50 slides from Computer Age Management Services's earnings presentation, Nov 4, 2022
Slide 1: Filing cover letter to BSE and NSE
04th November 2022 BSE Limited, National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, 5th floor, Plot No. C/1, Dalal Street G Block, Bandra Kurla Complex, Bandra Mumbai 400 001 (East), Mumbai 400 051 Scrip Code: 543232 Trading Symbol : CAMS Dear Sir / Madam, Sub: Presen
Slide 2: Investor Presentation November 2022
COMPUTER AGE MANAGEMENT SERVICES LIMITED Investor Presentation November 2022
Slide 3: Safe Harbour Statement
Safe Harbour Statement This Presentation, except for the historical information, may contain statements, including the words or phrases such as ‘expects, anticipates, intends, will, would, undertakes, aims, estimates, contemplates, seeks to, objective, goal, projects, should’ and similar expressions
Slide 4: Anuj Kumar and Ram Charan Sesharaman
Anuj Kumar Managing Director Ram Charan Sesharaman Chief Financial Officer FY23 Q2 Earnings Presentation
Slide 5: Presentation flow
Presentation flow Business Overview Financials About CAMS Appendix Key Highlights for Q2 FY23 Revenue & Financial Highlights – Q2 FY23 Business at a Glance Corporate Structure Page No: 06 Page No: 19-21 Page No: 26 Page No: 44 AAuM Q2 FY23 - MF industry & CAMS Standalone P&L – Q2 FY23 Mutual Fund Se
Slide 6: Business Overview
BUSINESS OVERVIEW
Slide 7: Key Highlights for the Q2 FY'23
Key Highlights for the Q2 FY’23 CAMS AuM at Rs.27.1 lakh Cr is at an all time Alternative Services vertical continued its CAMS launched the industry first CRA high with an increase of 3.1% over Q1 FY23 - high growth trajectory recording ~32% Y-o-Y platform on cloud in March 2022. eNPS, POP, re
Slide 8: Growth in AuM, SIP registrations and transaction volumes
CAMS growth in overall AuM, SIP registrations and transaction volumes trend upwards AuM growth New SIP Registrations Transaction volume 27.1 26.2 Tn. Tn. 38 37 111.3 113.3 lakh Mn Mn Life- time high lakh Apr-Jun’22 Jul-Sep-’22 Apr-Jun’22 Jul-Sep’22 Apr-Jun’22 Jul-Sep22 AuM at Rs.27.1 lakh Cr all t
Slide 9: CAMS serves 10 of Top 15 AMCs
CAMS serves 10 of Top 15 AMCs with nearly 3x AuM of the 5 MFs serviced by other RTA CAMS - AAuM in Rs. Cr Other RTA - AAuM in Rs. Cr SBI MF 7,04,237 ICICI MF 4,83,106 HDFC MF 4,36,339 2,90,509 Nippon MF Aditya Birla Sunlife MF 2,87,464 Kotak Mahindra MF 2,86,753 Axis MF 2,52,772 UTI Mutual Fund 2,40
Slide 10: CAMS serviced clients grow faster than industry
CAMS serviced clients continue to consistently grow faster than industry, solidifying our leadership position over the years 75% In the last 10 MF launches, CAMS won ~69% mandates from reputed financial brands and supported their rapid growth 65% 63% 56% 55% Other RTA 5 wins 5 wins 44% 45% 37% AuM R
Slide 11: Mutual Fund Industry & CAMS AAuM – Q2 FY23
Mutual Fund Industry & CAMS AAuM – Q2 FY23 CAMS – Market Share (based on Quarterly AAuM) AAuM Serviced by CAMS Industry AAuM ~69% ₹ 27.1 trillion ₹ 39.6 trillion 5.9% YoY 8.3% YoY Net flows into equity assets remain positive in Q2 FY23 3.1% QoQ 3.5% QoQ Equity AAuM – CAMS Equity AAuM – Industry Infl
Slide 12: Operational Metrics – Q2 FY23
