Slide 1: Cover letter to stock exchanges: Investors Presentation
November 13, 2021 To, To, BSE Limited National Stock Exchange of India Limited Floor 25, Phiroze Jeejeebhoy Towers, “Exchange Plaza”, Bandra-Kurla Complex, Dalal Street, Bandra (East), Mumbai-400001 Mumbai-400051 Security Code- 539978 NSE Symbol- QUESS Dear Sir / Madam, Sub: Investors Presentation P
Slide 2: Winning Together Investor Presentation Q2FY22
Winning Together Investor Presentation Q2FY22 © Quess Corp Limited 2021. All rights reserved | 1
Slide 3: Safe Harbor
Safe Harbor This presentation has been prepared by Quess Corp Limited (“Company") solely for information purposes without any regard to any specific objectives, financial situations or informational needs of any particular person. This presentation may not be copied, distributed or disseminated, dir
Slide 4: Contents
Contents 1 Company Overview 2 Key Highlights 3 Financial Performance 4 Platform-wise Highlights © Quess Corp Limited 2021. All rights reserved | 3
Slide 5: Company Overview
Company Overview © Quess Corp Limited 2021. All rights reserved | 4
Slide 6: Leading domestic private sector employer, with ~401,000 FTE
Leading domestic private sector employer, with ~401,000 FTE Only service provider with offerings across employment models Q2FY20 Earnings Presentation © Quess Corp Limited 2021. All rights reserved | 5
Slide 7: India's largest business services platform, driving productivity for customers
India’s largest business services platform, driving productivity for customers Front End Processes Support Processes Marketing In-store & Omni channel CLM & Staffing & Compliance Facilities Services* Field Sales* Backoffice Services Payroll Tech & Services Maintenance Collections* Installation & Ind
Slide 8: We operate across 3 synergistic platforms
We operate across 3 synergistic platforms Workforce Management Global Technology Solutions Operating Asset Management General staffing across Retail, BFSI, CLM solutions (Voice and Non-voice Facilities management solutions (e.g., Telecom, Industrial, etc., mostly grey CLM) for Indian & North A
Slide 9: Our customer proposition is unrivalled
Our customer proposition is unrivalled Scale Agility Technology ~401,000* associates and employees An entrepreneurial 14-year old startup Significant frontline productivity over 600+ cities capabilities (e.g., WorQ, QJobs, Widest repertoire of services, including International operations i
Slide 10: We lead with technology and innovation
We lead with technology and innovation 1 Digital Hire-to-Retire 2 Technology-led Frontline Productivity Sourcing Digital sourcing via auto-hiring engines, with digital pre-screening and assessment Digital WorQ WorkTech platform to remotely via QJobs and Monster workflow assign & monitor tasks, d
Slide 11: Our focus is on Winning Together with our Customers, People and Investors
Our focus is on Winning Together with our Customers, People and Investors Achieving and sustaining 20% RoE Leveraging technology to become Delivering 20% CAGR on OCF extensions of our customers’ operations Enhancing investor value through judicious capital allocation Innovating our service
Slide 12: Winning with Investors: The path to 20%
Winning with Investors: The path to 20% Sustained Growth 20% EBITDA CAGR through enhanced sales capabilities, cutting edge technology, and improved cross-sell capability Portfolio adjustments to turnaround or exit underperforming 20% Return on Equity businesses Higher EBITDA To PAT Conversion 20
Slide 13: We enjoy massive macroeconomic tailwinds
We enjoy massive macroeconomic tailwinds Indian GDP expected to grow between 8-10%@ between 2021-22 Growing labour ~ 493 million Indian labour force growing at 5.7% CAGR (2015-20) market One of the world’s largest labour forces, experiencing a tectonic shift in composition and focus Formalis
Slide 14: We have a clear ESG framework
We have a clear ESG framework >106,000 employees (30%) hired in FY21 What’s good 4.2 million sq. ft. of green spaces maintained enjoyed first time social security benefits for society is across India in FY21 good for ~95,000 employees (~27%) hired in FY21 were Quess Business model drives e-w
Slide 15: Key Corporate and Financial Updates
Key Corporate and Financial Updates © Quess Corp Limited 2021. All rights reserved | 14
Slide 16: Update on Q2 operating environment
Update on Q2 operating environment Opportunity-rich hiring environment • The Monster Employment Index (MEI)* of hiring activity increased by 6% between Jun-21 and Sep-21 • Our Allsec payroll data shows over 11% increase in same-customer payslips processed in September this year versus March 20 pre
Slide 17: Q2'22 Financial Highlights
Q2’22 Financial Highlights Revenue: Up 23% YoY driven by General Staffing (up Revenue (in ₹ cr) EBITDA (in ₹ cr) & margin (%) SG&A / Revenue 27%), ConneQt (up 27%), and Industrials (up YoY 23% YoY 12% 24%) 3,228 QoQ 8% 200 QoQ 12.0%7% Up 8% QoQ, given macroeconomic tailwinds 2,987 160 140 147 15
