Redington Limited · NSE:REDINGTON
Redington — Q3 FY2020 Earnings Presentation
23 slides from Redington's earnings presentation, December 2019
Slide 1: Redington (India) Limited Q3FY20 Earnings Presentation
REDINGTON (INDIA) LIMITED Q3FY20 Earnings Presentation December 2019
Slide 2: Disclaimer
Disclaimer This presentation contains “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Redington India Limited’s future business developments and economic performance. While these forw
Slide 3: Financial Highlights
Financial Highlights • Q3FY20 – On a consolidated basis, Revenue grew by 17%, EBITDA grew by 8% and PAT grew by 7% • India – Revenue grew by 21%, EBITDA degrew by 13% and PAT degrew by 28% • Overseas – Revenue grew by 15%, EBITDA grew by 24% and PAT grew by 27% • Consol (Ex-ProConnect) – Revenue gre
Slide 4: Financial Highlights: India and ProConnect
Financial Highlights India (Ex-ProConnect) business • During the quarter, India (Ex-ProConnect) business grew Revenues by 21%, EBITDA by 15% and PAT by 52%, led by Mobility biz • Working capital has been reduced to 39 days in Q3FY20 vs 61 days in Q3FY19 • Savings in interest cost driven by better wo
Slide 5: Financial Highlights: Overseas business
Financial Highlights Overseas business • During the quarter, • Overseas business continues strong performance registering double digit growth in Revenue, EBITDA and PAT, driven by both Mobility & IT segment • Overseas business continues to maintain working capital at 30 days • Despite incurring expe
Slide 6: Q3FY20 Highlights
Q4FY18 Highlights Q3FY20 Highlights Connecting The Dots Transformation from ‘Product’ to ‘Utility of Product’ 6
Slide 7: Q3FY20 Consolidated Financials
Q3FY20- Consolidated Financials ₹ in million REVENUE EBITDA PAT 17% 17*% 8% 20*% 7% 35*% 1,47,956 1,559 3,094 2,854 1,451 1,26,408 Q3FY19 Q3FY20 Q3FY19 Q3FY20 Q3FY19 Q3FY20 *Growth excluding ProConnect India biz 7 7
Slide 8: Q3FY20 Performance by Market
Q3FY20 Performance by Market ₹ in million REVENUE EBITDA PAT 8 17% 8% 7% 1,47,956 3,094 1,559 2,854 1,451 1,26,408 15% 94,186 24% 2,056 27% 1,660 938 81,845 1,190 21% 13% 28% 53,770 1,194 1,038 513 44,563 369 Q3FY19 Q3FY20 Q3FY19 Q3FY20 Q3FY19 Q3FY20 INDIA OVERSEAS INDIA OVERSEAS INDIA OVERSEAS 8
Slide 9: Q3FY20 Excluding ProConnect India
Q3FY20 – Excluding ProConnect India ₹ in million REVENUE EBITDA PAT 9 17% 20% 35% 1,46,919 3,247 1,839 1,25,388 2,694 1,366 15% 94,186 24% 2,056 27% 1,190 81,845 1,660 938 21% 15% 52% 52,733 1,034 1,191 649 43,543 428 Q3FY19 Q3FY20 Q3FY19 Q3FY20 Q3FY19 Q3FY20 INDIA OVERSEAS INDIA OVERSEAS INDIA OVER
Slide 10: Q3FY20 Performance by Vertical
Q3FY20 Performance by Vertical INDIA OVERSEAS CONSOLIDATED 6% 6% 2% 2% 3% 3% 22% 35% 31% 34% 38% 37% 72% 60% 63% 60% 66% 60% Q3FY19 Q3FY20 Q3FY19 Q3FY20 Q3FY19 Q3FY20 IT Mobility Services IT Mobility Services IT Mobility Services Note: Upon re-grouping, only smartphones are shown under Mobility 10 1
Slide 11: Q3FY20 Working Capital Days
Q3FY20 – Working Capital Days INDIA OVERSEAS CONSOLIDATED 61 41 39 34 30 30 22 0 7 Q3FY19 Q3FY20 Q3FY19 Q3FY20 Q3FY19 Q3FY20 11 11
Slide 12: Q3FY20 Top Vendors Consolidated
