Saksoft Limited has informed the Exchange about Investor Presentation
SAKSOFT LIMITED
INVESTOR PRESENTATION – FEBRUARY 2021
info@saksoft.com | www.saksoft.com
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 information about the Company.
This Presentation has been prepared by the Company based on information and data which the Company considers reliable, but 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
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
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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.
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Q3 & 9MFY21 Financial Highlights
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Continued Growth Momentum
(in Rs. Crs)
Revenue
EBITDA
PAT*
93.75
97.19
97.41
14.85
16.50
17.52
10.13
10.73
12.07
Quarterly Traction
15.8%
17.0%
18.0%
10.8%
11.0%
12.4%
Q1FY21
Q2FY21
Q3FY21
Q1FY21
Q2FY21
Q3FY21
Q1FY21
Q2FY21
Q3FY21
+11.3%
87.49
97.41
+18.0%
14.85
17.52
+26.0%
12.07
9.58
Q3FY21 v/s Q3FY20
17.0%
18.0%
10.9%
12.4%
Q3FY20
Q3FY21
Q3FY20
Q3FY21
Q3FY20
Q3FY21
+8.5%
265.88
288.36
+3.6%
47.18
48.87
+14.1%
28.85
32.93
17.7%
16.9%
10.9%
11.4%
9MFY20
9MFY21
9MFY20
9MFY21
9MFY20
9MFY21
4
9MFY21 v/s 9MFY20
*PAT is before Minority interest
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Highlights for Q3 & 9MFY21
Revenue ✓ Q3FY21 Revenue at Rs. 97.41 Crs v/s Rs. 87.49 Crs in Q3FY20, a growth of 11.3% on YoY basis and 0.2% on QoQ basis ✓ 9MFY21 Revenue at Rs. 288.36 Crs v/s Rs. 265.88 Crs in 9MFY20, a growth of 8.5% ✓ During 9MFY21, the company added 2 customers in USD 0.5m to USD 1m segment
EBITDA ✓ Q3FY21 EBITDA at Rs. 17.52 Crs v/s Rs. 14.85 Crs in Q3FY20, growth of 18% on YoY basis and 6.2% on QoQ basis ✓ Q3FY21 EBIDTA margins at 18.0% v/s 17.0% in Q3FY20 and 17.0% in Q2FY21. ✓ 9MFY21 EBITDA at Rs. 48.87 Crs v/s Rs. 47.18 Crs in 9MFY20 ✓ The Company has been able to improve the margins on the back of strengthening of niche capabilities in selected industry verticals
PAT (Before Minority Interest) ✓ Q3FY21 PAT (before minority) at Rs. 12.07 Crs v/s Rs. 9.58 Crs in Q3FY20, a growth of 26% on YoY basis and 12.5% on QoQ basis ✓ 9MFY21 PAT (before minority) at Rs. 32.93 Crs v/s Rs. 28.85 Crs in 9MFY20, a growth of 14.1% ✓ Decrease in finance cost led to further improvement in net profitability
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Operating & Customer Metrics
Revenue by Geography
9MFY21
FY20
APAC & Others
22%
APAC & Others
23%
47%
Americas
50%
Americas
(b) Client's Contribution to Revenue
31%
Europe
27%
Europe
Revenue Mix
Revenue from Top 5
Revenue from Top 10
Revenue from Top 20
CUSTOMER METRICS
9MFY21
FY20
(a) No of clients/customers per Million Dollar**
Revenue more than 1 Million Dollar
Revenue more than 0.5 Million Dollar
6
9
48%
57%
67%
6
7
47%
55%
64%
9MFY21
FY20
HEADCOUNT METRICS
9MFY21
FY20
Offshore
51%
49%
Onsite
Offshore
51%
49%
Onsite
(a) Headcount & Utilization
Total Employee Count
Technical
Support
(b) Utilization-IT Services
Excluding trainees
1,217
1,258
1,078
1,121
139
137
82%
83%
