Slide 1: Exchange filing cover letter: presentation to institutional investors
Date: September 6, 2022 National Stock Exchange of India Limited BSE Limited Exchange Plaza Phiroze Jeejeebhoy Towers C-1, Block G, Bandra Kurla Complex, Dalal Street Bandra (E), Mumbai-400051 Mumbai-400001 NSE Symbol: SIS BSE Code: 540673 Dear Sir/Madam, Sub: Presentation made to the Institutional
Slide 2: Investor Presentation September 2022
Investor Presentation September 2022
Slide 3: Safe Harbour
2 SAFE HARBOUR This presentation and the accompanying slides (the “Presentation”), which have been prepared by SIS Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, an
Slide 4: A market leader in security services, facility management and cash logistics
3 A MARKET LEADER IN SECURITY SERVICES, FACILITY MANAGEMENT AND CASH LOGISTICS No. 1 No. 1 No. 2 No. 2 Security Services - Security Services - Facility Cash Logistics India Australia Management Group flagship –No. 1 Leader in Australia for over Grew from a fledging Joint venture with global Security
Slide 5: Cusp of a tremendous opportunity
4 CUSP OF A TREMENDOUS OPPORTUNITY Across Security Services …Facility Management …and Cash Logistics 295 Bn 163 Bn Education Heathcare Infra. B2G Retail 2021 2026 5X growth in Indian real estate market by Global Security Services market to 2030 from 2021 reach 295 Bn by 2026 with China and India exp
Slide 6: Strong revenue growth with consistently high return ratios
5 STRONG REVENUE GROWTH WITH CONSISTENTLY HIGH RETURN RATIOS INR' Cr FY17 FY18 FY19 FY20 FY21 FY22 5 Yr CAGR Revenue 4,387.2 5,833.4 7,093.3 8,485.2 9,127.3 10,059.1 18.1% Revenue Growth 551.0 1,446.2 1,259.9 1,391.9 642.1 931.8 Revenue Growth % 14.4% 33.0% 21.6% 19.6% 7.6% 10.2% EBITDA 220.4 312.0
Slide 7: Security Services
6 Security Services
Slide 8: India Security - multi brand approach targeting diverse solutions
7 INDIA SECURITY - MULTI BRAND APPROACH TARGETING DIVERSE SOLUTIONS #1 and fastest growing security provider Revenues EBITDA Security assessment, solution design, integration and ongoing Rs. In Crs security program management 3857 166 2150 +79.4% 149 +11.4% Comprehensive range of electronic security
Slide 9: India Security – scalable and predictable
8 INDIA SECURITY – SCALABLE AND PREDICTABLE Our USP Quarterly Revenue growth – 4.0% 10,588 mn Widest geographical reach – 01 across 630 districts in India 4,839 mn Largest sales force of 200+ 02 people Strong customer servicing Q118 Q218 Q318 Q418 Q119 Q219 Q319 Q419 Q120 Q220 Q320 Q420 Q121 Q221 Q3
Slide 10: SIS brings unparalleled reach across the country
9 SIS BRINGS UNPARALLELED REACH ACROSS THE COUNTRY Smaller/Regional Larger Customers Customers Micro-Market Need the ability to serve approach: Branches are across the country with located close to the customer BRANCH CREATION consistent systems, processes STRATEGY location leading to better and SLA
Slide 11: Supported by superior technology enabled processes
10 SUPPORTED BY SUPERIOR TECHNOLOGY ENABLED PROCESSES Operational & Reporting Systems Automated Recruitment Kiosk - Product Quality and Consistency Tied in to the ERP System ARK Enables enforcement of minimum quality standards and detailed product quality metrics Sales Maxx- Salesforce Productivity
Slide 12: Derisked with diversity in end user segments
11 DERISKED WITH DIVERSITY IN END USER SEGMENTS India Security: Segment wise Government revenue mix FY22 13% 14% Power, metal & mining 3% IT / ITES / Telecom 4% Healthcare & Pharmaceuticals 10% Automobile 4% Engineering & Construction 4% Hospitality, real estate and townships 8% BFSI 6% Educational
