Newjaisa Technologies Limited · NSE:NEWJAISA
Newjaisa Technologies — Investor Presentation (November 2023)
40 slides from Newjaisa Technologies's investor presentation, Nov 3, 2023
Slide 1: Newjaisa Technologies Limited Regulation 30 Investor Presentation Filing
NEWJAISA TECHNOLOGIES LIMITED (Newjaisa Technologies Private Limited) CIN: U32106KA2020PLC134935 207/B2, 2nd Cross Road, JC Industrial Estate, Bikasipura Main Road, Off Kanakpura Road,Bangalore -560078 Email: cs@newjaisa.com Date: November 03, 2023 To, National Stock Exchange of India Limited (“NSE”
Slide 2: NewJaisa Technologies Limited Investor Presentation September 2023
NewJaisa Technologies Limited Investor Presentation September 2023 Strictly Private & Confidential Prepared and presented by Indorient Financial Services Ltd
Slide 3: Agenda
Agenda 1 Executive Summary 3 2 Business Overview 5 3 Key Investment Highlights 16 4 Growth Strategy 28 5 Financial Overview 31 6 Issue Overview 37
Slide 4: Executive Summary
Executive Summary ✓ NewJaisa (NJ) is tech driven – full stack D2C brand providing quality bespoke refurbished IT electronics at India’s Leading IT significant discount (~40-70%) as compared to new products Electronics Refurbishing ✓ Started in 2020 (in peak Covid Phase), NJ has scaled up rapidly sel
Slide 5: Business Overview
Business Overview
Slide 6: India’s Leading IT Electronics Refurbishing Company
India’s Leading IT Electronics Refurbishing Company NewJaisa is a tech driven full stack D2C IT electronics brand providing quality bespoke refurbished electronics at significant discount as compared to new products Started in 2020 with an aim to provide best-in-class, quality checked refurbishe
Slide 7: Our Impactful Journey in Creating a Scalable Business in <3 Years
Our Impactful Journey in Creating a Scalable Business in <3 Years FY 21 FY 22 FY 23 Company started in Aug 20 by Vishesh Company invested in creating Achieved critical mass with 42k+ unit Handa and R Mukunda with a vision to streamlined process driven operations sales – strong platform in place to s
Slide 8: NewJaisa - Key Business Milestones
NewJaisa - Key Business Milestones INR Cr 45 Robust Revenue 28 INR 82Cr+ Growth 10 Cumulative Sales 44k sqft 94% + FY21 FY22 FY23 Current refurbishment set- Positive Seller up in Bangalore feedback (on leading e- commerce website) Unit Sales 42,043 ~76k 250% 4.4 24,959 Increase in component Google R
Slide 9: Quality Refurbished IT Electronics Offered at Attractive Price Points
Quality Refurbished IT Electronics Offered at Attractive Price Points Laptops Desktops / AiOs Monitors Accessories Price Range INR 16,000 – 25,000(1) INR 10,500 – 28,500 INR 6,000 – 7,000 INR 400 – 600 Discount (To a similar configured new ~ 60 -70% ~ 40 -50% ~ 10 -20% ~ 10 -20% model) • Lenovo: Thi
Slide 10: Strong Demand Across a Diverse Client Base
Strong Demand Across a Diverse Client Base Students Corporates Other Professionals • Value for money at lower price points • Many SMEs & mid-sized companies prefer • Professionals like entrepreneurs, practising refurbished PCs as first choice consultants, freelancers who have used high • Many stream
Slide 11: Marquee Business Partners across Functions
Marquee Business Partners across Functions Our Business Model – How it Works Sourcing Partners Sale to Customers 1) Recyclers Complex Refurbishment Process 1) Through E-Commerce Channels 2) Direct Corporate Purchase 2) To Direct B2B Customers 3) To Educational Institutions Our Partnerships Sourcing
Slide 12: Experienced & Passionate Founding Team
Experienced & Passionate Founding Team Vishesh Handa R Mukunda CEO / (Co-Founder) COO / (Co-Founder) • With an aim of providing cost-effective, eco-friendly, and aspirational IT • With his strong technical background and domain experience, Mukunda products at affordable prices, Vishesh founded NewJa
Slide 13: High Impact 2nd Level Management Team
