Sonata Software Limited · NSE:SONATSOFTW
Sonata Software — Investor Presentation (June 2010)
37 slides from Sonata Software's investor presentation, June 2010
Slide 1: Presentation to Investors
Sonata Software Limited Presentation to Investors June 2010 www.sonata-software.com
Slide 2: We will cover..
We will cover.. • Company Overview • Sonata Group • International Services • Domestic Products and Services • TUI Infotec • Tax issues/Contingent liability • Questions 1
Slide 3: Sonata Software – Business Structure
Sonata Software – Business Structure Sonata Software Limited Reporting International IT Services Domestic TUI Infotec Structure Products & Services Companies Sonata Sonata Sonata Sonata FZ Sonata Sonata Information TUI Infotec Software Europe Ltd Software LLC Software Technologies Ltd GmbH Ltd GmbH
Slide 4: Strategy
Strategy FOCUS OFFERINGS • Outsourced Product • Product Engineering Development (OPD) • Enterprise Services • Travel, Tourism & Logistics (TTL) • ERP • Enterprise Segment • Infrastructure Management (IM) • India – Products and services STRATEGY GEOGRAPHIES DIFFERENTIATORS • US • Specialization • UK
Slide 5: Plan 2011
Plan 2011 1 4 Invest in Growth • Customer relations Focus on Existing Customer • Geographies – Middle East • Business model innovation • Specialization – Travel • Demonstrate Value • Fill gaps in offerings – SAP • Re-orient Solution set • Solution frameworks – PCIDSS • Facilities • Manpower 2 3 Oper
Slide 6: Facilities
Facilities Development and Research Centers (Germany) Development Centers (India) Bangalore, Nandi Bangalore, South End Hannover Center 1 Salzgitter Bangalore, Richmond Hyderabad Hannover Center 2 Bangalore, Global Village
Slide 7: International IT Services
CIOL SONATA SOFTWARE International IT Services
Slide 8: International Services - Offerings
International Services - Offerings Application Maintenance Managed Business Packaged Infrastructure Development Testing Intelligence Applications Management Data Center & Incidents Implementation App Hosting New Consulting DW Modelling Development Managed Global Services Enhancements Roll-Outs Test
Slide 9: Business Segments
Business Segments Travel Transportation & Logistics ISV Enterprises 8
Slide 10: Travel, Transportation & Logistics (TTL): Capability Snapshot
Travel, Transportation & Logistics (TTL): Capability Snapshot 1 2nd largest Indian IT services provider in TTL - scale, focus, domain 2 Large customer engagements showcasing breadth of services Value Proposition 3 TUI Infotec Joint Venture - Unmatched expertise and IP To TTL Clients 4 People - Led b
Slide 11: TTL: Solution Accelerators
TTL: Solution Accelerators Sonata’s Accelerators Business Challenges Value Proposition Sonnet PCI Security and compliance issues in the Robust solution for all secure card commercial transactions storage and transactions with reduced (PCI DSS Compliance for airlines) TCO Sonnet ECOM B2C, B2E & E2E c
Slide 12: Track Record with TTL clients
Track Record with TTL clients Highlights of the Engagement: Highlights of the Engagement: • 5+ years of engagement with Team Size of 230 + • An year of engagement with 100+ team • Offshore onsite engagement model of 80:20 • Improving web experience of QR.com • Developed New systems for optimization
Slide 13: R&D Outsourcing (ISV)
R&D Outsourcing (ISV) Engineering Driven by Insight Sterling Track Record World-class team • Led by practitioners with extensive experience, • Product company heritage – 25+ products for building world-class products – Bosch, the Indian market Hyperion etc • R&D Outsourcing services since 1992 • 900
Slide 14: R&D Outsourcing: Services across the PDLC
R&D Outsourcing: Services across the PDLC Product Management Services Professional Services & Product Engineering Services Support Requirement Engineering L2 , L3 Support Product Feature set Product Architecture Managed Hosting Competition Research Consulting UI Design Pre-sales supp
Slide 15: Enterprise IT Services
Enterprise IT Services 1 Breadth of services – ADM, Managed Testing, ERP, BI, Collaboration, IMS 2 Consulting-led approach based on best practices (TMMi) Value 3 Solution accelerator-led delivery - Sonnets Proposition Flexible engagement models , including output-based pricing & 4 pay-per-use models
Slide 16: Flexible Engagement Models
Flexible Engagement Models Engagement Models Highlights ODC Model • Fixed number of offshore resources • Scalable based on customer forecast • Visibility of ongoing work volumes • Time & Material billing Project-based engagements • Fixed pricing, based on agreed scope and deliverables • Suited for d
Slide 17: Recognition
