Angel One Limited · NSE:ANGELONE
Angel One — Angel Broking — Q2 FY21 Earnings Presentation
29 slides from Angel One's earnings presentation, Oct 26, 2020
Slide 1: Q2 FY21 Earnings Presentation
Q2 FY21 Earnings Presentation October, 2020 1
Slide 2: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by Angel Broking Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securiti
Slide 3: One Of The Largest Digital Retail Broking House
One Of The Largest Digital Retail Broking House Active Clients Strong Growth In ADTO Robust Acquisition Pan India Coverage 4th Largest in NSE Active Clients ₹ 1,281 bn 549,802 No. 1 Stock broking house in Authorised average daily turnover in Q2 FY21 Gross acquisitions in Q2 FY21 39% Persons register
Slide 4: Digitally Powered Business
Digitally Powered Business FULLY DIGITALIZED BUSINESS 5 mins 100% 25%+ >99% 75%+ 6.7mn Avg. time taken to Direct clients on- Clients on-boarded Orders executed Of all orders placed App downloads* onboard clients boarded digitally through DIY journey online by direct clients through mobile app Pionee
Slide 5: End-To-End And Advanced Digital Experience At Flat Price
End-To-End And Advanced Digital Experience At Flat Price Seamless Experience Across Digital Platforms Angel Broking Mobile App “ARQ” Advisory Angel Broking Web Angel Bee App NXT Platform Voice based search Straight through process for client on-boarding Multi-lingual options ~110 technical chart ind
Slide 6: Exponential Growth In Turnover Market Share Across Segments
Exponential Growth In Turnover Market Share Across Segments… Significant Gain In Retail F&O Turnover Market Share Expanding Retail Cash Turnover Market Share 12.1% 18.3% 17.3% 7.8% 6.7% 13.8% 14.3% 14.0% 5.6% 4.4% 12.7% 3.4% Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 FY21 Q2 '21 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '
Slide 7: Driven By Multifold Increase in ADTO Across Segments
…Driven By Multifold Increase in ADTO Across Segments (₹ Bn) Strong Growth In Overall ADTO Significant Growth In Cash ADTO Robust F&O ADTO Growth 1,281 69 1,129 58 582 619 32 33 492 511 450 26 27 358 369 290 253 198 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21
Slide 8: Sustainable Growth Outperforming The Industry
Sustainable Growth Outperforming The Industry… Digitization continues to deliver sustainable long term Robust Sequential Growth In Net Client Addition growth Phase of gradual COVID Lockdown (‘000) 540 Unlock 9.1x 340 177 192 170 227 141 110 127 107 91 59 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Apr
Slide 9: With Further Potential From Untapped Markets
…With Further Potential From Untapped Markets Rising Share Of Acquisitions From Tier 3 & Beyond Cities Acquiring Younger Clients Tier 1 Tier 2 Tier 3+ (years) 34 32 45% 32 32 53% 55% 53% 53% 55% 31 30 41% 36% 34% 37% 36% 36% 14% 11% 11% 11% 11% 9% Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q1 '20 Q2
Slide 10: Top Quartile Activity Of Clients
Top Quartile Activity Of Clients Share of Top 5 Players In NSE Active Clients Angel’s NSE Active Clients Angel’s Rank In NSE Active Client Base 8.3 8.8 10.8 12.2 14.2 (Mn) 47.1% 43.9% 1.0 4th 4th 40.8% 5th 38.4% 0.8 34.8% 0.6 7th 7th 0.4 0.4 FY18 FY19 FY20 Q1 '21 Q2 '21 FY18 FY19 FY20 Q1 '21 Q2 '21
Slide 11: Q2 FY21: Key Highlights
Q2 FY21: Key Highlights 59% 107% 12.3% ₹ 8,259 mn QoQ Growth in Gross Client QoQ Growth in Avg. Daily 412 bps QoQ gain in Overall Average client funding book for Acquisition Turnover Equity ADTO Market Share Q2 FY21 ₹ 3,179 mn ₹ 1,043 mn ₹ 746 mn 29% QoQ Growth in Gross Revenues 50% QoQ Growth in EB
Slide 12: Revenue Mix
Revenue Mix Q2 FY21 Gross Revenue Mix Q2 FY21 Gross Broking Income Split Client wise Net Broking Income Split 45% 17% 35% 33% 32% 32% 30% 31% 70% 7% 65% 67% 68% 68% 70% 69% 10% 1% 44% 5% 1% Broking Interest Depository Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Distribution Other Cash F&O Commodity Cu
Slide 13: Quarterly Financial Snapshot: Business momentum continues
Quarterly Financial Snapshot: Business momentum continues (₹ Mn) Total Income EBDAT Profit After Tax 1,805 1,855 1,996 2,466 3,179 29.9% 35.7% 38.9% 43.0% 49.3% TTM PAT: ₹ 1,834 mn 54.6% 28.9% 49.9% 746 1,043 23.5% 411 48.2% 41.5% 7.6% 546 2.7% 290 16.7% 16.6% 483 23.9% 696 37.7% 395 217 176 185 397
Slide 14: Financial Snapshot
Financial Snapshot (₹ Mn) Total Income Cost To Net Income Profit After Tax 3,696 3,851 5,645 9.7% 21.2% 31.1%* 701 1,229 79.0% 941 62.7% 341 402 53.5% 970 796 605 4,003 2,386 2,653 263 H1 '20 H2 '20 H1 '21 H1 '20 H2 '20 H1 '21 H1 '20 H2 '20 H1 '21 Return on Average Equity; RoE Annualised Return on A
Slide 15: Summary Of Consolidated Profit & Loss Statement
