SAKSOFTNSE10 November 2022

Saksoft Limited has informed the Exchange about Investor Presentation

Saksoft Limited

Q2 & H1FY23 INVESTOR PRESENTATION

1 0 t h November 2022

Safe Harbor

This presentation and the accompanying slides (the “Presentation”), which have been prepared by Saksoft Limited (the “Company”), have been prepared solely for information

purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not form the basis or be relied on in connection with any

contract or binding commitment what so ever. No offering of securities of the Company will be made except by means of a statutory offering document containing detailed

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express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness, fairness and reasonableness of the contents of this Presentation. This

Presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or any omission from, this

Presentation is expressly excluded

Certain matters discussed in this Presentation may contain statements regarding the Company’s market opportunity and business prospects that are individually and collectively

forward-looking statements. Such forward-looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and assumptions

that are difficult to predict. These risks and uncertainties include, but are not limited to, the performance of the Indian economy and of the economies of various international

markets, the performance of the industry in India and world-wide, competition, the company’s ability to successfully implement its strategy, the Company’s future levels of growth and

expansion, technological implementation, changes and advancements, changes in revenue, income or cash flows, the Company’s market preferences and its exposure to market risks,

as well as other risks. The Company’s actual results, levels of activity, performance or achievements could differ materially and adversely from results expressed in or implied by this

Presentation. The Company assumes no obligation to update any forward-looking information contained in this Presentation. Any forward-looking statements and projections made by

third parties included in this Presentation are not adopted by the Company and the Company is not responsible for such third party statements and projections.

Table of Contents

ABOUT SAKSOFT

THE TEAM

FINANCIAL HIGHLIGHTS

STRATEGY FOR GROWTH

INVESTMENT RATIONALE

About Saksoft

•

Saksoft Group

• Offerings

• Domain Specific Solutions

•

Journey

Digital Transformation Partner

Digital transformation solutions help Automate, Modernize, and Manage IT Systems

Domain-specific technology solutions and solution accelerators from consulting to Support

Saksoft Group

2,000+ Employees

$75 Million Revenue run rate

16 Locations

20+ Years

www.saksoft.com

We ENHANCE CUSTOMER EXPERIENCE through DIGITAL TRANSFORMATION

Listed Indian Stock Exchanges

ISO 27001, 9001

100% owned subsidiaries

Global Presence

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Domain Specific Services

FINTECH

RETAIL E- CO MMERCE

TELE - CO MMUNICAT IO N

Customer Profile Offerings

• Cards & Payment gateways

• Credit

Management agencies

• Regulatory & Compliance

• Asset & Wealth Management

• SMB &

Consumer Lending, Mortgages

• Mobile Cash

Disbursement Solution

• API Integration

• Mobile/Web Development

• Big data analytics

• Credit Scoring,

Fraud prevention &Risk Assessment, Anticipate / handle disruptions

• Multi Store e- Commerce Solutions

• Store Front Solutions

• Customer

Engagement Solutions

• Order Inventory Management

• Social Listening

(Micro Influencer)

• Customer 360

• Customer Journey Tracking

• eCommerce

Portal Development

• Business Support

• SharePoint

Systems

development

• Operations

• Advanced

Support Systems

• Enterprise Resource Planning

•

IT Strategy Consulting

analytics to reduce customer churn

• Oracle Support

• Testing CoE

Domain Specific Services

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Domain Specific Services

HEALTHCARE

TRANSPO RTAT IO N & LO GISTICS

PUBLIC SEC TO R

Customer Profile Offerings

• Healthcare Providers

• Healthcare Payers

• Healthcare Compliance

• Clinical Research and Life Sciences

• Telehealth

• EHR integration

•

Imaging analytics

Integrated health monitoring via wearables

• HL7/FHIR enabled provider apps

• 3PL’s

• Shippers

• Carriers

•

ISV’s

• Port Operators

•

IoT Solutions

• Freight

Management Software

• Warehouse

Management

• Supply Chain Management

• EDI Integration

• Logistics

Dashboard

• City Councils in

• Police

Departments

• Central

Government agencies

• Housing

communities

• Public Utilities

• Smart cities - Machine learning & facial recognition from IoT data feeds

• Predictive

Analytics & BI to provide better healthcare, decrease crime rates, and improve citizen’s life

