Tracxn Technologies Ltd. · NSE:TRACXN
Tracxn Technologies — Q4 FY2023 Earnings Presentation
45 slides from Tracxn Technologies's earnings presentation, May 11, 2023
Slide 1: Intimation of Investor Presentation to Stock Exchanges
TRACXN TECHNOLOGIES LIMITED (Formerly Known as “Tracxn Technologies Private Limited”) May 11, 2023 To, To, BSE Limited National Stock Exchange of India Ltd. Phiroze Jeejeebhoy Towers, Exchange Plaza, Plot no. C/1, G Block, Dalal Street, Bandra-Kurla Complex, Mumbai- 400001 Bandra (E), Mumbai - 40005
Slide 2: Private Market Intelligence Platform Q4 & FY23 Investor Presentation
Private Market Intelligence Platform Q4 & FY23 Investor Presentation 11th May 2023 Copyright © 2019, Tracxn Technologies Private Limited. All rights reserved.
Slide 3: Disclaimer
Disclaimer By attending this presentation including the commentary by the Company management This Presentation may contain, words or phrases that are forward-looking statements that and the transcript of the same, together (“Presentation”) and/or accepting a copy of it, involve risks and uncertainti
Slide 4: Tracxn Overview
Tracxn Overview Tracxn is a Data & Software platform for the Private Markets globally We work with Venture Capital Firms, Private Equity Firms, Investment Banks - as well as M&A & Innovation teams of large Corporates Global Platform, customers span 50+ countries
Slide 5: Q4 & FY23 Financial Performance
Q4 & FY23 Financial Performance
Slide 6: Q4 FY23: Financial Performance Summary
Q4 FY23: Financial Performance Summary Continued growth of revenue & profitability REVENUE PROFITABILITY Revenue from Operations EBITDA EBITDA Margin excl IPO Expense1 excl IPO Expense1 20.3 Cr. 0.7 Cr. 3.4% 19% YoY 0.9Cr YoY Margin expanded by 4.4% YoY Total Income PAT PAT Margin excl IPO Expense1
Slide 7: FY23: Financial Performance Summary
FY23: Financial Performance Summary Continued growth of revenue & profitability, increasing FCF REVENUE PROFITABILITY OTHER Revenue from Operations EBITDA EBITDA Margin Free Cash Flow1 1 excl IPO Expense1 excl IPO Expense 78.1 Cr. 2.6 Cr. 3.3% 11.9 Cr. 23% YoY 4.5 Cr. YoY, up from Margin expanded by
Slide 8: FY23: Continued Revenue Growth Momentum
FY23: Continued Revenue Growth Momentum Revenue from Operations (in INR Cr.) Total Income (in INR Cr.) 23% 25% Historical Annual Historical Annual 30% 27% CAGR CAGR Revenue from operations grew at 23% YoY for FY23 Note: (*) Total Income net of for Fair value gain/ (loss) on CCPS for FY20 & FY21
Slide 9: FY23: Continued EBITDA Expansion
FY23: Continued EBITDA Expansion EBITDA EBITDA Margin 1 excl. IPO Expense (in INR Cr.) excl. IPO Expense1 6.3% Historical Annual 4.5 Cr. Historical Annual Excluding non-cash ESOP expense this is 8.0 Cr. EBITDA Margin (excl IPO exp.) expanded by 6.3% YoY for FY23 Note: (1) EBITDA has been adjusted fo
Slide 10: FY23: Continued PAT Expansion
FY23: Continued PAT Expansion PAT PAT Margin 1 excl. IPO Expense (in INR Cr.) excl. IPO Expense1 5.7 Cr. Historical Annual Historical Annual 7.4 % Excluding non-cash ESOP expense this is 10.8 Cr. PAT Margin (excl IPO exp.) expanded by 7.4% YoY for FY23 Note: (1) PAT has been adjusted for IPO Expense
Slide 11: Significant Incremental Revenue continues to go into Bottomline
Significant Incremental Revenue continues to go into Bottomline Historical Annual: FY 22 FY 23 FY 20 FY 21 FY 22 Revenue from operations 63.5 78.1 37.3 43.8 63.5 Incremental Revenue from Operations (Δ) +14.7 +6.4 +19.7 EBITDA excl IPO Expense (1.9) 2.6 (22.4) (17.1) (1.9) Incremental EBITDA excl IPO
Slide 12: FY23: Expense Breakup
