Dish Tv India Limited · NSE:DISHTV
Dish Tv India — Investor Presentation (November 2017)
41 slides from Dish Tv India's investor presentation, November 2017
Slide 1: Dish TV India Limited Investor Presentation
Dish TV India Limited Investor Presentation
Slide 2: Disclaimer
Disclaimer Some of the statements made in this presentation are forward-looking statements and are based on the current beliefs, assumptions, expectations, estimates, objectives and projections of the directors and management of Dish TV India Limited about its business and the industry and markets i
Slide 3: Indian M&E Industry Snapshot
Indian M&E Industry Snapshot TV industry size (INR Bn.) Broadcasting industry Distribution industry 2021P 771 394 INR 771 Bn. Multiple broadcasters 2021 producing content in Analog TV subscription revenues 15 languages Cable Digital 2017P 426 225 CAGR of ~ 16% across 38% Cable (2017-2021P) 7 genres
Slide 4: Distribution Industry
disht”) Distribution Industry
Slide 5: Digital Addressable Systems - DAS
Digital Addressable Systems - DAS Phase III Phase IV Phase I Phase II 7,709 urban areas Rest of India Delhi, Mumbai, 38 notified cities 31-Dec-2015 31-Dec-2016 Calcutta & Chennai 31-Mar-2013 31-Jan-2017 31-March-2017 30-June-2012 Cable Bulk of the potential DAS converts Land grab seeding at thro
Slide 6: Distribution Industry - Cable Tiered Structure
Distribution Industry - Cable 3 Tiered Structure MSOs Distributors LCOs (at least 1 in each (more than (more than 1,500) locality) 60,000) Pre-DAS Analog signal - limited carrying capacity, broadcasters jostling for PCS Placement & Carriage fees - bulk of MSOs top-line Post-DAS Massive under d
Slide 7: Distribution Industry - DTH
Distribution Industry - DTH DTH Players in India Dish TV*: 2003 Industry pioneer. Started operations in 2003. Part of 100% digital the Essel Group Owns last mile subscribers TATA Sky: Launched in 2006. JV Subscription driven top-line 2006 between the TATA Group and News Corp Fully prepaid subscripti
Slide 8: Dish TV
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Slide 9: Many Firsts to its Credit
Many Firsts to its Credit First to launch Live TV for First DTH moving vehicles in India 2003 2007 First to achieve operational break-even in the Indian DTH 2009 industry First to negotiate content on a fixed First to fee basis 2010 launch High Definition First to initiate consolidation in the First
Slide 10: Business Model
Business Model P&L structure – 2QFY18 3% 2% Dish TV India Limited Subscription revenues 100% Prepaid.100% EPRS. 1% 0% Bandwidth income Consolidated Advertising income Upfront subsidy on Consumer Premises revenues Equipment (CPE) Lease rent Other income 94% Average ARPU of Rs.149 Programming and othe
Slide 11: Key Metrics - Annual
Key Metrics - Annual Market share # ARPU (Rs.) 300 5% 20% 11% 250 17% 200 172 21% 154 162 163 157 151 150 138 26% 150 100 50 Dish TV Tata Sky Sun Direct Big TV Airtel Digital Videocon D2h 0 FY17 FY16(R2) FY15(R1) FY14 FY13 FY12 FY11 FY10 Net subscriber base (Mn.) Hardware subsidy (Rs.) 20 2400 15.5
Slide 12: Key Metrics - Annual
Key Metrics - Annual Subscription revenues (Rs. Mn.) EBITDA (Rs. Mn.) 35,000 14000 30,000 27,696 26,617 12000 10,249 24,499 10000 9,728 25,000 22,681 19,228 8000 7,331 20,000 6,240 5,794 16,639 4,960 6000 15,000 11,927 4000 2,380 10,000 8,353 2000 1,117 5,000 0 - -2000 FY17 FY16(R2) FY15(R1) FY14 FY
Slide 13: Key Metrics - Quarter
Key Metrics - Quarter Net subscriber additions (Mn.) ARPU (Rs.) Subscription revenues (Rs. Mn.) 0.6 180 10000 170 8000 160 0.4 6000 7,288 150 162 7,049 140 149 6,917 148 4000 0.2 0.259 130 0.188 0.186 2000 120 0 110 0 2QFY18 1QFY18 2QFY17 2QFY18 1QFY18 2QFY17 2QFY18 1QFY18 2QFY17 EBITDA (Rs. Mn.) &
Slide 14: Strategy and Outlook
disht”) Strategy and Outlook 14
Slide 15: Strengthening the Core
Strengthening the Core SD @ Rs. 8.50 (plus taxes) HD @ Rs. 17.00 (plus taxes) Tailor made packages, for easy transition, for first time digital (pay) subscribers Ala-carte offering across channels; first in the industry Rs. 169 plus taxes Separate communication of indirect taxes to the subscri
Slide 16: DAS Phase III & IV
DAS Phase III & IV Any of the ‘Hindi’ entertainment Across phase III & IV add-on packs @ Rs.54 (plus taxes) each p.m markets ‘Bharat Pack’ Movie Mix/Entertainment Mix/others Packs starting @ Rs. 85 (plus OR taxes) Marathi/Bengali/Oriya/others Mandatory subscription to any one of Regional / Hindi ent
Slide 17: Strong Regional Focus
