Datamatics Global Services Limited · NSE:DATAMATICS
Datamatics Global Services — Q2 FY20 Earnings Presentation
28 slides from Datamatics Global Services's earnings presentation, Nov 14, 2019
Slide 1: Exchange filing cover letter
Datamatics Global Services Limited Regd. Office: Knowledge Centre, Plot No. 58, Street No.17, MIDC, Andheri (East), Mumbai - 400 093. INDIA lb DATAMATICSID Tel. : +91 (22) 6102 0000/1/2 Fax: +91 (22) 2834 3669 CIN : L72200MH1987PLC045205 www.datamatics.com Data to Intelligence November 14, 2019 To,
Slide 2: Investor Presentation
Investor Presentation 13th November 2019 Datamatics Global Services Limited BSE: 532528 | NSE: DATAMATICS | ISIN: INE365B01017 | CIN: L72200MH1987PLC045205 © Copyright 2019 Datamatics Global Services Limited and its subsidiaries (hereinafter jointly referred as Datamatics). All rights reserved.
Slide 3: Agenda
Agenda Company Quarterly 01. Overview 04. Updates Strategy & Awards & 02. Investment Rationale 05. Certifications Financial 03. Overview © Copyright 2019 Datamatics Global Services Limited and its subsidiaries - All Rights Reserved 2
Slide 4: Agenda
Agenda Company Quarterly 01. Overview 04. Updates Strategy & Awards & 02. Investment Rationale 05. Certifications Financial 03. Overview © Copyright 2019 Datamatics Global Services Limited and its subsidiaries - All Rights Reserved 3
Slide 5: Executive Summary
Executive Summary Nature of Business H1FY20 Financials Global IT and BPM company that Operating Revenue ₹ 5,869.0 Mn; up builds intelligent solutions for data- Business Process IT Services & Engineering 8.5% in rupee terms and 8.3% in Management Cloud Services driven businesses to enhance their cons
Slide 6: Key Milestones
Key Milestones 2003 Acquired Saztec USA 2016 Opened new delivery centre in USA Acquired Corpay for Accounts Acquired TechJini, boutique mobile & 2003 2017 Payable solutions USA web technology provider India 1975 Datamatics incorporated 2003 BUPA on boarded as customer Acquired RJGlobus Solutions, vo
Slide 7: Line of Business
Line of Business Business Process Artificial Information Management 43% Intelligence 57% Technology (IT) (BPM) (AI) Smart Systems Smart Processes Products Products © Copyright 2019 Datamatics Global Services Limited and its subsidiaries - All Rights Reserved 6
Slide 8: IT Solutions
IT Solutions Offerings Metrics Application Management Services Digital Solutions Products Robotic Process Automation (RPA) 57% Enterprise Mobility Revenue Contribution Cloud Solutions Automated Fare Collection (AFC) Opportunity 12.2% EBITDA Margin Global sourcing and IT spends grew at 3.7% and 3.2%
Slide 9: Business Process Management (BPM)
Business Process Management (BPM) Offerings Metrics Financial Transaction Processing Products Content Management & Publishing Customer Management 43% Revenue Contribution Opportunity 10.8% EBITDA Margin BPM market was at US$198 billion in 2018, growth of 4.5% on YoY basis mainly driven by high SaaS
Slide 10: Robotics Process Automation (RPA)
Robotics Process Automation (RPA) Offerings Client Metrics Provides RPA implementation, licensing, and support services for a range of repetitive and rule- based processes without any manual intervention 2600+ Active TruBots TruBot, a vertical-agnostic product is an off-the-shelf software bot that c
Slide 11: Agenda
Agenda Company Quarterly 01. Overview 04. Updates Strategy & Awards & 02. Investment Rationale 05. Certifications Financial 03. Overview © Copyright 2019 Datamatics Global Services Limited and its subsidiaries - All Rights Reserved 10
Slide 12: Strategy & Outlook for the Future
Strategy & Outlook for the Future Consistent financial performance Account Penetration & Focus on larger deals Strengthen Partners & Reseller Channel Invest in Automation to improve productivity Digital Solutions Focus on Products – Robotics & Advanced Analytics AFC opportunity – Focus on Indian Met
Slide 13: Investment Rationale
Investment Rationale Delivers comprehensive suite of innovative services and solutions to customers including Fortune 500 companies for managing their end-to-end Application Life Cycle and Business Critical Processes Strong brand reputation in the market and a strong foothold in the IT & ITeS spectr
Slide 14: Agenda
Agenda Company Quarterly 01. Overview 04. Updates Strategy & Awards & 02. Investment Rationale 05. Certifications Financial 03. Overview © Copyright 2019 Datamatics Global Services Limited and its subsidiaries - All Rights Reserved 13
