Investor Presentation Aug, 2018 September 1, 2018 Disclaimer - PowerPoint PPT Presentation

Investor Presentation Aug, 2018 September 1, 2018

Disclaimer Certain statements in this presentation concerning our future growth prospects are forward-looking statements, which involve a number of risks, and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding fluctuations in earnings, our ability to manage growth, intense competition in the BPM industry including those factors which may affect our cost advantage, wage increases, our ability to attract and retain highly skilled professionals, time and cost overruns on fixed-price, fixed-timeframe contracts, client concentration, restrictions on immigration, our ability to manage our international operations, reduced demand for technology in our key focus areas, disruptions in telecommunication networks, our ability to successfully complete and integrate potential acquisitions, liability for damages on our service contracts, the success of the companies in which Hinduja Global Solutions (HGS) has made strategic investments, withdrawal of governmental fiscal incentives, political instability, legal restrictions on raising capital or acquiring companies outside India, and unauthorized use of our intellectual property and general economic conditions affecting our industry. HGS may, from time to time, make additional written and oral forward-looking statements, including our reports to shareholders. The Company does not undertake to update any forward-looking statement that may be made from time to time by or on behalf of the Company. 2 2 HGS Confidential – www.teamhgs.com HGS Confidential – www.teamhgs.com Driving Results. Consistently. September 1, 2018

HGS Overview

About the Company HISTORY  Part of the Hinduja Group, in the BPM business since 2000  Erstwhile HTMT, IT & BPM business demerged October 1, 2006  Rebranded as HGS in 2008 FINANCIAL DETAILS (FY’18 & Q1 FY’19) SNAPSHOTS FY’18 Q1 FY’19  In INR term, CAGR of 10.4% in Revenue over last 5 years Revenue INR 38,494 Mn ($ 597 Mn) INR 11,008 Mn ($ 163 Mn)  70 Worldwide Centers EBITDA INR 4,061 Mn ($ 63 Mn) INR 731 Mn ($ 11 Mn)  44,800 + employees (as on 30 th June 2018) EBITDA Margin (%) 10.5% 6.6% (With Acquisition)  190 active clients for the BPM business EBITDA Margin (%) 10.5% 9.5% (Without Acquisition) (additionally over 636 clients for Payroll & HRO Business) at the Free Cash flow/EBITDA 47% 19% end of FY18 Net Debt/Equity Ratio 0.04 x 0.08 x  2 Acquisitions - Axis Point Health & Element Solutions Gross Debt Reduction INR 762 Mn INR 6 Mn made effective early April 18. 4 4 HGS Confidential – www.teamhgs.com HGS Confidential – www.teamhgs.com Driving Results. Consistently. September 1, 2018

HGS Core Capabilities to Enable the Unified Customer Experience Analytics Customer Experience Customer Marketing Digital Enablement Assessment Experience and Digital Strategy Enablement Customer Experience Social Media Services Services Strategy Engagement Digital Experience Digital Marketing Strategy Customer Interaction Transformation Voice Solutions Digital Assist – chat, Analytics & Insight email, video Consumer Business Transaction Servicing Social Care Interaction Services Services Mailroom Solutions Business Solutions Innovation 5 5 HGS Confidential – www.teamhgs.com HGS Confidential – www.teamhgs.com Driving Results. Consistently. September 1, 2018

Relatively diversified business portfolio Almost all HGS day to day activities relate to consumer transactions and interactions Healthcare/ Insurance Consumer Products Telecommunications Financial Services  58 Million transactions, 10  Supporting many consumer  Providing extensive consumer  Only credit card issuer to win electronics manufacturers and Million calls, 2.7 Million emails support for land lines, the J.D. Power Award for per annum distributors from purchase to wireless, satellite, IPTV, hi- customer experience 6 post-warranty servicing speed internet – from consecutive years driven by  Annual claim payout of $11.5 supporting the consumer HGS’s best in class NPS  Multi-channel service over billion USD and $1.3 billion from the point of purchase to customer service - supporting USD recoveries initiated for 4 telephone, white-mail, email, end of service all aspects of consumer financial of the Top 10 healthcare text and social media for a CPG transactions  HGS ranked as a leader by payers and several large client  Providing support to a large hospitals/health systems in the Nelson Hall in Customer  Provides services in the area if US management service for Pubic sector financial services automation analytics and Telecommunication, Cable company in UK for their channel management to and Satellite. operations enhance customer experience Contributes 53.8% of HGS Contributes 17.2% of HGS Contributes 12.1% of HGS Contributes 7.7% of HGS Revenue Revenue Revenue Revenue Share of revenue by vertical based on Q1 FY 19 results 6 6 HGS Confidential – www.teamhgs.com HGS Confidential – www.teamhgs.com Driving Results. Consistently. September 1, 2018

