Happiest Minds Technologies Ltd. · NSE:HAPPSTMNDS
Happiest Minds Technologies — Q4 FY21 Earnings Presentation
21 slides from Happiest Minds Technologies's earnings presentation, May 21, 2021
Slide 1: Investor Presentation & Fact sheet: Q4 FY 21
Investor Presentation & Fact sheet: Q4 FY 21 May 2021
Slide 2: Forward-looking statements disclaimer
This presentation may contain certain forward-looking statements, which involves risks and uncertainties that could cause our future results to differ materially from those in such forward- looking statements. The COVID-19 pandemic could decrease our customers’ technology spend, delaying prospective
Slide 3: Next Generation Digital Transformation, Infrastructure, Security and Product Engineering Services Company
Next Generation Digital Transformation, Infrastructure, Security and Product Engineering Services Company IPO Digital In September 2020 Digital Agile Active clients RoCE2 • 100 % digitally 46 Fortune2000 / Forbes200 / executed IPO Billion $ corporations • Heavily 87% of repeat business 1 RoE oversub
Slide 4: Technology capabilities and industry verticals
IoT Blockchain DevOps & RPA Cloud Software Defined Networking / NFV BPM & Integration Big Data & Adv. Analytics Security BFSI Edutech Hi-Tech Mfg/Industrial Retail Travel & Hosp. 4 www.happiestminds.com
Slide 5: Our Mission
Learning Excellence Integrity Social Responsibility Mindful Sharing Our Mission Happiest People . Happiest Customers Happiest Minds is the first Indian IT firm to be The Mindful IT Company Achieve a very Be the Happiness successful IPO by or Be known as the Be recognized for Be a leader in Evangelis
Slide 6: Creating Digital Capital
Business Agile Transformation Organization Agile Business CREATING MINDFULLY DIGITAL AGILE CAPITAL Platformize and Agile Modernize Delivery Reimagining Engineering & Customer Experience Operational Excellence 6 www.happiestminds.com
Slide 7: Operational and Financial Metrics — Q4 and FY21
A . . De happiest minds = The Mindful IT Company Born Digital . Born Agile Operational and Financial Metrics — Q4 and FY21 Y ~YZMM wiauiliti TN mmmuvamummmatvammramams rm yt
Slide 8: Q4 FY21 financial summary
Particulars Q4 FY 21 Q3 FY 21 QoQ Q4 FY 20 YoY FY 21 FY 20 YoY Revenues ($'000) 30,235 26,202 15.4% 25,613 18.0% 104,592 98,348 6.3% Revenues (₹ lakhs) 22,071 19,284 14.5% 18,635 18.4% 77,341 69,821 10.8% Other Income (₹ lakhs) 303 845 (64.1)% 386 (21.5)% 2,422 1,602 51.2% Total Income (₹ lakhs) 22,
Slide 9: Digital and Agile % of Revenue
Digital Agile % of Revenue % of Revenue 97.2% 96.9% 97.1% 96.8% 96.6% 96.6% 96.3% 93.9% 92.8% 92.8% 94.2% 90.2% 87.9% 71.1% FY 19 FY 20 FY 21 Q1 21 Q2 21 Q3 21 Q4 21 FY 19 FY 20 FY 21 Q1 21 Q2 21 Q3 21 Q4 21 9 www.happiestminds.com
Slide 10: Revenues - Growth and Revenue Contributors
Revenues - Growth Revenue Contributories (₹ Lakhs) 3.0% 79,765 71,423 20.6% 60,181 48,912 49.7% 22,374 18,699 18,791 20,129 26.7% FY18 FY19 FY20 FY21 Q1 21 Q2 21 Q3 21 Q4 21 PES DBS IMSS Oth Inc 10 www.happiestminds.com
Slide 11: EBITDA and High FCF conversion
EBITDA High FCF1 conversion (₹ Lakhs) Margin % (₹ lacs) FCF Conversion % 99.6% 27.0% 21,476 21,573 99.6% 15.8% 11,266 11,312 11.0% 98.8% 99.5% 29.7% 99.2% 26.3% 99.8% 25.7% 6,549 99.8% 26.3% 6,628 5,920 5,853 5,969 5,883 4,772 4,931 4,782 4,939 1.6% 85.0% 762 649 FY18 FY19 FY20 FY21 Q1 21 Q2 21 Q3 2
Slide 12: Employees, Utilization and Voluntary Attrition
