Xelpmoc Design And Tech Limited has informed the Exchange about Investor Presentation
August 14, 2021
To, National Stock Exchange of India Limited BSE Limited Listing Department Department of Corporate Services Exchange Plaza Listing Department Plot no. C/1, G Block, P J Towers, Bandra-Kurla Complex, Dalal Street, Bandra (E), Mumbai - 400051 Mumbai - 400001 Scrip Symbol: XELPMOC Scrip Code: 542367
Dear Sir/Madam,
Sub: Investor Presentation
In accordance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed herewith a presentation to analysts / investors on the financial performance of the Company for Unaudited Financial Results of the Company for the 1st quarter ended June 30, 2021.
We request you to take the same on record.
Thanking you,
Yours faithfully,
For Xelpmoc Design and Tech Limited
Vaishali Kondbhar Company Secretary
Encl: as above
XELPMOC DESIGN AND TECH LIMITED Regd & Corp Address: #17, 4th Floor, Agies Building, 1st A Cross, 5th Block, Koramangala, Bengaluru – 560034 Phone number: 080 4370 8360 | Website: www.xelpmoc.in| Email: vaishali.kondbhar@xelpmoc.in CIN NO: L72200KA2015PLC082873 | GST NO: 29AAACX1880G1Z5
INVESTOR PRESENTATION Q1 FY22
Xelpmoc Design & Tech Ltd.
August 14, 2021
Artificial Intelligence & Machine Learning Capabilities
Table of Contents
Company Profile
Board of Directors
Senior Management Team
What we do?
How we do it?
Approach to building AI & ML Tools
Xelp Product: DocuX
Xelp Product: xERP
Concepts in the Making
Start-up Tech Deployment
Value of Portfolio
Key Highlights –Q1FY22
Financials
Outlook – FY22
Investment Rationale
Shareholding
Governance
03
04
05
06
07
08 - 09
10 - 11
12
13
14-20
21-22
23-24
25-27
28
29-30
31
32
2
About Xelpmoc Design and Tech
• Incorporated in September 2015, by Sandipan Chattopadhyay, Xelpmoc is engaged in providing professional and technical consulting services with focus on product development, data science and analytics
• Caters to e-commerce, transportation & logistics, recruitment, financial services, social networking, education and various other industries in India, South East Asia and USA
86 Team Members
48 Clients
4 City Operations
2015
2017
2019
2020
2021
•
as
Incorporated Design and Tech Pvt Bengaluru
‘Xelpmoc Ltd’ at
• First
Technology
Services Agreement entered into with Fortigo Logistics Network Private Limited
with
• Entered into a Joint Venture Fortigo
Agreement Network Logistics Pvt. Ltd. • First Agreement for rendering government
services with a organization
• Company got listed on BSE
and NSE • Woovly
becomes
5th Xelpmoc company to get institutional funding
• Company achieved stated ambition of turning break even
• Board approval to start international operations
3
Distinguished Board of Directors
Name
Designation
Experience
Functional Areas
(years)
Tushar Trivedi
Chairman Non-Executive Director)
(Independent
and
33
Banking, Business Process Transformation, Industrial Manufacturing
Sandipan Chattopadhyay
Founder, Managing Director & CEO
Srinivas Koora
Founder, Wholetime Director, CFO
Jaison Jose
Whole Time Director
Premal Mehta
Independent, Non Director
Executive
Suman Bose
Non Executive, Non Independent Director
Pranjal Sharma
Non Executive, Non Independent Director
23
21
16
34
32
27
Technology, Development, New Initiatives
Strategy,
Planning,
Startup
Finance, Accounts, Raising, Tax Compliance
Investor Relations, Fund
Human Resource Services, Business Development and Operations
Financial Advisory
Consulting in Operations, Market Entry, Global Expansion, Portfolio Rationalisation
Leadership positions in Media organisations
Karishma Bhalla
Independent, Director
Non-Executive
15
Consulting in Technology, Media & Telecom sector
4
Senior Management with Focus
Name
Designation
Experience
Functional Areas
Sandipan Chattopadhyay
Founder, Managing Director & CEO
Srinivas Koora
Founder, Wholetime Director, CFO
Jaison Jose
Whole Time Director
Ajay Pandey
CTO, Technology
Naushad Vali
Senior Tech Advisor
Suhas Dattatreya
Senior Technologist
Sambit Mukherjee
VP Data Science
(years)
23
21
15
19
16
5
10
Technology, Development, New Initiatives
Strategy,
Planning,
Startup
Finance, Accounts, Raising, Tax Compliance
Investor Relations, Fund
Human Resource Services, Business Development and Operations
Platform development, Maintenance, Data science
Testing, Deployment,
Solution and system architecture, design
Algorithm
Machine learning, NLP, data science, Artificial Intelligence
Spatial data science, Analytics
5
What we do?
