Redington Limited · NSE:REDINGTON
Redington — Q2 FY2019 Earnings Presentation
23 slides from Redington's earnings presentation, September 2018
Slide 1: Redington (India) Limited Q2FY19 Earnings Presentation
REDINGTON (INDIA) LIMITED Q2FY19 Earnings Presentation September 2018
Slide 2: Disclaimer
Disclaimer This presentation contains “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Redington India Limited’s future business developments and economic performance. While these forw
Slide 3: Financial Highlights
Financial Highlights • Q2FY19 – On a consolidated basis, Revenue grew by 11%, EBITDA grew by 2% and PAT degrew by 7% • India – Revenue grew by 12%, EBITDA degrew by 18% and PAT degrew by 29% • Overseas – Revenue grew by 10%, EBITDA grew by 26% and PAT grew by 13% • Overseas w/o Arena, Turkey – Reven
Slide 4: Financial Highlights: India business
Financial Highlights India business • During the quarter, India business registered double digit growth in Revenue, with IT segment continuing its growth momentum at 19% YoY • Degrowth at Gross Margin level can be attributed to: • Selling inventory at deep discounts, pertaining to Enterprise Busines
Slide 5: Financial Highlights: Overseas business and Turkey update
Financial Highlights Overseas business • During the quarter, Overseas business continued its strong momentum, registering strong double digit growth across Revenue, EBITDA and PAT • Generated positive free cash flow in H1’FY19 Turkey Update • Turkish Lira has depreciated 32% against USD during the q
Slide 6: Q2FY19 Performance
Q3FY18 Highlights Q2FY19 Performance Connecting The Dots Transformation from ‘Product’ to ‘Utility of Product’ 6
Slide 7: Q2FY19 Consolidated Financials
Q2FY19- Consolidated Financials ₹ in million REVENUE EBIDTA PAT 11% 2% 7% 1,11,323 1,126 2,111 1,00,456 2,062 1,051 Q2FY18 Q2FY19 Q2FY18 Q2FY19 Q2FY18 Q2FY19 7
Slide 8: Q2FY19 Performance by Market
Q2FY19 Performance by Market ₹ in million REVENUE PAT 11% 7% 1,11,323 1,126 1,00,456 1,051 609 13% 68,832 62,496 686 10% 29% 12% 518 37,960 42,490 365 Q2FY18 Q2FY19 Q2FY18 Q2FY19 INDIA OVERSEAS INDIA OVERSEAS 8
Slide 9: Q2FY19 Performance by Vertical
Q2FY19 Performance by Vertical INDIA OVERSEAS CONSOLIDATED 4% 5% 2% 2% 3% 3% 23% 19% 31% 28% 26% 31% 73% 76% 67% 67% 69% 71% Q2FY18 Q2FY19 Q2FY18 Q2FY19 Q2FY18 Q2FY19 IT Mobility Services IT Mobility Services IT Mobility Services Note: Upon re-grouping, only smartphones are shown under Mobility 9
Slide 10: Q2FY19 Working Capital Days
Q2FY19 – Working Capital Days INDIA OVERSEAS CONSOLIDATED 55 46 41 41 37 32 9 5 Q2FY18 Q2FY19 Q2FY18 Q2FY19 Q2FY18 Q2FY19 10
Slide 11: Free Cash Flow Statement
Free Cash Flow Statement ₹ in million Particulars Q2 FY19 Q2FY18 Profit Before Taxation 1,474 1,527 Non-cash items 294 149 Change in Working Capital 1,187 1,290 Direct Tax Paid (489) (449) Outflow of Finance Cost 429 321 Net Cash Flow from Operations 2,895 2,838 Capex (144) (138) Dividend (1,137) (1
Slide 12: Q2FY19 Top Vendors Consolidated
