Avenuesai Ltd · NSE:CCAVENUE
Avenuesai — Infibeam Avenues — Q1 FY24 Earnings Presentation
32 slides from Avenuesai's earnings presentation, Aug 8, 2023
Slide 1: Q1 FY24 Earnings Presentation
A Global FinTech Company Q1 FY24 (Apr ‘23 – Jun ‘23) Earnings Presentation 8 August 2023
Slide 2: Disclaimer
Disclaimer This presentation contains certain words and statements concerning Infibeam Avenues Limited (“the Company”) and its prospects, and other statements relating to the Company’s expected financial position, business strategy, the future development of the Company’s operations and the general
Slide 3: Financial Performance and Outlook
EARNINGS PRESENTATION FINANCIAL PERFORMANCE AND OUTLOOK First Listed Fintech in India
Slide 4: 1Q FY24 Performance At A Glance
1Q FY24 Performance At A Glance Profitable growth and healthy returns 1 cr INR 1.2 lac cr 8.4 bps Business Performance + 55% + 27% + 16% (% change YoY) Quarterly Performance Snapshot No. of merchants TPV 1 Payments NTR ➢ Highest ever quarterly Gross Revenue, and Net Revenue 742 56 32 ➢ Strong growth
Slide 5: Strategic Business Updates
Strategic Business Updates ➢ Company appointments • Mr. Vijay Subramanian to be appointed as the CEO of the Platform Business • Mr. Vishwas Patel to be appointed as the Joint Managing Director (JMD) • Mr Vishal Mehta, to become the Chairman & Managing Director (CMD) of the company ➢ Company to foray
Slide 6: Deconstructing Company's Payments Gross and Net Take Rate
Deconstructing Company’s Payments Gross and Net Take Rate Unit economics improving due to growing business from Covid impacted sectors and strategic initiatives TPV and Take Rate (Amounts in INR crore) Q1 FY24 Q1 FY23 YoY chg. (%) FY23 Total Transaction Processing Value/TPV (A + B) 1,18,260 93,356 2
Slide 7: Company's Revenue Model
Company’s Revenue Model Growth focused revenue model (Mix of transaction-based and annuity) Total Transaction Processing Value (INR lac crore) * Net Take Rate-NTR (Net earnings per transaction in bps) Payments TPV + GeM TPV Payments business 0.7 0.9 1.4 2.9 4.4 7.5 Annual Quarterly Payments TPV 3.5
Slide 8: Guidance FY24
Guidance FY24 Well-poised for Growth Gross Revenue Net Revenue INR 3,000-3,300 crore INR 410-415 crore (up 53%-68% YoY) (up 25%-26% YoY) EBITDA 1 PAT 1 INR 230-235 crore INR 130-150 crore (up 28%-31% YoY) (up 37%-59% YoY) 1 excluding any one-time and mark-to-market gain/loss (comparable FY23 Consoli
Slide 9: Short-Medium Term Key Focus Areas
Short-Medium Term Key Focus Areas Well-poised for growth • Partner with banks and card networks on specific programs having low acquiring cost • Add more low cost acquiring banks increase the ‘net take rate’ in the Payments business • Increase international contribution where the net take rates are
Slide 10: Company Overview & Industry Outlook
CORPORATE PRESENTATION COMPANY OVERVIEW & INDUSTRY OUTLOOK First Listed Fintech in India
Slide 11: About Infibeam Avenues
About Infibeam Avenues Click to watch video A Payment Infrastructure and eCommerce Software Platforms Company 11
Slide 12: The Fintech Universe and Business Models
The Fintech Universe and Business Models Company targets ‘merchants and banks’ for scalable and sustainable growth CUSTOMER SEGMENTATION Slide 12 Slide 13 Company is focused on low-cost, stable, scalable and sustainable business from Merchants and Banks 12
Slide 13: Infibeam Avenues Limited
Infibeam Avenues Limited A powerful combination of payment infrastructure and ecommerce software platforms (refer slide 26 for corporate video) Strategic And Competitive Advantages Invested across entire Payment Aggregator license 3 + Omnichannel 2 offerings payments ecosystem (digital payments + so
Slide 14: Infibeam Avenues: Leading the industry with many firsts
Infibeam Avenues Leading the industry with many firsts - In 2001, launched India’s first online retail payment gateway, CCAvenue - In 2002, was the first to offer Net Banking as a payment option - In 2003, was the first to offer Invoice Payments - In 2004, was the first to go live with Verified by V
Slide 15: Building a long-term scalable and sustainable business
Building a long-term scalable and sustainable business Company’s long-term plans to create superior shareholder value o Focus on profitable revenue growth Building a sustainable o Processing profitable transactions business model o Increasing net take rate through cross-sell and up-sell o Building h
Slide 16: Company Overview: Payments Business
93% Gross Revenue contribution COMPANY OVERVIEW Payments Business First Listed Fintech in India
Slide 17: CCAvenue Online Payment Solution
