Jagran Prakashan Limited · NSE:JAGRAN
Jagran Prakashan — Q4 FY2020 Earnings Presentation
34 slides from Jagran Prakashan's earnings presentation, May 29, 2020
Slide 1: Exchange intimation letter for investor presentation
T H E W O R LD 'S LA R G EST REA D D A ILY Jagran May 29, 2020 To, Manager-CRD, BSE Ltd., Scrip Code: 532705 Phiroze Jeejeebhoy Towers, ISIN No.: INE199GOI027 Dalal Street, Mumbai-400001 Listing Manager, National Stock Exchange of India Ltd., Symbol: JAGRAN 'Exchange Plaza', Bandra Kurla Complex, IS
Slide 2: Q4FY20 Result Presentation
Jagran Prakashan Limited Q4FY20 Result Q1FY17Presentation Result Presentation 1
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Jagran Prakashan Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any secu
Slide 4: Comment from Chairman and Managing Director
Comment from Chairman and Managing Director “The year first witnessed slowing economy and then had the outbreak of pandemic culminating into unprecedented lockdown in Q4. Lockdown is the lethal blow to the entire economy but more to those who depend on discretionary spend like Media and Entertainmen
Slide 5: Dainik Jagran continues to remain the most read daily
Dainik Jagran continues to remain the most read daily 01 02 Fall in readership over one year for all Dainik Jagran continues to be No. 1 major players is primarily due newspaper in the Country since 2003 strategic focus on increasing cover uninterruptedly prices 04 03 Despite expansion of digital me
Slide 6: Group Key Highlights
Group Key Highlights Ad Revenue Impacted Listenership Gain Digital investments Strategic Focus on due to weak economy during Lockdown Paying Off Profitability and lockdown • Radio listenership increased from 48 mn to • Revenue grew by 30% in • Strategy of focusing on • Printing of newspaper 51 mn se
Slide 7: Distribution to Shareholders
Distribution to Shareholders Dividend Paid Buyback Total Distribution to Shareholders 125 351 458 112 107 302 415 230 105 FY18 FY19 FY20 FY18 FY19 FY20 FY18 FY19 FY20 Distributed ~ Rs. 1,102 crores in form of Distributed ~ Rs. 345 crores as dividend Distributed ~ Rs. 758 crores through dividend and
Slide 8: Business Performance
Business Performance Due to Covid-19, the figures do not represent normal quarter/operations and to that extent are not strictly comparable with last year or preceding quarter 7
Slide 9: New Generation Business Performance
De-Risked Business Model Operating Revenue Operating Profit Revenue Breakup – FY20 -20% New Generation Business Performance -44% 6% 512 2% 107 411 60 12% FY19 FY20 FY19 FY20 +42% +50% 80% 411 60 289 40 Print Radio Digital Events & Outdoor FY14 FY20 FY14 FY20 Future ready with investments in New Gene
Slide 10: Consolidated Operating Performance FY20
Consolidated Operating Performance FY20 Revenue EBITDA & Margins Profit After Tax In Rs Crs. 22.6% 20.6% 2,363 534 274 281 2,097 433 FY19 FY20 FY19 FY20 FY19 FY20 9 In Rs. Crs
Slide 11: Consolidated Operating Performance Q4FY20
Consolidated Operating Performance Q4FY20 Revenue EBITDA & Margins Profit After Tax In Rs Crs. 23.3% 26.6% 12.2% 593 147 82 553 138 71 446 55 8 Q4FY19 Q3FY20 Q4FY20 Q4FY19 Q3FY20 Q4FY20 Q4FY19 Q3FY20 Q4FY20 10 In Rs. Crs
Slide 12: Print Business Performance FY20
Print Business Performance FY20 ADVERTISMENT REVENUE OPERATING REVENUE 1,383 1,868 1,243 1,703 • Strategic increase in cover price compensated some of the circulation revenue de- FY19 FY20 FY19 FY20 growth • Curtailed discretionary spend, OPERATING PROFIT & MARGIN PROBIT BEFORE TAX reduction of news
