Cyient Limited · NSE:CYIENT
Cyient — Q1 FY25 Earnings Presentation
36 slides from Cyient's earnings presentation, Jul 25, 2024
Slide 1: Exchange filing cover letter: Investor Presentation
25 July 2024 BSE Limited National Stock Exchange of India Ltd PJ Towers, 25th Floor, Exchange Plaza, Dalal Street Bandra-Kurla Complex, Bandra(E) Mumbai 400001. Mumbai-400 051. Scrip Code: 532175 Scrip Code: CYIENT Dear Sir/Madam, Sub: Investor Presentation Please find enclosed Investor Presentation
Slide 2: Investor Presentation Q1 FY25
INVESTOR PRESENTATION Q1 FY25
Slide 3: Confidentiality Statement
Confidentiality Statement The information shared herein is strictly confidential, proprietary and unique to the company. It is only made and shared for the purpose and extent it is intended for and no other. Usage or sharing of the said information in any form, directly or indirectly and in any mann
Slide 4: Leadership Team
Leadership Team KRISHNA BODANAPU KARTHIK NATARAJAN PRABHAKAR ATLA Executive Vice-Chairman & Executive Director & CEO President & CFO Managing Director © CYIENT 2024 | Confidential 3
Slide 5: Business Highlights
Business Highlights Financial Highlights DET Business Update • Business Highlights for • DET (Digital, Engineering & • BU performance the Group Technology) • Innovative Technology • Group Solutions and Programs • Business Outlook Annexures © CYIENT 2024 | Confidential 4
Slide 6: Business Highlights
Business Highlights Financial Highlights DET Business Update • Business Highlights for • DET (Digital, Engineering & • BU performance the Group Technology) • Innovative Technology • Group Solutions and Programs • Business Outlook Annexures © CYIENT 2024 | Confidential 5
Slide 7: Business Highlights for the Quarter
Business Highlights for the Quarter Cyient announces set up of a subsidiary to strengthen its Premier Award for Excellence from decades old expertise in ASIC and Semiconductor space RTX for the 3rd Consecutive Year • The Global ASIC industry is currently estimated to be about US$ 24 billion • The Pr
Slide 8: Business Highlights
Business Highlights Financial Highlights DET Business Update • Business Highlights for • DET (Digital, Engineering & • BU performance the Group Technology) • Innovative Technology • Group Solutions and Programs • Business Outlook Annexures © CYIENT 2024 | Confidential 7
Slide 9: Glossary
Glossary • Cyient Group Business Segments: • Cyient DET • Cyient DLM • Cyient Others • Cyient DET Business Units: • Transportation • Connectivity • Sustainability • New Growth Areas © CYIENT 2024 | Confidential 8
Slide 10: Financial Highlights for the Quarter | DET
Financial Highlights for the Quarter | DET 169.6M$ 1,414cr₹ 13.5% Revenue ($) Revenue (₹) EBIT -5.0% cc QoQ | -3.6% cc YoY -5.0% QoQ | -2.8% YoY -256 bps QoQ | -260 bps YoY 141Cr₹ 12.86₹ 164cr₹ PAT EPS FCF -18.5% QoQ | -17.0% YoY -18.6% QoQ | -17.3% YoY -29.4% QoQ | -7.0% YoY © CYIENT 2024 | Confide
Slide 11: Financial Highlights for the Quarter | Group
Financial Highlights for the Quarter | Group 200.9M$ 1,676cr₹ 11.9% Revenue ($) Revenue (₹) EBIT -1.5% cc YoY -0.6% YoY -281 bps YoY 144Cr₹ 13.09₹ (15)cr₹ PAT EPS FCF -18.6% YoY -18.8% YoY -115.7% YoY © CYIENT 2024 | Confidential 10
Slide 12: Business Highlights
Business Highlights Financial Highlights DET Business Update • Business Highlights for • DET (Digital, Engineering & • BU performance the Group Technology) • Innovative Technology • Group Solutions and Programs • Business Outlook Annexures © CYIENT 2024 | Confidential 11
Slide 13: BU Performance for the Quarter
BU Performance for the Quarter Revenue US$ Mn Q1 FY25 QoQ (cc) QoQ ($) YoY (cc) YoY ($) Transportation 49.3 -7.0% -7.2% -8.0% -8.4% Connectivity 37.5 -7.6% -8.0% -16.9% -17.4% Sustainability 56.2 -2.8% -3.5% 8.8% 8.1% New Growth Areas 26.6 -1.6% -2.0% 3.8% 2.9% DET 169.6 -5.0% -5.4% -3.6% -4.2% Orde
Slide 14: Business Performance and Outlook
BUSINESS PERFORMANCE and OUTLOOK 13
Slide 15: Innovative Technology Solutions and Programs
Innovative Technology Solutions and Programs Trends Technology Solutions / Programs Modernizing the enterprise Usability platform for Hospital Patient monitors improvising the clinical workflow efficiency and user experience Developing Automation and Process optimization solutions for an Industry 4.
