Saksoft Limited has informed the Exchange about Investor Presentation
EARNINGS PRESENTATION Q3/9M-FY25
About Us
25 Years
Market Cap ~INR 30,000 Mn*
2000+ Employees
HQ Chennai
16+ Locations
Fintech
Transportation &Logistics
Hi-Tech, Media and Utilities
Retail /E-commerce
Vision 2030 $ 500 Mn Revenues
Digital Engineering
QA & Testing
Data Analytics
Cloud, Infra Security
13% Revenue CAGR Over 10 Years
20% Profit CAGR Over 10 Years
19% ROE 26% ROCE
59% Revenue from Top 10 Clients*
15 Clients Revenue of 1Mn+*
* As of 31st Mar 2024
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Industries Served
Saksoft
Fintech
31%
Hitech, Media and Utilities 42%
Transportation & Logistics
16%
Retail
11%
Our USP
How do we help
• Understanding of our clients Domain • Technology Services capability • Specialists from Saksoft group companies • Offshore Delivery Infrastructure •
Referenceable
Custom Developed Solutions Legacy Modernization
• • • Quality Assurance through Testing • •
Data to Decisions through Data Analytics Cloud, Infrastructure & Cyber Security
Revenue Share as on Q3-FY25
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Building talent: Due to overlapping time zones, businesses in Europe are using smaller nearshore teams to assist offshore operations. By developing talent resources locally, Saksoft was able to guarantee European clients that their time zones will be respected when receiving solutions.
Consistent focus on digitalisation-driven transformation along with Early entrant with a strong track record of successful digitalisation- driven projects and financial metrics are used to assess competence.
Customer-fit: Focus on clients with revenues ranging from USD 100 million to USD 3 billion- not too large to lose the customer perspective nor too little to be unable to spend appropriately.
Task Force: Experienced and dedicated management team with a diversified board.
Growth Strategy
Cross-selling and upselling by the company aided in its development as a full-service provider.
Domain-specific solutions: Companies are increasingly preferring to work with businesses that provide digital solutions tailored to their industries. Saksoft is a trustworthy digital partner because of its extensive expertise of the numerous industries it offers digital solutions for.
Verticals specialization: Concentration on a few verticals that are motivated by evolving lifestyle relevance and Comprehensive solutions expertise inside the vertical along with Verticals and competences interrelated.
The Company has lucrative multiyear contracts with well-known brands that guarantee revenue visibility.
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Q3/9M-FY25 PERFORMANCE
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Q3/9M-FY25 Financial and Operational Highlights
Q3-FY25 Consolidated Performance
Operational Highlights
INR 2,268.30 Mn Operating Income
INR 380.62 Mn Operating EBITDA
16.78 % Operating EBITDA Margins
INR 270.23 Mn Net Profit
11.91 % PAT Margins
INR 2.12/ Share Basic EPS
9M-FY25 Consolidated Performance
INR 6,431.26 Mn Operating Income
INR 1,098.59 Mn Operating EBITDA
17.08 % Operating EBITDA Margins
INR 787.71 Mn Net Profit
12.25 % PAT Margins
INR 6.20 / Share Basic EPS
• Achieved 18% YoY growth in revenue as compared to the third
•
quarter of the previous financial year The number of clients spending over USD 1 million has grown from 17 to 18, Movement of 1 customer from USD 0.5 million to USD 1 million
• Headcount for technical Resources have moved from 1,838 as on 31st March 24 to 2,275 on 31st Dec 2024 adding 437 technical employees on a global level