Slide 13: Print Business Performance Q4FY20
Print Business Performance Q4FY20 ADVERTISMENT REVENUE OPERATING REVENUE 346 328 467 445 262 368 Economic slowdown along with the Q4FY19 Q3FY20 Q4FY20 Q4FY19 Q3FY20 Q4FY20 lockdown resulted in Advertising revenue de-growth of 24% in Q4 which translates into ~60% of the OPERATING PROFIT & MARGIN PROB
Slide 14: Mid-Day Operating Performance
Mid-Day Operating Performance OPERATING REVENUE* Mid-Day was affected the most as its main 27 109 area of operations were in Mumbai and post 22 88 the lockdown, circulation was stopped as well 17 Additional costs in the form of rents and other property related costs affected its profitability Reduce
Slide 15: Soft Newsprint Prices and Prudent cost measures led to Improved Profitability
Soft Newsprint Prices and Prudent cost measures led to Improved Profitability Cost of Raw Material Other Expense 195 180 181 176 158 171 143 166 123 160 162 158 Q3FY19 Q4FY19 Q1FY20 Q2FY20 Q3FY20 Q4FY20 Q3FY19 Q4FY19 Q1FY20 Q2FY20 Q3FY20 Q4FY20* No compromise made Prudent cost measures Impact of sof
Slide 16: MBL: Operating Performance
MBL: Operating Performance REVENUE EBITDA & Margin Reported PAT 35% 27% Radio Channel are operating during lockdown as well 325 113 62 248 67 Ad-Volume in Q4 witnessed a de- 28 growth due to economic slowdown and lockdown FY19 FY20 FY19 FY20* FY19 FY20 Reduced Fixed Costs by Rs. 30 Crores for the ye
Slide 17: COVID-19 Lockdown Boosts Radio Consumption
COVID-19 Lockdown Boosts Radio Consumption.. Regular listeners (In Millions) 51 During COVID Lockdown Radio had a reach of 51 mn second only to TV with 56 mn 48 Pre COVID Lockdown Average daily duration in HH:MM 2:36 During lockdown Radio listener spent avg. of 02:36 (HH:MM) on 2:07 radio listening
Slide 18: Outdoor and Events Business Performance
Outdoor and Events Business Performance OPERATING REVENUE 148 39 33 120 24 Q4 performance affected by the lockdown as business is dependent on movement of general public in Q4 FY19 FY20 Q4 FY19 Q3 FY20 Q4 FY20 OPERATING PROFIT & MARGIN 4.1% 2.4% 7.7% 6.1% -12.5% Lower sales in Events Business 3 6 du
Slide 19: Digital Business Performance
Digital Business Performance OPERATING REVENUE +9% +30% 44 12 40 11 8 Revenue grew by 30% in Q4 FY20 and 9% in FY20 FY19 FY20 Q4FY19 Q3FY20 Q4FY20 OPERATING PROFIT & MARGIN -27.7% -1.0% -72.4% 18.0% 1.0% Operating Loss reduced 2 0 0 from Rs. 12 Crores in FY19 to less than Rs. 1 Crore in FY20 -12 -6
Slide 20: Digital – Investing to Build leadership
Digital – Investing to Build leadership Our Digital Media Portfolio Leading Indian website in overall Health Information Industry with 6 Mn Unique Users • Digital Advertisement Revenue growth 26 Mn Unique for Q4FY20 6 User in Education category #9 in news Mn ✓ Print Digital Revenue was Rs. and info
Slide 21: Financial Performance
Financial Performance Due to Covid-19, the figures do not represent normal quarter/operations and to that extent are not strictly comparable with last year or preceding quarter 20
Slide 22: Mid-day Financial Performance
Mid-day Financial Performance Particulars (Rs. in Crs) Q4 FY20 Q3 FY20 Q4 FY19 Operating Revenue* 16.58 22.36 26.85 Advertisement 11.92 16.90 20.01 Circulation 3.93 4.50 5.99 Other Operating Income 0.73 0.96 0.85 Expenses ** 20.79 21.99 23.68 Operating Profit -4.21 0.37 3.17 Operating Profit Margin
