Sasken Technologies Ltd · NSE:SASKEN
Sasken Technologies — Sasken Communication Technologies — H1 FY2006 Earnings Presentation
22 slides from Sasken Technologies's earnings presentation, October 2005
Slide 1: Sasken Group: Q2 and H1 FY06 Results
Sasken Group: Q2 and H1 FY06 Results October 2005 www.sasken.com © Copyright 2003 Sasken Communication Technologies Limited
Slide 2: Disclaimer
Disclaimer Certain statements made in this release concerning our future growth prospects may be interpreted as forward looking statements, which involve a number of risks and uncertainties that could cause the actual results to differ materially from those in such forward looking statements. Invest
Slide 3: Highlights
Highlights • Total Revenues grew Q-o-Q by 27.5% in Q2 06 to Rs 863.94 M and Y- o-Y by 46.5%. • Software services revenues grew Q-o-Q by 13.7% to Rs 708.77 M in Q2 06 and Y-o-Y by 34.1%. • Software products revenues grew Q-o-Q by 186.3% to Rs 155.18 M in Q2 06 and Y-o-Y by 153.8%. • EBITDA grew Q-o-Q
Slide 4: Consolidated Results
Consolidated Results October 2005 www.sasken.com © Copyright 2003 Sasken Communication Technologies Limited
Slide 5: Income Statement Summary (Consolidated) Rs. Million
Income Statement Summary (Consolidated) Rs. Million Q2FY06 % Q1FY06 % Q2FY05 % % Growth over Q1FY06 Q2FY05 Revenues 863.94 100.0 677.42 100.0 589.63 100.0 27.5 46.5 Cost of Revenue 488.28 56.5 424.44 62.7 302.66 51.3 15.0 61.3 R&D1 42.49 4.9 41.06 6.1 48.60 8.2 3.5 (12.6) Gross Profit 333.17 38.6 21
Slide 6: Segmental Results (Consolidated) Rs. Million
Segmental Results (Consolidated) Rs. Million Q2FY06 Q1FY06 Q2FY05 Growth over Q1FY06 Q2FY05 Revenues 863.94 677.42 589.63 27.5 46.5 Software services 708.77 623.22 528.48 13.7 34.1 Products 155.18 54.20 61.15 186.3 153.8 EBITDA 178.41 77.83 117.87 130.4 51.4 Software services 155.70 115.18 149.45 35
Slide 7: Balance Sheet Summary (Consolidated)
Balance Sheet Summary (Consolidated) Rs. Million Sep 30, 2005 % Mar 31, 2005 % Liabilities Share capital 275.12 7.1 168.47 11.7 Share application 9.11 0.2 2.55 0.2 ESOP Outstanding 10.79 0.3 7.89 0.6 Reserves & Surplus 3,535.55 91.9 1,240.47 86.5 Borrowing 18.33 0.5 14.56 1.0 Total Liabilities 3,848
Slide 8: Operating Metrics
Operating Metrics www.sasken.com © Copyright 2003 Sasken Communication Technologies Limited
Slide 9: Geography Wise Revenue
Geography Wise Revenue % Q2FY06 Q1FY06 Q2FY05 H1FY06 H1FY05 North 35.3 37.6 36.1 36.3 35.2 America Europe 30.5 41.1 49.6 35.1 50.2 India 17.9 20.1 7.1 18.9 6.4 APAC 16.3 1.2 7.2 9.7 8.2 Total 100.0 100.0 100.0 100.0 100.0 www.sasken.com © Copyright 2004 Sasken Communication Technologies Limited
Slide 10: Customer Concentration
Customer Concentration % Q2FY06 Q1FY06 Q2FY05 H1FY06 H1FY05 Top 5 74.2 76.2 73.0 72.6 72.2 customers Top 10 83.8 87.0 86.4 83.8 84.9 Customers www.sasken.com © Copyright 2004 Sasken Communication Technologies Limited
Slide 11: Relationships with Tier 1 Customers
Relationships with Tier 1 Customers 12 11 11 10 9 8 7 6 5 4 4 3 2 2 2 1 0 <$1M >$1M<$3M > $ 3 M < $ 10 M > $ 10 M www.sasken.com © Copyright 2004 Sasken Communication Technologies Limited
Slide 12: Human Resources
Human Resources Q2FY06 Q1FY06 Q2FY05 Total Employees 2466 2159 1882 Gross Adds 474 221 326 Net Adds 307 38 302 Attrition (%)** 23.4% 24.9% 24.6% ** Based on voluntary attrition www.sasken.com © Copyright 2004 Sasken Communication Technologies Limited
Slide 13: Services Business
Services Business www.sasken.com © Copyright 2003 Sasken Communication Technologies Limited
Slide 14: Services Revenue Mix
Services Revenue Mix Q2FY06 Q1FY06 Q2FY05 H1FY06 H1FY05 Rs. Million % Rs. % Rs. % Rs. % Rs. % Million Million Million Million T&M onsite 143.71 20.3 118.77 19.1 134.67 25.5 262.48 19.7 242.95 25.9 T&M off- shore 484.21 68.3 420.94 67.5 286.40 54.2 905.14 68.0 525.55 56.1 Fixed Price 80.85 11.4 83.52
Slide 15: Services Utilization
Services Utilization Utilization 100% 90% 80% 72.8% 74.9% 73.5% 70% 64.1% 64.3% 60% 50% 40% 30% 20% 10% 0% Q2FY06 Q1FY06 Q2FY05 H1FY06 H1FY05 www.sasken.com © Copyright 2004 Sasken Communication Technologies Limited
Slide 16: Services Highlights
Services Highlights • Successfully incubated new business vertical – Service Providers • Acquired and billed a leading Tier 1 Global Service Provider • Volume growth continues to be driven by Tier 1 accounts • One key Tier 1 account crosses US$ 20 M in billings • Higher growth in offshore services,
Slide 17: Products Business
Products Business www.sasken.com © Copyright 2003 Sasken Communication Technologies Limited
Slide 18: Products Revenue Mix
Products Revenue Mix Q2FY06 Q1FY06 Q2FY05 H1FY06 H1FY05 Rs. % Rs. % Rs. % Rs. % Rs. % Million Million Million Million Million Licensing 123.86 79.8 23.12 42.6 24.17 39.5 146.98 70.2 55.69 36.0 Royalty 6.84 4.4 10.66 19.7 7.00 11.4 17.50 8.4 14.73 9.5 Customization 24.48 15.8 20.42 37.7 29.98 49.1 44
Slide 19: Products Highlights
Products Highlights • Product business continues to be on track • One non-royalty bearing licensing deal pays off this quarter www.sasken.com © Copyright 2004 Sasken Communication Technologies Limited
Slide 20: Additional Financial Information
Additional Financial Information www.sasken.com © Copyright 2003 Sasken Communication Technologies Limited
Slide 21: Income Statement Summary (Consolidated) Rs. Million
Income Statement Summary (Consolidated) Rs. Million H1FY06 % H1FY05 % Growth in % Revenues 1,541.36 100.0 1,092.18 100.0 41.1 Cost of Revenue 912.72 59.2 582.62 53.3 56.7 R&D1 83.55 5.4 87.37 8.0 (4.4) Gross Profit 545.09 35.4 422.19 38.7 29.1 SG&A 289.25 18.8 246.46 22.6 17.4 EBITDA 255.84 16.9 175
Slide 22: Thank You
Thank You www.sasken.com © Copyright 2003 Sasken Communication Technologies Limited
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