the next generation of Focused on building Intelligence & Machine technology in Artificial Learning Space, with a keen interest in Natural Language Processing & Data Analytics. We work with governments, businesses, individuals & startups and help them take advantage of their data as Technology Partners & Consultants
6
How we do it?
Understanding intention of what is to be built & problem recognition.
Comprehensive study on the data being utilised to recognise statistical patterns
Highlight points of data collection, quality & type of data to then derive the Machine Learning Model
7
Approach to building AI & ML Tools
Learning about the framework, system & processes
1
2
3
4
5
6
Understanding intention to be built with the systems & applications
Comprehensive study on the existing system to study data being utilised
Highlight points of data collection, quality & type of data
Build a prototype to test hypothesis on a model data set
Using the latest technologies and internal libraries in ML & AI to build a modular application to run on existing architecture
Collate findings and tweak with a self-learning engine for continuous growth
8
Xelp Products
• An AI engine powered by Natural Language Processing
• Uses OCR (Optical Character Recognition) to convert documents
into machine readable formats
• Initial rules based on existing playbook inputted into the engine,
followed by extensive training on contextual matching and reinforced learning.
• Plug-in tool able to highlight differences of varying degree (RAG)
• With a feedback mechanism in place, the AI engine continues to
learn and is able to handle more complex cases
9
Intelligent Document Management System
ONBOARD DATA
CREATE USERS
ONBOARD CLIENTS
HIERARCHY
EXTRACTION
WORKFLOW
MULTILEVEL QUALITY
BULK ASSIGNMENTS
AUTO PULL FROM QUEUE
SINGLE LEVEL
NATURAL LANG. PROCESSING
MULTI LEVEL
PARSING
DASHBOARD
STARTEGIC & ANALYTICAL
CUSTOMIZE WIDGETS
DATA MODEL
CREATE YOUR OWN
MODIFY EXISTING
TRAINING
REPORTS
TEST EFFICIENCY
TRAIN DATAMODEL (ML)
ONE TOUCH REPORTS
SCHEDULE CUSTOMIZED MAILERS
10
Xelp Products
• A state of the art and modular ERP system for restaurants currently being piloted with the largest listed restaurant organization. It is aimed at:
✓ Stakeholders: Identifying, evaluating, informing, and influencing individuals
and groups affected by or influencing the project
✓ Business Benefits: Estimating, measuring, and monitoring benefits to be derived from the project. Benefits must be understood in the context of the expected outcome and the associated costs
✓ Schedule: Controlling the production and acceptance of project services and deliverables, and ensuring their provision to specified performance and acceptance requirements
✓ Team: Identifying and mobilizing people required, and maintaining appropriate collaboration among resources required to successfully complete the project
✓ Scope: Agreeing to, maintaining and amending the boundaries of the project
through mutual consultation with the stakeholders
✓ Risks: Identifying risks and issues, evaluating them, and developing avoidance,
mitigation, and resolution measures to counteract the same
11
What can an ERP do?
Enterprise-wide integration: Business processes are integrated end to end across departments and business units. For example, a new order automatically initiates a credit check, queries product availability, and updates the distribution and delivery schedule.
Real time operations: Since the processes in the example above occur within a few seconds of order receipt, issues are identified quickly, giving the seller or the management more time to correct the situation.
