Slide 1: Private Market Intelligence Platform
Private Market Intelligence Platform Q2 FY25 Investor Presentation 08th November 2024 Copyright © 2019, Tracxn Technologies Private Limited. All rights reserved.
Slide 2: Disclaimer
Disclaimer By attending this presentation including the commentary by the Company management This Presentation may contain, words or phrases that are forward-looking statements that and the transcript of the same, together (“Presentation”) and/or accepting a copy of it, involve risks and uncertainti
Slide 3: Tracxn Overview
Tracxn Overview Tracxn is a Data & Software platform for the Private Markets globally We work with Venture Capital Firms, Private Equity Firms, Investment Banks - as well as M&A & Innovation teams of large Corporates Global Platform, customers span 50+ countries 3
Slide 4: Q2 FY25 Financial Performance
Q2 FY25 Financial Performance 4
Slide 5: Q2 FY25: Financial Performance Summary
Q2 FY25: Financial Performance Summary Steady growth in Revenue and Profitability REVENUE PROFITABILITY Revenue from Operations EBITDA EBITDA Margin 21.4 Cr. 0.9 Cr. 4.3 % 0.5% YoY | 4.2% QoQ 1.1 Cr. YoY | 0.6 Cr. QoQ 5.2% YoY | 2.9% QoQ Total Income PAT1 PAT Margin1 22.8 Cr. 1.7 Cr. 7.9 % 1.4% YoY
Slide 6: H1 FY25: Financial Performance Summary
H1 FY25: Financial Performance Summary Steady growth in Revenue, Profitability and Cash REVENUE PROFITABILITY OTHER Revenue from Operations EBITDA EBITDA Margin Free Cash Flow1 41.9 Cr. 1.2 Cr. 2.9 % 8.3 Cr. 1.5% YoY 0.9 Cr. YoY 2.1% YoY 7.8 Cr. YoY, up from H1 FY24 Total Income PAT3 PAT Margin3 Cas
Slide 7: H1 FY25: Continued Revenue Growth
H1 FY25: Continued Revenue Growth Revenue from Operations Total Income (in INR Cr.) (in INR Cr.) Historical Annual QoQ growth Historical Annual QoQ growth 2% 4% 3% 4% 24% 24% CAGR CAGR Revenue from operations grew at 4% QoQ for Q2 FY25 7 Note: (*) Total Income excludes Fair value gain/ (loss) on CCP
Slide 8: H1 FY25: Profitable Operations - EBITDA & PAT
H1 FY25: Profitable Operations - EBITDA & PAT QoQ growth EBITDA Excluding non-cash (in INR Cr.) ESOP expense this is Historical Annual 3.4 Cr. for H1 FY25 EBITDA and PAT increased on a QoQ basis PAT1 QoQ growth (in INR Cr.) Historical Annual Excluding non-cash items - ESOP exp. and tax set-off with
Slide 9: H1 FY25: EBITDA & PAT Margin
H1 FY25: EBITDA & PAT Margin EBITDA Margin QoQ growth Historical Annual EBITDA Margin and PAT Margin increased on a QoQ basis PAT Margin1 QoQ growth Historical Annual 9 Note: (1) PAT for Q2FY25 is excluding deferred tax adjustments; (*) Excluding Fair value gain/ (loss) on CCPS for FY21
Slide 10: Incremental Revenue going into Bottomline
Incremental Revenue going into Bottomline Historical Annual: H1FY24 H1FY25 FY 21 FY 22* FY 23* FY 24 Revenue from operations 41.3 41.9 43.8 63.5 78.1 82.8 Incremental Revenue from Operations (Δ) 0.6 +6.4 +19.7 +14.7 +4.7 EBITDA 2.1 1.2 (17.1) (1.9) 2.6 4.6 Incremental EBITDA (Δ) (0.9) +5.4 +15.1 +4.
Slide 11: H1 FY25: Expense Breakup
H1 FY25: Expense Breakup Total Expense (in INR Cr.) Total Expense - Breakup (for H1FY25) (in INR Cr.) % of Total Historical Annual H1FY25 Expense Employee Benefit Expenses 35.9 Cr. 88.0% 4% Salaries, Wages & Bonus 32.8 Cr. 80.5% 9% CAGR Employee Stock Option Expense 2.2 Cr. 5.3% Other Employee Benef
Slide 12: H1 FY25: FCF and Cash & Cash Equiv.
