Veranda Learning Solutions Ltd. · NSE:VERANDA
Veranda Learning Solutions — Q3 FY2023 Earnings Presentation
33 slides from Veranda Learning Solutions's earnings presentation, Feb 10, 2023
Slide 1: Exchange cover letter on financial results and investor presentation
Veranda Learning Solutions Limited (formerly Veranda Learning Solutions Private Limited) (formerly Andromeda Edutech Private Limited) 9th February, 2023 BSE Limited National Stock Exchange of India Limited Dept of Corporate The Listing Services, Phiroze Department, Jeejeebhoy Towers, Dalal Exchange
Slide 2: Veranda Learning Solutions announces Q3 & 9M FY23 Financial Results
Press Release Veranda Learning Solutions announces Q3 & 9M FY23 Financial Results Posts robust YoY Revenue growth Chennai, February 09th, 2023: Veranda Learning Solutions Limited (“Veranda” BSE: 543514, NSE: VERANDA), a publicly listed company announced its financial results for the quarter ended De
Slide 3: Operating profit, chairman's comments and business updates
The Operating Profit before growth investments, transaction costs, ESOPs/RSU stood at Rs. 3.3 million in Q3FY23 as against loss of Rs. 64.15 million in Q2FY23 The total number of student enrolments stood at 22,035 for the quarter Commenting on the results, Mr. Kalpathi. S. Suresh, Executive Dire
Slide 4: Acquisition of JK Shah Classes and Chennai Race business transfer
Acquisition of JK Shah Classes: Pursuant to Share purchase agreement dated October 31, 2022, Veranda XL Learning Solutions Private Limited, a wholly owned Subsidiary of the company has acquired 20,57,011 shares constituting 63.14% of total equity shares from existing shareholders of J.K Shah Educati
Slide 5: Veranda Learning Solutions
Veranda Learning Solutions Affordability | High-quality Content | Outcome-oriented Approach Investor Presentation | February 2023
Slide 6: Safe Harbor
Safe Harbor • This presentation and the following discussion may contain “forward looking statements” by Veranda Learning Solutions Limited (“Veranda Learning” or the Company) that are not historical in nature. These forward looking statements, which may include statements relating to future results
Slide 7: Agenda
Agenda 01 Result Highlights 02 Company Overview 03 Growth Strategy 04 Industry Overview 05 Financials
Slide 8: Q3 & 9M FY23 Performance
Q3 & 9M FY23 Performance
Slide 9: Key Financial & Business Highlights
Key Financial & Business Highlights Revenue from Operations Gross Profit Key Business Highlights Q3FY23 Q3FY23 Partnered with IIM Raipur & Society Consolidated YoY Growth % Consolidated YoY Growth % for Human Resource Management To Launch Execute PGP in HR ₹479 Mn 57% ₹229 Mn 10% (Online MBA) Collab
Slide 10: From the Chairman's Desk
From the Chairman’s Desk Commenting on the results, Mr. Kalpathi. S. Suresh, Executive Director and Chairman, Veranda Learning Solutions, said “I am pleased to report that Veranda maintained its growth trajectory during the current fiscal year's first nine months. During the nine months ended, the c
Slide 11: Consolidated P&L Highlights
Consolidated P&L Highlights Particulars (Rs. Mn) Q3FY23 Q3FY22 Y-o-Y Q2FY23 Q-o-Q 9MFY23 9MFY22 Y-o-Y FY22 Revenue from Operations 478.78 304.84 57.06% 368.85 29.80% 1,129.51 459.46 145.83% 750.48 Other Income 358.41* 0.68 18.85 381.70* 2.66 5.52 Total Revenue 837.19 305.52 174.02% 387.70 115.94% 1,
Slide 12: Veranda Company Overview
Veranda Company Overview
Slide 13: Veranda Learning – A Quick Glance
Veranda Learning – A Quick Glance Veranda Learning Solutions is engaged in the business of offering diversified and integrated learning solutions in online, offline hybrid and offline blended formats to students, aspirants, and graduates professionals and corporate employees Promoters have a collect
Slide 14: Our Journey so far
Our Journey so far Public Lisitng, Acquisition of J. K. Shah Classes & Launch of Edureka Business Transfer Agreement with Learning Centre (ELC) Chennai Race • Apr’22: Listing on BSE & NSE • Jan’23: Purchased centers of Key Acquisitions Chennai Race Coaching • May’22: Launched Edureka Institute Priva
Slide 15: Strong presence in test preparations & professional skilling segments
Strong presence in test preparations & professional skilling segments Career-defining competitive exams Hybrid • TNPSC Group 2 • SSC Courses • Railways • TNPSC Group 4 • TN TET • Kerala PSC • Banking • CA Foundation Professional courses TNPSC Exam Coaching: CA Exam Coaching: • Group 2 & 2A • CA Foun
Slide 16: Edureka – A leading player in emerging technology training
Edureka – A leading player in emerging technology training • A comprehensive learning platform aimed to bridge the workplace-ready IT skills gap Pioneering Instructor Led Live Edureka Learning Centres Online training • Veranda acquired Edureka to build a full-stack Education business virtually • Lau
Slide 17: Established a result oriented unique 360o Approach
