Avenuesai Ltd · NSE:CCAVENUE
Avenuesai — Infibeam Avenues — Q1 FY21 Earnings Presentation
43 slides from Avenuesai's earnings presentation, Sep 2, 2020
Slide 1: Infibeam Avenues cover letter to stock exchanges
INFIBEAM AVENUES September 02, 2020 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, Dalal Street, Fort, Bandra Kurla Complex, Mumbai - 400 001 Bandra (East), Mumbai - 400 051 Company Code No.: 539807 Company Symbol: INFIBEAM Dear Sir/ Madam, Sub: Inves
Slide 2: A Global FinTech Company - Q1 FY21 Earnings Presentation
PAYMENTS | PLATFORMS A Global FinTech Company Q1 FY21 Earnings Presentation 2 September 2020
Slide 3: Disclaimer
INFIBEAM AVENUES LIMITED Disclaimer This presentation contains certain words and statements concerning Infibeam Avenues Limited (“the Company”) and its prospects, and other statements relating to the Company’s expected financial position, business strategy, the future development of the Company’s op
Slide 4: Agenda
INFIBEAM AVENUES LIMITED Agenda 1 Company Overview 2 Building a strong, sustainable and scalable business 3 Financial and operating performance 4 Unlocking value for shareholders and Growth drivers 3
Slide 5: Company Overview
_f - y/ INFIBEAM AVENUES Company Overview
Slide 6: Global Fintech company Listed in India
INFIBEAM AVENUES LIMITED Global Fintech company ➢ Global financial technology (fintech) company with operations in India, GCC economies and the USA ➢ India’s first and amongst the most trusted online digital payments solution provider with a profitable track record ➢ Also, India's leading enterprise
Slide 7: We have built a strong, sustainable and scalable business
BUSINESS SNAPSHOT We have built a strong, sustainable and scalable business >1,000,000 ~INR 90,000 cr >INR 55,000 cr Top 2 5 Merchants in India and worth of transactions orders processed In India and UAE 2 Countries of presence; International markets; processed across our on IAL’s largest platform I
Slide 8: The IAL Ecosystem Advantage
The IAL Ecosystem Advantage Human Capital Customer Capital 700+ 1,000,000+ IAL employees Merchants relying on IAL software every day 400+ 10+ cr Fintech team ✓ Consumers accessed ✓ ✓ through touch points 8-10 people 150+ in each international Avg daily merchant location (lean team) registrations <25
Slide 9: Building a strong, sustainable and scalable business model
Building a strong, sustainable and scalable business model
Slide 10: Key highlights of the quarter
KEY HIGHLIGHTS OF THE QUARTER Long term focus on growing revenue and enhance margins – leadership focus ➢ Revenue was INR 103 crore (cr), -24% QoQ and profit was INR 12 cr, -39% QoQ on account of dip in payment processing volumes in Apr, May and most of June 2020 compared to March 2020 due to COVID1
Slide 11: Key highlights of the quarter (continued)
KEY HIGHLIGHTS OF THE QUARTER Long term focus on growing revenue and enhance margins – leadership focus ➢ New launch- CCAvenue PG Services (CPGS) platform, backward integration in PG to make us a one-stop global digital payment solution (DPS) provider; o Processing card schemes for banks; PG agnosti
Slide 12: Our addressable market is expanding continuously
Our addressable market is expanding continuously with multiple growth trajectories Growth Trajectories ➢ Consumers digital demand ➢ Merchants digital adoption ➢ B2B automation Market Size ➢ Low eCommerce share of spending ➢ Increasing eGovernance ➢ Single window bill payments US$ ➢ Digital banking &
Slide 13: IAL has a focused growth strategy over the next 3-5 years
IAL has a focused growth strategy over the next 3-5 years Expand revenue streams through- Build- a powerful international brand Deep penetration in existing markets Offer- leading technology New businesses Nurture- talent International expansion ESG compliance 12
Slide 14: Accelerating growth by expanding revenue streams
Accelerating growth by expanding revenue streams IAL – The 7 Fintech Platforms Existing businesses ➢ CCAvenue Payment Gateway (PG) & white-label solution for private & public sector businesses and banks ➢ BillAvenue; single window bill payments platform for billers and customers ➢ ResAvenue; hospita