CCAvenue Online Payment Solution India’s first online retail payment aggregator CCAvenue Strengths • Payment Aggregator license from RBI • India’s first online retail payment aggregator (22+ years) with many industry first launches • Payment infrastructure for top banks (HDFC, ICICI, Axis, Kotak, JP
Slide 18: CCAvenue Omnichannel Payment Solution
CCAvenue Omnichannel Payment Solution 150,000+ downloads in FY23 Among the worlds most advanced, featuring India’s first pin-on-glass softPoS solution Crossed 300,000+ by end of Q1 FY24 FY24 target – 1 million • Payments on-the-go; anytime anywhere • No/Low Cost Android-based mobile app • Aligned wi
Slide 19: Few Marquee Clients
Few Marquee Clients Marquee clients across industries INDIA UAE GCC c c c c Podar Education c c c c c India 10.0 million total merchants; approx. 9500 merchants added everyday in Q1 FY24 19
Slide 20: FY23 CCAvenue Payments Business Highlights
FY23 CCAvenue (India + Intl.) Payments Business Highlights Payment business on a strong footing CCAvenue Payments TPV (India + Intl.) CCAvenue India (INR crore) 2,16,020 172% FY23 est. TPV market share 1,66,920 of ‘Online Payments’ 1Q FY24 growth in $26 bn CC – 9% | DC – 7% | NB – 3% merchant additi
Slide 21: International Expansion Plans For Becoming A Global Fintech Player
International Expansion Plans For Becoming A Global Fintech Player Country-in-a-box strategy Targeting 12-15% international contribution to Payment’s Net Revenue by FY28 Other Geographies South East Asia USA & USA Australia GCC Australia: To be UAE, Saudi & Oman operational in 2H FY24 To be launched
Slide 22: BillAvenue (Bill Payments through BBPS)
BillAvenue (Bill Payments thru Bharat BillPay System / BBPS) Bill payments platform to cater to the large untapped utility and recurring payments segment across India ➢ Built on the BBPS1 infrastructure, BillAvenue is a unified, BillAvenue Business Performance interoperable, online payments platform
Slide 23: Go Payments (majority owned subsidiary)
Go Payments (majority owned subsidiary) Empowering unbanked to access digital financial services ➢ ‘Instant Global Paytech Pvt. Ltd.’, operating through the brand ‘Go Payments’ to provide assisted commerce services MONEY TRANSFER RECHARGE TRAVEL INSURANCE ➢ Launched payment issuance infrastructure f
Slide 24: The Digital Ecosystem is Expanding
The Digital Ecosystem is Expanding … … and the total addressable market continues to grow New Flows Will Lead To Increasing TAM New acceptance eCommerce eCommerce share share New acceptance form form factors factors of spending to to rise P2P and of spending rise P2P and B2CB2C New platforms to reac
Slide 25: India's Digital Payments Market to Become $3tn by FY28
India’s Digital Payments1 Market to Become $3tn by FY28 (Online + Offline) Continued uptake in FY23 even post-Covid, suggesting growth to continue Digital Payments1 Industry Size & Growth – India in INR lakh crore (or INR trillion) Projected FY28 P2M Industry Size (@25% 5yr CAGR) ~INR 225 lac cr (ap
Slide 26: Company Overview: Platforms Business
7% Gross Revenue contribution COMPANY OVERVIEW Platforms Business First Listed Fintech in India
Slide 27: Enterprise Software Platforms and Infrastructure
Enterprise Software Platforms and Infrastructure An e-commerce marketplace platform/infrastructure built for large scale implementation Business Overview GeM Transaction Processing Value (INR Crore) ➢ A cloud-based, E2E SaaS platform allowing corporates to 2,01,000 do large scale online business, ma
Slide 28: Annexure
ANNEXURE First Listed Fintech in India
Slide 29: Revenue and Cost Drivers
Revenue and Cost Drivers Building a scalable business model Payment Gateway Bill Payments GeM platform eComm. platform Businesses • CCAvenue (India + Intl.) • BillAvenue • Marketplace for Enterprise • Marketplace for Enterprise • CCAvenue TAPPay (SoftPoS) • ResAvenue • B2Biz • CPGS (Payment Infra fo
Slide 30: FY23 Performance At A Glance
FY23 Performance At A Glance Profitable growth and healthy returns 0.9 cr INR 4.5 lac crore 8.2 bps Business Performance + 61% + 52% + 41% No. of merchants TPV 1 Payments Net Take Rate 1,962 180 136 Financial Performance + 52% + 24% + 63% (INR crore) Gross Revenue EBITDA Profit After Tax Balance She
Slide 31: Generating Higher Shareholder Value
Generating Higher Shareholder Value Improving ROE and ROCE Cash Flows (INR crore) FCF conversion 4 and Capex 310 71% 65% 210 103 117 63 16% 19% 42 FY22 FY23 FY22 FY23 Capex Free Cash Flow Cash FCF conversion ratio Capex % of Net Revenue Return on Equity % Return on Capital Employed % 10.1% 7.1% 7.4%
Slide 32: Thank You
PAYMENTS | PLATFORMS Thank You Investor Relations Purvesh Parekh purvesh.parekh@ia.ooo +91 9930554588 To know more, visit us at: www.ia.ooo | www.ccavenue.com