A common database: A common database was one of the initial advantages of the ERP. It allowed data to be defined once for the enterprise with every department using the same definition.
Consistent look and feel: Early ERP vendors realised that software with a consistent user interface reduces training costs and appears more professional.
12
Concepts in the Making
FAQs to Chatbot Experimental concept to turn FAQs of a product or a service to an interactive Chatbot.
Sensitive Content Detection Understanding different entities within text to help highlight information that is sensitive in nature. Upon identifying information that is sensitive in nature, the tool will anonymise it to protect and avoid a breach of data.
Email Analysis Tool Predicts the buying pattern, social behaviour, sentiment, job preference and more, by understanding the context from user’s inbox.
Conversational Commerce
A chatbot that handles customer queries and learns user preferences to help sell and promote the business through customer interaction and feedback
Intelligent Dialogue Tree The chatbot that initiating the hiring process and acts as an intermediary between employer and the interested candidate reviews the candidate’s profile on various platforms to calculate and add to their overall score and then schedules a mutually agreeable date for the interview if they score high
13
Start Up Tech Deployment
Freight exchange facilitator for the trucking ecosystem in India.
AI-based Personal assistance.
Sector: Transportation 4TIGO is a common technology platform that has something for every participant in the trucking ecosystem – the fleet owner, truck driver, transporter, transport company, consigner and consignee.
Sector: Voice Technology Mihup is an artificial intelligence powered mobile assistant for Human- to-Machine, Machine-to-Machine, Machine-to-Human and Human-to- Human interaction.
Network members manage the entire goods transportation lifecycle on the platform, enabling a quantum leap in productivity, efficiency & customer service.
Features include a comprehensive fleet management system, trucks, online bidding and demand matching of supply- contracting complete contract management. With a highly intuitive user interface, a truck driver, anywhere in India, can find a load and be on his way.All in just three clicks.
A digital personal assistant, with local language voice recognition that functions offline, Mihup understands user mannerisms in their local language, identifies English script queries of any regional language and offers SMS based assistance.
At its core, Mihup aspires to be a protocol of conversation, and aims to sit between Human or Machine actors, removing personal biases or specific terminologies, to aid communication
14
Start Up Tech Deployment
snaphunt
Talentacquisition - engaged and simplified.
Sector: HRTech
SnapHunt is a Singapore based venture focuses on the South East Asian talentmarket.
that
With a proprietary matching algorithm that matches candidates to prospective employers by leveraging over 20 years of Human Resource expertise, SnapHunt aims to provide an enterprise class recruiting solution that enables candidates to express themselves.
Woovly is a solution offering ‘Networking with Reason’ site. It helps a user identify the bucket list and accomplish the same with the best of experiences by connecting with the people who share the same interest.
Xelp created a system that condenses large amounts of information into digestible bites, (NLP) using Natural algorithms efficiency of information delivered.
Language to improve
Processing
the
Xelp built an internal tool that has a Natural Language Understanding module that identifies and marks the multiple entities of a sentence. Whether it is names, places or other key insights within text
Leadstart Publishing is a leading publishing house from India with a focus on both creative and progressive. The PENCIL platform from Leadstart features distinguished authors and writing from across the globe.
Leadstart envisions to setup an environment for writers which can run on semi auto mode. A journey which can start from diary of a writer and end up in published printed book, all handled by same platform.
Xelp is engaged with Leadstart with a vision to create a digital platform which can help new writers. It is being developed with a capacity of uploading script of a book, design cover page, get edited and be published on all available on digital platforms (like kindle).
Additionally these books can be printed on the fly when the order is placed. Technology to get a real time feedback from the readers and pushing the corrections back to the system, makes this platform more reliable and unique.
15
Start Up Tech Deployment
A digital platform to manage their business directly from their smartphone.
The Star in me is a Networking, Branding and Guidance platform for Women of today.
Sector: Digital Classifieds Knack seeks to empower the over 50 million micro and small business that employ over 100 million people and contribute nearly 40% of the country’s GDP.
