NUCLEUS SOFTWARE EXPORTS LTD. Q1 FY 15 Investor Presentation

© Nuc leus Sof tware Expor ts L td . | June 2014 Queries: i r@nuc leussof tware.comwww.nucleussoftware .com

NUCLEUS SOFTWARE EXPORTS LTD.

Q1 FY 15 Investor Presentation

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Nucleus a GLOBAL LEADER in “Retai l Lending Solutions”


Disclaimer

This presentation has been prepared for informational purposes only. This Presentation

does not constitute a prospectus, Offering circular or offering memorandum and is not an

offer or initiation to buy or sell any securities, nor shall part or all of this presentation from

the basis of, or to be relied on in connection with any contract or investment decision in

relation to any securities.

This Presentation contains forward looking statements based on the currently held beliefs

of the management of the company which are expressed in good faith and in their opinion

reasonable. The forward looking statements may involve known and unknown risks

uncertainty and other factors which may cause the actual results, financial condition

performance or achievements of the Company or industry results materially from the

results, Financial Conditions, Performance, or achievements of the Company.

These forward-looking statements represent only the Company’s current intentions, beliefs

or expectations, and any forward-looking statement speaks only as of the date on which it

was made. The Company assumes no obligation to revise or update any forward-looking

statements.

FinnOneTM | Global No. 1 Lending Solution for 6 Consecutive years - BY IBS PUBLISHING, UK2


Recognized globally for CG practices – Awards from Corporate Affairs Forum, World CSR Congress, "Hall of Fame" by the Institute of Chartered Accountants of India –ICAI.

Flagship product FinnOne™ consistently ranked as one of the top lending products by IBS Publishing, UK (2005-2014).

Strong Financials with Zero Debt;A Public Listed Company on Indian Stock Exchanges since 1995.

Offices in 10 countries | 4 development centers | 1500+ professionals.

27 Years of Domain Expertise

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A leading global banking software powerhouse providing innovative and pioneering products & solutions for lending and transaction banking

FinnOneTM | Global No. 1 Lending Solution for 6 Consecutive years - BY IBS PUBLISHING, UK


10.2 mn transactions processed daily on our systems

Transforming Banking Technology

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* Source: The Banker 2013 rankings

51 countriesproduct installations

150 Banks /FI’s customers globally

4 Customers in the Global Top 10* banks

40 k Users log in daily



Partner Ecosystem

Leveraging on partner’s strength specific to areas related to Technology, Functional, Delivery & Sales, thereby augmenting and enhancing Nucleus Software’s capabilities and value proposition to the customer

CHANNEL & VAP

Client gets to deal with trusted vendor locally

Local support promising effective resolution

System Integrator

Offer specialized Partner Product that meet requirements

One stop solution for client

Technology Adoption of technology protects investment

Faster Time to Market, Lower TCO

ISV Best of breed integrated solution to client

Client gets competitive edge at lower TCO while ensuring Faster Go-to-market

Consulting & Analyst Firms

Suggest credible option to client, cuts down vendor selection cycleClient gets easy access to proven solution vetted by industry leaders


Extensive Lines of Business

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7000 Man years experience in software development

500+ Projects Executed successfully across 4 continents



New Product Launches in FY 2014

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FinnOne Neo – End to End Loan Lifecycle Mgmt

8FinnOneTM | Global No. 1 Lending Solution for 6 Consecutive years - BY IBS PUBLISHING, UK


• Loan Origination • Customer Acquisition• Prospect Capturing• Loan Application Initiation• Loan Underwriting &

Approval

Pre-Loan During Loan Delinquency• Customer Self Service • Fundamental Reports• Fundamental Documents• Service Requests• Cross Selling Mechanism

• Debt Recovery• Status Recordings• Statement Deliveries• Skip Tracing• MIS Reports

Mobility Products Summarized Snapshot

Overview of the Mobile Suite

mCAS mCollectmServe

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FinnAxia – Product Landscape

Global Payments

Global Receivables

Global Liquidity Management

e- Financial Supply Chain Management

Business Internet Banking

Mobile Transaction Banking

Charging

Accounting

Alerts

Reporting &File Format Manager

Financial Messaging

Security

Interface to Back officeApplications

CoreBankingSystem

ThomsonReuters

GlobalCSM’S

ERP

Supporting Services

Business Services

MultipleTouch-Points

InternetBanking

BankBranch

IVR

Mobile

ATM/POS

CallCenter

Customer

Integrated Multi Channel Front-end



Services Portfolio in Domain



Business Strategy

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Strategy Implementation - Value Elements

