Zensar Technologies Limited · NSE:ZENSARTECH
Zensar Technologies — Q4 FY2022 Earnings Presentation
49 slides from Zensar Technologies's earnings presentation, May 10, 2022
Slide 1: Outcome of the Board Meeting
May 10, 2022 BSE Limited The National Stock Exchange of India Ltd. Corporate Service Department, Exchange Plaza, 3rd floor, 1st Floor, P. J. Towers, Plot No. C/1, ‘G’ block, Dalal Street, Bandra Kurla Complex, Bandra (E), Mumbai 400 001 Mumbai 400 051 Fax: (022) 2272 2039/2272 3121 Fax: (022) 265982
Slide 2: Final Dividend and Director Re-appointments
3. Final Dividend: • Recommendation of final dividend at INR 3.50 (175%) per equity share of INR 2.00 each, for FY 2021-22, subject to approval by Members at the ensuing Annual General Meeting (“AGM”). • The dividend, if approved, shall be paid/dispatched to the shareholders within 30 days of its ap
Slide 3: Appointment of Statutory Auditors
6. Recommendation for appointment of Statutory Auditors subject to approval of members at the AGM: Recommendation for appointment of M/s. S R B C & CO LLP (ICAI Firm Registration No. FRN 324982E/E300003), Ground floor, Panchshil Tech Park, Yerwada (near Don Bosco School) Pune- 411006, India as the S
Slide 4: Annexure A: Appointment of Chief Financial Officer
Annexure A [Regulation 30 read with Para A of Part A of Schedule III to SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015] Appointment of Mr. Sachin Zute as Chief Financial Officer of the Company S. Particulars Description No. 1. Reason for change viz., appointment, Mr. Sachin
Slide 5: Annexure B: Re-appointment of Independent Directors
Annexure B [Regulation 30 read with Para A of Part A of Schedule III to SEBI (Listing Obligations andDisclosure Requirements) Regulations, 2015] Re-appointment of Non-Executive, Independent Director(s) Sr. Details of events that Information of such events No. needs to be provided Mr. H. V. Goenka Mr
Slide 6: Annexure C: Appointment of Statutory Auditors
Annexure C [Regulation 30 read with Para A of Part A of Schedule III to SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015] Recommendation for Appointment of M/s S R B C & CO LLP (ICAI Firm Registration No. FRN 324982E/E300003) as the Statutory Auditors of the Company S. Partic
Slide 7: Independent Auditor's Report on Standalone Results
| i Chartered Accountants D e oO itte 706, 'B' Wing, 7th Floor ICC Trade Tower Haskins & Sells LLP poallaerrhec en Pune-411 016 Maharashtra, India Tel: +91 20 6624 4600 Fax: +91 20 6624 4605 INDEPENDENT AUDITOR’S REPORT ON AUDIT OF ANNUAL STANDALONE FINANCIAL RESULTS AND REVIEW OF QUARTERLY FINANCIA
Slide 8: Auditor's Report (continued)
Deloitte Haskins & Sells LLP with the ethical requirements that are relevant to our audit of the Standalone Financial Results for the year ended March 31, 2022 under the provisions of the Act and the Rules thereunder, and we have fulfilled our other ethical responsibilities in accordance with these
Slide 9: Auditor's Report (continued)
Deloitte Haskins & Sells LLP e Identify and assess the risks of material misstatement of the Annual Standalone Financial Results, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a ba
Slide 10: Auditor's Report: Review of Quarterly Results
Deloitte Haskins & Sells LLP (b) Review of the Standalone Financial Results for the quarter ended March 31, 2022 We conducted our review of the Standalone Financial Results for the quarter ended March 31, 2022 in accordance with the Standard on Review Engagements (“SRE”) 2410 ‘Review of Interim Fina
Slide 11: Statement of Standalone Results, Quarter and Year ended March 2022
Zensar Technologies Limited Registered Office : Zensar Knowledge Park, Kharadi, Plot # 4 , MIDC, Off Nagar Road, Pune - 411014, India. CIN: L72200PN1963PLC012621 Statement of Standalone Results for the Quarter and Year ended March 31, 2022 Amount in INR Mn. Quarter Ended Year ended Particulars 31-Ma
Slide 12: Standalone Balance Sheet