An integrated, cloud based SaaS platform, Knack enables micro businesses to fully manage and automate their operations from their smartphone, tablet or desktop devices, anytime and anywhere.
Features include client bookings, sales tracking,
book keeping, digital
payments, analytics, and marketing automation.
Users can experience this platform by:
Inviting and connecting with like-minded professionals Joining Networking Communities of choice
• Creating their best digital identity • • • Building their own specialized networks • Reaching out to guides for immediate career-advice • Sharing valuable advice with others • Drawing inspiration from women achievers
Xelp’s AI algorithm will help decide which mentor or coach best suits a user for their career growth. Xelp plans to push an ML piece which analyses user behaviour and recommend sessions and events for her to participate, and become a quality platform for those seeking best fit mentorship.
16
Start Up Tech Deployment
Slate has a long term vision to enable SMEs maximize their free cash flows through real-time, actionable AI inputs to improve capital efficiency by extracting & analyzing invoicing, payables and receivables cycle.
data throughout the procurement,
This vision will be achieved through a self-sufficient cash flow and accounts management platform for micro-entrepreneurs, who do not need full-time accountants.
Slate has immediate focus on 15 mn Gig-economy Workers; 150K Small Franchisees, 50K Young Startups, Independent Advisors & Home Entrepreneurs
Xelp Plan to achieve Slate’s Dashboard Vision
• Real-time and most accurate view of cash flow status • Day-wise future projection of cash flow position based on historical data on
accounts payables/receivables, seasonality and other factors
• Credit rating based on historical data, sales concentration, sector attractiveness,
etc
• Recommended actions to manage cash, such as, investment in liquid funds, via low cost commercial/personal credit cards, early payment
paying incentives, etc
• Recommended sources to avail credit
AgeBold is a fitness experience customized for users. Users can avail this health guidance digitally, from the comfort of their home.
AgeBold provides strategic guidance based on the feedback given by users. The program focuses on improving balance, strength and mobility keeping in mind users' physical ability and improvement goal.
Data analytics plays a very important role here. Once user is engaged in any one of the programs the platform analyses all attributes of user’s involvement and performance which helps the software to predict his/her future health issues. Dashboards and reports associated with this analysed data gives a complete picture of current health status.
17
Start Up Tech Deployment
Traydstream offers fast, comprehensive automated document processing for global trade finance
Traydstream digitises Documentary Trade (LCs & Collections) and supporting documents to automate scrutiny, clause matching, rules and compliance checking process. This helps banks and exporters to automate their trade finance documentation process, using machine learning.
The challenges faced by Traydstream were a big TAT for LC process fulfilment, long running disputes with large amount, document security as storage in a single repository and lack of automation and sporadic follow ups
Xelp’s Solution: An integrated Hyperledger blockchain, along with IPFS, solution to store and monitor letter of credit documents and transactions. Solution would allow primary and secondary members to connect via the blockchain so that they may create letter of credit document transactions on the blockchain and store associated documents in IPFS.
As a result of the above solution, expected TAT for the Letter of credit generation and distribution will be better multifold.
India’s first children’s lifestyle website
Kids Stop Press (KSP) is India’s first and best children’s lifestyle and parenting website and has its pulse on everything today’s parents want to know.
KSP offers a consolidated platform that caters
to Indian parents raising kids in a
landscape that is physically, culturally and socially very different from Western countries.
It connects parents to brands, services, and events for children from across the country helping parents make informed choices through its online platform.
18
Tech Deployment in Education Sector
An LMS Platform for one of the leading education institutions providing young students with a healthy environment to nurture themselves cognitively, intellectually, artistically and athletically; along with imbibing moral and cultural values.
(In Progress)
Unprecedented disruption in day-to-day work due to Covid19 measures and government imposed restrictions have led to students missing out on regular classes and falling behind on curriculum.
Apart from online platform needs for teaching, assessment etc., there were challenges in getting teachers updated with new tooling and methodology. Time-overlap of exams and new admissions further exacerbated the situation.
