Slide 1: Analyst Presentation
Analyst Presentation Quarter ended December 31, 2021 January 20, 2022
Slide 2: Forward-looking and cautionary statements
Forward-looking and cautionary statements Certain statements in this Presentation concerning our future growth prospects are forward-looking statements, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statement
Slide 3: We are Persistent.
We are Persistent. A trusted Digital Engineering and Enterprise Modernization partner. $199.1M $796.4M $701.1M ₹1,764M 16,989 $5.0B* Q3FY22 Revenue Annualized revenue TTM Revenue Q3FY22 PAT Employees Market cap run rate based on +36.2% YoY Q3FY22 +29.8% YoY +45.9% YoY +36.6% YoY +223.3% YoY *1 USD =
Slide 4: Strong global presence with 16,989 team members across key geographies
Strong global presence with 16,989 team members across key geographies North America Europe India Rest of the world 79.2% 8.3% 10.9% 1.6% Revenue Revenue Revenue Revenue 1,635 349 14,789 216 Employees Employees Employees Employees
Slide 5: Our core strengths in Digital Engineering fuel the next wave of transformation
Our core strengths in Digital Engineering fuel the next wave of transformation for our clients Software, Hi-Tech Banking, Healthcare & & Emerging Financial Services Life Sciences Industries & Insurance Outcomes Accelerate Time to Market Product & Platform Engineering Enable Business Agility Unlock C
Slide 6: Persistent IP led business
Persistent IP led business Revenue Share with Client Acquired Products & Platforms Reseller Business \ Persistent is primarily responsible for end- \ Products and platforms which have been \ Resale of partner products, platforms to-end Product Engineering, Professional acquired from ISV clients and
Slide 7: Delivering consistent growth in revenue and margins
Delivering consistent growth in revenue and margins Quarterly Revenue ($M), % QoQ and % YoY Growth EBIT and PAT Margin % 34.0% 36.2% 40.0% 13.9% 14.0% 13.5% 200.0 27.3% 13.2% 199.1 30.0% 12.7% 180.0 20.3% 12.1% 182.3 20.0% 12.9% 12.4% 12.3% 12.0% 11.8% 160.0 9.5% 166.8 10.4% 7.4% 8.4% 10.0% 152.8 11
Slide 8: On account of broad-based growth across all industry segments
On account of broad-based growth across all industry segments Quarterly Revenue ($M), % YoY Growth Software, Hi-Tech and Banking, Financial Healthcare Emerging Industries* Services & Insurance & Life Sciences 70. 0 50% 48.9% 4 5 % 6 5 . 0 4 0 % 65. 0 45% 4 5 .0 5 0 % 6 0 . 0 47.9% 3 5 % 60. 0 40% 4
Slide 9: Leading to lower client concentration and greater predictability from other large accounts
Leading to lower client concentration and greater predictability from other large accounts Client Concentration Large Client Count Top 10 clients as % of total revenue >$5M Annual Revenue 24 22 50.5% 21 49.9% 49.0% 17 17 47.0% 46.3% 45.4% 15 46.7% 16 45.0% 11 Q4FY20 Q1FY21 Q2FY21 Q3FY21 Q4FY21 Q1FY2
Slide 10: And significant shareholder value creation
And significant shareholder value creation Persistent’s Total Shareholder Return Persistent 1-Year Stock Performance* vs NIFTY 50 & NIFTY IT Index 223% 1 year return 223.1% 0.9% 3 year return 687.3% 5.3% 60% 24% 5 year return 695.2% 9.1% Dec-20 Mar-21 May-21 Aug-21 Oct-21 Dec-21 Share Price Return D
Slide 11: Performance Highlights
Performance Highlights
Slide 12: We are proud to announce another quarter of exceptional performance
“We are proud to announce another quarter of exceptional performance, with 36.2% year-over-year growth. This sustained momentum is a result of our strong capabilities in designing and engineering new digital experiences, revenue streams, and business models for our clients. This quarter, we received
