Tech Mahindra Limited · NSE:TECHM

Tech Mahindra — Investor Presentation (May 2013)

28 slides from Tech Mahindra's investor presentation, May 2013

  1. Slide 1: Investor Presentation

    Investor Presentation May 2013 © Tech Mahindra 2012 | © Mahindra Satyam 2012

  2. Slide 2: Mahindra. A History of Rising.

    MAHINDRA. A HISTORY OF RISING. We will challenge conventional thinking and One of India’s top business Mahindra Mahindra innovatively use all our resources houses Aftermark ET Holidays to drive positive change in the lives of our stakeholders and communities across Success of Scorpio, Mahindra Mahin

  3. Slide 3: A Journey of Creating Tier 1 IT Provider

    A Journey of Creating Tier 1 IT Provider Tech Mahindra Journey Mahindra Satyam Overview Combined Entity Overview Recent Acquisitions © Tech Mahindra 2012 | © Mahindra Satyam 2012 3

  4. Slide 4: The TechM Journey

    The TechM Journey Satyam Merger Opportunity Diversify Initiated Satyam Turnaround 2003 2008 2009 2012 2013 2015 Establish Telecom Non BT Growth of 21% Power of One Leadership CAGR Rev of of 48% $ 934 Mn © Tech Mahindra 2012 | © Mahindra Satyam 2012 4

  5. Slide 5: TechM's last 5 year growth (ex BT) is Industry Leading

    TechM’s last 5 year growth (ex BT) is Industry Leading 1600 1156 CAGR : 6% 1263 1200 1063 985 977 935 881 CAGR : 21% 800 724 604 596 575 506 432 400 471 382 CAGR : -8.5% 410 459 339 0 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 Revenue BT Non BT Revenue (US$ MM)  Sustained leadership in the Tel

  6. Slide 6: Creating and managing large accounts - with Diversification

    Creating and managing large accounts - with Diversification FY 2008 FY 2013 Others Others 232 Top Customer Top 6 - 10 19% 102 383 53  Reduced 11% 30% 6% concentration Top 6 - 10  Scaled up revenue 115 Top 2 - 5 from key accounts 9% 168 Top 18% Customer  Focus on other customers & Top 2 - 5 611 gr

  7. Slide 7: Geographic Diversification - New markets & Offerings

    Geographic Diversification - New markets & Offerings Geographical revenue split, FY08 Geographical revenue split, FY13 $ Million $ Million ROW 65 7.0% ROW Americas 289 181 22.8% Europe 19.4% 572 45.2% Europe 688 Americas 73.7% 403 31.9%  Successfully leveraged capabilities from existing customers t

  8. Slide 8: Financial snapshot FY13 - TechM

    Financial snapshot FY13 - TechM $ Million Revenue EBITDA 1,156 1,263 1,126 261 219 194 FY11 FY12 FY13 FY11 FY12 FY13 PAT 230 237  Over 150 Active Clients 141  Cash & Cash Equivalent of $132 mn  Debt ~ $254 mn as of Q413  Hedge book – GBP 250 mn @ Rs 90 & USD 687 mn @ RS 57 FY11 FY12 FY13 © Tech

  9. Slide 9: A Journey of Creating Tier 1 IT Provider

    A Journey of Creating Tier 1 IT Provider Tech Mahindra Journey Mahindra Satyam Overview Combined Entity Overview Recent Acquisitions © Tech Mahindra 2012 | © Mahindra Satyam 2012 9

  10. Slide 10: The Mahindra Satyam Turnaround

    The Mahindra Satyam Turnaround Financial Snapshot* $ mn Revenue EBIDTA % 25.0% 1600 1412 1307 1400 20.0% 1157 1128 21.2% 1200 1000 15.0% 16.1% 800 10.0% 600 10.1% 8.7% 400 5.0% 200 3.7% 0.0% 0 FY09 FY10 FY11 FY12 FY13 *EBITDA margins excludes exceptional items • Comparable Growth & Profitability • A

  11. Slide 11: Financial snapshot FY13 - MSAT

    Financial snapshot FY13 - MSAT $ Million Revenue EBITDA 1,412 300 1,307 1,128 209 102 FY11 FY12 FY13 FY11 FY12 FY13 PAT* 245 243  Over 385 Active Clients 108  Cash & Cash Equivalent of ~$ 538 mn  Hedge book at $ 234 mn FY11 FY12 FY13 *Before minority interest and exceptional items © Tech Mahindra

  12. Slide 12: A Journey of Creating Tier 1 IT Provider

    A Journey of Creating Tier 1 IT Provider Tech Mahindra Journey Mahindra Satyam Overview Combined Entity Overview Recent Acquisitions © Tech Mahindra 2012 | © Mahindra Satyam 2012 12

  13. Slide 13: Tech Mahindra and Mahindra Satyam: Creation of a New IT Services Leader

    Tech Mahindra and Mahindra Satyam: Creation of a New IT Services Leader Revenue (US$ MM) (1) Headcount (1) in „000s 12,000 11,568 300 276 10,000 250 7,398 8,000 6,218 200 6,000 4,539 157 146 4,000 2,675 150 1,412 1,263 1,073 2,000 436 370 100 84 84 0 50 47 36 28 12 9 0  Pro forma LTM EBITDA:US$ 561

