Hinduja Global Solutions Limited · NSE:HGS
Hinduja Global Solutions — Q2 FY2025 Earnings Presentation
28 slides from Hinduja Global Solutions's earnings presentation, Nov 19, 2024
Slide 1: Exchange filing cover letter: Q2 FY 2024-25 Earnings Call presentation
November 19, 2024 BSE Limited National Stock Exchange of India Ltd. Corporate Relation Dept. P. J. Towers, Dalal Street Bandra Kurla Complex, Bandra (East) Mumbai 400 001. Mumbai - 400 051. Scrip Code : 532859 Symbol : HGS Dear Sir/Madam, Sub: Q2 FY 2024-25 Earnings Call presentation This is in cont
Slide 2: HGS Earnings Call Presentation Q2 & H1 FY2025
HGS Earnings Call Presentation Q2 & H1 FY2025 November 19, 2024 1
Slide 3: Safe Harbour
Safe Harbour Certain statements in this release concerning HGS’ future growth prospects may be seen as forward- looking statements, which are subject to a number of risks, and uncertainties as a result of which actuals could differ materially from such statements. HGS does not undertake to update an
Slide 4: Overall Performance Update
Overall Performance Update Partha DeSarkar 3
Slide 5: Company at a Glance
Company at a Glance A global leader in optimizing the customer experience lifecycle, digital transformation, business process management and digital media ecosystem ▪ HGS serves 1K+ brands across BPM, technology and HRO ▪ 7K+ digital transformations | 2K+ analytics projects | 1K+ cloud migrations |
Slide 6: Snapshot of HGS’ financial performance
Snapshot of HGS’ financial performance Q2 FY2025 H1 FY2025 ▪ Total income stood at Rs. 1,207.6 crore ▪ Total income stood at Rs. 2,426.2 crore (US$ 144.4 million) (US$ 290.2 million) ▪ Operating revenue was Rs. 1,087.2 crore ▪ Operating revenue was Rs. 2,179.1 crore ( US$ 130 million) (US$ 260.7 mil
Slide 7: Key Highlights from Q2 FY2025
Key Highlights from Q2 FY2025 ▪ Challenges to revenue growth and profitability persist - macro-economy pressures, delays in decision making on award of contracts and drop in revenue in UK business ▪ Expansion of engagements with existing clients and pipeline looks healthy ▪ Signed two major contract
Slide 8: HGS in Cape Town, South Africa
HGS in Cape Town, South Africa Available to support US, UK, and Australian clients in any industry… Currently, 65+ employees work here BUSINESS CASE CURRENT CAPACITY LANGUAGES 40-60% 136 4 English, German, Savings per FTE Seats French, Dutch Woodstock, Cape Town Johannesburg Durban Port Elizabeth Ca
Slide 9: HGS AI Hub in Manila to boost digital experience for clients
HGS AI Hub in Manila to boost digital experience for clients ▪ Launched a state-of-the-art ‘HGS AI Hub’ in Philippines ▪ Will serve as an interactive space where clients, partners, and employees can leverage advanced technologies, such as automation, analytics, AI, virtual reality, visual AI, and sp
Slide 10: Analyst Recognition
ANALYST RECOGNITION ISG Identifies HGS as a ‘Leader’ in Digital Operations, Intelligent Agent Experience, and Intelligent CX 9
Slide 11: HGS’ Strategic Focus
HGS’ Strategic Focus ▪ Vertical Specific ‘Business ▪ Leaning into the Potential ▪ Growing Global Talent Process Improvement’ of ‘Applied AI’ Footprint ▪ Lean Ops with Intelligent ▪ AI Ignite, powered by ▪ Colombia Automation Partner Ecosystem ▪ South Africa ▪ Cost Effective Cloud ▪ Agent X + vertica
Slide 12: By 2027: Be the preferred DX Transformation Partner
By 2027: Be the preferred DX Transformation Partner for the world’s most admired brands Digital Traditional Digital Operations CX DIGITAL DIGITAL OPERATIONS TRADITIONAL CX • App Development / Maintenance • AI Driven Process Management • Contact Center with heavy • Cloud Deployment & Migrations • AI