BuildIP

Alliances and

Partners

NewGeographies

Alliance Ecosyste

m

Brand and Marketing

CustomerAdvocacy

Innovationled PLM

Value Based Selling

Governance

Change Management

Communication

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Continuous Value Delivery

• Upgrades• Agile RoadmapContinuous

• Value Model (ROI)• Value Team• Vendor to Business Partner

“Quantified” Value

• Function/feature leader• Social • Overall Experience

Multi Value4D



Our Marquee Customers

Source: The Banker, The Asian Banker 2013 rankings

4 amongst the Largest 50 Banks Globally

11 amongst the Largest 150 Banks Globally

11 amongst the Largest 50 banks in Asia Pacific

5 amongst the Largest 10 Banks in India

6 amongst the Largest 20 Banks in Middle East

6 amongst the Largest 50 Banks in Africa

3 amongst the Largest 5 Banks in Singapore

3 amongst the Largest 10 Banks in Indonesia

3 amongst the Largest 10 Banks in Nigeria

4 amongst the largest 5 Banks in Philippines

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Awards & Accolades

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Recognized as a “Specialist”

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Nucleus Software is identified as a “Regional Pursuer", in the Forrester Research, Inc. report "Customer-Facing Solutions Are Driving Banking Platform Deals" by Jost Hoppermann, June 2014, covering the 2013 Global banking platforms deals.

The Ovum report, “Decision Matrix – Selecting a Common Retail Loan Origination Platform” Oct 2012, Nucleus Software has been featured as the “Market Leader” and “Specialist Vendor

Aite Group recognized Nucleus Software’s Cash@Will ( Transaction Banking ) buyer centric capabilities in the report published by Enrico Camerinelli, March 2012 on Supply Chain Finance Software Vendors



Recognition By The Analyst Community

The 2011 Global Vendor Pyramid

Source: Global Banking Platform Deals 2011, Forrester Research, Inc., April 2012



Diverse Accolades

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Gold Shield for Excellence in Financial Reporting, for the 5th consecutive year by Institute of Chartered Accountants of India(ICAI)

•Prestigious IR Global Ranking Awards (IRGR ), 2013 for the 2nd consecutive year

•Platinum award for excellence (2013) LACP

Titanium Award for Investor Relations, Corporate Governance and Environment Responsibility in the Asset Triple A Corporate Awards 2012

NASSCOM Corporate Awards for Excellence in Diversity and Inclusion 2013 For the category of Best IT services & Product Company

'Best Online Annual Report' Globally in the Technology sector & for the 'Most Improved Financial Disclosure Procedures' in India.


Awards that we are most proud of…

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Vietnam Prosperity Bank- FinnOne Suite

Model Bank Award by Celent (2013)

CIMB Malaysia- FinnOne Collections

Process Excellence Award for Collection & Debt Management at the BPA trailblazer Awards

(2013)

HDFC Bank, India- FinnOne Suite Model Bank Award by Celent (2010)

ICICI Bank, India- FinnOne Suite Model Bank Award by Celent (2009)

Model Bank Award by Celent (2014)ICICI Bank, India - FinnOne mCollect

Asian Banker Technology Implementation Award (2014)

ICICI Bank, India - FinnOne mCollect


Technology Research Analyst Quotes

Forrester Research Inc. In Forrester research, Inc. Report, "Global Banking Platform Deals : 2011" by Jost Hoppermann,

April 2012, Nucleus Software was recognized as one of the strong global banking platform vendors. Nucleus continued its position as a “Global Pursuer", with strongest functional area as lending for the year 2011.

In the Forrester Research, Inc. report, “Global Banking Platform Deals 2011: Functionality” by Jost Hoppermann, June 2012, Nucleus Software was recognized as one of two vendors with the highest number of loan servicing/management deals for the year 2011.

Gartner, Inc. Nucleus was included as a sample vendor for Packaged Retail Loan Origination Applications in

Gartner’s report “Retail Loan Origination Vendor Landscape” by Kristin Moyer, 28 December 2011.

Nucleus Software’s FinnOne was evaluated by Gartner in a recent analysis focusing on packaged commercial loan origination applications. Source: “Commercial Loan Origination Vendor Landscape” by Kristin Moyer, 27 September 2011.

Nucleus was included as a sample vendor for Lending Services Hub solution in Gartner's report “NMpe Cycle for Banking and Investment Services Core Applications and Architecture Technologies, 2011" by Kristin R. Moyer et al.

Nucleus Software was evaluated in Gartner’s report, ‘Application Migration Approaches for Retail and Commercial Loan Servicing’ by Kristin Moyer, Mar 21, 2011.



Celent Vietnam Prosperity Bank’s Loan Origination system, powered by Nucleus Software’s FinnOne

CAS, LMS and collections was recognized with Model Bank Award by Celent (March 2013).”

HDFC Bank’s Loan Origination system, powered by Nucleus Software’s FinnOne CAS, was recognized as a Model Bank component by Celent (May 2010).

Nucleus has been recognized as a leading core banking vendor by Celent in its recent report Big Leagues Table: Global Core Banking Sales Ranking.

ICICI Bank, a Nucleus Software customer, has won the prestigious Celent 2009 Model Bank Award for using Nucleus' loan processing system, FinnOne.

