IRIS Regtech Solutions Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

IRIS Regtech Solutions Ltd trades at ₹241, in a downtrend and 40 weeks into that stage. That is −11.1% against its own 200-day average. It sits at 12% of a 52-week range of ₹225 to ₹370. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 6 straight weeks.

Today the stock is in a downtrend — week 40 of stage 4, confirmed. At ₹241 it trades −11.1% versus its 200-day average and sits at 12% of its 52-week range (₹225–₹370).

Against the market, two honest reads. Cumulative: over the last 8.8 years the stock moved +610% while the NIFTY 500 moved +160% — ahead of the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 6 straight weeks — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

→ The trend is one thing; the bill is another. Are you paying up for it? Next: the P/E sits at the 0th percentile of its own range.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

IRIS Regtech Solutions Ltd trades at 4.1× P/E, about the cheapest it has ever traded. Its long-run median P/E is 52.0×, measured across 6.1 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 4.1× is about the cheapest it has ever traded, against a long-run median of 52.0× measured over 6.1 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

Why the multiple sits where it does: over the past year annual EPS moved +870.0% against a −36.2% price move — earnings outran the price, pushing the multiple DOWN its own range.

The price move, decomposed: over 5y, of the +21.8%/yr price move, ~+94.5%/yr came from earnings growth and ~−72.7 pp from the multiple (compressing). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is low against its own past, so the story rests on the earnings line underneath it, not the multiple.

→ Cheap or dear rides on the earnings. Are they actually growing? Next: the fundamental stage — where the business sits in its arc, and how growth has compounded.

Stage: Mixed Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

IRIS Regtech Solutions Ltd reads as mixed on its fundamental arc. Mixed — the growth curves are steadily positive, but ROCE at 11.0% is below the 15% bar this page requires to call it Consistent. The read is built from 8 quarters across 4 curves, on partial evidence.

Why it matters: when the curves disagree, the per-curve reads above matter more than any single verdict.

Return readings here are annual, not quarterly — read as level and direction only; they can confirm the growth curves but never drive the stage on their own.

A partial read: at least one curve is short, or the returns curve is not the computed quarterly series — hold the stage word a little more loosely.

→ The stage names the trajectory. Next: the revenue line that produces it, quarter by quarter.

4-Factor Sector Score

44.5/100 — rank 10 of 12 in IT Enabled Services · 83% evidence confidence

IRIS Regtech Solutions Ltd scores 44.5 out of 100 against the 12 companies it is compared with in IT Enabled Services, ranking 10. Cheap but unconfirmed: require improving earnings before treating the valuation as an opportunity.

The four contributions add to the total exactly: 14.8 + 12.2 + 13.9 + 3.6 = 44.5. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Revenue Revenue is the top line: everything the company billed its customers in the period.

IRIS Regtech Solutions Ltd reported ₹39.1 Cr of revenue in the Mar 26 quarter, +31.6% year on year. That is the 3rd straight quarter of year-on-year growth. Over 10 years it has compounded at 14.9% a year. The last full year, FY26, came in at ₹128 Cr. The last four reported quarters add to ₹128 Cr.

IRIS Regtech Solutions Ltd reported ₹39.1 Cr of revenue in the Mar 26 quarter, +31.6% year on year. That is the 3rd straight quarter of year-on-year growth. Over 10 years it has compounded at 14.9% a year. The last full year, FY26, came in at ₹128 Cr. The last four reported quarters add to ₹128 Cr.

FY26 revenue came in at ₹128 Cr (+16.4% on the year), capping 10 years at 14.9% compound. The latest quarter (Mar 26) printed ₹39.1 Cr, +31.6% year on year — the 3rd consecutive quarter of year-over-year growth.

Pace check: the last four quarters averaged +9.3% growth against the decade's 14.9% — the current year is running slower than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +9.7% over the last 4 quarters against +12.1%/yr over the last 8 — stabilising; TTM profit +855.0% vs +279.4%/yr — accelerating.

→ Revenue grew — did margins hold as it scaled? Next: 13.7% this quarter (−4.9 pp YoY).

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

IRIS Regtech Solutions Ltd's operating margin is 13.7% in the Mar 26 quarter, −4.9 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged −19.0% to 26.0%. The current quarter sits inside that band.

IRIS Regtech Solutions Ltd's operating margin is 13.7% in the Mar 26 quarter, −4.9 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged −19.0% to 26.0%. The current quarter sits inside that band.

The latest quarter's operating margin is 13.7%, −4.9 pp against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged −19.0%–26.0%.

🚨 Why the margin moved: operating margin went −4.9 pp year on year while gross margin went +0.0 pp — the loss came mostly below the gross line: operating leverage, with costs spread over a bigger revenue base.

→ Margins slipped — did that reach the bottom line? Next: profit +44.1% in the latest quarter.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

IRIS Regtech Solutions Ltd earned ₹4.2 Cr of net profit in the Mar 26 quarter, +44.1% year on year. It is the 3rd consecutive quarter of growth. Full-year FY26 profit was ₹127 Cr. That is 10.6% of the quarter's revenue. The same quarter a year earlier earned ₹2.9 Cr.

