PNippon Life India Asset ManagementExecutive Cockpit
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PPavion · Executive Cockpit

Board Pack

Value creation, performance and risk review — FY26 (modeled). Fire Safety · Security · Integration.

$460M
Revenue (modeled)
0+
Acquisitions since 2020
1,200
Employees
Top 5 Indian AMC by AUM
SDM ranking
Owner: Nippon Life Insurance Company · CEO Sundeep Sikka · CFO Office of the CFO · HQ Mumbai, Maharashtra, India
Where we stand

Executive scorecard

Pavion · Board Pack · 1 · Executive Summary
Revenue
$3.83B
prior $3.49B
Revenue Growth
9.6%
prior 8.1%
EBITDA
$1.85B
prior $1.69B
EBITDA Margin
48.4%
prior 48.0%
Recurring Fee Income
$3.20B
prior $2.95B
Recurring Revenue Mix
90.2%
prior 89.8%
Net Revenue Retention
98.2%
prior 97.5%
Rule of 40 (AUM Growth + Margin)
47
prior 44
Executive summary
Growth & profitability

Revenue, EBITDA & mix

Pavion · Board Pack · 2 · Performance
Revenue by business unit
Mutual Funds45%
Portfolio Management Services35%
Alternative Investment Funds20%
Mutual Funds
$206.85M
+14% · EBITDA 9.49% · Rec 44%
Portfolio Management Services
$161.15M
+9% · EBITDA 9.08% · Rec 46%
Alternative Investment Funds
$92M
+18% · EBITDA 6.91% · Rec 24%
Roll-up validation

Acquisition cohort economics

Pavion · Board Pack · 3 · M&A Thesis
BrandYearRevenueARREBITDA upliftSynergyStatus
Nippon Large Cap Fund2021$19.92M$7.03M5.27%→8.2% (+2.9299999999999997)92%Integrated
Nippon Tax Saver Fund2021$12.89M$4.69M4.69%→7.62% (+2.9299999999999997)90%Integrated
Nippon Hybrid Fund2022$56.26M$30.47M6.45%→9.38% (+2.9300000000000006)88%Integrated
Equity Portfolio: Hybrid Fund2023$33.99M$11.13M5.86%→7.62% (+1.7599999999999998)74%In progress
Debt Portfolio: Hybrid Fund2024$24.03M$8.2M5.27%→6.45% (+1.1800000000000006)55%In progress
Nippon AIF Growth Opportunities2024$21.68M$7.62M5.27%→7.03% (+1.7600000000000007)78%In progress
Nippon Wealth Management2024$16.99M$5.27M4.69%→5.27% (+0.5799999999999992)40%Early

Integrated cohorts show ~3pt EBITDA expansion post-integration; newer cohorts remain in synergy capture.

Balance sheet & liquidity

Leverage, cash & covenants

Pavion · Board Pack · 4 · Capital & Cash
Net Debt/EBITDA
0.1x
target 0.0x
Covenant Headroom
1.9x
target 2.0x
DSCR
4.8x
target 5.0x
Liquidity
$2.10B
target $2.20B
Free Cash Flow
$1.53B
target $1.60B
Cash Conversion Cycle
-4d
target -5d
Average DSO
17d
target 15d
Value Creation Realized
0.0%
target 0.0%
Net leverage 4.2x sits well inside the 5.5x covenant with $132M liquidity — capacity for continued disciplined M&A while cash conversion (CCC -4d) and FCF improve.
Governance

Watch-list & priority actions

Pavion · Board Pack · 5 · Risk & Actions
●India (Tier 3 Cities) region margin driftceo
India (Tier 3 Cities) GM 200bps below plan amid RFI/ISC integration drag.
→ Accelerate ISC ERP/SOC cutover; rebalance project mix toward recurring.
●State Bank of India Employees Pension Fund expansion → $12.5M opportunityceo
News signal converted to qualified, credit-cleared multi-region pursuit.
→ Prioritize solution design; align certified-tech coverage in new metros.
●3 brands running DSO > 65 dayscfo
ISC (67d), Nippon Wealth Management (66d), Reliance Industries Staff Superannuation Fund account (67d) lifting blended DSO.
→ Targeted collections sprint on $0.9M; tighten milestone billing on ISC projects.
●Reliance Industries Staff Superannuation Fund credit exposurecfo
Distress filings + overdue AR; churn risk High on $6.4M account.
→ Move to credit hold pending paydown; reforecast ARR net of likely churn.
●Covenant headroom improvingcfo
Net Debt/EBITDA 4.2x vs 5.5x covenant; liquidity $132M.
→ Capacity exists for 1–2 tuck-in acquisitions this fiscal year.
●ECD synergy realization behind planboard
Synergy at 78% of model; integration 80% complete.
→ Hold management to 90-day synergy recovery plan; track at next board meeting.
●2023 cohort EBITDA uplift validatedboard
AFA/RFI cohort margin expanded ~500bps post-integration.
→ Thesis intact; continue disciplined roll-up at <5.5x leverage.
●Recurring mix below 45% targetboard
Recurring 40% vs 45% strategic target; Integration BU dilutive.
→ Push subscription/Fund Admin System attach on Integration installs.
Material external signals
[News] State Bank of India Employees Pension Fund announces new US cloud regions · State Bank of India Employees Pension Fund→ multi-region DC security opportunity
[EDGAR] Bharat Insurance 10-K: elevated hub-automation capex · Bharat Insurance→ perimeter + analytics pull-through
[News] Competitor acquires regional fire integrator · Competitor→ defend India (Tier 3 Cities) accounts

Structural data researched from public sources; financials are modeled estimates (Pavion is privately held). AI summary generated by Azure OpenAI (GPT-4.1).