TCI Express Limited — Interim / Quarterly Report 2021

Oct 22, 2021

LEADER IN EXPRESS

October 22, 2021

To,

Listing Department BSE Limited	Listing Department National Stock Exchange of India Ltd.,
Phiroze Jeejeebhoy Towers	Exchange Plaza, C-l, Block G,
Dalai Street	Bandra Kurla Complex,
Mumbai-400001	Bandra (E) Mumbai - 400 051
Scrip Code: 540212	_ Scrip Symbol: TCIEXP

Sub: Intimation under Regulation 30 of the SEB1 (Listing Obligations and Disclosures Requirements) Regulations. 2015

Dear Sir/Madam,

In compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosures Requirements) Regulations, 2015, please find attached Earning/Investment Presentation on Un-Audited Financial Results for Q2/HY 2021-2022.

This Presentation is also available on the website ofthe Company at www.tciexpress.in.

This is for your information and necessary records please.

Thanking you,

Yours faithfully,. RenTCI Egress Ltd.

Priyanka Company Secretary & Compliance Officer Enel: As above

TCI Expres Website: www.ti &

l

i -i

Corporate Office: TCI House, Plot No. 69, Sector 32, Institutional Area, Gurugram -12 Tel.: +91-124-2384090-94 • Email: info@tciexpress.in • CIN: L62200TG2008P Registered Office: Flat Nos. 306 & 307,1-8-273, Third Floor, Ashoka Bhoopal C S. P. Road, Secunderabad - ⁵⁰⁰⁰⁰³ • Tel.: +91 ^{40 2} i i

Q2 FY2022 Earnings Presentation

Q2 FY2022 Highlights

Delivered strong quarterly performance with Revenue increase of 28.4% on Y-o-Y and 22.7% on sequential basis EBITDA of Rs. 48 Cr. and EBITDA margins improved to 17.3%, with the normalization of business activities post second wave of Covid-19

Key Highlights

• The Company posted a strong topline performance as businesses continued to recover which was observed in both demand and supply across key industries and the SMEs
• In line with the economic recovery, TCI Express delivered a strong EBITDA of Rs. 48 crores with margins improving to 17.3% as compared to 15.9% in Q2 FY21 and surpassing the full year margins of FY2021
• Delivered strong quarterly profit of 34 crores with margins of 12.3% as compared to 11.0% in Q2 FY21
• TCI Express continues to maintain strong CFO to EBITDA ratio of 61.1% and generated Rs. 50 Crores of cash flow from operations during the first six months

H1 FY2022 Highlights

Strong performance with Revenue growth of 64.2% on Y-o-Y, despite first quarter being impacted due to second wave of Covid-19 Announced interim dividend of Rs. 3 per share, and payout of 150% on the face value for H1 FY2022

Management Perspective

Commenting on the results, Mr. Chander Agarwal, Managing Director, said:

Q2 FY2022 started on a strong note with robust pick-up in the economic and business activities after a subdue first quarter due to the impact of second wave of Covid-19. Strong recovery in demand and supply was visible with the onset of festive season. The Index for Industrial Production registered a month-on-month growth and similarly the E-way bill generation also registered a growth of 41% Q-o-Q and 19% Y-o-Y. Our growth for the quarter was propelled by strong recovery in business activities of our key customer industries and SME's.

During the quarter, the Company delivered Revenue from Operations of Rs. 273 crore, registering a growth of of 28.4% on Y-o-Y and 22.7% on sequential basis. EBITDA for the quarter stood at Rs. 48 crore posting a sequential growth of 41.2% and margins improving to 17.3% compared to

15.0% in Q1 FY22 and 15.9% Q2 FY21. Improvement in margins was driven by higher capacity utilization and operational efficiencies. I am particularly pleased that we have surpassed the EBITDA margins of 16.7% delivered in the full year FY21. Our Profit after Tax stood at 34 crore with margin of 12.3% compared to margin of 11.0% in Q2 FY21. In the light of strong performance during the first half of the year, the Board of Directors has recommended a interim dividend of Rs 3 per share, with a payout of 150% on the face value.

