Slide 1: SinoMedia Holding Limited 2008 Interim Results
Stock code: 623 SinoMedia Holding Limited 2008 Interim Results 17 September 2008
Slide 2: Confidentiality and Disclaimer
Confidentiality and Disclaimer The information contained in this document constitutes Confidential Information and the recipient of this document is under a strict confidentiality obligation to SinoMedia Holding Limited and its affiliates (“SinoMedia”) pursuant to the Confidentiality Undertaking exe
Slide 3: Agenda
Agenda Page 11 Major Accomplishments 4 22 Results Summary 6 33 Business & Operation Reviews 13 44 Future Plans & Strategies 17 3
Slide 4: Major Accomplishments
Major Accomplishments Successful listing on HKEx in July 2008 Net proceeds post greenshoes: approx. HK$286 million Further strengthen capital structure and provide extra funding for future expansion Turnover and operating profit surged by 51.9% and 187.4% respectively Further strengthen relati
Slide 5: Business Highlights
Business Highlights The largest privately-owned underwriter of CCTV advertisement time in 2007 Maintain excellent relationship with CCTV Provide comprehensive and abundant media resources to our advertising clients Further strengthen sales and marketing capabilities and improve customer serv
Slide 6: Results Summary
Results Summary CIVOMZ i
Slide 7: Financial Highlights
Financial Highlights For the 6 months ended 30 June (RMB '000) 2007 2008 Change (%) Turnover 157,114 238,613 +51.9% Gross profit 38,176 70,926 +85.8% Profit from operations 18,572 53,373 +187.4% Profit attributable to equity holders of the 2,081 44,786 +20.5 times Company Basic earnings per share (R
Slide 8: Strong Revenue Growth from CCTV Business
Strong Revenue Growth from CCTV Business Revenue Revenue Breakdown Regional TV Regional TV RMB MM Advertising Service Advertising Service 400 2.4% 364.7 7.5% Others 05-07 CAGR: 350 +25.9% 3.7% Agency Service Agency Service 2.0% 300 1.5% 263.7 +51.9% 250 230.1 238.6 1H 2007 1H 2008 200 RMB 157.1 mil
Slide 9: Driven by Increased Minutes Sold and Stable Utilization Rate
Driven by Increased Minutes Sold and Stable Utilization Rate CCTV Advertising Service Revenue CCTV Minutes Purchase & Sold RMB MM Minutes Utilization rate: 400 40,000 23% 24% 32% 29% 28% 344.9 32,704 05-07 CAGR: +29.6% 30,000 300 23,166 261.5 19,798 20,000 18,511 +66.1% 235.0 15,175 205.5 200 10,450
Slide 10: Satisfactory Profit & Margin
Satisfactory Profit & Margin Gross Profit & Margin RMB MM % 200 60% 50% 160 41.1% 126.8 40% 120 108.5 34.8% 29.7% 30% 29.9% 24.3% 80 70.9 68.8 20% 38.2 40 10% 0 0% 2005 2006 2007 1H 2007 1H 2008 Gross Profit Gross Margin 10
Slide 11: Expenses Analysis
Expenses Analysis Expenses Administrative expenses increased by 1.2% pts was due to: For the 6 months ended 30 June – Salaries and benefits increased; Change expenses incurred from share As % of total revenue 2007 2008 % pt(s) option scheme Selling & marketing – Leased three properties from a 4.6%
Slide 12: Improving Credit Terms & Healthy Balance Sheet
Improving Credit Terms & Healthy Balance Sheet Account Receivables and Payables Days Days 100 30 June 30 June 80 Change 80 2007 2008 71 Debt ratio (total liability / total 87% 20% -67% pts assets) 60 51 51 49 Cash position 217.6 194.1 -23.5 (RMB MM) 40 40 38 30 27 Net proceed of approx. HK$286 milli
Slide 13: Business & Operation Reviews
Business & Operation Reviews 13
Slide 14: Our Unique Business Model
Our Unique Business Model Advertising AdvertisingResources Media MediaAdvertising Over Over300 300 Resources Advertising Suppliers Operator Advertising AdvertisingClients Clients Suppliers Operator Multinational Domestic Companies Companies The largest privately-owned underwriter of CCTV Tourism Adv
Slide 15: Leading TV Media Advertising Operator for CCTV
Leading TV Media Advertising Operator for CCTV Leading Underwriter of CCTV Advertisement Time # of Advertisement # of Programmes Minutes Purchased 36,479 32,704 57 55 40 23,166 31 19,798 2005 2006 2007 2008 # of CCTV programmes # of CCTV advertisement minutes purchased 15
Slide 16: Abundant Media Resources
Abundant Media Resources Minutes Sold CCTV-1 (National News) CCTV-2 (Finance) Minutes 14,000 13,298 Leading morning news Underwriting rights to sell the 12,000 programme “Media Headline” advertising time of CCTV-2’s “China Finance Report” 10,000 9,562 33 Programmes on CCTV-4 (Chinese International)
Slide 17: Future Plans & Strategies
Future Plans & Strategies CIVOMZ i 17
Slide 18: Well-Positioned for China's TV Advertising Growth
Well-Positioned for China’s TV Advertising Growth TV Attracts the China’s Total Advertising Spending (1) Largest Advertising Spending among All Media Resources in China RMB Bn 193.8 RMB Bn 200 80 07–10E CAGR: 13.8% 180 169.2 69.4 160 150.7 70 64.3 140 59.5 120.0 60 120 101.4 100 50 84.6 47.1 80 72.4
Slide 19: Future Plans & Strategies
Future Plans & Strategies Further collaboration with the CCTV. Strive to obtain additional advertisement time from CCTV and to increase the utilisation rate to further boost the Group’s profitability Continue to seize every growth opportunity through partnership and acquisition so as to enhance and
Slide 20: Open Forum
Open Forum CIVOMZ i 20