Computer Age Management Services Ltd · NSE:CAMS
Computer Age Management Services — Q1 FY24 Earnings Presentation
52 slides from Computer Age Management Services's earnings presentation, Aug 4, 2023
Slide 1: Cover letter to stock exchanges
04th August 2023 BSE Limited, National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, 5th floor, Plot No. C/1, Dalal Street G Block, Bandra Kurla Complex, Bandra Mumbai 400 001 (East), Mumbai 400 051 Scrip Code: 543232 Trading Symbol : CAMS Dear Sir / Madam, Sub: Presenta
Slide 2: Investor Presentation August 2023
COMPUTER AGE MANAGEMENT SERVICES LIMITED Investor Presentation August 2023
Slide 3: Safe Harbour Statement
Safe Harbour Statement This Presentation, except for the historical information, may contain statements, including the words or phrases such as ‘expects, anticipates, intends, will, would, undertakes, aims, estimates, contemplates, seeks to, objective, goal, projects, should’ and similar expressions
Slide 4: Anuj Kumar and Ram Charan Sesharaman
Anuj Kumar Managing Director Ram Charan Sesharaman Chief Financial Officer FY24 Q1 Earnings Presentation
Slide 5: Presentation flow
Presentation flow Business Overview Financials About CAMS Appendix Key Highlights for Q1 FY24 Revenue & Financial Highlights – Q1 FY24 Business at a Glance Corporate Structure Page No: 06 Page No: 19-20 Page No: 34 Page No: 45 AAuM Q1 FY24 – MF industry & Consolidated Financial Highlights – Q1 FY24
Slide 6: Business Overview
BUSINESS OVERVIEW
Slide 7: Key Highlights for the Q1 FY'24 (1/2)
Key Highlights for the Q1 FY’24 (1/2) ❑ CAMS wins RTA mandates from Angel One and Torus Oro Mutual Fund, solidifying its position as the preferred partner for new age AMCs. With this CAMS has won 4 out of the last 6 new to the market MF RTA mandates ❑ Q1FY24 was marked with increased Q-o-Q MF AuM sh
Slide 8: Key Highlights for the Q1 FY'24 (2/2)
Key Highlights for the Q1 FY’24 (2/2) ❑ Think360 wins digitalization mandate from India’s fourth largest public sector bank, Canara Bank, for its Kwik.ID product; With this 3 of the top 10 PSBs have awarded their digitization mandates to Kwik.ID ❑ Think360’s flagship alternative credit scoring produ
Slide 9: CAMS MF - Increased AuM share, historic high in transaction volume
CAMS MF - The first quarter was marked with increased AuM share, historic high in transaction volume, and improvement in equity net sales and new investors share Growth in AuM New Highs in Transaction Volume CAMS AuM Market Share Historic 30.8 increases from high 25.5 27.3 27.9 27.3 Tn 68.3% to 68.7
Slide 10: SIP registrations and SIP Inflows reached lifetime high in FY-24 Q1
SIP registrations and SIP Inflows reached lifetime high in FY-24 Q1, added ~20 Lakh net SIPs New SIP Registrations Live SIP 65.2% share 62.1% share 47.0 3.73 3.54 40.3 Lakh Crore Crore Lakh Q4FY'23 Q1FY'24 Q4FY'23 Q1FY'24 SIP Gross Sales New Folios 64.5% share 59.7% share Q1FY'24 40.7 Lakh Q1FY'24 R
Slide 11: Mutual Fund Industry & CAMS AAuM – Q1FY24
Mutual Fund Industry & CAMS AAuM – Q1FY24 CAMS – Market Share (based on Quarterly AAuM Serviced by CAMS Industry AAuM AAuM) 68.7% ₹ 30.0 Trillion ₹ 43.8Trillion 14.1% YoY 14.4% YoY Net flows into equity assets remain positive in Q1 FY24 6.8% QoQ 6.4% QoQ Equity AAuM – CAMS Equity AAuM – Industry Inf
Slide 12: Operational Metrics – Q1 FY24
Operational Metrics – Q1 FY24 SIP Book Systematic Transaction Volume Transactions 37.3 Mn 128.3 Mn Processed (as on 30th June 23) 105.1 Mn YOY: 15% YoY: 19% YoY: 17% QoQ: 3% QoQ: 6% QoQ: 3% Unique Investors Live Investor Folios Serviced 60.0 Mn 26.6 Mn (as on 30th June 23) (as on 30th June 23) YoY:
Slide 13: Alternatives business grew ~19% Y-o-Y
The Alternatives business grew ~19% Y-o-Y despite a challenging macro environment on the back of accelerated signings and rapid adoption of CAMS WealthServ & Fintuple offerings ❑ Versatile technology & contemporary 400+ ₹1.75 Tn digital utilities funds serviced assets under service across 150+ fund
Slide 14: AA+TSP business gaining momentum
