RSYSTEMSNSE2 March 2022

This is with reference to our intimation dated February 28, 2022 regarding Investors/ Analysts call of R Systems International Limited (���the Company���) on Wednesday, March 02, 2022.In this regard, ...

R Systems International Limited

R SYSTEMS INTERNATIONAL LIMITED Corporate Identity Number : L74899DL1993PLC053579 [CMMI Level 5, PCMM Level 5, ISO 9001:2015 & ISO 27001:2013 Company] C-40, Sector-59, NOIDA, Distt. Gautam Budh Nagar, U.P., India – 201 307

Phones: +91-120-4303500 Fax: +91-120-4082699

Email : rsil@rsystems.com www.rsystems.com

Regd. Off.: GF-1-A, 6, Devika Tower, Nehru Place, New Delhi- 110019

REF: SECT/03/2022/01

DATE: MARCH 02, 2022

To, The Managing Director National Stock Exchange of India Limited Exchange Plaza, Bandra Kurla Complex, Bandra – East, Mumbai – 400 051

To, The General Manager BSE Limited Department of Corporate Services, Rotunda Building, 1st Floor, Mumbai Samachar Marg, Fort, Mumbai - 400 001

NSE Symbol – RSYSTEMS

BSE Scrip Code - 532735

Dear Sir/ Madam,

SUB: SUBMISSION OF PRESENTATION MADE TO ANALYSTS/ INVESTORS

This is with reference to our intimation dated February 28, 2022 regarding Investors/ Analysts call of R Systems International Limited (“the Company”) on Wednesday, March 02, 2022.

In this regard, as per Regulation 30 read with Part A of Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed presentation made to Analysts/ Investors on March 02, 2022 on the financial results for the quarter and year ended December 31, 2021.

This is for your information and records.

Thanking you,

Yours faithfully,

Thanking You, For R Systems International Limited

Bhasker Dubey (Company Secretary & Compliance Officer)

Analytical Review Q4 & Year 2021 Results

© 2021 R Systems All rights reserved.

Disclaimer

Investors are cautioned that

this presentation

contains forward-looking statements that involve

risks and uncertainties. The Company undertakes

no obligation publicly to update or revise any

forward-looking statements, whether because of

new information,

future events, or otherwise.

actual

results, performance, or achievements

could differ from those expressed or implied in

such forward-looking statements.

Key Highlights Year 2021

Revenue

₹ 1,155.64Cr (US$ 156.52M)

EBITDA : ₹161.46Cr (US$ 21.87M)

YoY Growth

+ve 31.23%

13.97

13.27

Key Wins

30

Net Profit

Earnings Per Share

₹ 141.44Cr (US$ 19.16M)

₹ 11.85

Year 2021

Year 2020

EBITDA Revenue (%)

Shareholder and Cash Balance

As at Dec 31, 2021

In ₹

In US$

Share Holder Funds

₹ 460.30Cr

US$ 61.92M

Net Cash Balance

₹ 277.45Cr

US$ 37.32M

Key Highlights Q4 2021

Revenue

Growth

₹ 328.65Cr (US$ 44.01M)

YoY +ve38.88%

QoQ +ve7.48%

Key Wins

8

Net Profit

Earnings Per Share

₹ 32.79Cr

(US$ 4.37M)

₹ 2.77

EBITDA : ₹45.10Cr (US$ 6.04M)

16.06

15.98

13.72

Q4 2021

Q4 2020

Q3 2021

EBITDA Revenue (%)

Key Balance Sheet Data

Dec 31, 2021

Dec 31, 2020

Receivable

Unbilled

Day Sales Outstanding

₹ 177.98Cr

₹ 52.86Cr

50 Days

₹ 131.25Cr

₹ 22.21Cr

53 Days

Key Highlights

Robust revenue growth backed by new deal closures, deepened relationship with existing customers along with decent flow of sizable deals

Continue to witness good traction towards product engineering and digital services

On-boarded 850+ technical associates during Year 2021

Serving 40 million dollar plus customers including 6 contributing dollar three million plus revenues on run rate basis

Utilization was modest to overcome the hiring and attrition challenges

Expanding our SEZ facilities at Greater Noida by approx. 48,000 square feet to cater to growth

5

Financial Performance – Contribution Analysis – FY 2021

Figures in M

Year 2021

Year 2020

Revenues

Cost of revenues

Gross margin

SG & A Expenses

EBITDA

Depreciation and amortization

EBIT before exceptional items

Exceptional Items

EBIT

Interest expense

Other income (net)

Income before income tax

Income tax expense

Net earnings

11,556.39

7,431.44

4,124.95

35.69%

2,510.39

21.72%

1,614.56

13.97%

276.93

1,337.64

-

1,337.64

(49.12)

412.20

1,700.72

286.36

1,414.36

US$

156.52

100.65

55.87

34.00

21.87

3.75

18.12

-

18.12

(0.66)

5.58

23.04

3.88

19.16

8,805.91

5,579.22

3,226.69

36.64%

2,058.28

23.37%

1,168.41

13.27%

256.04

912.37

18.65

893.72

(56.66)

125.15

962.21

144.22

817.99

US$ 119.16

75.50

43.66

27.86

15.80

3.46

12.34

0.25

12.09

(0.77)

1.70

13.02

1.95

11.07

6

Revenue and Gross Margin Analysis – FY 2021

Revenues

Gross margin

31.23% Increase in Revenue Resulted from

Volume gain 29.48%

Rupee depreciation 1.75%

(0.95)% Decrease in Gross Margin Resulted from

Salary increments (0.98)% Lower utilization (0.29)% Rupee depreciation 0.32%

* Rupee depreciation mainly against Euro

7

Financial Performance – Contribution Analysis – Q4 2021

Figures in M

Q4 2021

Q4 2020

Q3 2021

Revenues

Cost of revenues

Gross margin

SG & A Expenses

EBITDA

Depreciation and amortization

EBIT before exceptional items

Exceptional Items

EBIT

Interest expense

Other income (net)