Our Pune sorting centre is already fully operational since June 2021 and is helping us in improving the turnaround time in the region. Overall, in last six months we have incurred a capex of Rs. 46 crores primarily towards construction and automation at these centres. During the quarter, we have added 15 new branches mainly in the South and West region to capture market opportunities presented by growing demand from the SME customers. We continue to maintain our strong capital structure with a robust balance sheet, and this has been reflected in our cash and investments position which has increased to Rs. 100 crore at the end of September 2021.

Our senior management team remain committed to enhance TCI Express value proposition by expanding its service offerings while maintaining asset light model. I am delighted to announce that we have launched Rail Express service offering which provides high value services at lower cost compared to air transportation and so far we have received positive response from our customers. Under our recently launched Pharma Cold Chain service, we have delivered 105 lakh vaccines till September 2021 and C2C business is gaining momentum and has helped us increase customer base. Though these new services are at nascent stage but we remain confident that the contribution is expected to improve in the medium term.

Looking ahead, the recently launched 'PM Gati Shakti National Master Plan' by our Prime Minister for multimodal infrastructure connectivity to economic zones which is designed to include projects under the existing Bharatmala, Sagarmala, Udaan, expansion of railway network, inland waterways is expected to aid in seamless movement of goods and improve the ease of doing business. This new initiative coupled with strong pick-up in economic activities, on going festive season, increasing demand from the rural areas due to longer than expected monsoons, increasing vaccination and declining covid cases, will drive demand in the upcoming quarters. We remain confident in our ability and our superior product offering to capitalize on the growing opportunities and deliver sustainable growth.

Fastest Express Delivery Company in India

TCI Express has successfully completed 5 years post the demerger and have become industry leading and fastest delivery company in India

Specialized in offering time definite solutions with focus on Tier II and III cities

ERP enabled operations, Barcoding on packaging, GPS enabled vehicles and CCTV surveillance All India

Serves 95% of B2B customers & 5% of B2C Customers

The only express cargo company in India with own set up across nation. Offers Sunday, Holiday and late pickup services

Ranked 448 in Top 500 Companies based on Market Sorting Centres 28 Cap, as on March 31, 2021

Ranked 448 in Top 500 Companies based on Market Cap, as on March 31, 2021

Geographical Footprint

Fastest Delivery Company in India

Financial Performance

		Q2	Y-o-Y	Q1	Q-o-Q	Six Months		Y-o-Y
Particulars (in Cr)	FY2022	FY2021	Growth (%)	FY2022	Growth (%)	FY2022	FY2021	Growth (%)
Income from Operations	273.4	212.9	28.4%	222.9	22.7%	496.4	301.7	64.5%
Other Income	2.4	1.5		1.6		4.0	2.9
Total Income	275.8	214.4	28.6%	224.6	22.8%	500.4	304.6	64.3%
EBITDA	47.6	34.0	40.0%	33.7	41.2%	81.3	37.5	116.8%
Margin (%)	17.3%	15.9%		15.0%		16.3%	12.3%
EBIT	45.3	31.9	42.1%	31.5	43.8%	76.7	33.2	130.9%
Margin (%)	16.4%	14.9%		14.0%		15.3%	10.9%
PBT	45.0	31.5	42.5%	31.4	43.3%	76.3	32.8	132.7%
Margin (%)	16.3%	14.7%		14.0%		15.3%	10.8%
PAT	34.0	23.5	44.9%	23.8	43.3%	57.8	24.4	136.7%
Margin (%)	12.3%	11.0%		10.6%		11.6%	8.0%
EPS	8.9	6.1	44.8%	6.2	43.0%	15.0	6.4	136.0%

Notes:

1. EBITDA and EBIT includes other income

2. All Margins calculated on Total Income

Q2 FY2022 Performance Discussion

• Total Income for the quarter stood at Rs. 276 Crores, registering an increase of 28.4% y-o-y and an increase of 22.7% on q-o-q basis due to significant recovery in economic activities post the impact of second wave and high growth in demand from SME customers
• EBITDA margins improved significantly over the past quarter due to:
• o Higher capacity utilization of 85.5% in Q2 FY22 as compared to 83.5% in Q1 FY22 due to improvement in demand and supply
• o Better than expected monsoon to drive demand from rural areas in the coming months
• Capex of Rs. 46 Crores incurred during H1 FY2022 primarily on development and automation of new sorting centre at Gurgaon
• 15 new branches were opened during Q2 FY2022 in the metro cities primarily in the South and West region to deepen TCI Express presence in key business geographies

Leverage Profile and Working Capital Cycle

Credit rating of A1+ Short Term (ICRA) and AA- Long Term (CRISIL)

Particulars (in Cr)	Sep-20	Mar-21	Sep-21
Long Term Debt	1.4	1.0	0.5
Short Term Debt	0.0	0.9	0.9
Total Debt	1.4	2.0	1.5
Less: Cash & Cash Equivalents	87.5	85.9	83.0
Net Debt	(86.0)	(84.0)	(81.6)
Total Equity	365.0	433.9	486.6
Net Debt/Equity	(0.24x)	(0.19x)	(0.17x)

Efficient Working Capital Management resulting in decline in Receivable and Payable days

Receivables Days

Note: Receivable Days has been calculated on Revenue from Operations inclusive of GST for the respective quarters

Quarter Performance Trends

Significant improvement in performance has resulted in improving and maintaining strong margin profile

Notes:

1. EBITDA includes other income

2. All Margins are calculated on Total Income

Total Income EBITDA and Margins

* All numbers in Crores unless specified

Cash Flow from Operations vs Free Cash Flows

Consistent cash flow generation over the years with focused approach on generating free cash flows

• Cash flow from operations stood at Rs. 50 Cr for H1 FY2022
• Capex of Rs. 46 Cr incurred during the first six months primarily towards the development and automation of company owned sorting centre at Gurgaon and Pune
• Efficient working capital management, cash flow conversion cycle, robust capital structure and strong collections from customers and credit support from suppliers

Balance Sheet

TCIEXPRESS
——————————————————————————————————————

Particulars (Rs Crores)	H1 FY2022	FY2021
Assets
Non -Current Assets
Property, Plant and Equipment	235.6	224.4
Right of Use Assets	2.1	2.2
Capital Work in Progress	57.1	27.7
Intangible Assets	2.1	1.8
Financial Assets
Investments	3.6	1.0
Other Financial Assets	13.7	13.7
Total Non Current Assets	314.0	270.8
Current Assets
Financial Assets
Trade receivables Cash & cash equivalents	172.1 14.2	169.5 9.2
Other Bank Balances	25.3	18.1
Investments	43.5	58.7
Loan and advances	9.7	10.0
Other Financial Assets	1.0	1.0
Current Tax Assets ( Net)	3.9	2.0
Other current assets	6.2	4.5
Total Current Assets	275.9	272.9
TOTAL ASSETS	589.9	543.7

Particulars (Rs Crores)	H1 FY2022	FY2021
Equity and Liabilities
EQUITY
Equity Share Capital	7.7	7.7
Other Equity	478.9	426.2
Total Equity	486.6	433.9
LIABILITIES
Non -Current liabilities
Financial liabilities
Lease liabilities	0.1	0.1
Long Term Borrowings	0.5	1.0
Deferred Tax liabilities (Net)	5.5	5.4
Total Non -Current liabilities	6.1	6.5
Current liabilities
Financial -Liabilities
Short Term Borrowings	0.9	0.9
Trade Payables
MSME	1.6	1.6
Others	70.8	73.6
Others Financial liabilities	10.7	9.9
Provisions	5.2	4.3
Other Current liabilities	8.0	13.9
Total Current liabilities	97.2	103.3
Total Equity And Liabilities	589.9	543.7

Strategy and Outlook

Revenue Growth

Impacted in line with overall economic slowdown however it is expected to growth with:

• ❑ Highly diversified client base and well spread across industry verticals
• ❑ Continuous expansion in Metro and Tier I Cities through new branch offices
• ❑ Contribution of new and value added service offerings
• ❑ Government Initiatives to provide seamless connectivity to remote rural areas

Capital Expenditure

• Planned CapEx of Rs. 400 crores in 5 years
• ❑ Investment in sorting centres
• ❑ Automation and enhancing technological capabilities
• ❑ Out of which ~Rs. 250 crores have been spent in last 4.5 years

TCI Express Offering

• ❑ Added new value added services such as Pharma Cold Chain and
• C2C express
• ❑ Launch and expand Rail service offerings
• ❑ Continuous focus on volume growth through B2B client acquisition

Capex Plan

Company continue to invest in automation at Gurgaon sorting centre and it should be operational by Q3 FY2022 Pune sorting centre is operational, and TCI Express remains committed to improve turnaround time

Gurgaon Sorting Centre Pune Sorting Centre

$\mathbf{r}$

Location:	Gurgaon
Area:	2 lakh sq.ft
Solar Panel:	800 KW
Operational:	Expected to complete construction with full automation by Q3 FY2022

Location:	Pune
Area:	1.5 lakh sq.ft
Solar Panel:	600 KW
Operational:	Operational since June 2021 and is trying to improve turnaround time

www.tciexpress.in ¹⁵

Expanding Service Offering: Rail Express

TCI Express to launch successfully tested surface express asset light model into rail transportation called Rail Express Rail Express service is a unique service offering aimed at providing high value service at a lower cost

Asset Light Business Model	✓ ✓	TCI Express to buy space on the trains to ensure higher capacity utilization Independent team to manage this business offering

	✓	Faster transit time at a lower cost substituting Air Cargo
Advantages	✓	Optimize economies of scale at branches and routes
	✓	Use of strong railway network

✓ Indian railways aims to increase its freight traffic from 1.1

✓ Lower carbon footprint and sustainable mode of transport

billion tons in 2017 to 3.3 billion tons in 2030

Centralized and integrated logistics system

Government Backed Infrastructure Development

Shorter Turnaround Time
Uninterrupted Transportation

Synergistic with Existing	Higher Margin
Express Business	Business
Bridging the Gap	Backed by
between Air and Surface	Government

www.tciexpress.in ¹⁶ Backed by Government

Expanding Service Offering: Pharma Cold Chain Express

TCI Express successfully launched Pharma Cold Chain Express Service, an asset light model and use existing hub and spoke network to meet the growing demand for Cold Chain logistics

TCI Express Pharma Cold Chain Transportation

• ✓ TCI Express continues to implement asset light model in the Pharma Cold Chain logistics segment
• ✓ Dispatching Pharma shipments either Frozen (Blood Plasma) or Vaccines under the prescribed temperature as norms ensuring there are no fluctuation in the temperature
• ✓ Dispatching frozen products as per FSSAI norms ensuring there are no fluctuation in the temperature
• ✓ Monitoring of temperature maintained through Data Loggers and real time monitoring though tracer
• ✓ Tracking of vehicles through GPS and real time data been provided to the customer
• ✓ Proper loading and unloading of material ensuring there are no temperature fluctuation

Standard Operating Procedures followed by TCI Express

Expanding Service Offering: C2C Express

TCI Express launched India's first customer to customer C2C Express service, implementing asset light model

www.tciexpress.in ¹⁸

Strategic Priorities for Next 5 Years

New value-added services is expected to contribute 25% to top-line:

• Pharma Cold Chain Express
• C2C Express
• Rail Express
• Air Express

Maintain high return ratios and consistent dividend pay-out

Create Wealth for all Stakeholders

More than Double the Revenue

• Increase customer base
• Double branch offices
• Owned sorting centre in major metros

Full focus on technological advancement and automation to further enhance operational efficiency

