Camelot Information Systems (NYSE :CIS) sells financial industry IT services and enterprise application services in China. According to IDC, a leading independent research firm, Camelot is the largest Chinese based provider of enterprise resource planning services in terms of revenue. The company implements software to improve the efficiency and regulatory compliance of its customers. The company provides these services both directly to the end consumer and indirectly through technology consulting firms such as Accenture (ACN), IBM, and HP.
While Camelot Information Systems is the largest player in the Chinese market as of its IPO, it faces intense competition from outside firms. Organizations such as Tata Consultancy Services and Infosys Technologies have increased their activities in China. In addition, the company is highly dependent on a few large customers, particularly in the Finance Industry. Camelot's 5 largest customers made up 49% of its revenue in 2009.
The company's initial public offering of stock filed on the New York Stock Exchange and went public on 20 July 2010. It was priced at $11, at the bottom of the $11-$13 initial range. The company sold 13.3 million shares and raised $147M. The deal was underwritten by the Asian division of Goldman Sachs Group (GS) and by Barclays (BCS).
The company's revenue has consistently risen from 2007 to 2009. In 2009, the company recorded a revenue of $118M, a 31% rise from 2008. Net Income rose by 40% from $9.3M in 2008 to $13M in 2009. Camelot plans to remain focused in China and expand by offering a broader range of services and by cross selling to its exiting clients.