As at March As at March Particulars 31, 2022 31, 2021 Audited Audited Equity And Liabilities Equity (a) Equity Share Capital 452 451 (b) Other Equity i. Reserves and surplus 20,389 17,905 ii. Other components of equity (27) 1 Total - Equity 20,814 18,357 Non-Current Liabilities (a) Financial Liabili
Slide 13: Standalone Statement of Cash Flows
Annexure I Zensar Technologies Limited Standalone Statement of Cash Flows Year Ended Particulars 31-Mar-2022 31-Mar-2021 Audited Audited Cash flow from operating activities Profit before taxation 4,303 3,732 Adjustments for: Depreciation, amortisation and impairment expense 883 894 Employee share ba
Slide 14: Independent Auditor's Report on Consolidated Results
Chartered A tant Deloitte neat = icc Trade Tower Haskins & Sells LLP Senapai apa Road Maharashtra, India Tel: +91 20 6624 4600 Fax: +91 20 6624 4605 INDEPENDENT AUDITOR'S REPORT ON AUDIT OF ANNUAL CONSOLIDATED FINANCIAL RESULTS AND REVIEW OF QUARTERLY FINANCIAL RESULTS TO THE BOARD OF DIRECTORS OF Z
Slide 15: Auditor's Report: Basis for Opinion
Deloitte Haskins & Sells LLP Basis for Opinion on the Audited Consolidated Financial Results for the year ended March 31, 2022 We conducted our audit in accordance with the Standards on Auditing (“SAs”) specified under Section 143(10) of the Companies Act, 2013 (“the Act”), Our responsibilities unde
Slide 16: Auditor's Responsibilities
Deloitte Haskins & Sells LLP Auditor's Responsibilities (a) Audit of the Consolidated Financial Results for the year ended March 31, 2022 Our objectives are to obtain reasonable assurance about whether the Consolidated Financial Results for the year ended March 31, 2022 as a whole are free from mate
Slide 17: Auditor's Report (continued)
Deloitte Haskins & Sells LLP e Obtain sufficient appropriate audit evidence regarding the Annual Standalone Financial Results, entities within the Group to express an opinion on the Annual Consolidated Financial Results. We are responsible for the direction, supervision and performance of the audit
Slide 18: Other Matters
Deloitte Haskins & Sells LLP Other Matters The Statement includes the results for the Quarter ended March 31, 2022 being the balancing figure between audited figures in respect of the full financial year and the published year to date figures up to the third quarter of the current financial year whi
Slide 19: Annexure to Auditor's Report: List of Entities
Deloitte Haskins & Sells LLP Annexure to Auditor's Report: List of Entities: 1. 2. 19. 20. Zensar Technologies Inc. Zensar Technologies (UK) Limited Zensar (Africa) Holdings Pty Limited Zensar (South Africa) Pty Limited Professional Access Limited (Merged with Zensar Technologies Inc. w.e.f April 01
Slide 20: Statement of Consolidated Results, Quarter and Year ended March 2022
Zensar Technologies Limited Registered Office : Zensar Knowledge Park, Kharadi, Plot # 4 , MIDC, Off Nagar Road, Pune - 411014, India. CIN: L72200PN1963PLC012621 Statement of Consolidated Results for the Quarter and Year ended March 31, 2022 Amount in INR Mn. Quarter Ended Year Ended Particulars 31-
Slide 21: Consolidated Balance Sheet
Equity And Liabilities Equity (a) Equity Share Capital 452 451 (b) Other Equity i. Reserves and surplus 26,140 22,786 ii. Other components of equity 277 186 Equity Attributable to Owners of the Company 26,869 23,423 Non controlling interests (refer note 9) - 288 Total - Equity 26,869 23,711 Liabilit
Slide 22: Standalone Financial Information and Notes
3 Results of Zensar Technologies Limited on a standalone basis are hosted on its website www.zensar.com. Standalone Financial Information Quarter Ended Year Ended Particulars 31-Mar-2022 31-Dec-2021 31-Mar-2021 31-Mar-2022 31-Mar-2021 Unaudited Unaudited Unaudited Audited Audited Revenue from operat
Slide 23: Consolidated Statement of Cash Flows
Annexure I Zensar Technologies Limited Consolidated Statement of Cash Flows Year Ended Particulars 31-Mar-2022 31-Mar-2021 Audited Audited Cash flow from operating activities Profit before taxation 5,741 4,329 Less/(add): Exceptional Item - (491) Profit before exceptional item and tax 5,741 4,820 Ad
Slide 24: Zensar reports 27.4% quarterly YoY growth in Q4FY22
