000, and portfolio FY '25 was around 30,000. So how we should look going ahead? The realization is falling or should be in the vicinity of rise?
Manish Agarwal
Realisation if you are counting from the number of spent application, then? Yes. Number of application by revenue will not match, because applications are 6 to 9 months ahead of the intake. But revenue you get... Sir, you are not audible. Per unit revenue, because these are the very sensitive data and might affect the business. Your voice is breaking. Can you repeat once again? You are calculating the student based on number of student application by the total revenue, of the quarter. Correct? Yes. But that is not a right way of calculation, because we process the application 6 to 9 months ahe
Q
Hello, sir. Hi. Congratulations on the results. I just had a couple of questions I wanted to ask. The students and the applications you process, do you conduct any background checks for the same?
Management
Yes, whenever we get an application, we do our due diligence for those applications. Okay. And how long do you see the background checks? Pardon? ‘Yatharth Manish Hingar: How long does it take for you to decide a student whether they can come through Crizac and do the applications? T'm not able to understand your part. ‘Yatharth Manish Hingar: I'was asking you, background checks you mentioned you conduct, how long does it really take for you to do those background checks for one student? It doesn't take too much. Many of these information are available online where we can verify. For example,
Q
Not really. ‘Yatharth Manish Hingar: Okay. This is the last question. What would you say is the ratio of your applications from undergraduate to postgraduate? How many are undergrad usually and how many are postgrad?
Management
Sure. For UK, it would be 75% postgrad, 25% undergrad. ‘Yatharth Manish Hingar: Okay. Thank you so much, si. Thank you, Yatharth. Thank you. The next question is from the line of Niharikaa from Anand Rathi. Please go ahead. Hello, sir. Firstly, congratulations on a good set of numbers. My question is primarily around the cost of services. I think this quarter we saw a 100 bps rise in the cost of services. So, I just want to ask, like, what is the trend that we can expect going forward? What is going to be the cost of services as a percentage of our total revenue? Will it be lower from here on
Q
Hi. This is Kunal Shah from Camelian. Just one question I had. How are we looking at particularly UK applications to kind of go for this year and next 1-year as well, considering there have been a lot of talks that it's becoming difficult or whether the number of students going to UK for study is kind of coming down. So, if you would want to share your thoughts and how are we secing it because our application numbers are kind of increasing. So, if you want to share some thoughts on that, sir. Sure. Kunal, the number at the - for us has been growing for UK. and we believe it will remain strong
Kunal Shah
Got it. And you don' see a challenge for that number basically to come down or any problems for that, right? No, we don't see any challenges, but if the market remains the same, we believe a 30% growth in our numbers. Sure, sir. And also you would help understand the inbound strategy as well, right? We have been doing a lot of work in increasing various countries when it comes to inbound as well. So, if you would help understand a little bit on that particular piece as well, right? Sorty, what do you mean by inbound? The inbound applications that we receive from countries other than India. Yes
Q
Thank you. Can you hear me all right? Page 10 0f 21 ‘@rizoc MAKING EDUGATION EASY
Management
Yes. Thank you. Thanks for the opportunity. Just three questions from me, please. Firstly, and it's sort of like an extension to the previous question, we've scen this migration white paper in the UK and given it's your largest market, destination market, what's the outlook? I mean, you mentioned that you think 30% is sustainable. Is that because you're getting more market share or if it's because you're expanding your source countries? Thank you. Thats the first question. Chris, do you want to answer that? Yes, sure. Hi there. Thank you for the question. In terms of the white paper coming out
Q
Thank you. Yes. So my first question is 2% of your revenue in this quarter is a loss from forward contract. So that is a, I mean, that is a meaningful amount. Just wanted to understand, I mean, what exactly s this line item and how should we maybe expect this number in future, I mean, for example, in FY 262 Hi. We always hedge our inward remittance against the forex fluctuation. So this quarter, we had a loss of around INR4.5crores because we have booked the - we have hedged the amount a lower rate, but the major currency pound and euro has gone up. It might happen, we are at seeingas a loss i
Varun Singh
o there is a huge difference in terms of the conversion itself. I mean, or I don't know what the reasoning behind it is. Just wanted some clarity behind because our current number of 59%, 60% application growth is quite healthy. So if you can explain the FY 25 and 24 linkage of application growth, not tying up squarely with the growth that we have experienced. That's my last question. In terms of growth of application compared to quarter one of '24 to 25, we had a roughly 70% growth. Last quarter we did 65,000 students. This quarter we did 110. This growth should translate into a higher number
Q
Yes, thanks for giving the follow. Sir, I wanted to understand the revenue recognition side. When do we recognize the revenue? Is it only when the student gets enrolled in the university? When do we recognize the revenue and when do we recognize the commission expenses?
Management
We recognize the revenue. Hello? Yes, sir. Yes. We recognize the revenue once the student is enrolled at the university and the university confirms that the amount is payable to us. At that moment. Now, when it comes to cost of sales, we recognize it immediately once we book the revenue. Okay. Understood. Sure. The second question was on the split between PG and UG. In enrollment, what will be the split between PG and UG and in applications, what will be the broader split between PG and UG? Normally, 75% of applications are postgraduate and 25% are undergraduate. Okay. And even in enrollment,
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Speaking time
Management
100
Omprakash
22
Muhammed Sufyan
16
Moderator
14
Himanshu
9
Rahil
8
Manish Agarwal
8
Mihir Manmohar
7
Varun Singh
5
Mihir Manohar
5
Opening remarks
Samarth Patel
Hi, good afternoon, everyone and welcome to Crizac's Q1 FY '26 carnings conference call. We have with us Dr. Vikash Agarwal, Chairman and Managing Director of the company, Mr. Manish Agarwal, Chief Financial Officer of the company and Mr. Christopher Nagle, Chicf Executive Officer of Crizac UK.
Vikash Agarwal
Vikash sir, if you can start by giving your overview on the 1Q FY '26 performance as well as outlook for FY 126 and beyond and then we will open up for Q&A. Over to you, Vikash sir. Sure. In the quarter one, company made a revenue of INR209.53 crotes. Our cost of services was 64% of the revenue, which s equivalent to INR134.38 crores compared to INR101 crores last year, quarter-on-quarter basis. Which leads to a bit of INR60.47 crores, which is 28% of our revenue. The path is INR45.81 crores, which is 10% above last year. Last year we did INR41.5 crores, which is INR45.81 crores is equivalent to 21% of PAT. In terms of operational data, the company had 20% growth on quarter-on-quarter basis compared to last year in the number of applications processed. This quarter we processed 1,10,000 applications compared to 65,000 processed in the fourth quarter of 2024. Overall, we also saw an increase in total number of agents joining our platform and registering at the platform as well These are
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