Jagran Prakashan Limited · NSE:JAGRAN
Jagran Prakashan — Q2 FY2019 Earnings Presentation
30 slides from Jagran Prakashan's earnings presentation, Oct 31, 2018
Slide 1: Intimation to Stock Exchange - Investor Presentation
THE WORLD'S LARGEST READ DAILY Jagran October 31, 2018 1) Manager-CRD, BSE Ltd., Re: Jagran Prakashan Limited Phiroze Jeejeebhoy Towers, Scrip Code: 532705 Dalal Street, ISIN No.: INE199G01027 Mumbai -400001 2) Listing Manager, National Stock Exchange of India Ltd., Re: Jagran Prakashan Limited 'Exc
Slide 2: Q2 FY19 Result Presentation
Jagran Prakashan Limited Q1FY17 Q2 FY19 Result Presentation 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: Management Commentary
Management Commentary Comment from Chairman and Managing Director “The quarter unexpectedly delivered disappointing results in spite of our best efforts such as taking the increase in cover prices wherever possible and keeping the cost under check. We could mitigate some impact of steep fall in reve
Slide 5: Reward to Shareholders
Jagran Reward to i) an oO oc —S je) a= oO o ® a= op
Slide 6: An Attractive Shareholder Return
An Attractive Shareholder Return Dividend % 175% 175% 100% 200% 175% 150% 150% (on FV) PAT 404.9 Dividend paid + Buy Back 350.8 349.3 308.0 302.3 310.9 254.7 226.2 207.8 178.3 164.0 128.6 128.6 137.4 114.7 52.7 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18* BUY BACK of 1.50Cr BUY BACK of 50L BUY BACK of 1
Slide 7: MBL Continues Group's philosophy of REWARDING
MBL Continues Group’s philosophy of REWARDING Buy Back Details Update on Buy Back ▪ Continuing the Group’s philosophy to reward Shareholders As on 30th October 2018: ▪ Promoters & Key Managerial Personnel will NOT participate in Buy Back Particulars INR Nos of Shares ▪ Buy Back Route ▪ Open Market ▪
Slide 8: Business Performance
Business Performance 7
Slide 9: New Generation Business Performance
De-Risked Business Model Operating Revenue Operating Profit Profit Before Tax Revenue Breakup – H1 FY19 6% +9.2% +21.1% +35.0% New Generation Business Performance 2% 247 226 49 38 41 28 13% H1FY18 H1FY19 H1FY18 H1FY19 H1FY18 H1FY19 79% CAGR 13% CAGR 20% CAGR 32% 468 82 59 289 Print Radio City Digita
Slide 10: Challenging Period for Print Business
Challenging Period for Print Business Current Situation Going Forward Negative Consumer Impact seen in Automobile & Shift of Festive Festive Season in Q3 Sentiments Education Sector Season Lower government ad revenue Rising Newsprint Cost by ~40% & Loss of tender business due to Recovery in Local Ad
Slide 11: Cost pressures dents profitability
Cost pressures dents profitability Raw Material to Sales Other Expense to Sales 39% 35% 36% 33% 36% 35% FY17 FY18 H1FY19 FY17 FY18 H1FY19 Other costs kept No compromise Unprecedented Lowest amongst under check in made with long rise in newsprint peers spite of currency term sustainability cost volat
Slide 12: Radio continues to maintain 33%+ EBITDA Margins
Radio continues to maintain 33%+ EBITDA Margins Operating Revenue Operating Profit Profit Before Tax New Expansion Markets have grown 3x faster as compared to Multiple Frequency Markets +6.6% +13.4% +20.3% 156 53 42 146 46 35 Rate hike in top 12 markets Healthy utilizations ✓ Legacy Markets: ~70% ✓
Slide 13: Outdoor & Events Operating Performance
Outdoor & Events Operating Performance Operating Revenue Operating Profit Profit Before Tax Ban on outdoor flex in +9.7% -95.4% 2.0 0.6 Bangalore from August 2018 70 64 Won Second Phase Media 0.1 Rights of Lucknow Metro for 9 -1.1 years H1FY18 H1FY19 H1FY18 H1FY19 H1FY18 H1FY19 12 In Rs. Crs
Slide 14: Digital Operating Performance
Digital Operating Performance Operating Revenue Operating Profit Launched HerZindagi for English audience of lifestyle/women segment +30.4% 21 16 Unique users grew by 25% to 40 mn (Comscore Multi- -4 platform August 2018) Jagran.com - #1 Hindi & Info -8 Site (30 mn unique visitors) H1FY18 H1FY19 H1F
Slide 15: Digital Performance
Digital Performance 52 Radio stations in 11 languages & 900+ playlists have generated a listenership of 45 Million 3.9 Mn Likes Applications 3.04Lac Followers Launched: 0.73 Lac Followers 83 Mn Views Web Presence Facebook - Vidooly ranked Radio City no.1 against Radio Competition Twitter - Gig City
