Tips Music Limited · NSE:TIPSMUSIC
Tips Music — Tips Industries — Investor Presentation (February 2021)
27 slides from Tips Music's investor presentation, Feb 18, 2021
Slide 1: Submission of Presentation of Analysts/Investors Meeting
February 18, 2021 To, To, Listing Department Listing Department BSE Limited National Stock Exchange of India Limited P.J Towers, Dalal Street, Exchange Plaza, 5th Floor, Plot No. C/1, G Block, Fort, Mumbai – 400 001 Bandra Kurla Complex, Bandra (E), Mumbai – 400 050 Scrip Code: 532375 Symbol: TIPSIN
Slide 2: Investor Presentation February 2021
Tips Industries Limited Investor Presentation February 2021
Slide 3: Safe Harbor
Safe Harbor This presentation has been prepared by and is the sole responsibility of Tips Industries Limited (the “Company”). By accessing this presentation, you are agreeing to be bound by the trailing restrictions. This presentation does not constitute or form part of any offer or invitation or in
Slide 4: Music Industry is now completely Digitized
Music Industry is now completely Digitized As of September 2019, 7 out of the top 80Mn Subscribers 10 most followed accounts on Twitter belonged to musicians (as of July 2020) According to YouTube, musicians 155Mn Premium Subscribers owned the majority of videos that have achieved more than 1bn 345M
Slide 5: Digital Advertising – Key Driver of Indian Music Industry
Digital Advertising – Key Driver of Indian Music Industry Indian Digital Ad Industry AD spends on Digital Media format INR Crs INR Crs Other incl. Classifieds 4% 58,550 Display Social Media +27% 21% 28% CAGR 28,249 22,156 17,377 13,683 22% 10,859 8,202 Onine Video 6,228 25% 2016 2017 2018 2019 2020f
Slide 6: Evolution of the Music Industry
Evolution of the Music Industry Music Monetization: Consumer’s Unwillingness Investments in Music: to Pay: Digital Piracy: • Music labels own IPR for their repertoire • FICCI–EY Media & Entertainment Report • Technology has disrupted piracy the • Music labels acquire music rights for for 60 years as
Slide 7: Business Model
Music Industry Business Model Music Creators Film Producer Music Label Streaming platforms Business Model Music creators include Film producers use these Music labels owns the IPR Streaming platforms licence lyricists, composers, and compositions in films and sell (Intellectual Property Rights) the
Slide 8: Music Industry…
Music Industry… 20 billion In 2022 # 19 # 14 India’s rank in the India’s rank in the global music market global digital revenues ✓ As of September 2019, 7 out of the top 10 most followed accounts on Twitter +10% CAGR belonged to musicians ✓ According to YouTube, musicians owned the majority of video
Slide 9: ...is bound to grow
...is bound to grow Convenience Smart Phone Listeners no longer need to carry Increasing smartphone penetration in urban separate devices; smartphone apps as well as rural India will lead to high data make music available 24x7 with a tap consumption for audio & video platforms 01 and a swipe. 05 Ris
Slide 10: …in Sync with Technological Advancements
…in Sync with Technological Advancements The Digital Ecosystem in India – An open field of opportunity 350+ Mn Online gamers 700+ Mn 450+ Mn Internet users Smartphone users 100+ Mn Shoppers 400+ Mn 50+ Mn Video users Travel buyers 200+ Mn Music Listeners 9 *Source: Ericsson Mobility Report November
Slide 11: Music is the most valuable content
Music is the most valuable content Ranking on repeated monetization Music is now an internet business 4% 8% 2% Content that can be Music monetized multiple times 18% naturally commands 2019 greater economic value Films 68% Web Series Internet Sync Music ranks at the top of Telco Physical TV Serials
Slide 12: …generating multiple revenue streams
…generating multiple revenue streams Large and diversified music library Our catalogue comprises film, non-film, pop, Rich content can be leveraged to generate multiple remixes devotional songs and bhajans, annuity revenue streams via following created by some of the leading artistes and musicians o
Slide 13: Company Overview
Company Overview Established in 1988, Tips Industries is one of the Largest corporate houses in the field of music and films Since 1990, Tips has the highest number of gold and platinum discs to their credit in comparison with any other record label in India Consistent success in creating and acquir
Slide 14: Corporate Philosophy