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** The numbers are based on the Annualized figures
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Revenue By Verticals
9MFY21
FY20
17%
28%
10%
13%
23%
9%
18%
29%
13%
11%
10%
20%
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Fintech Telecom Transportation & Logistics
Public Sector Retail, Ecommerce & Health Care Others
Q3 & 9MFY21 Income Statement
Particulars (in Rs. Crs)
Q3FY21
Q3FY20
Y-o-Y (%)
Q2FY21
Q-o-Q (%)
9MFY21
9MFY20
Y-o-Y (%)
Total Revenue
Employee Expenses
Support/ Third Party charges
Other Expenses
EBITDA
EBITDA(%)
Other Income
Depreciation
EBIT
EBIT(%)
Finance Cost
Profit Before Tax
Tax
Profit After Tax*
Profit After Tax*(%)
EPS
97.41
45.67
27.86
6.36
17.52
18.0%
0.26
1.62
16.16
16.6%
0.78
15.38
3.31
12.07
12.4%
12.13
87.49
45.07
20.54
7.03
14.85
17.0%
0.66
1.81
13.70
15.7%
1.23
12.47
2.89
9.58
10.9%
9.60
11.3%
18.0%
101 bps
18.0%
93 bps
23.3%
26.0%
144 bps
97.19
46.26
27.68
6.75
16.50
17.0%
0.14
1.73
14.91
15.3%
0.89
14.02
3.29
10.73
11.0%
10.79
0.2%
288.36
137.13
265.88
135.26
8.5%
6.2%
101 bps
8.4%
125 bps
9.7%
12.5%
135 bps
84.08
18.28
48.87
16.9%
1.42
5.08
45.21
15.7%
2.66
42.55
9.62
32.93
11.4%
33.11
63.82
19.62
47.18
17.7%
1.78
5.49
43.47
16.3%
3.95
39.52
10.67
28.85
10.9%
28.78
3.6%
(80) bps
4.0%
(67) bps
7.7%
14.1%
57 bps
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*PAT is before Minority interest
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About Saksoft
www.saksoft.com
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Saksoft Group
1250+ Employees
ISO 9001, 27001
14 Strategic Locations
$50 Million Revenues
20+ Years Track-record
Innovation
Customer focus
Openness
Respect
Enterprising
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What do we offer?
Powered by Digital Intelligence Framework
Agile / Waterfall / Hybrid Delivery Models
Value Innovation Programs
Center of Excellence
Application Services
Application Development| AI & Automation (RPA) | Mobile Application Development | Internet of Things (IoT)
Cost & Operations Efficiency
Information Management Services Enterprise Data Strategy | BI & Analytics | Big Data | Data Science & Predictive Modeling
Value Chain Optimization
Testing Services IoT |Performance | Functional | SOA Independent Testing | Testing CoE
Managed Infrastructure Services Managed Services |Cloud Enablement & Management | IT Helpdesk |Network & Security
Faster Time to Market
Training & Support
Digital Transformation Partner for FinTech, Retail, Transport & Logistics and Telecom industries, healthcare as well as, Government & Public Sector Organizations
www.saksoft.com
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Our Focus Verticals
Fintech
Transportation & Logistics
Our Major SIX Vertical Focus
Healthcare
Public Sector
Retail eCommerce
Telecom
▪ Mobile Cash
▪ IoT Solutions
▪ Telehealth
▪ Smart cities - Machine
▪ Social Listening
▪ SharePoint
Disbursement Solution
▪ API Integration
▪ Mobile/Web Development
▪ Big data analytics
▪ Credit Scoring, Fraud prevention &Risk Assessment, Anticipate / handle disruptions etc.