Operational Metrics – Q2 FY23 SIP Book Systematic Transactions Transaction Volume 32.7 mn Processed 113.3 mn (as on 30th Sep 22) 93.6 mn QoQ: 2% QoQ: 5% QoQ: 4% YoY: 11% YoY: 22% YoY: 26% Live Investor Folios Unique Investors Serviced 53.9 mn 24.2 mn (as on 30th Sep 22) (as on 30th Sep 22) QoQ: 1% Q
Slide 13: MFCentral solidifies our role in the MF ecosystem
MFCentral solidifies our role in the MF ecosystem and is emerging as a new platform based revenue stream User Registration Mobile App Request Daily Login Financial Transactions Trend 1,000 to 1,200 125K+ downloads 1,400 to 1,600 9K to 10K 150K+ per day per day per day Since May 22 Rating I must admi
Slide 14: CAMS Service Suite & eKYC
CAMS Service Suite & eKYC – Creating a revenue stream through inhouse product capabilities Continued focus on making significant enhancements to our digital offerings Creating a 360 degree digital stack for the capital market ecosystem eKYC solutions eSign services Digital onboarding AML checks Vali
Slide 15: Alternatives business grows 32% Y-o-Y
The Alternatives business grows 32% Y-o-Y on the back of accelerated signings and rapid adoption of CAMS WealthServ The AIF business Over 50 Funds have Fintuple Technologies continues to clock signed up for AIF/PMS has made an impressive robust growth with digital onboarding with start with ma
Slide 16: AA+TSP business gaining momentum
AA+TSP business is gaining momentum with expanded outreach and superior product positioning Business Wins Stakeholder Engagement Regulatory Support Razor-sharp focus on sales yielding Targeted Customer Engagement Events SEBI released guidelines for capital excellent results with almost 1 – “Re
Slide 17: CAMS CRA – eNPS launched in March 2022
CAMS CRA – eNPS launched in March 2022, POP and Corporate Segments went live in Q2 FY23 CAMS launched the industry first CRA platform on cloud in March 2022 Within a short span of time, achieved 9.5% share and #2 position in new eNPS sales in Q2 FY’23 Total eNPS industry registrations CAMS NPS websi
Slide 18: CAMS Insurance Repository
CAMS Insurance Repository Business Highlights Industry Overview eInsurance Account & e-Policy doubled in Insurance industry witnessed unprecedented regulatory volume over Q1FY23, on the back of new activity in this quarter which is likely to define the medium- requirements on KYC, eIA and e-Poli
Slide 19: Financials
FINANCIALS
Slide 20: Revenue Highlights – Q2 FY23
Revenue Highlights – Q2 FY23 6.3 % YoY Revenue ₹24,201.7 Lakh 2.4% QoQ Asset 6.6% YoY Non-Asset 3.6% YoY Non-MF 8.2% YoY Based Based Revenue 2.3% QoQ Revenue 1.2% QoQ 4.3% QoQ Revenue Asset Mix Equity component: Q2 FY23 @ 45.0% (Q2 FY22 : @39.3% / Q1 FY23 : @ 43.2%) Numbers are after eliminating non
Slide 21: Financial Highlights – Q2 FY23
Financial Highlights – Q2 FY23 Operating EBITDA – 43.8% PBT – 38.9% PAT – 28.9% Return on 9,699 Net-Worth* 9,647 7,256 7,214 ~40% 10,610 10,575 9,804 8,708 6,478 ** Cash & Cash Equivalent Q1 FY23 Q2 FY22 Q2 FY23 Q1 FY23 Q2 FY22 Q2 FY23 Q1 FY23 Q2 FY22 Q2 FY23 as on 30th Sep 2022 was ₹ 446 Cr 0.3% Yo
Slide 22: Consolidated Financial Highlights – Quarterly
Consolidated Financial Highlights – Quarterly In INR Lakhs In INR Lakhs Total Operating Revenue OP.EBITDA & OP. EBITDA in % +6.3% 25,500 0.2 12,000 0.3% 90.0% 23,500 80.0% 0.1 10,000 21,500 70.0% 19,500 0 8,000 46.2% 46.5% 47.7% 46.1% 60.0% 17,500 41.5% 43.8% 50.0% 15,500 -0.1 6,000 40.0% 13,500 -0.