5 Year Key Takeaways

Inherent Business Strength	✓ Fastest B2B Express Delivery Company in India ✓ Asset light model allows Company to maintain higher utilization and drive strong cash flows ✓ No franchise model. All branches are company owned which ensures adoption of best standard operating procedures ✓ Diversified business model catering to all the major manufacturing industries
Expanding Business	✓ Locations servicing from 32,000 locations in FY 2017 to 40,000 locations in FY 2021 ✓ Branch offices increased from 500 in FY 2017 to 800+ branches in FY 2021 ✓ Sorting centers increased from 26 in FY 2017 to 28 in FY 2021 ✓ Customers count increased from 1.6 Lakh in FY 2017 to 2.0 Lakh in FY 2021
Generating Returns for all Stakeholders	✓ 5 Year track record of consistently delivering enhanced margins and profitability. EBITDA growing at a CAGR of 22.4% and Net Profit at a CAGR of 28.0% ✓ Consistently paying dividend for last 5 years and generating high return on capital employed ✓ Debt free company, maintaining strong balance sheet and flexible capital structure

FY2021 Highlights

Strong finish to a challenging year, delivered EBITDA of Rs. 142 Crores and Net Profit of Rs. 101 Crores with improved margins Announced quarterly dividend of Rs. 2 per share, taking full year dividend to Rs. 4 per share, payout of 200% on face value for the full year

Annual Performance Trends

5 Year track record of consistently delivering enhanced margins and profitability

PBT and Margins PAT and Margins

Notes:

1. EBITDA includes other income

2. All Margins are calculated on Total Income

Total Income from Operations EBITDA and Margins

Key Ratios

Maintaining the track record of consistently generating high returns with focus on creating wealth for all stakeholders

Dividend per Share (Rs) & Payout (%)

Return on Equity (%)

Notes:

1. Recommended dividend of Rs. 3 per share in Q2 FY22, Payout calculated on the EPS of H1 FY2022

2. ROE % shows a declining trend because of increase in Equity base as a result of higher profitability every year

Return on Capital Employed (%)

Cash Conversion Ratio (%)

TCI Express – Leading Margins and Profitability in the Industry

16.7% 11.8% 10.1% 6.5% 4.6% 2.8% TCI Express Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 EBITDA Margins %

EBIT Margins %

PAT Margins %

Notes:

• 1. All financials are based on FY2021 reported numbers
• 1. EBITDA and EBIT including Other Income
• 1. Return on Capital Employed is calculated as EBIT/Average Capital Employed. Capital Employed = Total Equity + Total Debt
• 1. Return on Equity is calculated as Net Profit/Average Total Equity

ROE %

Key Highlights:

• TCI Express continues to outperform peer group in terms of EBITDA Margins, Profitability and Return Ratios
• Unique Asset Light Model has allowed TCI Express to maintain higher capacity utilization and deliver strong EBITDA margins even in the challenging times
• Revenue mix driven equally by SMEs and corporates

Express Industry – An Outlook

Indian Logistics Industry

Recent Logistics Sector Transformation Initiatives

Infrastructure Development	Formalization of Sector	Operational Efficiency
• Launch of PM Gati Shakti Master Plan to improve seamless movement of goods • New PLI scheme to drive manufacturing sector in India • Increase in axle load aimed to increase cargo volume • Improved Rail and Port Connectivity	• Goods and Service Tax – pre filled numbers • Implementation of E-way Bill and reducing E-way billing time • Invoice Reference Number through e-invoicing	• Automation of Sorting Centres • GPS Enabled Tracking and Improved Customer Support Services • Route optimization using data analytics
	Key areas for creating a sustainable growth in logistics sector
Logistics Infrastructure	Regulatory Reforms	Technological Integration

Management Team

Mr. D P Agarwal, Chairman & Director

Mr. D P Agarwal is the Chairman and Director of TCI. Mr. Agarwal has been associated with the transport industry for more than 51 years. He has been contributing in developing the unorganized logistics sector into an organized one.

Mr. Agarwal is also associated with various Chambers of Commerce including CII, FICCI & PHDCCI. He also takes active participation in many social and philanthropic activities for the common good.

