Orbis PPT revised for financial freedom and company

Company ppt

1. 1
Dedicated to Securities Services

2. Orbis - financial services to capital markets participants
OVERVIEW

SERVICES
B A C K G R O U N D
Orbis acts as a Custodian, offering
settlement, safekeeping & reporting
services to investors across segments
Provides end-to-end solutions to
institutional and retail, domestic and
foreign investors, and manages their
investing operations securely
Registered as a Custodian with SEBI and
a Clearing Member in all the market
segments (commodity, derivatives,
currency, etc.)
PCM: Collateral management,
reporting, clearing & settlement
services across different exchanges
Custody: Onboarding, safekeeping,
fund accounting, customer reporting &
FX execution services
Others: Trusteeship and registrar &
transfer agent services
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3. Orbis at a glance
Year
Assets under
custody (INR
Cr)
Operating
Revenue (INR
Cr)
PAT (INR Cr)
EPS diluted
(INR)
Networth (INR
Cr)
RoE (%)
FY 2021 34,128 66.6 15.9 1.8 155 13.6%
FY 2022 67,369 154.2 47.8 5.0 223 25.3%
FY 2023 81,160 296.7 89.6 8.3 429 27.5%
FY 2024 1,23,441 424.2 141.3 11.3 688 25.3%
B A C K G R O U N D
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Assets under Custody: INR
1,23,441 crore, up 52.10% YOY
Custody Client Base: 3,696Net Worth: INR 688 crore
Employees: 158 ShareholdersBase:1,942
Profit After Tax: INR 141 crore
(FY24)

4. I N V E S T M E N T H I G H L I G H T S ( 1 / 2 )
Ascaledup,fast-growingplay inthecustody space,benefitingfrommacrotailwinds…
Benefiting from India’s status
as a top investment destination
✓Orbis supports a broad range of
investment types, from FPIs to AMCs
and insurance companies, gaining from
both domestic and international
inflows.
✓India’s AUC grew at 27% CAGR from
FY20 to FY24, while Orbis achieved an
impressive 95% CAGR in the same
period. Orbis’ market share has
increased over fivefold from 0.12% to
0.65% during this time.
✓Orbis operates in a sector where clients
rarely switch custodians due to high
costs associated with changing service
providers.
✓All AIFs in India are mandated by
SEBI to appoint custodians, ensuring a
steady client base.
✓By offering additional services such as
fund accounting, Orbis further
strengthens its client relationships.
✓Orbis has scaled its operations to
handle significant volumes -Managing
INR 1.5 Lakh Cr in assets, generating
INR 400+ Cr in revenue, and achieving
a profit of INR 130+ Cr with a net
worth of over INR 650 Cr.
✓The company boasts a diverse client
base of over 3,000 entities, including
foreign and domestic investors, and
shows a 60% CAGR in revenue and
profits from FY22-24, with a 30%
profit margin in FY24.
Sourcesfornumericaldatamentionedinsubsequentslides
*As ofSeptember,2023fromICRA report;Networth:FY23net-worth+FY24PAT
Customer retention in a high
stakes market
Strong growth with scalable
business
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5. I N V E S T M E N T H I G H L I G H T S ( 2 / 2 )
…andavailableatsignificantdiscounttootherlisted capitalmarketplayers
Well-thought-outcustomer/
segmentstrategy
✓Orbisisrecognizedbyitsclientsasa
derivative-friendlycustodian/clearing
housecomparedtoitspeers.
✓Henceithasbeenabletocapitalize
onsignificanttradinginterestinthe
derivativesegmentwherethereis
highmarginrequirement.
✓Orbisworkswithunderservedsmaller
clientswhohavedemonstratedfaster
growththanthemarket–Orbishas
hencegrownwithitsclients.
Pure-play investible
opportunity in the
custodian/clearingspace
✓Mostotherentitiesoperatinginthe
custody/clearingspacearedivisionsof
banksorfinancialservicesentities.
✓Orbis,beingtheonlyindividual-
promotednon-bankingcustodian,
offersaone-of-its-kindopportunity
forinvestorsseekingtobenefitfrom
thepotentialupsideofafast-growing
custody/clearingbusiness.
Undervaluedwhencompared
toaselectionofpeers
✓Selectionoflistedpeersassociated
withthecapitalmarketsaretrading
between42.5-107.0xtrailing twelve
months’ earnings.
✓Orbis, at INR 450 per share, is valued
at ~44.5x FY24 earnings, indicating a
~12%-65% discount topeers.
Sourcesfornumericaldatamentionedinsubsequentslides 5

