Slide 1: Investor Presentation May 6, 2019
Investor Presentation May 6, 2019
Slide 2: FY19 Annual Results
*% ‘A Market Leader in i. Security, Cash Logistics LP 4 C&L Facility Management Group Enterprises ————————__ FY19 Annual Results
Slide 3: Safe Harbour
This presentation and the accompanying slides (the This presentation contains certain forward looking “Presentation”), which have been prepared by Security and statements concerning the Company’s future Intelligence Services (India) Limited (the “Company”), have been business prospects and business
Slide 4: Results Highlights FY19
RESULTS HIGHLIGHTS FY19 21.6% 7093 Cr 31.7% 215 Cr YoY REVENUES YoY PAT FY18 | 5833 Cr FY18 | 163 Cr Q4 FY19 EBITDA PAT margin increase ROCE at 18.6% and 115 Cr from 2.8% to 3% RONW at 18.8% 16.9% 365 Cr 29.5% Rs 29.5 YoY EBITDA YoY EPS FY18 | 312 Cr FY18 | Rs 22.8
Slide 5: Compounding Story Playing Out With Predictable Growth
COMPOUNDING STORY PLAYING OUT WITH PREDICTABLE GROWTH Group Revenues (Rs. In crs) Group EBITDA (Rs. In crs) 1955 1837 1690 115 1592 1611 1538 1460 98 1243 84 87 74 74 78 67 Q1FY18 Q2FY18 Q3FY18 Q4FY18 Q1FY19 Q2FY19 Q3FY19 Q4FY19 Q1FY18 Q2FY18 Q3FY18 Q4FY18 Q1FY19 Q2FY19 Q3FY19 Q4FY19 Quarterly CAGR
Slide 6: Cusp of a Tremendous Opportunity
CUSP OF A TREMENDOUS OPPORTUNITY Across Security Services …Facility Management …and Cash Logistics 227 Bn 168 Bn 80 Bn 80 47 Education Heathcare Infra. B2G Retail 2013 2017 2025 Indian Per Capita Industry expected 5X growth in Indian real estate market by 95% of transactions in India are still in ca
Slide 7: Market Position But, Market Share
Market Position #1 Security India #2 Facility Management #2 Cash Logistics But, Market Share 4% ~3% 14%
Slide 8: Security India - A Landmark Year, Ending the Year at No.1
SECURITY INDIA - A LANDMARK YEAR, ENDING THE YEAR AT NO.1 Revenues EBITDA Ended the year at a monthly revenue run rate of INR 267 crores - Rs. In Crs 144,257 strong base for FY20 Trained security personnel Q4 run rate makes us the largest security company in India 2696 151.4 EBITDA flat on account o
Slide 9: Trends in India Security Services
Trends in India Security Services Industry is around 65000 cr SIS, despite being the Fragmented industry - Increasing compliance in size – growing at 18-20% Technology changes – Margin pressure continues largest, less than 5% in consolidation expected enforcement and resultant p.a nascent but certai
Slide 10: Security International - Expanding Horizons
SECURITY INTERNATIONAL - EXPANDING HORIZONS Revenues EBITDA Continued Strong growth (Organic Growth = 13.6%) Rs. In Crs Continued dominance in Australia 10,000+ Acquired Henderson & P4G – Added Revenue of 70 Mn AUD Trained Security (Annualized) 3458 152.1 Personnel Focus on integration in FY20 3019
Slide 11: Industry Trends
Industry Trends Market consolidation means Market share in all Upward pressure on Top 6 players in Australia are business units quite labour and related now Internationally owned steady on-costs MSS/SXP remain #1 Tenders continue to Australia market growth~ 5%. be procurement led, We continue to out
Slide 12: Facility Management – Inching Closer to No. 1
FACILITY MANAGEMENT – INCHING CLOSER TO NO. 1 Revenues EBITDA Rs 235 Cr organic increase in revenues – 35% 55,441 Rs. In Crs Trained staff Ended at the year at No.2 in FM in India New growth drivers - TFM, Railways, One SIS 948 64 73 Branches EBITDA Margin increased from 4.9% (FY18) to 6.7% (FY19) 6
Slide 13: Trends in Facility Management
TRENDS IN FACILITY MANAGEMENT Verticalization/ Market growth Stringent Larger contract Integrated Services / Specialisation at 18-20% compliance/ audit sizes “Smarter Combination”
Slide 14: Cash Logistics - Ecosystem Turning Positive
CASH LOGISTICS- ECOSYSTEM TURNING POSITIVE Revenues EBITDA RBI Regulations Rs. In Crs Minimum networth of Rs. 100 cr Revenue decline due to termination of unprofitable routes & contracts Minimum 300 cash vans fleet (Owned) 312 Changed the business mix - from 47% non-ATM 4.5 Full migration to cassett
Slide 15: FY19 Financial Information
FY19 Financial Information
Slide 16: Quarter 4 Summary
QUARTER 4 SUMMARY Rs in Cr Security +38.5% +31.7% Security +7.3% +30.5% India 779 49. International 4 902 572 37.4 46.5 38.4 841 Q4FY18 Q4FY19 Q4FY18 Q4FY19 Q4FY18 Q4FY19 Q4FY18 Q4FY19 Revenues EBITDA Revenues EBITDA Facility +51.9% +87.4% Cash -1% +338% Management Logistics 277 9.4 77.8 19.3 182 10
Slide 17: Financial Summary Income Statement
FINANCIAL SUMMARY INCOME STATEMENT Financial Statements (INR Crores) Q4 FY19 Q4 FY18 Y-o-Y FY19 FY18 Y-o-Y Revenue from operations 1,954.8 1,592.2 22.8% 7,093.3 5,833.4 21.6% EBITDA 114.8 85.2 34.8% 365.2 312.4 16.9% Finance costs higher on account of EBITDA % 5.9% 5.3% 5.1% 5.4% acquisition borrowi
Slide 18: Financial Summary Balance Sheet
FINANCIAL SUMMARY BALANCE SHEET 31 March Particulars (INR Cr) 2019 31 March 2018 Particulars (INR Cr) 31 March 2019 31 March 2018 Net debt: EBIDTA @ 1.11 Equity 1,250.2 1,029.7 Non-Current Assets 2,110.6 1,099.8 Working Capital increased due to acquisitions Non-Current Liabilities 1,544.6 759.8 Curr
Slide 19: Cash Flow - Robust Cash Generation
CASH FLOW - ROBUST CASH GENERATION Summary Cash Flow Statement Particulars (in INR Cr) 31-Mar-19 31-Mar-18 Cash Flow from Operating Activities Net Profit Before Taxation 209.5 187.4 Depreciation 66.0 56.0 Interest Expense 91.6 77.1 Interest Income -16.6 -11.7 Other Items 34.0 2.5 Working capital inc
Slide 20: Comfortable Leverage Levels
COMFORTABLE LEVERAGE LEVELS India International Gross Debt INR 545 Cr INR 430 Cr INR 975 Cr SIS Net Debt to EBITDA 1.3 1.1 0.9 0.6 Cash INR 189 Cr INR 369 Cr 0.2 INR 558 Cr FY15 FY16 FY17 FY18 FY19 Net Debt INR 356 Cr INR 61 Cr INR 417 Cr
Slide 21: Looking Ahead
LOOKING AHEAD M&A Technology Returns Growth Strong pipeline - Look Continue investment in Maintain ROCE and Strong revenue run rate at fewer but larger team and training - be RONW - renewed focus on acquisitions early leader in solution despite funding for costs and collections play acquisitions Int
Slide 22: Security Services Facility Management Cash Logistics
Security Services Cash Logistics Facility Management