Slide 1: Cover letter to exchanges: presentation at conference call
December 7, 2018 The General Manager The Manager BSE Limited National Stock Exchange of India Limited Corporate Relationship Department Listing Department Phiroze Jeejeebhoy Towers Exchange Plaza Dalal Street 5th Floor, Plot No. C-1, Block-G Mumbai- 400 001 Bandra-Kurla Complex, Bandra(E) Mumbai-400
Slide 2: Analyst Briefing
ANALYST BRIEFING December 7, 2018, 8:15 AM IST
Slide 3: Quick Business Recap
Quick Business Recap ▪ Disciplined execution of our Mode 1-2-3 strategy over the last 10 quarters resulting in ▪ Mode 2: Revenue grew from 12% of FY16 to 16% in Q2 FY19, 24% CAGR ▪ Mode 3: Revenue grew from 4% of FY16 to 12% in Q2 FY19, 78% CAGR ▪ Mode 3: Revenue crossed $1B annual run rate in Q2 FY
Slide 4: HCL Technologies to acquire select IBM products for $1.8B
HCL Technologies to acquire select IBM products for $1.8B STRATEGIC RATIONALE • $50 B plus market opportunity in large growing market areas like Security, Marketing and Commerce which are strategic segments for HCL • Products well regarded by clients and positioned in the top quadrant by industry an
Slide 5: Transaction Financials
Transaction Financials INVESTMENT • Total investment of $1,775 M including earn-out • Approximately 48% to be paid at close, most of balance to be paid after Y1 • Financed largely through internal accruals and a debt of $300 M at close OUTLOOK • Incremental Revenue of ~$650 M on a run-rate basis in
Slide 6: Enterprise Software Market Size of $400B+ with $50B+ addressable with this acquisition
Enterprise Software Market Size of $400B+ with $50B+ addressable with this acquisition Market Market Growth Market Product Market Size ($B)* Rate Position AppScan App Security $2.8 26.4% Top 3 BigFix Endpoint Management $14.8 8.4% Top 3 Notes Enterprise Email $32.6 5.0% Top 3 Domino Low Code $4.3 45
Slide 7: Strong Analyst Recognitions
Strong Analyst Recognitions Security Marketing Collaboration Listed as a leader in Listed as a leader in the Gartner Magic the Gartner Magic A leader in the Quadrant for Quadrant for Gartner Magic Application Security Multichannel Quadrant for Digital Testing in March Marketing Hubs in Commerce in 2
Slide 8: Large Enterprise Client Base Across Verticals and Geographies
Large Enterprise Client Base Across Verticals and Geographies Product # of Clients Key Verticals AppScan 2,000 Financial Services, Retail & Technology BigFix 2,200 Government, Distribution, Education, Financial Services Notes / Domino 13,000 Financial Services, Government, Manufacturing DX 1,400 Con
Slide 9: Proven Track Record
Proven Track Record 80% 40% Product 1 0% (40%) (80%) 1Q-16 2Q-16 3Q-16 4Q-16 1Q-17 2Q-17 3Q-17 4Q-17 1Q-18 2Q-18 3Q-18 40% 20% Product 2 0% (20%) (40%) 1Q-16 2Q-16 3Q-16 4Q-16 1Q-17 2Q-17 3Q-17 4Q-17 1Q-18 2Q-18 3Q-18 HCL IP Partnership commencement 8 | Copyright © 2018 HCL Technologies Limited | ww
Slide 10: Proven Track Record
Proven Track Record 30% 15% Product 3 0% (15%) (30%) 1Q-17 2Q-17 3Q-17 4Q-17 1Q-18 2Q-18 3Q-18 60% Product 4 30% 0% (30%) (60%) 1Q-17 2Q-17 3Q-17 4Q-17 1Q-18 2Q-18 3Q-18 9 | Copyright © 2018 HCL Technologies Limited | www.hcltech.com
Slide 11: Future Roadmap
FUTURE ROADMAP • Customer Delight: Customer-driven roadmaps, transparent development, joint innovation • Currency: Market currency with respect to platforms, languages and methodologies • Integration: REST APIs, 3rd party integration, and partner-led product extensions • Modernize: User experience,
Slide 12: $8.2 Billion Enterprise | 127,000 Ideapreneurs | 43 Countries
$8.2 BILLION ENTERPRISE | 127,000 IDEAPRENEURS | 43 COUNTRIES