AiteGroup Aite Group recognized Nucleus Software’s Cash@Will as one of the Supply Chain Finance

Software (SCF) in the recent report published by Enrico Camerinelli, March 2012 on Supply Chain Finance Software Vendors.

Ovum In the Ovum report, “Decision Matrix – Selecting a Common Retail Loan Origination Platform” by

Jaroslaw Knapik, Oct 2012, Nucleus has been featured as the “Market Leader” and “Specialist Vendor” for common loan origination platforms, with commanding market position and strong technology capability.

Technology Research Analyst Quotes



EVENTS


Nucleus Software hosted a customer meet to showcase its FinnOneTM Mobility Product Suite offering enhanced value and experience to the banking and financial services industry in Philippines market on November 08, 2013

Nucleus Software successfully launched the functionally rich, market ready Integrated Transaction Banking product suite, FinnAxiaTM in Singapore on February 28, 2014.


Governance @ Nucleus – A Priority

Mr. Janki BallabhChairman, Non-Executive Director

Mr. Vishnu R DusadCEO & Managing Director

Mr. Prithvi HaldeaNon-Executive Director

Professor Trilochan SastryNon-Executive Director

Mr. N. SubramaniamNon-Executive Director

Mr. R P SinghExecutive Director


Corporate Governance philosophy at Nucleus is to comply with not only the statutory requirements, but also voluntarily formulate and adhere to a set of strong Corporate Governance practices.

The Board at Nucleus consists of six members with four members of the Board being Non-Executive Directors. All the Non-Executive Directors with their diverse knowledge and expertise provide valuable contribution in the deliberations and decisions of the Board.

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Accolades



Financials

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FY 2014 Highlights

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Particulars FY 2014Rs. Crore YoY Growth

Revenue 346.22 18%Operating Profit 66.58 45%Profit After Tax 64.34 42%

Particulars FY 2014Rs. Crore % of Revenue YoY Growth

Products 237.96 68.73 20%Projects & Services 108.26 31.27 13%

Consolidated Financials

Key Segmental Results


Our Track RecordIn Rs. Crore


103

148

221

289

328292

270 282 294

346

2137

55 6232 38 26 35 45

64

26%

30%29%

25%

15%19%

11% 13%16%

19%

-25%

-15%

-5%

5%

15%

25%

35%

0

100

200

300

400

500

600

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

In R

s. C

rore

Revenue PAT EBITDA margin

28


Annual Revenue Segment

29

Business Segment

Geography Segment

18%

28%

21%

6%

7%

14%3% 2%

Mar 13

20%

20%

23%

6%

7%

14%

6% 3%

Mar 14

India

Far East

South East Asia

Europe/UK

Americas

Middle East

Africa

Product Revenue

, 69%

Projects &

Services,31%

Mar-14

Product Revenue,

67%

Projects &

Services, 33%

Mar-13

© Nuc leus Sof tware Expor ts L td . | June 2014 Queries: i r@nuc leussof tware.comwww.nucleussoftware .comFinnOneTM | Global No. 1 Lending Solution for 6 Consecutive years - BY IBS PUBLISHING, UK

Quarter Ended Results June 30, 2014

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Jun-14 % QoQ YoY Mar-14 % Jun-13 %Revenue 79 100% -9% -8% 88 100% 86 100%Cost of stock in trade - - - - - - - - Software Dev. Exp. 51 64% -1% -6% 51 59% 54 63%Gross Profit 28 36% -22% -11% 36 41% 32 37%Selling & Mktg.Exp. 11 13% 4% 21% 10 12% 9 10%General & Admin Exp. 8 10% 28% -15% 6 7% 9 10%PBIDT 10 13% -50% -29% 20 23% 14 16%Other Income 7 9% -10% 27% 7 9% 5 6%Depreciation 3 4% 8% 83% 3 3% 2 2%PBT 14 18% -44% -22% 25 28% 18 21%Taxation 2 3% -61% -65% 6 8% 7 9%PAT 12 15% -38% 4% 19 21% 11 13%

Rs. CroreQuarter Ended

Mar-14 %346 100%

5 1%207 60%135 39%

36 10%32 9%67 19%25 7%

8 2%83 24%19 5%64 19%

FY Ended

Rs. In Crore


QoQ Revenue Segment

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Business Segment

Geography Segment

Product Revenue

, 67%

Projects &

Services,33%

Mar-14

Product Revenue

, 71%

Projects &

Services, 29%

Jun-14

17%

18%

21%9%

4%

20%

5% 6%

Q1 FY 15

IndiaFar EastSouth East AsiaEurope/UKAmericasMiddle EastAfricaRest of the World

19%

18%

24%

7%

8%

15%

4% 5%

Q4 FY 14


Connect with us

Email :[email protected]

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http://www.twitter.com/nucleussoftware

https://www.facebook.com/pages/Nucleus-Software/334160235595

http://www.linkedin.com/company/nucleus-software-exports-limited

mailto:[email protected]

NUCLEUS SOFTWARE EXPORTS LTD. Q1 FY 15 Investor Presentation

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