Slide 16: Digital – Investing to Build leadership
Digital – Investing to Build leadership Our Digital Media Portfolio Indian website in overall Healthcare Industry with 5.01 Mn Unique Users • For the quarter ended September Education category 2018 growth in Digital with over 8.3 Mn Advertisement Revenue mn unique #2 Unique Visitors users ✓ 35% YoY
Slide 17: Financial Performance
Financial Performance
Slide 18: Mid-day Financial Performance
Mid-day Financial Performance Particulars (Rs. in Crs) Q2 FY19 Q1 FY19 Q2 FY18 Operating Revenue 25.85 27.97 28.35 Advertisement 19.20 21.31 20.84 Circulation 5.94 5.98 6.71 Other Operating Income 0.72 0.68 0.79 Expenses 22.95 23.19 24.57 Operating Profit 2.90 4.78 3.78 Operating Profit Margin 11.24
Slide 19: MBL Financial Performance
MBL Financial Performance Particulars (Rs. in Crs) Q2 FY19 Q1 FY19 Q2 FY18 Operating Revenue 80.14 75.68 75.82 Expenses 53.58 49.62 51.60 Operating Profit 26.56 26.06 24.22 Operating Profit Margin 33.14% 34.42% 31.95% Other Income 3.60 2.42 4.99 Depreciation 6.70 6.74 6.67 Interest 1.38 1.38 3.83 Pr
Slide 20: Operating Margin Break-up
Operating Margin Break-up Particulars (Rs. in Crs) Q2 FY19 Q1 FY19 Q2 FY18 Dainik Jagran* Operating Revenue 351.58 400.46 371.91 Operating Profit 77.74 133.15 113.98 Operating Margin 22.11% 33.25% 30.65% Other Publications* Operating Revenue 81.86 81.99 86.13 Operating Profit -0.95 3.99 4.97 Operati
Slide 21: Consolidated Profitability Statement
Consolidated Profitability Statement Rs In Cr Q2 FY19 Q2 FY18 YoY Q1 FY19 QoQ H1 FY19 H1 FY18 YoY FY18 Revenues 553.4 566.5 -2% 602.6 -8% 1,156.0 1,157.9 0% 2,304.0 Advertisement Revenue * 398.5 421.5 445.3 843.9 860.7 1,697.2 Circulation Revenue 110.4 106.3 109.7 220.1 214.9 432.6 Others 44.5 38.7
Slide 22: Consolidated Balance Sheet
Consolidated Balance Sheet ASSETS (Rs. In Cr) Sep-18 Mar-18 EQUITY AND LIABILITIES (Rs. In Cr) Sep-18 Mar-18 Non-Current Assets 1,987.8 2,051.3 Equity 1,996.7 2,287.1 Property, plant and equipment incl. CWIP 490.1 513.7 Capital Work in Progress 29.4 12.1 Equity share capital 59.3 62.3 Investment Pro
Slide 23: Group Introduction
Group Introduction Group Introduction
Slide 24: Value Proposition
Value Proposition PRINT RADIO DIGITAL Print Non Print Strong GROWTH Potential: FASTEST growing Undisputed LEADER: RIGHT mix of stability media: and scalability: ✓ Reaping benefits of geographical ✓ Dainik Jagran leads the IRS 2017 expansion and diversified market rankings with a total readership ✓ P
Slide 25: Jagran Today
Jagran Today Print Digital Radio Jagran Prakashan Limited holds 71.49% of Music Broadcast Limited Activation OOH (RadioCity) Note: Post Buyback of shares by Music Broadcast, Jagran Prakashan’s holdings have increased to 71.49% from 70.58% (September 2018) 24
Slide 26: Multi Media Conglomerate – Width, Depth and Heritage
Multi Media Conglomerate – Width, Depth and Heritage Two #1* Print India’s Largest* 77+ mn* Dailies, Dainik Jagran Readers (Hindi) and Inquilab read daily- Dainik (Urdu) #9 News / Jagran 9 Print Information Category Publications with over 40.2 mn and 1 10 Digital unique visitors Magazine Media Porta
Slide 27: Brand Strength – Stability, Consistency and Trust
Brand Strength – Stability, Consistency and Trust PRINT BUSINESS DIGITAL BUSINESS RADIO BUSINESS 26
Slide 28: Geographical Reach – From Jammu to Tamil Nadu
Geographical Reach – From Jammu to Tamil Nadu Jalandhar Hissar Patiala Karnal Enhancing Pan Bikaner Delhi Bareilly India Presence Agra Jaipur Lucknow Gorakhpur Ajmer Gwalior Kanpur Print Presence : Patna Udaipur Varanasi Kota Ranchi 13 State Ahmedabad Kolkata Baroda Jamshedpur Jalgaon Surat Akola Na
Slide 29: Awards
Awards Recognising Group’s leadership position in different fields of operations, various distinguished bodies like INMA, WAN IFRA, Golden Mikes, Abbys, ACEF, WOW etc. have bestowed 32 Awards upon the Group during the quarter MBL Best Companies to Work Golden Awards of Goa Fest WAN-IFRA Awards Montr
Slide 30: 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. Payal Sheth Contact: +91 9820452239, Email: payal.sheth@sgapl.net