Tata Consultancy Services Limited · NSE:TCS

Tata Consultancy Services — Q3 FY2017 Earnings Presentation

25 slides from Tata Consultancy Services's earnings presentation, January 2017

  1. Slide 1: Tata Consultancy Services Investor Relations

    Tata Consultancy Services Investor Relations Jan 2017 | Copyright © 2016 Tata Consultancy Services Limited 1

  2. Slide 2: Forward Looking Statements

    Forward Looking Statements Certain statements in this release concerning our future prospects are forward-looking statements. Forward-looking statements by their nature involve a number of risks and uncertainties that could cause actual results to differ materially from market expectations. These ri

  3. Slide 3: Tata Consultancy Services at a glance

    Tata Consultancy Services TCS is an IT services, Employer of Choice, consulting and business FY 2016 (ending No. of Employees over solutions company, offering March) revenue 378,497 transformational and outsourcing services to US$ 16.55 Bn global enterprises Amongst the Global Presence: Top 10 Start

  4. Slide 4: Superior growth, with profit

    Superior growth, with profit Industry-leading top-line growth… …with superior profitability… $20,000 150 REV IN USD MN EPS IN ` 100 $10,000 50 $0 0 FY07 FY05 FY06 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY10 FY15 FY05 FY06 FY07 FY08 FY09 FY11 FY12 FY13 FY14 FY16 …judicious usage of cash… …and h

  5. Slide 5: Head Room for Growth

    Head Room for Growth TCS Rev, Mkt. Share % $0.6B 0.4% $2.6B $8.6B 2.8% $1.8B 2.1% $1.0B 1.1% 1.5% $2.6B $3.3B 1.4% 1.2% $1.0B $0.4B 0.5% 2.1% $0.3B $0.1B 1.4% 0.9% TCS’ market share of 1.7%, leaves plenty of headroom $0.2B 1.1% for future growth 2009 2015 Source: Company information & Gartner 5

  6. Slide 6: Structural Growth Drivers

    Structural Growth Drivers IT is a source of competitive differentiation >> Shortening Tech shelf- Consolidating Rising technology market >> Scale Greater life >> providers gaining intensity of businesses propensity to market share outsource Technology adoption catching up in emerging markets >> Expa

  7. Slide 7: Strategy for Longer-term Growth

    Click to edit Strategy for Longer Master Term title style Sustainable Growth 7

  8. Slide 8: Strategy for Longer-term Growth

    Strategy for Longer-term Growth Scale Expand Client-centric model Cost Addressable Efficiencies Market IP & Full Service Innovation Capability Domain Delivery Continual Expertise Excellence Superior Value Reinvestment Profitable Greater Revenue wallet share Growth 8

  9. Slide 9: Client-centricity

    Client-centricity  24+ modular Business Units  Around clusters of key clients in a industry vertical  This has delivered – Agility – Entrepreneurial energy – Improved customer intimacy – Superior client metrics FY11 FY12 FY13 FY14 FY15 FY16 Rev per $1Mn+ client US$ 100m+ 8 14 17 24 29 37 US$ 50m+

  10. Slide 10: Full Services Capability

    Full Services Capability Greater Track record More Stay relevant Rev in USD Bn value to in building cross/ through the clients, newer up-selling business cements New clients capabilities opportunities cycle relationships 4 Consulting New services 3 Digital Same clients, same services Business IT Inf

  11. Slide 11: Global Network Delivery Model – Now Agile

    Global Network Delivery Model – Now Agile European Telecom Network Provider  >90% offshore leverage  13 global locations UK Europe N. America 6 3 UK based Telecom 7 APAC  >85% offshore leverage India Provider MEA  14 global locations 111 8 2 US Financial Latin America Services Company  >80% off

  12. Slide 12: Scalable Reskilling using the Digital Learning Platform

    Scalable Reskilling using the Digital Learning Platform Access Anytime, Anyplace, Any device Content Rich & Expanding Analytics and Insights Cloud Crowd sourced “faculty” Mobility, Digital Marketing IOT & Cyber Security Delivery Domain-infused, Culture focused, Gamified Infrastructure Cloud based, I

