Slide 1: HT Media Limited Investor Presentation
HT MEDIA LIMITED Investor Presentation 1
Slide 2: Cautionary Statements
Cautionary Statements Certain statements in this presentation may be forward-looking statements. Such forward looking statements are subject to risks and uncertainties like regulatory changes, local political and economic developments, technological risks and many other factors that could cause our
Slide 3: Industry
Industry ENHT
Slide 4: Growth Potential of Media & Entertainment Industry in India
Growth Potential of Media & Entertainment (M&E) Industry in India Ad spend (% of GDP) 0.9% 0.7% 0.8% 0.7% 0.8% 0.4% 0.5% 0.7% 0.9% 0.4% 0.3% US Canada Australia Brazil UK Italy France Germany Japan China India Print cover price (PPP USD per month) 21 11 33 29 20 29 25 29 20 6 6 US Canada Australia B
Slide 5: Growth of M&E Industry in India: 2011-2021
Growth of M&E Industry in India : 2011 ~ 2021 Advertising revenue (Rs ‘000 Cr) Print ad revenue (Rs ‘000 Cr) CAGR 12.0% CAGR 15.3% CAGR 7.6% CAGR 8.0% 108 30 93 28 25 80 23 22 69 19 20 60 18 53 16 47 14 15 41 36 30 33 2017P 2018P 2019P 2020P 2021P 2017P 2018P 2019P 2020P 2021P 2016 2011 2012 2013 20
Slide 6: Radio and Digital Ad Revenue Growth Projections
Radio and Digital Ad Revenue Growth Projections : 2016 - 2021 Lowered Internet usage costs leading to Digital Ad revenue (Rs ‘000 Cr) more frequent consumption Digital 29 Developing digital infrastructure 8 CY 2016 CY 2021P Operationalization of new stations in Radio Ad revenue (Rs ‘000 Cr) existing
Slide 7: Current Environment and Trends
Current Environment and Trends • GDP softened in FY’17 to 7.1% after increasing continuously for 2 years Macros • CPI inflation on a downward trajectory from double digits in FY’14 to low single digit • Gradual decline in interest rates over past 5 years • Sensex on upward trajectory from ~18k to 31
Slide 8: Overview of HT Media Group
Overview of HT Media Group ENHT
Slide 9: The HT Story – Enriching and Empowering India
The HT Story – Enriching and Empowering India 2007 2000 2015 1924 5 new editions Radio license 2010 acquisition in inaugurated by launched with Business newspaper localization focus phase 3 spectrum Mahatma Gandhi launched along with auction livemint.com and foray into 1960 hindustantimes.com educat
Slide 10: Strong Brand Portfolio across Segments
Strong Brand Portfolio across Segments Content Pan-India content distribution footprint across traditional and new age channels 10
Slide 11: Large Consumer Base
Large Consumer Base 4.5mn in India 304k in India 14.7mn in India 250k exclusive readers 8.1mn in UP & Uttarakhand 2.3mn in Delhi NCR 4.4mn in Bihar 1.4mn in Mumbai 1.3mn in Jharkhand 100mn 18mn 50mn 32mn 8.5mn 33mn Source: IRS 2014, Google Analytics (March 2017), RAM data (Mar 2017) for 4 metros and
Slide 12: Financial Performance: Consistent Track Record
Financial Performance: Consistent Track Record Consolidated Revenue (Rs Cr) 2,658 2,682 2,363 2,457 2,076 2,142 1,810 1,247 1,380 1,454 1,076 FY'07 FY'08 FY'09 FY'10 FY'11 FY'12 FY'13 FY'14 FY'15 FY'16 FY'17 Consolidated EBITDA (Rs Cr) 528 475 479 422 366 362 376 289 205 214 102 FY'07 FY'08 FY'09 FY
Slide 13: Key Focus: Operational Excellence to Improve Profitability
Key Focus: Operational Excellence to Improve Profitability Total Cost Productivity Zero Based Budgeting • Activity Based Evaluation • Costs and revenue revisited • Identification of Cost levers ab intio • Process Efficiencies • Challenge all existing KPI’s • Cost savings on Sustainable basis Yield C
Slide 14: Prudent Allocation of Capital
Prudent Allocation of Capital Key Investments in Recent Past • Integrated Newsroom & Content Management System (CMS) • Capacity and quality enhancement across Hindi markets • Continued outlay on investment behind copies into relevant markets • Investment in digital assets • Deepening reach in Radio
Slide 15: Our Businesses
ENHT Our Businesses 15
Slide 16: Our Businesses: Print, Radio, Digital, Education
Our Businesses 1 Print 2 Radio English #2 15 #1 #2 Hindi newspaper FM radio in Delhi for daily of stations 350+ in Delhi # Business India in all across India weeks* segments 3 Digital 4 Education Job portal 6500+ Digital Marketing News websites 215 MN Education Management Students associated pagevie
Slide 17: Market Leadership across Brands
1 Market Leadership across Brands 2 53% of competition 1 2 1 2 3 1 20% ahead of Largest in 2nd largest in India’s no.1 2 competition Delhi Mumbai Trusted Punjab NCR Punjab & Media Uttarakhand Chandigarh 2 83% of leader Chandigarh Brand* Delhi Uttar Pradesh Bihar 1 2 3 Jharkhand No.1 in No.1 in India
Slide 18: Print: Focused Segment Specific Strategy
1 Print: Focused Segment Specific Strategy Maintain copy leadership Focused deployment of copies to expand and consolidate footprint Higher wallet share in key markets Persistent investment in copies in UP Continued superiority on product offerings Leveraging the #1 position in Bihar and Customized
Slide 19: Radio: Expanding Reach and Listenership
2 Radio: Expanding Reach and Listenership 159 117 93 99 78 • 18mn Listeners in 6 Metros • Leader in Delhi, Mumbai and Kolkata FY'13 FY'14 FY'15 FY'16 FY'17 Revenue (Rs Cr) 36.1% 26.3% 24.7% 25.1% 14.8% • 8.5mn listeners in Delhi and Mumbai • First ‘Cool Retro’ Station of India with music from 70-90s
Slide 20: Digital: Growing Rapidly across Media Content and Internet
3 Digital: Growing Rapidly across Media Content and Internet 140 151 104 76 54 FY'13 FY'14 FY'15 FY'16 FY'17 Revenue (Rs Cr) Media Content Internet • Shine is 2nd largest Job Portal in India • 22mn candidates Digital Quotient : Social & Mobile marketing solutions 20
Slide 21: Priorities Going Forward
Priorities Going Forward • Improve leadership position in core markets • Better monetisation of copies; yield led revenue growth Print • Maintain cost focus to improve profitability • Drive profitable growth of newly launched radio stations • To outperform the industry on the back of innovation, exe
Slide 22: Thank You
ENHT Thank You 22