Rategain Travel Technologies Ltd. · NSE:RATEGAIN
Rategain Travel Technologies — Q3 FY2023 Earnings Presentation
30 slides from Rategain Travel Technologies's earnings presentation, Feb 10, 2023
Slide 1: Exchange filing cover letter
February 10, 2023 To, National Stock Exchange of India Limited BSE Limited (NSE: RATEGAIN) (BSE: 543417) Subject: Investor Presentation on the Un-Audited (Standalone and Consolidated) Financial Results of the Company for the Quarter and Nine months ended December 31, 2022 Dear Sir/Ma’am, Pursuant to
Slide 2: Investor Presentation Q3 & 9M FY23
Investor Presentation Q3 & 9M FY23 Strictly Private and Confidential
Slide 3: Mission and vision
Our mission is to be the leading revenue maximization SaaS platform for the hospitality & travel industry. Our vision is to offer an integrated technology platform powered by artificial intelligence enabling our customers to increase their revenue through customer acquisition, retention and wallet s
Slide 4: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Rategain Travel Technologies Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe
Slide 5: Key Business Updates – Q3FY23
Key Business Updates – Q3FY23 4
Slide 6: Management Commentary
Management Commentary Bhanu Chopra Tanmaya Das Chairman and Managing Director Chief Financial Officer We continue to drive consistent and resilient The company has posted another quarter of well- performance on the back of expansion of rounded performance with healthy revenue existing relationships
Slide 7: RateGain posts Healthy Growth with Robust Margin Expansion
RateGain posts Healthy Growth with Robust Margin Expansion 40% 129% 217% Q3 FY2023 Operating Revenue Adjusted EBIDTA Adjusted PAT Growth y-o-y Growth y-o-y Growth y-o-y 48% 122% 288% 9M FY2023 Operating Revenue Adjusted EBIDTA Adjusted PAT Growth y-o-y Growth y-o-y Growth y-o-y
Slide 8: Healthy Demand with Stable Revenue Streams Driving Growth and Margins
Healthy Demand with Stable Revenue Streams Driving Growth and Margins Operating Revenue Adj. EBIDTA (Margin) Adj. PAT (Margin) Q3FY2023 INR 1,382.9 MN Q3FY2023 INR 243.5 MN (17.6%) Q3FY2023 INR 199.2 MN (14.4%) 39.7% growth y-o-y 129.1% growth y-o-y 217.4% growth y-o-y 9MFY2023 INR 3,822.0 MN 9MFY20
Slide 9: Strong Growth Metrics Combined with Operational Efficiency
Strong Growth Metrics Combined with Operational Efficiency INR 640 5,531 Mn Employees Annual Recurring Revenue 1.9% increase Q-o-Q with Revenue Increase of 11.0% 22.8 2,650 Customers LTV to CAC For 9M FY2023 93 Net New Customer Additions in Q3FY23 INR 493 Mn 23.7% New Contract Wins 21.7% growth y-o-
Slide 10: Steady Revenue Streams Driven by Constant Product Innovation
Steady Revenue Streams Driven by Constant Product Innovation Martech Distribution DaaS • Integrated end-to-end Digital • Healthy growth in booking volumes • Good growth momentum across Marketing offering to drive higher on the back of consistent travel OTAs, Airlines and Hotels RoAS demand and new p
Slide 11: Acquisition of Adara: Aligned with RateGain's vision
Acquisition of Adara: Aligned with RateGain’s vision of Integrated RevMax platform Adara Profile • One of the world’s largest travel data exchange platforms, providing access to permissioned travel intent data. • Using first party permissioned data from brands, Adara delivers actionable travel-inten
Slide 12: World's Most Comprehensive Travel-Intent and Data platform
World’s Most Comprehensive Travel-Intent and Data platform to Deliver better Returns to our Customers Higher RoAS on Competitive rate Digital Marketing intelligence across Travel Custom Audiences & Hospitality DaaS Dynamic Pricing Demand AI generating Booking Behavior demand index basis Personalizat
Slide 13: Award Winning Team driving Performance
Award Winning Team driving Performance Finalist Finalist Best Channel Manager Best Market Intelligence Software
Slide 14: 360 Approach to People
360 Approach to People : Learning, Growth, Wellness and Inclusion Building Talent ➢ RG POLO (Product Oriented Learning Opportunity) – 1st batch of 10 participants have graduated for RG POLO ➢ RG Chrysalis (Management Development Program)- 50+ participants have been enrolled & graduated on the first-
Slide 15: Detailed Financials
Detailed Financials
Slide 16: Strong Financials and Profitability Metrics
Strong Financials and Profitability Metrics ➢ Strong profitability metrics supported by improved positive cash flow generated from Operating Activities ➢ Ability to drive revenue through multiple products by cross-selling to existing marquee customers Operating Revenue Gross Margins (INR mn) DaaS Di