FY23: Expense Breakup Total Expense Total Expense - Breakup (for FY23) (in INR Cr.) (in INR Cr.) Employee Benefit Expenses 67.0 Cr. 88.5% Historical Annual Salaries, Wages & Bonus 57.9 Cr. 76.5% 16% Employee stock option expense 5.4 Cr. 7.1% 4% CAGR Other Employee Benefit Expenses 3.6 Cr. 4.8% Depre
Slide 13: FY23 v/s FY22: Expense Bridge (1/3)
FY23 v/s FY22: Expense Bridge (1/3) Total Expense Key items of FY23 v/s FY22 expense bridge: (in INR Cr.) 1● 8.4Cr. increase in “Employee Expense” ○ Primarily due to increase in average headcount by 23%, due to various growth initiatives 10.2Cr. 2● 0.6Cr. increase in “Rental cost” ○ Took additional
Slide 14: FY23 v/s FY22: Expense Bridge (2/3)
FY23 v/s FY22: Expense Bridge (2/3) 1 Employee Exp.(1) Avg. Headcount* Trend for FY23 Qs (in INR Cr.) 8.4 Cr. Ending HC 822 Total Employee Exp. 58.6 16.2 16.3 17.0 17.6 YoY increase 9% 14% (INR Cr.) Headcount increased due to growth initiatives. This is already getting optimized due to automation &
Slide 15: FY23 v/s FY22: Expense Bridge (3/3)
FY23 v/s FY22: Expense Bridge (3/3) 2 Rental Expense 3 Other Expenses(1) (in INR Cr.) 0.6 Cr. (in INR Cr.) 1.2 Cr. Quarterly Rental Expense Trend Quarterly Other Expenses Trend Other expense step-up due to increased rental on account of employees returning to office (further capacity expansion not p
Slide 16: FY23 v/s FY22: Revenue Bridge
FY23 v/s FY22: Revenue Bridge Revenue from Existing Customers 1.4 Cr. in FY23 Revenue Contribution by ~80% revenue is from existing customers New & Existing Customers 6.9Cr. in FY22 (in INR Cr.) Growth in revenue from existing customers (as compared to previous year revenue), was lower in FY23 than
Slide 17: FY23: Revenue Growth
FY23: Revenue Growth Continued growth in large Geo-wise Revenue Split accounts* FY23 FY23 Geography FY 21 FY 22 FY 23 Revenue FY 21 FY 22 FY 23 Contribution Growth INR 20L+ accounts 13 26 33 Americas 12.5 18.6 24.1 31% 30% INR 30L+ accounts 5 11 22 APAC (excl. India) 4.8 6.9 8.1 10% 18% INR 40L+ acc
Slide 18: FY23: Customer Accounts Growth
FY23: Customer Accounts Growth Customer Accounts (#) Customer Accounts - Net Addition Improving incremental QoQ account addition Note: (*) FY22 Quarterly Avg. is provided for like to like comparison. Customer Accounts are as on respective end of period
Slide 19: Select Recent Growth Initiatives
Select Recent Growth Initiatives Organic Search Traffic* 1 Scaling Organic Traffic & Inbound Leads Pipeline (in millions) 15m ● We have built a large organic inbound traffic funnel 19X ● Over 9 Million visits in FY23 Current run-rate1 ● ~20X increase in 3 years ● We expect this organic traffic to fu
Slide 20: Select Recent Growth Initiatives
Select Recent Growth Initiatives 22. Increased Press Mentions: Through various media partnerships, data contributions, reports, etc. 1000+ Press Mentions across media* Eg. Report coverage eg. Regular Columns in newspapers eg. Others Note: (*) in FY23
Slide 21: Select Recent Growth Initiatives
Select Recent Growth Initiatives 31. Expanding coverage of Company Financials & Captables ● Currently cover private company financials across 15+ countries and captables Private Company across 10+ countries Financials Currently across 15+ Countries ● Seeing demand for this data - especially from Pri
Slide 22: FY23: Increasing FCF
FY23: Increasing FCF FCF (Free Cash Flow) Cash & Cash Equivalents2 FY23, Adjusted for IPO Expense1 (in INR Cr.) (in INR Cr.) 7.0 Cr. Historical Annual 143% 60.3 Cr. FCF (Free Cash Flow) In INR Cr., Adj. for IPO expense Added 14.5 Cr. YoY Year FCF 32% YoY FY20 (15.4) FY21 (6.1) FY22 4.9 FCF continues
