Slide 1: Exchange intimation letter on Cash Management Solutions session
Date: April 19, 2023 National Stock Exchange of India Limited BSE Limited Exchange Plaza Phiroze Jeejeebhoy Towers C-1, Block G, Bandra Kurla Complex, Dalal Street Bandra (E), Mumbai-400051 Mumbai-400001 Company Symbol: SIS Company Code: 540673 Dear Sir/Madam, Sub.: Presentation and audio recording
Slide 2: Cash Management Solutions - SIS Confluence 2023
CASH MANAGEMENT SOLUTIONS SIS Confluence 2023 18th April 2023
Slide 3: Disclaimer
Certain words and statements in this communication concerning SIS Limited (“the Company”) and its prospects, and other statements relating to the Company’s expected financial position, business strategy, the future development of the Company’s operations and the general economy of India & global mar
Slide 4: Today's Speaker
Mr. Oscar Esteban has over three decades of experience across industries in leadership positions. He has international experience across Europe, LATAM and Asia and within Asia, he has worked across China, Singapore, UAE, Saudi Arabia and India. Oscar has been with Prosegur since 2002. While working
Slide 5: Our Positioning
Our Positioning Highly reputed and fastest growing cash management company in India. Ranked #2, SIS Prosegur is a leader in implementing innovative global practices, by making cash payments more efficient
Slide 6: Company Overview
Company Overview INDIAN #1 #2 2.80lakhs+ 15,800+ Market leader Security Facility Employees Clients solutions management GLOBAL 160,000+ 10,000+ 25 Market leader Employees Vehicles for Countries in cash 5 continents movement 10,000 10,000+ 3,000 22,000 JV since ATMs Employees Cash vans Retail 2012 Po
Slide 7: Pan India reach
Pan India reach 15 90+ 60+ Regions Branches Vaults Corporate Office Branch Office Prospect Branch Training Academy Regional Office Hub Prospect Hub SIS-Prosegur is the 2nd largest cash logistics provider in India 6
Slide 8: SIS-Prosegur: Cornerstone of cash supply chain management
SIS-Prosegur: Cornerstone of cash supply chain management SIS-Prosegur is key in keeping India’s economy moving Bank Reserve Bank Retail Branch of India Transport DEMAND Processing Vaulting ATM ATM Malls Currency Chest 7
Slide 9: India's robust fundamentals to drive growth of the cash management industry
India’s robust fundamentals to drive growth of the cash management industry.. GDP Growth % GDP growth % (By country) in 2022 8.3 8.7 6.9 6.8 6.5 3.7 4.0% 1.1% 2.1% UK 16-17 17-18 18-19 19-20 20-21 21-22 22-23 3.0% 6.9% Japan USA China India Average growth: 5% -6.6 2.9% 3.7% • With a CAGR of 15%, the
Slide 10: India's high GDP growth rate is expected to strengthen its leadership position
India’s high GDP growth rate is expected to strengthen its leadership position Demographics Economics World’s largest economies (measured in USD) Ranking 1980 2000 2022 2050 2075 1 United States United States United States China China 2 Japan Japan China United States India 3 Germany Germany Japan I
Slide 11: Cash continues to be the preferred mode of payment
Cash continues to be the preferred mode of payment, growing at a CAGR of 11% (Oct. ‘16 – Oct.’22) Cash in Circulation (₹ lakh cr.) 29 24 19 CAGR: 11% 14 Cash to GDP ratio: 13% 9 4 Jul-20 Jul-17 Jul-18 Jul-19 Jul-21 Jul-22 Apr-17 Apr-18 Apr-19 Apr-20 Apr-21 Apr-22 Jan-17 Jan-18 Jan-19 Jan-20 Jan-21 J
Slide 12: Comprehensive range of classic Cash Management Solutions
SIS-Prosegur offers a comprehensive range of classic Cash Management Solutions… Cash Pickup & ATM Cash Assistant – Cash in Transit Vaulting Delivery Replenishment Cash Processor 11
Slide 13: New innovative solutions
…as well as new innovative solutions Bullion Cash Processing Value Cargo PEGE CashToday Management Outsourcing 12
Slide 14: Becoming a trusted partner for clients
