Slide 1: Exchange filing cover letter
Vakrangee Vakrangee Limited "Vakr3ngee C (Dora te House", eJlo t No 93, Road 1\10 . 16, M I OC. Maral And heri (East) . Mumbai 400093, Maharasna W www.vakra ngee,rn I L +91 2228503412/ +9 1 12 67765 100 mrm~ F +9 1 22285020 17 1C N L65990MH1990PlCC56659 May 13,2022 To, Department of Corporate Relati
Slide 2: The Assisted Digital Convenience Store
THE ASSISTED DIGITAL CONVENIENCE STORE “GO TO MARKET PLATFORM” : BUILDING INDIA’S LARGEST LAST MILE DISTRIBUTION PLATFORM VAKRANGEE LIMITED Q4 FY2021-22 & FULL YEAR FY2021-22 May 13, 2022
Slide 3: Disclaimer
DISCLAIMER This presentation has been prepared by Vakrangee Limited (“Vakrangee” or “VL” or the “Company”) solely for your information and for your use and may not be taken away, reproduced, redistributed or passed on, directly or indirectly, to any other person (whether within or outside your organ
Slide 4: Table of Contents
TABLE OF CONTENTS Results Performance Update 04 Strategy Update 08 Performance Update 16 Demerger Update 22 Update on Sustainability ESG Initiatives 26 Company Overview 30 Annexure : Kendra Evolution 38 3
Slide 5: Results Performance Update
RESULTS PERFORMANCE UPDATE 4
Slide 6: Key Highlights: Performance Update
KEY HIGHLIGHTS : PERFORMANCE UPDATE VAKRANGEE : PHYSICAL + DIGITAL ECO-SYSTEM “GO TO MARKET PLATFORM” : BUILDING INDIA’S LARGEST LAST MILE DISTRIBUTION PLATFORM Total No. of Outlets Presence in States/UTs Presence in districts Presence in Tier IV & VI Our Presence 22,042 32 564 ~84% Our Total Transa
Slide 7: Results Performance Update: Key Highlights Q4 and FY2021-22
RESULTS PERFORMANCE UPDATE Key Highlights – Q4 FY2021-22 (Y-o-Y Basis) REVENUE FROM OPERATIONS EBITDA PROFIT AFTER TAX (PAT) In Rs Mn 2088.1 420.5 301.2 296.6 207.9 1018.5 105.0% 41.8% 44.9% Q4 FY2020-21 Q4 FY2021-22 Q4 FY2020-21 Q4 FY2021-22 Q4 FY2020-21 Q4 FY2021-22 Key Highlights – Full Year FY20
Slide 8: Results Performance Update
RESULTS PERFORMANCE UPDATE Strong Growth witnessed during Q4 FY2022 & Full Year FY2022 : Positive • Witnessed strong Financial & Operational growth. Return to normalcy on the business front as E-commerce, Online Healthcare and other Financial services have become operational. • Strong growth witness
Slide 9: Strategy Update
Vakrangee / ’ STRATEGY UPDATE
Slide 10: Strategy Update – Digital Banking
STRATEGY UPDATE – DIGITAL BANKING DIGITAL BANKING : MOVING TOWARDS NEO BANK – VAKRANGEE WELL PLACED TO ENTER THE NEO BANKING SEGMENT While currently nascent, the Indian Neobanking userbase is expected to grow fast – at 80%+ yearly till FY26 Indian digital banking userbase +x% CAGR In Mn, FY 2017, 20
Slide 11: Strategy Update – Digital Banking: Banking Services Performance
STRATEGY UPDATE – DIGITAL BANKING MOVING TOWARDS TRANSITIONING INTO A NEO BANK – VAKRANGEE WELL PLACED TO ENTER THE NEO BANKING SEGMENT PERFORMANCE FOR BANKING SERVICES Q4 FY2021-22 FY2021-22 KEY DIFFERENTIATORS : DIGITAL AS WELL AS PHSYICAL Number of Bank Accounts Opened ~ 1.1 MILLION ~ 2.7 MILLION
Slide 12: Strategy Update – Digital Banking: Demat & Stock Broking
STRATEGY UPDATE – DIGITAL BANKING VAKRANGEE WELL PLACED TO ENTER THE NEO BANKING SEGMENT BFSI SERVICES : DEMAT & STOCK BROKING SERVICES PERFORMANCE FOR PILOT PROJECT : ONLINE DEMAT & TRADING ACCOUNT OPENING 12,892 Q4 FY2021-22 FY2021-22 10,514 Number of Demat Number of Demat Accounts Opened – Accoun
Slide 13: Strategy Update – Digital Healthcare
STRATEGY UPDATE – DIGITAL HEALTHCARE Digital (eHealth) Healthcare Opportunity: eHealth sector has been witnessing rapid growth, whereas the overall penetration rates across segments still remain low, providing Huge Long Term Growth potential !! eHealth Market GMV1 Annual India eHealth Penetration eP
Slide 14: Digital Healthcare Opportunity and Pilot Performance
