Hinduja Global Solutions Limited · NSE:HGS
Hinduja Global Solutions — Q3 FY2024 Earnings Presentation
27 slides from Hinduja Global Solutions's earnings presentation, Feb 16, 2024
Slide 1: HGS Earnings Call Presentation Q3 and 9M FY2024
HGS Earnings Call Presentation Q3 and 9M FY2024 February 16, 2024 1
Slide 2: Safe Harbour
Safe Harbour Certain statements in this release concerning HGS’ future growth prospects may be seen as forward- looking statements, which are subject to a number of risks, and uncertainties as a result of which actuals could differ materially from such statements. HGS does not undertake to update an
Slide 3: Overall Performance Update
Overall Performance Update Partha DeSarkar 3
Slide 4: Q3 FY2024: The Headlines
Q3 FY2024: The Headlines ▪ Strong performance in the quarter – ‐ Double-digit growth in topline across BPM and Digital Media ‐ Robust improvement in EBIDTA and margin expansion on YoY basis – from ~11% to 16% ‐ PBT (before exceptional item) stood at Rs 16.2 crore, compared to a loss of Rs 28.4 crore
Slide 5: Snapshot of Q3 FY2024 financial performance
Snapshot of Q3 FY2024 financial performance Amount in INR Cr 5
Slide 6: Snapshot of 9M FY2024 financial performance
Snapshot of 9M FY2024 financial performance Amount in INR Cr 6
Slide 7: Overall steady performance in BPM business in Q3 FY2024
Overall steady performance in BPM business in Q3 FY2024 ▪ Strong performance by Canada and Offshore (India & Philippines) businesses ▪ Onshore US and UK business remain muted in both revenue and profitability. Signed some new logos in both geos, which is showing uptick in growth ▪ Tech Solutions bus
Slide 8: A performance snapshot of recent acquisitions
A performance snapshot of recent acquisitions Since becoming part of HGS in February Been almost a year since TekLink 2022, Diversify has performed very well International became part of the HGS family ▪ Revenue growth of 34% since FY2022 till ▪ Posted revenue of US$ 27.9 mn in nine date months of F
Slide 9: Looking ahead, our focus is to…
Looking ahead, our focus is to… Scale our Technology Practices Transform CX Operations by applying AI and analytics Establish AI-led process management solutions Build a team to deliver the outcomes Cross-sell existing services Create verticalized solutions Strategic M&A 9
Slide 10: Digital Media Business: An Update
Digital Media Business: An Update Vynsley Fernandes 10
Slide 11: CelerityX NetX platform connecting India
The revolutionary platform by CelerityX is connecting India like never before. ▪ Enabled seamless & crucial connectivity for global broadcasters at the Shree Ram Mandir inauguration in Ayodhya ▪ NetX is India’s first-of-its-kind platform – connecting enterprises with 18,000+ Internet Service Provide
Slide 12: Media coverage
Net / Media coverage 7 Maser Azrse “aude” ae: Reacher wx cae go ee seen fs sew ec ea eH wa edd 2 AGRA ween seal | Ses 22 mayqoudl A aud ua 92.8. hit aglalina al aoe adludeaiag mania Ram Mandir: Hinduja's NetX NETX FROM CELERITYX GOES wale suelsmei “LIVE”: WILL ENABLE CONNECTIVIT : — fetes - = Aer se
Slide 13: Broadband National Long-Distance (NLD) Network: Update
Broadband National Long-Distance (NLD) Network : Update Ahmedabad Nagpur Mumbai Mumbai Linear Route of 680 kms – Operational Ring Route completed Backup Route of 650 kms– WIP 2,896 kms Operational Kolhapur Parbhani Solapur Bableshwar Linear Route of 336 kms – Vendors selection WIP Linear Route of 33