Strong Regional Focus Zing Kerala Packs; starting from Rs.85 (plus taxes) Zing West Bengal/Odisha/Tripura Packs starting from going up to Rs. 325 (plus taxes) Rs.85 (plus taxes) going up to Rs.384 (plus taxes) Mandatory subscription to one regional ala-carte at Rs. Mandatory subscription to one regi
Slide 18: High Definition
High Definition HI-DEFINITION SACHETS STARTING AT ₹ 84 (plus taxes) EACH PER MONTH Family HD English Club HD Infotainment, Lifestyle All Sports HD & Kids Maxi Sports HD Sports HD South Enjoy Stadium like experience with 5X better picture clarity and surround sound All Sports HD South HD ADD-ONS Game
Slide 19: Being Up to Speed with Technology: Hybrid Set Top Boxes
Being Up to Speed with Technology Worth Considering.. DTH Streaming Content 900 700 500 792* 300 280 100 Cost of watching SD Live TV p.m. (Rs.) ..Hybrid Set Top Boxes 19 Notes: *Taking data consumption for watching ~100 hours of TV in a month at 71.79 GB. Minimum average current data cost per GB at
Slide 20: Financials
disht”) Financials 20
Slide 21: Summarized Consolidated P&L - Quarter
Summarized Consolidated P&L - Quarter 2QFY 2018 vs. 2QFY 2017 Quarter Quarter ended ended Operating revenues break-up Variance(2QFY18 (Rs. Mn.) Rs. Mn. Sept. 2017 Sept. 2016 vs.2QFY17) in % Subscription 214 120 revenues 94 Operating revenues 7,486 7,793 (3.9) 8 Lease rentals Expenditure 5,325 5,136
Slide 22: Summarized Consolidated P&L - Annual
Summarized Consolidated P&L - Annual FY 2017 vs. FY 2016 Year Year Operating revenues break-up ended ended Variance(FY17 vs. (Rs. Mn.) Rs. Mn. Mar. – 2017 Mar. – 2016 FY16) in % 525 Subscription revenues 30,144 28,941 4.2 1,058 722 Operating revenues 142 Lease rentals 9.2 Expenditure 20,415 18,692 (
Slide 23: Consolidated Balance Sheet
Consolidated Balance Sheet Rs. Mn. Sept. 2017 (Unaudited) Equity and liabilities Equity (a) Equity share capital 1,066 (b) Other equity 2,728 (c) Non-controlling interest (132) 3,662 Liabilities (1) Non-current liabilities (a) Financial liabilities (i) Borrowings 8,365 (ii) Other financial liabiliti
Slide 24: Consolidated Balance Sheet (continued)
Consolidated Balance Sheet (continued) Rs. Mn. Sept. 2017 (Unaudited) Equity and liabilities (2) Current liabilities (a) Financial liabilities (i) Borrowings 749 (ii) Trade payables 3,603 (iii) Other financial liabilities 8,841 (b) Other current liabilities 3,684 (c) Provisions 14,535 31,413 Total 4
Slide 25: Consolidated Balance Sheet (continued)
Consolidated Balance Sheet (continued) Rs. Mn. Sept. 2017 (Unaudited) ASSETS (1) Non-current assets (a) Property, plant & equipment 20,293 (b) Capital work in progress 5,119 (c) Intangible assets 4,18 (d) Financial assets (i) Investments 1,500 (ii) Loans 102 (iii) Other financial assets 149 (e) Defe
Slide 26: Consolidated Balance Sheet (continued)
Consolidated Balance Sheet (continued) Rs. Mn. Sept. 2017 (Unaudited) ASSETS (2) Current assets (a) Inventories 116 (b) Financial assets (i) Trade receivables 4,938 (ii) Cash and cash equivalent 675 (iii) Bank balances other than (iii) above 1,250 (iv) Loans 127 (v) Other financial assets 308 (c) Ot
Slide 27: Annexure
disht”) Annexure 27
Slide 28: Essel Group
Launched in 1976, Essel Group is one of India’s largest business houses, with a dominant presence in Media One of India's largest vertically integrated media and entertainment group, and also one of the leading producers, content aggregators and distributors of Indian programming globally One of
Slide 29: Videocon D2H to Merge with Dish TV
Videocon D2H to Merge with Dish TV Creating A Leading Cable & Satellite Distribution Platform 29
Slide 30: Transaction Summary
Transaction Summary • Board of directors of Dish TV India Limited (“Dish TV”) and Videocon d2h Limited (“Vd2h”) have approved a Scheme of Arrangement (“Scheme”) for amalgamation of Vd2h into Dish TV in consideration for new stock issuance by Dish TV to the shareholders of Vd2h (the “Proposed Transac
Slide 31: Transaction Summary (Cont'd)
Transaction Summary (Cont’d) • Current Promoters of Dish TV to continue as Promoters of the MergeCo Promoters & • Mr. Jawahar Lal Goel will be the Chairman and MD of the MergeCo Governance • The Vd2h principals shall have the right to nominate two directors on the Dish TV Videocon Board, one of whom
Slide 32: Transaction Overview
Transaction Overview Dish TV Public Videocon d2h ADR Promoters Shareholders Principals(1) Holders(1) Dish TV Videocon d2h Shareholders Shareholders 55.4% 44.6% 64.4% 35.6% 62.8% (1) 36.2% Dish TV Videocon Ltd. Indicative Shareholding Pattern (1) Essel Group Vd2h Dish TV India Ltd. Videocon d2h Ltd.