▪ Freight Management
▪ EHR integration
Software
▪ Warehouse
Management
▪ Supply Chain Management
▪ EDI Integration
▪ Logistics Dashboard
▪ Imaging analytics
▪ Integrated health monitoring via wearables
▪ HL7/FHIR enabled provider apps
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
(Micro Influencer)
development
▪ Customer 360
▪ Customer Journey
Tracking
▪ eCommerce Portal Development
▪ Advanced analytics to reduce customer churn
▪ Oracle Support
▪ Testing CoE
Digital Transformation Services
Analytics Solutions
IoT &Mobility Solutions
Technology Training
Application Services
Cloud Services
Testing Services
Managed Services
Professional Services
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Saksoft’s Fintech Solutions
▪ Customer Profiling /
Segmentation
▪
▪ Cross-Selling / Upselling ▪ Single Customer View Dashboards Financial Credit Management ▪ Forensic Analytics ▪ Realtime Monitoring ▪ Fraud Analytics
▪ Native Mobile / Web
application development
▪ Robotics Process Automation Loyalty Management Solutions
▪
▪ APIs & Microservices
▪ Cloud Consulting,
Migration & deployment L1/L2 Support
▪
▪ Testing CoE
ADVANCED ANALYTICS
APPS
INFRASTRUCTURE
TESTING
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Fintech Solutions – Case Study
▪ Built a cardless cash system enabling consumers, businesses and governments to instantly deliver cash to Recipients via
their mobile device
▪ Creating a Loyalty Management Solutions for the institution
▪ Ensuring Security through rigorous performance and security testing.
▪ Designed & initiated Cloud Optimization involving Database & Application migration from MySQL to AWS Aurora
Database
▪ Migration of customer’s entire infrastructure to Amazon Cloud Services
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Saksoft’s Logistics & Transportation Solutions
▪ Freight Management
Software
▪ Robotics Process Automation
▪ Shipment dispatch &
Tracking ▪ Supply Chain Management ▪ Virtual warehouse management
▪ Stevedore Applications ▪ 3PL Management
▪ IoT Solutions ▪ Vehicle Dispatch ▪ Tracking & Geofencing ▪ Drive/ Vehicle Management ▪ Theft prevention ▪ Legal Compliance ▪ Berth Reservation
systems
▪ Logistics dashboard ▪ Chatbots ▪ API & EDI Integration
FREIGHT MANAGEMENT
FLEET MANAGEMENT
ADVANCED ANALYTICS
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Transport & Logistics Solutions – Case Study
▪ Digital Transformation Solution including order booking (via dedicated portal on cloud), shipment tracking (via IoT Solution),
real-time carrier status (via Mobility Solution), generating invoice (via collaboration tools), to predict peak load time (via
Machine Learning)
▪ Creating a cement vessel berth reservation system (CVRS) & stevedore application for the port
▪ Designed IoT based Fleet Management software with features like Unit Information, Vehicle Tracking, Maintenance were built.
Server based event processing engine was built to capture GPS as well as many other vehicle operational parameters like
speed, engine on-off etc.
▪ Development of freight management software that automates operations right from order request to delivery, therefore
increasing performance and reducing overall OPEX
▪ Order Tracking using UiPath RPA
▪ IoT Application for monitoring of machines, remote access using custom protocols, CRM module to manage problems and
incidents along with a chat system, mobile application, reporting and statistics.
▪ Creating a virtual warehouse for real-time workforce monitoring & asset tracking
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Healthcare Solutions Overview
▪ PMS and Ancillary
application development ▪ Chronic Care Management ▪ Patient Portals ▪ Secure Messaging
▪ EHR, EMR Integration using HL7, XML, JSON- FHIR
▪ Radiology Integration
using DICOM
▪ Legacy system data migration and consolidation
▪ Population Health Management
▪ Creating CMS reports like CQM, PQRS, HEDIS etc.
▪ P4P and value based
reports
▪ Data warehousing
▪ Patient Engagement
tools
▪ Tele-Health Application ▪ Remote monitoring
tools
▪ Robotics Process Automation ▪ IoT & Mobility
PRODUCT DEVELOPMENT
EDI & DATA MIGRATION
CLINICAL ANALYTICS
MHEALTH & REMOTE CARE
Regulation-HIPAA
Messaging Standard- HL7, DICOM Vocabulary-LOINC, SNOMEDCT
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Health Care Solutions - Case Studies
▪ Designed a secure mobile platform that provides consumers with the necessary tools for aggregating, organizing and sharing
their medical health records. Built a framework for downloading data from the Electronic Medical Records using FHIR.
▪ Development of Analytics Platform for PHM and transition to Value-Based Care using Advanced Population health
management (Prediction and Machine Learning), Post discharge patient communication (Artificial Intelligence) and Value
Based Care Analytics (Performance and Regulatory reporting)
▪ Designed data warehouse & implemented SAP BO. Due to customized analytics and reporting, now the client is able to
respond faster during emergencies.
