Coforge Limited · NSE:COFORGE

Coforge — Q4 FY2023 Earnings Presentation

20 slides from Coforge's earnings presentation, Apr 27, 2023

  1. Slide 1: Investor Presentation Q4FY23

    Investor Presentation Q4FY23 April 27, 2023

  2. Slide 2: Safe Harbor and Disclaimer

    Safe Harbor and Disclaimer Forward Looking Statements Safe Harbor This presentation contains forward-looking statements. In some cases, you can identify these forward-looking statements by the use of words such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “

  3. Slide 3: Coforge Crosses US$ 1 Bn Revenue Milestone, Beats Growth guidance

    Coforge Crosses US$ 1 Bn Revenue Milestone, Beats Growth guidance FY23 – Financial Highlights FY23 – Business Highlights ▪ On consolidated basis, FY23 revenues were up 22.4% YoY on a ▪ Robust total order intake of US$ 1,265 Mn during the year constant currency basis. ▪ Eleven large deals signed duri

  4. Slide 4: Q4FY23 Revenue up 5.6% QoQ in Reported and 4.7% in CC terms

    Q4FY23 Revenue up 5.6% QoQ in Reported and 4.7% in CC terms Q4FY23 – Financial Highlights Q4FY23 – Business Highlights ▪ On consolidated basis, Q4FY23 revenues were up 4.7% QoQ on a ▪ Robust order intake of US$ 301 Mn during the quarter constant currency basis. ▪ Two large deals signed during the qu

  5. Slide 5: FY23 – A Year of achieving US$ Billion-dollar Revenue Milestone

    FY23 – A Year of achieving US$ Billion-dollar Revenue Milestone Revenue (INR Mn) 24.6% Adj. EBITDA (INR Mn) 21.5% PAT* (INR Mn) 22.7% ₹ 80,146 ₹ 14,649 ₹ 8,117 ₹ 64,320 ₹ 12,056 ₹ 6,617 FY22 FY23 FY22 FY23 FY22 FY23 Revenue ($Mn) 15.6% Adj. EBITDA ($Mn) 12.7% PAT* ($Mn) 14.0% $1,002 $183.1 $101.5 $8

  6. Slide 6: Revenue up 5.6% QoQ and 24.5% YoY in INR terms

    Revenue up 5.6% QoQ and 24.5% YoY in INR terms Revenue (INR Mn) 5.6% QoQ 24.5% YoY Adj. EBITDA (INR Mn) 19.6% YoY PAT* (INR Mn) 12.1% YoY ₹ 20,558 ₹ 21,700 ₹ 4,244 ₹ 2,282 ₹ 2,327 ₹ 3,549 ₹ 3,797 ₹ 2,077 ₹ 17,429 Q4FY22 Q3FY23 Q4FY23 Q4FY22 Q3FY23 Q4FY23 Q4FY22 Q3FY23 Q4FY23 Revenue ($Mn) 5.0% QoQ 1

  7. Slide 7: Well Diversified Business Portfolio with Increasing Offshoring Revenues

    Well Diversified Business Portfolio with Increasing Offshoring Revenues Vertical Mix Location Mix (IT Revenues Only) BFS 28% 31% 26% 31% Insurance 53% 49% 50% Onsite 56% TTH 26% 28% 22% 23% Others 20% 19% 19% 19% 47% 51% 44% 50% Offshore 27% 28% 27% 28% Q4FY22 Q4FY23 FY22 FY23 Q4FY22 Q4FY23 FY22 FY2

  8. Slide 8: Very Significant Business Momentum Driving Robust Growth

    Very Significant Business Momentum Driving Robust Growth FRESH ORDER INTAKE TCV ($ MN) $1,265 $1,153 $748 $781 $646 $457 $507 FY17 FY18 FY19 FY20 FY21 FY22 FY23 New Clients 15 31 40 41 45 47 44 Added 8

  9. Slide 9: High Degree of Visibility Through Contracted Revenues and Repeat Business

    High Degree of Visibility Through Contracted Revenues and Repeat Business ORDER BOOK EXECUTABLE OVER NEXT 12 MONTHS ($MN) $1,200 91% 93% 92% 100% 89% 90% 89% 89% 90% $1,000 80% 70% $800 60% $600 50% 40% $869 $400 $720 30% $468 $520 20% $200 $339 $390 $320 10% $0 0% FY17 FY18 FY19 FY20 FY21 FY22 FY23