  13. Slide 13: Portfolio of Intellectual Property

    Portfolio of Intellectual Property Technology Products & more Horizontal Products & Platforms Integrated Urban Customer TAP - CHROMA Exchange Intelligence & Insights TCS Accounts Payable & more Vertical Products & Platforms Assessment TCS ADDIP TCS HOBS & more 13

  14. Slide 14: Focus Areas for Research & Innovation

    Focus Areas for Research & Innovation BFS Retail  Blockchain  In-store experience  Frictionless Access  Digital store  Robo Advisory operations  Multi-node supply chain Manufacturing Life Sciences Foundational Research Industry 4.0  Connected Cars  Genomics Metagenomics, Materials Automation

  15. Slide 15: External Sources of Innovation

    External Sources of Innovation Acquisitions Domain/Technology Expertise 1,407  Oct ’05: Pearl Assurance (UK) Explore 389  Oct ’08: Citigroup Global Services (India) Evaluate 38  Investor Portfolio  Events, Meetups Engage Intellectual Property  Demo days  TCS Horizontals  Oct ’05: FNS (Austral

  16. Slide 16: Payoffs of Investment

    Click to editPayoffs Investment Master title style 16

  17. Slide 17: Industry Leading Top Line Growth

    Industry Leading Top Line Growth… $20,000 $15,000 REV IN USD MN $10,000 $5,000 $0 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 17

  18. Slide 18: …with superior profitability

    EPS IN ` 20 40 60 80 100 0 120 140 FY05 FY06 FY07 …with superior profitability FY08 FY09 FY10 18 FY11 FY12 FY13 FY14 FY15 FY16

  19. Slide 19: Higher Value Creation

    Higher Value Creation Per Capita Value Creation (Net Income/Headcount) $10,421 $9,641 FY 11 FY 16 19

  20. Slide 20: Broad Diversification – Changing Profile of TCS' Business

    Broad Diversification – Changing Profile of TCS’ Business By Markets By Industries By Service Lines FY 10 Rev: $6.3 Bn MEA, Latin Energy, Utilities, Others, Travel & Hospitality, Engg Industrials, 5.0% 2.9% 6.4% 3.2% Assurance Asset Leveraged India, 8.7% 1.9% America, Hi Tech, , 5.0% Solutions, 3.3%

  21. Slide 21: Gaining Leadership in Digital

    Gaining Leadership in Digital Awarded the “2016 Digital 24% Innovator of 3QFY17: Digital Revenue the Year” by 19% • 16.8% of Total GE 16% 16% 15% • Up 30.2% YoY 12% 9% Media Retail HiTech Travel LSHC BFSI Others 21

  22. Slide 22: Annexures

    Click to edit Master title style Annexures 22

  23. Slide 23: Latest Earnings' Financial Highlights

    Latest Earnings’ Financial Highlights IFRS Yearly Quarterly FY16 FY15 YoY 3Q17 2Q17 QoQ 3Q16 YoY Revenue - CC $17,293 $15,454 11.9% $4,461 $4,374 2.0% $4,145 8.6% Revenue - ` 1,086,462 946,484 14.8% 297,350 292,840 1.5% 273,640 8.7% Revenue - USD $16,545 $15,454 7.1% $4,387 $4,374 0.3% $4,145 5.8% G

  24. Slide 24: Strong Capital Allocation

    Strong Capital Allocation $3,462 $3,187 Average $2,613 Dividend $2,265 Payout Ratio : 38% $1,518 $1,533 $2,953 $1,554 $1,182 $1,160 $922 $699 FY11 FY12 FY13 FY14 FY15 FY16 Dividend (incl special Divd) OCF in $ Mn 24

  25. Slide 25: Thank You

    Thank You IT Services Business Solutions Consulting

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