• People identity management

Domain Specific Services

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Digital Services

Co-development

Legacy Modernization

Analytics

Independent Testing

Cloud

Support

Digital Services

S O F T WA R E P RO D U C T E N G I N E E R I N G

A N A LY T I C S

T EST I N G Q A

• Web Technologies J2EE & .Net • Android, iOS, Xamarin, HTML5 / JS based apps • SharePoint : Development, Migration, Support • Business Intelligence product implementation

• Enterprise Data Management • Business Insights • Big Data • Data Science

• Functional • Non-Functional • Test Automation • Frameworks

E X T E N D E D S / W D E L I V E RY FAC I L I T I ES

• Near Shore Development Centre • Offshore Development Centre • Build-Operate-Transfer

AU TO M AT I O N

S U P P O RT S E RV I C ES

• Test Automation • Internet of Things • RPA • ML / AI

• Product Support : SAP, Microsoft • Application Support • Enhancement, upgrades • Cloud Migration : Application / Infra

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Digital Transformation Solutions

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Digital Transformation Solutions

L EG AC Y M O D E R N I ZAT I O N

• Architecture / Technology Upgrade

• Mobility Solutions

• Application / Platform Integration

• User Experience

• On-Premise to Cloud

I N T E L L I G E N T AU TO M AT I O N

• Robotics Process Automation

• Internet of Things

• Data Analytics

• ML / AI

• Test Automation

M A N AG E D A N A LY T I C S

• Reporting Factory

• Scripting Factory

• Data Science Factory

• System Management

M A N AG E D I N F R A

• IT Infrastructure Support ; 24X7

Monitoring

• End Point Management

• Application & DB operations

• Software asset management

Saksoft Group Journey

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Saksoft Group Journey

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Management Team

•

Board of Directors

Leadership Team

Core Values

At Saksoft, the team believes in a culture of Innovation, Customer Focus, Openness, Respect and Enterprising (iCORE)

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Board of Directors

ADITYA KRISHNA Founder, Chairman & Managing Director

Over 30 years of experience in the banking and financial services industry.

AJIT THOMAS Independent Director & Chairman- Audit Committee

Chairman of AV Thomas Group of companies

VVR BABU Independent Director & Chairman- Nomination & Remuneration Committee

MSc, Applied Mathematics and Operations Research, Master of Philosophy and Computer Science, Business Administration

GANESH CHELLA Independent Director

Alumnus of XLRI, Jamshedpur and a founder of Totus HR School,

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For more details please refer to our website: Saksoft Board of Directors

KANIKA KRISHNA Non-Executive Director

MBA in Financial Management from Pace University, New York, USA. Master’s program in International Business from the Manchester Business School

MALINI THADANI Independent Director

Sustainability, communications and investor relations advisor

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Leadership Team

ADITYA KRISHNA Founder, Chairman & Managing Director Over 30 years of experience in the banking and financial services industry.

NIRAJ KUMAR GANERIWAL COO & CFO

Heading Operations, Finance and Human Resources functions

AVANTIKA KRISHNA Chief Sales Officer

Heading the Top customer, and Sales Strategy

DHIRAJ MANGLA Chief Customer Officer

SWARAJ DASH SVP Sales – US Region

Heading Customer Relations

Heading US Sales

JONATHAN EELEY CCO – Acuma Solutions

Head - UK Enterprise and Public Sector accounts

BHASKAR NARAYANAN SVP – India & APAC

RAHUL AGGARWAL

AVP

Head – Marketing and APAC Sales

Head – IM and Analytics Practice

SOUMYA SHASHI Vice President

AMIT VERMA Executive Vice President

ROHAN PANDYA Vice President

Head - Testing & QA Practice

Head - Transportation & Logistics Vertical

Head - Fintech Solutions Vertical

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For more details please refer to our website: Transformation Drivers - Saksoft