• Acquisition of Zetechno Products and Services Private Limited (“Zetechno”) in December 2024 - A niche ServiceNow Premier Consulting and Implementation Partner offering comprehensive services including Implementation, Support & Maintenance, Upgrades, and Custom Applications
• Utilisation has moved up by 1% for the 9 months ended 31st December 2024 as against previous financial year in spite of furlough days in 3rd quarter
• Celebrating 25 years of completion
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Management Commentary
Commenting on the performance, Mr. Aditya Krishna, Chairman and Managing Director, said: “Our quarterly revenues have grown by 5%
sequentially in a cyclically low quarter along with increase in our operating margins. The in-line growth of our selected industry
verticals is a reflection of our clear strategy and our market positioning for us to reach 500 Million USD by 2030 . During the quarter we
also acquired ZeTechno, Premier ServiceNow partner which will add onto our service offerings. We continue to invest in AI technologies
and innovations so as to capture niche opportunities in future”
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Financial Performance
REVENUES (INR MN)
OPERATING EBITDA (INR MN)
PAT (INR MN)
17.6% YoY
5.4% QoQ
2,268.30
2,152.90
1,928.42
15.2% YoY
380.62
367.67
3.5 % QoQ
17.08%
16.78%
330.32
17.13%
19.9% YoY
3.3% QoQ
270.23
261.62
225.38 11.69%
12.15%
11.91%
Q3-FY24
Q2-FY25
Q3-FY25
Q3-FY24
Q2-FY25
Q3-FY25
Q3-FY24
Q2-FY25
Q3-FY25
REVENUES (INR MN)
OPERATING EBITDA (INR MN)
PAT (INR MN)
13.5% YoY
6.3% YoY
5,667.25
6,431.26
1,033.78
1,098.59
18.24%
17.08%
8.0% YoY
787.71
729.69
12.88%
12.25%
9M-FY24
9M-FY25
9M-FY24
9M-FY25
9M-FY24
9M-FY25
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e c n a m r o f r e P y l r e t r a u Q
e c n a m r o f r e P s ’ h t n o M 9
9M-FY25 Key Performance Metrics
REVENUE BY VERTICALS*
REVENUE MIX (%)
9M-FY25 REVENUE BY GEOGRAPHY (%)
14% 6%
45%
35%
FY24
Fintech
Retail
16%
11%
42%
31%
9M-FY25
Hitech,Media and Utilities
Transport & Logistics
53%
55%
55%
55%
47%
FY22
45%
FY23
45%
45%
FY24
9M-FY25
Onsite
Offshore
35%
42%
23%
USA
Europe
APAC and Others
REVENUE BY MAJOR CLIENTS
NUMBER OF CLIENTS PER MILLION DOLLARS
EMPLOYEE BIFURCATION
70%
59%
48%
FY22
71%
70%
59%
44%
59%
45%
FY23
14
15
18
8
9
8
11
7
1,406
85%
1,788
1,838
2,275
85%
83%
84%
143
179
215
238
70%
57%
40%
FY24
9M-FY25
FY22
FY23
FY24
9M-FY25
FY22
FY23
FY24
9M-FY25
Top 5 Clients
Top 10 Clients
Top 20 Clients
More than 1 Million
0.5 to 1 Million
Technical
Support
Utilization
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*For the purpose of segment and verticals, only FY24 has been re-casted into current segment information
Quarterly Consolidated Financial Performance
INCOME STATEMENT (INR MN)
Operating Income
Expenses
Operating EBITDA
Operating EBITDA Margins (%)
Depreciation
Finance Cost
Other Income
PBT
Tax
Profit After Tax
PAT Margins (%)
Other Comprehensive Income
Total Comprehensive Income
EPS Basic (INR)
Q3-FY25
2,268.30
1,887.68
380.62
16.78%
30.60
25.82
36.40
360.60
90.37
270.23
11.91%
(68.88)
201.35
2.12
Q2-FY25
2,152.90
1,785.23
367.67
17.08%
31.57
22.19
38.90
352.81
91.19
261.62
12.15%
107.77
369.39
2.06
Q-o-Q
5.4%
5.7%
3.5%
(30) Bps
(3.1)%
16.4%
(6.4)%
2.2%
(0.9)%
3.3%
(24) Bps
NA
(45.5)%
2.9%
Q3-FY24
1,928.42
1,598.10
330.32
17.13%
29.00
11.30
11.62
301.64
76.26
225.38
11.69%
61.73
287.11
1.79
Y-o-Y
17.6%
18.1%
15.2%
(35) Bps
5.5%
NA
NA
19.5%
18.5%
19.9%
22 Bps
NA
(29.9)%
18.4%
10
YTD Consolidated Financial Performance
INCOME STATEMENT (INR MN)
Operating Income
Expenses
Operating EBITDA
Operating EBITDA Margins (%)
Depreciation
Finance Cost
Other Income
PBT
Tax
Profit After Tax
PAT Margins (%)
