Intellect Design Arena Ltd · NSE:INTELLECT
Intellect Design Arena — Q2 FY17 Earnings Presentation
34 slides from Intellect Design Arena's earnings presentation, Nov 3, 2016
Slide 1: Intimation under Regulation 30(6) to stock exchanges
intellect @~ @ Design for Digital INTELLECT/SEC/2016-17 November 03, 2016 1. The National Stock Exchange of India Ltd., Exchange Plaza, 5" Floor, Plot No. C/1, G Block, Bandra Kurla Complex, Bandra (E), Mumbai — 400 051 2. The Bombay Stock Exchange Ltd., 1st Floor, New Trade Ring, Rotunda Building,
Slide 2: Digital Product Powerhouse - Earnings Announcement Q2 FY17
Intellect Design Arena Limited Digital Product Powerhouse Earnings Announcement – Q2 FY 17 ending 30th September 2016 November 3 , 2016
Slide 3: Industry Landscape
Industry Landscape 1
Slide 4: Industry Landscape
Industry Landscape BFSI is the largest segment of IT spend 18% of the IT spend in this sector is on products The Digital push is the biggest catalyst for investments, towards deeper customer engagement and leaner operations Beyond Digital, Block-chain, Artificial intelligence, Natural Language proce
Slide 5: Business Projection in face of Volatility
Business Projection in face of Volatility Our Commitment to you • To continue to evolve the metrics that give better ability to control the business • To share the metrics with you that help you understand the business better Introducing New metrics • Constant currency to remove the variance noise •
Slide 6: Outlook
Outlook 4
Slide 7: Our Outlook and Experience
Our Outlook and Experience 1. Confident but Cautious 2. Current year Projection 2.1. Change • from 22% to 26% growth • to 16% to 22% 2.2. Reasons for Projection change • Robust deal pipeline gives us the confidence. • Uncertainty that could delay decisions makes us cautious enough to change the lowe
Slide 8: Performance
Performance 6
Slide 9: Business Performance: Financial
Performance Business Performance. Financial 1. Revenue. Good uptick powered by Digital Projects • Revenues went up to Rs 231 crores vs 206 Crores in the last quarter and Rs 207 Crs in Q2 FY 16. • In USD terms the revenue went up to $ 34.5 Mn vs $ 30.74 MN • In Constant Currency terms • At Q1 FY 17 r
Slide 10: Business Performance: MarketPlace
Performance Business Performance. MarketPlace 1. Market Penetration. Demonstrates Digital competitiveness • Quarter : 18 Digital led deal wins across Business units in this quarter • YTD : 30 digital led wins • Last year : 50 Digital led wins in FY16 2. Destiny Deal Pipeline. A Strong indicator of g
Slide 11: Business Performance: Competitiveness
Performance Business Performance. Competitiveness Intellectual Property. Beyond Functionality iGTB's Algorithmic Liquidity Solution achieves a new benchmark on SPARC T7 Server. GTB Solution achieves 10 times faster benchmarks on Liquidity Platform running on SPARC T7 servers for processing transacti
Slide 12: Block Chain
Performance Block Chain 22 Sep 2016 10
Slide 13: Business Performance: Execution
Performance Business Performance. Execution Strengthening leadership. Beyond operational leaders The leadership has been augmented with an addition of Five senior executives from the industry Banesh Prabhu, Chief Strategy Advisor: Banesh, a financial services veteran in Technology & Operations solut
Slide 14: Business Performance: Market recognition
Performance Business Performance. Market recognition Intellect recognized among Leading Global Core Vendors with US presence in Aite report Intellect SEEC E-App & Product Configurator Business App (part of Digital Distribution Suite) featured amongst Leading North America Life Insurance New Business
Slide 15: Financial Updates
Financial Updates 13
Slide 16: Financial Results for the Second Quarter Ended September 30, 2016
Financial Results for the Second Quarter Ended September 30, 2016 Additional information on function wise classification of statement of Profit and Loss of the group (Unaudited/ Not Reviewed) Rs. Lakhs QUARTER ENDED Particulars September 30, June 30, September 30, 2016 2016 2015 INCOME Gross Income
Slide 17: Financial Growth
Financial Growth Positive Trending Performance over 10 quarters Revenue trend on LTM basis (INR Crs) 900 847 824 811 800 755 721 700 640 608 600 577 564 560 500 Q1 15 Q2 15 Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 LTM = Revenue of current quarter + last three quarters 15
Slide 18: Revenue Distribution: 33% from License & AMC
Revenue Distribution: 33% from License & AMC Plenty of Headroom for growth License + AMC License + AMC 67% 67% 33% 33% Implementation Implementation LTM – Q2FY 17 LTM – Q1FY 17 LTM = Revenue of current quarter + last three quarters 16
