Route Mobile, Ltd. · NSE:ROUTE
Route Mobile — Q2 FY24 Earnings Presentation
26 slides from Route Mobile's earnings presentation, Oct 27, 2023
Slide 1: Stock exchange cover letter: Investor Presentation
Registered & Corporate Office: C> . routemobile communication simplified Route Mobile Limited 4 th Dimension,3"'floor, Mind Space, Malad (West), Mumbai - 400 064, India +91 22 4033 7676t77-99 I Fax: +91 22 4033 7650 info@routemobile.com I www.routemobile.com CIN No: L72900MH2004PLC146323 Ref No: RML
Slide 2: Earnings Update Q2 & H1 FY23-24 Investor Presentation
routemobile Earnings Update communication simplified Q2 & H1 FY23-24 Investor Presentation October 27, 2023
Slide 3: Safe Harbor
Safe Harbor Certain statements mentioned in this presentation concerning our future growth prospects are forward looking statements (the “Forward Statements”) and are based on reasonable expectations of the management, which involves a number of risks, and uncertainties that could cause actual resul
Slide 4: Route Mobile - Industry Leading Global CPaaS Platform
Route Mobile - Industry Leading Global CPaaS Platform RML offers a scalable and flexible Strong industry tailwinds: Global Omnichannel CPaaS platform to enterprises CPaaS market will grow to $42.9bn in across industry verticals, globally 2027, from $16.6bn in 2022 (1) 280+ direct MNO connects, overa
Slide 5: Systematic roadmap to create sustained growth momentum
Systematic roadmap to create sustained growth momentum "11.. routemob·I V Ie communicat·ion simplified • Won 2 Golds in Juniper Research Launched TruSense, Award for a digital identity and CPaaS Provider of security suite Entered lucrative the Year & Best North American SMS Firewall market . 1,02< )
Slide 6: Global Diaspora - Footprint & Super Network
Global Diaspora - Footprint & Super Network Europe Direct MNO 110 APAC Employees 43 Direct MNO 36 Employees 9 I I I Americas I Direct MNO 53 * Employees 234 • __________•_ __ ,- - - - - - - - - - I * India 6 _. I Direct MNO = • I I I Employees 487 Middle East I -------------..J Direct MNO 15 Employe
Slide 7: Key Developments
Key Developments
Slide 8: Key Developments since Q1 FY 23-24
Key Developments since Q1 FY 23-24 Signed an exclusive partnership Enabled WhatsApp- Partnered with Robi Axiata Limited with Vodafone Idea Ltd., to based ticket (“Robi”) in Bangladesh as a provide A2P SMS Monetization Appointed as exclusive booking system for Technical enabler and Sales partner Solu
Slide 9: Proximus transaction update – Indicative Timelines
Proximus transaction update – Indicative Timelines • Proximus Group to acquire 57.56% of Route Mobile (fully diluted), through Proximus Opal, for ~ ₹59,224mn cash at ₹1,626.40 per share • Proximus Opal will launch an MTO for up to 26% of the fully diluted outstanding shares at ₹1,626.40 per share •
Slide 10: Value Sizing for Synergies – Interim analysis
Value Sizing for Synergies – Interim analysis C>. routemobile communication simplified Make inroads into untapped Leverage Drive EOS(2) by large global Increase combined revenue for Telesign’s Digital consolidating accounts CPaaS and DI through footprint Identity (DI) cloud infra, through Telesign C
Slide 11: Focus on Expanding Product Portfolio
Focus on Expanding Product Portfolio Driving Product momentum through Dedicated SBUs New Products Revenue Conversational Bot Email TruSense (in ₹ mn) ........., SendClean TruSense™ @roubot· • A Route Mobile Compdny Interactive ChatBot High Volume Enterprise Comprehensive Digital Fraud / + Channel So
Slide 12: Financial Highlights
Financial Highlights
Slide 13: H1 FY23-24 Snapshot
H1 FY23-24 Snapshot Revenue (in ₹ mn) & Gross Profit (In ₹ mn) & EBITDA(1) (In ₹ mn) & PAT (In ₹ mn) & Billable Transactions (# bn) Gross Profit Margin (%) EBITDA Margin (%) PAT Margin (%) 9.1% 60.8 21.3% 12.6% 22.4% p- - -c& 9.1% 12.4% 51.8 3,520 4,221 1,954 2,505 1,437 1,800 15,749 19,820 H1 22-23
