Corporate Presentation. February 2012

Transcription

1 Corporate Presentation February 2012

2 Contax: profile, clients and footprint Contax and its Core Business Markets trends and strategy Financial results

3 Contax: profile, clients and footprint

4 CONTAX AT A GLANCE Business Process Outsourcing company leader in Contact Center and Debt Collection in Brazil Operations in customer service, debt collection, telemarketing, retention, back-office, technology services and trade marketing Start-Up in 2000 and IPO in 2005 Presence in Brazil, Argentina, Colombia, Peru with commercial activity in USA and Spain 115,000* employees, with 5,000 new employees/month Net revenues of R$ 2,843.3 MM 3Q11 LTM Market Cap of R$ 1.3 billion (as of Oct. 28 th ) 220 million contacts/month 139 corporate clients Total of 52,277 workstations ( WS ) in Sept (vs. 36,789 in Sept. 2010) 4 * As of September 2011

5 MILESTONES Start-Up Core Business Expansion Service Offering Expansion CRM BPO in Latin America 2000 Start-up: migration of Telemar s contact center operations and acquisition of its first external clients 2003 R$421 MM Growth with a focus on high volume clients 2004 R$655 MM Spin off from Telemar, paving the way for Contax s IPOS 2005 R$1,045 MM First company in contact center listed on Bovespa Contax become the leading Brazilian contact center company with net revenues in excess of R$ 1 bi and with almost 50,000 employees 2009 R$2,161 MM Expansion of services specializing in BPO (Business Process Outsourcing) of CRM (Customer Relationship Management) Creation of Todo! Technology provider company: first step towards the diversification of products 2010 R$2,396 MM Acquisition of Ability, one of the largest trade marketing companies in Brazil 2011 R$3,270 MM* Geographic Expansion: Acquisition of Allus one of the largest Spanish-speaking contact center in Latin America Consolidation of the strategy of being the only corporate service company specializing in the entire relationship chain between companies and consumers, consolidating multiple contact channels Acquisition of Dedic GPTI: one of the biggest contact center companies in Brazil Net Revenue Portugal Telecom becomes shareholder 5 * Average market consensus (considering estimates from Credit Suisse, Bradesco and Banif)

6 SHAREHOLDER STRUCTURE CTX Participações S.A. LF Tel. S.A.: 34.96% Andrade Gutierrez Part.: 34.96% Portugal Telecom Brasil: 19.90% Fund. Atlântico de Seg. Soc.: 10.18% TOTAL: 100.0% 72.6% ON 34.2% ON + PN Portugal Telecom Brasil 0.0% ON 4.3% ON + PN Contax Participações Free Float 27.4% ON 61.5% ON + PN Main Shareholders (ON+PN)* CSHG 16.3% Skopos 16.2% HSBC 8.7% Eton Park 2.0% 100% 100% 100% Ability Contax Dedic GPTI Todo! 80% Allus 100% Publicly traded company 6 *Minority shareholders with more than 5% of any class of shares (PN/ON) Shareholder Structure as of 09/09/11

7 CORE BUSINESS BRAZIL - MAIN BUSINESS UNITS Contax s portfolio of products and services has evolved year after year since the startup of it operations in 2000 Services Customer Service Telemarketing Description Contax places a set of solutions at the disposal of its contracting parties to assist, to understand and to entice the final customer, whatever the type of request Current Services offered: SAC, Back Office, Technical Support/Help Desk, Ombudsman s Office, Web Call Center and Field Support An efficient solution for acquisition of new consumers and making the customer base profitable, focusing on each customer s specific characteristics and its target market. The product offers are divided between:» Active Telemarketing: pro-active contact» Receptive Telemarketing: response to the demand generated by advertising and other marketing actions.» Blended Telemarketing: receptive salespeople assuming a proactive contact posture as the number of calls decreases % Net Revenues* Q11 63% 18% 59% 20% Debt Collection Analyze end customer s payment behavior, enriching the databse, devising strategies, using sophisticated systems, such as dialers and mail filters, and the multi-channel approach (phone calls, letters, voice mail, text messages etc) seeking to increase direct contact with debtors. 13% 10% 7 * Trade marketing and other services accounted for 6% and 11% of net revenues in 2010 and 3Q11, respectively

