Coforge Limited · NSE:COFORGE
Coforge — NIIT Technologies — Q4 FY2017 Earnings Presentation
21 slides from Coforge's earnings presentation, May 5, 2017
Slide 1: Financial Performance – Q4FY17
Financial Performance – Q4FY17 May 5, 2017 1 © 2017 NIIT Technologies | www.niit-tech.com © 2017 NIIT Technologies | www.niit-tech.com |
Slide 2: Agenda
Agenda Financial Highlights • Q4FY17 • FY17 Business Update Financial Statements • Income Statement • Balance Sheet Business Analysis Shareholding Pattern 2 © 2017 NIIT Technologies | www.niit-tech.com
Slide 3: Financial Highlights – Q4FY17
Financial Highlights – Q4FY17 Consolidated Revenues at INR 7,447 Mn • Up 7.3% QoQ, Up 8.5% YoY Operating profits at INR 1,523 Mn • Up 31.0% QoQ, Up 23.9% YoY • Operating Margins at 20.5%, Up 370 bps QoQ, Up 254 bps YoY Net Profits at INR 1,003 Mn • Up 60.7% QoQ, Up 22.9% YoY • ETR at 19.8% Order Int
Slide 4: Financial Highlights – FY17
Financial Highlights – FY17 Consolidated Revenues at INR 28,021 Mn • Up 4.2% YoY Operating profits at INR 4,845 Mn • Up 3.0% YoY • Operating Margins at 17.3%, Down 21 bps YoY Net Profits at INR 2,501 Mn • Down 7.4% YoY • Net Margins at 8.9% (LY 10%) • ETR at 22.4% 4 © 2017 NIIT Technologies | www.ni
Slide 5: Implementation of Settlement Agreement
Implementation of Settlement Agreement On April 5, 2017 the company informed the impact of settlement with a government entity. Details of the impact on Q4FY17 Financials are as follows: Amount in Particulars Comments INR Mn Gross Revenue 271 Revenue recognized post settlement for the services contr
Slide 6: Financial Highlights – Q4FY17 (Excl Settlement)
Financial Highlights – Q4FY17 (Excl Settlement) Consolidated Revenues at INR 7,176 Mn • Up 3.4% QoQ, Up 4.6% YoY • Constant currency growth is 3.6% QoQ Operating profits at INR 1,261 Mn • Up 8.5% QoQ, Up 2.6% YoY • Operating Margins at 17.6%, Up 82 bps QoQ, Down 34 bps YoY Net Profits at INR 739 Mn
Slide 7: Business Highlights for Q4FY17
Business Highlights for Q4FY17 BFSI up 4.1% QoQ, Contributes 42% (LQ 41.8%) Ramp up in Key US accounts 2 New clients added in NITL, including one being offered as platform services hosted on the Cloud Travel & Transport down 1.1% QoQ, Contributes 31% (LQ 32%) Decline on account of deprecia
Slide 8: Acknowledgements during the Quarter
Acknowledgements during the Quarter • NIIT Technologies is included in Vendor Landscape: Continuous Testing Services For Agile And DevOps Environments, published report by Forrester Research • NIIT Technologies positioned as a ‘High Achiever’ within the NelsonHall Next Generation Application Outsour
Slide 9: Consolidated Qtrly Income Statement (Ind AS)
Consolidated Qtrly Income Statement (Ind AS) Q4FY17 QoQ% YoY% Particulars (INR Mn) Q4FY17 (excl. Q3FY17 (excl. Q4FY16 (excl. Settlement) Settlement) Settlement) Gross Revenues 7,447 7,176 6,938 3.4% 6,863 4.6% Direct Cost 4,625 4,578 4,441 3.1% 4,328 5.8% Gross Profit 2,822 2,599 2,497 4.1% 2,536 2.