Slide 13: Financial highlights for Q3 FY22
Financial highlights for Q3 FY22 Revenue ($ million) 9.2% Q-o-Q 36.2% Y-o-Y Revenue (₹ million) 10.4% Q-o-Q 38.7% Y-o-Y 14,917.2 199.12 13,512.5 182.32 146.2 10,754.0 Q3FY21 Q2FY22 Q3FY22 Q3FY21 Q2FY22 Q3FY22 EBIT (₹ million) 11.2% Q-o-Q 52.7% Y-o-Y PAT (₹ million) 9.1% Q-o-Q 45.9% Y-o-Y 2,083.0 1,7
Slide 14: TCV and ACV Bookings
TCV and ACV Bookings Trailing Twelve Month TCV* $1,108.1M Trailing Twelve Month TCV (New) $592.3M 334.3 246.5 244.8 282.5 137.7 147.7 149.3 157.6 Q4FY21 Q1FY22 Q2FY22 Q3FY22 Q4FY21 Q1FY22 Q2FY22 Q3FY22 Trailing Twelve Month ACV* $881.9M Trailing Twelve Month ACV (New) $427.8M 291.3 200.7 188.8 201.1
Slide 15: TTM performance
TTM performance Revenue ($ million) 29.1% Revenue (₹ million) 29.6% 701.1 51,862.5 540.3 40,009.0 TTM Q3FY21 TTM Q3FY22 TTM Q3FY21 TTM Q3FY22 EBIT (₹ million) 58.6% PAT (₹ million) 58.1% 4,467.0 7,085.4 3,967.4 6,271.6 Margin % 11.2% 13.7% Margin % 9.9% 12.1% TTM Q3FY21 TTM Q3FY22 TTM Q3FY21 TTM Q3F
Slide 16: Notable News and Achievements
Notable News and Achievements
Slide 17: Persistent Announces Avani Davda to Board of Directors
Persistent Announces Avani Davda to Board of Directors Avani brings to Persistent a diverse set of experiences in operating and leadership roles across the consumer goods, retail, and hospitality industries at organizations like Tata Starbucks, Godrej Group, Mahindra Logistics and Bain. \ Avani serv
Slide 18: Highlights from the quarter
Highlights from the quarter Welcomed new seasoned executives to Persistent leadership team Welcomed Werner Boeing, former CIO of Roche Diagnostics, to the Persistent Advisor Kuljesh Puri Ajai Kumar Network Vijay Iyer SVP, IBM Alliance and SVP, Partner Ecosystem SVP, Digital Transformation Emerging V
Slide 19: Dividend Update
Dividend Update ₹20 Persistent Board of Directors declared an Interim Dividend of ₹20 per share* on the face value of ₹10 each for the Financial Year 2021-2022. *Compared to interim dividend of ₹14 in Q3 FY 21 and a full year dividend of ₹20 for full year 2021.
Slide 20: ESG highlights for the quarter
ESG highlights for the quarter 57,000+ trees CDP disclosure 2021 Energy Planted in Koyana river valley in South We disclosed our carbon footprint and Conservation & Maharashtra, India. reduction efforts along with all necessary data on CDP portal, for the first time, in Management Award In the 16th
Slide 21: Persistent Wins Four Categories in the 2021 ISG Star of Excellence Awards
Persistent Wins Four Categories in the 2021 ISG Star of Excellence™ Awards, Recognizing Exceptional Client Service December 23, 2021 Information Services Group (ISG), a leading global technology research and advisory firm, has announced that Persistent Systems (BSE and NSE: Persistent) has won four
Slide 22: Recent recognition and awards
Recent recognition and awards Major Contender for Salesforce Services For 9 consecutive years, Leader in Recognized by ISG as a Top 15 Sourcing in IDC MarketScape: Worldwide Salesforce multiple categories in the Zinnov Zones Standout in the “Booming 15” category for Implementation Services 2021 Vend
Slide 23: Persistent in the news
Persistent in the news The Evolving Cloud Landscape in Imagine Your Future Podcast on Banking-as-a-Service: A India – Present and Future “The Persistent Power of Digital” Revolution for Financial with Nitha Puthran with Sandeep Kalra Institutions featuring Bipin Sahni Learn More Learn More Learn Mor
Slide 24: Key wins for the quarter