Zensar reports 27.4% quarterly YoY growth in Q4FY22 Pune, India, May 10, 2022: Zensar Technologies, a leading experience engineering and technology solutions company, announced its consolidated financial results for its fourth quarter ending March 31, 2022, of the fiscal year 2021-2022. Financial Hi
Slide 25: CFO Commentary and Significant Wins in Q4FY22
Speaking on the Q4FY22 performance, Sachin Zute, CFO, Zensar Technologies said, “Our PAT has registered a quarterly YoY growth of 38.7% and 18.4% YoY for FY22. Our net cash stood at $155.7M at the end of Q4FY22. Our order book for the Q4FY22 quarter stood at $165.6M, a healthy 32% growth over the la
Slide 26: About RPG Enterprises and Safe Harbor
Catch our refreshed new website at: www.zensar.com About RPG Enterprises (www.rpggroup.com) RPG Enterprises, established in 1979, is one of India's fastest-growing business groups with a turnover of US$ 4Bn. The group has diverse business interests in the areas of Infrastructure, Tires, Pharma, IT a
Slide 27: Zensar reports 27.4% quarterly YoY growth in Q4FY22
Zensar reports 27.4% quarterly YoY growth in Q4FY22 Pune, India, May 10, 2022: Zensar Technologies, a leading experience engineering and technology solutions company, announced its consolidated financial results for its fourth quarter ending March 31, 2022, of the fiscal year 2021-2022. Financial Hi
Slide 28: CFO Commentary and Significant Wins in Q4FY22
Speaking on the Q4FY22 performance, Sachin Zute, CFO, Zensar Technologies said, “Our PAT has registered a quarterly YoY growth of 38.7% and 18.4% YoY for FY22. Our net cash stood at $155.7M at the end of Q4FY22. Our order book for the Q4FY22 quarter stood at $165.6M, a healthy 32% growth over the la
Slide 29: Q4 FY22 Revenue and Profitability Snapshot
Q4 FY22 Revenue and Profitability snapshot: Q4 FY22 Growth Particulars Q-o-Q Y-o-Y USD Mn INR Mn USD INR CC USD INR CC Revenue 153.2 11,538 4.1% 4.7% 4.2% 27.4% 31.6% 28.5% EBITDA 21.6 1,642 2.5% 3.7% -9.5% -5.7% EBIT 15.2 1,161 3.1% 4.6% -14.4% -10.5% PAT 17.2 1,299 42.1% 42.8% 38.7% 43.6% Performa
Slide 30: Income Statement (USD Mn)
Income Statement (USD Mn) Income Statement (USD Mn) Q4 FY21 Q3 FY 22 Q4 FY 22 FY21 FY22 Operating revenue 120.2 147.1 153.2 494.0 569.4 Sequential Growth -2.1% 3.7% 4.1% Year-Over-Year Growth -10.9% 19.8% 27.4% -12.7% 15.2% Cost of revenue 78.3 103.5 107.0 328.7 391.9 Gross profit 41.9 43.6 46.2 165
Slide 31: Income Statement (INR Mn)
Income Statement (INR Mn) Income Statement (INR Mn) Q4 FY 21 Q3 FY 22 Q4 FY 22 FY 21 FY22 Operating revenue 8,767 11,025 11,538 36,682 42,438 Sequential Growth -3.3% 4.9% 4.7% Year-Over-Year Growth -10.2% 21.6% 31.6% -8.5% 15.7% Cost of revenue 5,708 7,758 8,055 24,417 29,213 Gross profit 3,059 3,26
Slide 32: Other Metrics: Revenue by Service, Industry, Geography
Other Metrics Other Metrics Q4 FY21 Q3 FY 22 Q4 FY 22 FY21 FY 22 Revenue By Service Offering (as % of Revenue) Digital & Application Services (DAS) 84.9% 82.3% 81.7% 85.0% 83.5% Digital Services 55.9% 59.9% 59.8% 54.5% 59.8% Core Application Services 29.0% 22.5% 22.0% 30.5% 23.7% Digital Foundation
Slide 33: Other Metrics: Clients, Utilization, Headcount
Other Metrics Q4FY21 Q3FY22 Q4FY22 FY21 FY22 Number of million dollar Clients (LTM Revenue) 1 Million dollar + 78 81 83 78 83 5 Million dollar + 24 25 27 24 27 10 Million dollar + 7 11 11 7 11 20 Million dollar + 2 4 4 2 4 Revenue from top clients Revenue- top 5 clients 37.0% 34.2% 33.3% 38.8% 34.9%
Slide 34: About Zensar
About Zensar (www.zensar.com): We conceptualize, build, and manage digital products through experience design, data engineering, and advanced analytics for over 130 leading companies. Our solutions leverage industry-leading platforms, and help clients be competitive, agile, and disruptive as they na
Slide 35: Analyst Presentation, Quarter ending March 31, 2022
zensar Analyst Presentation Quarter ending March 31, 2022 Zensar Technologies Ltd. An RPG Company
Slide 36: Safe Harbor
Safe Harbor Certain statements in this release concerning our future prospects are forward-looking statements which involve a number of underlying identified/non identified risks and uncertainties that could cause actual results to differ materially. This release and other statements - written and o