Slide 23: Q2 FY23 Standalone P&L
Q2 FY23 Standalone P&L Particulars (In Rs Lakhs) Q2 FY23 Q2 FY22 YoY% Q1 FY23 QoQ% H1FY23 H1FY22 H1 vs H1% FY22 Revenue from operations 23,198.19 21,572.86 7.5% 22,641.05 2.5% 45,839.24 40,701.71 12.6% 86,377.00 Other income 609.32 303.85 100.5% 332.20 83.4% 941.52 3,353.94 -71.9% 3,976.29 Total rev
Slide 24: Q2 FY23 Consolidated P&L
Q2 FY23 Consolidated P&L Particulars (In Rs Lakhs) Q2 FY23 Q2 FY22 YoY% Q1 FY23 QoQ% H1FY23 H1FY22 H1 vs H1% FY22 Revenue from operations 24,237.01 22,759.56 6.5% 23,664.61 2.4% 47,901.62 42,877.19 11.7% 90,966.75 Other income 741.55 438.77 69.0% 443.66 67.1% 1,185.21 891.06 33.0% 1,727.44 Total rev
Slide 25: Revenue Profile
Revenue Profile Revenue Breakup Revenue* (In ₹ lakh) 9.6% 9.7% 9.8% 100% 6.3% 14.0% 14.1% 13.8% 24,202 76.4% 76.2% 76.4% 30-Jun-22 30-Sep-21 30-Sep-22 23,642 Quarter ended Non-Mutual Fund MF-Non assets Based MF – Assets Based 22,760 Breakup of Non-Mutual Fund Quarter ended 1 2 3 30-Sep-22 30-Jun-22
Slide 26: About CAMS
ABOUT CAMS
Slide 27: CAMS – Business at a glance
CAMS – Business at a glance Technology-driven India’s largest registrar and Services all 5 MFs and 10 Leveraged domain financial infrastructure transfer agent (“RTA”) of of the 15 largest MFs2; expertise, processes and and services provider to mutual funds (“MFs”) with an ~19 years average infrastru
Slide 28: CAMS – Mutual Fund Services Business
CAMS – Mutual Fund Services Business Provides a range of technology-enabled infrastructure to mutual funds – Involved through the life cycle of an account from account creation to processing transactions and redemption of the amount invested Uniform Regulatory change Service Best Practice Implementa
Slide 29: Proprietary technology platforms and mobile applications
CAMS – Proprietary technology platforms and mobile applications for MF, AIF and PMS CAMS has developed and implemented various technology platforms and its technology driven infrastructure and services are integral to the operations of its clients mfCRM edge360 Mobility solution for MF RMs/SMs App a
Slide 30: Mutual Fund Services provided by CAMS
Mutual Fund Services provided by CAMS CAMS is involved through the life cycle of an account – from account creation to processing to redemption; Also provides statutory statements, transaction origination, operations, investor and distributor services, risk management services and compliance service
Slide 31: Key Highlights
Key Highlights Large and Growing Scalable Mutual Funds Market 1 4 Technology Enabled Ecosystem Integrated Business Model & Longstanding Our Mission… Your Growth Strong Focus on Client Relationships in MF Services Business 2 5 Process and Risk Management Largest Infrastructure and Services Experience
Slide 32: CAMS – Overview of other services
CAMS – Overview of other services Over the years, CAMS has leveraged its domain expertise, processes and infrastructure to diversify its service offering to cater to a variety of other financial services sectors Market leader servicing over ~150 AIF / PMS / Wealth Serve Clients Offers services s
Slide 33: CAMS – Overview of other services (cont'd.)