Financial Highlights

•

P&L performance

Strong Financial performance

Business Mix

Latest quarter updates

Strong Financial Position, Consistent Profit Sharing

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P&L Performance

(INR Crore)

CONSOLIDATED REVENUE

CONSOLIDATED EBITDA

358.05

358.78

385.81

285.87

480.43

59.16

61.03

64.42

79.02

39.60

FY18

FY19

FY20

FY21

FY22

FY18

FY19

FY20

FY21

FY22

CONSOLIDATED PAT*

EPS**

38.21

38.65

45.44

24.41

63.26

3.87

4.57

2.20

6.34

FY18

FY19

FY20

FY21

FY22

FY18

FY19

FY20

FY21

FY22

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*PAT is before minority interest ** In INR and adjusted for stock split from face value INR 10 to INR 1

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Consolidated Income Statement

Consolidated Income Statement (Q2 & H1FY23)

Particulars (In INR Crore)

Q2FY23

Q1FY23

Q2FY22

H1FY23

H1FY22

Total Revenue

163.84

148.02

10.7%

114.73

42.8%

Employee Expenses

73.20

Support/ Third Party charges

55.80

Other Expenses

9.11

Operating EBITDA

Operating EBITDA(%)

Other Income

Depreciation

EBIT

EBIT(%)

25.73

15.7%

3.13

2.45

26.41

16.1%

Finance Cost

0.56

Profit Before Tax

25.85

Profit After Tax

Profit After Tax (%)

EPS (INR)

Tax

6.52

19.32

11.8%

1.93

67.29

50.87

7.39

22.47

15.2%

3.18

2.18

23.47

15.9%

0.49

22.98

5.18

17.80

12.0%

1.78*

14.5%

52 bps

12.5%

8.5%

(23 bps)

50.82

37.67

6.97

19.27

33.5%

311.87

140.49

106.67

16.50

48.21

216.87

43.8%

99.62

70.09

12.35

34.81

38.5%

16.8%

(109 bps)

15.5%

16.1%

(59 bps)

(0.02)

1.55

17.70

15.4%

0.60

17.10

4.01

13.09

11.4%

1.31*

49.2%

51.2%

47.6%

38 bps

6.30

4.63

49.88

16.0%

1.05

48.83

11.70

37.13

11.9%

3.71

7.45

3.02

39.24

18.1%

1.32

37.92

7.14

30.78

27.1%

28.8%

20.6%

14.2%

(229 bps)

3.09*

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*EPS adjusted for all comparative quarters and half year owing to stock split from face value INR 10 to INR 1

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Consolidated Balance Sheet

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Consolidated Balance Sheet

Particulars (INR Crore)

Sep-22 Mar-22 Mar-21 Mar-20 Mar-19

Particulars (INR Crore)

Sep-22 Mar-22 Mar-21 Mar-20 Mar-19

Assets

Non-current assets

202.40

209.75

174.08

156.36

145.76

Property, Plant and Equipment

28.54

28.74

10.69

8.49

2.14

Goodwill on consolidation

159.66

166.51

148.70

140.30

137.06

Other Intangible assets

0.59

0.34

2.17

2.93

Financial Assets

(i)

Investments

(ii) Loans

(iii) Others

Deferred Tax Assets (Net)

Other Non-Current Assets

Current assets

Financial Assets

(i)

Investments

(ii) Trade receivables

(iii) Cash and cash equivalents

(iv) Loans

(v) Other Financial Assets

Current Tax Assets (Net)

