Firstsource Solutions Limited · NSE:FSL
Firstsource Solutions — Q4 FY2011 Earnings Presentation
21 slides from Firstsource Solutions's earnings presentation, Apr 28, 2011
Slide 1: Firstsource Solutions Limited Q4 and FY2011 Earnings Update
Firstsource Solutions Limited Q4 and FY2011 Earnings Update
Slide 2: Disclaimer
Disclaimer 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 statements. The risks and uncertaintie
Slide 3: Agenda
Agenda • FY2011 Highlights • Q4 FY2011 Highlights • Financial Performance – FY11 and Q4 FY11 • Business Outlook
Slide 4: FY2011 Highlights (1/3)
FY2011 Highlights (1/3) Financial performance • Operating revenue growth - Y-o-Y growth of 4.3% in INR terms and 6.9% growth in constant currency terms • H2 over H1 has been fairly strong with 8.2% constant currency growth • Operating EBIT margin - FY11 Operating EBIT margin sustained at 9.8%, same
Slide 5: FY2011 Highlights (2/3)
FY2011 Highlights (2/3) Progress on key initiatives • Strategic direction of the business - Completed strategic review of the business and have identified specific initiatives to create sustainable economic value • Making ABU a profitable proposition - Improved financial performance driven by operat
Slide 6: FY2011 Highlights (3/3)
FY2011 Highlights (3/3) Significant awards and recognition • Ranked amongst the Top 50 „India‟s Best Companies to Work For‟ - 2010 list by Great Place to Work® Institute, India • Firstsource and Barclaycard US Receive Prestigious Outsourcing Excellence Award from Outsourcing Center • Won six Interna
Slide 7: Agenda
Agenda • FY2011 Highlights • Q4 FY2011 Highlights • Financial Performance – FY11 and Q4 FY11 • Business Outlook
Slide 8: Q4 FY2011 Highlights (1/4)
Q4 FY2011 Highlights (1/4) Q4 FY2011 Performance Analysis • Strongest quarter in the recent history of the company - Highest sequential revenue growth and operating EBIT margins in past 8 quarters - USD 103 million cash position is at an all time high • Operating Revenue growth - Y-o-Y growth of 7.8
Slide 9: Q4 FY2011 Highlights (2/4)
Q4 FY2011 Highlights (2/4) Employee Strength • 26,413 employees as on March 31, 2011 - 19,632 employees based in India and 6,781 employees based outside of India - Net reduction of 255 employees in Q4 FY11 compared to net addition of 1,759 employees in Q3 FY11 and net reduction of 2,448 in Q4 FY10 A
Slide 10: Q4 FY2011 Highlights (3/4)
Q4 FY2011 Highlights (3/4) Seat Capacity and Utilization • Seat capacity of 22,681 seats worldwide - Added 1,553 seats during the quarter - 42 delivery centers as on March 31, 2011, compared to 41 as on December 31, 2010 • Addition of one center in Chennai - Seat fill factor at 71% as on March 31, 2
Slide 11: Q4 FY2011 Highlights (4/4)
Q4 FY2011 Highlights (4/4) By Geography By Verticals By Delivery Location Client Concentration Firstsource © 2011 | Confidential | April 28, 2011 | 11
Slide 12: Agenda
Agenda • FY2011 Highlights • Q4 FY2011 Highlights • Financial Performance – FY11 and Q4 FY11 • Business Outlook
Slide 13: Financial Performance – FY2011
Financial Performance – FY2011 (IN INR Million) FY2010 FY2011 Revenue from Operations • Up 4.3% Y-o-Y Income from services 19,539 20,110 Other operating Income 169 443 Revenue from operations 19,708 20,553 Personnel & Operating Expense 16,903 17,657 Operating EBITDA 2,805 2,896 Operating EBITDA % 14
Slide 14: Financial Performance – Q4 FY2011
Financial Performance – Q4 FY2011 (IN Rs. Million) Q4 FY Q3 FY Q4 FY 2010 2011 2011 • Up 7.8% Y-o-Y Revenue from Operations Income from services 5,008 5,048 5,403 • Up 6.2% Q-o-Q Other operating Income 59 98 61 Revenue from operations 5,067 5,146 5,464 Personnel & Operating Expense 4,355 4,435 4,672
Slide 15: Agenda
Agenda • FY2011 Highlights • Q4 FY2011 Highlights • Financial Performance – FY11 and Q4 FY11 • Business Outlook
Slide 16: Healthcare
Healthcare Headed by Market Key Segments Revenue Employees Capacity and Delivery Geography Contribution Utilization Geography 34% 2,895 3,290 Payer seats of income as on Mar 31, as on Mar 31, from services 2011 2011 (Q4 FY11) President, Healthcare/ 70% CEO, North America Provider Seat fill factor To
Slide 17: Telecommunications & Media
Telecommunications & Media Headed by Market Key Segments Revenue Employees Capacity and Delivery Geography Contribution Utilization Geography 5,383 24% 6,314 Seats Cable & Satellite Wireless and Mobile as on Mar 31, Television income from as on Mar 31, 2011 services 2011 (Q4 FY11) Broadband / Fixed
Slide 18: BFSI
BFSI Headed by Market Key Segments Revenue Employees Capacity and Delivery Geography Contribution Utilization Geography 31% 5,022 4,213 Seats Credit Cards Retail Banking income from as on Mar 31, as on Mar 31, services 2011 2011 (Q4 FY11) EVP - BFSI 72% General and Sanjeev Sinha Mortgage Seat fill f
Slide 19: Asia Business Unit (ABU)
Asia Business Unit (ABU) Headed by Market Key Segments Revenue Employees Capacity and Delivery Geography Contribution Utilization Geography 11% 11,841 9,501 Seats Telecom BFSI income from as on Mar 31, as on Mar 31, services 2011 2011 & Media (Q4 FY11) EVP, Asia BU 73% Sanjay Venkataraman Seat fill
Slide 20: FY2012 Business Outlook
FY2012 Business Outlook • Strong growth in BFSI to continue • Currency headwinds - Strong traction with existing customers - Strengthening of Indian rupee against USD and GBP - Collections momentum is expected to continue - Lower rate on hedges as opposed to FY11 • Revival of growth prospects in Asi
Slide 21: Thank You
THANK YOU Firstsource (NSE: FSL, BSE: 532809, Reuters: FISO.BO, Bloomberg: FSOL@IN) is a global provider of customised BPO (business process outsourcing) services to the Banking & Financial Services, Telecom & Media and Healthcare sectors. Its clients include FTSE 100, Fortune 500 and Nifty 50 compa
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