Slide 19: Revenue Distribution Split: 33% from License & AMC
Revenue Distribution Split: 33% from License & AMC Plenty of Headroom for growth Implementation License License Implementation 67% 67% 15% 14% 18% 19% AMC AMC LTM – Q2FY 17 LTM – Q1FY 17 LTM = Revenue of current quarter + last three quarters 17
Slide 20: License & AMC
License & AMC Q2 FY17 Q1 FY17 25 23.53 22.67 20 18.49 17.61 15 Revenue trend on LTM (USD Mn) 10 5 0 License AMC License AMC Revenue from license stood at $ 6.7 Mn in Q2 FY 17 as against License constitutes 15% of the revenue 18 $ 4.2 Mn in Q1 FY 17 AMC constitutes 18% of revenue in Q2 FY17 on LTM ba
Slide 21: Revenue Distribution: By Markets
Revenue Distribution: By Markets EUROPE AMERICAS AMERICAS EUROPE 33% 29% 13% 14% 36% 40% 18% 17% ROW INDIA INDIA ROW LTM – Q2FY 17 LTM – Q1FY 17 LTM = Revenue of current quarter + last three quarters 19
Slide 22: Gross Margin sustained at 50%
Gross Margin sustained at 50% Gross Margin earned (INR Crs) 116 120 111 105 110 110 100 99 100 90 80 76 80 Q2 17 Q1 17 75 72 Q4 16 70 Q3 16 Q2 16 Q1 16 60 Q4 15 Q3 15 50 Q2 15 Q1 15 20
Slide 23: DSO – Billed & Unbilled
DSO – Billed & Unbilled 180 164 165 160 155 146 140 147 120 135 100 80 60 Q2 17 Q1 17 40 Q4 16 Q3 16 20 Q2 16 0 Q1 16 DSO = No. of Days 21
Slide 24: Divisional Commentary
Divisional Commentary 22
Slide 25: Global Transaction Banking
Divisional Commentary Global Transaction Banking Go Lives • Intellect’s iGTB Payment Hub is live in CIBC, one of the largest Canadian Bank. CIBC has implemented phase 1 of the bank's next generation payments infrastructure for business clients. CIBC's goal is to drive growth by leading with innovati
Slide 26: Global Transaction Banking: Leadership hires
Divisional Commentary Global Transaction Banking Leadership hires • Gregory Cleveland, Strategic Business Development, iGTB: Greg joined Intellect from FIS where he served in various Sr executive roles. In his last role with FIS, as the SVP of Global Market Strategy and Enablement, Greg helped defin
Slide 27: Global Consumer Banking
Divisional Commentary Global Consumer Banking Go Lives • Intellect Digital Core went live in 3 financial institutions which includes one of the leading lender bank in Middle East, a leading diversified Japanese financial institution and the largest development bank in Myanmar which makes Digital Cor
Slide 28: Global Consumer Banking: Leadership Hires
Divisional Commentary Global Consumer Banking Leadership Hires • Nishant Pradhan, Chief Solution Architect, Intellect Wealth Nishant has 17 years of IT software experience focussed on Banking & Capital Markets where he has played various roles like FINACLE product development & implementation, FLEXC
Slide 29: Risk, Treasury & Markets
Divisional Commentary Risk, Treasury & Markets Key Go Lives • Intellect OneTREASURY went live in 2 leading financial institutions. One of the small finance banks in the country and one of the leading public sector bank in India went live with Foreign Exchange, Money Market and other modules from One
Slide 30: Insurance
Divisional Commentary Insurance Key Wins • Life Insurance Corporation of India (LIC), the largest insurance corporation in India has partnered with Intellect embarking on a digital transformation journey by implementing Intellect SEEC’s digital solution. Intellect won this large deal against stiff g
Slide 31: Management Statement
Management Statement 29
Slide 32: Fund Raising Plan
Fund Raising Plan The Board has approved the raising of funds through issue of equity shares to the existing shareholders of the Company on a right basis (Rights Issue) subject to all applicable statutory and regulatory approvals. The terms and conditions of the Rights Issue including the timing of
Slide 33: Management Statement
Management Statement “ It is no coincidence that in this quarter we have won three large transformation deals including one from Europe. That large customers have trusted us with transformation of their core business is a proof of the robust engineering capability that we have built. The investments
Slide 34: © 2016, Intellect Design Arena Limited. All rights reserved.
© 2016, Intellect Design Arena Limited. All rights reserved. These materials are confidential and proprietary to Intellect and no part of these materials should be reproduced, published in any form by any means, electronic or mechanical including photocopy or any information storage or retrieval sys
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