Slide 1: Investor Presentation July 2011
DB Corp Ltd. Investor Presentation July 2011 e a iceons Gciesone DNA) fect net Resha mes 2 DB Corp Ltd
Slide 2: A Leading Media Company of India
A LEADING MEDIA COMPANY OF INDIA Third Largest Market Cap in << ef Entertainment & Media ' Sector “3 oe ” a Gciesone DNA fede Resha mes 2 DB Corp Lid
Slide 3: Around 18.1 MN readers in India's fastest growing markets
Around 18.1 MN readers in India’s fastest growing markets 3
Slide 4: A Leader in Print Readership in highest growth markets
A Leader in Print Readership, operating in the highest growth markets in India Multiple States • Madhya Pradesh, Chhattisgarh, Rajasthan, Gujarat, Haryana, Punjab, Chandigarh, Maharashtra, Himachal Pradesh, Uttarakhand, Jharkhand, Jammu & Kashmir & Delhi • Launching Bihar shortly Multiple Languages
Slide 5: Consistent Track Record of Growth
CONSISTENT TRACK RECORD OF GROWTH 1995 2011 > (ER states > TM Eaitions: > (EG Languages) > [ER] Readership any Pi) 5 ieuaes Rcneescs Dial fecinet feta we ee DB Corp Lid
Slide 6: Expansion Journey Continues - Jharkhand Launch
D B Corp Ltd. Expansion Journey Continues — Successful Jharkhand Launch at a e °
Slide 7: Competition was fierce
Readership in ‘000 IRS ’10 Q3 Hindustan 192 Prabhat Khabar 223 Dainik Jagran 75 AIR figures in ‘000 Competition was fierce Circulation figs JJ ’10 ABC Ranchi city Hindustan 43512 Prabhat Khabar 67033 Dainik Jagran 18711 IRS = Indian Readership Survey ABC= Audit Bureau of Circulation 7
Slide 8: Ranchi Jharkhand readership estimates
Ranchi Jharkhand , 22 August 2010 AIR SEC Average Issue SEC AB % of Total Dainik Bhaskar Readership Estimates Base Reader Base A B AB leader in SEC AB Prabhat Khabar 303 60 58 118 39% Dainik Bhaskar 270 66 62 128 47% Hindustan 168 45 36 81 47% Dainik Jagran 92 14 17 31 34% Figs in ‘000 The affluent
Slide 9: Consistent Leaders from then till now
Average Issue Readership in ‘000s Jaipur IRS 10 Q4 Dainik Bhaskar 1023 Nearest Competitor 703 Consistent Chandigarh/ Haryana IRS 10 Q4 Leaders from then Dainik Bhaskar 1571 till now… Nearest Competitor 1069 Ahmedabad IRS 10 Q4 Divya Bhaskar 1058 Nearest Competitor 870 Winning is our Amritsar IRS 10
Slide 10: 1st Edition from Aurangabad
1st Edition from Aurangabad 10
Slide 11: Dainik Divya Marathi teaser campaign
Dainik Divya Marathi A Teaser Campaign Using Hoardings, Banners, SMS and Newspaper Inserts 11
Slide 12: Phase I, Phase 2, Phase 3
Phase I Phase 2 Phase 3 Phase 4 12
Slide 13: Household survey in Aurangabad
Decided to meet every Marathi reading households of Aurangabad to understand their latent needs and expectation from Newspaper To survey 0.15 mn household in Aurangabad (To arrive at above figures, a detailed analysis was done for the households with gas connections (0.17mn), electricity connect
Slide 14: Surveyor recruitment and training
Recruited Padamshri Mr. Kumar Ketker, the most renowned Marathi Editor since last 40 years. Intensive training of surveyors for 10 days by experts on body language and presentability A standardised contact method for the appearance and behavior of the surveyors 25 Computers deployed for data
Slide 15: The Survey Verdict
The Survey Verdict a 15 Stee: ues: i) @itwet Rstitnnr @ DB Corp Ltd
Slide 16: Focused on Growing Media Opportunities in India - Regional Markets
FOCUSED ON GROWING MEDIA OPPORTUNI Noe IN INDIA -REGIONAL MARKETS 16 Memes: Ratese ( @iwet weer QD pe corp iid
Slide 17: India states and languages map
INDIA 28 States 6 Metros (English Play) 7 Union Territories Delhi, Mumbai, Chennai Less: 7 NE States Hyderabad, Kolkata, Less: 6 Union Territories (Non Focused Markets) Bangalore (Non Focused Markets) Remaining: Major 21States Remaining: (Major) 1 U.T.Chandigarh Hindi Bengali Oriya Marathi Gujarati
Slide 18: India's urban century