IRIS Regtech Solutions Ltd earned ₹4.2 Cr of net profit in the Mar 26 quarter, +44.1% year on year. It is the 3rd consecutive quarter of growth. Full-year FY26 profit was ₹127 Cr. That is 10.6% of the quarter's revenue. The same quarter a year earlier earned ₹2.9 Cr.

Mar 26 profit was ₹4.2 Cr, +44.1% year on year — the 3rd consecutive quarter of growth. On the full year, FY26 printed ₹127 Cr (+876.9%).

Why profit moved: revenue contributed +31.6% and the margin −4.9 pp — the quarter was revenue-led despite a thinner margin.

Pace comparison, last four quarters: profit +726.0% vs revenue +9.3%. Profit is growing faster than sales — fixed costs are being spread over a bigger base, and each extra rupee of revenue drops more to the bottom line.

→ Profit rose — but did the cash follow? Next: 97% of the last 3 years' profit arrived as cash.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years 97% of IRIS Regtech Solutions Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY26 that was ₹105 Cr of operating cash against ₹127 Cr of profit. After ₹5.0 Cr of capital spending, ₹100 Cr was left as free cash.

FY26: operating cash of ₹105 Cr against reported profit of ₹127 Cr, leaving free cash of ₹100 Cr after ₹5.0 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 97% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

Why conversion sits at 97%: the cash cycle held roughly steady between FY21 and FY26 — so conversion tracks profitability rather than the cycle.

Router verdict: the bigger cash user is investment — capital spending ran 1.9× depreciation over three years, so the next section's job is to check what that build-out is buying.

→ So follow the cash to where it goes. Next: ₹17.0 Cr of building over 3 years.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

IRIS Regtech Solutions Ltd's cash conversion cycle runs 78 days in FY26, down from 84 days in FY21. Capital spending ran ₹17.0 Cr over the last 3 years. At FY26 sales of ₹128 Cr each day of that cycle holds about ₹0.4 Cr, so roughly ₹27.0 Cr sits inside the business at any moment.

FY26: debtors at 78 days (an asset-light business — no inventory to speak of) — for a full cycle of 78 days, tighter than FY21's 84.

In money terms: at FY26 sales of ₹128 Cr, each day of the cycle holds about ₹0.4 Cr — so the 78-day loop keeps roughly ₹27.0 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹17.0 Cr over the last 3 fiscal years against ₹9.0 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹5.0 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: the cash is going into capacity, not disappearing into the cycle — the question becomes whether the new capacity earns.

→ Does all this activity actually earn its cost of capital? Next: ROCE is 11% and the ROIC − WACC spread is −5.3 pp.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

IRIS Regtech Solutions Ltd earns a ROCE of 11% in FY26. That is up from a trough of −23% in FY17. Return on invested capital clears the cost of that capital by −5.3 percentage points, so growth here is not yet paying for the capital it uses. The wiring behind it is 99.2% net margin on 0.51× asset turns.

FY26 ROCE is 11%, recovered from a FY17 trough of −23% — the full ladder below shows the fall and the climb, undoctored.

🚨 Why the return is what it is — the wiring (FY26): 99.2% net margin × 0.51× asset turns × 1.26× balance-sheet leverage ≈ 63.7% on equity. Margin is doing the heavy lifting; leverage is modest — this is an earned return, not a borrowed one.

The capstone test — ROIC − WACC: 6.7% − 12.0% = a −5.3 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. Negative — growth at these returns destroys value until the returns recover.

→ Returns like these — is the balance sheet borrowing to make them? Next: debt-to-equity is 0.01.

Debt Debt-to-equity says how much of the business is funded by borrowings; interest cover says how many times operating profit pays the interest bill. Low and high, respectively, is the safe corner.

IRIS Regtech Solutions Ltd carries ₹2.0 Cr of borrowings against ₹201 Cr of equity in FY26, a debt-to-equity of 0.01. Operating profit covers the interest bill 10×. Over 5 years borrowings went from ₹6.0 Cr to ₹2.0 Cr. Capital spending ran ₹17.0 Cr across the last 3 of those years.

FY26: borrowings of ₹2.0 Cr against equity of ₹201 Cr — a debt-to-equity of 0.01. Operating profit covers the interest bill 10×. Over 5 years borrowings went from ₹6.0 Cr to ₹2.0 Cr while capital spending ran ₹17.0 Cr in just the last 3 — the build-out is being paid for out of cash, not debt.

→ Who owns this, and are they adding or leaving? Next: Domestic institutions added 12.1 points over 8 quarters.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

Domestic institutions added 12.1 points of IRIS Regtech Solutions Ltd over 8 quarters, the biggest move on the register. That takes domestic institutions to 12.1% of the company. Promoters moved −2.5 points over the same window, to 34.6%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Domestic institutions: +12.1 points over 8 quarters to 12.1%; Promoters: −2.5 points over 8 quarters to 34.6%; Foreign institutions: +1.7 points over 8 quarters to 1.8%.

Why the register moved: domestic institutions drove it (+12.1 points), absorbed on the other side by promoters (−2.5 points) — steady accumulation by institutions reading the same numbers this page reads.

→ One last check: does the safety math agree? Next: the balance-sheet safety line.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

IRIS Regtech Solutions Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

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