Xelp Solution: An intuitive integrated solution, with substantial automation and turnkey considerations, to quickly transform the laborious day-to-day engagement for both- teachers and students into convenient & enjoyable collaboration. On top of online classroom, assessments etc. Xelp is also engaged in devising a long term enhanced IP for a scalable, unified, EduTech Platform which can cater to on premise, online and blended modes of learning addressing the education and growth needs of all categories of people right from K-12 up to working professionals in a smooth, easy and seamless environment.
19
Signal: Edutainment Services
Xelpmoc has invested in Signal, the Edutainment Services Holdco
Experie nce
Formal Educat ion
Informal Educatio n
Focused on informal & tactile experience for K12 kids
Our Solution: Deliver Key Learnings in Right Packaged Form
Provide Services & Products
Right Fit Cont ent
Engage ment
Experience
20
Value of Portfolio
Company name
Investments
Fortigo Network Logistic Private Limited
Mihup Communication Private Limited
Snaphunt Pte Ltd
Ideal Insurance Brokers Private Limited
Inqube Innoventures Private Limited
PHI Robotics Research Private Limited
KidsStopPress Media Limited
Madworks Ventures Private Limited
Rype Fintech Private Limited
Woovly India Private Limited
Graphixstory Private Limited
One Point Six Technologies Private Limited Femmevista Technologies Pvt Ltd Catailyst Inc Signal Analytics Private Limited Learning Hats Pte. Ltd.
NaikTech XP Private Limited
Total
Xelpmoc's investment (Rs in ‘000)
Cost of investment (Rs in ‘000)
Fair value as at June 30, 2020 Fair value as at June 30, 2021
11.11
6,080.82
615.37
235.00
9,298.51
2,505.00
9,044.13
1,155.5
2,430.66
572.03
409.50
13,606.87 1,223.00 117.38 1,000.00 272.48
241.52
48,818.88
195,039.49
53,150.79
37,626.77
3,691.58
4,892.18
2,067.80
6,008.72
1,155.55
1,250.00
37,514.34
409.50
4535.62 - - - -
-
347,342.34
216,140.40
118,549.71
46,267.18
4,529.48
4,455.03
982.30
9,051.82
577.78
3,245.66
51,207.90
409.50
14,147.72 9,244.08 117.38 1,000.00 272.48
241.52
480,439.93
21
Value of Portfolio
Represents value of investment in Rs mn as at June 30, 2021 Approx. Diluted shareholding % NA: Preference share holding
Key Highlights in Q1FY 22
Continue to expand the start-up deployment through following investments in Q1FY 22:
❑ One Point Six Technologies: Additional investment in India’s largest book distributor, publishing 100+ titles annually
and spread across 100 cities
❑ Rype Fintech: Additional investment in Slate.ac, a simplified business finance & accounting platform for SMEs
❑ Naik TechXP: Investment in data science platform for delivering financial advisory through personalized engagement
and decision assist tools
23
Key Highlights in Q1FY 22
Continue to expand the start-up deployment in Q1FY 22:
❑ Financials:
✓ Generated positive adjusted operating EBITDA of Rs 5.3 million*
✓ Portfolio value of investments increased from Rs 347.34 million on June 30, 2020 to Rs 480.4 million on June
30, 2021
* Adjusted Operating EBITDA is after excluding ESOP expenses during the Q1FY22 of Rs 22.9 million
24
Financial Performance – Quarterly
34.7
35.3
35.4
32.5
) n o
i l l i
m n
i
s R (
14.9
* 11.5
* 5.5
5.3
*
Q2FY21
Q3FY21
Q4FY21
Q1FY22
Operating Revenue
Adjusted Operating EBITDA
Scale of operations bringing in consistency to the financial performance
* Adjusted Operating EBITDA is after excluding ESOP expenses of Rs 3.1 million, Rs 7.3 million and Rs. 22.9 million during the Q3FY21, Q4FY21 and Q1FY22 respectively
25
Consolidated Financials
(Rs in million)
Q1’22
Q4’21
QoQ %
FY21
FY20