AA+TSP business is gaining momentum with expanded outreach and superior product positioning ❑ Razor-sharp focus on sales yielding continuous wins 25 deals signed up in Q1FY24 ❑ CAMSfinserv leads industry in FIP integration with 82 FIP signups ❑ First AA to go live with Mutual funds ❑ IRDA entities i
Slide 15: CAMSPay product offerings further fortified
product offerings further fortified >50% Market Share Key Highlights In Mutual Funds Ecosystem for RP* ₹5000 Crore + ❑ CAMSPay delivers an impressive 25% YoY worth of Monthly Transactions growth in Q1FY24 aligned to the market trends 2 Lakh + ❑ Expands digital footprint through its API, UPI Autopay
Slide 16: Scaling new highs in eIA and epolicy
scaling new highs in eIA and epolicy and ramp ups The singular platform in India to service both Insurance companies & policy holders ❑ Empowers over 40 insurance companies with end-to-end operational support and technology-driven solutions ❑ Proprietary servicing portal Policy Genie facilitates cus
Slide 17: CAMS industry-first NPS CRA platform on cloud
CAMS CRA – focusing on simplifying customer journeys for eNPS and extending API stack for POPs CAMS NPS makes inroads into the POP and corporate segment with 48% of its new subscription from the retail POP channel Continues to retain No:2 position in the eNPS segment Total eNPS industry registration
Slide 18: Think360.ai – Building on Synergies with CAMS
Think360.ai – Building on Synergies with CAMS A full-stack Data Science and AI-focused firm Comprehensive 360-degree view of the AI technologies landscape focused on creating innovative solutions using cutting-edge technologies, Integrated and intelligent suite of products, solutions and consulting
Slide 19: Financials
FINANCIALS
Slide 20: Revenue Highlights – Q1 FY24
Revenue Highlights – Q1 FY24 10.4 % YoY Revenue ₹26,129.9 Lakh 4.8% QoQ Asset 5.5% YoY Non- 14.2% YoY Non-MF 43.5% YoY Based Asset Revenue 2% QoQ Based 8.5% QoQ 20.1% QoQ Revenue Revenue Asset Mix Equity component: Q1 FY24 @ 46.5% (Q1 FY23: @43.2% / Q4 FY23: @ 46.5%) Includes results of think Analyt
Slide 21: Financial Highlights – Q1 FY24
Financial Highlights – Q1 FY24 Operating EBITDA – PBT – 37.6% PAT – 28.2% 42.2% Return on Net-Worth* 10,930 11,024 10,191 7,461 7,634 ~38.8% 9,804 9,879 6,478 8,708 ** Cash & Cash Q4 FY23 Q1 FY23 Q1 FY24 Q4 FY23 Q1 FY23 Q1 FY24 Q4 FY23 Q1 FY23 Q1 FY24 Equivalent as on 30th June 2023 was ₹508.96 Cr 1
Slide 22: Consolidated Financial Highlights – Quarterly
Consolidated Financial Highlights – Quarterly In INR Lakh In INR Lakh Total Operating Revenue OP.EBITDA & OP. EBITDA in % 30,500 0.2 12,000 90.0% 80.0% 0.1 10,000 25,500 70.0% 0 8,000 60.0% 20,500 41.… 43.8% 44.5% 43.9% 42.2% 50.0% -0.1 6,000 40.0% 15,500 -0.2 4,000 30.0% 20.0% 10,500 -0.3 2,000 23,
Slide 23: Q1 FY24 Standalone P&L
Q1 FY24 Standalone P&L Particulars (In Rs Lakh) Q1 FY24 Q1 FY23 YoY% Q4 FY23 QoQ% FY23 Revenue from operations 24,357.14 22,641.05 7.6% 23,674.80 2.9% 92,861.69 Other income 753.98 332.20 127.0% 616.35 22.3% 2,115.04 Total revenue 25,111.12 22,973.25 9.3% 24,291.15 3.4% 94,976.73 Expenses Employee b
Slide 24: Q1 FY24 Consolidated P&L
Q1 FY24 Consolidated P&L Particulars (In Rs Lakh) Q1 FY24 Q1 FY23 YoY% Q4 FY23 QoQ% FY23 Revenue from operations 26,129.87 23,664.61 10.4% 24,923.87 4.8% 97,182.72 Other income 967.84 443.66 118.1% 788.12 22.8% 2,681.30 Total revenue 27,097.71 24,108.27 12.4% 25,711.99 5.4% 99,864.02 Expenses Employ
Slide 25: Revenue Profile Q1 FY24
Revenue Profile Q1 FY24 Revenue Breakup Revenue* (In ₹ Lakh) 9.7% 11.0% 12.6% 10.4% 13.9% 13.9% 14.4% 100% 26,130 76.4% 75.1% 73.0% 30-Jun-22 31-Mar-23 30-Jun-23 24,924 Quarter ended 23,665 Non-Mutual Fund MF-Non assets Based MF – Assets Based Breakup of Non-Mutual Fund Quarter ended 30-Jun-22 31-Ma
Slide 26: ESG
ESG
Slide 27: Update on ESG Initiatives
Update on ESG Initiatives ❑ The company has a Board approved ESG policy ❑ The company has reported the BRSR initiatives as part of the Annual Report 2023. ❑ As part of the Environmental related initiatives the company partnered with an NGO – Environmentalist Foundation of India for renovating a lake