Q2FY19 – Top 5 Vendors Consolidated REVENUE 35% 38% OTHERS SAMSUNG 5% 5% LENOVO 8% 7% DELL EMC 8% 8% HP Inc 16% 17% APPLE 27% 26% Q2FY18 Q2FY19 12
Slide 13: Q2FY19 Performance – ProConnect
Q2FY19 Performance – ProConnect ₹ in million REVENUE EBIDTA 30% 24% • Revenue growth over 999 Q2FY18 is 30% 766 146 117 • EBITDA growth over Q2FY18 is 24% Q2FY18 Q2FY19 Q2FY18 Q2FY19 PBT PAT 13% 21% 112 77 64 99 Q2FY18 Q2FY19 Q2FY18 Q2FY19 Above figures include Mission Critical Services 13
Slide 14: H1FY19 Performance
Q3FY18 Highlights 9MFY18 Highlights H1FY19 Performance Connecting The Dots Transformation from ‘Product’ to ‘Utility of Product’ 14
Slide 15: H1FY19 Consolidated Financials
H1FY19- Consolidated Financials ₹ in million REVENUE EBIDTA PAT 10% 1% 8% 2,11,361 3,922 3,901 1,94,280 2,110 1,937 H1FY18 H1FY19 H1FY18 H1FY19 H1FY18 H1FY19 15
Slide 16: H1FY19 Performance by Market
H1FY19 Performance by Market ₹ in million REVENUE PAT 10% 8% 2,13,611 1,94,280 1,937 2,110 1147 11% 1,34,825 8% 1,21,967 1,244 28% 9% 963 72,313 78,786 693 H1FY18 H1FY19 H1FY18 H1FY19 INDIA OVERSEAS INDIA OVERSEAS 16
Slide 17: H1FY19 Performance by Vertical
H1FY19 Performance by Vertical INDIA OVERSEAS CONSOLIDATED 5% 6% 2% 2% 3% 3% 20% 19% 33% 28% 28% 34% 75% 76% 69% 69% 65% 64% H1FY18 H1FY19 H1FY18 H1FY19 H1FY18 H1FY19 IT Mobility Services IT Mobility Services IT Mobility Services Note: Upon re-grouping, only smartphones are shown under Mobility 17
Slide 18: H1FY19 Working Capital Days
H1FY19 – Working Capital Days INDIA OVERSEAS CONSOLIDATED 58 51 42 42 39 33 7 6 H1FY18 H1FY19 H1FY18 H1FY19 H1FY18 H1FY19 18
Slide 19: Free Cash Flow Statement
Free Cash Flow Statement ₹ in million Particulars H1FY19 H1FY18 Profit Before Taxation 2,692 2,813 Non-cash items 950 584 Change in Working Capital 1,223 (319) Direct Tax Paid (1,098) (579) Outflow of Finance Cost 817 664 Net Cash Flow from Operations 4,584 3,163 Capex (328) (243) Dividend (1,138) (
Slide 20: Consolidated Balance Sheet
Consolidated Balance Sheet ₹ in million Particulars 30-SEP-19 30-SEP-18 Source: Networth 38,567 32,662 Net Debt 10,087 10,159 Minority Interest 3,753 3,615 Total 52,407 46,436 Application: Fixed Assets 5,088 4,554 Goodwill 238 213 Net Assets 47,081 41,669 Total 52,407 46,436 20
Slide 21: H1FY19 Top Vendors Consolidated
H1FY19 – Top 5 Vendors Consolidated REVENUE 39% 39% OTHERS SAMSUNG 5% 4% LENOVO 7% 6% DELL EMC 8% 8% HP Inc 15% 16% APPLE 26% 27% H1FY18 H1FY19 21
Slide 22: Shareholding Pattern
Shareholding Pattern Others Others 12.1% 13.8% Mutual Funds Mutual Funds 12.8% 12.6% Synnex Mauritius Limited Synnex Mauritius 23.5% Limited Standard Chartered 23.6% Standard Chartered Private Equity Private Equity 15.4% 15.4% Foreign Foreign Institutional Institutional Investors & FPIs Investors &
Slide 23: Investor Contacts
Investor Contacts M. Muthukumarasamy Compliance Officer Redington (India) Limited SPL Guindy House, 95 Mount Road, Guindy, Chennai 600 032 https://www.redingtonindia.com Sowmiya M Manager – Investor Relations sowmiya.manickam@redington.co.in Connecting Corporate Presentation The Dots Transformation