Revenue from Operations
Other Income
Total Income
Adjusted Operating EBITDA
% of Operating Revenue
PAT
% of Total Revenue
32.5
2.9
35.4
5.3*
16.3%
(15.3)
NA
35.4
(8.1)%
140.5
0.9
225.7%
11.4
36.3
(2.4)%
5.5*
(2.6%)
151.9
46.0*
81.1
12.9
94.0
(27.3)
15.4%*
90 bps
32.7%*
NA
(1.5)
NA
NA
NA
40.8
(21.7)
26.9%
NA
The fair value of our investments in our clients as on June 30, 2021 stands at approximately Rs 480.4 million * Adjusted Operating EBITDA is after excluding ESOP expenses of Rs 22.9 million, Rs 7.3 million and Rs 10.4 million during the Q1FY22, Q4FY21 and FY21 respectively
26
People Investment – Key Driver for Xelpmoc
n o
i l l i
m n
i
s R
10.5 29.9%
10.0 28.6%
*
15.9
45.0%
*
20.0
56.5%
*
34.8
107.1%
Our Talent Pool Specialisations
Economics
Physics
Chemistry
Mathematics
Engineering
Psychology
Sociology
Q1 FY21
Q2 FY21
Q3 FY21
Q4 FY21
Q1FY22
Personnel expenses
Personnel expenses to operating revenues%
Hiring Domain Experts from varied fields for market outperformance
* Personnel expenses includes ESOP expenses of Rs 22.9 million, Rs 7.3 million and Rs 10.4 million during the Q1FY22, Q4FY21 and FY21 respectively
27
Way Forward
❑ Continue to focus our energies on promising portfolio companies (Eg: EduTech Ventures, Health Care, Fortigo, Mihup
and Slate) and investing our best efforts in those
❑ Focus on education sector with a multitude of opportunities that have arisen due to the Covid pandemic. We see
some good growth opportunities in this space
❑ While opportunities exist, challenges around closing deals with new start-ups have decreased due to the pandemic
situation
28
Investment Rationale
Differentiated technology services play with high focus on Data Science, AI and ML
Ability to identify unique business models and partner with the entrepreneurs to bring their idea to fruition
Focused on driving value to shareholders than a consistent traditional growth story
Key investments in companies have already scaled up to a substantial level
Strong management with senior high caliber technology professionals
Vision is to partner and grow with start-ups while selectively working on traditional projects that excite the high technology DNA of the company
29
Newport Asia Investment Update
• Newport Asia, a US based Investment Firm managing US$ 2.6 billion
• Focus on long only investments for Asian public equity markets for two decades
The Deal
The Way Forward
✓
✓
✓
Preferential allotment of 0.7 million equity shares at Rs. 375 per share totalling to Rs. 270 million
Shares subject to 1 year lock in
Allotment amounting to 5% of the post issue paid up capital
✓
✓
✓
Augmentation of personnel at the mid and senior management level
Overseas Business Expansion
Ensuring long term growth of Xelpmoc
30
Shareholding Pattern
Shareholding as on June 30, 2021
Others 33.70%
DII 0.47%
FII 8.56%
Promoters 57.27%
As on June 30, 2021
Top Institutions
Institution
University of Notre Dame Du Lac
The Ram Fund LP
GP Emerging Market Strategies LP
Massachusetts Institute of Technology
%
4.40%
1.35%
1.27%
0.51%
Franklin India Technology Fund
0.46%
31
Corporate Governance- Foundation of our Values
❑ Non- Executive Chairman
❑ Internal Audit performed by an external firm
❑ Audit committee comprises of 75% Independent Directors
❑ Formal dividend policy in place
❑ Whistle blower mechanism in place
❑ Proactive on all disclosures to Stock Exchanges
32
Innovation
Thank you!
For more information, Please contact:
Mr. Srinivas Koora CFO, Xelpmoc Design & Tech Ltd. P: +91 93239 26889 E: srinivas@xelpmoc.in
Mr. Diwakar Pingle Christensen IR P: +91 22 4215 0210 E: dpingle@christensenir.com