Slide 28: Environmental partnership: lake renovation
As part of the Environmental related initiatives the company partnered with an NGO – Environmentalist Foundation of India for renovating a lake with 18 acres of water holding. The renovation is complete 27
Slide 29: Environment
Environment We help combat climate change and environmental challenges by ensuring resource efficiency and reducing our environmental footprints. We operate through 281 offices, including one Corporate Office and six back offices. To achieve our environmental goals, we have stringent internal target
Slide 30: Social
Social As global citizens, we believe that we can thrive only when the communities in which we operate also thrive. We remain committed to impacting communities through initiatives that improve access to jobs, education, and training, protect the environment, promote people’s health and well-being,
Slide 31: Social
Social Commitment to Employees ❑ Grievance Redressal Mechanism for employees ❑ The employees undergo mandatory induction training where the stakeholders are made aware of CoC, Human Rights, Company policies, insider trading ❑ The Company also conducts refresher training through “WeLearn programme” t
Slide 32: Governance
Governance We recognize ethics and governance to be of paramount importance. We are committed to maintaining the highest standards of governance in the conduct of our business and continuously strive to create lasting value for all our stakeholders. Since our inception, we have been building on our
Slide 33: Governance
Governance Compliance, Risk and Internal Audit Ethical Practices ❑ The Company has extensive Information Security ❑ CAMS Code of Conduct Management System in place for ensuring protection ❑ The vigil mechanism & whistle blower policy of the systems and safeguard information to avoid encourages direc
Slide 34: About CAMS
ABOUT CAMS
Slide 35: CAMS – Business at a glance
CAMS – Business at a glance Technology-driven India’s largest registrar Services 9 of the Leveraged domain financial infrastructure and transfer agent 15 largest MFs2; ~20 expertise, processes and services provider (“RTA”) of mutual funds years average and infrastructure to to mutual funds and (“MFs
Slide 36: CAMS – Mutual Fund Services Business
CAMS – Mutual Fund Services Business Provides a range of technology-enabled infrastructure to mutual funds – Involved through the life cycle of an account from account creation to processing transactions and redemption of the amount invested Uniform Regulatory change Business-Continuity Service Best
Slide 37: Proprietary technology platforms and mobile applications
CAMS – Proprietary technology platforms and mobile applications for MF, AIF and PMS CAMS has developed and implemented various technology platforms and its technology driven infrastructure and services are integral to the operations of its clients mfCRM edge360 Mobility solution for MF RMs/SMs App a
Slide 38: Mutual Fund Services provided by CAMS
Mutual Fund Services provided by CAMS CAMS is involved through the life cycle of an account – from account creation to processing to redemption; Also provides statutory statements, transaction origination, operations, investor and distributor services, risk management services and compliance service
Slide 39: Key Highlights
Key Highlights Large and Growing Scalable Mutual Funds Market 1 4 Technology Enabled Ecosystem Integrated Business Model & Our Mission… Your Growth Strong Focus on Longstanding Client Relationships in 2 5 Process and Risk Management MF Services Business Largest Infrastructure and Services Experience
Slide 40: CAMS – Overview of Non-MF Services
CAMS – Overview of Non-MF Services Over the years, CAMS has leveraged its domain expertise, processes and infrastructure to diversify its service offering to cater to a variety of other financial services sectors ❑ Market leader servicing over ~150 AIF / PMS / Wealth Serve Clients ❑ Offers services
Slide 41: CAMS – Overview of Non-MF Services (cont'd.)