Mr. Chander Agarwal, Managing Director

Mr. Chander Agarwal is a Bachelor of Science in Business Administration from 1996 to 2001 from Bryant College, Smithfield, RI, He joined TCI as Summer Intern and worked in various departments including operations, logistics and marketing etc. thereby getting fair amount of exposure to the key functions in the Company.

His hands-on experience with Transfreight USA, a 3PL specializing in 'lean logistics' for Toyota Motor vehicles, USA, has given him unmatched knowledge of the Supply Chain Management. Currently he is spearheading Group TCI's international expansion across Asia, Latin America & Africa.

Mr. Pabitra Panda, Chief Operating Officer

Mr. Pabitra Mohan Panda, is a Chief Operating Officer (COO) of the Company effective from August 7, 2019. He is Post Graduate in Computer Applications and Statistics. He has joined TCI Group in the year 1998 and has a distinguished service record of 23 Years in the Company.

He worked in various functions and departments and risen to the designation of Regional Express Manager. Prior to such elevation as COO, he was appointed Regional Manager-Delhi Region on May 2, 2016.

Management Team

Mr. Mukti Lal, Chief Financial Officer

Mr. Mukti Lal is the Chief Financial Officer at TCIEXPRESS. He is a qualified Chartered Accountant and has been associated with Transport Corporation of India Limited (the Demerged Company) in various capacities for last 17 years. He was working as CFO-XPS, Division of Transport Corporation of India Limited. He is a finance professional with over a decade of experience spanning the entire gamut of finance and had played major role in overall strategy and corporate governance.

Mr. Girish Dua, Chief Marketing Officer

Mr. Girish Dua is a Management graduate and a Pharmacist, with over 20 years of experience. He has a strong background in Sales and Marketing and he drives himself to achieve and produce concrete results. He enjoys reading, and the knowledge and perspective contributed to strengthen his marketing skills. He always thrives on "Out of the Box" thinking for most complex situations. Ethical, Self-motivated, Conscientious Leader is what defines him the best

Sustainability a Core Pillar of Strategy

Committed to manage environmental and social footprint in our operations and build long term sustainable business

Environment

• Focused on implementing robust environmental practices across operations
• Working to reduce emission level by replacement of old vehicles with new standard
• Increasing use of advance technologies such as online tracking, e-docketing and e-invoicing
• Using solar renewable source of energy

• TCI Foundation, the social arm of TCI Express, is committed to serve the nation with a motto of

Social

• equality and a better life for all citizens
• Diversity and inclusion are the core pillars of our strategy. 12.35% of the workforce are female
• Fair Wage, Benefits and Contracts for all employees

Certified as a 'Great Place To Work' for the second year in a row, for the period March 2021

CSR and Awards

• During FY2021 TCI Foundation' and TCI Charities has spent Rs. 2.05 Crores, towards its commitment to the development of society
• Logistics Excellence Tech innovator of The Year at India Logistics Summit & Awards 2019

Governance

• Well-defined corporate governance policies and practices
• Qualified board and possess an appropriate balance of skills, experience, independence and knowledge
• 50% of the board is independent

Committed towards aligning its operational activities with the environment and sustainable practices

• Environment Strategy: Committed to manage environmental and social footprint in our operations. We are focused on enhancing operational efficiencies through automation and digitization. The Company continuously strive to implement:
• o Energy efficient equipment
• o Non-conventional energy sources and investments in renewable energy
• o Alternate nonpolluting fuel
• o Manage carbon footprint
• o Engage with the community to adopt environment-friendly practices
• Green Initiatives: Working to reduce emission level by replacement of old vehicles with new standard such as BS-IV, BS-VI, thereby also reducing the associate fuel cost by updating our fleet guidelines
• o Encouraging use of compressed natural gas (CNG) in our operations broadly at national capital region
• o Ensures that all its vehicles go through periodic PUC and maintenance checks in aid to maintain minimum pollution levels and that all vehicles are in order of the prescribed norms
• o Gradually expanding its feet to alternative and efficient mode of transportation. It will also save carbon footprint and safeguard import dependency of oil