  14. Slide 14: Tech Mahindra and Mahindra Satyam: Combined Strategy

    Tech Mahindra and Mahindra Satyam: Combined Strategy  Existing Clients  Existing Offerings Leverage  Merger Synergies  M Cube (M3)  Lost Customers  Joint Offerings  Solution Sets  Alliance & Partnerships Enhance Growth Acquire Strategy  Inorganic  New Logos  Customer Innovation Innovate 

  15. Slide 15: Deep Capabilities across Verticals

    Tech Mahindra and Mahindra Satyam: Deep Capabilities across Verticals (1) Pro-Forma (2) Others 3% Healthcare & Life Sciences Others 3% 5% Retail, T&L 6% Telecom 97% BFSI 10% Telecom Technology, Media 50% & Entertainment 9% Mfg 18% (1) Others 6% Healthcare & Life Sciences 5%  12 out of top 20 global

  16. Slide 16: Full Suite of Offerings

    Tech Mahindra and Mahindra Satyam: Full Suite of Offerings Industry Focused Solutions Service Lines & Industry Verticals Enterprise Business Solutions Application Development and Management Services Infrastructure Management Services Consulting & Enterprise Solutions Integrated Engineering Solutions

  17. Slide 17: De-risked Business Profile

    Tech Mahindra and Mahindra Satyam: De-risked Business Profile Well Balanced Geographic Exposure Significant Client Diversification (1) (1) (1) (1) #1 Others 10% 19% RoW Americas R4W #1 # to #5 27% 30% 24% #6 to #10 25% Others 17% Americas 10% 45% Europe 54% 43% Europe #2 to #5 22% 46% #6 to #10 12%

  18. Slide 18: Cross-pollination of offerings

    Cross-pollination of offerings Cloud Services Manufacturing Enterprise BFSI Mobility Security Technology & Media Telecom Solutions Managed Retail, T&L Services Enterprise Healthcare & Life Solutions Science © Tech Mahindra 2012 | © Mahindra Satyam 2012 18

  19. Slide 19: Synergy & Integration – EBS

    Synergy & Integration – EBS Mahindra Satyam and Tech Mahindra for EBS DSS Enterp rise OSS BSS Apps BSS Enterprise DSS Applications OSS Mahindra Satyam Tech Mahindra MSat + TechM Journey in Last 4 Quarters in EBS Space Focused GTM outlook in EBS Space 130+ TechM Joint GTM Larger Landscape 20+ Focused

  20. Slide 20: Delivering to the best

    Delivering to the best Tech Mahindra Mahindra Satyam 3 of Top 10 in Aerospace & 12 of Top 20 Wireless TSPs Defense 11 of Fortune 500 global 5 of Top 10 in Motor Vehicle companies and Parts 3 of Top 3 Telcos 4 of the Top 10 in Retail in Europe Banking 4 of Top 5 in Networking & 5 of Top 5 TEMs Commun

  21. Slide 21: Combined Entity FY 13

    Combined Entity FY 13* Tech Mahindra Mahindra Satyam $1.26 Bn $261 $2.7bn+ global business & Mn $145 IT services provider focused Mn 47K+ 150+ on leveraging $1.41 Bn $300 Mn $243 380+ 1. Marquee clients across Mn 36K+ verticals Revenue* EBITDA* PAT* Employees Customers 2. Leadership in digital Scale

  22. Slide 22: A Journey of Creating Tier 1 IT Provider

    A Journey of Creating Tier 1 IT Provider Tech Mahindra Journey Mahindra Satyam Overview Combined Entity Overview Recent Acquisitions © Tech Mahindra 2012 | © Mahindra Satyam 2012 22

  23. Slide 23: HGS – Hutchison Global Services

    HGS – Hutchison Global Services 100% subsidiary of Hutchison Whampoa providing BPO services to Hutch group companies Strengthening Telecom TechM’s Rationale Commercial Terms domain expertise  Strengthening our relationship  100% stock buy out , effective  End to End Customer Life with Hutchison g

  24. Slide 24: Comviva

    Comviva Tech M forays into Mobility Products via acquiring 51% (controlling stake) in Comviva. Enhancing the VAS practice Commercial Terms  Mobile VAS, Mobile Money and Mobile Payments  51% on a fully diluted basis space  Total Valuation of INR 260 crore ; Upfront  Will enable Canvas M to provid

  25. Slide 25: Dion

    V Customer Dion  1st acquisition for Mahindra Satyam since  Strategic stake in Dion the Mahindra Group‟s takeover of Satyam  Dion global solutions – a specialist provider for in the year 2009 software products and solutions for Capital  Mahindra Satyam‟s BPO service to enter markets globally int

  26. Slide 26: Complex IT, Brazil

    Complex IT, Brazil MSAT will own a majority stake in Complex IT, one-of-the largest SAP consulting provider, in Brazil Help expands its reach in Lat AM Commercial Terms  Developing solutions for the rapidly expanding  51% ownership in the company Enterprise Solutions market within Brazil  Bought

  27. Slide 27: As we stand Today

    As we stand Today $ Million Revenue EBITDA 2,675 561 3X 3X 205 934 FY08 FY13 FY08 FY13 The last five years journey *May include certain overlaps, EBITDA and PAT excludes extraordinary items if any © Tech Mahindra 2012 | © Mahindra Satyam 2012 27

  28. Slide 28: Thank you

    Thank you Disclaimer Certain statements in this release concerning the future prospects of Tech Mahindra Limited (“the Company” or “TechM”) are forward-looking statements. These statements by their nature involve risks and uncertainties that could cause Company‟s actual results differ materially fro

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