Mastek Limited · NSE:MASTEK
Mastek — Investor Presentation (September 2018)
24 slides from Mastek's investor presentation, Sep 26, 2018
Slide 1: Intimation of Institutional Investors/Analysts Meeting
Mastek Limited, # 106/ 107, SDF-IV, Seepz, Andhen (E), Mumbai - 400 096, India. Tel .91 22 6695 2222 / 6722 4200 Fax +91 22 6695 1331 wmv.mastek.com Mastek Date: September 26, 2018 To, Listing Department Listing Department BSE Limited The National Stock Exchange of India Limited 25th Floor, Phiroze
Slide 2: Investor Presentation September 2018
maste0k Investor Presentation September 2018
Slide 3: Disclaimer
Disclaimer Mastek ;O This presentation contains certain forward-looking statements concerning our future growth prospects which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. These risks and uncertaintie
Slide 4: Agenda
Agenda Mastele! 1 Corporate Overview 2 Financial Performance 3 Way Forward — Vision 2020 Presentt ww rr tez corn
Slide 5: Corporate Overview
Mastele! Corporate Overview Sddc, 4 t;:, Nildttek. Ltd. 20.1S --- ciontideotal Invest(,r Presentatlor www.masteK.corri
Slide 6: Mastek at a Glance
Mastek at a Glance Nlasteks Trusted Partner in Complex Digital and Agile Transformation Programmes 1982 0 US$ 130 Mni 69% 29% 2% I Founded by 4 Total Revenue Promoters CAGR: 24%2 UK US Others Sal +2,000 Headcount' 1"1"11US$ 19 Mn' EBITDA CAGR: 84%2 ring (12 Digital Solutions5 60% >$1 Mn Clients6 28
Slide 7: Corporate Milestones
Corporate Milestones Mastek,! • Total revenues US$ 125 Mn+ • Market capitalisation US$ 200 Mn+ 2018 • Acquired TAISTech, US based leading digital commerce solution provider • Unveiled revised strategy — "Vision 2020" 2017 • Completed demerger; Mastek entrenched as pure play IT services Company • Acq
Slide 8: End to End Service Offerings for Digital Transformation
End to End Service Offerings for Digital Transformation Mastek [flip App Development • Delivering robust, scalable & Business Intelligence • Providing competitive edge with dr Assurance & Testing • Providing reliable testing services secure applications quickly under data warehousing, business under
Slide 9: Experienced Management Team
Experienced Management Team Mastele 11111111111111,111111= 11111111111,11111111111 1111111111111,1111111111 11111111111,1111MI John Owen Abhishek Singh Bob King Prahlad Koti Hiren Shah Maninder Kapoor Puri Group CEO Group CFO CEO Americas MD UK SVP - Services Lines Group CPO • 30 years of • 20 years
Slide 10: Marquee Clientele
Marquee Clientele Mastek "We had challenging timescales but the first work pack that has been completed was Select Client Universe' completed a day ahead of schedule and the defect count was very, very positive, in fact no defects were delivered within the solution" - UK based Leading Supermarkets C
Slide 11: Awards & Recognitions
Awards & Recognitions Mastek' Outstanding Contribution — 1-11 Recognised as an 'Agile Disruptor' in Public Sector2 The Disrupted & The Disruptors 15% Top 10: UK PS SITS IaaS: Turnover 10% revenue growth/decline — 1 doubled 5% 0% IIIn NI 111111 bjssi m.106 Agile -5% Mastek -10% k a in %, — developmen
Slide 12: Financial Performance
Mastek- , Financial Performance Investor Presentation www st eiisicorn
Slide 13: Growing Revenue and Profitability
Growing Revenue and Profitability (Figures in Rs Crore) Mastek..• Total Revenuel'2 EBITDA & Margin' CAGR: 24%; CC: 32% CAGR: 84% ( 121 838 544 573 61 FY16 FY17 FY18 247 Q1 FY19 36 • 6.5% FY16 10.7% FY17 14.4'34 FY18 • 34 Q1 FY19 PAT & Margin' Order Backlog3 (Next 12 Months) CAGR: 126% CAGR: 60% 70 5