Slide 16: Outlook
Outlook • For FY25, we expect DET revenue growth to be flattish YoY in cc terms © CYIENT 2024 | Confidential 15
Slide 17: Business Indicators | FY25 and Medium Term
Business Indicators | FY25 and Medium Term Key drivers of change to Q1 Revenue Performance • Greater than anticipated delays and right shifts in project execution in Connectivity segment • Sectoral challenges in Rail continue as industry is yet to recover FY25 lead indicators for strong performance
Slide 18: About Cyient
About Cyient Cyient (Estd: 1991, NSE: CYIENT) delivers Intelligent Engineering solutions for creating a digital, autonomous, and sustainable future for over 300 customers, including 40% of the top 100 global innovators. As a company, Cyient is committed to designing a culturally inclusive, socially
Slide 19: Disclaimer
Disclaimer All the references to Cyient’s financial results in this update pertain to the company’s consolidated operations comprising: Wholly-owned and step down subsidiaries: Cyient Europe Limited; Cyient Inc.; Cyient GmbH; Cyient Australia Pty Ltd; Cyient Singapore Private Limited; Cyient KK; Cyi
Slide 20: Connect With Us
#DesigningTomorrowTogether Connect www.cyient.com With Us Follow us on © CYIENT 2024 | Confidential 19
Slide 21: Annexure
INVESTOR PRESENTATION ANNEXURE Q1 FY25
Slide 22: Message from the Management
Message from the Management Commenting on the results, Mr. Krishna Bodanapu, Executive Vice Chairman and Managing Director, said “Cyient Group witnessed soft Q1 FY25 results, with quarterly Group revenue at US$ 200.9 Mn, degrowth of 1.5% YoY in constant currency. Cyient’s Digital, Engineering and Te
Slide 23: Message from the Management
Message from the Management Commenting on the results, Mr. Prabhakar Atla, President and Chief Financial Officer, said, “For Q1 FY25, DET revenues stood at US$ 169.6 Mn, a de-growth of 5% QoQ in constant currency terms. The EBIT margin for Q1 FY25 is 13.5%, down by 256 bps compared to previous quart
Slide 24: DET Metrics
DET METRICS 4
Slide 25: Income Statement | DET
Income Statement | DET DET Income Statement ₹ Mn Q1 FY25 Q4 FY24 Q1 FY24 Operating Revenue ($ Mn) 169.6 179.3 177.1 Operating Revenue (₹ Mn) 14,144 14,892 14,546 Cost of Revenue 8,554 8,965 8,759 Gross profit 5,590 5,927 5,788 Gross margin % 39.5% 39.8% 39.8% Sales and Marketing 680 608 498 General
Slide 26: Other Income | DET
Other Income | DET Other Income (₹ Mn) DET Q1 FY25 Q4 FY24 Q1 FY24 Income from Investments 74 80 75 Realised gains/(losses) on Fwd Contracts 7 70 -38 Unrealised Fx gains/(losses) 41 -46 119 Others 24 48 -63 Total 146 151 93 Note: For Q1 FY25, "Others" include interest income from DLM of ₹24 Mn © CYI
Slide 27: Cash Generation | DET