Becoming a trusted partner for clients Banks MSP Retail & Govt. Organization CHOKSI DEVANG PRAVINCHANDRA RUPALI GOLD 76% 21% 3% 13 Revenue Contribution as of 9M-FY23
Slide 15: Our journey
Our journey Revenue (₹ MN.) • Rating: A Stable (LT). A1 (ST) 3,926 • 15% increase in revenue, with 22% growth in run-rate FY22.. • 65% growth in new services • 57% growth in EBITDA 150 FY 12 FY 22 FY19 – • Focused on compliance. FY21 Introduction of 4 new business lines. Complete restructuring • Str
Slide 16: Initiatives that improved profitability
Initiatives that improved profitability Tariff Routes New Insurance Indirect R&M Vehicles Increase Productivity Contracts Staff Multiple factors and initiatives have contributed towards SIS Prosegur’s journey to become a profitable business provider 15
Slide 17: Operational Highlights
Operational Highlights Productivity (Revenue/Total Indirect manpower per Direct employees cost) manpower, in heads (%) 2.05 2.06 2.18 8.5% 8.4% 1.95 1.97 7.8% 7.5% 7.2% 7.0% 1.64 FY20 FY21 FY22 Q1 FY23 Q2 FY23 Q3 FY23 FY20 FY21 FY22 Q1 FY23 Q2 FY23 Q3 FY23 SG&A as % of Revenue Mar-18 vs Mar-22 12.2%
Slide 18: Financial Highlights (1/2)
Financial Highlights (1/2) Revenue (₹ cr.) EBITDA PAT 392.6 EBITDA (Rs. Crore) Margin (%) PAT (Rs. Crore) Margin (%) 330.4 17.2% 3.3% 321.0 14.4% 15.2% 13.6% 1.8% 0.7 4.7 4.2 2.5 8.7% -9.1 -0.2 1.2% 128.1 142.9 7.0% 0.5% 123.0 -0.1% 22.4 28.8 53.3 17.7 22.0 21.8 -2.8% FY20 FY21 FY22 Q1 Q2 Q3 FY20 FY
Slide 19: Financial Highlights (2/2)
Financial Highlights (2/2) Capex (lakhs) Net Operating Cash-flow (lakhs) 8,552 10,203 6,656 4,950 3,231 2,306 1,863 -215 FY20 FY21 FY22 H1 FY23 FY20 FY21 FY22 H1 FY23 • Sustained investments in capex to drive business growth: Growth initiatives and the implementation of RBI-MHA regulations, primaril
Slide 20: Key Differentiators
Key Differentiators Innovation and Regulation and Vision and De-risk People technology Compliance Leadership • Minimal losses as a % of • Promoting a more • Set-up Cash Logistics • 25 hours annual training • Productivity & security revenue vs 1-3% industry professional and level Association, held pe
Slide 21: World class technology and innovation to enhance efficiency
World class technology and innovation to enhance efficiency Applications for seamlessly capturing service data from PoS to billing Cash Today: New business line as a Bank on wheels: Fully equipped mobile bank back-office solution for retail; software NoC international: For risk mitigation branch to
Slide 22: Industry Potential
Industry Potential Mostly cash logistics business (90%), with 25% ops still in-house by Banks Regulation ▪ Increase in barriers to entry ▪ Cash industry’s worldwide ratio in ▪ High capex requirements mature markets is at 60:40 (logistics: processing) 7% of the cash management Organized retail as a n
Slide 23: Key highlights
Key highlights 2 No. 2 in the industry Pan-India presence Leadership in global practices, new solutions and innovation Reputation: Best in class service and low losses Balanced services portfolio First mover on compliance 22
Slide 24: Q&A
Q&A 23
Slide 25: Thank You
Thank You Bharat Bakhshi (President - M&A, IR and Ventures) Mayank Vaswani / Devrishi Singh Shweta Jain (Associate Vice President – M&A & IR) CDR India SIS Ltd. Tel: + 91 98209 40953 / +91 98205 30918 Email: investorrelations@sisindia.com Email: mayank@cdr-india.com devrishi@cdr-india.com 24
Slide 26: Annexure
Annexure 25
Slide 27: Organisation Chart
Organisation Chart Oscar Esteban, CEO (Cash India) Sanjay Talekar, J K Akash, DGM OPS Compliance & Sr. VP BL (DSB & VP (P & I) COO VP BL (ATM) Audit Control (HR & Admin) Bullion) Neerja Goswami, Puneet Chauhan, Financial VP BL (CIT, CACP, AVP (CPO & Cash PEGE & Value Cargo) Today) Controller Busines