Hexaware Technologies Expands in Manila

Manila, the bustling capital of the Philippines, has just become a focal point for digital transformation and IT solutions. It’s not just any other expansion; it's Hexaware Technologies, a global IT services and solutions provider, making its mark here. The announcement of their new delivery center is not merely about opening another office; it’s about leveraging the rich talent pool in the region to offer unparalleled digital transformation and operations solutions across geographies and sectors.

Hexaware Technologies has always been at the forefront of innovation and excellence. The opening of their new delivery center in Manila signifies a strategic move to harness the region's extensive talent pool and service-oriented culture. Gopinath Manian, Senior Vice President - BPS at Hexaware, couldn’t contain his excitement as he shared the news. "We are thrilled to open our new office. The Philippines' talent pool across a broad range of skills and service-oriented culture align with our goal of delivering quality customer experience," he stated. 

This new delivery center is not just a physical expansion; it’s a testament to Hexaware’s commitment to quality and customer satisfaction. The center aims to provide top-notch customer service, IT troubleshooting, and help desk support. With the Philippines being known for its skilled workforce and excellent customer service culture, this move is bound to elevate Hexaware’s service offerings to new heights.

Bennet Kumar, Global Head BPS at Hexaware, emphasized the significance of the new Manila delivery center. "This expansion of our footprint in the Philippines will enable us to further leverage the region's talent and give us the ability to scale to meet the customer demand. The Manila center will aim to deliver quality customer experience, digital transformation and IT support services to our customers in multiple industry segments all over the world," he explained.

The new delivery center is not just about scaling operations; it’s about transforming the way Hexaware delivers its services. By tapping into the local talent, Hexaware is set to offer innovative solutions that will drive digital transformation across various industries. This move is a strategic step towards maintaining Hexaware's competitive edge in the global market.

Amrinder Singh, Corporate Vice President & Head—EMEA & APAC Operations at Hexaware, shared his insights on the expansion. "Expansion in Manila is part of our move to access the talent and resources available here. The new delivery center is aligned with our growth strategy, enabling us to support our clients and maintain our commitment to quality," he said.

This expansion is a strategic move that aligns with Hexaware’s growth strategy. The new delivery center in Manila is not just about increasing their physical presence; it’s about enhancing their capability to deliver high-quality services to clients worldwide. By leveraging the local talent and resources, Hexaware is poised to set new benchmarks in the IT services and solutions industry.

This second office in Manila is part of Hexaware's plan to increase its employee count and strengthen its presence in the Asia-Pacific region. The Asia-Pacific region is a burgeoning market with immense potential, and Hexaware’s expansion here is a testament to their commitment to tapping into this potential. 

The new delivery center in Manila is not just a milestone for Hexaware; it’s a new chapter in their journey towards global excellence. By increasing their presence in the Asia-Pacific region, Hexaware is set to offer better services, innovative solutions, and unparalleled customer experience to clients across the globe.

The opening of Hexaware's new delivery center in Manila is more than just an expansion; it’s a strategic move to harness the rich talent pool in the Philippines and offer top-notch digital transformation and IT solutions. This expansion is a testament to Hexaware’s commitment to quality, innovation, and customer satisfaction. As Hexaware continues to grow and expand, the new delivery center in Manila will play a crucial role in their journey towards global excellence. 

In essence, Hexaware Technologies’ expansion in Manila is a step towards a brighter future, not just for the company, but for the entire IT services and solutions industry. It’s a move that promises innovation, quality, and exceptional customer experience, setting new standards in the industry. Here's to a future filled with endless possibilities and groundbreaking achievements!

Pioneering Digital Banking in the Philippines

When it comes to digital banking, the Philippines has found its champion in Tonik. This trailblazing neobank has set the financial world abuzz with its remarkable achievements and steadfast commitment to making bank credit accessible to all Filipinos. With a market-leading growth in its consolidated loan portfolio and revenue in the first half of 2024, Tonik is not just a digital bank; it's a financial revolution.

