Intense Technologies Ltd Management Discussions.

Ever growing customer relationships, stable revenue and breakthrough for UniServe™ NXT platform

This year consolidated revenue stood at Rs 5,801.82 lakhs compared to Rs 5,504.97 lakhs last year with EBITDA of

Rs 1,272.17 lakhs compared to EBITDA of Rs 817.87 lakhs last year. A continuous increase in annuity revenues year after year establishes the growing strength of our relationship with existing customers. We are strategically partnering with our customers to become integral to their business. Our platform UniServe™ NXT will help enterprises navigate their future in the digital era. This fiscal we have penetrated deeper into the insurance and banking verticals in domestic markets and globally we have strengthened our telecom footprint. We were successful in closing few deals for UniServe™ NXT platform.

Following are the highlights:

Strengthening relations with customers:

• Our managed services contract with a public sector organization in India is back on track and operational. Phase 1 and 2 of the project is live- Pan India. We are working with the service provider on new service innovation as part of phase 2.

• A leading private bank in India has implemented our solution on Azure cloud and is poised to engage more with us in the near future.

Service innovation of data monetization using UniServe™ NXT platform:

• As part of the second phase of our managed services deal with a public sector telecom service provider in India, we are slated to launch unique data monetization services built on UniServe™ NXT platform.

• The service provider will soon launch loyalty management program through coupons, which will lead to a win-win situation of revenue generation for Intense and the service provider.

Deeper penetration into the insurance and government verticals

• We have expanded our engagement within the insurance industry in India by working with all leading life / general insurance companies. Our solutions are critical components of their business and help them elevate customer experience and expedite time to market.

• We are working with a large system integrator to send income tax returns related communications to all tax-assesses of India.

New breakthrough for UniServe™ NXT platform:

• Judicial body of a Southeast Asian country is digitalizing their lawyer management system using UniServe™ NXT.

• A large telecommunications contractor in USA is implementing a solution built on UniServe™ NXT platform to automate their wholesale order management process.

Industry structure and developments:

• Todays enterprises need to continuously reinvent themselves and explore new business models to remain relevant to their customers.

• A partner ecosystem built around the digital platform is soon becoming a reality in many verticals like banks, insurance, retail and health.

• Digital platforms help in bringing out business model transformation that aligns with changes to operating processes, organizational structure and IT systems.

• Platform is a binding force that brings together multiple stakeholders including connected things with varying objectives to co-exist.

• Platform works with existing products and services to enhance them or combine to form new ones.

• High-productivity application development platforms like UniServe™ NXT, essentially accelerate the entire process of collaborating with partners in a secured way, redefining customer experiences and bridging legacy systems for business agility.

• With UniServe™ NXT platform, business will get closer to the customer and rapidly innovate as market conditions and business relationships change.

How UniServe™ NXT is addressing the emerging need for a digital business platform

• UniServe™ NXT helps enterprises to enable their services through digital channels and also collaborate with external players to build competitive edge and explore new business models.

• It helps enterprises reimagine themselves to be more responsive to the demands of the market.

• UniServe™ NXT with its open, modular architecture supports co-existence of various technologies like BPM, user experience design, data management, configurable API engine and AI capabilities on a single platform.

• Enterprises can leverage various functionalities to build custom solutions or digitalize business processes with required flexibility and extensibility.

• Our customers can take advantage of the modularity of our platform as new technologies can be easily added to the existing capabilities without disruption.

• There is no vendor lock-in as complete solutions or specific micro services can be exported to other platforms/environments seamlessly with UniServe™ NXT.

• As more and more enterprises are moving towards building their digital platforms to attain various business objectives from enhancing customer experience to exploring new revenue streams they are involving System Integrators to help them execute their plans.

• We partner with various System Integrators who have deep penetration into the global markets to help them execute a digital platform strategy for large enterprises.

• Our unique business model of directly engaging with large enterprises in the domains and markets where we have a strong presence and partnering with System Integrators to increase reach into global markets and newer verticals will help us in leveraging the opportunity while keeping our expenses low.

• Our platform will help organizations lower customer support costs, improve revenue generating avenues, enhance customer experience, reduce operational expenses of technology and collaborate securely with other players in the ecosystem.

• All of these are essential elements of reimagining the value proposition our customers deliver.

Following are the use cases of the platform that we intend to take to market:

AI based dynamic pricing: Machine learning to correlate pricing trends with sales trends. Adjust pricing with respect to changing customer demographics and business priorities.

Natural language processing: Enables people to have conversational experience with computers through text and voice. We have integrated with popular virtual assistants and Googles AI services to empower our low-code platform.

Customer journey orchestration: Personalized offers based on customers transaction history and demographic information.

Backed by comprehensive technology capabilities and tailored to use cases that have high relevance in the market, UniServe™ NXT platform is poised for fast growth.