Other Current Assets

TOTAL – ASSETS

4.78

3.25

5.58

7.01

2.39

4.73

0.03

0.00

10.22

4.47

0.00

2.50

2.89

2.02

1.56

0.04

281.46

251.79

191.13

147.00

132.74

15.94

109.16

118.74

0.18

10.49

106.2

94.84

0.08

22.15

19.97

3.00

1.49

10.46

64.40

90.01

0.09

8.00

1.65

5.51

67.52

42.93

0.14

12.00

1.88

64.95

40.06

0.06

6.49

1.38

Equity & Liabilities

Equity

Equity Share capital

Other equity

345.61

318.50

259.29

206.18

175.33

10.03

10.01

9.96

9.94

335.58

308.49

249.33

196.24

165.39

Non-controlling interest

4.82

Liabilities

Non-current liabilities

28.59

26.92

30.47

33.55 35.28

Financial Liabilities

(i) Borrowings

(ii) Lease Liabilities

(iii) Other Financial Liabilities

Provisions

Current liabilities

Financial Liabilities

(i) Borrowings

(ii) Trade Payables (iii) Other Financial Liabilities & Lease Liabilities Other Current Liabilities

4.07

3.88

20.00

24.69

31.60

10.02

11.91

5.06

4.97

9.53

4.88

6.25

5.41

3.85

5.01

0.69

2.99

109.66

116.12

75.45

63.63 63.06

0.16

0.85

22.60

29.51

27.05

22.95

7.39

24.32

12.68

11.76

12.51

8.70

3.91

68.49

67.87

30.51

29.53

5.89

6.82

5.38

1.60

26.17

1.27

12.29

18.72

16.52

17.02

19.80

Provisions

483.86

461.54

365.21

303.36

278.49

TOTAL - EQUITY AND LIABILITIES

483.86

461.54

365.21

303.36

278.49

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Strong Financial Position

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Strong Financial Position

(INR Crore)

NETWORTH

CASH POSITION

318.50

345.61

259.29

180.15

206.18

90.01

94.84

118.74

40.06

42.93

FY19

FY20

FY21

FY22

H1FY23

FY19

FY20

FY21

FY22

H1FY23

ROE (%)

ROCE (%)

20.8%

18.6%

17.5%

19.9%

21.5%

26.7%

24.7%

22.1%

25.8%

28.5%

FY19

FY20

FY21

FY22

H1FY23

FY19

FY20

FY21

FY22

H1FY23

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Sharing Profits Consistently

% of Face Value

30%

Particulars (In INR)

FY19

FY20

FY21

FY22 H1FY23

Consolidated Book Value / Share*

Consolidated Earnings / Share*

17.64

20.74

26.04

31.83

34.45

3.67

3.87

4.57

6.33

3.31

Dividend / Share*

0.40

0.45

0.50

0.60

0.35

Sharing Profits Consistently

25%

30%

45%

10%

1 F Y 1 9

2 F Y 2 0

3 F Y 2 1

30%

4 F Y 2 2

35%

5 H 1 F Y 2 3

Final Dividend

Interim Dividend

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*Adjusted owing to stock split from face value INR 10 to INR 1, EPS and Dividend are not annualized

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Business Mix

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OTHERS 28%

RETAIL & HEALTH CARE 6%

PUBLIC SECTOR 5%

REVENUE BY VERTICALS (H1FY23)

REVENUE BY VERTICALS (FY22)

FINTECH 33%

OTHERS 28%

FINTECH 28%

TELECOM 20%

*TELECOM & UTILITIES 23%

TRANSPORTATION & LOGISTICS 11%

*Reclassified Telecom as Telecom & Utilities from Q2FY23 & H1FY23

RETAIL & HEALTH CARE 9%

PUBLIC SECTOR 10%

TRANSPORTATION & LOGISTICS 10%

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REVENUE BY GEOGRAPHY

( H 1 F Y 2 3 )

( F Y 2 2 )

Customer Metrics

H1FY23

FY22

Americas 47%

Operating & Customer Metrics

Europe 27%

APAC & Others 26%

Americas 45%

APAC & Others 23%

No of clients/customers per Million Dollar

>1 Million

>0.5 Million to 1 Million

Europe 32%

Top 5 Top 10 Top 20

47% 61% 74%

48% 59% 70%

REVENUE MIX

Headcount Metrics

H1FY23

FY22

( H 1 F Y 2 3 )

( F Y 2 2 )

Total Employee Count

Onsite 46%

Offshore 54%

Onsite 47%

Offshore 53%

Utilization – IT Services % (Excl. Trainees)

