Tci Express Ltd. · NSE:TCIEXP
Tci Express — Q1 FY2022 Earnings Presentation
32 slides from Tci Express's earnings presentation, Jul 28, 2021
Slide 1: TCI Express – Regulation 30 intimation to exchanges
es TCIEXPRESS owes ———LEADER IN EXPRESS——— July 28, 2021 To, Listing Department Listing Department BSE Limited National Stock Exchange of India Ltd., Phiroze Jeejeebhoy Towers Exchange Plaza, C-1, Block G, Dalal Street — Bandra Kurla Complex, Mumbai- 400001 Bandra (E) Mumbai — 400 051 Scrip Code: 54
Slide 2: Q1 FY2022 Earnings Presentation
Q1 FY2022 Earnings Presentation
Slide 3: Q1 FY2022 Highlights
Q1 FY2022 Highlights Delivered quarterly EBITDA of Rs. 34 crores and EBITDA margins of 15.0%, despite slowdown due to second wave of the pandemic Key Highlights: Rs. 223 Cr Rs. 34 Cr ▪ The Company topline performance was impacted on a 151.2% y-o-y Margin 15.0% sequential basis due to a broad-based d
Slide 4: Management Perspective
Management Perspective Commenting on the results, Mr. Chander Agarwal, Managing Director, said: Q1 FY2022 was clearly impacted by the second wave of the Covid-19 and timing difference in the state wise lockdown restrictions disrupted the inter-state movement of goods. The Index for Industrial Produc
Slide 5: Fastest Express Delivery Company in India
Fastest Express Delivery Company in India TCI Express, de-merged from its parent company TCI Year of Listing 2016 in 2016, to form a separate business entity focusing on express delivery services Locations Serviced 40,000 Specialized in offering time definite solutions with focus on Tier II and III
Slide 6: Why TCI Express?
Why TCI Express? Ranked 448 in Top 500 Companies based on Market Cap, as on March 31, 2021 Asset Light High Value Cargo Low Working Lowest Cost Business Model (Low volume, high Capital Structure margins) Requirement API based back- Containerized Superior No Franchise: Customer All owned end technolo
Slide 7: Geographical Footprint
Geographical Footprint Fastest Delivery Company in India Company Surface Branches Express 800+ 500+ Cold Chain Domestic Air Express Express Express Services International E Commerce Air Express C2C Express 6 www.tciexpress.in
Slide 8: Financial Performance
Financial Performance Q1 Y-o-Y Q4 Q-o-Q Full Year Y-o-Y Particulars (in Cr) FY2022 FY2021 Growth (%) FY2021 Growth (%) FY21 FY2020 Growth (%) Income from Operations 222.9 88.7 151.2% 279.8 (20.3)% 844.0 1,032.0 (18.2)% Other Income 1.6 1.5 3.1 7.6 4.4 Total Income 224.6 90.2 148.9% 282.9 (20.6)% 851
Slide 9: Q1 FY2022 Performance Discussion
Q1 FY2022 Performance Discussion • Total Income for the quarter stood at Rs. 223 Crores, registering an increase of 151.2% y-o-y and a decline of 20.3% on q-o-q basis due to broad based decline in economic activities in April and May on account of second wave of covid-19 • EBITDA margins declined se
Slide 10: Quarter Performance Trends
Quarter Performance Trends Continue to maintain strong margin profile despite challenging quarter amidst the second wave of the pandemic Total Income EBITDA and Margins 282.9 264.2 57.4 214.4 224.6 47.0 20.3% 34.0 33.7 17.8% 90.2 15.9% 3.9% 15.0% 3.5 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Q1 FY21 Q
Slide 11: Cash Flow from Operations vs Free Cash Flows
Cash Flow from Operations vs Free Cash Flows Track record of consistent generation of cash flows with a focus on enhancing free cash flows 118.9 77.5 81.1 73.9 63.5 52.3 53.2 49.2 14.4 11.2 FY2017 FY2018 FY2019 FY2020 FY2021 Cash Flow from Operations Free Cash Flows • Cash flow from operations incre
Slide 12: FY2021 Highlights
FY2021 Highlights Strong finish to a challenging year, delivered EBITDA of Rs. 142 Crores and Net Profit of Rs. 101 Crores with improved margins Announced quarterly dividend of Rs. 2 per share, taking full year dividend to Rs. 4 per share, payout of 200% on face value for the full year Total Income
Slide 13: Annual Performance Trends
Annual Performance Trends 5 Year track record of consistently delivering enhanced margins and profitability Total Income from Operations EBITDA and Margins CAGR – 3.0% CAGR – 22.4% 1,027.0 1,036.3 142.0 887.2 851.6 122.2 125.7 751.6 92.7 16.7% 63.3 11.9% 12.1% 10.5% 8.4% FY2017 FY2018 FY2019 FY2020
Slide 14: Key Ratios
Key Ratios 5 Year track record of consistently generating high returns and creating wealth for all stakeholders Dividend per Share (Rs) & Payout (%) Return on Capital Employed (%) 4.0 4.0 30.0% 44.3% 25.0% 39.9% 38.3% 3.0 16.3% 2.5 20.0% 32.8% 34.3% 15.0% 1.6 16.4% 17.2% 15.8% 15.3% 10.0% 5.0% 0.0%
Slide 15: Leading Margins and Profitability in the Industry
TCI Express – Leading Margins and Profitability in the Industry EBITDA Margins % ROCE % 16.7% 34.3% 27.7% 11.8% 10.1% 15.2% 10.8% 10.5% 6.5% 4.6% 2.8% nm TCI Express Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 TCI Express Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 EBIT Margins % 15.6% ROE % 7.6% 5.7% 26.1% 3.8% 1.9%
Slide 16: 5 Year Key Takeaways
5 Year Key Takeaways ✓ Fastest B2B Express Delivery Company in India Inherent ✓ Asset light model allows Company to maintain higher utilization and drive strong cash flows Business Strength ✓ No franchise model. All branches are company owned which ensures adoption of best standard operating procedu
Slide 17: Strategy and Outlook
Strategy and Outlook Revenue Growth Impacted due to overall economic slowdown however it is minimized with: ❑ Highly diversified client base and well spread across industry verticals ❑ Continuous expansion in Metro and Tier I Cities through new branch offices Capital Expenditure Planned CapEx of Rs.