Other Comprehensive Income
Total Comprehensive Income
EPS Basic (INR)
9M-FY25
6,431.26
5,332.67
1098.59
17.08%
92.16
60.24
103.04
1049.23
261.52
787.71
12.25%
48.25
835.96
6.20
9M-FY24
5,667.25
4,633.47
1033.78
18.24%
85.38
23.91
44.86
969.35
239.66
729.69
12.88%
66.85
796.54
5.80
Y-o-Y
13.5%
15.1%
6.3%
(116) Bps
7.9%
NA
NA
8.2%
9.1%
8.0%
(63) Bps
(27.8)%
4.9%
6.9%
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FINANCIAL OVERVIEW
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Historical Consolidated Financial Performance
INCOME STATEMENT (INR MN)
Operating Income
Expenses
Operating EBITDA
Operating EBITDA Margins (%)
Depreciation
Finance Cost
Other Income
PBT
Tax
Profit After Tax
PAT Margins (%)
Other Comprehensive Income
Total Comprehensive Income
EPS Basic (INR)
FY22
4,804
4,014
790
16.44%
69
28
111
804
171
633
FY23
6,656
5,574
1,082
16.25%
100
22
94
1,054
234
820
13.18%
12.32%
3
636
6.34
85
905
8.18
FY24
7,616
6,249
1,367
17.95%
119
35
69
1,282
320
962
12.63%
80
1,042
9.59
9M-FY25
6,431
5,333
1,098
17.08%
92
60
103
1,049
262
787
12.25%
48
835
6.20
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Historical Consolidated Balance Sheet
PARTICULARS (INR MN)
FY23
FY24
H1-FY25
PARTICULARS (INR MN)
FY23
FY24
H1-FY25
EQUITIES & LIABILITIES
Equity (A) Equity Share Capital (B) Other Equity Total Equity
Non-Current Liabilities
(A) Financial Liabilities
(i) Borrowings (ii) Other Financial liabilities (iii) Lease liabilities
(B) Provisions (C) Other Non-Current Liabilities Total Non – Current Liabilities
Current Liabilities
(A) Financial Liabilities
(i) Borrowings (ii) Trade Payables (iii) Lease Liabilities (iv) Other Financial Liabilities
(B) Other Current Liabilities (C) Provisions Total Current Liabilities GRAND TOTAL - EQUITIES & LIABILITES
100 3,945 4,045
- 41 81 102 - 224
- 257 54 153 858 90 1,412 5,681
101 4,953 5,054
73 302 124 151 - 650
11 359 56 483 1,157 94 2,160 7,864
ASSETS
Non-Current Assets (A) Property, Plant and Equipment (B) Right-of-Use Assets (C) Goodwill on Consolidation (D) Other Intangible Assets
(E) Financial Assets (i) Investments (ii) Other Financial Assets (F) Deferred Tax Assets (Net) (G) Other Non - Current Assets Total Non – Current Assets
Current Assets
(A) Financial Assets
(i) Short term Mutual Fund (ii) Trade Receivables (iii) Cash & Cash Equivalents (iv) Bank balances other than above (v) Loans (vi) Other Financial Assets (B) Current Tax Assets (Net) (C) Other Current Assets Total Current Assets GRAND TOTAL – ASSETS
128 5,538 5,666
306 297 96 179 87 965
59 241 71 712 1,013 99 2,195 8,826
147 128 1,903 5
- 170 73 - 2,426
90 1,164 879 557 2 249 33 281 3,255 5,681
146 149 3,270 4
- 31 86 - 3,686
145 1,620 1,418 507 17 178 40 253 4,178 7,864
141 133 4,233 3
30 94 37 4,671
128 1,597 1,195 554 16 322 89 254 4,155 8,826
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Consolidated Financial Performance
REVENUES (INR MN)
OPERATING EBITDA (INR MN)
PAT (INR MN)
6,656
7,616
4,804
6,431
1,367
1,082
1,098
962
820
787
790
16.44%
16.25%
17.95%
633
17.08%
13.18%
12.32%
12.63%
12.25%
FY22
FY23
FY24
9M-FY25
FY22
FY23
FY24
9M-FY25
FY22
EBITDA
EBITDA Margins
FY23
PAT
FY24
9M-FY25
PAT Margins
DEBT/ EQUITY (x)
ROE (%) AND ROCE (%)
DSO DAYS
0.05
25.8%
26.6%
19.9%
20.3%
25.6%
19.0%
65
61
67
65
0.01
FY22
0.00
FY23
0.02
FY24
H1-FY25
FY22
FY23
FY24
ROE
ROCE
ROE = Net Profit/Net worth, ROCE = EBIT/Capital Employed
FY22
FY23
FY24
H1-FY25
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Capital Market Data
30%
20%
10%
0%
-10%
-20%
-30%
-40%
1 year share price movement (Up to 31st December, 2024)
Jan-24
Jan-24
Mar-24
Mar-24
Apr-24
May-24
Jun-24
Jul-24
Aug-24
Sep-24
Oct-24
Nov-24
Dec-24
Saksoft
SENSEX
