Tci Express Ltd. · NSE:TCIEXP
Tci Express — Q1 FY2023 Earnings Presentation
32 slides from Tci Express's earnings presentation, August 2022
Slide 1: Q1 FY2023 Earnings Presentation
STABLE. SCALABLE. SUSTAINABLE. Q1 FY2023 Earnings Presentation
Slide 2: Q1 FY2023 Highlights
Q1 FY2023 Highlights TCI Express Entered into New Fiscal Year on a Strong Note Revenue of Rs. 292 Cr, up by 30.2%, EBITDA up by 32.6% and Net Profit up by 30.5% on year-on-year basis Rs. 292 Cr Rs. 45 Cr Key Highlights ▪ Revenue growth is driven by demand from both Corporate 30% y-o-y Margin 15.3% a
Slide 3: Management Perspective
Management Perspective Commenting on the results, Mr. Chander Agarwal, Managing Director, said: “TCI Express recorded another quarter of strong performance with Revenue of Rs. 292 crores, a growth of 30% on year on year basis. This growth was led by continued uptick in the economic activity and pick
Slide 4: Fastest Express Delivery Company in India
Fastest Express Delivery Company in India TCI Express has successfully completed 5 years post Year of Listing 2016 the demerger and have become industry leading and fastest delivery company in India Locations Serviced 50,000 Specialized in offering time definite solutions with focus on Tier II and I
Slide 5: Why TCI Express?
Why TCI Express? Ranked 412 in Top 500 Companies based on Market Cap, as on March 31, 2022 Asset Light High Value Cargo Low Working Lowest Cost Business Model (Low volume, high Capital Structure margins) Requirement API based back- Containerized Superior No Franchise: Customer All owned end technolo
Slide 6: Geographical Footprint
Geographical Footprint Fastest Delivery Company in India Company Surface Branches Express 900+ Pharma Cold 500+ Chain Rail Express Express Express Services Domestic and E Commerce International Air Express C2C Express 6 www.tciexpress.in
Slide 7: Financial Performance
Financial Performance Q1 Y-o-Y Q4 Q-o-Q Y-o-Y In Crores FY2023 FY2022 Growth (%) FY2022 Growth (%) FY2022 FY2021 Growth (%) Income from Operations 290.4 222.9 30.3% 298.2 (2.6)% 1,081.5 844.0 28.1% Other Income 1.9 1.6 2.1 8.2 7.6 Total Income 292.4 224.6 30.2% 300.3 (2.6)% 1,089.6 851.6 27.9% EBITD
Slide 8: Q1 FY2023 Performance Discussion
Q1 FY2023 Performance Discussion • Total Income for the quarter stood at Rs. 292 Crores, registering an increase of 30.2% y-o-y. This growth was driven by strong recovery in economic activities and growing demand from both Corporate and MSME customers • EBITDA grew by 32.6% to Rs. 44.7 Crores o Infl
Slide 9: Quarter Performance Trends
Quarter Performance Trends Consistent improvement in financial performance and maintaining strong margin profile Total Income EBITDA and Margins 289.0 300.3 292.4 52.3 275.8 47.6 49.3 44.7 224.6 33.7 17.3% 17.0% 17.4% 15.0% 15.3% Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 Q1 FY23 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY2
Slide 10: Strategy and Outlook
Strategy and Outlook TCI Express Offering Capital Expenditure ❑ Added new value added services such as Pharma Cold Chain and C2C express ❑ Planned CapEx of Rs. 500 crores in 5 years (FY23-FY28) ❑ Launch and expand Rail service offerings ❑ Investment in sorting centres ❑ Continuous focus on volume gr
Slide 11: Strategic Priorities by 2025
Strategic Priorities by 2025 New value-added services is Maintain high expected to contribute 25% to return ratios and top-line: consistent • Rail Express dividend pay-out • C2C Express • Pharma Cold Chain Express • Air Express Create Wealth for Full focus on all Stakeholders technological advanceme
Slide 12: Largest B2B Sorting Center
Largest B2B Sorting Center Company has made significant progress in each of its strategic focus areas, has successfully commissioned India's first and largest automated B2B sorting center in Gurgaon in March 2022 reducing parcel handling time and vehicle halting time Gurgaon Sorting Centre Location:
Slide 13: Expanding Service Offering: Rail Express
Expanding Service Offering: Rail Express Rail Express service is a unique service offering aimed at providing high value service at a lower cost Expanded customer base from 250 to 1000 and presence from 10 routes to 60 routes in one year ✓ TCI Express to buy space on the trains to ensure higher Asse
Slide 14: Expanding Service Offering: Pharma Cold Chain Express
Expanding Service Offering: Pharma Cold Chain Express TCI Express successfully launched Pharma Cold Chain Express Service, an asset light model and use existing hub and spoke network to meet the growing demand for Cold Chain logistics TCI Express Pharma Cold Chain Transportation Standard Operating P
Slide 15: Expanding Service Offering: C2C Express
Expanding Service Offering: C2C Express TCI Express launched India’s first customer to customer C2C Express service, implementing asset light model Transportation Mode – Fast Trucking Transportation Mode – Milk Run Minimizes connections and travel time Pick up from multiple locations and delivery at
Slide 16: Last 5 Year Key Takeaways
Last 5 Year Key Takeaways ✓ Fastest B2B Express Delivery Company in India Inherent ✓ Asset light model allows Company to maintain higher utilization and drive strong cash flows Business Strength ✓ No franchise model. All branches are company owned which ensures adoption of best standard operating pr
