Slide 1: Data Patterns (India) Limited Q4 and FY22
` Data Patterns (India) Limited Investor Presentation Q4 and FY22 23rd May 2022 Q4 & FY22 Earnings Presentation
Slide 2: Disclaimer
Disclaimer ` This presentation and the accompanying slides (the “Presentation”), which have been prepared by Data Patterns (India) Limited (the “Company”) solely for the information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities and
Slide 3: FY22: A Landmark Year (1/2)
FY22: A Landmark Year (1/2) ` “FY22 has been a landmark year for the Company; we have delivered a strong set of results and our revenue is up 39% on YOY basis. The development portion of our order book has grown 4x which is a testament of our strong design and engineering capabilities. We are workin
Slide 4: FY22: A Landmark Year (2/2)
FY22: A Landmark Year (2/2) ` Successful Listing at Exchanges Company successfully completed its IPO in December 2021; listed at 48% premium to issue price Data Patterns well positioned to leverage its strong and strategic position in Defence and Aerospace segment Strong Balance Sheet; A Net Debt Fr
Slide 5: Delivering on What We Promised
Delivering on What We Promised ` What we promised at the time of IPO What we delivered in FY22 FY22 Revenue: Rs 300cr Revenue of Rs 311cr EBITDA margin: 40%+ EBITDA margin: 45% Net working capital: 329 days; improved from Net working capital: 280-300 days 355 days in FY21 Development share in order
Slide 6: Financial Highlights of Q4 and FY22
Financial Highlights of Q4 and FY22 ` Particulars (Rs. Mn) Q4FY22 Q4FY21 YoY(%) Q3FY22 QoQ (%) FY22 FY21 YoY (%) Revenue from Operations 1,705 1,571 8.5 438 289.3 3,108 2,239 38.8 Gross Profit 1,108 1,080 2.6 385 187.8 2,247 1,535 46.4 Gross Profit Margin (%) 65.0 68.8 -378bps 87.8 -2282bps 72.3 68.
Slide 7: Key Performance Highlights and Strong Future Outlook
Key Performance Highlights and Strong Future Outlook ` Strong order book as on 31st March at Rs 4.8 Billion Order Revenue CAGR of Orderinflows at Rsat inflows 697mn Revenue 33% CAGR at and EBITDA xxx in in Q4Q4; grewby grew 70% xxx%ofover CAGR FY19- 73% over xx%YoYand & Rsxx in Revenue grew 39% to R
Slide 8: Strong Revenue Growth of 39% in FY22
Strong Revenue Growth of 39% in FY22 Revenue and Margins - Q4FY22 and FY22 45% EBITDA 51% EBITDA 41% EBITDA 57% EBITDA Rs 2,239mn Rs 3,108mn Rs 1,571mn Rs 1,705mn FY21 Revenue (Rs mn) FY22 Q4FY21 Revenue (Rs mn) Q4FY22 FY22 Highlights Q4 Highlights • Revenue growth at 39% led by strong growth in all
Slide 9: Diversified Revenue Profile
Diversified Revenue Profile ` Developmental contracts/order book translates to strong production revenues Revenue in Rs mn Revenue in Rs mn 1,705 3,108 1,571 7% 6% 3% 14% 37% 2,239 25% 8% 16% 1,561 1,311 7% 590 8% 80% 370 8% 10% 440 60% 28% 68% 19% 93% 76% 13% 13% 82% 64% 87% 67% Q4FY21 Q1FY22 Q2FY2
Slide 10: Driven by Strong Order Inflows
Driven by Strong Order Inflows ` Expected order inflow of Rs 400+cr in next one year Order Inflows – Q4FY22 and FY22 5% Rs 700 mn Rs 2,890mn 3% 52% 49% Rs 410mn 4% 13% Rs 1,370mn 13% 30% 84% 43% 48% 57% Q4FY21 Q4FY22 FY21 FY22 Production Development Service Production Development Service Major order
Slide 11: Order Book Growing Steadily
Order Book Growing Steadily ` Developmental contracts/order book translates to strong production orders Order Book in Rs mn Order Book in Rs mn 4,980 4,978 5,810 5,770 4,760 1,815 5,855 4,980 4,760 12% 10% 13% 3% 7% 13% 13% 14% 14% 14% 6% 5% 6% 11% 21% 22% 25% 25% 89% 80% 75% 82% 80% 67% 68% 62% 62%
Slide 12: Order Book Buildup in FY22
Order Book Buildup in FY22 ` On track to have a strong order book in the current year Orders as on Order Back 31st March New Orders log as on Orders 2021 in FY22 31st Mar Executed 2022 Rs 4,980 mn Rs 2,890mn Rs 3,108 mn Rs 4,760 mn Fire control system for BrahMos Missile, Avionics for LCA, RWR for F
Slide 13: Key Business Highlights
Key Business Highlights ` Product FY22 Revenue (Rs in mn) Key Products manufactured and delivered by Data Patterns Electronic Warfare 815.6 Radar 710.7 S.No Product(s) Details ATE 461.6 1. Monopulse RF Seeker Delivered prototypes to DRDO Communication 325.0 X-Band Doppler Weather Prototype installed