8 CORE BUSINESS BRAZIL CONTRACTS Services Main Models Customer Service Per WS / Menu Speaking Time Per call Per client Telemarketing Per WS / Menu Target Proposal / Service Sold Debt Collection Per WS / Menu Performance 8 Fixed Variable Performance

9 CONTAX S CLIENTS 4 of Brazil s largest banks The largest credit card processing company One of the leading providers of personal loans The largest insurance company One of the largest retail companies Major telecom companies Two of the leading providers of pay TV The largest airline company The largest benefit card company Financials Services and Health Among our 139 Clients Telecom Others 9

10 Contax - Core business

11 CORE BUSINESS GROWTH Contact Center and Debt Collection E CAGR 5% Size of International Market Net Revenue US$ million CAGR 5% CAGR 6% 39,300 51,800 66,200 30,323 CAGR 14% Size of Domestic Market Net Revenue R$ million CAGR 25% CAGR 12% 10,831 20,917 6,116 2, Source: IDC, Advisia, McKinsey,Tendências and Contax

12 CURRENT CORE BUSINESS¹ PER CONTRACTING INDUSTRY DOMESTIC MARKET 2010: R$ 10.8 bi CONTAX 2010: R$ 2.6 bi Others Utilities 12% Telecom Utilities 1% 7% Others Telecom 7% 45% 37% 56% 36% Financial Financial 12 Source: IDC, Advisia,Tendências and Contax ¹ Gross Revenue

13 CURRENT CORE BUSINESS¹ PER SERVICE TYPES DOMESTIC MARKET 2010: R$ 10.8 bi CONTAX 2010: R$ 2.6 bi Telemarketing/ Retention 18% Others 7% 45% Customer Service Telemarketing/ Retention 18% Others 5% Customer Service 31% Debt Collection 13% 64% Debt Collection 13 Source: IDC, Advisia,Tendências and Contax ¹ Gross Revenue

14 PLAYERS IN BRAZIL NET REVENUE (R$ MILLION) 11% 2,161 2,398 1,775 1,602 1,807 2, MARKET SHARE Contax Atento Tivit¹ Dedic Algar Teleperformance AeC² CSU³ 19% 22% 21% 17% 18% 19% 5% 5% 5% 3% 4% 5% 2% 3% 3% 2% 3% 3% 1% 2% 2% 2% 2% 1% EBITDA MARGIN(%) ROIC (%) Contax Atento Dedic Algar Teleperf. CSU³ Contax Atento Tivit¹ Dedic Algar Teleperf. CSU³ 14 ¹Tivit: Revenue of Contact Center and other BPO business ( excludes IT services) estimated data. ROIC is based on consolidated data. ²AeC: Consolidated data. ³CSU: Only the Contact Center business for Revenue and EBITDA margin. ROIC is based on consolidated data. ROIC = NET INCOME / (SHAREHOLDER S EQUITY + NET DEBT). Source: Companies financial and operating statements / IDC. n. m. not measured.

15 INTERNATIONAL PLAYERS NET REVENUE (US$ MM¹) % 26% % 6% % -7% -4% % % -6% -17% -6% Contax Teleperformance Convergys* Atento West* TeleTech EBITDA MARGIN (%) ROIC (%) Contax Teleperf. Convergys* Atento West* TeleTech Contax Teleperf. Converg.* Atento West* TeleTech 15 ¹ 2010 average BRL * Convergys and West: Only the Contact Center business for Revenue and EBITDA margin. ROIC based on consolidated data. ROIC = NET INCOME / (SHAREHOLDER S EQUITY + NET DEBT) Source: Companies financial and operating statements.