6. MILESTONES
Keyregistrations andmilestonesovertheyears
1:Registrar and Transfer Agent Source:Orbisannualreport
Receivedcertificate of registration as Designated
DepositoryParticipantfromSEBI
2013
Became Clearing Member, Received SEBI
registrationsasaDebentureTrusteeandRTA
1 2018
2019
BranchofficeinGiftCityoperationalizedto
provideTrusteeshipServices
2021
2008Received Custodian License from SEBI
Received Commodities Market Custodian
Approval from SEBI
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7. O R B I S – R E V E N U E S T R E A M S
Source:MCA Filings
204
75
9
3
6
0
283
120
13
4 4
1
-
50
100
150
200
250
300
Interest on Bank Deposits Custody services Clearing services Trusteeship and other allied
services
Interest income on securities
designated at amortized cost
RTA services
Operating income streams (INR Cr)
FY23FY24
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8. I N D I A C U S T O D Y M A R K E T
Orbis’AUCgrewata 95%CAGR;marketsharegrewby>5x,overFY20-24
90
135
162
172
232
FY24FY20 FY21 FY22 FY23
Market AUC (INR Lakh Cr)
CAGR27%
0.3
0.7
0.1
0.8
1.5
0.12%
0.25%
0.41%
0.47%
0.65%
FY20
OverallCustodyMarketIn India OrbisAUCandMarketshare
FY21 FY22
OrbisAUC (INR LakhCr)
FY23 FY24
Orbismarketshare(%)
CAGR95%
Source: Orbis annual report, NSDL AUC: Assets under custody
Orbis FY24 data sourced from the Company shareholders
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9. 130
O R B I S – F I N A N C I A L A N A L Y S I S
Demonstrated 4-yearPATCAGR of83%;Operatingat30% +PATmargins
Source:Orbisannualreport,FY24 datasourcedfromtheCompanyshareholders
PATmarginhasbeencalculatedontotalincome
12
16
48
90
26%
18%
25%
30%
32%
FY20 FY22
ConsolidatedPAThasgrownata
CAGRof 83%
FY21
PAT(INRCr)
FY23
PATMargin(%)
44
87
191
300
FY20 FY21
410
ConsolidatedIncomehasgrownata
CAGRof75%
FY22 FY23
TotalIncome(INRCr)
FY24FY24
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10. P E E R A N A L Y S I S ( 1 / 2 )
Source: Annual reports
Orbis FY24 data sourced from the Company shareholders
Orbis’ revenue & PAT growth has far outpaced that of select capital market peers
63%
12%
14%
11%
37%
21%
65%
11%
29%
18%
36%
16%
24%
41%
24%
30%
15%
30%
Orbis CAMS KFinTech HDFC AMC BSE CDSL
Competition Comparison
Net Sales CAGR (FY22-FY24) PAT CAGR (FY22-FY24) FY24 RoE

11. P E E R A N A L Y S I S ( 2 / 2 )
At INR450/share, Orbis trades at ~ 23 - 48% discount to peer’s TTM P/E
23%
46%
48%
33%
44.5
57.4
82.9
86,1
66.3
FY24 or TTM P/EOrbis is trading at (xx%) discount to listed peer/s multiple
Orbis CAMS KFinTech CDSLBSE
Sources: Annual reports, exchange website and Screener.in
stock prices as of 9 Jan 2025, Orbis earnings are of FY24, all the other company’s earnings are for trailing twelve months
Orbis FY24 data sourced from the Company shareholders
MutualFundRTAs StockExchange DepositoryCustodian
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12. B R O K E R S E N T I M E N T
Positivesentimentinthecapitalmarketspacewithno activesellopinion
ListedPeers BrokeractivebuysBrokeractiveholdsBrokeractivesells
Computer Age Management Services (CAMS) 7 4 2
KFin Technologies (KFinTech) 9 2 2
Bombay Stock Exchange (BSE) 3 2 2
Central Depository Services (CDSL) 3 4 2
Brokersuggestionsdataasof16 Oct 2024
Source:Trendlyne 12

