Tata Consultancy Services Limited · NSE:TCS
Tata Consultancy Services — Q1 FY2010 Earnings Presentation
29 slides from Tata Consultancy Services's earnings presentation, Jul 17, 2009
Slide 1: Results for Quarter I FY 2009-10
Results for Quarter I FY 2009 - 10 17th July 2009
Slide 2: Disclaimer
Disclaimer Certain statements in this release concerning our future prospects are forward-looking statements. Forward-looking statements by their nature involve a number of risks and uncertainties that could cause actual results to differ materially from market expectations. These risks and uncertai
Slide 3: Financial Performance
Financial Performance 17th July 2009
Slide 4: Indian GAAP Growth Summary
Indian GAAP Growth Summary Consolidated Indian GAAP (INR Crore) Q1 FY10 Q4 FY09 Q1 FY09 Total Income 7,207 7,172 6,411 % Growth Q-o-Q 0.49% % Growth Y-o-Y 12.42% PBIDT (before Other Income) 1,965 1,847 1,559 % Growth Q-o-Q 6.40% % Growth Y-o-Y 26.00% Profit After Tax 1,534 1,333 1,291 % Growth Q-o-Q
Slide 5: US GAAP Revenue Growth
US GAAP Revenue Growth 17th July 2009 5
Slide 6: US GAAP Growth Summary
US GAAP Growth Summary 17th July 2009 6
Slide 7: Operational Performance
Operational Performance 17th July 2009
Slide 8: Growth by Market
Growth by Market 4.3% 1.8% North America 9.1% • US maintains share of business aided 11.0% 52.3% Ibero America by semblance of stability in the BFSI. UK Continental Europe • UK continues to face pressure from India weakness in existing customers, 16.9% Asia Pacific especially in the telecom sector.
Slide 9: Growth by Domain
Growth by Domain 2.2% BFSI 2.7% 2.9% Telecom • Semblance of business stability in 3.7% 5.7% 43.9% Retail & Distribution core BFSI segment. US leads while 4.9% Manufacturing UK and Europe expected to stabilize 9.2% Hi-Tech in subsequent quarters. Life Sciences & Healthcare Travel & Hospitality • Manu
Slide 10: Growth by Service Line
Growth by Service Line Application Development & Maint. 11.4% Business Intelligence • ADM and outsourcing services 2.6% 48.7% 1.4% Enterprise Solutions maintain market share despite 9.3% Assurance Services slowdown in new deals 5.2% Engineering & Industrial Services 4.4% Infrastructure Services • TC
Slide 11: Client Parameters
Client Parameters Q1 FY10 Q4 FY09 Clients Contribution * Revenue % Top 1 5.7 4.7 Top 5 19.4 18.6 Top 10 28.0 26.9 US$ 1 mln Clients 423 405 US$ 5 mln Clients 178 172 US$ 10 mln Clients 113 111 US$ 20 mln Clients 59 62 US$ 50 mln Clients 23 24 US$ 100 mln Clients 6 7 * Last Twelve Months 17th July 20
Slide 12: Operational Parameters
Operational Parameters Revenue % Q1 FY10 Q4 FY09 Delivery Location* Onsite 44.4 48.2 GDC/RDC 5.2 4.1 Offshore 50.4 47.7 Contract Type Time & Material 52.6 52.9 Fixed Price & Time 47.4 47.1 * Excluding Domestic Clients 17th July 2009 12
Slide 13: Client Acquisition and Expansion
Client Acquisition and Expansion Particulars Q1 FY10 Q4 FY09 Active Clients 933 985 New Clients 26 36 Revenue % from Repeat Business 99.7 95.6 Revenue % from New Business * 0.3 4.4 * Reset at the beginning of Financial Year 17th July 2009 13
Slide 14: Key Wins
Key Wins • A leading Energy Retailer in Australia has selected TCS for a multi-year deal for their application management services and business process outsourcing. • One of the largest video game publishing company has chosen TCS to provide global application development and support services for it
Slide 15: Human Resources
Human Resources 17th July 2009
Slide 16: Largest IT Employer in India: 141,642 employees
Largest IT Employer in India: 141,642 employees TCS Employees : 123,404 Overseas branches & subsidiaries: 9,993 Global/Regional Delivery Centers : 4,532 Subsidiaries* : 18,238 * CMC, WTI, TCS e-Serve, Diligenta & others are now shown under ‘Subsidiaries’ 17th July 2009 16
Slide 17: Q1 FY10 Gross Additions 1,154 & Net Additions (2,746)
TCS: Q1 FY10 Gross Additions 1,154 & Net Additions (2,746) • Additions : • 316 Trainees & 384 Laterals in India; 454 in Overseas Branches • Attrition : 11.5% (LTM), including BPO • IT Services: 10.7% (LTM), BPO: 19.8% (LTM) • Utilization Rate : 79.2% (excluding trainees), 71.3% (including trainees)
Slide 18: Diverse Workforce
Diverse Workforce • 30% of our workforce are women • 56% of our associates have more than 3 years of work experience. • Associates from 72 Nationalities Composition of International Workforce Mexican Others 13.0% British 9.8% 6.7% Colombian 2.1% American 8.7% Chilean Chinese 15.3% 8.7% Brazilian 11.
