Sonata Software Limited · NSE:SONATSOFTW
Sonata Software — Q3 FY16 Earnings Presentation
34 slides from Sonata Software's earnings presentation, March 2020
Slide 1: Transform business with IT: Investor Presentation Q3 FY16
GO DEEPER Transform business with IT Investor Presentation Q3 FY 16 Product Engineering Enterprise IT Services Technology Infrastructure DEPTH MAKES A DIFFERENCE © Sonata Software Ltd, 2014. Confidential. 1
Slide 2: Sonata Vision
Sonata Vision For the Customers IT Partner of choice for transformation thru deeper industry, technology & A world class firm customer focus that is a benchmark for Catalyzing Business Transformation for our Clients, For the Employee Fulfilling Employee Aspirations & A fun & fearless environment whe
Slide 3: Sonata Software – Corporate Structure
Sonata Software – Corporate Structure Sonata Software Limited Reporting Segment Legal Entities Geography Nature of Business Sonata Software Ltd India • Digital IT solutions & services • IT Consulting & Outsourcing • Product Engineering Services • Managed IT Services Sonata Europe Ltd UK • Software S
Slide 4: Operating Business Lines
Operating Business Lines International Services Technology Infrastructure • Product Engineering & Enterprise • IT Infrastructure Consulting, Licensing IT solutions & Deployment • International footprint • Primary India footprint • 35% of Co Revenues • 65% of Co Revenues • 79% of Co PAT • 21% of Co P
Slide 5: International IT Services
International IT Services 5
Slide 6: Industry Footprint
Industry Footprint Travel Retail & Distbn. ISV Most Innovative Partner Most Innovative Partner 2012 2012 Winning the Shift to Cloud based rail TO | OTA | Corporate | Air | Rail HyperDigital | Grocer | Apparel | CPG | Industrial Commerce ERP | SCM |reservations Travel | Retail systems Strategic Custo
Slide 7: Business Solutions Footprint
Business Solutions Footprint DIGITAL ENTERPRISE IT COST ENGAGEMENT EFFICIENCY MANAGEMENT • Omni-channel Commerce • ERP • Managed Services & • Analytics & Personalization • SCM, HR & Finance Infrastructure • CRM, Loyalty • BI & Analytics • Cloud & Virtualization • Mobile & Social Business • Mobile &
Slide 8: Engineering Solutions Footprint
Engineering Solutions Footprint PRODUCT PRODUCT PROFESSIONAL INNOVATION ENGINEERING SERVICES • Cloud engineering • Consult, Architect • Professional Services • Mobile engineering • Develop, QA • Integration, Customization • Analytics integration • Performance Engineering • Sustenance Engineering • G
Slide 9: Transformational Partner to Customers
Transformational Partner to Customers Enabling a World Leader in Travel Retail stay ahead of the digital business shift Evolution from brick and click to Omni- Channel business • 20%+ YoY digital sales growth, 50%+ digital revenue 10 Year Partnership Milestone Front Office to Back Office IT systems
Slide 10: Transformational Partner to Customers
Transformational Partner to Customers Partnering launch of a new ERP by a Global Software leader Engineering Excellence • Beta One thru to global roll-out stages with ERP & engineering skills • Vertical solutions partner – industry specific offering of core ERP Value Added Services 10 Year Partnersh
Slide 11: Way Forward: Platforms + Services for digital business
Way Forward : Platforms + Services for digital business Consumer Customer IT Connected world - Seamless, Personalized, Transform business to remain competitive with Social Commerce new technologies Solutions that keep your business ready for a digital future Travel : the future of Travel Experience
Slide 12: The Future – Industry specific Platform solutions
The Future – Industry specific Platform solutions Next Gen Travel Experience Omni Channel Retailer Digital Distribution Rezopia Travel Experience Platform Brick & Click Retailing Platform Modern Distribution Platform • Search & Book across Web, Mobile, • Seamless Personalized Shopping • Advanced Sup
Slide 13: Strategic acquisitions & builds to enable 'the Future'
Strategic acquisitions & builds to enable ‘the Future’ Unified Enterprise Mobility Platform TRAVEL SAAS Reservation, Distribution, Contracts & Core features of MADP, MAM, MBaaS & Operations on one single Cloud Platform APIs on a single, unified mobile platform Advanced Supply chain Software for Big
Slide 14: Increasing impact on customer's digital solution needs
Increasing impact on customer’s digital solution needs Top SMB ERP Company Cloud & Mobile engineering ERP for SaaS enablement World Leading Retailer Engineering Omni Channel retail systems on a new technology stack Top ANZ Rail Company Enabling next-gen Rail reservation & ancillary services 14
Slide 15: Digital Travel Platform in Action
Digital Travel Platform in Action Drives customer service and ancillary revenue of a leading ANZ Rail Operator Business Need: Upgrade reservations systems across core Rail and ancillary package sales Solution: Rezopia Travel SAAS customized to next gen reservation systems • Manage Services, Schedule
Slide 16: Global Service & Delivery Footprint