Slide 17: FY2022 Highlights
FY2022 Highlights Highest ever annual Revenue of Rs. 1,090 Total Income Cr, and Generated Profits of Rs. 129 Cr, 27.9% 35.5% both registering a growth of 28% on Y-o-Y Rs. 1,090 crore Y-o-Y FY2022 ROCE FY2021: Rs. 852 crore Continues to maintain strong EBITDA margins despite sharp jump in fuel prices
Slide 18: Total Income from Operations, EBITDA and Margins, PBT, PAT
Strong track record of consistently delivering, enhanced margins and profitability Total Income from Operations EBITDA and Margins CAGR +7.7% CAGR +23.7% 182.9 1,027 1,036 1,090 142.0 887 852 122.2 125.7 752 92.7 63.3 16.7% 16.8% 11.9% 12.1% 10.5% 8.4% FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY201
Slide 19: Key Ratios
Key Ratios Maintaining the track record of consistently generating high returns with focus on creating wealth for all stakeholders Dividend per Share (Rs) & Payout (%) Return on Capital Employed (%) 8.0 44.3% 39.9% 38.3% 34.3% 35.5% 4.0 4.0 23.9% 3.0 2.5 15.8% 17.2% 15.3% 16.4% FY2018 FY2019 FY2020
Slide 20: Cash Flow from Operations vs Free Cash Flows
Cash Flow from Operations vs Free Cash Flows Consistent cash flow generation over the years with focused approach on generating free cash flows 118.9 110.8 77.5 81.1 73.9 63.5 53.2 49.2 30.8 11.2 FY2018 FY2019 FY2020 FY2021 FY2022 Cash Flow from Operations Free Cash Flows • Cash flow from operations
Slide 21: TCI Express – Leading Margins and Profitability in the Industry
TCI Express – Leading Margins and Profitability in the Industry EBITDA Margins % EBIT Margins % 16.9% 16.6% 15.9% 13.2% 12.7% 10.5% 7.8% 5.4% 6.4% 3.3% 2.1% 1.0% TCI Express Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 TCI Express Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 Key Highlights: PAT Margins % 11.8% ▪ TCI Ex
Slide 22: Express Industry – An Outlook
Express Industry – An Outlook Logistics as % of GDP 60% 14% India GDP $2.9 TN Road $2,726 Bn Total Logistics Spend $360 Bn 31% Rail Road Transportation $210 Bn Indian 15% Logistics Market $13,608 Bn Un-Organised Segment 95% Split 9% Water 8% TCI Express Carries $14 Bn $20,494 Bn 0.1% TCI Express Mar
Slide 23: Indian Logistics Industry
Indian Logistics Industry Greater Push on Manufacturing and Infrastructure Sector Logistics Policy Support from the Government Make In India initiative provides focused expenditures to encourage local product manufacturing and infrastructure development National Logistics Policy Logistics Efficiency
Slide 24: Management Team
Management Team Mr. D P Agarwal, Chairman & Director Mr. D P Agarwal is the Chairman and Director of TCI. Mr. Agarwal has been associated with the transport industry for more than 52 years. He has been contributing in developing the unorganized logistics sector into an organized one. Mr. Agarwal is
Slide 25: Management Team
Management Team Mr. Mukti Lal, Chief Financial Officer Mr. Mukti Lal is the Chief Financial Officer at TCIEXPRESS. He is a qualified Chartered Accountant and has been associated with Transport Corporation of India Limited (the Demerged Company) in various capacities for last 18 years. He was working
Slide 26: Sustainability a Core Pillar of Strategy
Sustainability a Core Pillar of Strategy Environment • Committed for carbon neutral strategies by foreseeing on-site renewable energy generation to reduce our GHG footprint • Digitalization to reduce paper waste and effective waste management • Using solar renewable source of energy to make a qualit
Slide 27: ESG Profile – Consolidating all ESG Disclosures
ESG Profile – Consolidating all ESG Disclosures 1 5 4 3 2 6 Consolidates all ESG disclosures on a single ESG disclosures mapped with International ESG 1 platform, enabling stakeholders to conveniently 4 Reporting Frameworks conduct their due diligence 2 Highlights – Captures qualitative ESG content
Slide 28: Awards & Recognition
Awards & Recognition Corporate Governance Corporate Governance Award Awards Ranked 461 in Top 500 Credit Instruments rated by Companies based on Market two leading Credit Rating Cap, as on March 31, 2021 Agencies Latest Award Image required Industry Recognition Building a high trust The Economic Bus
Slide 29: Awards & Recognition
Awards & Recognition Awards “Most Preferred Brands 2021” award within the category of “Express Logistics Company” SCALE award for the best “Express Courier” company by CII Institute of Logistics in Dec-2021 29 www.tciexpress.in
Slide 30: Capital Market Information
Capital Market Information Share Price Information, as on 29th July 2022 3,000 CAGR Return: TCI Express +37% S&P BSE Sensex +16% Key Facts 29th July 2022 2,500 BSE / NSE Ticker 540212/ TCIEXP Rebasd to TCI Express Share Price 2,000 CMP (Rs.) 1,769 1,500 Shares O/S (Cr) 3.85 1,000 Market Cap (Rs. Cr)
Slide 31: Contact Information
Contact Information This presentation contains statements that are “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to TCI Express’ future business developments and economic performance.
Slide 32: TCI Express Limited
TCI EXPRESS LIMITED TCI house, 69 Institutional area, Sector - 32, Gurgaon 122001, Haryana, India P: +91 124 2384090-94 • E: info@tciexpress.in W: www.tciexpress.in • Toll free: 1800 2000 977 32 www.tciexpress.in