Established a result oriented unique 360o Approach Weekly lectures by Textbooks for all courses subject matter experts for in-depth structural & with Q&A methodical learning Mentors assigned to Chapter and paper level every student to track mock tests for practice and ensure progress Right blend of
Slide 18: Veranda Learning – Coaching centres across India
Veranda Learning – Coaching centres across India 200+ Centre Diversified Footprint across India s (across all courses) Wide Building presence across India Presence Strong Hold Established strong offline presence in Southern and Western India Across India 14
Slide 19: Proficient Team to drive the business
Proficient Team to drive the business More than a decade of experience in the Education industry Founded SSI in 1991, providing software education and IT training; key milestones include listing on NSE and BSE, formed a JV with NASDAQ, acquired Albion Orion Company LLC and acquired controlling s
Slide 20: Veranda Learning – Key Team Members (1/2)
Veranda Learning – Key Team Members (1/2) Praveen Kumar Saradha Govindarajan Pravin Menon President, Corporate Strategy Chief Financial Officer Chief Marketing Officer 25+ years of experience in cross border 11+ years of experience in the areas of acquisitions & pre-acquisition process in M&A
Slide 21: Veranda Learning – Key Team Members (2/2)
Veranda Learning – Key Team Members (2/2) Bharat Seeman Santhoshkumar P Venkatesh K Business Head Head of Operations Chief Instruction Delivery Veranda IAS , 7+ years of experience in operations 10+ years of experience in business leadership 25+ years of experience in Strategy and execution ma
Slide 22: Veranda Growth Strategy
Veranda Growth Strategy
Slide 23: Veranda Learning – Growth Strategy
Veranda Learning – Growth Strategy Evaluate targets for acquisitions and seek opportunities to acquire IN-ORGANIC STRATEGIES brands and businesses which complement its service offerings, Strategic strengthen or establish its presence in the targeted domestic and Acquisitions international market
Slide 24: Strategic Acquisitions & New Launches to Scale business Operations
Strategic Acquisitions & New Launches to Scale business Operations Veranda Acquired Chennai RACE in December 2021 RACE Edureka Acquired Brain4ce Education Solutions (“Eduerka”) in September 2021 Edureka Learning Centres Launched Edureka Learning Centres in May 2022 J.K Shah Acquired in Classes Octob
Slide 25: Collaboration with J. K. Shah – India's leading institute for CA test prep
Collaboration with J. K. Shah – India’s leading institute for CA test prep Veranda acquired J. K. Shah Classes (JKSC) 39 ~75 Forayed into an imperative segment of high-demand financial courses such as Chartered years Centres of legacy in India Accountancy through acquisition of India’s premier CA te
Slide 26: Industry Growth Drivers
Industry HII Growth Drivers
Slide 27: Geographical Segmentation - Global
Geographical Segmentation - Global Market Size Market Size Growth Rate Region (2021) (2027) CAGR (2021-27) Asia Pacific Countries (APAC) $107.63 BN $277.39 BN 17.09% North America $52.62 BN $109.27 BN 12.95% Europe $39.62 BN $92.26 BN 15.13% Latin America $29.68 BN $72.95 BN 16.17% Middle East & Afr
Slide 28: Indian Ed-tech Sector – Market Size
Indian Ed-tech Sector – Market Size 90 Edtech Market in India 2021–2027 ($ billion) 30.00% 80 25.00% 70 60 20.00% Growth Rate 50 15.00% 19.17% 40 CAGR 30 10.00% (2021-2027) 20 5.00% 10 0 0.00% 2021 2022 2023 2024 2025 2026 2027 Revenue 27.41 30.48 35.23 41.98 51.25 63.25 78.5 Growth Rate 11.20% 15.5
Slide 29: Indian Sector – Boom for Upskilling & Reskilling Courses
Indian Sector – Boom for Upskilling & Reskilling Courses Upskilling and Reskilling – A budding requirement A McKinsey global survey in February 2020 found that 9 in 10 executives and managers are either already facing skills gaps in their organizations or expect gaps to develop within the next 5 yea
Slide 30: Financial Performance
Financial Performance
Slide 31: Consolidated P&L Highlights
Consolidated P&L Highlights Particulars (Rs. Mn) H1FY22 9MFY22 FY22 H1FY23 9MFY23 Revenue from Operations 154.63 459.46 750.48 650.73 1,129.51 Other Income 1.98 2.66 5.52 23.29 381.70* Total Revenue 156.60 462.13 756.02 674.01 1,511.20 Gross Profit# 66.48 273.79 293.03 269.62 498.36 Gross Profit Mar
Slide 32: Financial Highlights
Financial Highlights Total Revenue EBITDA Revenue Break-up (9MFY23) 1,511.20 31% FY21 FY22 9MFY23 -76.25 756.02 69% -134.75 25.44 Online % Offline % -390.52 FY21 FY22 9MFY23 Enrolments ARPU Brain4ce (Edureka) Veranda Race 62,617 58,682 27,593 26,056 42,000 12,847 12,229 9MFY22 9MFY23 9MFY22 9MFY23 F
Slide 33: Let's Connect
Veranda Learning Solutions Let’s Connect Ernst & Young, LLP Mr. Abhishek Bhatt Mrs. Saradha Govindarajan, CFO abhishek.bhatt3@in.ey.com saradha.g@verandalearning.com Ms. Mahalakshmi Venkatachalam mahalakshmi.venkatachalam@in.ey.com Veranda Learning Solutions Ltd, 34, Thirumalai Pillai road, T. Nagar
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