H1 FY25: FCF and Cash & Cash Equiv. FCF (Free Cash Flow)1 Cash & Cash Equivalents1,2 (in INR Cr.) (in INR Cr.) 7.8 Cr. Historical Annual 85.0 Cr. Added 22.0 Cr. YoY 34.8% YoY Note: (1) Free Cash Flow and Cash & Cash equiv. excludes tax amounts received from employees against ESOP exercise as on the
Slide 13: Private Markets - Quick snapshot (1/3)
Private Markets - Quick snapshot (1/3) Global Tech Funding India Tech Funding (in USD Bn.) (in USD Bn.) GLOBAL TECH FUNDING: CY23 was a 6yr low # Unicorns created globally # Unicorns created in India LATE-STAGE FUNDING: (proxy # new unicorn rounds) Decline is more, CY23 was a 7yr low Source: Interna
Slide 14: Private Markets - Quick snapshot (2/3)
Private Markets - Quick snapshot (2/3) Global M&A deal value and IB fees at its lowest Global M&A (in USD Tn.) GLOBAL M&A: CY23 (last year) was lowest in 10yr M&A advisory fees (in USD Bn.) IB M&A ADVISORY FEES: CY23 (last year) was one of the lowest in the last 10yr Source: Report on Global Mergers
Slide 15: Private Markets - Quick snapshot (3/3)
Private Markets - Quick snapshot (3/3) Signs of recovery in private markets Global Tech Funding Global Tech Funding - Early Stage (in USD Bn.) (in USD Bn.) India Tech Funding India Tech Funding - Early Stage (in USD Bn.) (in USD Bn.) YoY Growth Rate Overall funding recovery awaited, current trend lo
Slide 16: Q2 FY25: Greenshoots (1/4)
Q2 FY25: Greenshoots (1/4) Continued high volume growth Customer Accounts (#) Customer Accounts - Net Addition Q2 FY25 addition highest due to various growth initiatives 16 Note: (*) FY23 Quarterly Avg. is provided for like to like comparison. Customer Accounts are as on respective end of period. Qo
Slide 17: Q2 FY25: Greenshoots (2/4)
Q2 FY25: Greenshoots (2/4) Deferred revenue continues to hold Deferred Revenue (in INR Cr.) Historical Annual Quarterly 19% CAGR YoY Growth Rate 17 Note: (*) Adjusted for proforma bills wherein invoice is to be raised after payment is received
Slide 18: Q2 FY25: Greenshoots (3/4)
Q2 FY25: Greenshoots (3/4) Early signs of momentum - in both volume and value growth Value Growth Volume Growth 4% Revenue from operations (in INR Cr.) Customer Accounts (#) 7% 1% 8% Second highest QoQ value growth in the last 7 Qs Highest QoQ volume growth 18
Slide 19: Q2 FY25: Greenshoots (4/4)
Q2 FY25: Greenshoots (4/4) Platform Engagement continues to increase Trend of platform usage metrics in terms of # of Exports and Myanalyst queries ~1.7X Despite lower external deal activity, customers’ platform engagement looks healthy (Customer exports & myanalyst queries have grown ~1.7X over the
Slide 20: Growth Initiatives
Growth Initiatives GTM Funnel LEAD GENERATION: • Also, we have been investing across Marketing various growth initiatives • These span across the Go-to-market funnel of marketing, sales and account LEAD expansion CLOSURE: Sales • This has started giving us very good initial results and we expect fur
Slide 21: Select Recent Growth Initiatives: Organic Traffic & Inbound Leads
Select Recent Growth Initiatives 1 Scaling Organic Traffic & Inbound Leads Organic Search Traffic* (in millions) Pipeline ~3X ● We have built a large organic inbound traffic funnel ● Over 16 Million visits in FY24 ● In H1FY25 this was 10.2 Million visits (~3x increase in 3 years) 21 Note: (*) Source
Slide 22: Select Recent Growth Initiatives: Tracxn Lite
Select Recent Growth Initiatives #New Tracxn Lite Signups1 2 Tracxn Lite ● Launched Tracxn Lite for PLG (Product-Led Growth) to make the customers aware of the richness of the platform and drive product led growth ● Users get full platform access (with limitations such as restricted daily hits for p
Slide 23: Specialized Teams - Universities
Select Recent Growth Initiatives 3 Specialized Teams - Universities ● Specialised team with cumulative experience of over 20 years in selling to universities ● Bulk of our relevant customer segments come from top universities globally ● More than a revenue segment, universities are a good marketing
Slide 24: Specialized Teams - Private Equity
Select Recent Growth Initiatives 4 Specialized Teams - Private Equity ● We have setup a specialized sales team for Private Equity - as it’s a large and cash-rich sub-segment ● In addition to the sales engine, we have also doubled down on the data production specifically for the PE customer segment .