Price Data (as on 31st December, 2024)
Shareholding Pattern (As on 31st December, 2024)
Dividend as a % of Face Value
Face value (INR)
Market Price (INR)
52 Week H/L (INR)
1.00
214.90
319.00/168.00
Employee Trust, 4.10%
Public , 26.40%
Market Cap (INR Mn)
28,485.26
FPI, 2.86%
Promoters, 66.64%
Equity Shares Outstanding (Mn)
1 Year Avg. Trading Volume ('000)
132.55
359.04
30%
30%
FY22
35%
35%
FY23
40%
40%
FY24
Final Dividend
Interim Dividend
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Disclaimer
Saksoft Limited
No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are in all events not current after the date of this presentation. Certain statements made in this presentation may not be based on historical information or facts and may be "forward looking statements" based on the currently held beliefs and assumptions of the management of Saksoft Limited (“Company”), which are expressed in good faith and in their opinion reasonable, including those relating to the Company’s general business plans and strategy, its future financial condition and growth prospects and future developments in its industry and its competitive and regulatory environment.
Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, financial condition, performance or achievements of the Company or industry results to differ materially from the results, financial condition, performance or achievements expressed or implied by such forward-looking statements, including future changes or developments in the Company’s business, its competitive environment and political, economic, legal and social conditions. Further, past performance is not necessarily indicative of future results. Given these risks, uncertainties and other factors, viewers of this presentation are cautioned not to place undue reliance on these forward-looking statements. The Company disclaims any obligation to update these forward-looking statements to reflect future events or developments.
This presentation is for general information purposes only, without regard to any specific objectives, financial situations or informational needs of any particular person. This presentation does not constitute an offer or invitation to purchase or subscribe for any securities in any jurisdiction, including the United States. No part of it should form the basis of or be relied upon in connection with any investment decision or any contract or commitment to purchase or subscribe for any securities. None of our securities may be offered or sold in the United States, without registration under the U.S. Securities Act of 1933, as amended, or pursuant to an exemption from registration there from.
This presentation is confidential and may not be copied or disseminated, in whole or in part, and in any manner.
Valorem Advisors Disclaimer:
Valorem Advisors is an Independent Investor Relations Management Service company. This Presentation has been prepared by Valorem Advisors based on information and data which the Company considers reliable, but Valorem Advisors and the Company makes no representation or warranty, 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. Valorem Advisors also hereby certifies that the directors or employees of Valorem Advisors do not own any stock in personal or company capacity of the Company under review.
For further details please contact our Investor Relations Representatives: VALOREM ADVISORS Mr. Anuj Sonpal Tel: +91-22-49039500 Email: saksoft@valoremadvisors.com
SAKSOFT LIMITED Ms. Swetaleen Tripathy Tel: +91 9840024120 Email: swetaleen.t@saksoft.com
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THANK YOU
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