Further to our letter dated November 14, 2022, intimating the details of Earnings call, and pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, p...
November 15, 2022
The Secretary BSE Limited Phiroze Jeejeebhoy Towers Dalal Street, Mumbai- 400 001 Fax: 022-2272 2037/2039/2041/3121 BSE Scrip Code: 532348
Dear Sir/Madam,
The Secretary National Stock Exchange of India Limited Exchange Plaza, 5th Floor, Plot no. C/l G Block, Bandra-Kurla Complex Bandra (E), Mumbai - 400 051 Fax: 022-2659 8237/38; 2659 8347/48 NSE Symbol: SUBEXLTD
Sub: Subex Limited “The Company”- Investor Presentation for Q2 FY23 on November 16, 2022
Further to our letter dated November 14, 2022, intimating the details of Earnings call, and pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed the Investor presentation for Q2 of FY23 for the Earnings Call scheduled to be held on Wednesday, November 16, 2022 at 3.00 P.M. (IST).
Kindly broadcast the same on your website.
Thanking you
Yours truly, For Subex Limited
G V Krishnakanth Company Secretary & Compliance Officer
`
Investor Presentation Subex Limited
Nov 2022
November 22
Proprietary and Confidential
www.subex.com
Table of contents
1
2
3
4
Company overview
Quarterly financial performance
Recent updates
Leadership team
Slide 4
Slide 18
Slide 23
Slide 29
3
Nature of Business
Pioneer in enabling Digital Trust for businesses globally
Focus on six tenets of Digital Trust like privacy, security, risk mitigation, identity and intelligence to enable trust across people, processes & systems
Management
Managed by handpicked professionals from a cross-section of the industry
Supported by an experienced second in line management team
Products
AI Orchestration
Business Assurance
Fraud and Security
Network Analytics
Partner Ecosystem Mgmt.
Advanced Analytics
IoT Security
Identity Analytics
Subex’s evolution as a product company has always reflected our ability to foresee an emerging need or a trend, and then build capabilities to help our customers address the inherent challenges that come with that trend.
Subex Today
1994 Foundation of Company
25+ Foundation of Company
1000+ Employees
300+ Global Installations
90+ Countries
200+ Customers Globally
40+ Industry Awards
US$ 4 mn R&D spend in new areas in FY22
7
Our Strategic Framework
8
Our AI-led Portfolio
Business Assurance Move from assurance to creating impact
Fraud and Security Combat traditional and new-age frauds
Partner Ecosystem Management Leverage partnerships for digital success
Network Analytics Empower your Network to Ensure Business Excellence
IoT/OT Security Secure your credibility, revenue and brand
Identity Analytics Leverage data for identity verification
HyperSense AI End to end AI Orchestration platform
AI Services Custom-built AI Solutions for telcos
11
Democratizing AI at scale Subex aims to bring about AI adoption at scale by enabling Access, Automation, and Acceleration of AI.
Access Expand the group of users that use AI/ML for analytics in an organization
Automation Automate activities across the Data Science & Machine Learning lifecycle
Acceleration Accelerate the time to value for Data Science and Machine Learning projects
“
Our aim is to help enterprises realize the full potential of AI by democratizing it at scale. We intend to create over 100k Citizen Data Scientists over the next 2 years.
”
12
Advantages of HyperSense Platform
13
Investment Rationale
IDcentral Updates
• Onboarded 11 SAAS logos. • Crossed cumulative 10M API pulls •
Launched Aadhaar+ to reduce Aadhaar availability by more than 20%
Sectrio Customers
Manufacturing
Public Sector
Telecom
Smart Cities
Transportation
Oil & Gas
16
Why Subex is the preferred partner for Digital Trust
Financial Highlights – Q2 FY23
Financial Highlights – H1 FY23
Operating Revenue at Rs 745 mn vs Q21FY23 Rs
Operating Revenue at Rs 1577.6 mn.
832.6 mn down by ~ Rs 87.6 mn.
EBITDA at Rs 10.2 mn; EBITDA margin stood at
EBITDA at Rs 3.1 mn vs Q1 FY23 Rs 7.1 mn; EBITDA
0.6%
margin at 0.4% vs 0.9% in Q1 FY 23.
PBT at Rs (32.8) mn vs Q1 FY23 Rs 4.7 mn;
PAT at Rs (49.0) mn vs Q1 FY 23 Rs. 55.4 mn.
EPS is at Rs (0.09) vs Q1 FY 23 Rs. 0.10.
Other Information
PBT at Rs (28.1) mn;
PAT at Rs 6.4 mn.
EPS stood at Rs 0.01.
DSO stood at ~101 days, excluding unbilled trade debtors
Cash & cash equivalents is Rs 857.2 mn (including term deposits and LMF but excluding margin money
deposit).