▪ SAP SuccessFactors implementation for a hospital chain.
▪ Oracle data warehouse for a Pharmaceutical company.
▪ Patient After visit summary (AVS) using bots. This helped in improving patient engagement. The visit is documented and
available anytime to patient as well as provider.
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Public Sector Solutions Overview
▪ Predictive Analytics tool to reduce
▪ Smart cities using IoT
crimes rates
▪ Public Healthcare Solutions
▪ Identity Management solutions – to
▪ County Housing Solutions
check identity & for granting visas
▪ Predictive analytics for citizen care
▪ Identifying Potential Fraud
▪ Efficiently managing Ports
▪ Improve Student retention
G2G/G2B
G2C
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Public Sector Solutions - Case Studies
▪ Digital Transformation project to use data from multiple sources. We were able to identify a customer journey (cradle
to grave) & service user journey.
▪
▪
Providing assistance with the SAP Predictive Analytics tool for modelling and predictive visualisation to understand the
movements of the organized crime groups
Patient data was collected from around the UK from numerous NHS Trusts, Primary Heath Care Trusts and local Heath
Authorities. The data was used to identify early signs and trends of bowl cancer.
▪ Worked with the university to identify patterns and trends that cause students to drop out causing a drop in funding
to the university. We helped identify interventions required to ensure students do not drop out and maintain their
attendance
▪
Created Berth Reservation System and helping the port to improve efficiency
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Retail & Ecommerce Solutions Overview
▪ Customer 360 degree
(Single view)
▪ Tracking & improving conversion through Predictive Analytics ▪ BI to AI Journey crafting ▪ Achieving desired outcomes through prescriptive analytics
▪ Data Integration, Management, Governance
▪ AI Fashion Assistant ▪ Smart Contract using
blockchain ▪ Social Connect ▪ Drupal / WooCommerce ▪ Testing CoE
▪ Sales / Inventory Forecasting
▪ Sentiment analysis ▪ Beacons to improve customer experience
▪ Cloud Migration ▪ Infrastructure support ▪ Omnichannel experience
▪ Traceable shipments ▪ Automated order
fulfilment
▪ Maximum asset
utilization
▪ Behaviour based
inventory optimisation
▪ Supply chain optimization
ADVANCED ANALYTICS
APPS
STOREFRONT SOLUTIONS
LOGISTICS SOLUTIONS
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Retail & E-commerce Solutions - Case Studies
▪ Created customer360 dashboard (using Hadoop, R & tableau) which will help them to profile a customer, forecast their
sales and help in conversion rates
▪ Leveraged Big Data and improved their average order value by 53% through personalized marketing.
▪ Building and managing their B2B and B2C ecommerce stores. Currently the stores are for US and UK. We also built their
backend system to manage orders and inventory. Faviana wants to go fully ecommerce by 2020
▪ Building and supporting their ASP.Net Storefront based ecommerce portal.
▪ Migrated their legacy portal to a new Magento 2.0 platform and supports their engineering needs for the portal
▪ Provides product engineering services to Trader Interactive in the areas of web development. It also has a dedicated QA
team for third part testing.
▪ Dedicated QA Testing team for Target
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Awards
Awarded for its Excellence in Industry Application – B2B category at Big Data & Analytics Summit 2017
Competitive Landscape: Data and Analytics Service Providers Report
Awarded for its best practices in data ware housing at Big Data & Analytics Summit 2016
Company of the year 2015 for IM Consulting by Silicon India
Deloitte Technology Fast 50
Winner of Red Herring’s Top 100 Asia award 2014
B2B Excellence
Data and Analytics
Data ware housing
Company of the year
Deloitte Fast 50
Red Herring’s Top 100
Jun 2017
Jan 2017
Jun 2016
Aug 2015
Nov 2014
Jul 2014
Jul 2017
Jun 2017
Jul 2016
Nov 2015
Jul 2015
Sep 2014
IoT Testing
Deloitte Fast 500™
Rising Star
BI and Analytics
Deloitte Fast 50
Grant Thornton's
Internet of Things (IoT) Testing Market - Global Forecast to 2021 Report
Deloitte Technology Fast 500™ Asia Pacific 2016, a ranking of the 500 fastest growing technology companies in Asia Pacific
Rising Star for Size & Growth in Employee and Revenue by the International Association of Outsourcing Professionals® (IAOP®)
Market Guide for BI and Analytics Service Providers
Deloitte Technology Fast 50
Grant Thornton's ‘The UK’s top Indian companies’ List
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Management Team
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Board of Directors
Aditya Krishna, the Founder, Chairman and the Managing Director of the Saksoft Group, spearheads Saksoft’s growth across domains and
geographies. He brings with him over 30 years of experience in the banking and financial services industry.