Slide 18: Q2'22 Corporate Updates
Q2’22 Corporate Updates Declared interim dividend of INR 4/- during the board meeting scheduled on 13th Nov,2021 Named amongst the Top 10 HR Tech solution providers in India by the Enterprise World magazine 2 of our GTS service lines - Multi Country Payroll (MCP) Solutions and Insurance Platfo
Slide 19: Platform-wise Updates
Platform-wise Updates © Quess Corp Limited 2021. All rights reserved | 18
Slide 20: Workforce management – Performance Snapshot
Workforce management – Performance Snapshot Financial Metrics Operating Metrics Revenue (Rs Cr) Associate Headcount# (‘000) Core:Associate FTE^(Gen Staff; 1:X) 2,143 281 2,011 2,005 27% 253 256 1,843 226 30% 379 16% 1,686 YoY 216 373 YoY 367 YoY 359 327 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q2'21 Q3'21 Q4'2
Slide 21: Workforce Management – Revenue Distribution and Customer Insights
Workforce Management – Revenue Distribution and Customer Insights Revenue Distribution 10% 15% 2% 9% < 2 Years GS QITS Customer-wise 46% Revenue 2-5 Years Tenure Distribution TSD (# Customers) Simpliance > 5 Years 38% Overseas Staffing 79% Good customer loyalty & healthy new customer addition: GS ac
Slide 22: Global Technology Solutions – Performance Snapshot
Global Technology Solutions – Performance Snapshot (excl. Emerging Businesses) Financial Metrics Revenue Distribution Operating Metrics Revenue (Rs Cr) Revenue / Employee (Rs ‘000) 2% YoY 135 16% 16% 15% 16% 16% 132 502 18% YoY 128 125 457 459 461 122 425 21% 20% 20% 23% 21% Q2'21 Q3'21 Q4'21 Q1'22
Slide 23: Global Technology Solutions – Revenue Distribution and Customer Insights
Global Technology Solutions– Revenue Distribution and Customer Insights (excl. Emerging Businesses) Diversified Revenue Base 16% BFSI 25% 5% IT/ITES 41% 7% By Retail By India Sector Geography Telecom NAM 9% Industrials 75% Others 23% Revenue-base diversified across sectors India is the main focus Cu
Slide 24: CLM growth accelerating post pandemic
CLM growth accelerating post pandemic Conneqt is well poised to ride tailwinds… Global BPM market Leader in India across industry verticals servicing: Growth Drivers size USD billion • 8 out of top 10 public sector banks & Top 5 private banks • Major E commerce & retail players • Largest telecom &
Slide 25: Operating Asset Management – Performance Snapshot
Operating Asset Management – Performance Snapshot Financial Metrics Operating Metrics Revenue (Rs Cr) 490 15% Associate Headcount ('000) Revenue/Headcount/Month (Rs '000) 465 465 23 22 22 11% YoY 10% 20 20 427 428 YoY YoY 74 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 70 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 69 EBITDA fr
Slide 26: Operating Asset Management – Revenue Distribution and Customer Insights
Operating Asset Management – Revenue Distribution and Customer Insights Revenue Distribution 5% Industrials 3% 7% IFM* 7% IT/ITES 11% 31% BFSI Security Services 9% By Education By Business Industrials w/o Sector Healthcare & Hospitality 21% Segment 11% 61% Telecom Telecom Telecom Real Estate 17% 16%
Slide 27: Emerging Businesses Performance Snapshot
Emerging Businesses Performance Snapshot Active Jobs (in’000) New customer Sales (₹ Cr.) # Calls (‘000) Revenue (Rs Cr) Key Operational Metrics (Q2 FY22) 11.8 68.9 903 K new job openings added (up 302% QoQ) 23% 16% 3% 54.9 26% Crossed 1M+ downloads, 489 K Candidates Acquired (up 388 398 QoQ QoQ
Slide 28: Annexures
Annexures © Quess Corp Limited 2021. All rights reserved | 27
Slide 29: Income Statement
Income Statement Var% Particulars ( in ₹ cr) Q2 FY22 Q2 FY21 Q1 FY22 YoY QoQ Revenue from operations 3,228 2,615 2,987 23% 8% Less: Employee benefit expense (2,758) (2,250) (2,599) 23% 6% Cost of material (70) (54) (47) 30% 48% Other expenses (287) (172) (194) 67% 48% Total expenses (3,116) (2,475)
Slide 30: Balance Sheet
Balance Sheet Particulars ( in ₹ cr) 30-Sep-21 31-Mar-21 Var % Non-current assets Fixed assets 401 431 -7% Intangibles 1,176 1,104 6% Investments 7 4 68% Other non-current assets 602 591 2% Current assets Trade receivables 1,115 894 25% Unbilled revenue 936 905 3% Cash and cash equivalents 593 614 -
Slide 31: Segment Reporting
Segment Reporting Quarter Ended Particulars ( in ₹ cr) Sep-21 Jun-21 Mar-21 Dec-20 Sep-20 Workforce Management Platform Revenue 2,143 2,005 2,011 1,843 1,686 Reported EBITDA 39 70 37 68 63 Reported EBITDA % 1.84% 3.47% 1.85% 3.70% 3.72% EBITDA from operations 72 74 EBITDA from operations % 3.34% 3.6
Slide 32: Winning Together In your win lies our win
Winning Together In your win lies our win © Quess Corp Limited 2021. All rights reserved | 31
Slide 33: About Quess Corp
About Quess Corp Quess Corp Limited (Quess) is India’s leading business services provider, leveraging our extensive domain knowledge and future-ready digital platforms to drive client productivity through outsourced solutions. We provide a host of technology enabled staffing and managed outsourcing