Slide 25: Specialized Teams - Startups
Select Recent Growth Initiatives 5 Specialized Teams - Startups ● We continue to see high volume of inbound leads from startups ● Though they are served by the same platform, they have a differentiated use case and workflow requirements ● Pace of customer acquisition got accelerated after setting up
Slide 26: More specialized teams setup
Select Recent Growth Initiatives 6 Following the success of the initial set, more specialized teams setup Previously Universities Private Equity Startups Launched Venture Capital Mergers & Investment Banks Funds Acquisitions Recently launched verticals Accelerator & Sales Debt Events Incubators 26
Slide 27: Increasing Coverage of Private Company Financials
Select Recent Growth Initiatives 7 Increasing Coverage of Private Company Financials Currently cover private company financials across 20+ countries # Financials Covered Major countries by coverage 5x ● India ● Norway ● South Korea ● United Kingdom ● Denmark ● New Zealand ● Croatia ● Czech Republic
Slide 28: Increasing Coverage of Private Company Captables
Select Recent Growth Initiatives 7 Increasing Coverage of Private Company Captables Currently cover private company captables across 15+ countries # Companies with Captables Major countries by coverage 7x ● India ● United States ● Greece* ● United Kingdom ● Australia ● Belgium* ● Germany ● Malaysia
Slide 29: Launched Legal Entities Database
Select Recent Growth Initiatives 7 Launched Legal Entities Database Currently cover 60M+ legal entities across key geographies # Legal Entities Major countries by coverage (in millions) ● United States ● United Kingdom ● Japan ● India ● Australia ● Brazil … Crossed 50M entities 29 Note: (*) As on 30
Slide 30: Building deeper coverage of Regulatory Data
Select Recent Growth Initiatives 7 Building deeper coverage of Regulatory Data on private companies & legal entities Examples of a few regulatory datasets live as well as in pipeline Loans and Charges Legal Cases Patent Data FDA Approval Data Fund & AIF Data Taxation Data Govt. Procurement Data EXIM
Slide 31: Account Expansion & Engagement
Select Recent Growth Initiatives 8 Account Expansion & Engagement Various initiatives are underway for improving paid customer engagement as well as account expansion to enhance growth from existing customers. For account expansion - we had setup a separate team to work on increasing penetration of
Slide 32: Increased Press Mentions
Select Recent Growth Initiatives 9 Increased Press Mentions Through various media partnerships, data contributions, reports, etc. 1200+ Press Mentions across media* Eg. Report coverage eg. Partnerships eg. Regular Columns in newspapers eg. Others 32 Note: (*) in H1FY25
Slide 33: AI in Data Production
AI in Data Production AI and Machine Learning have long been integral to Tracxn’s technology, particularly in identifying and curating private company data. With advancements in Generative AI, this area has become a key focus for us. We have also been training GenAI models using our extensive intern
Slide 34: H1 FY25: Other KPIs (1/2)
H1 FY25: Other KPIs (1/2) Customer Accounts (#) Users (#) Historical Annual Historical Annual 20% 20% 15% 15% CAGR CAGR Q2 FY25 was the highest net account additions, Q2 FY25 was the second highest user due to various growth initiatives additions after Q1 FY25 34 Note: Customer Accounts and Users ar
Slide 35: H1 FY25: Other KPIs (2/2)
H1 FY25: Other KPIs (2/2) Contract Price* Entities Profiled, on platform (in INR Cr.) (in millions) Historical Annual Historical Annual 1% 55% 19% CAGR 30% CAGR 35 Note: Entities Profiled are as on respective end of period (*) Adjusted for proforma bills wherein invoice is to be raised after payment
Slide 36: Business Overview
OOOO EEE @Tracxn Business Overview 36
Slide 37: Global Customer Base
Global Customer Base 62% International revenue in H1 FY25 Customers span over 50+ countries* Top 5 countries by #customer accounts*: International Revenue India, USA, Singapore, UK, Germany Indian Revenue 62% Historical annual International Revenue Share 37 Note: (*) Based on Customer Accounts as on
Slide 38: Diverse Customer Base
Diverse Customer Base Customer segments & departments that we work with Corporate Private Corp Dev / Venture Equity M&A Teams Capital Venture Investment Government Companies Capital Banking Agencies Family Corporate Consulting Offices Innovation Accelerator Digital Corporate Universities & Incubator
Slide 39: Our Journey
Our Journey Listed on 50+ Countries Ratan N Tata Current - Among the 2021-22 Leading global market intelligence - Became a publicly providers for private Sachin Bansal Binny Bansal NRJN Family Trust 2020-21 listed company on company data* 20th Oct 2022 - Crossed customers - One of the largest 2017-1