CAMS – Overview of Non-MF Services (cont’d.) Over the years, CAMS has leveraged its domain expertise, processes and infrastructure to diversify its service offering to cater to a variety of other financial services sectors ❑ Verification and maintenance of KYC records of investors for use by financi
Slide 42: Compliance and risk management architecture
CAMS – Compliance and risk management architecture Relentless focus on systems and processes has allowed CAMS to become a trusted provider of services to its clients and other stakeholders Cyber Compliance Security Risk Regulatory Management Oversight Assists MF clients with ISO 27001:2013 certifica
Slide 43: Experienced Board of Directors
Experienced Board of Directors Board of Directors ‒ Natarajan Srinivasan Audit ‒ Dinesh Kumar Mehrotra Committee ‒ Vijayalakshmi Rajaram Iyer Dinesh Kumar Mehrotra ‒ Sandeep Kagzi Chairman & Independent Natarajan Srinivasan Director Independent Director Nomination & ‒ Vijayalakshmi Rajaram Iyer Remu
Slide 44: Experienced management team
Experienced management team, with an average work experience of 27 years and a demonstrated ability to grow and diversify the business and innovate services Anuj Kumar – Managing Director Ramcharan Sesharaman – Chief Financial Officer ❑ Joined the company in March 2016 ❑ Joined the company in March
Slide 45: Appendix
APPENDIX
Slide 46: Corporate Structure
Corporate Structure Computer Age Management Services Limited Mutual Funds Services, Alternate Investment Funds Services, Payment Services, Banking and Non-Banking Service Businesses 100% 100% 100% 55% CAMS Insurance Repository CAMS Investor Services Private CAMS Financial Information Think Analytics
Slide 47: History / Milestones
History / Milestones ❑ The certificate of registration was issued to our Company was ❑ CISPL was ❑ Our Company was upgraded and a fresh incorporated on incorporated as certificate of ❑ CIRSL was February 13, 2012; Computer Age ❑ Our Company was registration as ❑ Our Company was incorporated on and M
Slide 48: Awards and Accolades
Awards and Accolades ❑ Our Company was awarded ‘Best App’ for ‘myCAMS’ app under finance category at the Global Mobile App Summit and Awards 2015 ❑ CIRSL was awarded ‘Best Newcomer Award’ at Asia Insurance Technology Awards ❑ CIRSL was awarded ‘Best Service Provider’ award in ‘Feet on Street Collect
Slide 49: Awards and Accolades
Awards and Accolades ❑ CAMS FE CFO Awards CAMS was selected in the Small Enterprises category. CFO Mr. Ramcharan Sesharaman was honoured with the prestigious Award ❑ BW HR Excellence Awards 2023 For Employee Engagement strategy category ❑ Economic Times Datacon Award 2023 under Smart Data Applicatio
Slide 50: Shareholders' Information
Shareholders’ Information Stock Data as on 30th June 2023 Shareholding Pattern (%) Market Capitalisation Shares Outstanding 10,780.58 Cr 4,90,12,680 Promoter 19.91% Free Float Scrip Symbol / Code Others 8,634.17 Cr CAMS / 543232 34.56% Top Institutional Holders Market Capitalisation ❑ Housing Develo
Slide 51: Glossary
Glossary Term Description Term Description AAuM Average Assets under Management Kotak Kotak Mahindra Capital Company Limited ACH Automated Clearing House Kotak Mahindra AMC Kotak Mahindra Asset Management Company Limited Aditya Birla Capital Aditya Birla Capital Limited KRA KYC Registration Agency A
Slide 52: Thank You
Mr. Anish Sawlani, Head - IR +91 72990 07973 Computer Age Management Services @ Anish.sawlani@camsonline.com THANK YOU Limited (CAMS) Mr. Rajesh Agrawal +91 99674 91495 Investor Relations @ Rajesh.Agrawal@linkintime.co.in Orient Capital
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