STRATGEY UPDATE – DIGITAL HEALTHCARE DIGITAL HEALTHCARE OPPORTUNITY : • Current Rural consumer requires assistance to understand different healthcare services • Limited availability of physical doctors in rural locations • Lack of access to Health Infrastructure & Expert Consultation PERFORMANCE FOR
Slide 15: BharatEasy Mobile Super App Update
BHARATEASY MOBILE SUPER APP UPDATE • Vakrangee would be launching an online digital platform to enable seamless services for the consumer at the comfort of their homes. Through this, company has evolved into the unique O2O (Online to Offline) platform, whereby there is Assistance available through t
Slide 16: Business Model: Our Unique Offering
BUSINESS MODEL : OUR UNIQUE OFFERING Customer Strong Value Proposition • All in One Super App Platform • Access to Physical Store network - Trust & Comfort for Customers especially in Rural India Unique Convenience Features : Leveraging the Vakrangee Eco-System • Store Pick Up Facility • Pay at Stor
Slide 17: Performance Update
Vakrangee PERFORMANCE UPDATE
Slide 18: Vakrangee Kendra Outlets – Performance Update
VAKRANGEE KENDRA OUTLETS – PERFORMANCE UPDATE PERFORMANCE UPDATE FOR QUARTER ENDED MARCH, 2021 ~Rs. 126.6 Bn ~32.9 Mn Quarterly Throughput on Vakrangee Quarterly No. of Transactions on Platform – Q4 FY22 Transaction Value Vakrangee Platform – Q4 FY22 PERFORMANCE UPDATE FOR FULL YEAR FY2021-22 ~Rs.47
Slide 19: Full Year FY2021-22 GMV / Throughput Contribution
VAKRANGEE KENDRA OUTLETS – PERFORMANCE UPDATE Full Year FY2021-22 - GMV / THROUGHPUT CONTRIBUTION (RS. MN.) Margin Profile % * E-Commerce 7,110 2 - 15% ATM 1,13,511 Rs. 17/ Fin Txn BFSI 3,54,138 0.25 - 0.40% • BFSI and ATM services witnessed robust QoQ as well as YoY growth as we get back to pre-cov
Slide 20: Consolidated Financial Statements
CONSOLIDATED FINANCIAL STATEMENTS Key Profit & Loss Statement Items Particulars (Rs. Mn.) Q4 FY2021-22 Q4 FY2020-21 YoY% FY2021-22 Revenue from Operations 2,088.1 1,018.5 105.0% 7,786.9 Total Expenses 1,722.2 919.4 87.3% 6,393.7 EBIDTA 420.5 296.6 41.8% 1,586.9 Profit before Tax (PBT) 377.6 275.6 37
Slide 21: Case Studies: NextGen Top Performers
CASE STUDIES : NEXTGEN TOP PERFORMERS Franchisee – SHAWAN ALI from a Tier-3 Number of Accounts Opened - 53 SHAWAN location of Uttar Pradesh have Earned ALI `1,17,114 in just month from BFSI – Total Transaction Value - Banking Services `3,04,31,630 Number of Financial Transaction - PREM Franchisee –
Slide 22: Focussed to Build Pan-India Presence Covering 100% Postal Codes
FOCUSSED TO BUILD PAN-INDIA Within 12-18 Months PRESENCE COVERING 100% POSTAL CODES - 75,000+ Outlets - 19,000+ Postal codes - 36 States / UTs - ~70% Tier V & VI - 740 + Districts Q4 FY 2021-22 - 22,042 Outlets - 32 States / UTs - 564 Districts With Exclusive Branded Format Stores, - 5,510 Postal co
Slide 23: Demerger Update
Vakrangee / ’ DEMERGER UPDATE
Slide 24: Demerger Update
DEMERGER UPDATE • As on June 19, 2021 the Board of Directors of Vakrangee Limited had approved Demerger of its digital Division. • However, The Board of Directors have now after due deliberations and detailed discussions, taking into consideration the best interest of all its stakeholders, have fina
Slide 25: Proposed Demerger Structure
PROPOSED DEMERGER STRUCTURE PRE-DEMERGER 1 2 POST- VL E-GOVERNANCE & IT VAKRANGEE LIMITED – SOLUTIONS BUSINESS DEMERGER CURRENT LISTED ENTITY DIVISION – TO BE LISTED ARRANGEMENT TO INCLUDE :- TO INCLUDE :- • VAKRANGEE KENDRA POST- • E-GOVERNANCE BUSINESS BUSINESS (PHYSICAL DEMERGER • IT/ITES BUSINES
Slide 26: Vakrangee Kendra Business – Post Demerger
VAKRANGEE KENDRA BUSINESS – POST DEMERGER POST DEMERGER : VAKRANGEE LIMITED TO EMERGE AS PURE RETAIL CONSUMER CENTRIC BUSINESS RETAIL CONSUMER STRONG RURAL BRAND UNIQUE PHYSICAL + CENTRIC BUSINESS PRESENCE DIGITAL PLATFORM SCALABLE FRANCHISEE DEBT FREE BALANCE ASSET LIGHT MODEL LED MODEL SHEET HIGH