Summary Of Consolidated Profit & Loss Statement (₹ Mn) Particulars Q2 FY21 Q1 FY21 Q4 FY20 FY20 (a) Interest Income 493 349 349 1,577 (b) Fees and commission income 2,604 2,032 1,559 5,644 (c) Net gain on fair value changes 1 3 19 25 Total Revenue from operations (I) 3,099 2,384 1,928 7,246 (d) Othe
Slide 16: Summary Of Consolidated Balance Sheet
Summary Of Consolidated Balance Sheet (₹ Mn) Particulars Sep’20 Jun’20 Mar’20 Financial Assets (a) Cash, cash equivalents and Bank Balance 25,996 19,611 14,136 Includes IPO proceeds (b) Trade Receivables 459 563 390 (c) Loans 6,272 8,144 2,806 (d) Investments 25 24 353 (e) Other financial assets 968
Slide 17: Summary Of Consolidated Cash Flow Statement
Summary Of Consolidated Cash Flow Statement (₹ Mn) Particulars Sep’20 Mar’20 A. Cash Flow from Operating Activities 1,699 6,433 B. Cash Flow from Investment Activities 238 (281) C. Cash Flow from Financing Activities 3,762 (4,489) Net Increase / (Decrease) in Cash & Cash Equivalents 5,698 1,663 Incl
Slide 18: Strong Operating Leverage And Consistent Dividend Payout
Strong Operating Leverage And Consistent Dividend Payout Dividend Payout Ratio 35% 29% 28% 22% FY18 FY19 FY20 H1 '21 Particulars (₹ / Share) FY18 FY19 FY20 H1 ‘21 Consolidated Book Value Per Share 65.8 73.8 82.1 120.9 Consolidated Earnings Per Share 14.9 11.1 11.4 14.9 Dividend Per Share 3.3 3.3 3.3
Slide 19: Way Forward
Way Forward Strengthen our leadership position to become the largest retail Augment our investment in our mobile platform, artificial broking business in India intelligence, machine learning capabilities & newer technologies Aim to become the largest retail broking firm in India, Enhance client
Slide 20: Angel Broking At A Glance
Angel Broking At A Glance 20
Slide 21: Strong Brand Equity Built Over Decades With Proven Track Record
Strong Brand Equity Built Over Decades With Proven Track Record Well Recognized In The Retail Broking Industry Lasting Focused Progressive Legacy Management Culture 22+ years of strong brand equity Driving force in achieving all- Consistently certified as “Great Place to amongst clients encompassing
Slide 22: Competitive Product and Service Offering to Meet Holistic Financial Needs of Clients
Competitive Product and Service Offering to Meet Holistic Financial Needs of Clients ₹ Simplified and competitive pricing Free Research & Advisory Margin Funding Fundamental | Technical | ARQ Seamless, Pre-approved limits Advisory at no additional charge Securities as collateral NIL fund transfer ch
Slide 23: Awards & Accolades
Awards & Accolades Technology Capital Markets Marketing Digital Marketing ‘Trendsetter’ Award at Best Performing Retail Excellence in Social Media NetApp - Innovations Member – NSE for “Shagun ke Shares” Award, 2019 (2017, 2018 & 2019) Campaign by DIGXX 2020 Top volume performer, Digital First Organ
Slide 24: Consistently Certified By The Great Place To Work
Consistently Certified By The Great Place To Work Certified By The Great Place To Work Institute For Four Consecutive Years 2017 2018 2019 2020 Certified “India’s 20 Best Workplaces in BFSI – 2019” by Great Place To Work Overall culture score at par with top 50 companies in India Top 150 employees a
Slide 25: Board Of Directors
Board Of Directors Dinesh D. Thakkar Vinay Agrawal Ketan Shah Promoter, Chairman and MD Director and CEO Non-Executive Director Promoter of Angel Group Rich experience of 22+ yrs Veteran in capital markets with over 3 A qualified Chartered Accountant 26+ years of overall experience decades of experi
Slide 26: Experienced Management Team
Experienced Management Team Vinay Agrawal Vineet Agrawal Nilesh Gokral Rohit Ambosta Chief Executive Chief Financial Chief Operating Chief Information Officer Officer Officer Officer Rich experience of 22+ yrs, of 23+ yrs of total experience, 5+ 18+ yrs of total experience, ~2 20 yrs of total experi
Slide 27: Financialization, Digitization and Demographic Shift – Key Drivers of Indian economy
Financialization, Digitization and Demographic Shift – Key Drivers of Indian economy Proportion of shares and debentures as % of household savings Moderation in inflation CPI inflation Demat accounts growth 3.3% 22.9% 3.0% 14.7% 13.8% 1.9% 12.5% 1.6% 1.6% 1.6% 9.8% 9.0% 9.4% 8.7% 6.8% 7.3% 5.3% 3.9%
Slide 28: Growing Equity Culture In India
Growing Equity Culture In India Nifty Returns Over The Past Decade Nifty MidCap Returns Over The Past Decade 26.7% 30.8% 18.0% 18.5% 14.9% 57.6% 11.1% 7.3% 10.2% 44.2% 36.1% 15.8% 15.8% 3.4% 2.7% -9.2% -8.9% -6.1% -3.2% -1.4% -26.0% -30.9% H1 '21 Mar-11 Mar-12 Mar-13 Mar-14 Mar-15 Mar-16 Mar-17 Mar-
Slide 29: Thank You
Thank You Company : Investor Relations Advisors : Angel Broking Ltd. Strategic Growth Advisors Pvt. Ltd. CIN – U67120MH1996PLC101709 CIN - U74140MH2010PTC204285 Mr. Hitul Gutka – Head IR Mr. Shogun Jain / Mr. Shrikant Sangani Email Id – hitul.gutka@angelbroking.com shogun.jain@sgapl.net / shrikant.s