• The 21st century is set to become India’s ‘urban century’ • More people will live in cities and towns than in the countryside for the first time in its history • In 1991, India had 23 cities with a million or more people. A decade later, it had 35. Currently estimated close to 60, this number is e
Slide 19: Regional Markets
REGIONAL MARKETS • Tier II & III cities are catalysts of growth in India, Regional Newspapers dominate the market • SEC A & B Population is growing faster in Tier II & III Cities *Tier I : Population > 4 Mn Tier II : 1 Mn < Population <4 Mn Tier III : Population < 1 Mn Source: IRS Q3 2010 19
Slide 20: Per capita income growing faster in Tier II & III cities
Source: IRS Q3 ‘10 The Per Capita Income is growing faster in Tier II & III cities. ‘Regional Language Newspaper to play a vital role’ – Group M Report Indian Language gaining share of ad-pie Premium of English declining (On Value Basis) 2,897 Indian Language English 40% 40% 1,355 Indian 603 English
Slide 21: Luxury consumption outside metros
9BMW dealer in Jaipur sold 30 cars in 3 months 9115 Mercedes booked in a day in Aurangabad 9Punjab - 1400 Mercedes cars, 450 in Ludhiana 9Coimbatore – Audi, Porsche sold 35 cars in 2009 9Surat - 11 Mercedes (27 l - 3 c) sold in a month 950% of high end TVs are sold outside metros 9TAG Heuer - 35 uni
Slide 22: Diverse, Sustainable Business Model
DIVERSE, SUSTAINABLE BUSINESS MODEL
Slide 23: Even distribution of 18.1 MN average daily readers
UNIFORMLY DISTRIBUTED EBIDTA FROM OUR DIVERSIFIED MARKETS Our business in Madhya Pradesh, Chhattisgarh, Rajasthan, Gujarat, Haryana, Punjab, Chandigarh etc. individually contributes towards the EBIDTA, thus reducing the dependability on any one single market EVEN DISTRIBUTION OF OUR 18.1 MN AVERAGE
Slide 24: Radio business
• Launched in 2006, now operates from 17 stations in 7 states • The only Radio Company to have achieved EBIDTA positive within a short span of 2.5 years only • Advertisement revenue growth of 17.3% in Q1 FY2011-12 on YOY Basis • Achieved EBIDTA margin of 14% in Q1 FY2011-12 • Strong Competitive adva
Slide 25: Financial Highlights
FINANCIAL HIGHLIGHTS e Robust Growth in Profits e Strong Focus on ROCE e Low Debt Exposure& _4\\ High Networth — me a D 25 a Gciesone Dial fede Resha mes 2 DB Corp Lid
Slide 26: Revenues and PAT
Revenues (INR MN) PAT (INR MN) Revenues (INR MN) PAT (INR MN) 26
Slide 27: Revenue breakdown and growth drivers
Revenue Advertisement Revenue Revenue Breakdown Q1 FY2012 Revenue Growth Drivers Upward revision of ad rates at national and local level High focus on Retail Advertisers driving growth Over all Economic Conditions are positive, resulting in improved advertisement market sentiments Further
Slide 28: EBITDA and PAT growth
EBITDA Growth PAT Growth (INR MN) (Net Margin in INR MN) EBIDTA Margin PAT Margins (Net Margin) 28
Slide 29: ROCE, RONW, Debt to Equity
Return on Capital Employed (ROCE) Return on Net Worth (RONW) Debt to Equity Debt to EBIDTA 29
Slide 30: Cost structure and gross fixed assets
Newsprint Cost to Total Cost Personnel Cost to Total Cost Other Operating Cost to Total Cost Gross Fixed Assets (INR MN) 30
Slide 31: Gross Debt and Net Debt
Gross Debt (INR MN) Net Debt (INR MN) 31
Slide 32: Financial summary table
Year Ended Quarter ended Particulars (INR million) March-09 March-10 March-11 June-10 June-11 Growth % Advertising Income 7,256 8,086 10,016 2357 2832 20.2% Circulation Revenue 2,009 2,118 2,144 537 568 5.7% Total Income 9,610 10,630 12,652 2987 3537 18.4% Newsprint (4,075) (3,279) (3,838) (832) (1,
Slide 33: Management and board
Chairman - 42 years of experience Ramesh Chandra Agarwal Served as Chairman of FICCI of the MP region Managing Director of DBCL Sudhir Agarwal 25 years of experience in the publishing and newspaper business 17 years of experience. Won the E&Y ‘Young Entrepreneur of the Year 2006 ’ Award Gi
Slide 34: Thank You
THANK YOU a) 34 Sams: ese «|S tet «= eetsees «= Do Corp Lid