Redington Limited

Rajiv Srivastava

MANAGING DIRECTOR, REDINGTON LIMITED

S. V. Krishnan

GLOBAL CHIEF FINANCIAL OFFICER, REDINGTON LIMITED AND SENIOR MANAGEMENT TEAM OF REDINGTON

rs,

n the expertise of my global leadership team as well. And then we can go on for question and answers, but you feel free to raise your hand and ask any questions any or clarifications or give or make a

100%

Kasturi Rangan. Kasturi is the Managing Director of ProConnect which is our logistics subsidiary, 100% owned by Redington. We got Serkan Celik. The picture is a little different for Serkan. Apologies

49%

ise man, that has a nice good beard. And Serkan runs Turkey Arena for us, where Redington has a 49% stake, but majority controlled and Serkan is the counterpart for Vis and Ramesh in that place.

8.4 billion

hare with you who we are. And clearly, there are just 1 or 2 takeaways from this slide. We are a $8.4 billion running across 40 countries, a completely 100%. There is no promoter in the company. So, we are a

85%

I said, Malay and Kasturi are here. We do logistics services for Redington, but largely more than 85% of that business is from outside of Redington. And then we are also doing a whole range of produc

24%

the right side, they are non-exec directors because Synnex is a big stakeholder in our company at 24%. And we've got 2 members from Synnex who are on the Board of Redington. One is David Tu, Tu Shu.

Rs. 8,000 crore

merchant banker, Mr. Puranik and team and a couple of investors saying, you are already at about Rs. 8,000 crore and we had seen in the market the companies have long growth and higher growth, after IPO all thi

Rs. 8,600 crore

re. I just want to tell you 15 years down the line, you can see the numbers from Rs. 8,000 crore, Rs. 8,600 crore by FY '07 to Rs. 62,000 plus crore in the last financial year. In the last 5 years, you can see e

Rs. 62,000

5 years down the line, you can see the numbers from Rs. 8,000 crore, Rs. 8,600 crore by FY '07 to Rs. 62,000 plus crore in the last financial year. In the last 5 years, you can see every year, we have added

Rs. 5,000 crore

rore in the last financial year. In the last 5 years, you can see every year, we have added about Rs. 5,000 crore to our turnover. And revenue has grown by 7.5x in this 15 years. EBITDA in the same time has grow

7.5x

can see every year, we have added about Rs. 5,000 crore to our turnover. And revenue has grown by 7.5x in this 15 years. EBITDA in the same time has grown by 9.5x and the profit after tax by 12.5x.

9.5x

ur turnover. And revenue has grown by 7.5x in this 15 years. EBITDA in the same time has grown by 9.5x and the profit after tax by 12.5x. So, there has been a consistent growth. It's just not a poin

“There will be a bit of a thing about Redington, who we are, some things about our financials and then a bit more about how we see the market, what we see our strategy as going to the market to capitalize, to maximize from our perspective, what kind of company we are trying to become from a capability perspective and so on and so forth.”

“And when I call out the names, if all of you can just stand up by, and that will be great.”

“We will be able to grow at the same pace in the future.”

“You will be pulled back, you will be going behind and the tech-dominated world, not keeping currency of technology is actually getting obsolete here.”

“And we hope to become the most admired company on the planet.”

“The other thing is that we aim to be the best provider, the biggest partner, biggest partner for every single tech provider and every single downstream partner in the geographies that we play in.”

“Every company said, okay, a marketing manager gets up and says, look, I must go and do this target audience marketing with a target bunch of my customers, but I have to run an application.”

“So, these 2 things also, if you can elaborate, that will be great.”

“Now my answer will be catering to India and the regions we cater to.”

“also that there will be a set of customers that AWS or Microsoft will not deal with directly, and they will have a Redington kind of a company in the U.S.?”