Key wins for the quarter Software, Hi-Tech & Banking, Financial Services Healthcare Emerging Industries & Insurance & Life Sciences Digitizing customer services with Designing and modernization agent- Engineering software for the analysis, conversational AI for a world leader in the facing policy ad
Slide 25: Client success in action
Client success in action ANZ Bank builds an Persistent built cloud-native innovative Digital Currency bank opens for business solution for the MAS in the UK challenge Learn More Learn More Mindbody speeds platform Persistent Systems development; brings Supports ATOSS to Build a critical product for
Slide 26: Financial Details
Financial Details
Slide 27: Sequential Q3FY22 vs Q2FY22
Sequential Q3FY22 vs Q2FY22 Expenses / Sales % Expenses / Sales % Particulars Q3FY22 Q2FY22 Change QoQ Q3FY22 Q2FY22 Revenue ($ M) Services 172.68 159.51 8.3% IP Led 26.44 22.81 15.9% Revenue ($ M) 199.12 182.32 9.2% Avg. Exchange Rate ₹ / US$ 74.92 74.11 1.1% Revenue (₹ M) 14,917.17 13,512.49 10.4%
Slide 28: YoY Comparison Q3FY22 vs Q3FY21
YoY Comparison Q3FY22 vs Q3FY21 Expenses / Sales % Expenses / Sales % Particulars Q3FY22 Q3FY21 Change YoY Q3FY22 Q3FY21 Revenue ($ M) Services 172.68 119.68 44.3% IP Led 26.44 26.47 -0.1% Revenue ($ M) 199.12 146.15 36.2% Avg. Exchange Rate ₹ / US$ 74.92 73.58 1.8% Revenue (₹ M) 14,917.17 10,753.98
Slide 29: YTD Comparison Dec 21 vs Dec 20
YTD Comparison Dec 21 vs Dec 20 Expenses / Sales % Expenses / Sales % Particulars YTD Dec 21 YTD Dec 20 Change YoY YTD Dec 21 YTD Dec 20 Revenue ($ M) Services 477.12 341.91 39.5% IP Led 71.14 71.35 -0.3% Revenue ($ M) 548.26 413.26 32.7% Avg. Exchange Rate ₹ / US$ 74.29 74.40 -0.1% Revenue (₹ M) 40
Slide 30: Balance Sheet
Balance Sheet Particulars As on December 31, 2021 As on March 31, 2021 As on December 31, 2020 Assets PPE and Intangible assets 9,255.12 4,691.23 4,534.20 Non-Current Assets 6,134.60 1,613.85 1,547.66 Cash and Investments 18,964.09 19,830.98 19,036.72 Other Current Assets 12,797.29 10,519.18 10,541.
Slide 31: Fact Sheet
Fact Sheet
Slide 32: Fact Sheet
Fact Sheet Nos. / % Q3FY22 Q2FY22 Q1FY22 Q4FY21 Q3FY21 FY21 FY20 Revenue from Operations, USD M 199.1 182.3 166.8 152.8 146.1 566.0 501.6 % Q-o-Q growth 9.2% 9.3% 9.2% 4.6% 7.4% Revenue % Y-o-Y growth 36.2% 34.0% 27.3% 20.3% 12.9% 12.9% 4.3% Revenue from Operations, INR M 14,917 13,512 12,299 11,134
Slide 33: Fact Sheet
Fact Sheet Description / % Q3FY22 Q2FY22 Q1FY22 Q4FY21 Q3FY21 FY21 FY20 North America 79.2% 78.7% 78.9% 79.2% 81.1% 80.8% 81.0% Europe 8.3% 8.8% 9.5% 10.0% 8.8% 9.2% 9.5% Geography Revenue Mix India 10.9% 10.5% 9.8% 8.9% 8.6% 8.4% 7.4% ROW 1.6% 2.0% 1.8% 1.9% 1.5% 1.6% 2.1% Total 100.0% 100.0% 100.0
Slide 34: Fact Sheet
Fact Sheet Nos. Q3FY22 Q2FY22 Q1FY22 Q4FY21 Q3FY21 FY21 FY20 Clients Billed Services 625 596 568 558 530 722 653 IP Led 122 130 132 140 142 239 257 Nos. Q3FY22 Q2FY22 Q1FY22 Q4FY21 Q3FY21 FY21 FY20 Client Engagement Large > USD 5M 24 22 21 17 17 17 11 Size Medium, USD 1M to USD 5M 90 84 76 66 65 66
Slide 35: Fact Sheet
Fact Sheet USD / Per Person Month Q3FY22 Q2FY22 Q1FY22 Q4FY21 Q3FY21 FY21 FY20 Linear Revenue Per Global Delivery Centers 16,043 16,544 17,004 16,603 16,790 16,851 16,987 Billed PM* India 4,252 4,307 4,286 4,203 4,204 4,250 4,428 % Q3FY22 Q2FY22 Q1FY22 Q4FY21 Q3FY21 FY21 FY20 Attrition Rate TTM Basi
Slide 36: Fact Sheet
Fact Sheet Description / Nos. / % Q3FY22 Q2FY22 Q1FY22 Q4FY21 Q3FY21 FY21 FY20 Billable Person Months 35,938 33,212 30,807 28,670 25,342 99,264 81,287 Global Delivery Centers 4,519 3,840 3,480 3,345 3,104 12,595 11,202 India 31,419 29,372 27,327 25,325 22,238 86,669 70,085 Billed Person Months 29,81
Slide 37: Persistent - See Beyond, Rise Above
Persistent _ See Beyond, Rise Above