The digital platform market is one of the fastest growing markets. Advanced technologies such as IoT, Artificial Intelligence, RPA and cloud are playing a crucial role in driving the growth of digital platform market. According to Stratistics MRC, the Global Digital Intelligence Platform market is expected to grow from $5.75 billion in 2017 to reach $25.78 billion by 2026 with a CAGR of 18.1%.

Digitalizing organizational business functions to serve changing customer preferences and enhance operational efficiency, rapid proliferation of mobile devices and apps, increasing penetration of IoT, adoption of cloud services and the need to improve operational performance to gain competitive advantage are some of the major drivers of this market.


Intense Technologies has been positioned in the Aspire Leaderboard 2019 Business Automation grid as ‘Leader and as ‘Aspirational in the Overall Leaders grid for CCM, Communication Composition and Omni-channel orchestration.

Aspire Customer Communications Services is a boutique consulting firm specializing in the Customer Communications Management (CCM) and Digital Customer Experience (DCX) industries.

Intense Technologies has been recognized by Gartner and published as a Niche Player in Gartner Magic Quadrant for Customer Communications Management in 2017. In 2016, Intense Technologies won the iCMG Architecture award of excellence for emerging technologies in technical category under future IT and in 2015 Forrester prominently published us in their report titled "Hot Emerging Indian Business Technology Vendors to Watch in 2015".

Business Strategy:

Our Outlook:

Our strategic objective is to build a sustainable organization that remains relevant to our customers, while creating growth opportunities for our employees and generating profitable growth for our investors.

• Our customers are dealing with the challenge of reinventing their core offerings, processes and systems to adapt to the digital age.

• The journey of digital future requires not just understanding of new technologies but an appreciation of existing technology landscapes, business processes and practices.

• Our platform helps our customers execute their journey to the digital future at a fast pace in a unified, consistent and rich way thus enabling digital channels to consume the underlying technology capabilities and services of legacy systems, and produce next generation digital customer experiences.

• They are able to build new enterprise solutions in swifter timelines, experiment new business process logic and build new partner ecosystems with our platform.

• We are going to launch innovative pricing models of our platform and the solutions built on them to reflect pay-as-you-use and SAAS models.

• Our service innovation of enabling enterprises to monetize subscriber information for loyalty management will lead to generation of new revenue streams both for us and our customers.

• We are also taking steps towards focusing on some of our core IP assets like UniServe™ NXT platform and Loyalty Management System built on the platform to enable subscriber monetization.

• We would be scaling these business units by having strategic partnerships to expand into global markets.

• We are a global enterprise software products company, headquartered in India with a strong and emerging presence in USA, LATAM, EMEA and APAC.

• We serve customers in 45+ countries across 4 continents, have 10+ years of experience in telecom and insurance domains, and an award-winning product portfolio.

• Today, we process 25 billion USD worth of client revenue data, help onboard 2.5 million customers daily, send more than 500 million notifications every day and have a 500 million customer base across our engagements.

• Our solutions are cloud-based and seamlessly integrate into the clients existing systems, without the need to rip and replace existing hardware or software, leading to a rapid return on investment; and technology not being a hurdle.

• We serve customers in telecom, banking, insurance and government verticals who contribute a significant annuity and services revenue.

• We are closely working with large system integrators like IBM, Infosys, TCS, Tech Mahindra amongst others to deploy them in their labs and train them to build enterprise applications.

With our technological innovation, trust of our customers, immense potential for the digital platform in global markets and talented human resources we are geared for reaching new heights in our business.

Financial performance with respect to operational performance:

Financial Results (Standalone):

Rs Lakh FY19 FY18
Total Revenues (incl. other income) 5,709.12 5,334.44
EBITDA (incl. other income) 1,246.86 1,307.33
Net Profit 660.14 445.88
Basic EPS (Rs) 2.95 2.02

The performance during the year shows the strength of our business operations. We have optimized our operations costs. New implementations and order wins have also picked up pace during the quarter. We remain focused on further increasing this momentum in the coming years and are confident of delivering an improved progress across our business model.

For standalone YOY revenue stood at Rs 5,709.12 lakhs with EBITDA at Rs 1,246.86 lakhs in FY19. For consolidated, in FY19, revenue stood at Rs 5,801.82 lakhs compared to Rs 5,504.97 lakhs last year with EBITDA of Rs 1,272.17 lakhs compared to EBITDA of Rs 817.87 lakhs last year.

The scaling up of operations in the domestic and targeted international geographies is further expected to propel the Companys performance in the quarters ahead.

Risks and Concerns

This section lists forward-looking statements that involve risks and uncertainties.

Risk factors that may affect our ability to grow profitably

• Investing on technology related products and services by our clients and potential clients is subject to fluctuations depending on many factors, including both the economic and regulatory environment in the markets in which they operate.

• Economic slowdown or other factors may affect the economic health of countries or those industries where our revenues are concentrated.

• Long sales cycles are typical to our line of business as these are invariably strategic decisions and involve stringent evaluation criteria of long RFPs, POCs, demonstrations, etc. Such delays in the entire process can impact the timing of predicted revenues.