  10. Slide 10: De-Risked Operating Profile with Declining Client Concentration

    De-Risked Operating Profile with Declining Client Concentration While Increasing Large Account Relationships Top Clients Revenue Contribution Clients by Size 145 45.3% 137 42.4% 39.0% 38.3% 115 106 34.4% 35.5% 35.0% 35.5% 34.0% 90 101 80 100 73 88 80 32.8% 30.4% 66 28.3% 27.9% 24.3% 60 22.9% 23.2% 2

  11. Slide 11: Best-in-Industry Attrition Levels Testament to Coforge Culture

    Best-in-Industry Attrition Levels Testament to Coforge Culture Total Global Headcount LTM Attrition % (Excl. BPS) 22,991 23,224 22,500 22,742 22,505 1008 1059 928 963 291 1035 350 278 285 317 17.7% 18.0% 16.4% 15.8% 14.1% 21,294 21,494 21,692 21,815 21,153 Q4FY22 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q4FY22 Q

  12. Slide 12: Select Other Achievements During the Quarter

    Select Other Achievements During the Quarter • Received an award for the ‘Best Use of (AI) Artificial Intelligence in the BFSI sector’ at the Financial Express-FUTECH Awards 2022. Recognized for the application of AI in credit risk scoring. In addition, we won the award from MuleSoft for the ‘Breakt

  13. Slide 13: Key Tenets of Coforge Growth Strategy

    Key Tenets of Coforge Growth Strategy • FY23 total revenue growth of 24.6% and CC revenue growth of 22.4% Robust • Q4FY23 $ revenue growth of 5.0% QoQ and 4.7% QoQ in constant currency (CC) • FY23 Adj. EBITDA margin at of 18.3% Profitable • Q4FY23 Adj. EBITDA at INR 4,244 Mn, Margin at 19.6%, up 109

  14. Slide 14: Appendix

    Appendix 14

  15. Slide 15: Consolidated Income Statement – Q4FY23 (INR Mn)

    Consolidated Income Statement – Q4FY23 (INR Mn) Q4FY23 Q4FY23 Q3FY23 QoQ% Q4FY22 YoY% Particulars Excl One-Off Reported Reported Excl One-Off Reported Excl One-Off Gross Revenues 21,700 21,700 20,558 5.6% 17,429 24.5% Direct Costs 14,306 14,306 13,698 4.4% 11,620 23.1% Gross Profit 7,394 7,394 6,860

  16. Slide 16: Consolidated Income Statement – Q4FY23 (USD Mn)

    Consolidated Income Statement – Q4FY23 (USD Mn) Particulars Q4FY23 Q4FY23 Q3FY23 QoQ% Q4FY22 YoY% Excl One-Off Reported Reported Excl One-Off Reported Excl One-Off Gross Revenues 264.4 264.4 251.7 5.0% 232.4 13.8% Direct Costs 174.3 174.3 167.7 3.9% 154.9 12.5% Gross Profit 90.1 90.1 84.0 7.3% 77.5

  17. Slide 17: Consolidated Income Statement – FY23 (INR Mn)

    Consolidated Income Statement – FY23 (INR Mn) Particulars FY2023 FY2023 FY2022 YoY% Excl One-Off Reported Reported Excl One-Off Gross Revenues 80,146 80,146 64,320 24.6% GM% 32.5% 32.5% 32.0% 55 Bps Adj. EBITDA 14,649 14,649 12,056 21.5% Adj. EBITDA% 18.3% 18.3% 18.7% -47 Bps Acquisition related exp

  18. Slide 18: Consolidated Income Statement – FY23 (USD Mn)

    Consolidated Income Statement – FY23 (USD Mn) Particulars FY2023 FY2023 FY2022 YoY% Excl One-Off Reported Reported Excl One-Off Gross Revenues 1,002 1,002 866 15.6% Direct Costs 676 676 589 14.7% Gross Profit 326 326 277 17.6% GM% 32.5% 32.5% 32.0% 55 Bps Selling / General And Administration 143 143

  19. Slide 19: Other Key Metrics

    Other Key Metrics Q4FY23 Q3FY23 Q4FY22 Q4FY23 Q3FY23 Q4FY22 DSO Position (in Million) Hedge 61 73 63 USD 214.94 159.30 129.60 GBP 83.80 44.23 22.24 EUR 7.56 4.40 4.22 Q4FY23 Q2FY23 Q4FY22 Dollar Rate Q4FY23 Q3FY23 Q4FY22 Outstanding Rupee Period Closing Rate 82.11 82.73 75.90 Average Hedges 82.76 81

  20. Slide 20: Thank You

    Thank You End of Document Coforge

Coforge — Q4 FY2023 Earnings Presentation on 6ix