Slide 15: Existing business
Building a strong, sustainable and scalable business model Existing business
Slide 16: CCAvenue Payment Gateway + White Label
CCAVENUE – Payment Gateway + White Label A leading online payment solutions provider in India and UAE ➢ Among the leading payment gateway in India and the UAE Strong tailwinds in India & GCC o India & UAE – Rank 2 o Among highest number of payment options; 200+ & multi currency ➢ Regulatory and Cent
Slide 17: Strong merchant wins and growing digital payments in the UAE
m-o-m growth AED 220+ cr in payment FY’21E payments volume & value run-rate ↑75% 2nd daily volume in in the UAE Jun’20 vs Mar’20 among non-bank in UAE pvt. cos. Strong merchant wins and growing digital payments adoption in the UAE 16
Slide 18: BillAvenue (Bill Payments)
CCAVENUE – BillAvenue (Bill Payments) Interoperable bill payment solution built on Bharat BillPay infrastructure ➢ Market share expansion in India by offering digital bill payments services ➢ India has: o 55 lacs PNG connections, 4 crore (cr) by 2024 o Partnering with offline Agent Institutions acro
Slide 19: ResAvenue (Hospitality/Hotel Solution)
CCAVENUE – ResAvenue (Hospitality/Hotel Solution) Fragmented market and digital adoption driving strong growth ➢ An integrated platform & payment solution for hotel industry ➢ India is the most digitally advanced traveller nation in terms of digital ➢ A complete Central Reservation System (CRS) for
Slide 20: New business - revenue and profit driver
Building a strong, sustainable and scalable business model New business – revenue and profit driver
Slide 21: B2Biz + White Label
CCAVENUE – B2Biz + White Label Automation of B2B (Business) collections and payments ➢ Digitizing receivables and payables by eliminating cash & cheque payments ➢ Electronic collection and payments DIGITAL PROCESS from and to business partners directly into bank account ➢ Comprehensive reporting & a
Slide 22: Payment Gateway Services (CPGS)
CCAVENUE – Payment Gateway Services (CPGS) Backward integration in payments acquiring services Online Seller Proposed Flow MPI PLUG-IN ➢ Processing card payments for banks; Bank is the customer The➢ acquiring domain Significant is where volume the merchant, enhancement payment gateway, and acquiring
Slide 23: CCAvenue Finance - Prepaid Cards
CCAVENUE – FINANCE (Issuance of Prepaid/Debit Cards) Pre-paid cards for multi-purpose payments Card offering ➢ Large and untapped pool of corporates in India with few established players with strong technology Bank Bank o At least 10+ lac businesses and corporates to be tapped from a pool of 6+ cr S
Slide 24: Corporate Credit Cards under the brand GRIT
CCAVENUE – FINANCE (Corporate Credit Cards under the brand GRIT) Unified platform for corporates to control company wide spends ➢ CFO gets full control on all company wide spends through a Credit Card for every single dashboard, workflows, and physical & virtual corporate Instant credit line with us
Slide 25: Express Settlement
CCAVENUE – Finance (Express Settlement) Secured lending to merchants with low funding cost Same day settlement Small charge on in less than 1 hour; existing TDR for customer retention & availing the facility acquisition strategy Increases net take rate Ability to charge without any pass-thru; 5-50 b
Slide 26: Hosted e-commerce platform built for large scale
ENTERPRISE SOFTWARE PLATFORMS – End to End eCommerce Marketplace Platform & Services A hosted e-commerce platform built for large scale ➢ A cloud-based, end-to-end software as a service (SaaS) platform allowing Few Marquee Clients on Enterprise Platform corporates to transact online, manage the back
Slide 27: Digital payment solutions: out of the box capabilities
DIGITAL PAYMENT SOLUTIONS BUSINESS Out of the box capabilities 1. Top notch PG and B2B payments and collections with white label solution through 200+ payment options 2. Backward integration in payments acquiring; onboarding banks to process card schemes 3. Digital lending and card issuance through
Slide 28: Enterprise software platforms: out of the box capabilities