Q3FY20 – Top 5 Vendors Consolidated REVENUE 39% 40% OTHERS LENOVO 5% 5% SAMSUNG 5% 5% DELL EMC 8% 7% HP Inc 14% 11% APPLE 29% 32% Q3FY19 Q3FY20 12 12
Slide 13: Q3FY20 Performance ProConnect
Q3FY20 Performance – ProConnect • Revenue growth over Q3FY19 is 2% • Impact on EBITDA is on account of slowdown in Logistics industry, decline in margins on account of price erosion across all lines of business and provision of Rs.20.3 crs on Advances/Loan on behalf of subsidiary company REVENUE EBI
Slide 14: 9MFY20 Performance
Q3FY18 Highlights 9MFY18 Highlights 9MFY20 Performance Connecting The Dots Transformation from ‘Product’ to ‘Utility of Product’ 14
Slide 15: 9MFY20 Consolidated Financials
9MFY20- Consolidated Financials ₹ in million REVENUE EBITDA PAT 14% 17%* 20% 24%* 17% 31%* 3,88,365 3,39,897 8,170 3,960 6,795 3,388 9MFY19 9MFY20 9MFY19 9MFY20 9MFY19 9MFY20 *Growth excluding ProConnect India biz 15 15
Slide 16: 9MFY20 Performance by Market
9MFY20 Performance by Market ₹ in million REVENUE EBITDA PAT 16 14% 20% 17% 8,170 3,960 3,88,365 3,39,897 6,795 3,388 13% 21% 4,722 23% 2,44,407 2,686 3,913 2,182 2,16,810 20% 6% 17% 2,882 3,448 1,43,958 1,206 1,274 1,23,087 9MFY19 9MFY20 9MFY19 9MFY20 9MFY19 9MFY20 INDIA OVERSEAS INDIA OVERSEAS IND
Slide 17: 9MFY20 Excluding ProConnect India
9MFY20 – Excluding ProConnect India ₹ in million REVENUE EBITDA PAT 17 14% 24% 31% 7,877 4,153 3,84,989 3,36,937 6,371 3,165 13% 21% 4,722 23% 2,686 2,44,407 3,913 2,182 2,16,810 17% 28% 49% 3,155 1,467 1,40,582 2,458 983 1,20,127 9MFY19 9MFY20 9MFY19 9MFY20 9MFY19 9MFY20 INDIA OVERSEAS INDIA OVERSE
Slide 18: 9MFY20 Performance by Vertical
9MFY20 Performance by Vertical INDIA OVERSEAS CONSOLIDATED 6% 6% 2% 2% 3% 3% 20% 27% 34% 35% 29% 33% 74% 67% 68% 64% 63% 64% 9MFY19 9MFY20 9MFY19 9MFY20 9MFY19 9MFY20 IT Mobility Services IT Mobility Services IT Mobility Services Note: Upon re-grouping, only smartphones are shown under Mobility 18 1
Slide 19: 9MFY20 Working Capital Days
9MFY20 – Working Capital Days INDIA OVERSEAS CONSOLIDATED 67 43 46 35 38 34 24 1 8 9MFY19 9MFY20 9MFY19 9MFY20 9MFY19 9MFY20 19 19
Slide 20: Free Cash Flow Statement
Free Cash Flow Statement ₹ in million Particulars 9MFY20 9MFY19 Profit Before Taxation 5,262 4,134 Non-cash items 1,892 2,381 Outflow of Finance Cost 1,486 1,311 Changes in Working Capital (6,630) (6,856) Direct Tax Paid (1,344) (2,032) Net Cash Flow from Operations 666 (1,062) Capex (390) (458) Div
Slide 21: 9MFY20 Top Vendors Consolidated
9MFY20 – Top 5 Vendors Consolidated REVENUE 38% 39% OTHERS LENOVO 6% 5% SAMSUNG 5% 6% DELL EMC 8% 8% HP Inc 15% 13% APPLE 28% 29% 9MFY19 9MFY20 21 21
Slide 22: Shareholding Pattern
Shareholding Pattern Others Others 7.0% 10.6% Mutual Funds Mutual Funds 11.7% 11.5% Synnex Mauritius Limited 24.2% Synnex Mauritius Limited 24.2% Standard Affirma Chartered Capital Private 15.8% Equity 15.8% Foreign Foreign Institutional Institutional Investors & FPIs Investors & FPIs 41.3% 37.9% Se
Slide 23: Investor Contacts
Investor Contacts M. Muthukumarasamy Compliance Officer Redington (India) Limited SPL Guindy House, 95 Mount Road, Guindy, Chennai 600 032 https://www.redingtongroup.com Sowmiya M Senior Manager – Investor Relations Connecting The Dots sowmiya.manickam@redington.co.in Transformation from ‘Product’ t