High Impact 2nd Level Management Team Sharad Somani Baskar Ashish Nirmal Lokesh MR (Chief Marketing/Sales Officer) (Chief Technical Officer) (Chief Financial Officer) (Human Resource Head) • 20+ year of experience handling • 30+ Years of Experience with 20+ • CA by profession, with 8+ years of • Has
Slide 14: Organization Structure
Organization Structure as of Sep 2023 VISHESH HANDA CEO (Co-Founder) R Mukunda Sharad Somani Baskar Ashish Nirmal Lokesh MR Chief Operations Officer / Chief Marketing/Sales Chief Technology Officer Chief Financial Officer Human Resource Head Co-Founder Officer Accounts & MIS QA Team Tech Team HR Tea
Slide 15: Robust Infrastructure in Place
Robust Infrastructure in Place Current Setup (Bangalore) New Setup (Bangalore – Shifted Aug,23 ✓ 28k sqft. ✓ 500+ seats capacity ✓ Up to 400 units/ day production capacity ✓ Scalable – can add 25k sqft. in future if required ✓ 16k sqft. ✓ 250 seats capacity ✓ 190 units/ day production capacity (Up t
Slide 16: Key Investment Highlights
Key Investment Highlights
Slide 17: Key Investment Highlights
Key Investment Highlights A End-to-end Platform for High Quality Refurbishments B Scalable Refurbishment Processes in Place Investment Market at Inflection Point - $2.5 Bn Opportunity C Highlights D Attractive Competitive Positioning E Robust Financial Management
Slide 18: Full Stack Solution to Disrupt the Existing Refurbished Electronics Supply Chain
A. End-to-end Platform for High Quality Refurbishments Full Stack Solution to Disrupt the Existing Refurbished Electronics Supply Chain “Current used PC supply chain is broken” NewJaisa reinventing the refurbished PC supply chain Our Operating Model Corporates/ Blind Bids: Bidders physically inspect
Slide 19: Streamlined Sourcing to Acquire High Quality Assets
A. End-to-end Platform for High Quality Refurbishments Streamlined Sourcing to Acquire High Quality Assets Current Sourcing Future Sourcing strategy ✓ Currently ~80% acquired from ✓ Recycling license acquisition planned to provide single recyclers window for Corporate ALM (Asset Life cycle managemen
Slide 20: Strong Operational Capabilities – Proprietary Processes to Handle Complex Refurbishments
B. Scalable Refurbishment Processes in Place Strong Operational Capabilities – Proprietary Processes to Handle Complex Refurbishments Efficiently L3 Engineering- Component Level Repair L2 Engineering- Incoming Rule Incoming QC/ Surface Quality Packing & Component Quality Engine Software Stack Treatm
Slide 21: Our Value-Added Refurbishments
B. Scalable Refurbishment Processes in Place Our Value-Added Refurbishments By Current Ecosystem By NewJaisa Visible scratches/dents 0 scratch guarantee: Surface treatment inhouse White patches on screen Clean Room Display Repair: 0 Scratches on screen > 30 mins battery backup promise No white patch
Slide 22: Refurbished Laptops Present a $2.5Bn Opportunity by FY33
C. Market at Inflection Point - $2.5 Bn Opportunity Refurbished Laptops Present a $2.5Bn Opportunity by FY33 India Refurbished Computer and laptop Market (US$ Mn) Source: Canalys, Mint, Company Estimates, FMI 21
Slide 23: India’s Low PC Penetration Presents High Growth Opportunity
C. Market at Inflection Point - $2.5 Bn Opportunity India’s Low PC Penetration Presents High Growth Opportunity PC Sales in India Household PC Ownership 81% 81% (# Mn) 19.20 12.80 47% 9.30 13% 2018 2020 2022 India China USA EU Source: Canalys, CMIE, FSIAPL Key Growth Drivers of Refurbished PC Market
Slide 24: Our MOAT: Organized Players Lacking L3 Refurbishments
D. Attractive Competitive Positioning Our MOAT: Organized Players Lacking L3 Refurbishments / Unorganized Players Offering Poor Product Organised Players Unorganised Market Electronics Local NewJaisa RenewIT Bazaar Suppliers Price Range Refurbishment Capability Sourcing D2C Channel Warranty 12 month
Slide 25: SWOT Analysis
D. Attractive Competitive Positioning SWOT Analysis Strengths Weakness ➢ Consistent availability of skilled engineers ➢ Proprietary and scalable refurbishment can be a challenge process ➢ Complex supply chain – Optimal strategy ➢ Partnership with industry leaders needed to make sourcing efficient ➢