Slide 23: FY23: Other KPIs (1/2)
FY23: Other KPIs (1/2) Customer Accounts (#) Users (#) 13% Historical Annual Historical Annual 10% 23% 30% CAGR CAGR User count got optimized also due to tightening of logins Note: Customer Accounts and Users are as on respective end of period
Slide 24: FY23: Other KPIs (2/2)
FY23: Other KPIs (2/2) Contract Price (in INR Cr.) Entities Profiled, on platform (in millions) 18% 21% Historical Annual Historical Annual 31% 37% CAGR CAGR Note: Contract Price is net invoicing done in a given period adjusted for unbilled revenue for the period, till the time of measurement Entiti
Slide 25: Global Customer Base
Global Customer Base ~70% international revenue in FY23 Customers span over 50+ countries* Top 5 countries by #customer accounts*: Indian International Revenue India, USA, Singapore, UK, Germany Revenue 68% Historical annual International Revenue Share Note: (*) Based on Customer Accounts as on End
Slide 26: Diverse Customer Base
Diverse Customer Base Corporate Private Venture M&A Teams Equity Capital Venture Investment Government Companies Capital Banking Agencies Family Corporate Consulting Offices Innovation Accelerator Digital Corporate & Universities Transformation Development Incubators Investment Industry Corporate Ot
Slide 27: Generative AI & its potential use
Generative AI & its potential use Generative AI at works in Tracxn: We want to be pioneers in using generative AI as a tech company. Examples of some projects being worked upon are: 1. Querying: Easier natural language-based querying and search for users 2. Chatbot: For getting answers to common que
Slide 28: Business Overview
Business Overview @Tracxn
Slide 29: Our Journey
Our Journey Listed on 50+ Countries Ratan N Tata Current - Among the 2021-22 Leading global market intelligence - Became a publicly providers for private Sachin Bansal Binny Bansal NRJN Family Trust 2020-21 listed company on company data^ 20th Oct 2022 - Crossed customers - One of the largest 2017-1
Slide 30: Significant cost advantages from India-based operations
Significant cost advantages from India-based operations Significant cost advantage due to make-in-India. Especially: Europe Asia N.America ● Data-production & technology Middle East platform is built from India India ● Global sales happens from India Africa (sales & support teams work across all tim
Slide 31: Experienced Promoters & Board of Directors
Experienced Promoters & Board of Directors Neha Singh Abhishek Goyal Brij Bhushan Chairperson and Managing Vice Chairman and Independent Director Director Executive Director ▪ B.Tech. & M.Tech. from IIT Bombay ▪ B.Tech. from IIT Kanpur ▪ B.Tech. from Maharshi Dayanand & MBA from Leland Stanford Juni
Slide 32: Supported by Senior Management Team Backed by Marquee Investors
Supported by Senior Management Team Backed by * Marquee Investors Prashant Chandra Amit Agarwal Neeraj Chopra Bhaskar Sharma Chief Financial Officer Chief Operating Officer Chief Technology Officer Chief Product Officer ▪ B.Tech. from IIT Kanpur & MBA ▪ B.Tech. from MNNIT-Allahabad & ▪ MS from Unive
Slide 33: Robust Technology Platform
Robust Technology Platform Wide range of business and workflow tools – Scalable backend framework – based on open Inbuilt CRM tool, custom dashboard builder, tools for source technologies sourcing, tracking companies, portfolio tracking, API Automated – based on web crawling and data support, browse
Slide 34: Large & Growing Market $30B+