Cash Generation | DET Cash Flow Summary (₹ Mn) DET Q1 FY25 Q4 FY24 Q1 FY24 Profit before tax (Reported) 1,848 2,278 2,102 (+/-) Non-cash & non-operating items 735 793 890 Operating profit before WC changes 2,583 3,071 2,992 (+/-) DSO Movement (Receivables) 707 -146 91 (+/-) Other WC changes -1,078 2
Slide 28: Cash Position for the Quarter | DET
Cash Position for the Quarter | DET Cash Position (₹ Mn) DET Q1 FY25 Q4 FY24 Q1 FY24 Cash & Cash Equivalent including treasury investments 7,340 7,312 9,238 Cash & Bank balances 3,695 4,108 6,076 Investments in FDs 1,050 361 141 Investment in MFs and Commercial Papers 416 656 1,051 Other treasury in
Slide 29: Other Metrics | DET (1/2)
Other Metrics | DET (1/2) Revenue by Geography (%) DET Q1 FY25 Q4 FY24 Q1 FY24 Americas 47.0% 43.7% 43.2% Europe, Middle East, Africa 32.8% 36.2% 34.4% Asia Pacific (including India) 20.1% 20.1% 22.4% Revenue by Currency (%) DET Q1 FY25 Q4 FY24 Q1 FY24 USD 45.8% 43.5% 43.7% EURO 16.5% 21.8% 18.2% GB
Slide 30: Other Metrics | DET (2/2)
Other Metrics | DET (2/2) Employees DET Q1 FY25 Q4 FY24 Q1 FY24 Total Headcount 15,083 15,461 15,306 Technical & Pool 13,929 14,274 14,386 Non-Technical 504 538 380 Support 650 649 540 Voluntary Attrition (LTM) 16.0% 17.1% 23.0% No. of Million $ Clients DET Q1 FY25 Q4 FY24 Q1 FY24 20 Mn+ 5 6 7 10 Mn
Slide 31: Group Balance Sheet & Income Statement
Group Balance Sheet & Income Statement 11
Slide 32: Balance Sheet Extract | Group
Balance Sheet Extract | Group Group Balance Sheet ₹ Mn Q1 FY25 Q4 FY24 Q1 FY24 Exchange Rate (₹/$) Q1 FY25 Q4 FY24 Q1 FY24 ASSETS Non-current assets Average 83.42 83.05 82.15 - PPE, CWIP, ROU assets and Other intangible assets 11,816 12,146 12,131 Closing 83.46 83.35 82.07 - Goodwill 16,735 16,692 1
Slide 33: Income Statement | Group
Income Statement | Group Group Income Statement ₹ Mn Q1 FY25 Q4 FY24 Q1 FY24 Operating Revenue ($ Mn) 200.9 224.0 205.3 Operating Revenue (₹ Mn) 16,757 18,607 16,865 Cost of Revenue 10,773 12,056 10,695 Gross profit 5,984 6,551 6,170 Gross margin % 35.7% 35.2% 36.6% Sales and Marketing 728 640 529 G
Slide 34: About Cyient
About Cyient Cyient (Estd: 1991, NSE: CYIENT) delivers Intelligent Engineering solutions for creating a digital, autonomous, and sustainable future for over 300 customers, including 40% of the top 100 global innovators. As a company, Cyient is committed to designing a culturally inclusive, socially
Slide 35: Disclaimer
Disclaimer All the references to Cyient’s financial results in this update pertain to the company’s consolidated operations comprising: Wholly-owned and step down subsidiaries: Cyient Europe Limited; Cyient Inc.; Cyient GmbH; Cyient Australia Pty Ltd; Cyient Singapore Private Limited; Cyient KK; Cyi
Slide 36: Connect With Us
#DesigningTomorrowTogether Connect www.cyient.com With Us Follow us on © CYIENT 2024 | Confidential 16