After a long career with Chase Manhattan Bank in New York and later with Citibank, New York, he relocated to India in 1990 as part of a
four-member team to establish Citibank’s credit card business in the country and was also instrumental in developing the in-house software
Aditya Krishna CMD – Saksoft
to run credit card operations. Aditya founded Saksoft in 1999 and drives the business development efforts.
Ajit Thomas, Independent Director & Chairman – Audit Committe
Ajit Thomas is the Chairman of A.V. Thomas Group of Companies, an Agri Business Enterprise founded in 1925, with interests in plantations, tea retail, spice processing, natural extracts, and leather goods.
Ganesh Chella, Independent Director
Ganesh Chella is an alumnus of XLRI, Jamshedpur and a founder of Totus HR School, an institution that strives to make HR functions in organizations more aligned and effective by promoting the professional development of its HR practitioners.
Malini Thadani, Independent Director
Malini advises corporates and not-for-profit Boards to design and operationalise the effective integration of sustainability, communications and investor relations into their strategic vision, to future-proof their organisations.
VVR Babu, Independent Director & Chairman-Nomination & Remuneration Committee Mr. Babu has Master of Science, Applied Mathematics and Operations Research from National Institute of Technology Warangal, Master of Philosophy, Computer Science from Central University of Hyderabad, Executive Development Program, Business Administration and Management from Harvard Business School.
Kanika Krishna, Non-Executive Director Kanika Krishna has an MBA in Financial Management from Pace University, New York, USA. Prior to this she has completed the Master’s program in International Business from the Manchester Business School, UK. She is also an alumnus of Stella Maris College, Chennai where she completed her Bachelor of commerce degree.
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Transformation Drivers at Saksoft
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Transformation Drivers
Aditya Krishna Chairman & Managing Director Over 25 years of experience in Banking & Financial Sector. Part of a 4 member team to establish Citibank’s Credit Card business and developing in-house software to run credit card operations in the country. He was also on the board of Ing Vysya Bank as an independent director..
Dhiraj Mangla Executive Vice President
Over 18 years of experience in IT industry and has been successful in delivering a large portfolio of projects. He has extensive experience working with clients across multiple sectors and in different geographies
Niraj Kumar Ganeriwal Chief Financial Officer
Chartered Accountant with over 15 years of experience. Has also worked with in the pharma industry, as Finance Controller and has gained expertise in varied fields of finance and was responsible for corporate planning and strategy.
Gopakumar Kavunkal SVP & Global Head - IM
Over 2 decades of experience in global outsourcing business including Sales, Strategic Business & Technology Planning, Global Sourcing, Process Transformation. Held leadership roles at Quadrant 4 and Mascon Global both in India and abroad.
Negotiations & Business
Contract
Bhaskar Narayanan VP – APAC Sales
Over 18 years of experience in Business Development, Account Management and Operations Management. He has worked across various roles in the Engineering, and IT Services industries. A key member of the marketing team helping Saksoft move into the next phase as a digital transformation partner.
www.saksoft.com
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Transformation Drivers
Sanchit Jain CEO – DreamOrbit
Bachelor’s degree and Communication in Electronics Engineering from the Indian Institute of Technology, Roorkee. Before co-founding DreamOrbit, Sanchit worked with Tata Consultancy Services, Aditi Technologies and CircleSource.