Income before income tax

Income tax expense

Net earnings

3,286.46

2,143.49

1,142.97

34.78%

691.94

21.05%

451.03

13.72%

79.61

371.42

-

371.42

(13.69)

50.51

408.24

80.31

327.93

US$

44.01

28.71

15.30

9.26

6.04

1.07

4.97

-

4.97

(0.18)

0.66

5.45

1.08

4.37

2,366.41

1,477.94

888.47

37.55%

508.47

21.49%

380.00

16.06%

59.73

320.27

18.65

301.62

(14.42)

44.53

331.73

38.74

292.99

US$

32.12

20.06

12.06

6.90

5.16

0.81

4.35

0.25

4.10

(0.20)

0.60

4.50

0.53

3.97

3,057.74

1,907.23

1,150.51

37.63%

661.98

21.65%

488.53

15.98%

71.33

417.20

-

417.20

(11.98)

61.51

466.73

90.78

375.95

US$

41.39

25.81

15.58

8.96

6.62

0.97

5.65

-

5.65

(0.16)

0.83

6.32

1.23

5.09

8

Revenue and Gross Margin Analysis - Q4 2021

Revenues

Gross margin

7.48% Increase in Revenue Resulted from

Volume gain 8.31%

Rupee depreciation 0.55%

Lesser billable days (1.38)%

(2.85)% Decrease in Gross Margin Resulted from

Salary increments (1.25)%

Decrease in utilization (1.13)%

Lesser billable days

(0.64)%

Rupee depreciation 0.17%

9

Big Picture – Revenue & EBITDA %age

) r

C n

i

₹ (

e u n e v e R

350

280

210

140

70

0

15.87

224

16.06

237

274

13.39

248

12.46

306

15.98

329

13.72

209

210

10.98

9.63

Q1 20

Q2 20

Q3 20

Q4 20

Q1 21

Q2 21

Q3 21

Q4 21

Revenue

EBITDA %

20

15

10

5

0

% A D T I B E

10

Billable Associates

4,000

3,000

2,000

2,453

471

2,335

436

2,506

438

2,672

488

2,801

503

3,030

569

1,000

1,982

1,899

2,068

2,184

2,298

2,461

3,327

593

3,548

635

2,734

2,913

0

Q1 20

Q2 20

Q3 20

Q4 20

Q1 21

Q2 21

Q3 21

Q4 21

IT

BPO

Record addition of 850+ technical associates during FY 2021

11

Utilization (%)

100

96.0

96.1

95.6

96.6

95.4

95.7

95.6

96.6

75

50

25

0

77.6

75.5

76.9

74.8

79.0

77.0

79.5

77.5

78.5

76.5

76.7

74.5

77.5

75.5

77.1

74.9

Q1 20

Q2 20

Q3 20

Q4 20

Q1 21

Q2 21

Q3 21

Q4 21

Onsite

Offshore

Blended

Offshore utilization impacted by higher attrition during FY 2021

12

Revenue Breakdown

75.0

50.0

25.0

-

65.2

68.0

68.9

By Geography (%)

15.0

17.0

13.2

16.3

1.5

1.3

1.6

0.9

13.5

14.5

2.3

0.8

Year 2019

Year 2020

Year 2021

North America

Europe

SEAC*

India

Others

* South East Asian Countries

Client Concentration (%)

40.0

30.0

20.0

10.0

-

31.8

28.5

20.4

14.7

5.9

19.0

14.1

7.7

24.2

16.4

12.3

7.1

Year 2019

Year 2020

Year 2021

The Largest Client

Top 3 Clients

Top 5 Clients

Top 10 Clients

13

Summing Up and Looking Ahead

Record revenue growth and surpassed the key milestone of USD 150 mn in annual revenues

Safety and wellbeing of employees is utmost in evaluating Work-From- Office or hybrid working

Continue to invest in sales, pre-sales and in newer technologies, to unleash next-gen digital evolution

Continue additional to maintain bandwidth to offset near term attrition challenges and to pursue growth

Business outlook continues to be positive with strong demand environment

Focus for 2022

• Partnering with customers

in successful

navigating digital transformations

their

• Expanding Infra to cater

to

growth

• Expand margins by efficient operations, improved realization rates and revenue growth

Strong balance sheet for future growth

14

Nand Sardana

Chief Financial Officer Tel # 0120 – 4303506 Email: nand.sardana@rsystems.com

Kumar Gaurav

AVP Finance & Accounts Tel # 0120 - 4082650 Email: kumar.gaurav@rsystems.com

Bhasker Dubey

Thank You

Company Secretary & Compliance Officer Tel # 0120 - 4303566 Email: bhasker.dubey@rsystems.com

© 2021 R Systems All rights reserved.

Worldwide Headquarter Worldwide Headquarter R Systems International Ltd. R Systems International Ltd. C - 40, Sector - 59, C - 40, Sector - 59, Noida 201307 (UP), India Noida 201307 (UP), India P: (+91) 120-430-3500 P: (+91) 120-430-3500 F: (+91) 120-258-7123 F: (+91) 120-258-7123

USA Corporate Office USA Corporate Office R Systems Inc. R Systems Inc. 5000 Windplay Drive, 5000 Windplay Drive, El Dorado Hills, CA 95762 El Dorado Hills, CA 95762 P: (+1) 916-939-9696 P: (+1) 916-939-9696 (+1) 800-355-5159 (+1) 800-355-5159 F: (+1) 916-939-9697 F: (+1) 916-939-9697

15

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