13. ANNEXURE
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14. SHAREHOLDING
Backedbycrediblesetofinvestors
Source:Orbisannualreport,MCAfilings(asofJanuary2024)
19.0%
16.1%
5.3%
5.3%
16.4%
6.6%
5.4%
25.9%
Atul Gupta
Arpit Khandelwal
Ashish Kacholia
Madhulika Agarwal
ESOP Pool
Multi-Act
Plutus Wealth
Others
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15. F I N A N C I A L S T A T E M E N T S
Source:MCA Filings
15
Income Statement FY20 FY21 FY22 FY23 FY24 CAGR
Revenue from operations 34 67 154 297 424 88.4%
Employee benefit expense 11 20 22 40 79
Other expenses 10 36 72 93 97
EBITDA 14 11 60 163 249 106.8%
Depreciation & Amortization 1 1 1 2 4
Finance costs 7 10 30 42 65
Other Income 10 20 37 3 7
Profit/(Loss) before tax 16 20 65 122 187 84.1%
Tax expense 5 4 17 32 46
Profit after tax 12 16 48 90 141 86.8%
EBITDA margin (%) 40% 16% 39% 55% 59%
Tax rate (%) 29% 18% 27% 26% 25%
Balance Sheet FY20 FY21 FY22 FY23 FY24 CAGR
Equities 79 155 223 429 688 71.6%
Liabilities 414 2,146 3,701 4,611 4,297
Total Assets 493 2,301 3,924 5,040 4,985 78.3%

16. M a n a g e m e n t
Source:Annual Report
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ATUL GUPTA, Founder & Executive Chairman
Mr. Atul Gupta is a qualified Chartered Accountant and a first-generation entrepreneur with 40+
years of rich multi-faceted experience including Management Consulting, Manufacturing sector,
Banking and Financial Services in India & Australia. He had authored a professional reference book
titled “Guide to Project Financing” that was a best seller in its year of publication. During his years
in Melbourne, he had conceived the need for Custody services beyond the institutional segment
leading to the conception of Orbis.
SHYAMSUNDER AGARWAL, Managing Director & CEO
Mr. Shyamsunder Basudeo Agarwal is a Chartered Financial Analyst and a Chartered Accountant
with more than two decades of rich, rare, and diverse experience in Banking, Custody and Capital
Markets. He brings rich domain expertise and thorough understanding of the specialized segments
of the Capital Market. In his previous role as the Business Head at ICICI Bank Ltd, he had been
responsible for business and product development, delivering superior client satisfaction with
enhanced financial results through proactive engagement with Foreign & Domestic Institutional
Clients, Broker Dealers & Investors.

17. M a n a g e m e n t
Source:Annual Report
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RUP CHAND JAIN, Director
Mr. Jain did his B. Tech. (Hons) from IIT Bombay followed by a double Masters in Engineering
& Business Management from USA. His 40 years of rich and diversified experience includes key
positions with large multi-national and Indian Companies.
MANASI GUPTA, Non-Executive Director
Ms. Manasi is a graduate in Law and Commerce from the University of Melbourne. She has
rich litigation experience in the Delhi High Court and Supreme Court through her employments
at Karanjawala & Co and Trilegal.
MICHAEL JAEGGI, Independent Director
Michael is a Banking and more specifically a financial markets expert in clearing, derivatives
and trade settlement. He was a member of the Group Executive Management of Clearstream,
Luxembourg. Michael is working as an independent Custody domain specialist advising
financial institutions across the globe.

18. Disclaimer
•Analysis has been objectively prepared from public sources which are believed to be reliable.
•This material produced by Confido is solely for information purposes only and for the personal use of the
recipient.
•Readers should not take this as Product or Investment View by Confido.
•This document does not constitute an offer of, or an invitation by or on behalf of Confido or its affiliates or
any other company to any person, to buy or sell any security.
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