Submission Details
• Date of submission: August 14, 2024
• Transcript of Q1 FY25 Earnings Conference Call held on August 7, 2024
• Key management present:
• Raghunandana Tangirala (MD and Chairman)
• Amitabh Jaipuria (Non-Executive Director)
• Radha Ramanujan (CFO)
Company Performance Overview
• Revenue Growth:
• 14% year-on-year growth to Rs. 6,587 million
• PAT increased by 107% to Rs. 256 million
• Segment Contributions:
• Integrated Facility Management (IFM): 64% of revenue
• Business Support Services (BSS): 36% of revenue
• Operational Efficiency:
• IFM focusing on improving margins (rose to 5.7%)
• BSS revenue growth of 34% driven by outsourcing trends
Future Growth Projections
• Company aims for growth trajectory of three times nominal GDP
• Optimism supported by favorable government policies and market dynamics
Q&A Highlights
• BSS Growth Prospects:
• Projected increase in revenue share to 40-42% over 1-2 years
• Focus on synergistic service lines and acquisitions
• Challenges:
• Slowdown in IT hiring affecting employee background verification segment
• Pricing pressure from low-margin contracts expiring
Segment Performance Insights
• IFM Business:
• Revenue contributions: Soft services (40%), Engineering services (25%), Production support (15-20%)
• Projected growth of 13-14% despite industry challenges
• BSS EBITDA Margins:
• Current margin at 9.9%, expected to improve in Q2 and Q3
Financial and Strategic Updates
• ESOP Costs:
• Reported Rs. 11 million for the quarter, expected total of Rs. 5 crores for the year
• Rights Issue and Loans:
• Rs. 7.9 crores rights issue and loan to Wynwy Technology for strategic merger
• Field Marketing Initiative:
• Generated Rs. 40 crores last quarter
Conclusion
• Management expressed gratitude for participant engagement and invited further inquiries.

Submission Details
• Date of submission: May 25, 2024
• Enclosed: Transcript of Q4 FY24 Earnings Conference Call (held on May 21, 2024)
• Key participants: Raghunandana Tangirala (Promoter and Managing Director), Snehashish Bhattacharjee (new CEO), and other executives.
Company Performance Highlights
• B2B Operations: Strong revenue growth in Business Support Services (BSS) segment.
• BSS revenue increased by 32% to INR 802 crores.
• Challenges in employee background verification due to IT hiring slowdown.
• Expansion into banking and manufacturing sectors.
• Airport ground handling operations planned at 22 airports.
• Integrated Facilities Management (IFM):
• Contributed 66% of total revenues, growing by 9% to INR 1,665 crores.
• Focus on rationalizing low-margin contracts.
• Targeting a market expected to reach INR 80,000 crores by FY28.
Growth Strategies
• Enhance customer relationships and market share.
• Introduce technology-enabled services.
• Pursue acquisitions in the BSS space.
• Recognition for workplace culture.
Financial Performance
• Q4 FY24 Results:
• Revenue growth: 10% year-on-year to 6,326 million.
• EBITDA increased by 6% to 411 million; adjusted EBITDA fell by 23% to 383 million.
• Reported PAT grew by 150% to 242 million; adjusted PAT remained flat at 217 million.
• Full FY24 Results:
• Total revenue rose 16% to 24,561 million.
• EBITDA up 41% to 1,459 million.
• Added 78 new logos in IFM and 51 in BSS.
Strategic Focus
• Focus on continuing customers contributing significantly to revenue.
• Elimination of low-revenue clients and one-off projects.
• Adjustments in depreciation accounting policy to align with subsidiaries.
Segment Insights
• BSS Segment: Minor revenue drops due to market impacts; overall stability.
• IFM Segment: Margins dropped from 2.4% to 1.7% due to exiting low-margin contracts; recovery expected by Q2 FY'25.
Management Insights
• Projected growth for BSS segment: 15% to 18% in the current year.
• ESOP guidance for FY'25: INR 5-6 crores, down from INR 10 crores.
• High employee costs attributed to new projects and reclassification of expenses.
Conclusion
• Management expressed optimism for a 15% to 18% growth in both revenue and profit for the upcoming year.