Jonathan Eeley Chief Commercial Officer, Acuma
A BI specialist who has consistently delivered strategic solutions to customers in the UK. With skills in almost all products and platforms in the Business Intelligence area, Saksoft’s Jonathan has Information Distribution Platform.
also architected acusend,
Soumya Shashi Head – Testing Services
Posses more than 13+ years of IT experience and leadership roles across Delivery Management, Programme Engagement and Account Management
Swaraj Dash Vice President, Sales- US geography
Swaraj Dash heads the US Solution Sales at Saksoft. Swaraj has 16+ years of Sales and Business Development experience in markets like – USA, UK and Benelux region. Prior to joining Saksoft, Swaraj worked at Cognizant and Virtusa in both US and Europe in a Sales and Business Development capacity.
Avantika Krishna Accounts Director Avantika has over 10 years of experience in Business Development, Account Management and Human Resources Management. She holds a Master degree in HR from Kings College, London & MBA (Marketing & Management) from Fordham University, New York.
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Creating value through acquisitions
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History of Acquisitions
Saksoft acquired companies with Complementary Expertise, helping Scale Capabilities Faster, Widening the Competence Portfolio and Strengthening our Corporate Brand.
Company Acquired
Geography / Niche Area
Rationale
UK Public Sector
Noida Testing Focused
IM focused company. Renowned name in the Public Sector.
Independent Testing Company. Possesses ready-made frameworks and accelerators for target industry verticals with in-house state-of-the-art mobile device lab.
Bangalore Blockchain, IoT & Logistics Focused
Specialized in IoT, adding enhanced capability in the application development space. Strong presence in the Transportation and Logistics industry, adding a new vertical to the group. Target market continues to be the US.
Pune Healthcare & Drupal
A healthcare solutions provider in the US. The healthcare sector is fast growing with technologies getting more advanced when coupled with Analytics. The Company has ready- made frameworks and accelerators for the healthcare industry.
String of Pearls Strategy
Building Capabilities
Digital Focused Companies
Small Companies with Growth Potential
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Our DreamOrbit Acquisition
Artificial Intelligence
We create chatbots for customers, which are AI- through machine enabled language.
communicate
and
Robotics Process Automation A visit to a travel aggregator site provides hotel rates, ticket prices and room availability, among others, gathered from multiple websites. This robotic process automation allows data collection from different websites and corresponding presentation with the click of a mouse.
Blockchain Technology
Cloud
This revolutionary concept is essentially a ledger on which one may participate to write but not edit. This enables individuals to create records that cannot be tampered. Saksoft leverages Blockchain technology to promote clarity along the order-to-delivery process for the Logistics industry.
We work with Amazon Web Services and MS Azure and leading Cloud providers to develop and deploy Cloud-based software that is flexible and secure. The solutions consume less space and bandwidth coupled with high data integrity.
Internet of Things
The network of physical devices, vehicles, home appliances and other items are embedded with and electronics, connectivity, which enables the exchange of data
software,
actuators
sensors,
Why DreamOrbit
in December 2016. Saksoft acquired DreamOrbit DreamOrbit was included in the Deloitte Technology Fast 50 list since 2014. The acquired company had grown to a critical mass (~US$5 million) within a few years and needed to double its growth rate. Saksoft provided the acquired company with management larger on-field sales force and financial bandwidth, support. Saksoft quadruped the dedicated US sales team for DreamOrbit, winning new accounts; its sales teams in London and Singapore helped DreamOrbit bag accounts in these uncharted territories.
Key Highlights Our recent acquisition Dream Orbit focuses on a product engineering company that develops software solutions. We act as the front-end to understand customer needs and our solutions extend across the value chain: from development and deployment to providing support and maintenance. The acquisition has enabled us build IoT capabilities in the logistics sector and provide innovative solutions for customers.
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Our Faichi Acquisition
Why Faichi Faichi Solutions LLC, a Healthcare-focused start-up providing outsourced product engineering, open source development and Drupal development consulting services, was founded in 2011 in Sunnyvale, California. Effective January 2018, Faichi Solutions LLC became a subsidiary of Saksoft. Within a few years of commencing operations, Faichi Solutions specialized in the development and integration of enterprise products and web applications. The Company’s competence is reflected in that it released 40 products and 70 web cum mobile apps in collaboration with customers. Its primary competence in healthcare technologies encompasses the value chain - from service providers to life science organizations. Its accelerator and healthcare solutions empower customers in expediting innovative product development. Faichi offers a wide array of healthcare technology services including product development, integration, meaningful use compliance, BI/analytics, chronic care management and consumer health.