Corporate Philosophy Our Vision To maintain and grow a MUST HAVE HITS catalogue Our Mission To create, acquire and deliver quality music to a wide range of audiences Our Purpose Deliver Entertainment Our Core Values • Honesty • Commitment • Teamwork • Passion • Positive attitude 13
Slide 15: Experienced Board of Directors
Experienced Board of Directors Mr. Kumar Taurani Mr. Ramesh Taurani Mr. Amitabh Mundhra Ms. Radhika Pereira Mr. Venitaraman Iyer Mr. Girish Taurani Chairman & Independent Independent Independent Managing Director Executive Director Managing Director Director Director Director • Mr. Kumar Taurani pos
Slide 16: Expanding Global Partnerships
Expanding Global Partnerships Apple Music, Spotify to get Tips's Global licensing deal with Hindi catalogue via Warner deal Facebook ✓ Signed a distribution deal with Warner Music to distribute music to ✓ Global deal with social media international streaming platforms giant Facebook to license its m
Slide 17: Financial Highlights
ug Financial Highlights
Slide 18: Recent Developments
Recent Developments ✓ Demerger of Films Business ✓ Buy-Back of Shares in Q1FY21 ▪ Board meeting held as on 5th January 2020, in principally ▪ 13.5 lacs full paid-up equity shares through the agreed to explore demerger of Films business in to a tender offer route (representing 9.38% of the separate e
Slide 19: Q3 & 9MFY21 Financial Performance
Q3 & 9MFY21 Financial Performance Films Music Q3FY20 Q3FY21 9MFY20 9MFY21 79.6 62.9 Revenue 31.4 24.1 -7.1 Q3FY20 Q3FY21 9MFY20 9MFY21 Q3FY20 Q3FY21 9MFY20 9MFY21 66.5 -0.7 -1.4 48.0 -6.1 EBIDTA 23.1 15.8 -47.2 Q3FY20 Q3FY21 9MFY20 9MFY21 83.6% 73.4% 76.2% 65.6% EBIDTA Margins NA Q3FY20 Q3FY21 9MFY2
Slide 20: Q3 & 9M FY21 Profit & Loss
Q3 & 9M FY21 Profit & Loss Particulars Q3 FY21 Q3 FY20 Y-o-Y 9M FY21 9M FY20 Y-o-Y FY20 FY19 Income Revenue From Operations 31.4 24.1 30.5% 62.9 72.5 -13.2% 91.0 203.2 Other Income 1.0 0.9 16.8% 2.1 17.1 -87.9% 17.8 4.5 Total Income 32.4 25.0 30.0% 65.0 89.6 -27.5% 108.8 207.7 Cost of Production / D
Slide 21: Segmental Performance
Segmental Performance Revenue (Rs. in Crs) EBIDTA (Rs. in Crs) EBIDTA Margins (%) +52% 97.9 77.2 84.0% +47% 78.9% 76.2% Music 71.5% 66.7 62.9 47.7 48.0 42.6 35.8 FY18 FY19 FY20 9MFY21 FY18 FY19 FY20 9MFY21 FY18 FY19 FY20 9MFY21 Revenue (Rs. in Crs) EBIDTA (Rs. in Crs) FY18 FY19 FY20 9MFY21 136.5 -1.
Slide 22: Consolidated Financial Highlights
Consolidated Financial Highlights Revenue (Rs. in Crs) EBIDTA (Rs. in Crs) PAT (Rs. in Crs) 203.2 16.0 15.8 11.3 12.0 10.8 91.0 47.0 47.5 3.0 3.1 2.8 FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 EBIDTA Margins (%) PAT Margins (%) EPS (in INR) 24.1% 24.1% 10.4% 7.9 14.5% 6.3% 4.5% 5.2%
Slide 23: Consolidated Historical Profit & Loss
Consolidated Historical Profit & Loss Particulars FY 20 FY 19 FY 18 FY 17 Income Revenue From Operations 91.0 203.2 47.5 47.0 Other Income 17.8 4.5 2.4 19.4 Total Income 108.8 207.7 49.9 66.4 Cost of Production / Distribution of Expenses 28.7 162.2 17.5 30.5 Employee Benefits Expenses 7.4 7.1 6.6 6.
Slide 24: Consolidated Balance Sheet
Consolidated Balance Sheet Particulars (Rs. in Crs) Sep-20 Mar-20 Mar-19 Mar-18 Particulars (Rs. in Crs) Sep-20 Mar-20 Mar-19 Mar-18 ASSETS Equity Non-Current Assets Equity Share Capital 13.0 14.3 14.3 14.3 Property, plant and equipment 1.6 1.8 2.1 1.8 Other Equity 57.6 66.1 56.4 55.4 Investment Pro
Slide 25: Abridged Consolidated Cash Flow Statement
Abridged Consolidated Cash Flow Statement Particulars(Rs. in Crs) Sep-20 Mar-20 Mar-19 Mar-18 Net Profit Before Tax 18.1 14.4 7.3 4.0 Adjustment for Non-Operating Items 0.0 14.4 1.9 8.1 Operating Profit/(Loss) Before Working Capital Changes 18.1 28.7 9.2 12.1 Adjustment for WC 16.5 5.6 19.2 30.9 Cas
Slide 26: Key Ratios
Key Ratios Cash flow from Operations (Rs. in Crs) Net Cash Company (Rs. Crs.) Cash & Cash Equivalents 43.3 Borrowings 34.2 31.3 26.3 30.5 25.0 18.7 7.9 9.3 2.0 1.9 0.0 Mar-18 Mar-19 Mar-20 Sep-20 Mar-18 Mar-19 Mar-20 Sep-20 ROCE (%) ROE (%) 99.6% 36.3% 14.1% 26.2% 13.2% 14.9% 4.5% 4.0% Mar-18 Mar-19
Slide 27: Thank You
Company Details: Tips Industries Limited Thank CIN: L92120MH1996PLC099359 Email id: investorrelations@tips.in You Investor Relations Orientcapital Advisors: (a division of Link Intime India Pvt Ltd) Ms. Payal Dave: +91 9819916314 payal.dave@linkintime.co.in Ms. Neha Shroff: +91 7738073466 neha.shrof
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