Onward Technologies Limited · NSE:ONWARDTEC
Onward Technologies — Q3 FY2023 Earnings Presentation
24 slides from Onward Technologies's earnings presentation, January 2023
Slide 1: Q3/9M-FY23 Earnings Presentation
Q3/9M-FY23 EARNINGS PRESENTATION January 2023
Slide 2: Who We Are
WHO WE ARE Onward Technologies is a software outsourcing company specializing in digital and ER&D services. We help global OEMs improve speed to market, accelerate innovation, and maximize returns on their R&D investments.
Slide 3: Transformation from legacy to the NEW: Engineering, R&D and Digital services
Transformation from legacy to the NEW: Engineering, Research & Development and Digital services Who we are Strong balance sheet • A diverse team of around 2974 employees • Net debt-free, sound balance sheet & • 15 offices across 6 countries in USA, EU+UK, India cash reserves • Focused on enhancing c
Slide 4: Lines of business driving future growth
Lines of business driving future growth Lines of business Focus verticals Digital Mechanical • New Product • Engineering Design & Development IT Automation Embedded • Big Data • Value • SW Development & Analytics • Platform Services - Engineering Maintenance Hardware, Software • Cloud & DevOps • Vir
Slide 5: Consistent growth, steady offshore leverage, multi-year client engagements
Consistent growth, steady offshore leverage, multi-year client engagements Blended growth rate Blended gross margin Multi-year client engagements Growth in revenue from: Reflects cost from: 1) Digital Engineering 1) Digital Engineering & ER&D services & ER&D services Consistent industry- + + leading
Slide 6: Q3/9M-FY23 Financial Overview
Q3/9M-FY23 FINANCIAL OVERVIEW 6
Slide 7: Q3/9M-FY23 Performance Highlights
Q3/9M-FY23 Performance Highlights Q3-FY23 Consolidated Financial Performance Q3-FY23 Standalone Financial Performance INR 1,158 Mn INR 66 Mn 5.70% INR 813 Mn INR 65 Mn 8.00% Revenue from EBITDA EBITDA Margins Revenue from EBITDA EBITDA Margins Operations Operations INR 25 Mn 2.16% INR 1.08/Share INR
Slide 8: Q3/9M-FY23 Operational Highlights
Q3/9M-FY23 Operational Highlights • Q3 FY23 revenue grew by 50% Y-o-Y and 5% Q-o-Q, while revenue for 9M-FY23 grew by 45% Y-o-Y. • Revenue from focus verticals of Industrial Equipment & Heavy Machinery contributed 55% and Transportation & Mobility, contributed 30% of 9M-FY23 Revenue. • Digital segme
Slide 9: Management comments
Management comments Commenting on the performance of the company, Jigar Mehta – Managing Director said: “Our team was able to deliver yet another record quarter with excellent growth in both topline and bottom-line. We continue to see robust demand from our focus verticals—Industrial Equipment, Heav
Slide 10: Q3-FY23: The transformation and growth journey continues
Q3-FY23: The transformation and growth journey continues Revenue from Operations (INR Mn) Highest year-on-year Highest quarterly growth in quarterly Revenue from Operations Revenue from Operations in Q3-FY23 3,196 2,198 1,101 1,158 773 1,158 Q2-FY23 Q3-FY23 Q3-FY22 Q3-FY23 9M-FY22 9M-FY23 10 10
Slide 11: Revenue Metrics (Consolidated)
Revenue Metrics (Consolidated) Revenue by Business (%) Revenue by Industry (%) 2% 8% 16% 5% 8% 7% 8% 19% 7% 27% 26% 27% 26% 21% 14% 30% 26% 24% 30% 73% 72% 71% 70% 55% 42% 42% 44% FY20 FY21 FY22 9M-FY23 FY20 FY21 FY22 9M-FY23 Industrial & Heavy Machinery Transportation & Mobility ER&D ITS Digital Ot
Slide 12: Quarterly Consolidated Financial Performance
Quarterly Consolidated Financial Performance Particulars (INR Mn) Q3-FY23 Q3-FY22 Y-O-Y Q2-FY23 Q-O-Q Operational Income 1,158 773 49.8% 1,101 5.2% Total Expenses 1,092 676 61.5% 1,069 2.2% EBITDA 66 97 (32.0)% 32 NA EBITDA Margins (%) 5.70% 12.55% (685) Bps 2.91% 279 Bps Other Income 11 3 NA 10 10.
