1

Polaris Financial Technology Limited Performance for Financial Year & Fourth

Quarter ended March 31, 2012

2

Presentation Path

1. Polaris 3.0

2. Financial Performance against 3.0 agenda

1. 4 Year View

2. Annual View

3. YoY comparison

3. Polaris 4.0

1. Market Landscape

2. Growth Engines for Polaris 4.0

3. Growth Engine 1 – FT Products

4. Growth Engine 2 – FT Services

4. Key Take-away

3

Polaris 3.0 Agenda

1. Repeatable, Predictable, Profitable Growth

2. Enhancing the Business Model - from One Value Pyramid to Two Value Pyramids

3. Account Expansion

4. Geography Expansion

4

Financial Performance

Against Polaris 3.0 Agenda

5

1,098

1,376 1,3531,586

2,052

136 189 214 272333

0

250

500

750

1,000

1,250

1,500

1,750

2,000

2,250

FY 07 - 08 FY 08 - 09 FY 09 - 10 FY 10 -11 FY 11 - 12

Revenue (INR Cr) PBDT

Doubling Revenues and PBDT in 4 years…

6

4 year view

• Polaris FT Services revenue crosses 1,500 Cr. (1,534 Cr.)

• Polaris FT Sourcing records 77% growth between FY08 to FY12

• Balanced revenue distribution across geographies

• Sustained Expansion in Existing Accounts

FY 12

• Services grew 25%

• A leading financial institution in the Middle East picked Polaris’ consultancyservices to build Testing Practice CoE

• A leading insurance company in Asia chooses Polaris' front end system forthe APAC region.

• A Ireland Client has signed a deal with Polaris to streamline itstransformation program.

• The leading Stock Exchange in the United States signed Polaris to deploy itsFT services

FT Sourcing business

7

4 year view

• Intellect contribution crosses Rs. 500 Cr (Rs.517 Cr)

• Intellect contributes to 25% of Polaris Revenues

• Over 200 Implementations

• Intellect entered Gartner’s Magic Quadrant, as Leader

FY 12

• Intellect Revenue Growth of 43% in FY12

• 47 Intellect Wins in FY 12

• Central Bank core replacement @ RBI

• 15 year deal with large Norwegian Bank

• Largest Bangladesh bank signs Intellect – Sonali Bank

• Multi country roll out deal with large Asia Pacific Bank

FT Intellect business

8

Snapshot FY 12(FY12 vs FY11) INR

• Total Revenue Growth 29%INR 2,052 cr from Rs. 1,586 cr

• Operating Profit (EBITDA) Growth 39%INR 397 cr from Rs. 286 cr

• Net Profit Growth 9% *INR 221 cr from INR 202 cr

• EPS Growth 9% *INR 22.22 from INR 20.43

* Post STPI Benefits

9

Snapshot – Q4(Q4 12 vs Q4 11) INR

• Total Revenue Growth 19%INR 520.28 cr from INR 437.53 cr

• Operating Profit (EBITDA) Growth 27%INR 90.67 cr from INR 71.25 cr

• PAT Growth 6% *INR 61.14 cr from INR 57.58 cr

* Post STPI Benefits

10

Composition of Q4FY12 Values – in INR

Note: The results of Polaris FT Consolidated is unaudited and factors the proposed demerger of Optimus which is under the process of approvals from the courts.

11

Client Concentration Q4 FY11 Q4 FY12

Top 10 54.64% 52.77%

Top 5 40.61% 38.97%

by Revenues Q4 FY11 Q4 FY12

Onsite 42.29% 42.17%

Offshore 57.71% 57.83%

Split of business by delivery model

by Effort Q4 FY11 Q4 FY12

Onsite 22.77% 21.74%

Offshore 77.23% 78.26%

Q4 FY12 Polaris FT – FT Services

Geography Split Q4 FY11 Q4 FY12

Americas 43.93% 47.77%

Europe 24.07% 23.69%

Rest of the World 32.00% 28.54%

12

Intellect (%) of Total Revenue 23.39% 22.25%

Q4 FY11 Q4 FY12

Intellect Wins 16 11

Q4 FY12 Polaris FT – Intellect Product

Geography Split Q4 FY12

Americas 18.00%

Europe 30.00%

Rest of the World 52.00%

13

Q4 FY12 Polaris FT MIS

Cash & Cash Equivalents (INR Cr)

514 390

Capacity Utilization (%) 81% 81%

Q4 FY11 Q4 FY12

USD – INR Rate (average) 45.26 50.26

USD – INR Rate (closing) 44.60 50.88

Attrition (%) 18.00% 15.60%

DSO Days 45 63

Revenue Guidance:

Polaris is expect to grow at 17% - 20% for the fiscal year endingMarch 31, 2013; Revenues are expected to grow in the range of Rs2400 – Rs 2460 crore.

14

Arun Jain, Founder, Chairman & CEO, Polaris Financial Technology Limited said, “It issatisfying to see that our Polaris 3.0 strategy of Repeatable, Predictable and Profitablegrowth has paid off. In the last four years, revenue in both product business as well asservices doubled and PBDT grew from Rs 135 crore to Rs 330 crore. As we embark onthe Polaris 4.0 phase of our growth journey with the two well-defined business valuepyramids - products and services- Polaris is uniquely positioned to double its revenue inthe next 4 years.”