Rajiv Srivastava

25

Participant

24

Rakshit Bhatt

8

Ramesh Natarajan

5

S. V. Krishnan

4

Moderator

3

Serkan

2

Rajiv Srivastava

Good evening. Himani, thanks so much. Good evening, and a very warm welcome to all of you. It's so good to be face-to-face after such a long time. I think we're doing this almost after 4 years or maybe a little more than that. We always used to release these conferences earlier and then pandemic happened. So, obviously, we couldn't do that and thank you for being patient with us and thank you for covering us during the pandemic as well. Can I make a request, if you can -- this light is really coming directly in the eye. But thank you for covering us. Thank you for engaging with us, and thank you for doing everything around our messaging during the pandemic time. And this is a restart of sorts. So, we are restarting the whole engagement, face-to-face one more time, and I really want to give a big thank you and a warm round of applause to all of you for being with us during this journey. I know this is a very aware group. You all know what's going on in the market. You all know what's go

S. V. Krishnan

Thanks, Rajiv. First of all, extremely happy to note that all of you have spent time to meet us and for also covering us on a continuous basis. Imagine how it is to talk about financial numbers to a set of august people who breathe financial numbers all the time, live with financial numbers. But all of you know the Redington story well and the numbers by heart because I keep telling the internal team members the tracking that you all have in terms of numbers are very difficult. It's very complex to understand. So, we have just kept a few slides on the financial numbers, but anything more that we can answer at the time of Q&A. These are, I mean, the broad financial numbers, the key metrics from the time we went IPO, I could think of the time during the IPO when we had our merchant banker, Mr. Puranik and team and a couple of investors saying, you are already at about Rs. 8,000 crore and we had seen in the market the companies have long growth and higher growth, after IPO all this fizzle

Rajiv Srivastava

Thanks, SVK. All right. I think let me move on to the other part of the presentation now as to what's happening? What are we seeing in the world of technology around us, what's changing and what is staying steady? And then how are we as a company gearing up or making the moves to ride the tech wave that exists today? And you'll find there is one thing which is really consistent and you can make this slide as a true slide for most parts of our journey is most part of the last 20, 25, 30 years of our journey is the shift towards digital is going to impact pretty much every single aspect of who we are as individuals and who we are as organizations. So, when you go to engage with consumers, all of us are dealing with changing lifestyles. A couple of years ago, you weren't so addicted to your cell phones, but today, you wouldn't probably give it up for anything else. And there is so much of sharing of information or so much of hooking up that you have with that thing. But they're just one a

Participant

(Inaudible) (1:15:57) So, like buying these cloud platform and redistributing it to SME clients or the guys who can't afford, let's say, complete cloud migration solution from a tech provider. Correct my understanding if I'm wrong.

Rajiv Srivastava

Totally right. And my apologies, I missed to introduce one very important person on the team, Rakshit. Rakshit, you are around somewhere? Rakshit? Rakshit runs our cloud business, and I'll leave it to him to answer that. And I'll reinforce your understanding. It's not 80%, it’s probably more than that, which is a cloud resell today, okay? Like I talked to you about what is today and what directionally that we are headed to. But Rakshit, please go ahead.

Rakshit Bhatt

Good evening, everyone. So, I think a very interesting question. And your understanding in Redington Limited September 14, 2022 terms of reselling is absolutely right. What do we do in the SMB, SME space for cloud adoption? Now when we connect with our partners, so Rajiv was mentioning about 2x partners and 5x customers, right? So, what are you doing? You are in a way influencing the partners to improve in the cloud consumption. Now what's happening is the partners are not only about reselling and consuming. These partners and the core to cloud business, what do you think about enterprise as a large SI player, right, their ecosystem is thriving on the technical presales ecosystem, right? And in cloud business in Redington, what do we do? We have the technical presales ecosystem for these partners who are playing in the SMB space. And see the connection is as follows, then we are also linked with the hyperscalers, correct? So, 2 are Microsoft, 2 are AWS to improve on their market reach