Sonata Software Limited · NSE:SONATSOFTW

Sonata Software — Q4 FY2019 Earnings Presentation

29 slides from Sonata Software's earnings presentation, May 30, 2019

  1. Slide 1: Exchange filing cover letter for Investors' Presentation

    30th May, 2019 National Stock Exchange of India Limited BSE Limited Exchange Plaza, Bandra Kurla Complex, P.J. Towers, Dalal Street Mumbai Mumbai Kind Attn: Manager, Listing Department Kind Attn: Manager, Listing Department Email Id: neaps@nse.co.in Email Id: listing.centre@bseindia.com Stock Code -

  2. Slide 2: Sonata Software Investor Deck Q4 FY 18-19

    Sonata Software Investor Deck Q4 FY 18-19 1 © Sonata Software Ltd, 2019. Confidential.

  3. Slide 3: Disclaimer

    Disclaimer This presentation may include statements which may constitute forward-looking statements. All statements that address expectations or projections about the future, including, but not limited to, statements about the strategy for growth, business development, market position, expenditures,

  4. Slide 4: Sonata Vision

    Sonata Vision For the Customers A world class firm IT Partner of choice for that is a benchmark for transformation Catalyzing Business thru deeper industry, technology & Transformation for our Clients, customer focus Fulfilling Employee Aspirations & Caring for our wider For the Employee Community A

  5. Slide 5: Sonata - Evolution

    Sonata - Evolution ’86-’92 : Indian Software Product Pioneer ’92 – ’12 : 360 IT Service Provider Produced and distributed its ’13 – ’16 Digital Extends core own portfolio of ’17+Platformation capability to software products Industry focused services in global digital Software Platform and IP solutio

  6. Slide 6: Sonata Opportunity

    Sonata Opportunity Global trends reshaping Business and IT Born Digital Platform Unicorns Digital • On agenda of 2/3rd of Global 2000 Cos CEOs • 80% of all incremental IT spend, USD 2.4 OPEN SCALABLE CONNECTED INTELLIGENT Tn market by 2025 on Digital Global Online Retail Top P2P Hospitality Platform

  7. Slide 7: Sonata strategy: Platformation

    Sonata strategy : Platformation Industry specific Focus Sonata Platform based Growth Engines led • Travel Technology • Vertical • Retail • Ready -Industry Platform IP • IP led • Distribution • Accelerate - ISV Partner • Alliance Led • ISV Platform • Existing Customer Led • Custom Platform • Digital

  8. Slide 8: Execution – Proprietary Methodology to enable Platforms

    Execution – Proprietary Methodology to enable Platforms Sonata READY Sonata ACCELERATE Sonata CUSTOM • End-to-end, industry- • Popular horizontal ISV • Sonata engineers custom specific Sonata digital partner platforms with platforms that deliver business platform IP Sonata adding required unique dig

  9. Slide 9: Execution – Enabling Digital Platform Infrastructure

    Execution – Enabling Digital Platform Infrastructure Datacenter Cloud Advanced Enterprise Modernization Computing Analytics Mobility Consult Procure Deploy Support Productivity & Enterprise Security Collaboration Applications Solutions Core Enterprise Infrastructure migration Patient care enhancemen

  10. Slide 10: Execution - Innovative engagement models

    Execution - Innovative engagement models Customer-Specific Center of Excellence Sonata is a very important extension of the team and over the years has made a • Governance • Value Co-creation significant contribution to our • Leadership role • SLAs and outcomes success in serving our • Strategic met

  11. Slide 11: Execution - Strong Alliances

    Execution - Strong Alliances • Gold Partner for 13 Competencies including ERP, Analytics, Cloud, Productivity & Communications. • 3 Industry specific IP live on Microsoft AppSource – Brick & Click Retail, Modern Distribution and Rezopia. GISV status. • Select ISV Dev Centre Partner with unique Dynam

  12. Slide 12: Execution - Strategic Acquisitions

    Execution - Strategic Acquisitions Rezopia Halosys IBIS Inc. • Cloud based travel ERP • Unified Enterprise Mobility • Advanced Supply Chain SaaS Platform Management Software for • Enhanced to wider digital • Integrated to Sonata Dynamics travel platform with industry specific platform • Extended to

  13. Slide 13: Enablers - Strong People and Processes Foundation

    Enablers - Strong People and Processes Foundation Regular exposure to newer technologies, evolving Deeper roles business scenarios, and building cross-functional expertise Customer Continuous exposure to clients to assess business Impact impact of solutions delivered Freedom Our flexible working sty

  14. Slide 14: Enablers – Strong Governance and financials

    Enablers – Strong Governance and financials • Listed Company ( NSE and BSE) • Best-in-Class Board and Top management Profiles • Consistent Track record of Growth, profitability and Dividend • RoE and RoCE > 25% • Revenue Growth at 17%+ CAGR over last 4 years • PAT growth at 25 %+ CAGR for 4 years •

  15. Slide 15: A responsible corporate citizen - Platforms for social good

    A responsible corporate citizen - Platforms for social good Designed and developed Built a multipurpose Fostering next-gen business an omnichannel-enabled technology platform combining ideas through technology craft storefront to drive storefront, virtual classrooms, incubation in a top Indian marke

  16. Slide 16: Financials (Q4 2018-19)

    Financials (Q4 2018-19)

  17. Slide 17: Result Snapshot – Q4 FY19

    Result Snapshot – Q4 FY 19 INR Crores in ₹ Crores Description For the Quarter ended For the Year ended 31-Mar-19 31-Dec-18 QoQ 31-Mar-18 YoY 31-Mar-19 31-Mar-18 YoY Revenues International IT Services 304.1 284.0 7% 241.8 26% 1,120.5 928.5 21% Domestic- Products & Services 536.6 563.2 -5% 388.7 38% 1