Slide 13: Digital Media Business: An Update
Digital Media Business: An Update Vynsley Fernandes 12
Slide 14: Industry & Environment
Industry & Environment India to allot satellite internet spectrum via administrative method Synopsis Telecom Minister Jyotiraditya Scindia announced that spectrum for satellite services in India will be allocated administratively, but it will not be without cost. The pricing and allocation formula w
Slide 15: New Initiatives | Progress Report
New Initiatives | Progress Report Proof of Concept successful. Model being On track to achieve key targets (business & rolled out to rest of Mumbai operational) for FY25 ▪ 3-month Proof-of-Concept (POC) rolled out in Aug ’24 ▪ Rebranding for new business rolled out in Q2FY25 to test viability of lev
Slide 16: Branding & Communications
| Branding & Communications 15
Slide 17: Media Group | KPIs
Media Group | KPIs Focus continued to remain on quality revenue customers across DTV & BB. Planned “churn” of low yield customers has had no impact on the revenue targets set for Q2 FY2025. New strategy has resulted in an improvement in broadband ARPUs from `174 in Q2 FY2024 to `189 in Q2 FY2025. Br
Slide 18: Financial Update
Financial Update Srinivas Palakodeti 17
Slide 19: Overall Performance: Q2 FY 25 vs Q1 FY 25 vs Q2 FY 24
Overall Performance : Q2 FY 25 vs Q1 FY 25 vs Q2 FY 24 Amount in INR Cr Actual Actual QoQ Growth Actual YoY Growth Particulars Q2 FY 25 Q1 FY 25 % Q2 FY 24 % Revenue from operations 1,087.2 1,091.9 -0.4% 1,179.9 -7.9% Depreciation 133.2 131.2 134.9 Interest Expense 62.4 56.4 45.7 Other Income 120.4
Slide 20: Overall Performance: H1 FY 25 vs H1 FY 24
Overall Performance : H1 FY 25 vs H1 FY 24 Amount in INR Cr Actual Actual YoY Growth Particulars H1 FY 25 H1 FY 24 % Revenue from operations 2,179.1 2,313.3 -5.8% Depreciation 264.4 258.7 Interest Expense 118.8 84.5 Other Income 247.1 221.7 11.5% PBT (84.9) 52.9 Tax 22.7 17.8 PAT 111.0 35.1 216.6% P
Slide 21: Summary Balance Sheet
Summary Balance Sheet Amount in INR Cr As at As at As at As at Particulars Sep 24 Mar 24 Particulars Sep 24 Mar 24 EQUITY AND LIABILITIES ASSETS Equity Non-current assets Share capital 46.5 46.5 Fixed assets and leases 1,425.3 1,250.5 Other equity* 7,781.2 7,595.9 Intangibles 1,545.2 1,519.3 Total E
Slide 22: Summary Cash Flow
Summary Cash Flow Amount in INR Cr Particulars YTD Sep 24 YTD Sep 23 Profit Before Tax 133.7 52.9 Non-operating adjustments (34.3) 167.1 Change in operating assets and liabilities (14.8) (164.3) Income taxes paid (net) (62.0) (39.3) Cash from operating activities 22.5 16.3 Net Capex Investments (65.
Slide 23: Summary Financial Profile
Summary Financial Profile HGSL Particulars in INR Cr in USD Mn (Except per (Except per share data) share data) Particulars Mar-24 Jun-24 Sep-24 Shareholder's Fund 7,827.7 936.3 Gross Treasury & Cash Surplus 6,318.5 6,284.7 6,347.3 Total Borrowings 1,305.9 1,107.5 1,257.1 Book value per share 1,682.6
Slide 24: Q2 FY 2025: Operating Revenue Composition of Rs. 1,087 Cr
Q2 FY 2025: Operating Revenue Composition of Rs. 1,087 Cr
Slide 25: Q2 FY 2025: Operating Revenue Composition of Rs. 1,087 Cr
Q2 FY 2025: Operating Revenue Composition of Rs. 1,087 Cr Others: Jamaica, Colombia Others : Philippines, Jamaica
Slide 26: Q2 FY 2025: Operating Revenue Split by Vertical
Q2 FY 2025: Operating Revenue Rs. 1,087 Cr - Split by Vertical
Slide 27: Q2 FY 2025: Revenue Profile
Q2 FY 2025: Revenue Profile Client Concentration DSO DSO (In Days) 65 62 60 Q4 FY 24 Q1 FY25 Q2 FY25 Revenues of Rs 1,087 Cr
Slide 28: Thank You
Thank You investor.relations@teamhgs.com
Hinduja Global Solutions — Q2 FY2025 Earnings Presentation on 6ix