Slide 26: Hands on Financial Management Leading to Growth in Major KPIs
E. Robust Financial Management Hands on Financial Management Leading to Growth in Major KPIs A) Attractive Revenue Growth (INR Cr) • Revenue increased at a CAGR of ~115% over 2 45 years mainly driven by - Favourable seller feedback and increasing 28 demand on leading e-commerce websites - Increasing
Slide 27: Growth Strategy
Growth Strategy
Slide 28: Growth Strategy (1/3)
Growth Strategy (1/3) Clearly defined strategy to focus on markets, customers, operational & financial excellence Our Goals (3-5 years) 6 1 Deeper Tech Sales Become #1 refurbished IT electronics Integration Diversification brand 5 2 Develop strong international presence Group’s Core Engineered Brand
Slide 29: Growth Strategy (2/3)
Growth Strategy (2/3) ➢ Build D2C offline channels • College/school program offering PCs at further discount to students. • SME: Hardware as a Service (HaaS) | Rental mode • Modern trade Sales ➢ Own online channel scale to 30% Diversification ➢ International markets • Initiate India as CoE for refur
Slide 30: Growth Strategy (3/3)
Growth Strategy (3/3) ➢ Target to increase direct sourcing by • Strategic partnership with corporates • Better value proposition to purchasing partners Value Driven Sourcing ➢ Target to increase productivity improvement through technology development and process improvement Engineered Operations ➢ I
Slide 31: Financial Overview
Financial Overview
Slide 32: Financial Highlights
Financial Highlights Total Income EBITDA EBITDA Margin PAT PAT Margin 25 16 15.17 44.53 14 19.69 20 12 10 27.93 15 7.64 11.44 8 6.76 10.81 6.62 8.77 10 6 4 9.61 5 3.02 1.80 2 1.10 0.73 0 0 FY21 FY22 FY23 FY21 FY22 FY23 FY21 FY22 FY23 All Figures In ₹ Cr & Margin In % 31
Slide 33: Profit & Loss Statement
Profit & Loss Statement In ₹ Cr Particulars FY23 FY22 FY21 Revenues 44.53 27.92 9.61 Other Income 0.00 0.01 0.00 Total Income 44.53 27.93 9.61 Cost of Consumption 25.20 19.07 6.42 Employee costs 4.68 2.23 0.76 Other expenses 5.88 3.60 1.32 Total Expenditure 35.76 24.91 8.51 EBITDA 8.77 3.02 1.10 Fin
Slide 34: Balance Sheet
Balance Sheet In ₹ Cr Equities & Liabilities FY23 FY22 FY21 Assets FY23 FY22 FY21 Equity 0.36 0.36 0.01 Non Current Assets Other Equity 8.94 2.19 0.73 Fixed assets 0.41 0.25 0.21 Net Worth 9.30 2.55 0.74 Non Current Investments 0.00 0.00 0.00 Non Current Liabilities Other Non Current Financial Asset
Slide 35: Key Ratios
Key Ratios ROE In % ROCE In % 98.66 98.66 70.79 72.63 70.79 72.63 FY21 FY22 FY23 FY21 FY22 FY23 Net Cash Flow In ₹ Cr Current Ratio In Times 2.27 1.38 1.33 1.74 1.27 FY21 FY22 FY23 -1.30 FY21 FY22 FY23 34
Slide 36: Key Ratios
Key Ratios Working Capital Cycle In Days Net Asset Value In ₹ 90 4.17 84 80 70 67 60 1.14 0.34 50 41 FY21 FY22 FY23 40 EPS In ₹ 30 30 28 24 3.03 16 15 20 13 13 5 10 2 0 0.81 FY21 FY22 FY23 0.33 Inventory Days Receivable Days Payable Days Net Operating Cycle Days FY21 FY22 FY23 35
Slide 37: Issue Overview
Issue Overview 36
Slide 38: Issue Highlights
Issue Highlights Fresh Issue Up To 84,96,000 Equity Shares Pre Issue Equity Shares 2,36,87,472 Equity Shares Face Value ₹ 5/- Each Post Issue Equity Shares 3,21,83,472 Equity Shares Offer Size ₹ 37.38* - ₹ 39.93** crore Price Band ₹ 44 - ₹ 47 Post Issue Implied Market Cap xx Lakhs Lot Size 3000 Equi
Slide 39: Object Of The Issue
Object Of The Issue Issue Proceeds Utilization Of Issue Proceeds Particulars ₹ In Lakh Gross Proceeds From The Issue (At Upper Band) Up To Less: Issue Related Expenses [●] Net Proceeds Of The Issue To Our Company [●] Utilization Of The Net Proceeds Expansion of refurbishment facility and purchase of
Slide 40: Thank You
NewJaisa Technologies Limited Registered Office Address: 207/B2, 2nd Cross Road, J.C, Industrial Estate Bikasipura Main Road, Off Kanakpura Road, Near Delhi Public School, Bangalore, 560078, Karnataka, India. Phone: +91 93901 77182 Website: https://newjaisa.com/ Email: cs@newjaisa.com Thank You Indo
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