Slide 14: Q3 FY2024: KPI performance for Digital TV & Broadband
Q3 FY2024: KPI performance for Digital TV & Broadband The business initiatives taken by the company reflect in the Q3 performance – where the broadband subscriber base has grown by 13% over Q2 and digital television subscriber base has grown by 7%. The initiatives are also reflected in controlling “
Slide 15: Financial Update
Financial Update Srinivas Palakodeti
Slide 16: Snapshot of Q3 FY2024 financial performance
Snapshot of Q3 FY2024 financial performance Amount in INR Cr 16
Slide 17: Snapshot of 9M FY2024 financial performance
Snapshot of 9M FY2024 financial performance Amount in INR Cr 17
Slide 18: Q3 FY2024 Performance
Q3 FY2024 Performance Amount in INR Cr Actual Actual QoQ Growth Actual YoY Growth Q3 FY 24 Q2 FY 24 % Q3 FY 23 % Revenue from Operations 1,203.7 1,179.9 2.0% 1,119.1 7.6% Other Income 91.5 107.5 -15.0% 45.3 102.0% Total Income 1,295.1 1,287.4 0.6% 1,164.4 11.2% Total EBITDA 206.6 205.1 0.7% 127.6 61
Slide 19: 9M FY2024 Performance
9M FY2024 Performance Amount in INR Cr YTD Dec 2023 YTD Dec 2022 Var % Total Total Total Total Revenue (In $ Mn) 463.1 479.6 -3.4% Revenue from Operations 3,517.0 3,435.4 2.4% Other Income 313.1 403.2 -22.3% Total Revenue 3,830.1 3,838.6 -0.2% Total EBITDA 602.6 611.0 -1.4% Total EBITDA % 15.7% 15.9
Slide 20: Balance Sheet
Balance Sheet Amount in INR Cr As at As at As at As at Particulars Dec 23 Mar 23 Particulars Dec 23 Mar 23 ASSETS EQUITY AND LIABILITIES Reduction in Shareholder’s funds Equity is mainly due to Buyback of Non-current assets Share capital 46.5 52.5 Shares and taxes of INR 1,248 Crs. Fixed assets and
Slide 21: Cash Flow
Cash Flow Amount in INR Cr As at As at Particulars Dec 23 Mar 23 Profit Before Tax 69.1 189.7 Non-operating adjustments 279.9 191.4 Change in operating assets and liabilities (246.8) (77.2) Income taxes paid (net) (52.6) (186.2) Cash from operating activities 49.6 117.8 Net Capex Investments (108.2)
Slide 22: Summary Financial Profile
Summary Financial Profile Particulars HGSL Net Cash & Treasury Surplus INR Cr in INR Cr in USD Mn As at 31 Dec 2023 4,893.4 (Except per (Except per share data) share data) As at 30 Sep 2023 4,874.7 Shareholder's Fund 7,561.3 914.2 Movement 18.7 Book value per share 1,625.4 19.7 Price per share 931.2
Slide 23: Q3 FY 2024: Total Income Composition of Rs. 1,295.1 Crs
Q3 FY 2024: Total Income Composition of Rs. 1,295.1 Crs
Slide 24: Q3 FY 2024: Operating Revenue Composition of Rs. 1,203.7 Crs
Q3 FY 2024: Operating Revenue Composition of Rs. 1,203.7 Crs Revenue Split - by Delivery Location Revenue Split - by Origination Others, 4% Australia Others Philippines, 5% 2% 10% Canada India 16% 30% India, 37% UK, 13% UK 16% Canada, 16% USA 31% USA, 20% Others: Jamaica, Colombia Others : Philippin
Slide 25: Q3 FY 2024: Operating Revenue Split by Vertical
Q3 FY 2024: Operating Revenue (Rs. 1,203.7 Crs) Split by Vertical Revenue Split by Vertical Telecom & Technology BFS 15% 13% Public Sector 10% Consumer & Retail 20% Others 11% Media 31%
Slide 26: Q3 FY 2024: Revenue Profile
Q3 FY 2024: Revenue Profile Client Concentration DSO Top Customer Top 5 Customers Top 10 Customers DSO (In Days) 38.1% 27.4% 68 63 10.8% Q3 FY24 Q2 FY24 Revenues of Rs 1,203.7 Cr DSO – Overall includes BPM and Digital Media businesses
Slide 27: Thank You
Thank You investor.relations@teamhgs.com
Hinduja Global Solutions — Q3 FY2024 Earnings Presentation on 6ix