Slide 1: Cover letter to stock exchanges on analyst call
4th February 2022 To: National Stock Exchange of BSE Limited (Scrip Code: India Limited (Scrip Code: FSL) 532809) Exchange Plaza, Phiroze Jeejeebhoy Towers, Plot no. C/1, G Block, Dalal Street, Bandra-Kurla Complex Mumbai - 400 001 Bandra (East), Mumbai - 400 051 Dear Madam/ Sir, Sub: Post intimatio
Slide 2: Q3 FY2022 Earnings Update
Q3FY2022 EARNINGS UPDATE Q3 FY2022 Earnings Update 1 © FIRSTSOURCE 2021 | 4 February 2022
Slide 3: Disclaimer
Q3FY2022 EARNINGS UPDATE Disclaimer Certain statements in this presentation concerning our future growth prospects are forward- looking statements, which involve a number of risks, and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. T
Slide 4: Summary of Performance for the Quarter ended 31st December 2021
Summary of Performance for the Quarter ended 31st December 2021 Q3FY2022 EARNINGS UPDATE REVENUES OPERATING MARGIN ₹ 14,638 Million ₹ 1,762 Million (US$ 195.4 Million) (Margin 12.0%) YoY growth of 7.2% YoY Margin expansion of 39 bps Constant Currency growth of 4.9% PROFIT AFTER TAX EARNINGS PER SHAR
Slide 5: Summary of Performance for the Nine Months ended 31st December 2021
Summary of Performance for the Nine Months ended 31st December 2021 Q3FY2022 EARNINGS UPDATE REVENUES OPERATING MARGIN ₹ 43,772 Million ₹ 5,353 Million (US$ 589.7 Million) (Margin 12.2%) YoY growth of 21.1% YoY Margin expansion of 84 bps Constant Currency growth of 19.5% PROFIT AFTER TAX EARNINGS PE
Slide 6: Revenue Split by Verticals and Service Lines
Q3FY2022 EARNINGS UPDATE REVENUE SPLIT BY VERTICALS REVENUE SPLIT BY SERVICE LINES Q3FY22 Q3 FY22 48.3% 30.3% 19.6% 1.8% Q3 FY22 Q3FY22 45.9% 44.0% 10.1% Q2 FY22 48.9% 29.6% 19.5% 2.0% Q2 FY22 46.8% 45.6% 7.6% Q1 FY22 51.7% 26.7% 19.6% 2.0% Q1 FY22 46.3% 47.6% 6.1% Q4 FY21 52.2% 24.8% 20.8% 2.2% Q4
Slide 7: Top 5 Clients
Q3FY2022 EARNINGS UPDATE Client Concentration 4 of Top 15 2 of Top 6 6 of Top 15 Mortgage servicers in Retail banks in the UK Mortgage Lenders in Top Client Q3FY22 15.2% the US the US 20.0 years Total Tenure Q2FY22 15.8% 1,000+ 7 of Top 10 1 of Top 3 Health insurance/ managed Utility companies in th
Slide 8: Annexure
Q1FY2022 EARNINGS UPDATE Annexure 7 © FIRSTSOURCE 2021 | 4 February 2022
Slide 9: Financial Performance (Quarterly)
Financial Performance (Quarterly) Q3FY2022 EARNINGS UPDATE In ₹ million Q3 FY 2020 Q4 FY2020 Q1 FY 2021 Q2 FY 2021 Q3 FY 2021 Q4 FY 2021 Q1 FY 2022 Q2 FY 2022 Q3 FY 2022 Income from services 10,446 10,673 10,537 11,783 13,510 14,496 14,780 14,182 14,456 Other operating Income 89 132 85 94 142 132 68
Slide 10: Financial Performance (Yearly)
Financial Performance (Yearly) Q3FY2022 EARNINGS UPDATE In ₹ million FY 2016 FY 2017 FY 2018 FY 2019 FY 2020 FY2021 9MFY22 Income from services 31,617 34,569 34,315 37,867 40,502 50,327 43,419 Other operating Income 556 987 1,038 396 484 453 354 Revenue from operations 32,173 35,556 35,352 38,263 40
Slide 11: Balance Sheet and Cash Flow Statement
Q3FY2022 EARNINGS UPDATE Balance Sheet and Cash Flow Statement In ₹ million In ₹ million Quarter ended 31-Dec-21 Nine Months ended 31-Dec-21 As at 31-Dec-21 As at 31-Mar-21 Cash Flow from Operating Activities Equity And Liabilities EBIT 1,762 5,353 Adjustment: Non-Cash and Other Income / (Expense) 6