Slide 33: Pro-forma Contribution Analysis: Key Operating and Financial Metrics
Dish TV Videocon: Pro-forma Contribution Analysis: Key Operating and Financial Metrics Pro-forma Contribution Analysis(1) Combination of Dish TV and Videocon d2h 1 Net Subscribers Dish TV Videocon 14.5 11.9 Pro-forma As-Is (Mn.) As on Mar 31, 2016 55% 45% 26.4 As on Mar 31, 2017 55% 45% 28.4 15.5 12
Slide 34: Creation of a Leading Listed Media Company in India
Creation of a Leading Listed Media Company in India Total Revenue (Rs Bn.) Year ending 31 March 2017(2) 75 64.3 60.8 50 34.9 34.3 30.7 30.1 28.0 26.9 23.2 22.6 21.8 25 13.7 0 Zee Dish TV Videocon Network 18 Airtel Videocon d2h Dish TV Sun TV TV18 Jagran D.B.Corp PVR Hathway Entertainment Pro-forma M
Slide 35: Scale Similar to Leading Global Cable & Satellite Players
The Combination will Have Scale Similar to Leading Global Cable & Satellite Players, in Terms of Subscribers Net Subscribers/Customer Relationships(1) MM 40 37.8 35 30 27.6 25.9 25 24.2 22.4 21.8 20 15 13.6 10 5 0 + US India US US US UK US 35 Notes: 1. Net Subscribers/customer relationships for Dire
Slide 36: Creating Scale in the Fragmented TV Distribution Landscape
Creating Scale in the Highly Fragmented TV Distribution Landscape in India Total TV Households in India : 181 Mn. Terrestrial & DD Others Direct 25% 17% Dish TV Videocon Reliance Digital TV Pro-Forma 3% 16% Den Networks 5% Sun Direct Airtel Digital TV 6% 7% Siti Cable TataSky Hathway Cable 7% 7% 7%
Slide 37: A Compelling and Transformational Combination
A Compelling and Transformational Combination 1 Creating a leading cable & satellite distribution platform, with room for growth 2 Bringing together two well known brands in cable & satellite distribution 3 Bouquet of offerings across the spectrum of subscribers 4 Potential value creation from syner
Slide 38: Bringing Together two Strong Brands in Indian Cable & Satellite Distribution
Dish TV Videocon: Bringing Together two Strong Brands in Indian Cable & Satellite Distribution; A Win-Win for all Stakeholders • Pioneers of DTH in India • Lineage of the Videocon Group, synonymous with high quality electronics brands and electronics hardware • Dish TV a widely respected brand in In
Slide 39: Bouquet of Offerings Across The Full Chain of Consumer Spectrum
Dish TV Videocon: Bouquet of Offerings Across The Full Chain of Consumer Spectrum High ARPU Subscribers Brand CPE Products Value Conscious Subscribers 39
Slide 40: Combination Unlocks Significant Value for Shareholders
Dish TV Videocon: Combination Unlocks Significant Value for Shareholders Network Capex Customer Servicing & Support Leveraging Best Operating Practices Combined Purchasing Infrastructural Consolidation Distribution Merger Synergy Estimates: Product Rs. 1.8 Bn. in FY18 Development Rs. 5.1 Bn. in FY19
Slide 41: Thank you
disht”) Thank you
Dish TV India — Investor Presentation (November 2017) on 6ix