Palred Technologies Limited · NSE:PALREDTEC
Palred Technologies — Investor Presentation (August 2016)
20 slides from Palred Technologies's investor presentation, August 2016
Slide 1: LatestOne Tech deals
LatestOneé Tech deals
Slide 2: Company Background – 1999 to 2013
Company Background – 1999 to 2013 Founded in 1999 Listed on BSE and NSE, India’s premium Stock Exchanges since 2004 World’s largest Logistics and Transportation Software Product Company with operations in 11 Countries, over 1,000 Employees and 500 Customers across the Globe with combined user
Slide 3: Company Background – 2013 to Present
Company Background – 2013 to Present Change of Name from Four Soft Limited to Palred Technologies Ltd (PTL) – December 2013 Palred Online Technologies Pvt Ltd (POT - Incubation Company) brought under subsidiary structure of PTL – October 2014 Palred Technology Services Pvt Ltd (PTS - ecommerce
Slide 4: Corporate Structure
Corporate Structure Palred Technologies Ltd (PTL) (Formerly Four Soft Ltd) Palred Online Palred Technology Technologies (POT) Services (PTS) Palred LatestOne.com ecommerce solutions High-end IT Services Big Data / Data Analytics 4
Slide 5: e-Commerce Models
e-Commerce Models B2C e-Commerce Market Online Financial Digital Online Travel Online Retail Classifieds Services Downloads Inventory Marketplace based LatestOne.com 5
Slide 6: Objectives
Objectives To become a market leader in online tech accessories / products business in India INR 1,000 Crore Revenue ecom / e-tail Company by 2021 Achieve unique position by combination of following factors: Vertical defined by high margin, high volume, moderate value and small in size Produ
Slide 7: Strategy
Strategy Superior ecommerce IT solution suitable to Indian markets – responsive design, suited for mobile internet users with low bandwidth (already developed). Ranked above 90% by Google End-to-end integration and implementation of Systems, Processes and Automation for efficient and scalable fu
Slide 8: Vertical / Market (India)
Vertical / Market (India) Mobile & Tech Accessories Market size of INR 18,000 crores per year Market size of 40 Crore pieces per year (10 lakhs per day) 10,000+ SKU’s Low value items – average order value of less than INR 1,000 High volumes (25,000 pieces per day achievable by 2021) High
Slide 9: Product Categories
Product Categories Mobile & Tablet Accessories Computers & other accessories Mobile Covers & Cases Computer Accessories Tablet Covers & Cases Printer Consumables Power Banks Keyboards / Mouse Chargers & Cables Laptop Batteries Wired Ear / Head Phones Gadgets Camera Accessor
Slide 10: Business Model
Business Model Sourcing Fulfillment Centers 20,000 orders per day F a c China Procurement office HYD LatestOne PO Digital Online Sales B2C _______ Sales Platform t o r y DEL _______ Bulk Prepaid & COD Shipments BOM _______ Store Sales Small Hybrid Wholesalers Marketplace Format & BLR Franchisee Onli
Slide 11: Execution - Milestones
Execution - Milestones Jan 2014 - Sep 2014 Oct 2014 - Mar 2015 April 2015 - Mar 2016 • Build Technology • Go Live • Technology upgrade • Establish systems and processes • 100 orders per day in Oct • Page loading time reduced by • Procurement from China 2014 50% • Setup of first fulfillment center •
Slide 12: Key Metrics
Key Metrics FY 14-15 FY 15-16 Description Q3 Q4 Q1 Q2 Q3 Q4 Gross ROI 3.97 3.63 2.19 2.10 3.30 3.49 Net ROI 3.31 2.72 1.62 1.38 2.21 2.27 COGS 29% 27% 33% 39% 36% 40% Undelivered Returns (Value) 13% 21% 22% 28% 29% 29% Average Order Value 485 495 457 519 521 730 Customer Acquisition Cost 128 151 226
Slide 13: PTron Brand Sales
PTron Brand Sales Quarter Units Sold (Nos) Net Revenue (Cr) Q1 15-16 94,369 4.46 Q2 15-16 83,480 4.80 Q3 15-16 72,771 4.54 Q4 15-16 107,279 10.08 Q1 16-17 63,320 7.69 Total 421,219 31.57 Top Selling PTron Products Net Revenue (Cr) Average Order Value Power Banks 10.00 1,000 Bluetooth Headsets 5.00 7
Slide 14: Repeat Orders from Customers
Repeat Orders from Customers Month Repeat Orders from customers Total orders % Q1 15-16 18,618 206,865 9% Q2 15-16 28,595 240,556 12% Q3 15-16 38,123 283,460 13% Q4 15-16 38,741 289,111 13% Registered Customers – 1.7 M Customers Placed at least one order – 1.4 M Customers taken delivery – 1.0
Slide 15: Financials – Audited
Financials – Audited Description FY 14-15 FY 15-16 Gross Revenue 9.43 57.69 Undelivered Returns -1.82 -17.24 VAT -0.37 -2.37 Net Revenue (A) 7.24 38.08 Growth (YoY) 426% COGS 2.01 14.34 Customer Acquisition Cost 2.68 22.27 Logistics Cost 1.95 9.9 Service tax expense 0.28 2.72 Total Direct Costs (B)
Slide 16: Financials – QoQ up to Q1 FY 16-17
Financials – QoQ up to Q1 FY 16-17 14-15 15-16 16-17 Description Q3 Q4 Q1 Q2 Q3 Q4 Q1 Oct–Dec 14 Jan-Mar 15 Apr-Jun 15 Jul-Sep 15 Oct-Dec 15 Jan-Mar 16 Apr-Jun 16 Net Revenue (A) 2.56 4.68 6.71 8.37 9.08 13.92 11.35 Growth (QoQ) 83% 44% 25% 8% 53% -18% COGS 0.75 1.26 2.29 3.31 3.08 5.66 4.37 Custome
Slide 17: Key Initiatives 2016-17
Key Initiatives 2016-17 Increase Average order value to INR 800 (10% increase from Q4 2015-16) Increase Organic / Direct / SEO sales from 10% to 15% by March 2017 Increase clicks to sessions by 10% (from 60% to 66%) Reduce undelivered returns (RTO) from 35% to 25% Increase prepaid orders f
Slide 18: Value Components
Value Components LatestOne.com - ecom Portal for tech & mobile accessories, only player in the vertical Branded Products Semi-branded Products Select un-branded products PTron – Largest semi branded name in tech accessories organized retail category Small Format Retail Chain with DTP G
Slide 19: Outlook 2016-17
Outlook 2016-17 Setup Mumbai fulfilment centre as hybrid market place / e-tail Setup Franchisee owned small format (150 sft) retail kiosks Net Revenue growth 50% Bottom line improvement 70% Funding options being explored. Above outlook is subject to change if the funding exercise is comple
Slide 20: Thank You
LatestOnef Thank You ee
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