Datamatics Global Services Limited · NSE:DATAMATICS
Datamatics Global Services — Q2 FY2023 Earnings Presentation
27 slides from Datamatics Global Services's earnings presentation, Oct 28, 2022
Slide 1: Investor Presentation Q2FY23
Investor Presentation Q2FY23 28th October 2022 1
Slide 2: Disclaimer
Disclaimer This presentation and the following discussion may contain “forward looking statements” by Datamatics Global Services (“DGS” or the Company) that are not historical in nature. These forward looking statements, which may include statements relating to future results of operations, financia
Slide 3: Agenda
Agenda 1 About Datamatics 2 Growth Strategy & Investment Rationale 3 Financial Performance 4 Awards & Recognition 3
Slide 4: About Datamatics
About Datamatics 4
Slide 5: Datamatics Overview
Datamatics Overview We build intelligent solutions for data-driven businesses to enhance their productivity and customer experience Strong Revenue and PAT Growth Key Focus Areas Own IP Products INR 670.3 Crore Revenue H1FY23 Digital Transformation TruCap+, TruBot, iPM, TruBI, TruAI, 10.5% revenue CA
Slide 6: Technologies, Operations, Experiences
Application Modernisation Finance & Accounting Banking Process Management Cloud & DevOps Digital Insurance Process Management Big Data & Analytics Technologies Digital Content Management Artificial Intelligence & Cognitive Services Digital Intelligent Automation Operations Mobility & Portals Digital
Slide 7: Digital Operations (Figures in INR Crore)
Digital Operations (Figures in INR Crore) “ Over last several years, we have worked hand in hand with Datamatics to automate Finance & Accounting 23.3% 22.7% operations across the globe ” 20.3% 21.4% 20.7% 19.8% 16.5% 17.2% ensuring timely delivery. 13.0% Director – F&A, A global automotive componen
Slide 8: Digital Experiences (Figures in INR Crore)
Digital Experiences (Figures in INR Crore) 23.2% 25.4% “ Datamatics looks at a consumer specific process and guides you as to how 24.0% 17.0% the process can be ” 11.2% 12.3% remodeled or redefined. 7.1% Global Director – Consumer 3.8% 4.7% Insights, 25 35 38 39 37 42 40 46 52 A leading FMCG company
Slide 9: Digital Technologies (Figures in INR Crore)
Digital Technologies (Figures in INR Crore) 41 “ 44 7.4% 8.3% Datamatics helped us in our 5.5% 4.9% digital transformation journey 4.6% 4.6% by enabling us to go Deep in ” 2.6% 110 117 119 124 135 136 131 133 148 Digital with their solutions. Q2FY21 Q3FY21 Q4FY21 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Q
Slide 10: Journey So Far…
Acquired TechJini, boutique mobile & 2017 web technology provider India Journey So Far… 2003 Acquired Saztec USA Acquired RJGlobus Solutions, voice & 2018 text based customer service provider Acquired Corpay for Accounts 2003 Payable solutions USA Gartner Peer Insights Customer choice 1975 Datamatic
Slide 11: Our Growth Performance (Figures in INR Crore)
Our Growth Performance (Figures in INR Crore) Consolidated Revenue Consolidated PAT 442 550 734 828 816 852 910 1,134 1,203 1,149 1,201 28 31 58 49 44 64 72 84 62 84 155 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 Revenue by Business
Slide 12: Growth Strategy & Investment Rationale
Growth Strategy & Investment Rationale 12
Slide 13: Growth Strategy
Growth Strategy Deep in Digital Focus on Automatic Fare Increase Invest in Product Collection Account Branding and and Platforms (AFC) Penetration Marketing 13
Slide 14: Investment Rationale: Business
Investment Rationale: Business Deep in Digital IP Products • Developed own IP products in • Offers Digital Operations, Digital high growth markets - TruCap+, Technologies and Digital TruBot, iPM, TruBI, TruAI, TruFare Experiences to boost productivity, customer experience, and competitive advantage