Slide 14: Robust Performance: Seasonality Improving but Q4 still Significant
Robust Performance : Seasonality Improving but Q4 still Significant ` Revenue (INR Mn) Gross Profits (INR Mn) and Margins (%) 1705 62% 63% 78% 69% 90% 71% 88% 65% 1,571 1,080 1108 592 438 418 386 379 372 336 224 241 175 66 41 Q1FY21 Q2FY21 Q3FY21 Q4FY21 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY21 Q2FY21 Q3FY
Slide 15: Efficient Operations: Working Capital Improving
Efficient Operations: Working Capital Improving ` Debtor Days and T/O Ratio Creditor Days and T/O Ratio 1.3 1.3 1.4 1.6 4.7 9.0 18.6 8.1 286 270 79 254 233 40 45 20 FY19 FY20 FY21 FY22 FY19 FY20 FY21 FY22 Inventory Days and T/O Ratio Cash Conversion Cycle 1.5 2.0 3.0 2.6 449 416 241 355 329 186 141
Slide 16: Borrowings, Capex and Working Capital
Borrowings, Capex and Working Capital ` Status of Borrowings Particulars (Rs. Mn) FY21 FY22 LT Debt 97.7 7.3 Short Term Debt 234.6 60.4 Total 332.3 67.7 • Repaid loans of Rs 270mn in FY22 from IPO proceeds • Short term borrowings would be in the range of Rs 250-500mn in FY23 Capex Particulars (Rs. M
Slide 17: Well-Invested and State of the Art Manufacturing Facilities
…Through Well-Invested and State of the Art Manufacturing Facilities ` Key features of manufacturing facility Manufacturing facility at Chennai, India ~ 5.75 Acres ✓ 100,000 class clean room Of land in Chennai, SIPCOT ✓ Electronic assembly facility area ✓ BGA repair work station with display ✓ Manua
Slide 18: Business Outlook for FY23
Business Outlook for FY23 ` Tailwinds Targeting larger opportunities in Satellite business • Strong order book pipeline ensuring high revenue visibility Expects to be a major participant for Rs20-30bn worth of • Government thrust on Make in India, Increasing private contracts in the next 3-4 years c
Slide 19: Corporate Overview
Corporate Overview Q4 & FY22 Earnings Presentation
Slide 20: One of the fastest growing companies in Defence and Aerospace Electronics
Data Patterns – One of the fastest growing companies in the Defence and Aerospace Electronics sector in India… ` Among the few vertically integrated defence and aerospace electronics solutions providers catering to the indigenously developed defence products industry Vertically integrated defence an
Slide 21: Consistent track record of Profitable Growth
…With a Consistent track record of Profitable Growth ` 38%+~ % growth CAGR FY19-FY22 ~ 33% Revenue CAGR from FY19-FY22 Robust revenue and order book growth Order Book Rs mn Revenue from operations Rs mn 5,855 3,108 4,980 4,760 2,239 Consistently higher 1,561 gross margins and 1,815 1,311 improving E
Slide 22: and Growing Profitability
…and Growing Profitability ` Improving PAT Margins Improving ROE and ROCE Improving PAT margins and high PAT and PAT margins ROE ROCE ROCE Rs mn 38% 939 31% 33% 23% 24% 556 30% 15% 25% 12% 210 6% 77 13% 6% FY19 FY20 FY21 FY22 FY19 FY20 FY21 FY22 Strong cash flow Strong operating cash flow generation
Slide 23: Diverse Product Offering
…Diverse Product Offering ` Category Select Product offerings Category Select Product offerings COTS modules designed Commercial in context of reusable BrahMos • Fire control systems off the shelf Programme building blocks for (COTS) • Mobile autonomous launcher building Military • Airborne launcher
Slide 24: Over Last Three Decades
….Over Last Three Decades ` TERLS Tracking Radar Wind Profile Micro Satellite Designed wide open RWR and 2021 Radar ELINT for airborne platforms • Initiated expansion of Launch pad manufacturing facility with countdown doubling of available floor system C-Band Tracking Radar Fixed Wing Cockpit Displ
Slide 25: A De-Risked Business Model
…A De-Risked Business Model ` 1 Developmental Contracts DRDO Defence PSU Projects leads to Production / Repeat requirements Programs leads to Annuity requirements 5 Exports / Offsets 2 MoD Tenders Available Radars, Electronic Warfare, Fire Available Products / Requirements is Products / control syst
Slide 26: Well-Positioned to benefit from Make in India Opportunity