In 2023, Tonik achieved a monumental milestone by becoming the first non-captive digital bank in the Philippines to reach positive lending unit profitability across its three lending product lines: Salary Loans, Shop Installment Loans, and Cash Loans. This was no small feat and set the stage for exponential growth in the following year.

By June 2024, Tonik's new loan production had skyrocketed by an astounding 133% year-on-year. This exceptional growth in loan production subsequently led to a 94% expansion in Tonik's loan portfolio over the same period. To put this in perspective, Tonik's consumer loan portfolio growth rate far surpassed that of the digital bank sector, which grew by just 10%, and the broader banking sector's consumer loans, which increased by 18%. Clearly, Tonik is not just keeping pace with the industry; it's setting the standard.

Tonik's financial achievements don't stop at loan production and portfolio growth. The Annualized Revenue Run Rate (ARR) at the end of Q2 2024 reached a staggering USD 19 million, driven by a 78% year-on-year increase in lending income. This substantial growth has also led to a notable reduction in cash burn, providing strong visibility to Tonik's path to profitability, which is expected in 2025.

This path to profitability is not just a financial strategy but a testament to Tonik's operational efficiency and relentless focus on credit risk management. By making prudent financial decisions and optimizing their operations, Tonik is well on its way to becoming a sustainable and profitable digital bank.

As the holder of the #1 digital bank license in the Philippines and the best-funded fintech startup in the country with over $160 million raised, Tonik has made it its mission to make bank credit accessible to all Filipinos. The banking sector in the Philippines allocates only 14% of its total loan portfolio to household consumption, which is the lowest level in relation to GDP compared to most other Southeast Asian countries. This market supply dislocation represents a $50 billion credit inclusion market, and Tonik is poised to capitalize on this opportunity as the first mover.

Tonik's impressive scale-up has resulted in the onboarding of over 1.5 million customers to-date, with a high retention rate of over 40% for repeat loan offers. This speaks volumes about Tonik's ability to not only attract but also retain customers, further solidifying its market leadership.

One of Tonik's most compelling competitive advantages is its unwavering focus on customer experience (CX) and customer service. In the first half of 2024, Tonik's dedication to CX has been recognized by a multitude of prestigious awards, including:

- Top 10 CX among Digital Banks globally (AlternaCX)

- Best Digital Bank CX in the Philippines (The Digital Banker)

- Most Innovative Digital Bank in the Philippines (Global Banking and Finance Review)

- Digital Bank of the Year in Southeast Asia (APAC Insider)

- Virtual Bank of the Year – Philippines (Asian Banking and Finance Retail Banking Awards)

Greg Krasnov, Founder and CEO of Tonik Digital Bank, eloquently summarized Tonik's philosophy: "While metrics such as deposits, number of transactions, or customer count are important, these are all loss-generating activities, and therefore they do not capture the essence of a profitability strategy of a digital bank. At the end of the day, a bank needs to become profitable, and in a market like the Philippines, that is only possible through aggressively solving for unit profitability and growth in the mass market consumer lending/credit inclusion segment."

Tonik's exceptional results in the first half of 2024 are a strong validation of the team's revolutionary efforts to make mass market consumer lending in the Philippines profitable and massively scalable. Within the framework of a regulated deposit-taking bank institution and on the basis of a digital-first platform, Tonik is leading the way in digital banking. More importantly, it's making a real difference in people's lives.

As Tonik continues to innovate and expand, the future looks incredibly promising. The neobank's relentless focus on operational efficiency, customer experience, and financial inclusion ensures that it will remain at the forefront of the digital banking revolution in the Philippines and beyond.

In conclusion, Tonik's journey is a testament to what can be achieved with vision, dedication, and a relentless pursuit of excellence. Here's to Tonik, the Philippines' trailblazing digital-only neobank, and its mission to make bank credit accessible to all Filipinos. The financial landscape in the Philippines will never be the same, and that's a good thing.