Who we are and what we do - update Significant Local Scale Core Business Operations Who we are Global provider of industry 44,800 employees with 46% of HGS’s revenue is A focused global specific business process 70 centers located in delivered in 18 local delivery business services services and end to end multi 7 countries centers in NA and 3 in UK (BPS) company with channel ‘consumer servicing’ services proven ability to deliver sustainable results Providing domain Consistent Financial Long Term expertise and operational excellence to assist our Growth Stability Relationships clients to transform their business across customer Publicly listed company Heritage of growing long term HGS has grown 10X in interaction channels with controlled by a multi- client relationship based upon 10 years to $597M enhanced customer delivery value to our clients. billion dollar conglomerate - revenue experiences 75% of the clients are with financially sound, strong HGS for more than 10 years balance sheet and committed long term ownership structure Consumer Electronics Telecom & Media Retail Healthcare Industries & Technology We Serve Consumer Public Sector Banking Insurance Packaged Goods 7 7 HGS Confidential – www.teamhgs.com HGS Confidential – www.teamhgs.com Driving Results. Consistently. September 1, 2018

How have we grown Revenue Trend (In INR Mn.) Acquired Business Revenue Core Business Revenue 38,494 37,110 33,282 28,076 25,048 10,587 10,762 9,645 8,544 11,008 8,713 3,782 27,907 26,348 23,637 19,532 16,335 7,227 FY 14 FY 15 FY 16 FY 17 FY 18 Q1 FY 19 8 8 HGS Confidential – www.teamhgs.com HGS Confidential – www.teamhgs.com Driving Results. Consistently. September 1, 2018

Revenue Composition Revenue by Verticals Offshore/Near-shore to Onshore Onshore Offshore/Nearshore Telecom & Technology Consumer Products Healthcare BFS Others 9.1% 9.9% 10.0% 11.7% 16.1% 15.3% 7.7% 7.3% 8.0% 6.9% 37.0% 39.7% 7.8% 42.3% 8.0% 45.7% 46.5% 47.0% 27.8% 41.8% 45.9% 34.9% 49.2% 53.8% 15.9% 13.7% 13.2% 63.0% 60.3% 13.7% 57.7% 53.5% 54.3% 53.0% 12.9% 12.1% 32.2% 28.3% 26.5% 23.2% 19.9% 17.2% FY 14 FY 15 FY 16 FY 17 FY 18 Q1 FY 19 FY 14 FY 15 FY 16 FY 17 FY 18 Q1 FY 19 9 9 HGS Confidential – www.teamhgs.com HGS Confidential – www.teamhgs.com Driving Results. Consistently. September 1, 2018

Revenue Composition Revenue by Delivery Revenue by Originations INR USD GBP CAD India Philippines USA UK Canada Jamaica 4.4% 1.9% 3.3% 4.7% 10.2% 10.2% 10.6% 12.2% 10.3% 12.7% 17.7% 10.0% 9.9% 17.7% 22.4% 22.4% 6.4% 6.9% 8.6% 8.6% 6.9% 6.4% 10.5% 10.5% 10.6% 10.6% 9.8% 9.8% 25.1% 25.2% 32.1% 26.8% 27.3% 27.1% 67.6% 66.6% 71.5% 18.5% 65.8% 18.4% 63.3% 18.9% 17.0% 59.3% 17.0% 15.4% 34.9% 34.1% 30.0% 29.6% 27.0% 25.3% 15.3% 14.3% 11.9% 11.0% 8.5% 8.3% FY 14 FY 15 FY 16 FY 17 FY 18 Q1 FY 19 FY 14 FY 15 FY 16 FY 17 FY 18 Q1 FY 19 10 10 HGS Confidential – www.teamhgs.com HGS Confidential – www.teamhgs.com Driving Results. Consistently. September 1, 2018

Revenue Composition Voice to Non-Voice Mix OPEX seats & Owned Seats Owned Seats Seat for Opex Voice CRM Transaction processing Digital CRM 19.8% 16.9% 16.4% 16.0% 2% 3% 3% 4% 4% 5% 15.2% 19% 21% 8,817 6,837 7,243 6,406 23% 6,856 24% 24% 24% 35,979 35,624 35,637 35,690 34,956 79% 77% 74% 73% 73% 71% FY 14 FY 15 FY 16 FY 17 FY 18 Q1 FY 19 June 17 Sept 17 Dec 17 Mar 18 June 18 11 11 HGS Confidential – www.teamhgs.com HGS Confidential – www.teamhgs.com Driving Results. Consistently. September 1, 2018

Revenue Composition Client Concentration Top Clients Top 20 Clients Top 5 Clients 78% 77% 75% 73% 72% 71% 51% 50% 50% 47% 46% 46% 18% 18% 17% 16% 15% 13% FY 14 FY 15 FY 16 FY 17 FY 18 Q1 FY 19 12 12 HGS Confidential – www.teamhgs.com HGS Confidential – www.teamhgs.com Driving Results. Consistently. September 1, 2018