Slide 40: Significant cost advantages from India-based operations
Significant cost advantages from India-based operations Significant cost advantage due to Europe make-in-India. Especially: Asia N.America • Data-production & technology Middle East platform is built from India India • Global sales happens from Africa India (sales & support teams work across all tim
Slide 41: Experienced Promoters & Board of Directors
Experienced Promoters & Board of Directors Neha Singh Abhishek Goyal Brij Bhushan Chairperson and Managing Vice Chairman and Independent Director Director Executive Director ▪ B.Tech. & M.Tech. from IIT Bombay ▪ B.Tech. from IIT Kanpur ▪ B.Tech. from Maharshi Dayanand & MBA from Stanford Graduate Un
Slide 42: Supported by Senior Management Team Backed by Marquee Investors
Supported by Senior Management Team Backed by Marquee Investors Prashant Chandra Amit Agarwal Neeraj Chopra Bhaskar Sharma Chief Financial Officer Chief Operating Officer Chief Technology Officer Chief Product Officer ▪ B.Tech. from IIT Kanpur & MBA ▪ B.Tech. from MNNIT-Allahabad & ▪ MS from Univers
Slide 43: Large & Growing Market $35B+
Large & Growing Market Multiple large companies have been created in the financial data markets $35B+ Cumulative Revenue of Financial Market Data Companies for 2023* 43 Note: (*) Revenue of key public market data companies has been calculated based on the publicly available sources and internal esti
Slide 44: Robust Technology Platform
Robust Technology Platform Wide range of business and workflow tools – Scalable backend framework – based on open Inbuilt CRM tool, custom dashboard builder, tools for source technologies sourcing, tracking companies, portfolio tracking, API Automated – based on web crawling and data support, browse
Slide 45: Large & Growing Market
Large & Growing Market Private Market AUM Growth1 Public Market Capitalization2 (in USD trillion) (in USD trillion) 15% ~6% CAGR CAGR Cumulative market capitalization of listed domestic companies across all the countries converted to USD Private market AUM expected to cross $15T by 2028 Note: (1) Ac
Slide 46: Q2 FY25 Detailed Financial Statements
Q2 FY25 Detailed Financial Statements 46
Slide 47: Profit & Loss Statement (1/2)
Profit & Loss Statement (1/2) Particulars Q2 FY25 Q1 FY25 Q2 FY24 H1 FY25 H1 FY24 FY24 Income Revenue from operations 21.39 20.54 21.49 41.93 41.31 82.77 Other income 0.04 0.16 0.03 0.20 0.23 0.31 Other gains/(losses) - net 1.37 1.24 0.95 2.62 1.71 3.96 Total Income 22.80 21.95 22.48 44.75 43.25 87.
Slide 48: Profit & Loss Statement (2/2)
Profit & Loss Statement (2/2) Particulars Q2 FY25 Q1 FY25 Q2 FY24 H1 FY25 H1 FY25 FY24 Profit / (loss) for the period (4.66) 1.27 2.17 (3.39) 2.86 6.50 Less: Other Income 0.04 0.16 0.03 0.20 0.23 0.31 Less: Other gains/(losses) - net 1.37 1.24 0.95 2.62 1.71 3.96 Add: Depreciation expense 0.02 0.02
Slide 49: Balance Sheet (1/2)
Balance Sheet (1/2) Particulars As at September 30, 2024 As at March 31, 2024 ASSETS Non-current assets Property, plant and equipment 0.24 0.20 Intangible assets - - Income tax assets (net) 5.17 5.47 Deferred tax assets 14.11 21.21 Total non-current assets 19.51 26.88 Current assets Financial assets
Slide 50: Balance Sheet (2/2)
Balance Sheet (2/2) Particulars As at September 30, 2024 As at March 31, 2024 EQUITY Equity share capital 10.48 10.35 Reserves and surplus 58.93 60.53 Total equity 69.41 70.89 LIABILITIES Non-current liabilities Employee benefit obligations 4.01 3.38 Contract liabilities 0.35 0.41 Total non-current
Slide 51: Cash Flow Statement (1/2)
Cash Flow Statement (1/2) Particulars Six month Ended 30 Sep'24 Six month Ended 30 Sep'23 Cash Flow from Operating Activities: Net profit before Income Tax 3.98 3.90 Adjustment for: Depreciation expense 0.04 0.08 Net (gain)/ loss on disposal of Property, plant and equipment - 0.00 Net gains on sale
Slide 52: Cash Flow Statement (2/2)
Cash Flow Statement (2/2) Particulars Six month Ended 30 Sep'24 Six month Ended 30 Sep'23 Cash Flow from Investing Activities: Payments for purchase of property, plant and equipment (0.08) (0.04) Proceeds from sale of property, plant and equipment - 0.03 Funds invested in bank deposits (0.06) 16.99
Slide 53: Definitions
Definitions (1) Customer Accounts refers to the distinct contracts entered into by our Company with each customer, at the time of measurement. A customer account may include access for a single or multiple number of Users. (2) Users refers to the number of activated user accesses on the platform at
Slide 54: Thank You
Company Information Address : 2nd Floor, L-248, 17th Cross, Sector 6, HSR Layout, Bangalore - 560102 Thank You CIN : L72200KA2012PLC065294 Corporate Presentation: Link For any queries, please contact: Email ID : investor.relations@tracxn.com www.tracxn.com/investor-relations 54