Slide 23: MBL Financial Performance
MBL Financial Performance Particulars (Rs. in Crs) Q4 FY20 Q3 FY20 Q4 FY19 Operating Revenue 45.87 69.64 81.87 Expenses 41.71* 48.08 49.9 Operating Profit 4.16* 21.56 31.97 Operating Profit Margin 9.07% 30.96% 39.05% Other Income 3.87 4.16 4.61 Depreciation 8.63 8.90 6.9 Interest 2.05 2.48 1.52 One-
Slide 24: Operating Margin Break-up
Operating Margin Break-up Particulars (Rs. in Crs) Q4 FY20 Q3 FY20 Q4 FY19 Dainik Jagran* Operating Revenue 304.87 361.37 385.86 Operating Profit 68.73 112.99 107.95 Operating Margin 22.54% 31.27% 27.98% Other Publications* Operating Revenue 62.38 82.61 80.22 Operating Profit -6.41 9.18 0.60 Operati
Slide 25: Consolidated Profitability Statement
Consolidated Profitability Statement Particulars (Rs. in Crs) Q4FY20 Q4 FY19 YoY Q3FY20 QoQ FY20 FY19 YoY Revenues 445.6 592.8 -25% 553.0 -19% 2,097.3 2,362.7 -11% Advertisement Revenue * 316.1 433.1 403.3 1,521.3 1,736.6 Circulation Revenue 99.1 109.6 107.5 422.3 437.6 Others 30.4 50.1 42.2 153.7 1
Slide 26: Consolidated Balance Sheet
Consolidated Balance Sheet ASSETS (Rs. In Cr) Mar-20 Mar-19 EQUITY AND LIABILITIES (Rs. In Cr) Mar-20 Mar-19 Non-Current Assets 1,723.6 1,879.2 Equity and Liabilities 2,148.5 2,101.7 Property, plant and equipment incl. CWIP 505.5 575.0 Right to use assets 71.4 0.0 Equity share capital 56.2 59.3 Inve
Slide 27: Consolidated Cash Flow Statement
Consolidated Cash Flow Statement st st In Rs. Crs Year ended 31 March 2020 Year ended 31 March 2019 Profit before tax 285.8 421.3 Adjustments Operating Profit Before Working Capital Changes 482.8 552.6 Change in operating assets and liabilities 3.7 -125.4 Cash generated from operations 486.5 427.1 I
Slide 28: Cashflow Movement
Cashflow Movement Cashflow for the Period (For the year 2019-2020) 500 37 450 125 400 350 102 300 250 404 200 185 150 100 56 50 52 34 0 Opening Balance Net Cash generated Net cash inflow Dividend Paid Buyback Debt Repayment Net cash outflow Cash Balance from Operations from investing from financing
Slide 29: Group Introduction
Group Introduction Group Introduction
Slide 30: Value Proposition
Value Proposition PRINT RADIO DIGITAL Print Non Print Undisputed LEADER: Strong GROWTH FASTEST growing RIGHT mix of stability Potential: media: and scalability: ✓ Dainik Jagran leads the IRS 2019 ✓ Achieved Operating Profit for Q4 rankings with a total ✓ Print Business continues to readership of 6.9
Slide 31: Jagran Today
Jagran Today Print Digital Radio Jagran Prakashan Limited holds 73.21% of Music Broadcast Limited Activation OOH (RadioCity) 30
Slide 32: Multi Media Conglomerate – Width, Depth and Heritage
Multi Media Conglomerate – Width, Depth and Heritage Two #1* Print India’s Largest* 86+ mn* Dailies, Dainik Jagran Readers (Hindi) and Inquilab read daily- Dainik (Urdu) #9 News / Jagran Information Category 10 with over 96 Mn Publications 14 Digital unique visitors Media Portals 5 Business Vertical
Slide 33: Brand Strength – Stability, Consistency and Trust
Brand Strength – Stability, Consistency and Trust PRINT BUSINESS DIGITAL BUSINESS RADIO BUSINESS 32
Slide 34: Contact Us
Contact Us Jagran Prakashan Ltd. Strategic Growth Advisors Pvt. Ltd. CIN: L22219UP1975PLC004147 CIN: U74140MH2010PTC204285 Mr. Amit Jaiswal Ms. Payal Dave amitjaiswal@jagran.com Contact: +91 9819916314, Email: payal.dave@sgapl.net Ms. Jigar Kavaiya Contact: +91 9920602034, Email: jigar.kavaiya@sgapl