Committed towards aligning its operational activities with the environment and sustainable practices

• Energy Efficiencies: Engaged in providing Integrated Logistics Services and it is committed to investing in the latest energy-efficient technologies.
• o Implemented various energy-saving devices and systems, which help in conserving energy.
• o Energy efficiencies through LED lighting, Installation of meters to track energy use. Verify the energy management system switches into setback mode during unoccupied hours
• Renewable Energy: Considering to install solar panels at its warehouses, to consume natural sources of energy
• Water Saving Initiatives: Installed rain water harvesting at its sorting centers and maintained rain harvesting pits and greenery
• Waste Water Safe Discharge: Installed Sewage Treatment Plant (STP) at various hubs and offices to treat the waste water. It has also contributed a lot in water conservation as the treated water is being utilized for secondary purposes, such as washing, gardening and toilet flushing etc
• Reduction in Plastic Use: In order to minimize plastic waste, we eliminated single-use plastic water bottles from all our offices, leading to the removal of a substantial amount of plastic, which would have ended up in landfills
• Eliminating Landfill Waste: Paper waste and e-waste, specifically related to IT, generated from our operations is disposed of in a structured manner only through authorised dealers and recyclers. This will also reduce waste to landfill

TCI Foundation is committed to serve the nation with a motto of equality and better life for all citizens

• Social Strategy: Focused on the needs and aspirations of its' people and of the larger communities, taking sustainable development initiatives in the areas of health, education, sports and community development, among others in line with its vision 'To make a qualitative difference to our society and environment
• Supplier Responsibility Initiatives:
• o Ensure that all suppliers understand and align with our commitment towards social sustainability and human policies
• o Through a work contract or a procurement order, we strive to ensure that our suppliers do not employ child labour in their operations and are environmentally compliant
• o Engages with vendors, suppliers and other business associates to incorporate environment friendly processes, encourage to adopt green initiatives and comply with environment and safety measures

• Customer Responsibility Initiatives:

• o Adopting and repurposing cutting-edge technologies such as online tracking, e-docketing and e-invoicing, along with new, more ecofriendly energy solutions, to bring long-term value for customers.
• o Dedicated Customer Care Center ensures that all customer queries are responded promptly and our online tracking allows them to know the location of their package at any given time.
• o Adopted Artificial Intelligence (AI) powered chatbots to redress customer grievances and also intend to introduce robotic process automation to simplify customer inquiries at larger level

TCI Foundation is committed to serve the nation with a motto of equality and better life for all citizens

• Service Quality: Quality control inspections at various stages of service help to ensure that the requirements of customers are being met and to support on-time delivery
• o E-Invoicing: The Company has successfully implemented the new e-Invoice system by integrating its ERP System with GST Portal for implementing error-free invoicing system.
• o Implemented the QR code in all receivable documents for providing Customers different payment options. This has significantly reduced the Cash handling time
• Diversity and Inclusion: The Company has built over a span of period, a diversified workforce with employees of different ethnicities, sexual orientations, socioeconomic status, geography ages, genders, religions
• o 12.35% of the workforce are female
• o Permanent employees with disability stands at 0.07%
• Fair Wage, Benefits and Contracts:
• o The company has innovative employee retention strategy such as health insurance policy and regular recognition programs, well-structured incentive scheme and remuneration policy which complies with applicable labour laws
• o The Company has also registered itself under Benevolent Fund Trust to provide financial assistance to beneficiary of the employee/member in case of unfortunate natural or accidental death of an employee

TCI Foundation is committed to serve the nation with a motto of equality and better life for all citizens