Slide 14: Diversifying Revenue Mix
Diversifying Revenue Mix' Geography Mix Vertical Mix Mastele, • 12% NMI 11F(6721 27% 19% 24% ■ 82% 20% 22% 69% 43% 34% FY16 FY17 FY18 Q1 FY19 FY16 FY17 FY18 Q1 FY19 • UK • US Others • Government • Financial Services Retail • Others Services Mix (His) Contract Type • App Development is Digital Commer
Slide 15: Strong Financial Position
Strong Financial Position' (Figures in Rs Crore) Mastele;* Total Networth Cash Position 205 200 623 549 1 153 476 469 99 111 111 I I FY16 FY17 FY18 01 FY19 FY16 FY17 FY18 C11 FY19 Return on Equity2A Return on Capital Employed3,4 17.7% 18.5% 15.3% 13.7% 9.1% 6.9% FY17 FY18 01 FY19 FY17 FY18 01 FY19 '
Slide 16: Consistent Client Connect & Productivity Improvement
Consistent Client Connect & Productivity Improvement Mastek- Active Clients'. (L-rm) Revenue per Employee 2 (us$) 70,747 70,141 159 170 166 88 62,117 61,176 1111 FY16 FY17 FY18 01 FY19 FY16 FY17 FY18 Q1 FY19 Repeat Business3 Billable Utilisation4 99.3% 98.6% 97.9% 82.9% 83.9% 97.5% 80.9% 81.8% FY16
Slide 17: Maximising Shareholder's Return
Maximising Shareholder's Return Mastele:10 Total Shareholders' Return' (Rebased to 100 — LTM) 88% 55% 13% Oct..17 Nov_27 Jan.28 Feb...78 407.28 A11.18 Ilug.18 Sep..18 Sep.17 0ec.27 Mar.28 Apr,28 May-18 —Mastek —Nifty —Nifty IT Index Dividend Per Share (Rs.) Payout2 120.0% 6.0 70.0% 3.5 2.5 FY16 FY17
Slide 18: Peer Review
Peer Review Mastek Particulars' Mastek Hexaware Mindtree NIIT Tech Kainos Syntel Financials2 Total Revenue (Mn) 8,974 42,677 59,655 31,592 97 970 Total EBITDA (Mn) 1,299 7,570 9,807 5,757 15 272 Total EBITDA Margin 14.5% 17.7% 16.4% 18.2% 15.7% 28.1% PAT (Mn) 778 5,510 6,066 3,436 12 182 PAT Margin
Slide 19: Way Forward Vision 2020
Mastek- • Way Forward Vision 2020 Slide 18 Meetek , - Investor Presentation WNW ,rna stek.corn
Slide 20: Strategic Plan — Vision 2020
Strategic Plan — Vision 2020 Mastek - • ✓ Inducted Professional 9 Increase in Wallet Share in UK Pubic Sector Management Team Digital Transformation Strategy in US ✓ Opened US ---> Cross Sell (Acquired TAISTech) 9 Drive Operational Efficiency ✓ Basic Business fix 9 Tactical M&A - Capacity & Capabili
Slide 21: What's Changing
What's Changing !!! Mastek :• Business ✓ High focus on Digital and Agile transformation programs ✓ Among top 3 to deliver large complex Agile programs; Help UK Government cut cost & time of delivery ✓ Be a vendor of choice for Digital Transformation projects ✓ Continued investment in building deep d
Slide 22: Vision 2020: A Global Leader in Digital Transformation
Vision 2020: A Global Leader in Digital Transformation Mastek- ik• s Be most respected, valued and trusted digital partner; NextGen supplier of choice Be employer of choice for new entrants and have industry leading employee engagement ratings Provide an attractive financial return and be a recognis
Slide 23: Pillars of Performance Improvement
Pillars of Performance Improvement Mastek-,0 Continued Digital Pursuit in UK; Wallet Share Increase in UK Public Sector Monetize Non-Core Asset; Digital Transformation Offerings in US; Capability Aggressive Inorganic Initiatives enhancement Continuous Improvement in Quality of Earnings cl-cie 2 -2 r
Slide 24: End of Presentation
Mastek- END OF PRESENTATION About Mastek Mastek is a publicly held (NSE: MASTEK; BSE: 523704) leading IT player with global operations providing enterprise solutions to government and enterprise organizations worldwide. With its principal offshore delivery facility based at Mumbai, India, Mastek ope