Key Highlights
Healthcare is a significant industry in the US and the country’s per capita healthcare spending of around US$10,724 is the highest in the world. The sector is emerging as an increasingly attractive space from the perspective of technological services and product engineering. Saksoft’s acquisition of Faichi will widen its US footprint, leveraging the acquired company’s deep understanding of the American healthcare ecosystem (patients, service providers and hospitals).
Case Study
FHIR
Telehealth
tools
Designed a secure mobile platform that provides consumers with the necessary aggregating, organizing and sharing their medical health records. Built a framework for downloading data from the Electronic Medical Records using FHIR.
for
For a healthcare provider, Faichi designed a workflow between the Insurance & healthcare platforms. Leveraging Connect MIRTH developed RESTful API’s on the telehealth platform.
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Historical Financial Highlights
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Historical Trend
Consolidated Turnover
Consolidated EBIDTA
Consolidated PAT*
+10%
358
359
+14%
59
61
+15%
38
39
286
260
244
40
36
33
22
20
24
(in Rs. Crores)
FY16
FY17
FY18
FY19
FY20
FY16
FY17
FY18
FY19
FY20
FY16
FY17
FY18
FY19
FY20
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*PAT is before minority interest
34
Historical Consolidated Income Statement
Particulars (in Rs. Crs)
Total Revenue
Employee Expenses
Support/ Third Party charges
Other Expenses
EBITDA
EBITDA(%)
Other Income
Depreciation
EBIT
EBIT(%)
Finance Cost
Profit Before Tax
Tax
Profit After Tax*
Profit After Tax(%)
EPS
www.saksoft.com
FY16
243.73
112.38
60.14
35.02
36.19
14.8%
2.16
1.02
37.33
15.3%
4.32
33.01
11.23
21.77
8.9%
18.82
FY17
259.50
120.75
70.38
35.46
32.91
12.7%
1.93
1.31
33.53
12.9%
4.65
28.88
8.79
20.09
7.7%
17.30
FY18
285.87
135.41
75.26
35.60
39.60
13.9%
2.30
2.87
39.03
13.7%
5.21
33.82
9.41
24.41
8.5%
21.98
FY19
358.05
165.42
91.41
42.06
59.16
16.5%
2.18
4.27
57.07
15.9%
4.80
52.27
14.06
38.21
10.7%
36.66
FY20
358.78
181.42
89.89
26.44
61.03
17.0%
3.89
7.27
57.65
16.1%
5.14
52.51
13.86
38.65
10.8%
38.67
*PAT is before minority interest
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Consolidated Balance Sheet
Particulars (in Rs. Crs.) Assets Non-current assets Property, Plant and Equipment Goodwill on consolidation Other Intangible assets Financial Assets (i) Loans (ii) 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
Mar-20 Mar-19 Mar-18
Particulars (in Rs. Crs.)