Slide 12: Key Performance Indicators
Q3FY2022 EARNINGS UPDATE Key Performance Indicators Return on Equity Return on Capital Employed 17.6% 18.3% 17.3% 13.8% 13.9% 13.9% 14.1% 12.9% 12.7% 13.0% 12.3% 12.3% FY17 FY18 FY19 FY20 FY21 9MFY22 FY17 FY18 FY19 FY20 FY21 9MFY22 Annualised Annualised Note: FY21 ROE will be 16.1% excluding for exc
Slide 13: Operating Metrics
Q3FY2022 EARNINGS UPDATE Operating Metrices Particulars Q3 FY 2020 Q4 FY2020 Q1 FY 2021 Q2 FY 2021 Q3 FY 2021 Q4 FY 2021 Q1 FY 2022 Q2 FY 2022 Q3 FY 2022 Banking & Financial Services 42.9% 42.8% 51.2% 51.9% 52.0% 52.2% 51.7% 48.9% 48.3% Healthcare 32.4% 31.3% 29.9% 27.1% 25.3% 24.8% 26.7% 29.6% 30.3
Slide 14: Forex Hedges
Q3FY2022 EARNINGS UPDATE Forex Hedges Outstanding FX hedges at $68.0 million for USD and £43.3 million for GBP GBP-INR USD INR Period Hedged Average Rate Hedged Average Rate 0-12 Months £34.8 Rs 112.9 /£ $ 53.0 Rs 77.8 /$ 13-24 Months £8.5 Rs 112.6 /£ $ 15.0 Rs 79.8 /$ 13 © FIRSTSOURCE 2021 | 4 Febr
Slide 15: Prior Period Reports
Q3FY2022 EARNINGS UPDATE Prior Period Reports (Hyperlinks) ANNUAL REPORT PUBLISHED RESULTS INVESTOR PRESENTATIONS PRESS RELEASE FY2022 Q1 Q2 Q3 FY2022 Q1 Q2 Q3 FY2022 Q1 Q2 Q3 FY2021 FY2021 Q1 Q2 Q3 Q4 FY2021 Q1 Q2 Q3 Q4 FY2021 Q1 Q2 Q3 Q4 FY2020 FY2020 Q1 Q2 Q3 Q4 FY2020 Q1 Q2 Q3 Q4 FY2020 Q1 Q2 Q3
Slide 16: Leadership positions and service offerings
Leader in US non-bank lender Top 3 in the chosen Revenue Leading CX service Top 5 Consumer debt Q3FY2022 EARNINGS UPDATE market Cycle Management segments providers in the UK across collections agency in the in US Healthcare Media and BFS segments US Customer Service Mortgage Operations Voice | Chat
Slide 17: About Us
Q3FY2022 EARNINGS UPDATE US UK PHILIPPINES About Us 5,481 21 4,606 7 485 2 16,826 12 INDIA Established in 2001 Domain driven BPM services company Leveraging a ‘Digital First, Digital Now’ approach to solve key customer problems Revenues of INR 51.0 Billion (approximately $685 Million) in FY2021 150+
Slide 18: Part of RP-Sanjiv Goenka Group
Q1FY2022 EARNINGS UPDATE Part of RP-Sanjiv Goenka Group Power Carbon Black Consumer & Retail Media & Entertainment Combined Education & Infrastructure IT-Enabled Services Revenues of $3.6 Billion in Sports FY2021 17
Slide 19: Select Awards
Q3FY2022 EARNINGS UPDATE Select Awards “A-100” by Investors in People NelsonHall Everest Group ISG SecurityScorecard™ Firstsource re-accredited Positioned as a ‘Leader’ in Ranked as top Business Leader in ISG Provider with the Investors In NEAT Evaluation for ‘Overall Rated ‘A-100’ by Process Servic
Slide 20: Corporate Management
Q3FY2022 EARNINGS UPDATE Corporate Management Senior Leadership Dinesh Jain Prashanth Nandella Randall Shafer Venkatgiri Vandali Deb Biswas Finance Operations Healthcare Healthcare & Communications, Provider Lifesciences Media & Technology Vipul Khanna MD & Chief Executive Officer Arjun Mitra Steven
Slide 21: Helping customers stay ahead of the curve
Q3FY2022 EARNINGS UPDATE Helping customers stay ahead of the curve through transformational technologies and capabilities Firstsource Solutions Limited, an RP-Sanjiv Goenka Group company, is a leading provider of transformational solutions and services spanning the customer lifecycle across Healthca