- Technical

- Support

1,789

1,624

165

86%

1,554

1,406

148

85%

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Highlights for Q2 & H1FY23

STRONG GROWTH MOMENTUM

FOCUSSED EXECUTION

GROWTH PLAN

▪ Registers highest ever quarterly INR 163.84 crores revenue at during Q2FY23, with a growth of 42.8% YoY and 10.7% QoQ basis

▪ Maintained a double-digit EBITDA in Q2FY23, margin at 15.7% amidst challenging global macro- economic scenario

▪ Added 2 new customers in 0.5Mn in 1Mn $ $ and 1 customer revenue segment quarter on quarter basis

▪ Top 5 and Top 10 Clients contributed 47% and 61% of revenues in H1FY23

Terafast

▪ Acquired further Transformation capabilities

Networks enhancing our Digital

▪ On track to achieve 25% growth in FY23 with our ‘Inch Wide Mile Deep’ and ‘String of Pearls’ strategies, enhancing our digital service offerings

▪ Embark on our Vision 2025 to 100 million become company which will be a mix of organic and inorganic growth

a US$

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Highlights for Q2 & H1FY23

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Continued Growth Momentum

E C N A M R O F R E P

Y L R E T A U Q

Continued Growth Momentum

REVENUE

EBITDA

YoY

42.8%

163.84

148.02

33.5%

YoY

25.73

22.47

114.73

19.27

13.09

10.7%

QoQ

14.5%

QoQ

(INR Crore)

PAT*

YoY

17.80

47.6%

19.32

8.5%

QoQ

Q2FY22

Q1FY23

Q2FY23

Q2FY22

Q1FY23

Q2FY23

Q2FY22

Q1FY23

Q2FY23

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*PAT is before minority interest

Strategy of Growth

•

Key Focus Area

Focus Emerging Sectors

Taking advantage of digitization wave with product and services offering to help clients achieve their needs

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Our Focused Strategy of growth

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Our focused Strategy of Growth

F O C U S O N E M E R G I N G S E C TO R S

Addressing the sweep of digitisation to help clients enhance operational efficiency

B E I N G N I M B L E

I N C H - W I D E A N D M I L E - D E E P S T R AT E GY

We are a mid-tier company with few decision making layers, enhancing our agility

Addressing target markets with services that differentiate from competition and emerging as one of the fastest-growing and most profitable across our verticals

B U I L D I N G A S T R O N G T E A M

By building high performance teams focused on sustainable growth

C O N S O L I DAT I N G F R O N T E N D

Consolidating marketing front-end to reach more clients, accounts, trades and systems with the objective to squeeze growth from our platforms at minimal costs

VA LU E OV E R VO LU M E

Address unoccupied territories represented by projects with higher profitability

S T R I N G O F P E A R L’ S S T R AT E GY

Engage in business complementing M&As that constitute a ‘string of pearls’ strategy that enhances our competence immediately following acquisition without corresponding gestation

Investment Rationale

CLIENTS

MARKET

• Digital transformation of clients at the core of

our services

• We have customer focus and innovation built in our Core values. These values enables our business to stay more relevant in the ever- evolving market

• Focus on the trinity of Fintech, Transportation & Logistics and Retail/Ecommerce with their interconnectivity places us in a sweet spot to design & address solutions

PERFORMANCE

TASK FORCE

• Strong Track Record - clean balance sheet,

growing revenue and profitability

• Sharing profits consistently

• Experienced and dedicated management

team with a diversified board

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Investment Rationale

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COM PAN Y

INVESTOR RELAT ION ADVISORS

Ernst & Young, LLP

Mr. Hiral Keniya Hiral.Keniya@in.ey.com

Ms. Asha Gupta Asha.Gupta@in.ey.com

CIN: L72200TN1999PLC054429

Mr. Niraj Kumar Ganeriwal Chief Operating Officer & Group Chief Financial Officer niraj.ganeriwal@saksoft.com

Ms. Swetaleen Tripathy Senior Manager +91 9840024120 swetaleen.t@saksoft.com

www.saksoft.com

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