Slide 13: YTD Consolidated Financial Performance
YTD Consolidated Financial Performance Particulars (INR Mn) 9M-FY23 9M-FY22 Y-O-Y Operational Income 3,196 2,198 45.4% Total Expenses 3,064 2,047 49.7% EBITDA 132 151 (12.6)% EBITDA Margins (%) 4.13% 6.87% (274) Bps Other Income 37 199 (81.4)% Depreciation 97 74 31.1% Finance Costs 13 7 85.7% PBT 59
Slide 14: Quarterly Standalone Financial Performance
Quarterly Standalone Financial Performance Particulars (INR Mn) Q3-FY23 Q3-FY22 Y-O-Y Q2-FY23 Q-O-Q Operational Income 813 596 36.4% 768 5.9% Total Expenses 748 540 38.5% 735 1.8% EBITDA 65 56 16.1% 33 97.0% EBITDA Margins (%) 8.00% 9.40% (140) Bps 4.30% 370 Bps Other Income 20 8 NA 20 0.0% Deprecia
Slide 15: YTD Standalone Financial Performance
YTD Standalone Financial Performance Particulars (INR Mn) 9M-FY23 9M-FY22 Y-O-Y Operational Income 2,271 1,679 35.3% Total Expenses 2,126 1,570 35.4% EBITDA 145 109 33.0% EBITDA Margins (%) 6.38% 6.49% (11) Bps Other Income 63 37 70.3% Depreciation 95 66 43.9% Finance Costs 13 7 85.7% PBT 100 73 37.
Slide 16: Historical Financial Overview
HISTORICAL FINANCIAL OVERVIEW 16
Slide 17: Historical Consolidated Profit & Loss
Historical Consolidated Profit & Loss Particulars (INR Mn) FY20* FY21* FY22 9M-FY23 Operational Income 2,715 2,404 3,073 3,196 Total Expenses 2,482 2,230 2,859 3,064 EBITDA 233 172 214 132 EBITDA Margins (%) 8.58% 7.15% 6.96% 4.13% Other Income 11 53 215 37 Depreciation 113 104 101 97 Finance Costs
Slide 18: Historical Consolidated Balance Sheet
Historical Consolidated Balance Sheet Particulars (INR Mn) FY21 FY22 H1-FY23 Particulars (INR Mn) FY21 FY22 H1-FY23 ASSETS EQUITY AND LIABILITIES Non-Current Assets Equity Property, Plant & Equipment 171 366 377 Share Capital 163 220 221 Intangible assets 39 26 34 Other Equity 581 1,412 1,399 Intang
Slide 19: Historical Standalone Profit & Loss
Historical Standalone Profit & Loss Particulars (INR Mn) FY20* FY21* FY22 9M-FY23 Operational Income 1,806 1,727 2,344 2,271 Total Expenses 1,660 1,531 2,168 2,126 EBITDA 145 196 176 145 EBITDA Margins (%) 8.03% 11.35% 7.51% 6.38% Other Income 65 85 56 63 Depreciation 102 93 92 95 Finance Costs 33 2
Slide 20: Historical Standalone Balance Sheet
Historical Standalone Balance Sheet Particulars (INR Mn) FY21 FY22 H1-FY23 Particulars (INR Mn) FY21 FY22 H1-FY23 ASSETS EQUITY AND LIABILITIES Non-Current Assets Equity Property, Plant & Equipment 164 184 197 Share Capital 163 220 221 Intangible assets 39 26 34 Other Equity 573 1,262 1,250 Intangib
Slide 21: Consolidated Financial Highlights
Consolidated Financial Highlights Revenue (INR Mn) EBITDA (INR Mn) & EBITDA Margin (%) PAT (INR Mn) & PAT Margin (%) 3,073 3,196 237 233 2,715 214 2,404 172 8.58% 6.96% 132 62 73 7.71% 42 7.15% 2.28% 4.13% 3.04% 1.31% FY20 FY21 FY22 9M-FY23 FY20 FY21 FY22 9M-FY23 FY20 FY21 FY22 9M-FY23 EBITDA EBITDA
Slide 22: Capital Market Data
Capital Market Data Stock Market Performance (as on 31st December, 2022) Dividend per Share (INR) 60% 40% 3.00 3.00 20% 0% 1.50 -20% -40% Jan-22 Feb-22 Mar-22 Apr-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 Onward - BSE Sensex FY20 FY21 FY22 Price Data (as on 31st December, 2022) Shar
Slide 23: Disclaimer
Disclaimer Onward Technologies Limited No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness, or correctness of the information or opinions contained in this presentation. Such information and opinions are in all e
Slide 24: Thank You
OP mane Your Imagination Delivered to Perfection” THANK YOU
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