Company Overview
• Date of Call: February 15, 2024
• Led by: Managing Director Raghunandana Tangirala
• Focus: Integrated Facilities Management (IFM) and Business Support Services (BSS)
Financial Performance
• Revenue Growth: 18% year-on-year to INR 6,404.54 million
• IFM Contribution: 65%
• BSS Contribution: 35%
• BSS Growth: 55% (partly due to Athena acquisition)
• Adjusted EBITDA: Grew by 69% year-on-year
• Debt Position: Net cash positive with a debt-to-equity ratio of 0.32x
Key Inquiries and Responses
• IFM Business Model:
• Primarily self-managed, with in-house services
• Clients may outsource specific services
• Airport Services:
• Involvement in engineering and ground handling
• Acquisition Valuation:
• Full value of acquisitions reflected upfront, with performance adjustments
• Growth Prospects:
• Potential growth of 20-21% aligned with economic growth of 7%
Segment Insights
• BSS Revenue Breakdown:
• Denave: INR 135 crores
• Athena: INR 37 crores
• Challenges:
• Decline in IT hiring affecting employee background verification
• Modest growth in audit and assurance business
• Airport Ground Handling:
• Currently a minor revenue contributor, expected to turn positive
Operational Metrics
• Employee Attrition: 6-7% monthly, lower than industry average
• Days Sales Outstanding (DSO): Improved from 80 to 75 days
• Write-offs: Minimal at 0.2-0.3% of revenue
• Tax Rate: Expected between 20-22% in coming years
Management Insights
• Margin Improvements: Driven by high-margin business Athena and operating cost leverage
• Growth Guidance: 18-21% for the upcoming year, with modest margin improvements
• Competitive Advantages: Customer satisfaction, diverse service offerings, and strong governance
Conclusion
• Management expressed gratitude for investor interest and commitment to high governance standards.

Submission Details
• Date: November 15, 2023
• Recipient: BSE Limited and National Stock Exchange of India
• Content: Transcript of Earnings Conference Call held on November 8, 2023
Key Executives Present
• Raghunandana Tangirala (Managing Director and Chairman)
• Balaji Swaminathan (Chief Financial Officer)
• Amitabh Jaipuria (Non-Executive Director)
Company Overview
• Evolution from a piecemeal service provider in 1990 to an integrated facilities management (IFM) platform.
• Services offered include:
• Soft services
• Production support
• Engineering services
• Warehouse management
• Food services
• Expansion into business services such as:
• Mailroom management
• Employee background verification
• Audit assurance
• Airport ground handling
• Sales enablement
Financial Highlights (Q2 FY24)
• Total revenue: INR 6,019 million (17% YoY increase)
• Adjusted EBITDA: INR 403 million (4% growth)
• H1 FY24 total revenue: INR 11,796 million (19% increase)
• Adjusted PAT: INR 399 million
• Challenges noted in IT sector and employee background verification business.
• Cost of services increased by 40%, primarily due to Denave's lower EBITDA margin (8-9%).
Future Plans and Projections
• Focus on customer retention, cross-selling, and growth (both organic and inorganic).
• Anticipated revenue and PAT growth of approximately 20% over the next two years.
• Expected adjusted PAT for the current year around INR 100 crores.
Margin and Cost Management
• Margin deterioration in H1, with expectations for recovery in H2.
• Adjusted EBITDA decline from 7.6% to 6.8% due to various factors.
• ESOP costs projected to decrease significantly in FY25 and FY26.
Business Outlook
• Strong demand for office and industrial space despite IT hiring slowdown.
• Strategic exit from lower-margin government contracts to improve profitability.
• Anticipated annual growth of 17-18% with improved margins.
• Positive momentum in sales enablement and auditing assurance sectors.
Ethical Governance
• Emphasis on aligning management incentives with investor interests and maintaining high ethical standards.