16 Market trends and strategy

17 ADDRESSABLE MARKET (R$ billion) Contax as a global BPO company focused on customer relations CUSTOMER PERFORMANCE New Markets 15.0 Including Contax s new business pillars, the addressable market comes to R$42.3 billion CORE BUSINESS Addresable IT Services Trade Marketing Back - Office Source: IDC, Advisia, McKinsey,Tendências and Contax Voice-BPO Latam

18 SERVICE OFFERING EXPANSION Integrating the multiple contact channels between our client and its customer Contact Center and Debt Acquisition Customer Service Relationship Expansion Maintenance of the Client Base Debt Collection BPO of CRM (customer relationship management) Back-Office Expand offers of administrative services BPO and CRM Customized solutions Geographical Expansion Trade Marketing Internet Core Business in LatAm Customer services in the point of sales Service and support in social networks / Web chats and Web based customer services IT Services Complete IT solutions for the CRM market Technological enabler of the new business fronts 18

19 CONTAX S STRATEGIC PLAN CRM BPO in Latin America New products Technology services Todo! Acquisition CORE BUSINESS Customer service Debt Collection Telemarketing and retention Acquisition New geography POS Trade Marketing Ability Back-Office Solutions Acquisition (operation in preferential countries: Argentina, Colombia, Peru) in progress Acquisition 19 Contax with a complete customer relationship management solution in Latin America

20 Financial Results

21 GROWTH NET REVENUE (in R$ MM) CAGR: 36.0% 25% 1,775 2,161 2,398 1,760 2, M10 9M11 Since 2001, Contax presented a historic of growth above market average*, becoming the market leader in 2005 Source: Contax and IDC 21 *Contact Center and Debt Collection CAGR ( ): 18.2%

22 EBITDA AND NET INCOME EBITDA (R$ MM) and EBITDA Margin (%) 15.7% 13.9% % 12.4% 12.2% % Net Income (R$ MM) and Net margin (%) 9M10 9M11 4.0% % % % 4.2% % M10 9M11

23 CAPEX CAPEX 1 (R$ MM) and CAPEX/NET REVENUE (%) 9.8% 9.5% 7.4% 6.7% 6.1% 4.7% M10 9M11 Growth Revenue 86.3% 80.5% 92.3% 75.8% 79.1% 65.1% Others 13.7% 19.5% 7.7% 24.2% 20.9% 34.9% 23 ¹ Does not include the acquisition of Grupo Allus in an amount of R$253.5 million (R$11.8 million in 3Q11 and R$241.7 million in 2Q11)

24 ENDIVIDAMENTO CONSOLIDADO Dívida Consolidada (R$ MM) 218,6 387,0 898,2 545,1 Breakdown 1 (depois dos efeitos de hedge) Moeda Interest Moeda Estrangeira Outras 7% 17% TJLP 46% -165,8-70,7 Dez 09 Dez 10 Set 11 Dívida bruta Dívida Líquida Reais 93% CDI 37% Custo Efetivo da dívida no 3T11: 85% do CDI Prazo Médio de 2 anos 24 1 Em Setembro de 2011

25 CONSOLIDATED DEBT Consolidated Debt (R$ million) Total Debt Profile (After hedge) Currency Foreign 7% Others 17% Interest TJLP 46% Dec 09 Dec 10 Sep 11 Gross Debt Net Debt (Net Cash) BRL 93% CDI 37% Effective cost of debt in 3Q11: 85% of CDI Average debt mature 2 years 25

26 CONTACTS Marco Schroeder CFO and IRO +55 (21) Bernardo Guttmann Investor Relation manager +55 (21) Esta apresentação contém determinadas projeções do mercado que não são resultados financeiros reportados, nem informação histórica. Estas projeções são sujeitas a riscos e incertezas, os resultados futuros reais podem diferir materialmente daqueles projetados. Muitos destes riscos e incertezas relacionam-se aos fatores que estão além da capacidade da Contax em controlar precisamente ou estimar, como condições de mercado futuro, flutuações de moeda corrente, o comportamento de outros participantes do mercado, as ações de reguladores governamentais, a habilidade da companhia de continuar a obter o financiamento, mudanças na estrutura política e social em que a companhia opera ou em tendências ou condições econômicas, incluindo flutuações de inflação e confiança de consumidor, em uma base global, regional ou nacional. Os leitores são advertidos a não confiarem, plenamente, nestas projeções. A Contax não tem nenhuma obrigação de publicar qualquer revisão a estas projeções que reflitam eventos ou circunstâncias após esta apresentação.