Slide 18: Capex Plan
Capex Plan Capex incurred during the year was primarily toward setting up owned Sorting Centre at Gurgaon and Pune ~50 crores to be spent towards automation Gurgaon Sorting Centre Pune Sorting Centre Location: Pune Location: Gurgaon Area: 1.5 lakh sq.ft Area: 2 lakh sq.ft Solar Panel: 600 KW Solar P
Slide 19: Expanding Service Offering: Cold Chain Express
Expanding Service Offering: Cold Chain Express TCI Express successfully launched Cold Chain Express Service, an asset light model and use existing hub and spoke network to meet the growing demand for Cold Chain logistics TCI Express Cold Chain Transportation Standard Operating Procedures followed by
Slide 20: Expanding Service Offering: C2C Express
Expanding Service Offering: C2C Express TCI Express launched India’s first customer to customer C2C Express service, implementing asset light model Transportation Mode – Fast Trucking Transportation Mode – Milk Run Minimizes connections and travel time Pick up from multiple locations and delivery at
Slide 21: Strategic Priorities for Next 5 Years
Strategic Priorities for Next 5 Years Maintain high New value-added services is return ratios and expected to contribute 25% to consistent top-line: dividend pay-out • Cold Chain Express • C2C Express • Air Express Create Wealth for Full focus on all Stakeholders technological advancement and automa
Slide 22: Express Industry – An Outlook
Express Industry – An Outlook Logistics as % of GDP 60% 14% India GDP $2.9 TN Road $2,726 Bn Total Logistics Spend $360 Bn 31% Rail Road Transportation $210 Bn Indian 15% Logistics Market $13,608 Bn Un-Organised Segment 95% Split 9% Water 8% TCI Express Carries $10 Bn $20,494 Bn 0.1% TCI Express Mar
Slide 23: Indian Logistics Industry
Indian Logistics Industry Recent Logistics Sector Transformation Initiatives Infrastructure Development Formalization of Sector Operational Efficiency • Increased allocation by government • Goods and Service Tax – pre filled • Automation of Sorting Centres on Infrastructure development in numbers Un
Slide 24: Management Team
Management Team Mr. D P Agarwal, Chairman & Director Mr. D P Agarwal is the Chairman and Director of TCI. Mr. Agarwal has been associated with the transport industry for more than 51 years. He has been contributing in developing the unorganized logistics sector into an organized one. Mr. Agarwal is
Slide 25: Management Team
Management Team Mr. Mukti Lal, Chief Financial Officer Mr. Mukti Lal is the Chief Financial Officer at TCIEXPRESS. He is a qualified Chartered Accountant and has been associated with Transport Corporation of India Limited (the Demerged Company) in various capacities for last 17 years. He was working
Slide 26: Sustainability a Strategic Pillar
Sustainability a Strategic Pillar Committed towards aligning its operational activities with the environment and sustainable practices Environment Highlights “TCI Express is committed towards aligning its operational activities with the environment and sustainable practices. Our vision is to create
Slide 27: Sustainability a Strategic Pillar
Sustainability a Strategic Pillar TCI Foundation is committed to serve the nation with a motto of equality and better life for all citizens Social Highlights “The Company acknowledges that its employees are the most valuable asset and gives an inclusive culture at work environment; TCI Foundation is
Slide 28: Sustainability a Strategic Pillar
Sustainability a Strategic Pillar Focus on Transparency, Accountability, Excellence, Business Ethics, Social & Environment Responsibility Governance Highlights “While adhering to our core values of Transparency, Accountability, Excellence, Business Ethics, Social & Environment Responsibility, these
Slide 29: Awards and Recognitions
Awards and Recognitions Logistics Excellence Tech innovator of The Year Best Express Logistics Services Provider of the Year TCI Express is now certified as Great Place to Work 13th Express , Logistics & Supply chain Leadership Awards At India Logistics Summit & Awards 2019 Bharariya Manvata Vikash
Slide 30: Corporate Governance
CORPORATE GOVERNANCE Corporate Governance LISTED ENTITY ISO CERTIFIED RATED BY Ranked 448 in Top 500 Companies based on Market Cap, as on March 31, 2021 IATA CERTIFICATE Business Superbrand The Economic Times of 2021 Iconic Brands Of India 29 www.tciexpress.in
Slide 31: Contact Information
Contact Information This presentation contains statements that are “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to TCI Express’ future business developments and economic performance.
Slide 32: TCI Express Limited
TCI EXPRESS LIMITED TCI house, 69 Institutional area, Sector - 32, Gurgaon 122001, Haryana, India P: +91 124 2384090-94 • E: info@tciexpress.in W: www.tciexpress.in • Toll free: 1800 2000 977 31 www.tciexpress.in