Slide 13: Trends in India Security
12 TRENDS IN INDIA SECURITY Compliance Tightening Roadmap to formalization is clear Manpower costs rising Productivity enhancement key to New labour increasing margins codes - 2022 ManTech this will lead to greater compliance Moving from requirements and commoditized products SIS is geared up to to
Slide 14: International Security – continuing market dominance
13 INTERNATIONAL SECURITY – CONTINUING MARKET DOMINANCE Revenues EBITDA # 1 security company in Australia, among only 2 national Rs. In Crs players 4841 269 Security assessment, solution design, integration and ongoing security program mgt. 3019 +60.4% 130 +106.9% FY18 FY22 FY18 FY22 Largest mobile
Slide 15: Facility Management
14 Facility Management
Slide 16: Facility Management – No.2 and fastest growing in India
15 FACILITY MANAGEMENT – No.2 AND FASTEST GROWING IN INDIA Facility Management Revenues Rs. in crores 1395 Pan India Coverage 1280 01 1127 950 Single Window Services 02 675 397 Ability to Invest 03 48 56 88 Specialist teams FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 04 From a small base in 2016, w
Slide 17: Diverse brands targeting identified geographies and solutions
16 DIVERSE BRANDS TARGETING IDENTIFIED GEOGRAPHIES AND SOLUTIONS Rs. In crores Integrated FM solutions including soft services, MEP and industrial production support 1395 64 Focus on South and West markets 671 +107.9% 33 +93.9% Integrated FM solutions – specialist in B2G segment FY18 FY22 FY18 FY22
Slide 18: Dominant presence in key FM markets and segments
17 DOMINANT PRESENCE IN KEY FM MARKETS AND SEGMENTS Segment wise revenue mix FY22 1% 8% Commercial / Offices 2% 3% 26% IT / ITES 4% Pharma & Healthcare 8% Manufacturing Government Retail 11% BFSI 19% Hotels & Restaurants 18% Education Others Not much dependence on a single segment - largest customer
Slide 19: Trends in Facility Management
18 TRENDS IN FACILITY MANAGEMENT TRENDS IN FACILITY MANAGEMENT Verticaliza Market Stringent Larger Integrated tion/ growth at compliance/ contract Services / Specialisa 18-20% audit sizes “Smarter tion Combination”
Slide 20: Strategic Outlook and Financial Results
19 STRATEGIC OUTLOOK AND FINANCIAL RESULTS
Slide 21: Looking Ahead: Vision 2025
20 LOOKING AHEAD Vision 2025 Market Leadership Services Company Key Goals To to M&A Market Share Solutions Company Security India Security International Facility Management M&A to complement • Increased focus on • Emphasis on selling • One SIS (IFM) and MEP organic growth and aim solution sales Solu
Slide 22: Transitioning from services to problem solving
21 TRANSITIONING FROM SERVICES TO PROBLEM SOLVING Market Leadership → Market Share Services Company → Solutions Company Traditional Protective Services – March ‘19 – 3% Guarding Predictive Security – ManTech Risk analysis – Big data March ‘22 – 5% Cash Retail opportunities, Outsourced March ‘19 – 47
Slide 23: FY22 – Profit and Loss Statement
22 FY22 – PROFIT AND LOSS STATEMENT Financial Statements (INR Crores) FY22 FY21 Y-o-Y Revenue from operations 10,059.1 9,127.3 10.2% Revenue grown by 10.2% y-o-y EBITDA 498.5 520.8 -4.3% in FY22 despite the uncertain EBITDA % 5.0% 5.7% times Depreciation 99.4 98.6 0.9% Gain of Rs 25.7 Crs included F
Slide 24: Vision 2025
Vision 2025 Mr. Devesh Desai Group CFO, SIS Ltd Website : www.sisindia.com