CAMS – Overview of other services (cont’d.) Over the years, CAMS has leveraged its domain expertise, processes and infrastructure to diversify its service offering to cater to a variety of other financial services sectors Verification and maintenance of KYC records of investors for use by financia
Slide 34: Compliance and risk management architecture
CAMS – Compliance and risk management architecture Relentless focus on systems and processes has allowed CAMS to become a trusted provider of services to its clients and other stakeholders Cyber Compliance Security Risk Regulatory Management Oversight Assists MF clients with compliance ISO 27001:201
Slide 35: Experienced Board of Directors
Experienced Board of Directors Board of Directors ‒ Natarajan Srinivasan Audit ‒ Dinesh Kumar Mehrotra Committee ‒ Vijayalakshmi Rajaram Iyer Dinesh Kumar Mehrotra ‒ Sandeep Kagzi Chairman & Independent Natarajan Srinivasan Director Independent Director Nomination & ‒ Vijayalakshmi Rajaram Iyer Remu
Slide 36: Experienced Senior Management Team
Experienced Senior Management Team Experienced management team, with an average work experience of 27 years and a demonstrated ability to grow and diversify the business and innovate services Anuj Kumar: Managing Director Ramcharan Sesharaman: Chief Financial Officer Joined the company in March 20
Slide 37: ESG
ESG
Slide 38: Update on ESG Initiatives
Update on ESG Initiatives Published ESG initiatives in Annual report on As part of the Environmental related initiatives the company has engaged voluntary basis in CAMS annual report the NGO Environmentalist Foundation of India for renovating lakes and for FY2021-22. Coverage will be further enh
Slide 39: Environment
Environment We help combat climate change and environmental challenges by ensuring resource efficiency and reducing our environmental footprints. We operate through 281 offices, including one Corporate Office and six back offices. To achieve our environmental goals, we have stringent internal target
Slide 40: Social
Social As global citizens, we believe that we can thrive only when the communities in which we operate also thrive. We remain committed to impacting communities through initiatives that improve access to jobs, education, and training, protect the environment, promote people’s health and well-being,
Slide 41: Social
Social Commitment to Employees Grievance Redressal Mechanism for employees The employees undergo mandatory induction training where the stakeholders are made aware of CoC, Human Rights, Company policies, insider trading The Company also conducts refresher training through “WeLearn programme” t
Slide 42: Governance
Governance We recognize ethics and governance to be of paramount importance. We are committed to maintaining the highest standards of governance in the conduct of our business and continuously strive to create lasting value for all our stakeholders. Since our inception, we have been building on our
Slide 43: Governance
Governance Compliance, Risk and Internal Audit Ethical Practices The Company has extensive Information Security CAMS Code of Conduct Management System in place for ensuring protection of The vigil mechanism & whistle blower policy encourages the systems and safeguard information to avoid mater
Slide 44: Appendix
APPENDIX
Slide 45: Corporate Structure
Corporate Structure Computer Age Management Services Limited Mutual Funds Services, Alternate Investment Funds Services, Payment Services, Banking and Non-Banking Service Businesses 100% 100% 99.99% 100% CAMS Insurance Repository Services CAMS Investor Services Private CAMS Financial Information Ser
Slide 46: History/Milestones
History/Milestones The certificate of registration was issued to Our Company was our Company was CISPL was incorporated incorporated as Our Company was upgraded and a fresh Our Company was CIRSL was incorporated on February 13, 2012; Computer Age issued a certificate of certificate of re
Slide 47: Awards and Accolades
Awards and Accolades Our Company was awarded ‘Best App’ for ‘myCAMS’ app under finance category at the Global Mobile App Summit and Awards 2015 CIRSL was awarded ‘Best Newcomer Award’ at Asia Insurance Technology Awards CIRSL was awarded ‘Best Service Provider’ award in ‘Feet on Street Collect
Slide 48: Shareholders' Information
Shareholders’ Information Stock Data as on 30th September 2022 Shareholding Pattern (%) Market Capitalisation Shares Outstanding 12,366.72 Cr 4,89,31,441 Promoter 19.92% Free Float Scrip Symbol / Code Others 34.06% 9,893.37 Cr CAMS/543232 Top Institutional Holders Market Capitalisation Housing Dev
Slide 49: Glossary
Glossary Term Description Term Description AAUM Average Assets under Management Kotak Kotak Mahindra Capital Company Limited ACH Automated Clearing House Kotak Mahindra AMC Kotak Mahindra Asset Management Company Limited Aditya Birla Capital Aditya Birla Capital Limited KRA KYC Registration Agency A
Slide 50: Thank You
Mr. Anish Sawlani, Head - IR +91 72990 07973 Computer Age Management Services @ Anish.sawlani@camsonline.com THANK YOU Limited (CAMS) Mr. Rajesh Agrawal +91 99674 91495 Investor Relations @ Rajesh.Agrawal@linkintime.co.in Orient Capital