Sigma Advanced Systems Limited · NSE:SIGMAADV
Sigma Advanced Systems — Q4 2010 Earnings Presentation
20 slides from Sigma Advanced Systems's earnings presentation, Mar 3, 2011
Slide 1: Company Performance Analysis & Overview Q4-2010 Results
COMPANY PERFORMANCE ANALYSIS & OVERVIEW Q4-2010 RESULTS March 2011 March 3, 2011 1
Slide 2: Contents
Contents Company Evolution to date 2010 Summary Financials – Q4 & FY 2010 New Growth drivers & Market Opportunities 2
Slide 3: Company Evolution
Company Evolution 2000: XIUS established as a telecom products company A high technology mobile telecom company – great products and patents Over 105 patents filed globally (24 already granted till date) Manyy g global firsts in the areas of Mobile Prepaid p billing g and real time call management,
Slide 4: Company Evolution: M&A history
Company Evolution M&A history January 2004: Megasoft India • Became a listed entity through this M&A • Gained offices and presence in US, Malaysia, Europe October 2006: Visualsoft India • Gained valuable real estate Assets & development infrastructure September 2007: BCGI USA • Leveraging Visualsoft
Slide 5: What does XIUS do
What does XIUS do A Mobile Products Company that Offers Pre-paid (USA) Platforms, Small carrier Network Infrastructure and Mobile Commerce Platforms on “Software as a Service” ((SaaS)) Model Close to 80% of current revenues annuity based – stable, predictable and generating cash month on month Over
Slide 6: A unique Indo-American company
A unique Indo-American company Combines best practices of both cultures (US & India) creating a high quality & cost effective entity Functional responsibilities p located where theyy can be delivered most cost efficiently and effectively U.S. – corporate Mgmt, marketing, strategy, product management
Slide 7: XIUS Product-Revenue Mix - 2010
XIUS Product-Revenue Mix - 2010 70.0% 59 0% 59.0% 60.0% 50.0% 40 0% 40.0% 30.0% 20.0% 15 0% 15.0% 10.0% 9.0% 10.0% 7.0% 0.0% Prepaid Roaming Infrastructure Mobile Others/ Commerce Maintenance 7
Slide 8: Key Management Personnel
Key Management Personnel GV Kumar MD & CEO Kevin Bresnahan EVP & Head Global Operations (US Office Head) Mitch Cornell Head SBU (Americas) Upendra Bhatt Head SBU (Rest of the World) S dh T Sridhar VP & Head d (HR) ( ) Bob Hackney VP Operations Sridhar Lanka Head Technology and Development GP Srinath
Slide 9: 2010 Performance Summary
2010 Performance Summary • A great Turn around in company history (` 20 Crores Loss in 2009 to ` 21.71 Crores PAT in 2010) • ` 37 Crores of Free Operational Cash Generated • Loans reduced from ` 197 Crores to ` 87 Crores • Debtor outstanding around 108 days • Two New Product Launches (APD & ADValue)
Slide 10: Q4-2010 Financial Summary
Q4-2010 Financial Summary 2010 Q4 2010 Q3 % Change ` lakhs ` lakhs % Revenues 4361 4284 1.8 EBIDTA 1409 1360 36 3.6 Cash profit 935 947 (1.3) PAT 627 607 32 3.2 EPS (`) 1.42 1.37 1.03 10
Slide 11: 2010 Financial Summary
2010 Financial Summary 2010 2009 % Change ` lakhs ` lakhs % Revenues 16791 30299 (44.6) EBIDTA 5345 3856 38 6 38.6 Cash profit 3605 217 1559.6 PAT 2171 (2210) 198 2 198.2 EPS (`) 4.90 (4.89) 200.2 11
Slide 12: Balance Sheet
Balance Sheet 31 Dec 2010 31 Dec 2009 ` lakhs ` lakhs Liabilities Capital & Reserves 10,605 11,568 Borrowings 8,722 19,718 Total Liabilities 19 326 19,326 31 285 31,285 Assets Fixed Assets (net) 9,953 18,150 Investments 1 212 1,212 1 212 1,212 Net Current Assets 8,161 11,923 Total Assets 19,326 31,2
Slide 13: EPS
EPS (`) 14.00 12.47 12.00 10.00 8.00 7.36 6 00 6.00 4 90 4.90 ` 4.00 2.00 0 00 0.00 -2.00 2007 2008 2009 2010 -4.00 -6.00 -4.89 13
Slide 14: Debt Reduction
Debt Reduction 250 197 200 ` crores 150 100 87 50 0 2009 2010 40 37 35 31 30 ores 25 19 ` cro 20 Covered by short-term 15 10 receivables 5 0 Term loan Wkg capital Others 14
Slide 15: 2011 company well poised for Growth
2011 company well poised for Growth I. Strong order back log II. Current Core Business still growing: o Fast growing pre-paid mobile Market in the USA: 1. US Pre-paid base expected to double in the next 18 – 24 months 2. uniquely positioned to seize this opportunity – Ready made hosted pre-paid infr
Slide 16: Growth drivers - New
Growth drivers - New I. Growth kickers from New launches Mobile Payments and Mobile wallet applications commercially launched already – high growth in India, LatAm & emerging markets for larger carriers New MTT –APD Platform is being well received globally Mobile advertizing market 3G networks will
Slide 17: Market Opportunities
Market Opportunities Explosive growth of Smart phones & tablets in US Driving M-commerce and other new services through Mobile devices Driving Mobile apps growth to non-I-Phone devices as well (Android) Mobile transactions & commerce are taking a larger share through point retail solutions Moneyy tr
Slide 18: XIUS well positioned for these opportunities
XIUS well positioned for these opportunities MTT- APD mobile commerce initiative has multiple Retail and Corporate market segments First Mover o advantage ad a ag globally g oba y Enables RETAIL Transactions for multiple services first time globally Leverages industry standard Near Field Communicati
Slide 19: XIUS well positioned for these opportunities
XIUS well positioned for these opportunities XIUS Mobile Advertising Platform (ADValue) is a unique carrier-centric Advertising Solution Enables ab end-to-end d o d ad delivery d y (SMS, ( , Voice, o , Video, d o, Push u & Pop-ups) op up ) Integrated into billing and other carrier infrastructure in
Slide 20: Business Risks
Business Risks Client Concentration (top 5 amounts to 67% of revenues) Property Market MTT APD involves Hardware –a new area for the company Global Telecom Spend (Esp (Esp. in US) un-clear un clear 20
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