Slide 15: Q2 FY20 – Key Financial Highlights
Q2 FY20 – Key Financial Highlights Revenue at ₹ 2,967.2 million; up 6.0% y-o-y and up 2.3% q-o-q Adjusted EBITDA at ₹ 336.7 million; up 7.5% y-o-y and down 5.0% q-o-q Adjusted EBITDA margin was at 11.3%; up 15 bps y-o-y and down 87 bps q-o-q EBITDA (excl. lease accounting & CSR provisioning cost) at
Slide 16: H1 FY20 – Key Financial Highlights
H1 FY20 – Key Financial Highlights Revenue at ₹ 5,869.0 million; up 8.5% in rupee terms and 8.3% in constant currency y-o-y Adjusted EBITDA at ₹ 691.0 million; up 9.6% y-o-y Adjusted EBITDA margin was at 11.8%; up 12 bps y-o-y EBITDA (excl. lease accounting & CSR provisioning cost) at ₹ 637.0 millio
Slide 17: Q2 & H1FY20 – Consolidated Profit and Loss
Q2 & H1FY20 – Consolidated Profit and Loss ParCculars (₹ in Mn) Q2 FY20 Q2 FY19 YoY % Q1 FY20 QoQ % H1 FY20 H1 FY19 YoY % Revenue from Operations 2,967.2 2,799.0 6.0% 2,901.7 2.3% 5,869.0 5,407.1 8.5% Purchase of Products and Licences 24.9 40.3 34.3 59.2 57.2 Employee Benefits Expenses 1,894.8 1,740
Slide 18: Agenda
Agenda Company Quarterly 01. Overview 04. Updates Strategy & Awards & 02. Investment Rationale 05. Certifications Financial 03. Overview © Copyright 2019 Datamatics Global Services Limited and its subsidiaries - All Rights Reserved 17
Slide 19: Q2 FY20 – Business Updates
Q2 FY20 – Business Updates Business Added 6 new customers in Q2 FY20 Development Bangalore International Airport Ltd. selects Datamatics as its Digital Transformation partner Added 14 new partners. Partner strength now totals to 72 across the globe. Strategic Partnerships Thomson Reuters integrated
Slide 20: Q2 FY20 – Key Result Highlights
Q2 FY20 – Key Result Highlights Operating Revenues Adjusted EBITDA & EBITDA Margin % 2,967.2 354.4 (In Mn) EBITDA Margin (In Mn) 2,901.7 12.2% 336.7 2.3% -5.0% QoQ QoQ 2,799.0 313.3 11.3% 11.2% 6.0% 7.5% Q2 FY19 Q1 FY20 Q2 FY20 YoY Q2FY19 Q1FY20 Q2FY20 YoY PBT & PBT Margin % PAT after NCI & PAT afte
Slide 21: Q2 FY20 – Revenue Segment Analysis
Q2 FY20 – Revenue Segment Analysis IT Services Revenues – Q2 FY20 BPM Revenues – Q2 FY20 1,207.5 1,778.1 (In Mn) (In Mn) 1,694.2 4.9% -1.6% QoQ 1,188.4 QoQ 1,613.6 1,185.5 10.2% 0.2% YoY YoY Q2 FY19 Q1 FY20 Q2 FY20 Q2 FY19 Q1 FY20 Q2 FY20 © Copyright 2019 Datamatics Global Services Limited and its s
Slide 22: H1 FY20 – Revenue Segment Analysis
H1 FY20 – Revenue Segment Analysis Revenue by Industry Revenue by Geography 8.0% 9.0% 5.0% 10.0% 15.0% 28.0% 27.0% 18.0% 18.0% 16.0% 37.0% 37.0% 62.0% 56.0% 27.0% 27.0% H1FY19 H1FY20 H1FY19 H1FY20 BFSI Others Publishing Manufacturing US Europe India ROW © Copyright 2019 Datamatics Global Services Li
Slide 23: H1 FY20 – Client Concentration
H1 FY20 – Client Concentration Client concentration maintained at a comfortable level H1 FY19 H1 FY20 © Copyright 2019 Datamatics Global Services Limited and its subsidiaries - All Rights Reserved 22
Slide 24: Agenda
Agenda Company Quarterly 01. Overview 04. Updates Strategy & Awards & 02. Investment Rationale 05. Certifications Financial 03. Overview © Copyright 2019 Datamatics Global Services Limited and its subsidiaries - All Rights Reserved 23
Slide 25: Recent Recognitions
Recent Recognitions Gartner recognizes Datamatics Gartner recognizes TruBot in Magic TruBot named as a HIGH ACHIEVER TruBot features in Everest PEAK TruBot as the Customer Choice for Quadrant for RPA Software as in the NelsonHall NEAT for Matrix Assessment, 2019: RPA – RPA Software 2019 NICHE PLAYER
Slide 26: Awards & Recognition
Awards & Recognition 2019 IBM Asia Pacific Rail Analysis India Award Gold Stevie Award at the American excellence Award 2019 for Automated Fare Business Awards® 2019 for TruBot Collection technology Datamatics features in the IAOP 2019 Global NASSCOM Customer Service Excellence Outsourcing 100 List
Slide 27: Certifications
Certifications A1 Rating Re-appraised Certified Certified SSAE 18 SOC-1 & Financial Stability SEI CMMI Level 4, ISO 27001-2013 ISO 9001-2015 SOC-2 with HiTrust V 1.3 Mapping (S&P) HIPAA Compliant © Copyright 2019 Datamatics Global Services Limited and its subsidiaries - All Rights Reserved 26
Slide 28: For further queries
For further queries DISCLAIMER: This presentation and the following discussion may contain “forward looking statements” by Datamatics Global Services (“DGS” or the Company) that are not Mr. Sandeep Mantri historical in nature. These forward looking statements, which may include Chief Financial Offic
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