Eclerx Services Limited · NSE:ECLERX
Eclerx Services — Q3 FY2016 Earnings Presentation
15 slides from Eclerx Services's earnings presentation, Jan 29, 2016
Slide 1: Financial Performance – FY16 Q3
Presented to: Financial Performance – FY16 Q3 Data | Domain | Delivery January 29, 2016
Slide 2: Financial Summary
Financial Summary Metrics FY16 Q3 Q-o-Q FY16 YTD Y-o-Y Total revenue (INR mm) 3,485 3% 10,025 41% Revenue OPG revenue (INR mm) 3,443 5% 9,711 41% OPG revenue (USD mm) 51.8 3% 148.5 31% EBITDA (INR mm) 1,288 -4% 3,775 42% Profit OPM (INR mm) 1,107 1% 3,092 49% Net profit (INR mm) 887 -4% 2,547 44% EB
Slide 3: Other Income – FY16 Q3 vs. FY16 Q2
Other Income – FY16 Q3 vs. FY16 Q2 Other Income FY16 Q3 FY16 Q2 FY16 Q1 FY15 Q4 Investment & Other Income 19.1 15.9 19.9 53.5 Hedge Gain / (Loss) 2.9 (7.8) (6.1) 94.0 Revaluation and Realised Gain 19.2 105.6 145.3 (50.9) Total 41.2 113.8 159.1 96.5 Figures in INR million Investment Income up due to
Slide 4: Hedge Updates
Hedge Updates Current Hedge Status Total outstanding hedges now $115.1 mm at average INR 70.23/$; 100% forwards – 2.2 times quarter revenue vs. average of 2.6 times in preceding 4 quarters. – Since CLX has natural hedge, so effective hedge ratio will remain low Hedges pre AS30 Hedges under AS30 Cont
Slide 5: P&L Comparison: FY16 Q3 vs. FY16 Q2
P&L Comparison: FY16 Q3 vs. FY16 Q2 Operating P&L FY16 Q3 OPR (%) FY16 Q2 OPR (%) Operating Revenue 3,443.4 3,285.1 Cost of Revenues Employee Cost 1,360.6 39.5% 1,266.2 38.5% General and Administrative Expenses Rent 130.8 3.8% 114.8 3.5% Communication Expenses 52.4 1.5% 44.3 1.3% Legal and Professio
Slide 6: OPM Bridging Analysis: FY16 Q3 vs. FY16 Q2
OPM Bridging Analysis: FY16 Q3 vs. FY16 Q2 1.2% 0.3% 0.2% 0.2% 0.4% 33.3% 32.2% FY16 Q1 Emp. Cost S&D Exp. Dep G&A Exc. Rate FY16 Q2 • Increase in people cost related to onshore Delivery and consulting • S&D – Increased Marketing Expenditure Note: Bridging analysis in constant currency; impact of cu
Slide 7: Balance Sheet & Other Updates
Balance Sheet & Other Updates Total Cash and Cash equivalents of INR 4,262 mm vs 2,959 in Q2; — Equivalent to INR 104.7 per share; — Operating cash flow in YTD FY’16 is INR 2,862 mm vs 2,026 YTD FY’15 — Capex during Q3 is INR 46 mm (Q1 INR 158mn & Q2 INR 197mn) Trailing 12 months EPS – Basic: INR 76
Slide 8: Key Business Metrics
Key Business Metrics Metrics FY 16 Q3 FY 16 Q2 FY 16 Q1 FY 15 Q4 FY15 Q3 FY15 Q2 USD 73% 74% 76% 85% 83% 82% Currency Contribution* (%) EURO 18% 18% 15% 10% 12% 13% GBP 9% 8% 9% 5% 5% 5% North America 67% 67% 72% 78% 78% 74% Geographic Concentration* Europe 29% 29% 25% 18% 18% 23% Debtors (including
Slide 9: Revenue Mix Trends – Consol
Revenue Mix Trends – Consol 90% 84% 81% 80% 63% 70% $22.2 $19.7 60% 51% 50% 42% $21.6 $14.7 40% $13.2 30% 17.5% 20% 8% 10% 4% 1% -3% 0% -10% FY15 Q3 FY15 Q4 FY16 Q1 FY16 Q2 FY16 Q3 Emerging ($ mm) Top 5 % Organic Top 5 USD growth is 17.5% (CC 20.4%) Emerging organic YoY $ growth tepid this quarter a
Slide 10: Human Resources Update
Human Resources Update Delivery & Support 8,100 8,747 8,743 8,590 6,836 1,125 1,149 1,134 5,954 1,005 4,405 871 656 470 7,095 7,622 7,594 7,456 5,298 5,965 3,935 FY12 FY13 FY14 FY15 FY16 Q1 FY16 Q2 FY16 Q3 Operations HC Support Services BD / Sales 89 82 81 76 80 62 46 FY12 FY13 FY14 FY15 FY16 Q1 FY1
Slide 11: Forward-looking statements disclaimer
This presentation contains forward-looking statements, inter-alia, to enable investors to comprehend company’s prospects and take informed investment decisions. This report and other statements - written and oral - that we periodically make, contain forward-looking statements that set out anticipate
Slide 12: Balance Sheet Abstract
Balance Sheet Abstract Particulars 31-Dec-15 30-Sep-15 % of Change Shareholder’s Funds Capital 407.2 304.6 33.7% Minority Interest 6.3 6.8 - Reserves and Surplus 9,437.8 8,559.1 10% Total Shareholder's Funds 9,851.3 8,870.4 11% Application of Funds Fixed Assets 3,492.3 3,583.4 -3% Deferred Tax Asset
Slide 13: Financial Summary – Quarterly View
Financial Summary – Quarterly View Metrics FY16 Q3 FY16 Q2 FY16 Q1 FY15 Q4 FY15 Q3 Total Revenue (INR mn) 3,485 3,399 3,142 2,610 2,530 Revenue Opg Revenue (INR mn) 3,443 3,285 2,983 2,513 2,416 Opg Revenue (USD mn) 51.8 50.2 46.4 40.7 38.9 EBITDA (INR mn) 1288 1335 1152 826 924 Profit OPM (INR mn)
Slide 14: P&L Comparison – Quarterly View
P&L Comparison – Quarterly View FY16 OPR FY16 OPR FY16 OPR FY15 OPR FY15 OPR Operating P&L Q3 (%) Q2 (%) Q1 (%) Q4 (%) Q3 (%) Operating Revenue 3,443 3,285 2,983 2,513 2,416 Cost of Revenues Employee Cost 1,361 40% 1,266 39% 1,191 40% 949 38% 883 37% General and Administrative Expenses Rent 131 4% 1
Slide 15: Revenue Quality – Quarterly View
Revenue Quality – Quarterly View FY16 FY16 FY16 FY15 FY15 FY15 FY15 FY14 Metrics Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 Revenue Growth USD 3.2% 8.1% 14.2% 4.6% 2.1% 5.1% 2.0% -0.4% (%) Constant Currency 4.2% 7.7% 4.0% 6.3% 3.1% 5.6% 1.9% -0.6% USD 73% 74% 76% 85% 83% 82% 81% 80% Currency EURO 18% 18% 15% 10% 12% 1