Slide 14: Financial Highlights for H1 23-24
Financial Highlights for H1 23-24 • Closed H1 23-24 with revenue from operations of ₹19,820mn compared to ₹15,749mn in H1 22-23 • Y-o-Y growth of 25.8% in Revenue • Recorded Gross Profit of ₹4,221mn in H1 23-24 compared to ₹3,520mn in H1 22-23 • Y-o-Y growth of 19.9% in Gross Profit • Gross Profit m
Slide 15: Q2 FY23-24 Snapshot
Q2 FY23-24 Snapshot Revenue (in ₹ mn) & Gross Profit (In ₹ mn) & EBITDA(1) (In ₹ mn) & PAT (In ₹ mn) & Billable Transactions (# bn) Gross Profit Margin (%) EBITDA Margin (%) PAT Margin (%) 9.5% 8.7% 12.8% 12.5% ---------~ -o- ,________ J 31.3 22.3% 0- -0 29.5 21.4% 21.2% 8.6% 12.9% 27.0 1,094 1,237
Slide 16: Financial Highlights for Q2 FY23-24
Financial Highlights for Q2 FY23-24 • Closed Q2 FY23-24 with revenue from operations of ₹10,146mn compared to ₹9,673mn in Q1 FY23-24 and ₹8,458mn in Q2 FY22-23 • Y-o-Y growth of 20.0% and sequential growth of 4.9% in revenue • Recorded Gross Profit of ₹2,150mn in Q2 FY23-24 compared to ₹2,071mn in Q
Slide 17: Normalized Cash Flow
Normalized Cash Flow H1 FY23-24 H2 FY22-23 H1 FY22-23 (₹ in million) (6M ended 30 Sep 2023) (6M ended 31 Mar 2023) (6M ended 30 Sep 2022) Profit before tax (Ind AS) 2,140.6 2,234.9 1,580.1 Adjustments for non-cash and non operating items 480.6 377.6 641.5 Adjustments for working capital (Increase) i
Slide 18: ROE and Working Capital Trend
ROE and Working Capital Trend PAT, PAT Margin (%) and ROE(1) Working Capital Trend 41% 39% 32% 8.5% 9.3% 9.3% 1,701 3,331 3,694 57 86 62 62 73 64 FY 21-22 FY 22-23 LTM Sep 23 FY 21-22 FY 22-23 H1 23-24 - PAT (₹ mn) PAT Margin (%) ROE (%) ■ Days Sales Outstanding ■ Days Payable (1) ROE calculated usi
Slide 19: Ageing Analysis
Ageing Analysis Trade Receivables Ageing Trade Payables Ageing 1% 17% 22% 12% ■ Not due ■ Not due ■ < 1 month ■ < 1 month 58% ■ 1 - 3 months ■ 1 - 3 months ■ > 3 months 12% ■ > 3 months 65% 13% Trade Receivables as on Sep 30, 2023: ₹8,963mn Trade Payables as on Sep 30, 2023: ₹6,268mn 18
Slide 20: Key Business Metrics
Key Business Metrics
Slide 21: Diverse Customer Base
Diverse Customer Base Revenue contribution from select industries in H1 FY23-24 Revenue for Top 50 countries by termination(1) 47% Digital native Social/ Internet; Edtech and Technology companies 23% 16% Digital communication solutions for Banking, 10% FinServ 13% 7% 7% 6% Insurance and Payment gate
Slide 22: Growing number of Multi-million dollar accounts with Improving Client Diversification
Growing number of Multi-million dollar accounts with Improving Client Diversification Clients by Account Size (1) (2) ■ FY 20-21 ■ FY 21-22 ■ FY 22-23 ■ H1 FY23-24 80 70 68 60 60 50 41 40 31 30 24 21 20 7 10 7 9 10 4 5 4 3 5 - 2 > $15mn - - - > $10mn - > $5mn > $1mn Client Concentration ■ Top 1 ■ To
Slide 23: Strong Recurring Revenue
Strong Recurring Revenue Recurring Revenue(1) as % of Operating Revenue 88% 87% 89% 115% Net revenue retention(2) Deep Customer engagement driving high recurring revenues FY 21-22 FY 22-23 LTM Sep 23 (1) Recurring customers defined as customers that have been billed in each of the months over the re
Slide 24: EBITDA – Non GAAP
EBITDA – Non GAAP Quarter Ended Half year Particulars (In ₹ mn) 30.09.2023 30.06.2023 30.09.2022 30.09.2023 30.09.2022 Profit before tax (Ind AS) 1,038.3 1,102.3 822.7 2,140.6 1,580.1 (-) Other income 36.8 108.2 22.6 145.0 170.5 (+) Finance costs 65.5 67.1 40.9 132.6 82.6 EBIT 1,067.0 1,061.3 841.0
Slide 25: Human Resource Capital
Human Resource Capital Location wise break-up Function wise break-up 21 64 77 319 324 26 806 806 487 294 ■ India ■ International ■ Tech & Tech Support ■ Sales & Marketing ■ Firewall & other operator solutions 98 New Employees joined in Q2 FY23-24 ■ General & Admin ■ Strategy, Accounts & Finance 40 E
Slide 26: Thank You
routemobile Thank You communication simpl ified www.routemobile.com