Recognition • Part of IATA’s Strategic Partnerships Programme • Ranked among Top 10 R&D Services players globally by Zinnov. Ranked 6th in the Software Products segment by Zinnov • Figured in the NASSCOM’s Top 20 IT Software and Service Exporters list • Winner of the Deloitte Technology Fast 500 Asi
Slide 18: Marquee Clientele
Marquee Clientele Enterprise IT Services R&D Outsourcing Travel, Transportation & Logistics 17
Slide 19: Our Alliances
Our Alliances Key Drivers Membership of Early Adopter Programs (EAP) with technology majors Early access to new & cutting edge technologies – often, pre-release Pioneer in working with clients on adopting cutting edge technologies Dedicated technical training sessions => competent resources
Slide 20: Business from Long Term Customers
Business from Long Term Customers Business from Long Term Customers CAGR 233% 62% 15% FY10 Revenue % 6% 3% FY 06 FY 07 FY 08 FY 09 FY 10 77% 5 Yrs Cust. 4 Yrs Cust. 3 Yrs Cust. Others 19
Slide 21: Domestic Products and Services
Domestic Products and Services 20
Slide 22: What we do in India
What we do in India • Business Solutions • Enterprise Resource Planning • Customer Relationship Management • Business Intelligence & Analytics • Portals & Intranets • Product Marketing • Marketing & Distribution of software applications • 20 + alliances with leading software companies • Technical an
Slide 23: TUI Infotec
CIOL SONATA SOFTWARE TUI Infotec 22
Slide 24: TUI InfoTech - transformation
TUI InfoTech - transformation IT Services – 40 % / IT Operations – 60 % • IT department of TUI • Foundation of TUI InfoTec • Sonata Software acquires • Focus exclusively on TUI 50.1 % stake in TUI operations InfoTec GmbH, 49.9% • More than 30 TUI retained by TUI customers in Europe
Slide 25: A few of our customers
tr CEEET) SONATA SOFTWARE U ruinycom Klasse. Uriaub. Erieben. &€ F g ' @ DAIMUERCHRYSLER (URYNRGe) UY Fritidsresor $> BayerntB «= ARN Ltr Uw rra versit FAGAD QgOP RU Oscrrich pepaE YO Informatik IT far Banken
Slide 26: Alliances and Partnerships
Alliances and Partnerships Together with our strategic partners we ensure that innovative complete solutions are implemented for our customers.
Slide 27: Sonata Software - Financials
Sonata Software - Financials 26
Slide 28: Consistent Track Record of Growth & Profitability
Consistent Track Record of Growth & Profitability $16.89 Mn Sonata Income (in Rs. Crore) PAT (in Rs. Crore) $16.45 Mn 80 $344 Mn 77 1800 CAGR 5 Yrs - 33 % 80 1,602 CAGR 5 Yrs - 48 % CAGR 6 Yrs - 48% CAGR 6 Yrs – 38% $364 Mn 1600 $295 Mn 70 1,459 1,393 $14.72 Mn 1400 59 60 $10.61 Mn 1200 48 $203 Mn 5
Slide 29: FY 10 - Revenue and PAT
FY 10 - Revenue: Rs. 1,380 &* PAT: Rs. 80 (Rs. In Crores) Revenue International IT Services 269 20% TUI 611 44% Domestic Product & Services 501 36% PAT TUI 14 17% Domestic Product & Services 8 9% International IT Services 60 74% Numbers are post intercompany eliminations 28
Slide 30: Revenues
Revenues (Rs. In Crores) 1591 1428 1,600 1380 1,400 CAGR 679 1,200 16% 895 617 611 1,000 20% 800 507 285 (4%) 330 638 600 594 501 408 400 336 201 200 274 269 174 202 220 129 - FY05 FY06 FY07 FY08 FY09 FY10 International IT Services Domestic Product & Services TUI Numbers are post intercompany elimin
Slide 31: Operating Margin
Operating Margin (Rs. In Crores) 158 180 152 160 CAGR 140 111 80 120 74 29% 100 79 32% 57 80 13 12 6% 28 40 60 8 4 23 3 40 65 69 3 47 47 37 20 19 - FY05 FY06 FY07 FY08 FY09 FY10 International IT Services Domestic Product & Services TUI Numbers are post intercompany eliminations 30
Slide 32: PAT
PAT (Rs. In Crores) 80 90 77 80 CAGR 14 59 14 70 34% 8 9 60 48 32% 50 23 11 40 3 28 6 60 30 2 54 16 20 35 2 30 26 10 14 - FY05 FY06 FY07 FY08 FY09 FY10 International IT Services Domestic Product & Services TUI Numbers are post intercompany eliminations 31
Slide 33: Headcount
Headcount 2801 2706 3000 2546 11 22 2242 441 58 450 2500 413 144 1734 125 148 317 147 2000 1251 116 118 1500 110 2205 2086 1928 1000 1616 1684 1141 500 0 FY05 FY06 FY07 FY08 FY09 FY10 International Domestic TUI Infotec - Employees TUI Infotec - Contractors 32
Slide 34: Consistent Dividend History
Consistent Dividend History Dividend Payouts during last 10 years 180% Dividend % Dividend Amt in Rs. Lacs 160% 1788 1800 1577 140% 1500 120% 1157 1157 1052 1200 Dividend% 100% Rs. In lacs 80% 684 900 60% 526 526 500 368 600 40% 20% 110% 150% 170% 300 50% 35% 50% 50% 65% 100% 110% 0% 0 2000-01 2001-
Slide 35: Share Performance
Share Performance 180 CAGR Sonata Price BSE Sensex BSE IT Index 160 156 18% 16% 17% 140 120 100 80 68 58 60 50 41 40 40 21 17 18 16 20 14 9 0 Sonata Price BSE Sensex BSE IT Index *The scales used are relative so as to harmonize the graphs and highlight the trend
Slide 36: Questions
SONATA SONATA SOFTWARE
Slide 37: Thank You!
SONATA SONATA SOFTWARE