Mar-20 Mar-19 Mar-18
156.36 8.5 140.3 2.17
0.00 2.5 2.89 0.00 147.00
5.51 67.52 42.93 0.14 12.00 1.88 17.02 303.36
145.76 2.14 137.06 2.93
0.00 2.02 1.56 0.05 132.74
- 64.95 40.06 0.06 6.49 1.38 19.80 278.49
152.88 2.60 142.11 4.64
0.03 2.39 1.09 0.02 110.02
- 58.43 30.02 0.20 7.46 0.23 13.68 262.90
Equity & Liabilities
Equity
Equity Share capital
Other equity
206.18 175.33 9.94
9.94
148.02
9.94
196.24
165.39
138.08
Non-controlling interest
0.00
4.82
6.10
LIABILITIES
Non-current liabilities
Financial Liabilities
(i) Borrowings
(ii) Other Financial Liabilities
Provisions
Current liabilities
Financial Liabilities
(i) Borrowings
(ii) Trade Payables
(iii) Other Financial Liabilities
Other Current Liabilities
Provisions
33.55 35.28
46.78
24.69
31.60
38.05
3.85
5.01
0.69
2.99
6.09
2.64
63.63 63.06
62.00
0.85
22.95
8.70
29.53
1.60
7.39
4.42
24.32
28.63
3.91
7.63
26.17
20.32
1.27
1.00
TOTAL - EQUITY AND LIABILITIES
303.36
278.49
262.90
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Key Ratios
Return on Capital Employed (%)
Return on Equity (%)
Debt : Equity Ratio (x)
23.0
19.9
19.7
26.7
24.7
14.3
13.7
14.7
20.8
18.6
0.25
0.33
0.30
0.19
0.13
FY16
FY17
FY18
FY19
FY20
FY16
FY17
FY18
FY19
FY20
FY16
FY17
FY18
FY19
FY20
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Sharing Profits…Consistently
30%
30%
35%
Final Dividend
Interim Dividend
25%
FY15
FY16
FY17
FY18
40%
30%
10%
FY19
45%
25%
FY20
H1FY21
Particulars (in Rs)
FY15
FY16
FY17
FY18
FY19
FY20
H1FY21
Consolidated Book Value / Share
106.84
124.08
119.56
148.87
176.35
207.37
231.02
Consolidated Earnings / Share
17.12
18.82
17.30
21.98
36.66
38.67
20.98
Dividend / Share
2.50
3.00
3.00
3.50
4.00
4.50
2.50
www.saksoft.com
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Strategy for growth
www.saksoft.com
39
Our Focused Strategy for Growth
Focus on Emerging sectors
Addressing the sweep of help digitisation clients enhance operational efficiency
to
Inch-wide and mile- deep strategy
Addressing target markets with services that differentiate from competition and emerging as one of the and fastest-growing most profitable across our verticals
Being Nimble
Building A Strong Team
We are a mid-tier few company with decision making layers, enhancing our agility
building
By performance teams sustainable growth
focused
high
on
Consolidating Front-End
Consolidating marketing front-end to reach more clients, accounts, trades and systems with the squeeze to objective from growth our at minimal platforms costs
String of Pearls’ strategy
Engage business in complementing M&As that constitute a ‘string of pearls’ strategy that our enhances competence immediately following without acquisition corresponding gestation
Value over volume
unoccupied Address territories represented by projects with higher profitability
www.saksoft.com
40
Conversation with the Technology Drivers at Saksoft
FINTECH
We developed a solution called ‘Card-less ATM withdrawal’, which allows someone to transfer a sum of money by generating a four-digit PIN and the other party to withdraw the same amount without using an ATM card
TRANSPORATION & LOGISTICS
We are working with more than 35 premier American Logistics companies. With over 8 years of experience and strengthening our understanding of freight and fleet management, the sector is growing at a fast clip of 20% + annually
RETAIL/ECOMMERCE We have bagged prestigious clients, including a large US outdoor equipment e-tailer engaged in the sale of mountaineering and sports gear in addition to a high-fashion e-commerce player
HEALTHCARE
TELECOM
PUBLIC SECTOR
Via Faichi, we are working on a project called ‘Create Aware’, where we provide wearable devices in exchange for collecting health statistics that are transmitted to our servers that represents adequate round- the-clock data to medical practitioners and R&D labs in treating specific conditions or develop new therapies
One of our key customers in this space is based out of the Europe. Saksoft has been its largest independent vendor for ten years, strengthening their business and revenues
We are working with Central Governments, County and Health department in the UK. By enabling a digital transformation programs, we are improving citizen’s life. Through predictive analytics we are reducing crime rates.
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Contact us
Company :
Investor Relations Advisors :
CIN: L72200TN1999PLC054429
CIN: U74140MH2010PTC204285
Mr. Niraj Kumar Ganeriwal Chief Financial Officer niraj.ganeriwal@saksoft.com
Ms. Swetaleen Tripathy +91 9840024120 swetaleen.t@saksoft.com
www.saksoft.com
www.saksoft.com
Ms. Ami Parekh / Mr. Shogun Jain ami.parekh@sgapl.net / shogun.jain@sgapl.net +91 80824 66052 / +91 77383 77756
www.sgapl.net
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Thank you
www.saksoft.com | info@saksoft.com
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