Slide 27: Update on Sustainability ESG Initiatives
UPDATE ON SUSTAINABILITY ESG INITIATIVES 26
Slide 28: Sustainability ESG Performance Update
SUSTAINABILITY ESG PERFORMANCE UPDATE VAKRANGEE EARNS BRONZE CLASS SPOT IN SUSTAINABILITY YEARBOOK 2022 BY S&P GLOBAL • Vakrangee Limited has been honored to be included in this year’s Sustainability Yearbook 2022, published by S&P Global. • Vakrangee has earned a “S&P Global Bronze Class” spot in t
Slide 29: Sustainability ESG Performance Update
SUSTAINABILITY ESG PERFORMANCE UPDATE VAKRANGEE RECOGNIZED AS A ESG GLOBAL 50 TOP RATED COMPANY BY SUSTAINALYTICS • Vakrangee Limited has been identified as a top ESG performer out of more than 4,000 comprehensive companies that Sustainalytics cover in the global universe. • In 2022, Vakrangee has b
Slide 30: Key Initiatives: Sustainability Impact & ESG
KEY INITIATIVES : SUSTAINABILITY IMPACT & ESG Being Responsible • Being one of the largest franchisee-based, multi-service retail network, Vakrangee is focused on creating India’s extensive network of last-mile retail outlets at every & Social Conscious postal code in the country, enabling Indians t
Slide 31: Company Overview
Vakrangee / ’ COMPANY OVERVIEW
Slide 32: NextGen Vakrangee Kendra – Scope of Services
NEXTGEN VAKRANGEE KENDRA – SCOPE OF SERVICES Banking , ATM & Insurance Financial Services / Fintech E-Commerce / Online Travel Tele Medicine / Pharmacy PAN INDIA PRESENCE : • 84% IN TIER 4-6 LOCATIONS PHYSICAL + DIGITAL • 5,510 POSTAL CODES ECO-SYSTEM • 564 DISTRICTS “GO TO MARKET PLATFORM” : BUILDI
Slide 33: NextGen Vakrangee Kendra – Scope of Services: BFSI & ATM
NEXTGEN VAKRANGEE KENDRA – SCOPE OF SERVICES BFSI & ATM SERVICES • ATM Cash Withdrawal • Non-Financial Transactions (White Label ATM License) • Opening of Online Demat & Trading Account • Money Transfer • Lead Generations of Personal / Home / Business Loans • Pan Card Service • CIBIL Score service •
Slide 34: NextGen Vakrangee Kendra – Scope of Services: Assisted E-Commerce
NEXTGEN VAKRANGEE KENDRA – SCOPE OF SERVICES ASSISTED E-COMMERCE SERVICES • Online Shopping of Goods • Telemedicine services • Online Shopping of Medicines • Mobile/DTH Recharge • Bill Payments • E-Mitra services in Rajasthan (Only for Rajasthan) • Train Ticket Booking • Bus Ticket Booking • Flight/
Slide 35: E-Commerce Marketing Initiatives
E-COMMERCE MARKETING INITIATIVES Link to the Co-Branded Advertisement Campaign - Amazon & Vakrangee : https://www.youtube.com/watch?v=MPtZ_c62 Odg https://www.youtube.com/watch?v=- AJarKHI94c 34
Slide 36: Key Features – NextGen Vakrangee Kendra
KEY FEATURES – NEXTGEN VAKRANGEE KENDRA KEY FEATURES • Exclusive store model with same service level and same STORE EXCLUSIVITY & Customer experience CONSISTENT • Standardized layout & design by L&H (Lewis & Hickey) BRANDING • Uniform and Consistent Branding for Higher brand recall and visibility •
Slide 37: NextGen Vakrangee Kendra Model
NEXTGEN VAKRANGEE KENDRA MODEL 36
Slide 38: Huge Untapped Market: Overall Market Potential
HUGE UNTAPPED MARKET: OVERALL MARKET POTENTIAL POPULATION 1.35 BILLION POLLING STATIONS 1 MILLION TOTAL NO OF VILLAGES 6,62,986 TOTAL NO OF GRAM PANCHAYAT 2,53,268 TOTAL NO OF URBAN WARDS 75,535 TOTAL OUTLET POTENTIAL 3,28,803 37
Slide 39: Annexure: Kendra Evolution
ANNEXURE : KENDRA EVOLUTION 38
Slide 40: Kendra Evolution
KENDRA EVOLUTION PHASE 1: INITIALLY AN E- PHASE 2: EVOLVED TO A PHASE 3: EVOLVED TO MULTI PHASE 4: EXCLUSIVE NEXTGEN GOVERNANCE PLAYER BANKING BC POINT MODEL SPECIALITY STORE MODEL DIGITAL CONVENIENCE STORE PHASE 1: CSC & E-MITRA PHASE 4 : NEXTGEN KENDRA PHASE 2 : BANKING BC PHASE 3 : MULTI-SPECIALI
Slide 41: Thank You
Vakrangee / ’ Thank You