• Long revenue realization cycles are common in the domain we operate as large enterprises have their own payment policies and delays in milestones negatively impacts revenue cycles.

• Increased competition in the market for digital platforms could affect our win rates and pricing, which could reduce our market share and decrease our revenues and / or our profits.

• Globally, we are dependent on many system integrators and partners to improve our reach to global markets and ride on their brand. While we are scaling and expanding our reach to global markets and exploring direct sales opportunities, there will be pressures on margins in the immediate term.

• Our business will su_er if we fail to anticipate and develop new solutions and enhance existing ones in order to keep pace with rapid changes in technology and in the industries on which we focus.

• A large part of our revenues is dependent on a limited number of clients, and the loss of any one of our major clients could significantly impact our business.

• Our failure to complete fixed-price and fixed-timeframe contracts, within budget and on time, may negatively affect our profitability.

• Our client contracts can typically be terminated without cause and with little or no notice or penalty, which could negatively impact our revenues and profitability.

• Our client contracts are often conditioned upon our performance, which, if unsatisfactory, could result in lower revenues than previously anticipated.

• We may be unable to recoup investment costs incurred in developing our software products and platforms.

• We may engage in acquisitions, strategic investments, strategic partnerships or alliances or other ventures that may or may not be successful.

• Our expenses are difficult to predict and can vary significantly from period to period, which could cause our share price to decline.

• Any inability to manage our growth could disrupt our business, reduce our profitability and adversely impact our ability to implement our growth strategy.

Risk factors that may affect our operations and our ability to meet the expectation of our stake holders

• Currency fluctuations and declining interest rates may affect the results of our operations.

• Our success depends largely upon our highly-skilled technology professionals and our ability to hire, attract, motivate, retain and train these personnel.

• Our success depends in large part upon our management team and key personnel and our ability to attract and retain them.

• Our work with governmental agencies may expose us to additional risks.

• Our reputation could be at risk and we may be liable to our clients or to regulators for damages caused by inadvertent disclosure of confidential information and sensitive data.

• Our reputation could be at risk and we may be liable to our clients for damages caused by cyber security incidents.

• Our reputation could be at risk and we may incur financial liabilities if there are any privacy breach incidents under General Data Protection Regulation (GDPR) or other similar regulations across the globe and if we are not able to take necessary steps to report to the regulators within the stipulated time. Further, any claim from our customers for losses su_ered by them due to privacy breach by our employees may impact us financially and affect our reputation.

• We may be the subject of litigation, which if adversely determined, could harm our business and operating results.

• Our insurance coverage may not be adequate to protect us against all potential losses to which we may be subject, and this may have a material adverse effect on our business.

• The markets in which we operate are subject to the risk of earthquakes, floods, tsunamis, storms and other natural and man-made disasters.

• The safety of our employees, assets and infrastructure may be affected by untoward incidents beyond our control, impacting business continuity or reputation.

• Terrorist attacks or a war could adversely affect our business, results of operations and financial condition.

• New and changing regulatory compliance, corporate governance and public disclosure requirements add uncertainty to our compliance policies and increase our costs of compliance.

• The intellectual property laws of India do not give sufficient protection to software to the same extent as those in the US. We may be unsuccessful in protecting our intellectual property rights. We may also be subject to third-party claims of intellectual property infringement.

• In the event that the Government of India or the government of another country changes its tax policies in a manner that is adverse to us, our tax expense may materially increase, reducing our profitability.

• We operate in jurisdictions that impose transfer pricing and other tax-related regulations on us, and any failure to comply could materially and adversely affect our profitability.

• Changes in the policies of the Government of India or political instability may adversely affect economic conditions in India generally, which could impact our business and prospects.

• Our international expansion plans subject us to risks inherent in doing business internationally.

Material developments in human resources/ industrial relations, including number of people employed

Human capital

• Our professionals are our most important assets. We believe that the quality and level of service that our professionals deliver are of the highest standard and has won the trust of our customers. We are committed to remaining passionate about exceeding expectations.

• As of March 31, 2019, we employed 343 employees. During fiscal 2019, we added 122 new hires.


• We have built our talent pool by recruiting students from good universities, colleges and institutes in India. We also recruit local sales and operational talent from US, UK, and MEA regions. We rely on a rigorous selection process involving aptitude tests and interviews to identify the best applicants. This selection process is continually assessed and refined based on the performance tracking of past recruits.

Training and development

• The competency development of our employees continues to be a key area of strategic focus for us. We launched new programs for our employees in keeping with the changes in the use of technology in education. We enhanced our technology-led training efforts in multiple areas. We took a Learning Management System (LMS) portal approach to make learning content available to our employees that allows our employees to access learning content from anywhere, at any time, and learn at a time convenient for them.


• Our professionals receive competitive salaries and benefits. Our variable compensation program links compensation to the company and individual performance.

• In order to attract, retain and motivate talented employees we have introduced a monthly feedback system to assess performance. We have also introduced Intense Employees Stock Option Scheme (ESOP) to retain talent.