Slide 17: Diversified and Recurring Revenue Streams
Diversified and Recurring Revenue Streams ➢ Diversified revenues across offerings, geographies and customers ➢ High recurring revenues with subscription business forming a large part of customer engagement Revenue by Revenue by Revenue by Revenue by Engagement1 Travel Type1 Geography1 Customers1 Bus
Slide 18: Key Financial Highlights for Q3FY2023
Key Financial Highlights for Q3FY2023 ➢ Healthy growth registered YoY in Operating Revenue ➢ Operating leverage contributing to strong Operating Margin growth Operating Revenue Adjusted EBIDTA Adjusted PAT (INR mn) (INR mn) (INR mn) 195.7 199.2 1,382.9 1,246.1 243.5 990.1 189.5 106.3 62.8 Q3FY2022 Q
Slide 19: Key Financial Metrics for 9MFY2023
Key Financial Metrics for 9MFY2023 ➢ Strong growth registered YoY in Operating Revenue, Adjusted EBIDTA & PAT terms ➢ Margin expansion on the back of improving operational efficiency Operating Revenue Adjusted EBIDTA Adjusted PAT (INR mn) (INR mn) (INR mn) 543.5 556.7 3,822.0 2,587.1 250.6 140.2 9MF
Slide 20: Consolidated Profit and Loss
Consolidated Profit and Loss Particulars (INR Mn) Q3 FY23 Q3 FY22 YoY Q2 FY23 QoQ 9M FY23 9M FY22 YoY Revenue 1,382.9 990.1 39.7% 1,246.1 11.0% 3,822.0 2,587.1 47.7% Employee Expenses 604.7 507.8 19.1% 579.7 4.3% 1,760.1 1,436.8 22.5% Other Expenses 548.9 389.7 40.9% 490.6 11.9% 1,537.5 998.4 54.0%
Slide 21: Consolidated Balance Sheet
Consolidated Balance Sheet Assets (INR Mn) Dec-22 Mar-22 Equity & Liabilities (INR Mn) Dec-22 Mar-22 Non-Current Assets 2,329.7 2,528.5 Equity and Liabilities 6,783.0 6,191.5 Property, plant and equipment 65.7 65.5 Equity share capital 108.3 107.3 Goodwill 723.2 687.5 Equity attributable to owners o
Slide 22: Use of Funds raised from IPO
Use of Funds raised from IPO Sr. No. Particulars Amount (INR mn) Status Repayment of Debt availed by RateGain UK to 1 852.6 Fully utilized Silicon Valley Bank 2 Payment of Deferred Consideration – DHISCO 252.0 Fully utilized Strategic Investments, Acquisitions and Fully utilized in January 2023 3 80
Slide 23: Industry Trends
In the U.S., we no longer talk of recovery in leisure Industry Trends travel. The demand for travel has been above 95% of pre-pandemic levels since February 2022 – Skift Source : Customer Testimonial received from DHISCO customer and included in RateGain Corporate Presentation
Slide 24: Travel Demand expected to Stay Strong in 2023
Travel Demand expected to Stay Strong in 2023 Global Online Travel Agency Gross Bookings $618 $600 $ BILLIONS $555 $524 $500 $491 Healthy growth expected $400 $354 across OTA bookings with Asia $300 re-opening and international $214 travel increasing $200 $100 $- 2019A 2020A 2021A 2022E 2023E 2024E
Slide 25: Company Overview
Company RateGain’s high-quality data and extraordinary team support helped us resolve issues and added to the Overview best-in-class experience. Source : Singapore Airlines Customer Success Story Published in October 2021 on www.rategain.com
Slide 26: RateGain is well positioned to Help the Industry Embrace this Change
RateGain is well positioned to Help the Industry Embrace this Change India’s Largest SaaS company in the hospitality and travel industry helping the industry to Improve Guest Acquisition with the Power of AI Uniquely positioned Interoperable Strong Financial Leading platform to Clearly demarcated to
Slide 27: Expanding our Offering to enable Global Clients to Unlock New Revenue
Expanding our Offering to enable Global Clients to Unlock New Revenue Business Units Aligned to our vision of acquiring guest, retaining them and wallet share expansion 2005 2008 2019 DaaS Distribution Martech ➢ Seamless connectivity between Hotels and ➢ Provide data and information to players their
Slide 28: Annexures
Rate \y Annexures
Slide 29: Key Shareholders
Key Shareholders Promoters Shareholder Types (as of Dec 31, 2022) ➢ Bhanu Chopra & Family currently hold 55.79% Others, 10.81% ➢ They continue to hold same number of Corporate shares since IPO Bodies, 8.98% FIIs, 3.97% Key Shareholders Nippon Life India Mutual Fund 9.29% Avataar Holdings 7.07% Mutua
Slide 30: THANK YOU
THANK YOU Company Investor Relations Advisors CIN: U74140MH2010PTC204285 CIN: L72900DL2012PLC244966 Mr. Divik Anand Mr. Rahul Agarwal / Mr. Karan Thakker Email: investor.relations@rategain.com +91 98214 38864 / +91 81699 62562 rahul.agarwal@sgapl.net / karan.thakker@sgapl.net www.rategain.com www.sg
RateGain Travel Technologies — Q3 FY2023 Earnings Presentation on 6ix