• Talent Attraction and Retention:
• o The Company provides best growth opportunities to employees through internal and external training, development and mentorship programmes. This enables employees to develop skills that are personally fulfilling and building their career better and more efficiently within the organization
• Community Support Initiatives:
• o The Company, through its group social arms' 'TCI Foundation' and 'TCI Charities' has spent Rs. 2.05 Crores, towards its commitment to the development of society. TCI Foundation's ultimate goal of primary healthcare is the attainment of better health services for all
• o TCI Foundation has adopted the five key elements identified by the World Health Organization (WHO), to achieve this goal. Reducing exclusion and social disparities in health; Organizing health services around people's needs and expectations; Integrating health into all sectors; Pursuing collaborative models of policy dialogue; Increasing stakeholder participation
• o Sports Development: The Urmila Sports Academy has been affiliated with the Sports Authority of India, Ministry of Youth Affairs and Sports GoI
• o Physical aid to differently abled persons: TCI-Jaipur Foot and Rehabilitation Centre was established at Patna in 2008 under the aegis of TCI Foundation. The centre served 830 patients in the FY21 and were provided prosthetic and prosthesis;
• o Education: TCI Foundation with a vision to facilitate quality education to tribal children at par with children of modern schools in India, set up DAV Public School in the year 2005
• o Healthcare & Road Safety Program: TCI Foundation was instrumental and successful in the development of HIV control and prevention program named 'KAVACH' for truckers in India, which was lately integrated and adopted by the government as National Truckers Program

Focus on Transparency, Accountability, Excellence, Business Ethics, Social & Environment Responsibility

• Board of Directors: The Board of Company consists of an optimal blend of Executive and Non-Executive Directors with an appropriate balance of skills, experience, diversity and independence. The Board of Company comprised of eight (8) Directors:
• o Executive Director (Managing Director)
• o 3 Non- Executive Non Independent Directors (including Chairperson)
• o 4 Non-Executive Independent Director (including Woman Director)

• Executive Pay Performance Alignment:

• o The Managing Director is paid remuneration in the form of salary, benefits, perquisites and allowances being fixed component and commission being variable component, determined by the Board of Directors
• o The commission paid out of the profits of the Company based on performance of Corporate as well as the Managing Director
• o Annual increment is also recommended by the Nomination and Remuneration Committee within the salary scale approved by the Board and shareholders

Awards and Recognitions

Logistics Excellence Tech innovator of The Year At India Logistics Summit & Awards 2019

Bharariya Manvata Vikash Puraskar 2019 to Mr. Chander Agarwal, MD TCI Express as Power Brands Inspirational Leader of India

TCI Express ESG Profile Link: https://bit.ly/2LmB6fd

ASIAN Business Leaders Award to Mr. Chander Agarwal, MD TCI Express for Demonstrating Exemplary Leadership Qualities

Best Express Logistics Services Provider of the Year 13th Express , Logistics & Supply chain Leadership Awards TCI Express is now certified as Great Place to Work

WCRC International Leaders Award to Mr Chander Agarwal, MD TCI Express as India's Inspirational Leader

CORPORATE GOVERNANCE Corporate Governance

Contact Information

This presentation contains statements that are "forward looking statements" including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to TCI Express' future business developments and economic performance. While these forward looking statements indicate our assessment and future expectations concerning the development of our business, a number of risks, uncertainties and other unknown factors could cause actual developments and results to differ materially from our expectations.

These factors include, but are not limited to, general market, macro-economic, governmental and regulatory trends, movements in currency exchange and interest rates, competitive pressures, technological developments, changes in the financial conditions of third parties dealing with us, legislative developments, and other key factors that could affect our business and financial performance.

TCI Express undertakes no obligation to publicly revise any forward looking statements to reflect future / likely events or circumstances.

For further information, please contact:

Mukti Lal Chief Financial Officer, TCI Express

+91 124 238 4090-4094 (Extn. 606) mukti.lal@tciexpress.in

Ravi Gothwal / Vikas Luhach Churchgate Partners

+91 22 6169 5988 tciexpress@churchgatepartners.com

TCI EXPRESS LIMITED

TCI house, 69 Institutional area, Sector - 32, Gurgaon 122001, Haryana, India P: +91 124 2384090-94 • E: info@tciexpress.in W: www.tciexpress.in • Toll free: 1800 2000 977