NIIT Limited · NSE:NIITLTD
NIIT — Investor Presentation (January 2008)
22 slides from NIIT's investor presentation, January 2008
Slide 1: From Training to Talent Development
From Training to Talent Development January 2008 Contents • Company Performance: Overview • Individual Learning Solutions • Institutional Learning Solutions • Corporate Learning Solutions • New Businesses • Summarizing 1
Slide 2: Talent Development: The Environment
Talent Development: The Environment Huge gap in talent supply and demand, in all sectors of the Economy “Growth will get choked out if skills development does not take place”, Montek S. Ahluwalia – Chairman Planning Commission Current capacity for vocational training – 1.1 Mn; Requirement 10 fold; O
Slide 3: Environment: Skill Shortage
Environment: Skill Shortage Difficulty in hiring High wage inflation • 58% of Indian companies • Indian salaries rose fastest in cannot hire staff with the the world in 2007(2) right skills(1) •12% nominal wage increase per year (3) Skills: Growth barrier for Indian High attrition companies • 50% in
Slide 4: Environment: Global Scenario
Environment: Global Scenario Softening in the US economy is forcing increased focus on productivity Skills for services sector and employability remain key concerns in China Focus Areas India USA China Workforce Productivity √√ √√ √ Employability √√ √√ Dropouts √√ √ Enrolments √√ Talent Development
Slide 5: Company Performance: Overview
Global Talent Development… The New Charter Globalization Demographics Services Led Economy Ageing Population Multi-Sector Work Mobility Growth Potential Personality Customers Skills Employees Multiple Knowledge Partners - Channel Delivery Formats Distributed Global Skills Delivery Process Pedagogy T
Slide 6: NIIT: Market leader with strong credentials
NIIT: Market leader with strong credentials Continues to be the leader in the IT Training Segment Dataquest “Top Training Company” in India award since its inception Avaya Global Connect award for Customer Responsiveness for three successive years Formidable Brand-McDonald’s of Education (Far Easter
Slide 7: NIIT's growth in the last 3 years; 9M'08 Consolidated Financials
NIIT’s growth in the last 3 years 9,000 Revenue 900 EBITDA 8,000 + 76 % + 28 % 800 7,000 EK EK 700 6,000 5,000 600 4,000 +18 % 500 +23 % + 13% 3,000 400 2,000 1,000 300 0 200 FY05 FY06 FY07 FY05 FY06 FY07 700 PAT 3000 Individual Learning Business 600 2500 500 2000 + 48 400 % + 13 % + 43 1500 300 % +
Slide 8: 9M'08 Business Highlights
9M'08 Business Highlights Individual Learning Solutions (ILS): Witnessed continued high growth; Revenue up 30% YoY; EBITDA up 56%; Margin +325 bps School Learning Solutions (SLS): After a period of consolidation, SLS business poised to grow; Revenues up 2% YoY; EBITDA margin + 213 bps. Fresh order i
Slide 9: Individual Learning Solutions
Individual Learning Solutions • Individuals, 16-25 years, primarily part-time • Career, Career-edge and skill upgrade courses • For Engineers, Science / Arts graduates, Diploma Working professionals • Instructor-led, supplemented by e-learning • India. China. Rest of the World Reach. Delivery. Enrol
Slide 10: ILS: 9M'08 Highlights
ILS: 9M’08 Highlights Continued Growth: Revenue up 30%, Registrations up 24% China records registration growth of 60% Enhanced Product Profile: Expanding DQ Product base, Hardware and Networking (GlobalNet+), Multimedia and Gaming Tech partnerships with Microsoft, Sun, Intel, Adobe, CompTIA for new
Slide 11: ILS: Future Strategy
ILS: Future Strategy India Expansion in product portfolio through alliances, capacity expansion Specialized training to create domain experts for IT companies Enhanced use of Web and Mobility to reduce costs China and ROW Launch of new ‘Finishing School’ product in China for university graduates Sig
Slide 12: School Learning Solutions
School Learning Solutions Size 1 million schools Beneficiaries >200 million Students Decision Making 29 Boards Scope 17 Languages • Transforming education in schools, ICT integration • K-12: Government Schools to International Schools • Offerings for students, teachers and schools • BOOT-Government,
Slide 13: Our involvement so far; The eGuru Solution
Our involvement so far Tamil Nadu Private Schools Karnataka West Bengal 371 Schools Tamilnadu 1406 700 Schools 500 Schools (cum) 371 Schools 5,700,473 Students 6,677 Schools 250,438 Teachers Microsoft AP 663 Schools Assam Meghalaya Project Shiksha MP – 4 Schools 1270 Schools 178 Schools 8,174 Instru
Slide 14: SLS: 9M'08 Highlights
SLS: 9M’08 Highlights After a period of consolidation, SLS business poised to grow Fresh order intake of Rs. 475 mn as compared to Rs. 123 mn in 9 months ended December 2007 Launch of substantially upgraded teaching product, at enhanced realizations Govt. school wins in Assam, Himachal Pradesh & Tri
Slide 15: SLS: Future Strategy
SLS: Future Strategy Grow GSA business; balance profitability, receivables risk and capital intensity. Aim for leadership share in tenders of choice Strong growth in Private Schools business, boosted by enhanced product and sales effort. Offer excellence in Mathematics, Science, IT and English throu
Slide 16: Corporate Learning Solutions
Corporate Learning Solutions • Largest Custom Content Developer • 2nd Largest Content Library • Best in Class hosted platform • Global Training Delivery • Technology companies, Corporates, Government • USA, Europe, India, APAC Corporate Learning Market: Breakup Consulting $ 0.7 Bn Facilities Fulfill
Slide 17: CLS: 9M'08 Highlights
CLS: 9M’08 Highlights Integration of EK on track; Robust growth in EK Major wins in EK content library Fresh Order intake $106 Mn India Order intake for Q3’08 grew 136% YoY contributed by: High tech training for IT companies English language and workforce productivity training New alliance with ETS
Slide 18: CLS: Future Strategy
CLS: Future Strategy Increase focus on India − High-tech training delivery − Induction Training − English Communication and Professional Life Skills Training USA & Europe − Content Library Business − Moving from Development to Deployment (End to End Solutions) − Global Technology Delivery practice S
Slide 19: IFBI & Imperia: 9M'08 Highlights
IFBI & Imperia: 9M’08 Highlights IFBI: Repeating the NIIT Success story in Financial Services – Gains universal acceptance from the banking community (New Partners HDFC Bank, Yes Bank) – Insurance Program Launched in partnership with ICICI Prudential – Financial Services Program (ICICI Securities) g
Slide 20: New Businesses: Future Strategy
New Businesses: Future Strategy Geographic Expansion and enhanced market penetration for IFBI and Imperia Extending domain partnerships Entry into Newer skill areas Significant Growth Drivers for NIIT SUMMARIZING 20
Slide 21: NIIT: Today and Tomorrow
Summarizing: NIIT’s growth strategies Individual Corporate • Expansion of Product Portfolio; • Growth in the Content Library business Capacity – India & China • Launch of new Specialized • From Development to Deployment Products Increased focus on India; • English • Expansion in focus Geographies Co
Slide 22: Leadership in the Century of the mind
Leadership in the Century of the mind 22