Revenue Metrices – Q2FY23
Revenue by Region
Revenue by Service
19%
1%
62%
18%
Q2FY22
27%
2%
56%
15%
Q1FY23
24%
2%
59%
15%
Q2FY23
Americas
EMEA
India
APAC and ROW
36%
36%
41%
31%
28%
28%
34%
35%
31%
Q2FY22
Q1FY23
Q2FY23
Managed Services
Support service and others
Implementation,customisation, license
Consolidated Financial Performance – Q2FY23
Particulars (All Figures in Rs Million) Income Revenue from operations Other income Total income Employee benefits expense Other expenses EBITDA EBITDA Margin % Depreciation Finance Cost Profit before tax Tax Expenses Net Profit / (Loss)
Q2 FY23 30-Sep-22
Q1 FY23 30-Jun-22
Q-o-Q Growth %
Q2 FY22 30-Sep-21
Y-o-Y Growth %
H1 FY23 30-Sep-22
H1 FY22 30-Sep-21
Y-o-Y Growth %
745.0 9.8 754.8 520.3 221.6 3.1 0.4% 37.5 8.2 -32.8 16.2 -49.0
832.6 26.5 859.1 515.6 309.9 7.1 0.9% 26.1 2.8 4.7 -50.7 55.4
-10.5%
-12.1%
-56.3%
863.0 9.7 872.7 544.2 219.8 99.0 11.5% 24.6 3.3 80.8 32.6 48.2
-13.7%
-13.5%
-96.9%
-5.5%
-7.6%
-96.1%
1,577.6 36.3 1,613.9 1,035.9 531.5 10.2 0.6% 63.6 11.0 -28.1 -34.5 6.4
1,669.0 76.8 1,745.8 1,054.9 353.1 261.0 15.6% 48.8 7.4 281.6 98.6 183.0
Consolidated Annual P&L - Subex
Particulars (All Figures in Rs Million) Income Revenue from operations Other income Total income Employee benefits expense Other expenses EBITDA EBITDA Margin % Depreciation Finance Cost Profit before tax and exceptional items Exceptional items Profit Before Tax Tax Expenses Net Profit / (Loss)
FY22 31-Mar-22
FY21 31-Mar-21
FY20 31-Mar-20
FY 19 31-Mar-19
FY 18 31-Mar-18
3334.4 103.7 3438.1 2144.9 838.1 351.4 10.5% 98.8 19.4 336.9 0.0 336.9 127.0 209.9
3720.3 47.4 3767.7 1972.0 763.3 985.0 26.5% 137.8 29.6 865.0 28.7 893.7 376.5 517.2
3649.8 56.3 3706.1 1745.4 962.6 941.8 25.8% 150.8 47.7 799.6 -3176.6 -2377.0 314.5 -2691.5
3481.2 10.1 3491.3 1910.5 1051.0 519.7 14.9% 48.3 10.7 470.8 0.0 470.8 218.6 252.2
3243.2 14.0 3257.2 1747.1 1186.7 309.4 9.5% 51.7 44.2 227.5 116.6 344.1 137.3 206.8
Contribution to Industry Forums
GSMA FASG#24
GSC Forum – November 2022
RAG New Orleans Conference
Rise of the growing threat of cyber-enabled frauds with digital products
5G Roaming, Billing & Settlement: The Age of BCE & Blockchain
Driving effective business decisions with Margin Assurance for CSPs
CFCA Fall Educational Event
The future of Fraud Management with Cloud, AI/ML, and 5G
TM Forum Collaboration
• GB1004B Business Assurance
Transformation – Margin Assurance
• GB1004C Business Assurance
Transformation – Asset Assurance • GB1004D Business Assurance 5G Risks
& Controls Map
• GB1004E – Dynamic Ecosystem
Assurance Framework
24
Media Coverage
25
Awards
26
Innovation in Assurance
Innovation in Security
Innovation in AI & Analytics
List of IPs from AI Labs
Patents
Papers in Conferences
o Methods and Systems for Correcting Skew in
Images, India patent application No: 202241018838).
o Methods and Systems for Advanced Optical
Character Recognition, filed under US jurisdiction.
o Methods and systems for secure face liveliness
detection, filed under US jurisdiction, India patent application No: 20224103989
o
A Template Invariant Systems and Methods for 360- degree Skew Correction in Document Images, to be filed soon under US jurisdiction.
o A Comparative study of Hyper-Parameter
Optimization Tools, presented in IEEE Asia Pacific Conference on Computer Science and Data Engineering, Brisbane, Australia, December 2021.
o An Ensemble Model for Face Liveness Detection,
presented at Machine Learning Developers Summit, Bangalore, India, January 2022.
o A PSO Based Method to Generate Actionable
Counterfactuals for High Dimensional Data, under review in IEEE International Conference on Data Mining.
o Table Detection in the Wild: A Novel Diverse Table Detection Dataset and Method – accepted and presented at ICDAR 2022.
List of IPs from AI Labs
Open-Source Contributions
o ExploriPy - a library to do exploratory data
analysis.
o DeepRL - TensorFlow Framework for
Deep Reinforcement Learning
o Dominance - Analysis – a library for accurate and
intuitive relative importance of predictors.
o Tefla - Built on top of TensorFlow for
fast prototyping of Deep Learning Algorithms.
o Datum - A system for TensorFlow Record Dataset
Management
Talks
Forum Participations
o Using Dominance Analysis for Accurate and Intuitive Feature
Importance, in PyData Global 2020.
o Leveraging Game Theory for Explainable AI, in Plugin Virtual
Conference, 2020
o Counterfactual Analysis for Explainable AI, in PyData Global 2021.
o Measurement of Trust in AI
environment – won sustainability leadership award in TMF Catalyst program, 2021.
30
Thank you
investorrelations@subex.com | +91 8037451377
November 22
Proprietary and Confidential
www.subex.com