ENTERPRISE SOFTWARE PLATFORMS BUSINESS Out of the box capabilities 1. Online registration & verification system for seller on boarding; online verification of KYC proofs 2. Ability to create and manage multiple user per seller profile; supports role based access 3. OEM management 4. Ability to custo
Slide 29: Our comprehensive Fintech offerings
Our comprehensive Fintech offerings Fintech offering Infibeam Avenues Peer 1 Peer 2 Peer 3 Payment Gateway ✓ ✓ ✓ ✓ Bulk Payments ✓ ✓ White label solution ✓ Backward integration (MPI, Switch, etc) ✓ Lending ✓ ✓ ✓ BBPS ✓ ✓ ✓ ResAvenue ✓ Domestic Remittances ✓ Internatio
Slide 30: Our Brands
Business Snapshot Our Brands IAL’s Brand Capital Description Payments Processing Solution for Retail Merchants and white label for banks B2B Bulk Payments and Collection Automation and White Label for Banks Merchant plug-in, Switch, Payment Network Connectivity for banks to process card schemes Paym
Slide 31: Financial and operating performance
Financial and operating performance
Slide 32: 1Q FY21 Financial performance - EBITDA improvement
1Q FY21 Financial performance – EBITDA improvement ➢ Extended lockdown in India due to COVID impacted Profit & Loss (Consol) Q1 Q4 QoQ Q1 YoY business volumes and hence Revenue and Profits in INR crore FY21 FY20 Growth FY20 Growth ➢ Platforms revenue largely impacted due to slowdown in transaction-b
Slide 33: V-shaped recovery post-COVID
OPERATING PERFORMANCE SNAPSHOT – DIGITAL PAYMENTS V-shaped recovery post-COVID ➢ Sharp drop in payment processing volume & value in Apr’20 vs. Mar’20, followed by month-on-month (m-o-m) growth in May vs Apr and Jun vs May; yet total volume & value in Q1’20 lower than Q4’20 due to sharp drop in non-e
Slide 34: Unlocking value for shareholders and Growth drivers
Unlocking value for shareholders and Growth drivers
Slide 35: Demerger and subsequent listing of non-core businesses
UNLOCKING VALUE FOR SHAREHOLDERS Demerger and subsequent listing of non-core businesses (marketplace & related) ➢ Potential demerger and vesting of E-Commerce Business and SME E-Commerce Infibeam Services undertaking (“E-Commerce businesses”) to Suvidhaa Infoserve (Suvidhaa) Avenues Ltd o IAL shareh
Slide 36: Growth drivers
INFIBEAM AVENUES LIMITED Growth drivers ➢ Global Fintech company; global digital payments solution provider ➢ Continued focus on digital payments business ➢ India: Strong organic growth, and large and marquee customer base in India ➢ Overseas: ‘Country-in-a-Box’ strategy o UAE, Saudi, Oman and USA ➢
Slide 37: Thanking our Employees
COVID19 Thanking our Employees We have stood for our customers, employees and communities in good and bad times. COVID19 is one of those extraordinary times. We have been agile in responding to this global crisis. Our employees are our greatest asset and customer centricity is at the center of all o
Slide 38: Few Awards and Recognition
INFIBEAM AVENUES LIMITED Few Awards and Recognition Best Digital Payment Processor Best Technology Platform India Digital Summit 2020, by IAMAI Skotch Award: Technology deployment for Government Projects & Digital Platforms Best Digital Payment Facilitator Best Workplace of the Year Driver of Digita
Slide 39: Thank You
PAYMENTS | PLATFORMS Thank You Investor Relations Purvesh Parekh purvesh.parekh@ia.ooo +91 9930554588 To know more, visit us at: www.ia.ooo | www.ccavenue.ooo
Slide 40: Strong portfolio of marquee brands in India and UAE
CCAVENUE Strong portfolio of marquee brands in India and UAE We work with most of the top brands in India & the UAE INDIA UAE Podar Education … and over 100,000 more … and over 750 more Presence across industries including government undertakings 39
Slide 41: Agent institutions and billers
CCAVENUE – BillAvenue (Bill Payments) Agent institutions and billers Agent Institution partners – 200+ live Billers on-boarded by us – 35+ Network of 500,000+ agents across India 40
Slide 42: Strong brands driving strong online growth
CCAVENUE – ResAvenue (Hospitality/Hotel Solution) Strong brands driving strong online growth 2000+ Hotels Live with ResAvenue, integrated with major Online Travel Agents (OTAs) 41
Slide 43: Industry landscape
Payments Industry landscape Source: Medici- India Fintech Report 2020, 2nd Edition 42