Slide 19: Campus Update
Campus Update • 24,885 campus offers were made in FY09. They would start joining us from Q2 onwards • Campus visits in FY10 would start in Q4 when students are in their last semester 17th July 2009 19
Slide 20: Annexure
id TATA CONSULTANCY SERVICES TATA IVANNTP/NGTVANGTV/ANYEYV/NVEG/NNTO NST V/NGTV/ANGE/ANYET/ AVEO NNO NST P/NGTV/ANGTV/ANNET/ANVEP/NNIG/NNTP/NNTV/ANSI/A NEPAL ZAUE/ANEZANLENLEZNLEASUP ALENT PN LEAL ALENT PZNLESLP LENE Annexure 17% July 2009
Slide 21: Indian GAAP Income Statement - Consolidated
Indian GAAP Income Statement - Consolidated INR Crore % of Total Income Consolidated Indian GAAP Q1 FY10 Q4 FY09 Q1 FY09 Q1 FY10 Q4 FY09 Q1 FY09 INCOME a) IT & Consultancy Services 6,942 6,954 6,098 96.33 96.96 95.12 b) Manufacturing, Sale of equipment and Licences 265 218 313 3.67 3.04 4.88 Total I
Slide 22: Indian GAAP Balance Sheet - Consolidated
Indian GAAP Balance Sheet - Consolidated INR Crore % Consolidated Indian GAAP 30-Jun-09 31-Mar-09 30-Jun-09 31-Mar-09 Source of Funds Shareholders' Funds 17,004 15,700 94.59 94.18 Minority Interest 296 277 1.65 1.67 Loan Funds 537 564 2.98 3.38 Deferred Tax Liability 140 129 0.78 0.77 Total Liabilit
Slide 23: US GAAP Income Statement
US GAAP Income Statement INR Million % of Revenue Consolidated US GAAP Q1 FY10 Q4 FY09 Q1 FY09 Q1 FY10 Q4 FY09 Q1 FY09 Revenue 72,070 71,718 64,107 100.00 100.00 100.00 Cost of revenue 39,238 39,187 37,147 54.44 54.64 57.95 Gross margin 32,832 32,531 26,960 45.56 45.36 42.05 SG & A expenses 14,940 1
Slide 24: COR – SG&A Details
COR – SG&A Details 17th July 2009 24
Slide 25: US GAAP Balance Sheet
US GAAP Balance Sheet 30-Jun-09 31-Mar-09 Consolidated US GAAP INR Million % INR Million % Assets Cash and Cash equivalents 14,390 5.87 14,839 6.52 Accounts Receivable 59,435 24.23 60,429 26.54 Unbilled Revenues 14,741 6.00 14,813 6.51 Other Current assets 33,200 13.53 31,860 13.99 Property & Equipm
Slide 26: US GAAP Income Statement – In USD
US GAAP Income Statement – In USD 17th July 2009 26
Slide 27: COR – SG&A Details – In USD
COR – SG&A Details – In USD 17th July 2009 27
Slide 28: US GAAP Balance Sheet in USD
US GAAP Balance Sheet in USD 30-Jun-09 31-Mar-09 Consolidated US GAAP USD Million % USD Million % Assets Cash and Cash equivalents 300 5.87 292 6.52 Accounts Receivable 1,241 24.23 1,191 26.54 Unbilled Revenues 308 6.00 292 6.51 Other Current assets 693 13.53 628 13.99 Property & Equipment 789 15.42
Slide 29: Thank You
Thank You SUZANUZAN LU ZAN ZA U ZA ZAN ZAZA ZA ZAZA ZA ZA ZA ZAZA ZA ZA ZA ANZA PANNTVANNTVANNTV NNT YANNI YANNI YANNI YANNI PANNE PANNE PANNE P ANNE PANNE /ANNEP/ANNOP ANNE /ANNIP ANNO PANNE PANN ANNO ZN UNEP ANGHVANGHY/NGHYANGHV/NGHY/NGHV/NGEV/NGHY/NGHV/NGHPANNEY/ANEP/NNEP/ANEY/ANEP/ANEPANEPAANEP/
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