Slide 37: Q4FY22: Growth momentum continues
Q4FY22: Growth momentum continues Revenue PAT % Cash 1) 11.2% $155.7M At $153.2M ail 300 bps QoQ Ue 27.4% YoY ‘? Headcount Wins (ci 11,839 §4 $165.6M IY 11.3% Q00 32% Q0Q (f) BFSI CS HTM 35.4% 34.1% 13.7% a YoY growth YoY growth YoY growth www.zensar.com | © Zensar Technologies 2022 | Page 3 #AnewZe
Slide 38: Consistent growth across key verticals and geographies
Q4FY22: Consistent growth across key verticals and geographies @ Hi-Tech, 36.4% Vertical Quarterly YoY growth SY @ Insurance, 17.7% Hi-Tech 18.8% I 11.8% Revenue by @ Consumer Services, 16.1% nsurance 1.8% vertical e Consumer Services 34.1% i 9 Banking, 14.3% Banking 83.1% Manufacturing, 9.5% Manufa
Slide 39: Numbers walk: Revenue growth across verticals
Numbers walk: Revenue growth across verticals Revenue walk (in $M terms) 2.3 153.2 29 1.0 re 1471 -0.1 || Exchange Impact HTM & Emerging Consumer Services BFSI 7 ~ EBITDA walk (in % of rev terms) 11% -0.6% 0.1% -0.8% 14.3% le il 7 = aan Exchange Volume & Higher cost of SG&A impact Utilization delive
Slide 40: Client revenue mix: Increase in 5M+ category
Client revenue mix: Increase in 5M+ category Client mix (Mn Dollar+ clients) 4 4 2 Q3FY22 | aary22 Oaryo) Me 20 Mn Dollar+ 1 1 Q3FY22 P\ Q4ry22 7 QaFY21 10 Mn Dollar+ 27 25 Q4FY22 O3FY22 24 QaFY21 5 Mn Dollar+ Revenue mix (% of total revenue) www.zensar.com | © Zensar Technologies 2022 | Page 6 Q4FY
Slide 41: Win momentum continues: Notable projects
Win momentum continues: Notable projects ESS a nerpri * interprise e-commerce support to Cloud architecture u| ui *® enhance the online shopping a? | modernization for a major mobility service provider experience for a global lifestyle brand End-to-end datacenter and workplace transformation service
Slide 42: Case studies: Next-generation services bring business value
Case studies: Next-generation services bring business value Customer registry operations: Powering agility, flexibility, and self- service in business operations eee Digitally enabled pipelines: Automating end-to-end billing through improved image processing Ne . User journeys within a commerce clou
Slide 43: ESG initiatives
ESG initiatives Connected experiences. Sustainable future. Environment Carbon emissions: Net-zero GHG emissions by FY40 Energy consumption:50% reduction in Energy Performance Index by FY30 Waste & water management: By FY25 for owned premises: + Water positive + Zero water discharge facilities + Zero
Slide 44: Awards and recognition
Awards and recognition zensar Awards 8 AEGIS a ) & GRAHAM BELL lop BIMA AWARDS Recognized for Innovative Recognized as a 2022 Recognized at the 2022 Foolproof named as one of the Digital Transformation for Top Employer in South Training APEX #BIMA10 (British Interactive Banking and Finance Africa by
Slide 45: RPG Group Update
RPG Group Update
Slide 46: RPG Group key financials
RPG Group key financials FY17-21 CAGR | Gross Total Income 7.0% | EBITDA 10.1% | PAT 8.9% EEE Gross Total Income (In Cr.) {EE EBITDA OD Pat 26,269 24,682 23,833 21,766 20,052 : www.zensar.com | © Zensar Technologies 2022 | Page 12 #AnewZensar
Slide 47: RPG Group key financials: net worth, ROE, market cap
RPG Group key financials GS Net Worth —@— ROE —®— ROCE 9,786 8,441 7,775 14.9% Market Cap Group CEAT KEC ZENSAR 2888 a er ra 8,313 3,769 Feb-21 Mar-21 Apr-21 May-21 Jun-21 Jul-21 Aug-21 Sep-21 Oct-21 Nov-21 Dec-21 Jan-22 Feb-22 Mar-22 Note: 1) ROCE is calculated by taking EBIT*(1-ETR) divided by Cap
Slide 48: Zensar's stock price and shareholding pattern
Zensar’s stock price and shareholding pattern —Share Price ——Volume Millions Oe ae ae a 3 ” s » s * s x * x ws Shareholding Pattern Equity Share Information +» Share Price (31 March 2022): INR 366.95 per share * Market Cap (31 March 2022): INR 8,313 Crores + Financial Year: April to March +» Face Va
Slide 49: Thank You
zensar Thank You An @RPG Company
Zensar Technologies — Q4 FY2022 Earnings Presentation on 6ix