  18. Slide 18: Consolidated – Financials

    Consolidated – Financials INR Crores Consolidated Revenue - by Quarter Consolidated EBIDTA - by Quarter 800.0 75.0 60.0 600.0 45.0 75.4 83.1 90.7 95.1 96.8 844.0 835.5 30.0 400.0 625.8 688.3 593.1 15.0 200.0 - - Q4-18 Q1-19 Q2-19 Q3-19 Q4-19 Q4-18 Q1-19 Q2-19 Q3-19 Q4-19 Consolidated PAT - by Quarte

  19. Slide 19: Consolidated – Human Capital

    Consolidated – Human Capital 3,967 4,042 Attrition % 3,836 4,500 3,615 20% 4,000 3,476 157 155 156 163 161 3,500 19% 3,000 2,500 18% 17.5% 17.4% 2,000 3,454 3,679 3,812 3,886 3,313 17.0% 17.0% 1,500 17% 1,000 16.0% 500 16% - 15% Q4-18 Q1-19 Q2-19 Q3-19 Q4-19 International Service Domestic Products &

  20. Slide 20: Consolidated – ROCE & RONW

    Consolidated – ROCE & RONW ROCE 50% 38% 40% 38% 40% 36% 35% 35% 36% 35% 30% 34% 33% 20% 26% 25% 26% 24% 24% 10% 0% Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Consolidated Intl Serv Domestic RONW 50% 40% 42% 38% 37% 39% 40% 30% 36% 37% 36% 35% 34% 20% 24% 25% 25% 26% 26% 10% 0% Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Conso

  21. Slide 21: Days Sales Outstanding

    Days Sales Outstanding Consolidated- DSO 60 53 50 48 45 45 44 42 41 40 30 Q218 Q318 Q418 Q119 Q219 Q319 Q419 International Services - DSO Domestic - DSO 50 46 46 59 60 55 42 49 41 41 48 47 40 40 40 42 38 40 30 20 20 0 Q218 Q318 Q418 Q119 Q219 Q319 Q419 Q218 Q318 Q418 Q119 Q219 Q319 Q419 20 © Sonata

  22. Slide 22: International IT services - Financials

    International IT services - Financials INR Crores International Services Revenue - by Quarter Internatonal Services EBIDTA - by Quarter 350.0 50.0 40.0 300.0 30.0 59.8 66.7 73.5 76.0 75.8 250.0 20.0 275.3 284.0 304.1 10.0 200.0 241.8 257.1 150.0 - Q4-18 Q1-19 Q2-19 Q3-19 Q4-19 100.0 Q4-18 Q1-19 Q2-1

  23. Slide 23: International IT services – Revenue Mix

    International IT services – Revenue Mix Geography Vertical 100% 100% 14% 11% 12% 12% 13% 20% 20% 17% 19% 19% 80% 80% 28% 29% 30% 32% 32% 26% 25% 25% 26% 27% 60% 60% 40% 40% 27% 27% 29% 28% 28% 58% 60% 58% 56% 55% 20% 20% 28% 28% 28% 27% 26% 0% 0% Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Q4 18 Q1 19 Q2 19 Q3 19

  24. Slide 24: International IT services – Revenue by Competency

    International IT services – Revenue by Competency Competency 100% 4% 3% 3% 4% 3% 90% 5% 6% 7% 6% 6% 7% 8% 8% 8% 8% 36% 80% 19% 17% 16% 16% 16% from 70% 5% 4% 4% 4% 4% Digital 60% 19% 18% 20% 20% 22% 50% 40% 18% 17% 17% 17% 17% 30% 20% 24% 26% 25% 25% 24% 10% 0% Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 ADM Test

  25. Slide 25: IP Led Revenue

    IP Led Revenue 24 © Sonata Software Ltd, 2019. Confidential.

  26. Slide 26: International IT services – Revenue by Customers

    International IT services – Revenue by Customers New Customers 12 No. of customers by Geo 10 Asia 6 8 6 12 11 ANZ, 43 Europe, 24 4 8 9 2 3 0 Revenue from Top Customers India, 16 US, 68 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Middle East 85% 2 80% 75% 79% 80% 77% 78% 70% 76% 65% 69% 70% 69% 69% 68% 60% 61% 61%

  27. Slide 27: Forward Cover Realization Rates/ Utilization

    Forward Cover Realization Rates/ Utilization Effective Realization Rates 100.0 95.1 90.9 92.1 89.2 87.1 90.0 84.3 81.6 81.4 76.1 77.8 80.0 70.0 68.8 67.9 69.2 60.0 66.8 67.2 50.0 40.0 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Utilisation US Dollar Euro GBP 86.5% 86.0% 86.0% 85.9% 86.0% 85.7% 85.6% 85.5% 85.0% 8

  28. Slide 28: Domestic Product & Services - Financials

    Domestic Product & Services - Financials INR Crores Domestic Services Revenue - by Quarter Domestic Services EBIDTA - by Quarter 600.0 25.0 20.0 400.0 563.2 15.0 536.6 17.7 19.5 21.2 388.7 437.1 10.0 15.8 16.7 200.0 325.9 5.0 - - Q4-18 Q1-19 Q2-19 Q3-19 Q4-19 Q4-18 Q1-19 Q2-19 Q3-19 Q4-19 Domestic S

  29. Slide 29: Thank You

    LELCLE) SONATA SOFTWARE

Sonata Software — Q4 FY2019 Earnings Presentation on 6ix