Large & Growing Market Multiple large companies have been created in the financial data markets $30B+ Cumulative Revenue of Financial Market Data Companies for 2022* Note: (*) Revenue of key public market data companies has been calculated based on the publicly available sources and internal estimat
Slide 35: Large & Growing Market
Large & Growing Market Private Market AUM Growth1 Public Market Capitalization2 (in USD trillion) (in USD trillion) 12.6% 11.7% 6% CAGR CAGR CAGR Cumulative market capitalization of listed domestic companies across all the countries converted to USD Private market AUM has crossed $9T, and is growing
Slide 36: Q4 & FY23 Detailed Financial Statements
Q4 & FY23 Detailed Financial Statements
Slide 37: Profit & Loss Statement (1/2)
Profit & Loss Statement (1/2) Particulars Q4FY23 Q3FY23 Q4FY22 FY23 FY22 Income Revenue from operations 20.34 20.25 17.15 78.11 63.45 Other income 0.24 0.25 0.30 1.31 1.10 Other gains/(losses) - net 0.49 0.45 0.21 1.76 0.61 Total Income 21.07 20.95 17.66 81.18 65.16 Expenses Employee benefit expense
Slide 38: Profit & Loss Statement (2/2)
Profit & Loss Statement (2/2) Particulars Q4FY23 Q3FY23 Q4FY22 FY23 FY22 Profit / (loss) for the period 24.50 6.21 (0.37) 33.09 (4.85) Less: Other Income 0.24 0.25 0.30 1.31 1.10 Less: Other gains/(losses) - net 0.49 0.45 0.21 1.76 0.61 Add: Depreciation expense 0.07 0.06 0.03 0.19 0.15 Add: Current
Slide 39: Balance Sheet (1/3)
Balance Sheet (1/3) Particulars As at March 31, 2023 As at March 31, 2022 ASSETS Non-current assets Property, plant and equipment 0.36 0.27 Intangible assets - - Current tax assets (net) 2.98 4.53 Deferred Tax Asset 23.07 Total non-current assets 26.41 4.79 Current assets Financial assets i. Investm
Slide 40: Balance Sheet (2/3)
Balance Sheet (2/3) Particulars As at March 31, 2023 As at March 31, 2022 EQUITY AND LIABILITIES Equity Equity share capital 10.03 10.03 Instruments entirely equity in nature - - Reserves and surplus 49.66 10.61 Total equity 59.69 20.64 In INR Cr.
Slide 41: Balance Sheet (3/3)
Balance Sheet (3/3) Particulars As at March 31, 2023 As at March 31, 2022 LIABILITIES Non-current liabilities Financial liabilities i. Other financial liabilities Employee benefit obligations 2.79 3.42 Contract liabilities 0.26 0.11 Total non-current liabilities 3.05 3.53 Current liabilities Financi
Slide 42: Cash Flow Statement (1/2)
Cash Flow Statement (1/2) Year ended Year ended Particulars 31 March 2023 31 March 2022 Cash Flow from Operating Activities: Net (loss) before Income Tax 9.95 (4.85) Adjustment for: Depreciation expense 0.19 0.15 Net (gain)/ loss on disposal of Property, plant and equipment 0.00 0.02 Net gains on sa
Slide 43: Cash Flow Statement (2/2)
Cash Flow Statement (2/2) Year ended Year ended Particulars 31 March 2023 31 March 2023 Cash Flow from Investing Activities: Payments for purchase of property, plant and equipment (0.31) (0.16) Proceeds from sale of property, plant and equipment 0.03 - Funds invested in bank deposits 3.00 (0.95) Pro
Slide 44: Definitions
Definitions (1) Customer Accounts refers to the distinct contracts entered into by our Company with each customer, at the time of measurement. A customer account may include access for a single or multiple number of Users. (2) Users refers to the number of activated user accesses on the platform at
Slide 45: Thank You
Company Information Address : 2nd Floor, L-248, 17th Cross, Sector 6, HSR Layout, Thank You Bangalore - 560102 CIN : L72200KA2012PLC065294 Corporate Presentation: Link For any queries, please contact: Email ID : investor.relations@tracxn.com www.tracxn.com/investor-relations
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