…Well-Positioned to benefit from Make in India Opportunity ` Focused on designing & developing indigenized products making it a beneficiary of India’s “AtmaNirbhar” defence structural reforms Defence Modernization Program Focused on designing and building own products across the manufacturing value
Slide 27: Driven by Innovation Focused Business Model
…Driven by Innovation Focused Business Model ` Focused on in-house development led by innovation and design and development efforts Building complete systems from the Partner with customers through the life cycle of a 450+ engineers, most of whom building blocks and sub-systems product, from concept
Slide 28: Servicing Marquee Clients
… Servicing Marquee Clients ` Marqee customers in the Indian defence & aerospace ecosystem Government Departments Indian DPSU Others Ministry of Defence Indian government space organisation History of business continuity & reliable product service for marquee customers History of reliable product Pr
Slide 29: Led by a Highly Reputed and Experienced Management Team
…Led by a Highly Reputed and an Experienced Management Team ` Ms. Rekha Murthy Rangarajan Mr. Srinivasagopalan Rangarajan Promoter, Whole Time Director Promoter, Chairman & Managing Director • Over 2 decades of experience in administration, facility • Over 3 decades of experience in business develop
Slide 30: Well Rounded and Diverse Board
Well Rounded and Diverse Board ` Mr. Sowmyan Ramakrishnan Mr. Prasad Raghava Menon Non-executive, Independent Director Non-executive, Independent Director • Ex-Executive Director and CFO of Tata • Served as Managing Director of Tata Power. Chemicals Ltd and Ex-Tata Power Company Ltd. • Bachelor’s de
Slide 31: Appendix
Appendix Q4 & FY22 Earnings Presentation
Slide 32: Historical Statement of Profit and Loss
Historical Statement of Profit and Loss ` Particulars (Rs. Mn) FY20 FY21 FY22 Revenue from Contract with Customers 1560.98 2239.50 3108.55 Other Income 40.94 26.00 39.70 Total Revenue 1601.92 2265.50 3148.11 Expenses: a) Cost of materials consumed 532.13 629.78 915.90 b) Changes in inventories of FG
Slide 33: Historical Balance Sheet
Historical Balance Sheet ` Particulars (Rs. Mn) Mar20 Mar21 Mar22 Particulars (Rs. Mn) Mar20 Mar21 Mar22 ASSETS EQUITY AND LIABILITIES Equity Non-current assets (a) Share capital 17.00 17.00 103.80 (a) Property, Plant and (b) Other Equity 1,517.95 2,060.70 5641.30 278.21 292.08 441.60 Equipment Tota
Slide 34: Historical Cash Flow
Historical Cash Flow ` Particulars (Rs. Mn) Mar20 Mar21 Mar22 Net Profit before tax 284.29 745.34 1273.8 Adjustments for : Add : Depreciation 54.78 55.52 66.30 Add : Interest And Finance Charges 133.43 145.02 109.90 Less: Profit on sale of assets (1.78) (1.24) - Less: Interest Income (25.64) (22.21)
Slide 35: Defence modernization programmes
Defence modernization programmes ` Light weight EW requirements Arudhra Radar • EW capability will help in supplying products for Light weight EW • Expected to supply ~55 units of AGRU/ Arudhra radar products which have a heavy requirement in mountainous borders as they • Likely to generate revenues
Slide 36: Core groups or departments for design and development of products
Core groups or departments for design and development of products ` Department # of Employees Design & Engineering (D&E) 416 500 qualified Total Employee Manufacturing 263 Engineers out of 818 Our senior members in hardware, Strength Support 79 design and development have been with us for more than
Slide 37: Indian defence and aerospace industry is rapidly evolving into a self sustaining one
Indian defence and aerospace industry is rapidly evolving into a self sustaining one ` Competition at two levels for Indian defence suppliers – Anticipated Future Positioning We are poised to take up Data Patterns emerging opportunities Platform/ Solution Sub-system (end to Focused end)/ Integration
Slide 38: Thank You
` Thank You For further information, please get in touch with: Monali Jain Sheetal Khanduja monali@GoIndiaadvisors.com sheetal@GoIndiaadvisors.com M:+91 7597304020 M:+91 9769364166 Q4 & FY22 Earnings Presentation