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 “significant runway for growth” for the company.
OCBC Investment Research analyst Ada Lim has initiated “buy” on Mainboard-listed Info-Tech as she sees favourable secular growth trends — 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 — 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’s FY2024 revenue, which stood at $43.7 million. Info-Tech’s financial year-end is in December.