Management View

Govind Singhal, President & COO, Polaris Financial Technology Limited said, “As weunderstand the momentum of outsourcing is slowing down worldwide as predicted byNasscom, value differentiation is key to winning business from existing players. We areworking on more than 6 RFPs that came for renewal.”

Ramaswami SR, CFO, Polaris Financial Technology Limited said, “In our portfolio of 22products, 2 products crossed Rs. 100 crore revenue each and 3 products crossed Rs. 50crore. At this point of time we will be investing additional Rs. 50 – 60 crores in sales andmarketing to get full benefit of the traction in the marketplace in the year.”

15

Product Growth Biz Model

Phenomenon of Product Business Saturation

Our strategy : Multi-Product streams

Phase 1 – GTM for 5 Products

CBC

Wealth

Lending

Cash & Liquidity

Portals

Intellect Growth Journey

Above 100 Cr

GL CRX

PRODUCT Presence

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Americas Europe Apac Imea

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PRODUCT Presence

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7CBX

Americas Europe Apac Imea

REGION

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MBER O

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5HUB

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MBER O

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REGION

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0 0.5 1 1.5 2 2.5 3 3.5

SecurityN

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Americas Europe Apac Imea

PRODUCT Presence

22

Launching Polaris 4.0

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Our World of Opportunities

World 1 This comprises financial institutions in highly developed countries like US,

Western Europe that adopted technology to optimize financial operations more than 30 to 40 years ago. This ‘world’ spends close to 5% of the revenues on technology and its upgrade

World 2 This world is made up of emerging countries where financial institutions

embarked on their technology journey in the ‘90’s and accelerated their technology adoption in the last decade. This segment invests close to 2% on technology, and their requirements are for new products that enable them to acquire new customers and increase their speed and scale of operations.

World 3 Includes the small banks both in the developed markets and the emerging

markets. These are the banks that have superior relationships and a superior understanding of the local markets but are unable to compete with the larger banks.

23

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Polaris Offerings World 1

Business Outcome outsourcing

Operations Productivity improvement using CBX and HUBs technology.

IPAD’s technology for Branch, Relationship Managers and Executive Dashboards.

Core Banking Replacements.

Promo for Insurance

World 2

Global Transaction Banking

Treasury and Capital Markets

SME and Agri Lending products

HNI and Private Banking

Insurance : Underwriter Work station, Claims, FNOL

Government – Citizen exchange

Central Bank

World 3

Universal banking

Lending & Credit Card

Mobile Banking

Capital Market infrastructure

Central Bank

Global

Social Media

Secure Infrastructure

25

2-Value Pyramids

Stage-1

Stage-2

Stage-3

Stage-4

Stage-5

Application Managed

Services

Testing

RIM

Data

Portal

Technology

Value Pyramid 1

Product

Value Pyramid 2

Level-1

Customer Value Creation

Level-2

Level-3

Level-4

Level-5

FT Research

Mature

26

In Summary

Value Pyramid 1 – FT Services

Chosen Strategic Accounts

Customer-focused Governance Structure

Level 5 Value Creation – Value added at Infrastructure, technology, Operations, Business Solution & Transformation levels

Value Pyramid 2 – FT Intellect

Every year we add 2-4 Products to our GTM

Our Focus : Reduce Cycle time from launch to 100 Cr from 7 years to 5 years

Silver Bullet – Global Roll Out

Customer-Aligned Research

27

Unique FT Position

1. Among the top 10 companies f in the Global FT 100 that

achieved 100% growth in the last 4 years

2. Polaris’ Product Biz, FT Intellect, crossed the significant

milestone of Rs 500 Cr in just 7 years

3. Two Value Pyramids to maximize Customer Value

28

Analysts Speak…..

29

Capital Markets Application Outsourcing - Everest Group:

Polaris/Intellect features as "Major Contender" in Everest Group's PEAK Matrix for

large Capital markets AO

Source: “Everest Group Capital Markets Application Outsourcing”, Feb 2012

30

Celent: Global Universal Banking

Polaris/Intellect wins XCelent Award for Customer base for ASIA-PACIFIC region ---- Polaris /Intellect ranked 4th in

the Celent Big League Scores Table for Global Customer Wins

In the Big League Sales League TablePolaris/Intellect has been ranked 4thand is also stated to have the highestgrowth in the Core Banking category.The RBI win has received marqueebranding and has helped Polaris scorevaluably in the ranking index.

Polaris, by winning the deals ofRBI, Vietnam Bank of Social Policies &Abu Dhabi Commercial Bank hasproved its success by outperformingother vendors in APAC region.

Polaris with its wide breadth ofofferings was stated to have a modularportfolio of solutions. CIF, retail lendingand deposits were the most common.

Source: “Celent Big Leagues Table 2012”, Stephen Greer and Bart Narter, March 2012

31Source: “IBS Sales League Table 2012 (results Jan-Dec 2011)”, Feb 2012

Polaris - Intellect GUB Ranks 4th in IBS Global Ranking in Universal Banking Deals Category of IBS for 2011 ---

Intellect Lending (G2) ranks 6th and Intellect Wealth (G4) ranks 7th in the Lending & Private Banking categories

IBS: Global Universal Banking

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Thank You

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