Radiant Cash Management Services Expands Footprint, Eyes Digital Payment Solutions

Radiant Cash Management Services Limited (RCMS) has announced plans to expand its operations and venture into digital payment solutions, as revealed in its recent board meeting and financial results.

Expansion and Digital Transition

RCMS aims to strengthen its market presence by expanding its footprint across more than 14,500 pin codes and 75,000 touch points. The company's focus remains on Tier 2 and 3+ cities, which contribute over 80% of its revenue. This expansion strategy aligns with the company's goal to leverage its extensive physical network while transitioning into the digital payments ecosystem.

In a significant move, the board has approved a proposal to enter the Payment Aggregator Business, subject to necessary approvals from the Reserve Bank of India (RBI) and other regulatory authorities. This initiative is part of RCMS's strategy to create a "phygital" (physical + digital) platform that integrates cash management with digital payment processing.

Financial Performance

RCMS reported the following consolidated financial results:

Metric	Q2 FY26	Q2 FY25	YoY Change
Revenue from Operations	₹1,047.33	₹1,070.38	-2.15%
EBITDA	₹139.80	₹206.90	-32.43%
PAT	₹76.61	₹130.13	-41.13%
EBITDA Margin	13.10%	19.00%	-590 bps
PAT Margin	7.20%	12.00%	-480 bps

The company's financial performance shows a slight decline in revenue and profitability compared to the same quarter last year. However, RCMS reported a sequential improvement, with revenue growing by 4.6% and EBITDA margins improving by 150 basis points compared to the previous quarter.

Operational Highlights

Total cash movement stood at ₹412.60 billion.
The company added 10 new clients and 120 new end customers in the current financial year so far.
RCMS maintains a strong presence in Tier 2 and 3+ markets, with 82.5% of touch-points and 83.9% of revenues coming from these areas.

Strategic Initiatives

To drive sustainable growth and improve profitability, RCMS plans to:

Leverage technology-led API integration and automation to enhance operational efficiency.
Implement strong risk management practices.
Add new clients and introduce value-added services in cash logistics.
Expand into the digital payments ecosystem, subject to regulatory approvals.

The company's board has also approved amendments to its Memorandum of Association to include new objectives related to payment aggregation and digital payment solutions.

As Radiant Cash Management Services navigates the evolving landscape of cash management and digital payments, the company appears poised to capitalize on its extensive network while adapting to the growing demand for integrated payment solutions.

Investors and stakeholders will be watching closely to see how these strategic initiatives impact the company's future performance and market position in the competitive financial services sector.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+1.31%	-0.77%	-7.57%	-18.22%	-32.45%	-49.93%

Radiant Cash Management Services Limited , a key player in the cash logistics industry, has reported its financial results for the second quarter of the fiscal year. The company experienced a decline in profitability despite maintaining stable revenue figures.

Financial Performance

For the quarter ended September 30, Radiant Cash reported the following key financial metrics:

Metric	Q2 FY2026	Q2 FY2025	YoY Change
Revenue	₹1,001.03	₹1,023.88	-2.23%
Net Profit	₹96.83	₹122.74	-21.11%
EBITDA	₹133.00	₹176.00	-24.43%
EBITDA Margin	13.31%	17.20%	-389 bps

The company's revenue remained relatively flat at ₹1,001.03 crore compared to ₹1,023.88 crore in the same quarter of the previous year, showing a marginal decrease of 2.23%. However, the net profit saw a significant decline of 21.11%, dropping to ₹96.83 crore from ₹122.74 crore year-over-year.

Operational Performance

Radiant Cash's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) decreased to ₹133 crore from ₹176 crore in the corresponding quarter of the previous year, representing a 24.43% reduction. The EBITDA margin compressed to 13.31% from 17.20%, indicating a decrease of 389 basis points.

Strategic Initiatives

In a significant development, the company's Board of Directors has approved a proposal to enter the Payment Aggregator Business. This strategic move is subject to obtaining necessary approvals and licenses from the Reserve Bank of India and other regulatory authorities. The company plans to invest approximately ₹30 crore in this new venture, aiming to enhance its digital service offerings and expand its "phygital" (physical + digital) payments ecosystem.

Amendments to Memorandum of Association

To facilitate the expansion into digital payment solutions, Radiant Cash Management Services has proposed amendments to its Memorandum of Association. The company plans to add new clauses that will allow it to operate as a payment aggregator and payment gateway, subject to regulatory approvals. These amendments will enable the company to provide secure online and offline payment systems, facilitate business payments and settlements, and create platforms for domestic and foreign payment facilitation.

Outlook

While the company faces challenges in maintaining its profitability, the move towards digital payment solutions indicates a strategic shift to diversify its revenue streams and adapt to the evolving financial services landscape. The success of this initiative may play a crucial role in the company's future growth and market position.

Investors and stakeholders will be closely watching how Radiant Cash Management Services navigates this transition and whether it can leverage its existing infrastructure to build a competitive advantage in the digital payments space.