Slide 10: Consolidated Qtrly Income Statement (IGAAP)
Consolidated Qtrly Income Statement (IGAAP) Q4FY17 QoQ% YoY% Particulars (INR Mn) Q4FY17 (excl. Q3FY17 (excl. Q4FY16 (excl. Settlement) Settlement) Settlement) Gross Revenues 7,431 7,160 6,922 3.4% 6,847 4.6% Direct Cost 4,587 4,539 4,419 2.7% 4,304 5.5% Gross Profit 2,844 2,621 2,503 4.7% 2,543 3.1
Slide 11: Annual Income Statement (Ind AS)
Annual Income Statement (Ind AS) Particulars (Amount in INR Mn) FY 17 FY 16 YoY% Gross Revenues 28,021 26,879 4.2% Direct Cost 17,904 16,953 5.6% Gross Profit 10,117 9,926 1.9% GM% 36.1% 36.9% -82 Bps Selling / General And Administration 5,272 5,223 0.9% SG&A to Revenue % 18.8% 19.4% -62 Bps Operati
Slide 12: Balance Sheet (IndAS)
Balance Sheet (IndAS) INR Mn. As at Mar As at Dec As at Mar As at Mar As at Dec As at Mar Particulars Particulars 31 2017 31 2016 31 2016 31 2017 31 2016 31 2016 Equity 614 614 612 Fixed Assets 4,802 4,738 5,070 Reserves & Surplus 16,251 16,477 15,114 Capital Work in Progress - 369 167 Intangible As
Slide 13: Balance Sheet (IGAAP)
Balance Sheet (IGAAP) INR Mn. As at Mar As at Dec As at Mar As at Mar As at Dec As at Mar Particulars Particulars 31 2017 31 2016 31 2016 31 2017 31 2016 31 2016 Equity 614 614 612 Net Block 5,553 5,353 5,713 Reserves & Surplus 17,567 16,660 15,296 Goodwill 2,229 2,261 2,492 Capital Work in Progress
Slide 14: Geography Mix
Geography Mix FY'17 RoW 19% FY'16 Q4 FY'17 EMEA America 33% 48% RoW RoW 20% 19% America America 46% 48% EMEA EMEA 33% 34% Q4 FY17 FY17 • Strong Growth in USA due to expansion in BFSI • Strong Growth in USA due to growth in BFSI • Marginal decline in EMEA due to depreciation of GBP and Euro • Decline
Slide 15: Vertical Mix (Excl Settlement)
Vertical Mix (Excl Settlement) FY17 Mfg, Med & Oth FY16 26% Q4FY17 BFSI 42% Mfg, Med & Travel & Mfg, Med & Oth BFSI Transportation 38% Oth 27% 32% 27% BFSI 42% Travel & Travel & Transportatio Transportatio n n 31% 35% FY17 Q4 FY17 • Strong growth in BFSI due to expansion in key accounts in • Growth
Slide 16: Service Mix (Excl Settlement)
Service Mix (Excl Settlement) IP Based FY17 7% IP Based 8% FY16 IP Based Q4 FY17 6% IMS 18% BPO 5% ADM 67% IMS 18% IMS 17% SI & PI 4% ADM 65% BPO 5% ADM 66% BPO 5% I SI & PI 6% SI & PI 5% FY17 Q4 FY17 • Strong Growth in IMS due to acquisition of new clients in EMEA • Increase in ADM revenues due to
Slide 17: Order Intake
Order Intake Order Intake ($ Mn) 160 143 140 120 112 101 101 100 80 60 40 20 - Q1 FY17 Q2 FY17 Q3 FY17 Q4 FY17 Q1 FY17 Q2 FY17 Q3 FY17 Q4 FY17 • 5 new customers added: 2 in Insurance and 3 in Others • $112 Mn order intake in the quarter leading to $320 Mn of firm business executable over next 12 mon
Slide 18: Top Client Mix
Top Client Mix 41% 38% Others 59% 62% Top 20 Top 10 44% To be Updated 46% Top 5 33% 34% Q3'17 Q4'17 MM $ Clients 73 73 18 © 2017 NIIT Technologies | www.niit-tech.com
Slide 19: People Resources
People Resources People Data 8,868 8,809 8,853 9,022 Jun'16 Sep'16 Dec'16 Mar'17 Net Additions -454 -154 -59 44 Attrition% 13.38% 12.86% 12.58% 12.72% Utilization 79.80% 81.00% 80.00% 81.00% 19 © 2017 NIIT Technologies | www.niit-tech.com
Slide 20: Shareholding Pattern
Shareholding Pattern 16% 16% 19% 19% 18% Others 31% 31% 31% 31% 31% Promoters Banks/MF/FI's 22% 20% 22% FIIs 20% 21% 32% 33% 30% 29% 29% Mar'16 Jun'16 Sep'16 Dec'16 Mar'17 20 © 2017 NIIT Technologies | www.niit-tech.com
Slide 21: Thank You
Thank You 21 © 2017 NIIT Technologies | www.niit-tech.com © 2017 NIIT Technologies | www.niit-tech.com