One 97 Communications Ltd. · NSE:PAYTM
One 97 Communications — Q1 FY2025 Earnings Presentation
18 slides from One 97 Communications's earnings presentation, August 2024
Slide 1: Earnings Presentation
Earnings Presentation For the quarter ending June 2024
Slide 2: Disclaimer
Disclaimer By attending the presentation or by reading the presentation slides the opinions and estimates of management at the date the express or implied, as to, and do not accept any responsibility or you agree to be bound as follows: statements are made and are subject to a variety of risks and l
Slide 3: Q1 FY 2025: Revenue and profitability impact in line with guidance
Q1 FY 2025: Revenue and profitability impact in line with guidance. Payment Operating Metrics rebounding to Jan’24 Levels Financial Highlights: Strong balance sheet and Cost Control • Operating revenue of • Strong balance sheet with ₹8,108 Cr cash on books; we also hold stock acquisition rights in P
Slide 4: Payment Services: Merchant Payment Operating Metrics rebounding to Jan'24 Levels
Payment Services: Merchant Payment Operating Metrics rebounding to Jan'24 Levels; Consumer Operating Metrics Remain Stable Merchant Subscription, including devices Daily Average GMV trends Indexed to Monthly Transacting Users (Qtr ending) Jan’24 (excluding disrupted products) 106 L 107 L 109 L 10.4
Slide 5: Payment Services: Financial performance
Payment Services: Financial performance Q1 FY 2025 payments revenue was ₹900 Cr Net Payment Margin Payment Processing Margin Merchant Subscription Revenue = + • Q1 FY25 Net payment Payment Processing Margin = Gross fees • Charges merchant pays for various margin was ₹383 Cr charged to the merchant –
Slide 6: Financial Services: Driving monetization by distribution of Loans, Wealth products and Insurance
Financial Services: Driving monetization by distribution of Loans, Wealth products and Insurance In Q1 FY 2025 financial services revenue was ₹280 Cr Value of personal loans and merchant loans distributed through our platform Loan Distribution (Qtr ending) • Expanding cross-selling by integrating mo
Slide 7: Marketing Services: Additional monetization from merchants
Marketing Services: Additional monetization from merchants Revenue from Advertising & Deals & Credit Cards Marketing Services Loyalty Services Vouchers We enable merchants to do more commerce activities and these various offerings are consolidated under marketing services In Q1 FY 2025, Marketing Se
Slide 8: Key Focus Areas
Key Focus Areas Lead the market with merchant Reactivate existing dormant Enhance credit distribution by payment innovations, including new customers while we await new UPI diversifying lending products and devices and aggregation of various user onboarding. Once we are allowed partners. Expand secu
Slide 9: Annexure
Annexure 9
Slide 10: Expected ESOP charges based on currently issued ESOPs
Expected ESOP charges based on currently issued ESOPs Expected ESOP Cost (₹ Cr) Q1 Q2 Q3 Q4 As of July 10, 2024 (in Cr) FY 2025 247* 319 275 220 Basic shares outstanding 63.6 ESOPs vested and unexercised 0.1 FY 2026 190 183 108 105 ESOPs granted and unvested 3.8 FY 2027 100 92 29 28 ESOPs available
Slide 11: Operating Revenue
Operating Revenue Quarter Ended Change (in ₹ Cr) June-24 Mar-24 June-23 YoY QoQ Payments & Financial Services 1,164 1,858 1,918 (39)% (37)% Payment Services to Consumers 83 438 554 (85)% (81)% Payment Services to Merchants 801 1,117 842 (5)% (28)% Financial Services and Others 280 304 522 (46)% (8)%
Slide 12: Contribution Profit and Contribution Margin
Contribution Profit and Contribution Margin Quarter Ended Change (in ₹ Cr) June-24 Mar-24 June-23 YoY QoQ Revenue from Operations 1,502 2,267 2,342 (36)% (34)% Payment processing charges 517 715 767 (33)% (28)% As % of GMV 0.12% 0.15% 0.19% (7) bps (3) bps Promotional cashback & 44 46 85 (48)% (3)%
Slide 13: EBITDA before ESOP
EBITDA before ESOP Quarter Ended Change (in ₹ Cr) June-24 Mar-24 June-23 YoY QoQ Contribution Profit 755 1,288 1,304 (42)% (41)% Contribution Margin % 50% 57% 56% (540) bps (651) bps Marketing 177 83 181 (2)% 114% Employee cost (excl ESOPs) 706 779 730 (3)% (9)% Software, cloud and data center 182 1
Slide 14: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures EBITDA before ESOP cost Quarter Ended (in ₹ Cr) June-24 Mar-24 June-23 EBITDA before ESOP cost (A) (545) 103 84 ESOP cost (B) (247) (326) (377) Finance costs (C) (4) (5) (7) Depreciation and amortization expense (D) (178) (196) (159) Other income (E) 138 132 123 S
Slide 15: Operational KPIs
Operational KPIs Quarter Ended Change (in ₹ Cr) Units June-24 Mar-24 June-23 YoY QoQ GMV ₹ Lakh Cr 4.26 4.69 4.05 5% (9)% GMV – Continued Business* ₹ Lakh Cr 4.26 4.29 3.36 27% (1)% Merchant Transactions Cr 900 962 793 13% (6)% Total Transactions Cr 1,023 1,129 963 6% (9)% MTU (avg over the period)
Slide 16: Breakup of available Cash and investable balance (Net Cash Balances)
Breakup of available Cash and investable balance (Net Cash Balances) Particulars (in ₹ Cr) Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 Cash and Bank Balances in Current Accounts (Net of Borrowings) 1,678 1,831 1,873 3,976 2,327 Deposits with banks 3,996 4,203 4,443 2,329 3,486 Current Investments (Mutual Fun
Slide 17: Definitions for Metrics & Key Performance Indicators
Definitions for Metrics & Key Performance Indicators Metric Definition GMV is the rupee value of total payments made to merchants through transactions on our app, through Paytm Payment Instruments or GMV through our payment solutions, over a period. It excludes any consumer-to-consumer payment servi
Slide 18: Paytm
Paytm
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