Utilization & Happiest Minds, Offshore / Onsite Voluntary Attrition % 1 Number of Employees Utilization % 68.4% 77.3% 76.9% 79.5% 74.9% 78.7% 81.6% 82.6% 2,253 2,462 2,666 3,228 2,658 2,721 2,885 3,228 25.2% 18.7% 16.2% 14.2% 95.3% 94.6% 95.4% 94.9% 95.3% 95.1% 95.0% 94.9% 12.4% 13.1% 12.4% 4.7% 5.4
Slide 13: Revenue model, concentration and million dollar customers
Revenue model Q4 21 Model Geography Digital Revenue1 Vertical1 3.4% 10.2% 8.4% 9.5% 26.0% 24.1% 7.1% 11.7% 12.9% 44.2% 7.7% 11.6% 9.1% 13.5% 14.8% 68.4% 74.0% 20.9% 14.0% 8.6% Digital Infra / Cloud SAAS Edu Tech Hitech Retail / CPG T&M FP Americas Europe India ROW Security Analytics / AI TME BFSI In
Slide 14: Onsite/Offshore and average annual revenue per customer
Onsite/Offshore Avg. annual revenue / active customer By Revenue (USD ‘000) 737 683 659 634 615 615 502 78.6% 78.0% 77.5% 79.0% 78.1% 471 81.0% 81.0% 85.0% 21.4% 22.0% 22.5% 19.0% 21.0% 21.9% 19.0% 15.0% FY18 FY19 FY20 FY21 Q1 21 Q2 21 Q3 21 Q4 21 FY18 FY19 FY20 FY21 Q1 21 Q2 21 Q3 21 Q4 21 Onsite O
Slide 15: Revenue by customer industry group and digital offerings
FY18 FY19 FY20 FY21Q1 FY21Q2 FY21Q3 FY21Q4 FY21 Customer Industry group Edutech 18.0% 21.3% 21.3% 27.0% 27.0% 24.9% 24.1% 25.6% Hitech 24.6% 21.0% 21.0% 20.5% 19.5% 20.2% 13.5% 18.2% BFSI 17.9% 18.2% 17.5% 17.4% 16.3% 17.4% 14.8% 16.4% Travel, Media and Entertainment (TME) 11.0% 13.8% 17.1% 12.9% 13
Slide 16: Customer geography, million dollar customers and revenue mix
FY18 FY19 FY20 FY21 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY 21 Location of external customer USA 73.5% 75.5% 77.5% 77.3% 77.3% 72.2% 68.4% 73.4% India 11.7% 11.9% 11.9% 10.9% 10.9% 13.4% 11.7% 11.8% Europe 11.4% 9.5% 7.2% 9.8% 9.2% 10.6% 11.6% 10.4% ROW 3.4% 3.1% 3.4% 2.0% 2.6% 3.8% 8.4% 4.4% 1 Million $ Cust
Slide 17: Headcount, utilization, DSO, EPS and return ratios
FY18 FY19 FY20 FY21Q1 FY21Q2 FY21Q3 FY21Q4 FY21 Happiest Minds Onsite 105 132 123 124 133 145 166 166 Offshore 2,148 2,330 2,543 2,534 2,588 2,740 3,062 3062 Total 2,253 2,462 2,666 2,658 2,721 2,885 3,228 3,228 Happiest Minds by delivery centres Onsite 4.7% 5.4% 4.6% 4.7% 4.9% 5.0% 5.1% 5.1% 1 Offs
Slide 18: Revenue by business units
(All figures in ₹ Lakhs) FY18 FY19 FY20 FY21Q1 FY21Q2 FY21Q3 FY21Q4 FY21 Revenue by Business Units Infrastructure Management & Security Services 9,862 20.2% 12,943 21.5% 15,361 21.5% 3,641 19.5% 3,959 21.1% 4,334 21.5% 4,487 20.1% 16,421 20.6% Digital Business Services 15,403 31.5% 18,090 30.1% 19,1
Slide 19: Summary Profit & Loss statement
Summary Profit & Loss statement (All figures in ₹ Lak hs) FY 18 FY 19 FY 20 FY 21 Q1 FY 21 Q2 FY 21 Q3 FY 21 Q4 FY 21 Income Operating revenue 46,289 59,036 69,821 17,702 18,284 19,284 22,071 77,341 Other income 2,623 1,145 1,602 997 507 845 303 2,424 Total income 48,912 60,181 71,423 18,699 18,791
Slide 20: Condensed Balance Sheet
Condensed Balance Sheet (All figures in ₹ Lak hs ) 31.03.2018 31.03.2019 31.03.2020 30.06.2020 30.09.2020 31.12.2020 31.03.2021 Assets Non-current Assets Property, plant and equipment 264 214 93 77 60 72 69 Goodwill 2,961 1,736 610 610 611 611 7,644 Financial & Other assets 7,685 6,003 5,598 6,266 5
Slide 21: investors@happiestminds.com
investors@happiestminds.com India | United States | United Kingdom | Canada | Australia | Dubai www.happiestminds.com
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