Slide 15: Financial Performance
Financial Performance 15
Slide 16: Key Performance Indicators
Key Performance Indicators (Figures in INR Crore) Revenues EBITDA & Margins (%) EBIT & Margins % 16.1% 13.3% 12.4% 11.8% 10.3% 9.5% 8.9% 9.0% 7.2% 6.8% 910 1,134 1,203 1,149 1,201 82 134 124 142 193 62 108 87 103 160 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 FY18 FY19 FY20 FY21 FY22 PAT afte
Slide 17: Consolidated Financial Summary – Q2FY23
Consolidated Financial Summary – Q2FY23 QoQ Particulars (in INR Crore) Q2FY23 Q1FY23 Q2FY22 YoY Growth H1FY23 H1FY22 YoY Growth Growth Revenue from Operations 343.4 326.9 5.1% 299.2 14.8% 670.3 587.0 14.2% Other Income 9.6 13.2 (26.9%) 4.5 115.6% 22.8 8.5 168.0% Total Revenue 353.0 340.1 3.8% 303.7
Slide 18: Consolidated Financial Highlights – Q2FY23
Consolidated Financial Highlights – Q2FY23 (Figures in INR Crore) PAT after NCI & Operating Revenues EBITDA & EBITDA % EBIT & EBIT % PAT after NCI % 16.7% 15.0% 14.0% 12.8% 14.6% 12.5% 12.0% 11.6% 11.3% 299.2 326.9 343.4 49.9 47.8 51.7 41.9 39.3 42.9 35.3 43.4 40.0 Q2 FY22 Q1 FY23 Q2 FY23 Q2 FY22 Q1
Slide 19: Balance Sheet Metrics – H1FY23
Balance Sheet Metrices – H1FY23 (Figures in INR Crore) Days Sales Outstanding Total Cash & Cash Equivalent plus Current Investments (DSO) (Net of debt) Number of days 85 65 74 62 123.9 254.5 377.8 375.9 FY20 FY21 FY22 H1FY23 FY20 FY21 FY22 H1FY23 19
Slide 20: Revenue Segment Analysis – Q2FY23
Revenue Segment Analysis – Q2FY23 (Figures in INR Crore) Digital Operations Digital Experiences Digital Technologies Revenue & EBIT Margin (%) Revenue & EBIT Margin (%) Revenue & EBIT Margin (%) 23.3% 25.4% 22.7% 23.2% 21.4% 7.4% 12.3% 134.6 133.2 147.8 -2.0% 127.2 147.5 143.2 37.5 46.2 52.4 Q2 FY22
Slide 21: Revenue Segment Analysis – Q2FY23
Revenue Segment Analysis – Q2FY23 Revenue by Industry Revenue by Geography Other ROW 4% 5% Not for Profit/Govt. 11% BFSI 24% Retail India 7% 28% USA Manufacturing, 54% Infra & Logistics 13% Education & Publishing 23% Technology & Consulting UK & Europe 18% 13% 21
Slide 22: Client Concentration – Q2FY23
Client Concentration – Q2FY23 Client concentration maintained at a comfortable level Top 5 Top 10 Top 20 52% 50% 39% 27% 35% 26% Q2FY22 Q2FY23 Q2FY22 Q2FY23 Q2FY22 Q2FY23 22
Slide 23: Key Deal Wins – Q2FY23
Key Deal Wins – Q2FY23 A leading US based accounting A US based online credit union A US based structured finance and business advisory firm selects selects Datamatics for company selects Datamatics for Datamatics for cloud migration automating critical business digitising credit rating process serv
Slide 24: Recognition
Recognition 24
Slide 25: Key Analyst Coverage
Key Analyst Coverage Niche Player Major Contender Major Contender Strong Performer 2022 Gartner Magic Quadrant for Finance and Accounting Outsourcing Robotic Process Automation Forrester Wave for RPA, Q1 2021 Finance & Accounting BPO Services (FAO) Services PEAK Matrix – 2022 (RPA) Products PEAK Mat
Slide 26: Shareholder Value Creation
Shareholder Value Creation Total Shareholder Return Relative Stock Price Performance 120.0 1 Year Return -6.4% 100.0 3 Year Return 305.8% 80.0 5 Year Return 191.6% 60.0 Sensex BSE IT Datamatics 26
Slide 27: Thank You
Thank You For Further Queries Contact: Mr. Sandeep Mantri Chief Financial Officer investorrelations@datamatics.com Diwakar Pingle / Asha Gupta Diwakar.Pingle@in.ey.com Asha.Gupta@in.ey.com © Copyright 2022 Datamatics Global Services Limited and its subsidiaries (hereinafter jointly referred as Datam
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