Global Service & Delivery Footprint UK Netherlands US Germany Development Centers – Redmond & Atlanta Singapore North America Australia Qatar, UAE India Bangalore, Hyderabad 16
Slide 17: Technology Infrastructure
Technology Infrastructure 17
Slide 18: TIS: Strategic fit to overall Sonata business
TIS : Strategic fit to overall Sonata business • Strategic partnerships with leading technology providers – Microsoft, SAP, Oracle, Appcelerator • Relationships act an advantage in accessing emerging technology solutions • High RoNW at >35% levels • 360 degree footprint across Engineering, Implement
Slide 19: Wide portfolio of technology solutions
Wide portfolio of technology solutions with leading and emerging partners PORTFOLIO OF WORLD-CLASS ALLIANCES 360 DEGREE CORPORATE IN-HOUSE SOLUTION NEW TECHNOLOGY FOOTPRINT CENTRE OF EXCELLENCE ADOPTION PE | PDS Implement | GTM Expert Deployment Team | SMAC| Platforms| Appliances Customer POC | Best
Slide 20: Keeping business prepared to compete
Keeping business prepared to compete… with up to date technology infrastructure CORE IT EMPLOYEE BUSINESS INFRASTRUCTURE PRODUCTIVITY APPLICATIONS • OS, Servers, Cloud & • Communication & • E. Comm, Digital Virtualization Collaboration Marketing, CRM, BI, • Security, Identity & Access • Work Tools &
Slide 21: Financials
Financials 21
Slide 22: Result Snapshot – Q3 FY16
Result Snapshot – Q3 FY 16 INR Crores
Slide 23: Consolidated - by Quarter
Consolidated - by Quarter INR Crores Revenue EBIDTA 467 479 398 522 62.7 393 51.7 50.3 55.7 58.8 500 60.0 14.2 15.0 400 344 11.5 11.6 14.4 314 319 232 40.0 300 234 41.0 39.2 42.3 45.3 48.8 200 20.0 100 156 162 166 171 182 - - Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 International
Slide 24: Headcount
Headcount 3,050 3,279 2,951 3,018 3,019 142 140 3,000 114 122 130 2,000 2,837 2,896 2,889 2,908 3,139 1,000 - Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 International Service Domestic Products & Service Diversity Attrition % 25% 100.0% 80.0% 22.6% 23.4% 23.5% 23.4% 24.8% 20% 20% 21% 18% 60.0% 15% 15% 15% 40.0% 7
Slide 25: International IT services – by Quarter
International IT services – by Quarter INR Crores Revenue EBIDTA 200 50.0 40.0 30.0 42.3 45.3 48.8 41.0 39.2 150 182 20.0 156 162 166 171 10.0 - 100 Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 PAT 32.0 30.0 28.0 31.0 31.6 28.9 29.8 27.8 QoQ YoY 26.0 Revenue 6% 16% 24.0 Q3-15 Q4-15 Q1
Slide 26: Revenue Mix
Revenue Mix Revenue $ mn Geography 28.0 100% 14% 14% 15% 14% 13% 27.0 31% 34% 34% 31% 31% 26.0 50% 25.0 27.4 55% 52% 51% 55% 56% 25.9 25.9 26.0 24.0 25.0 0% Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 23.0 Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 USA Europe incl UK Rest of World Onsite / Offshore Vertical 100% 100% 17% 17%
Slide 27: Revenues by Competency
Revenues by Competency 100% 2% 3% 3% 2% 3% 3% 3% 4% 1% 2% 2% 3% 90% 3% 3% 4% 8% 9% 10% 9% 10% 80% 7% 7% 7% 6% 8% 9% 70% 9% 10% 12% 4% 5% 5% 6% 12% 60% 13% 3% 13% 15% 14% 50% 13% 17% 40% 18% 19% 19% 18% 30% 20% 35% 29% 26% 26% 24% 10% 0% Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 ADM Test AX ERP IMS BI E-Commerce
Slide 28: Revenue by Customers
Revenue by Customers Customer Category New Customers 20 20 20 20 8 19 19 19 6 18 18 18 18 18 18 4 8 8 6 17 2 1 2 Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 0 # of Fortune 500 accounts # of million dollar clients Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 Revenue from Top 10 customers Asia Middle ANZ By Geo 2 80% East Europe,
Slide 29: Domestic Product & Services – by Quarter
Domestic Product & Services – by Quarter INR Crores Revenue EBIDTA 400 15.0 10.0 15.0 11.6 14.4 14.2 200 344 11.5 314 319 5.0 234 232 - - Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 PAT 10.0 8.0 6.0 QoQ YoY 8.4 8.4 8.6 4.0 6.8 7.1 Revenue 48% 9% 2.0 EBIDTA 5% 30% - Q3-15 Q4-15 Q1-16
Slide 30: Rupee Realization
Rupee Realization 110 104 105 105 104 103 100 90 85 85 85 80 80 80 70 66 66 63 63 64 60 50 40 Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 US Dollar Euro GBP
Slide 31: ROCE & RONW
ROCE & RONW ROCE 40% 35% 34% 33% 31% 31% 30% 32%28% 30% 28% 29% 30% 30% 28% 25% 25% 25% 20% 21% 15% 10% RONW 5% 50% 0% 40% 42% 38% 39% 37% Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 40% Consolidated Intl Serv Domestic 32% 34% 32% 33% 33% 30% 32% 31% 33% 32% 31% 20% 10% 0% Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 Consolidat
Slide 32: Day Sales Outstanding
Day Sales Outstanding Consolidated 90 84 80 74 72 70 70 60 61 50 40 30 Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 International Services Domestic 65 120 100 101 60 61 60 80 82 79 76 55 56 55 60 65 52 40 50 20 45 - Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 32
Slide 33: Utilization
Utilization 90% 85% 85% 85% 85% 85% 85% 80% 75% 70% 65% 60% Q3 15 Q4 15 Q1 16 Q2 16 Q3 16
Slide 34: Thank You!
GO DEEPER Transform business with IT Thank You! www.linkedin.com/company/sonata-software www.facebook.com/sonatasoftware www.twitter.com/sonata_software www.sonata-software.com Sonata Software Ltd., © Aug 2015