Saregama India Limited · NSE:SAREGAMA
Saregama India — Investor Day (2023)
46 slides from Saregama India's investor day presentation, 2023
Slide 1: RPSG Group
L— RP- Sanjiv Goenka \< > “FN Group RPSG Group
Slide 2: Growing legacies
Growing legacies 1902 1844 1899 1863 2001 2017 2021 1990 2012 1988 1989 1960 1986 Legacy is about building the future by honouring the past. With a rich heritage, RPSG Group today is one of the most revered business conglomerates of India. The Group inspires trust and credibility through its value-d
Slide 3: RPSG group: Building a diversified conglomerate
RPSG group: Building a diversified conglomerate Group turnover of ~US$4.5 Bn * Focus on Value EBITDA of Strong Addition Portfolio of ~US$700 Mn * Consumer Execution and Growth Excellence Asset base of Oriented >US$6 Billion * businesses Group Core Over Strengths 1 Million Shareholders * Focus on Ope
Slide 4: Anchored to core values
Anchored to core values Vision HUMANENESS Be fair, respectful, SUSTAINABILITY Be equally responsible To be a responsive conglomerate driven by sustainable transparent and for people, planet, growth, efficiency and innovation. sensitive profits CREDIBILITY Instill trust, confidence and accountability
Slide 5: Group’s growth trajectory
Group’s growth trajectory H in crore Revenue EBITDA Market Cap Value Capital FY23 36,901 6,106 39,997* Innovation addition Allocation Driving Single line 3.4X 4.4X 8.5X FY18 17,267 3,936 22,375 Efficiencies Cost focus businesses Setting up Scaling of Foray FY13 13,449 1,863 4,427 leadership existing
Slide 6: Our geographical presence
Our geographical presence 11 17 1 3 FSL (Data Centres) : US | UK | Philippines | Mexico | India PCBL - Plant Locations : Mundra, Gujarat | Palej, Gujarat | Durgapur, West Bengal | Kochi (Kerala) Tiruvallur (Tamil Nadu) CESC : Distribution- 6 Cities/Districts | Generation- 5 Thermal Power Plants | So
Slide 7: Our journey through the decade
Our journey through the decade • Launched 2020 personal care range – Naturali 2012 • Acquired DF for • Acquired Durban Malegaon franchise of South Ventured into IT- Quest, Eastern 2013 India’s first African League enabled services RPSG Ventures • Acquired a • Acquired a by acquiring luxury mall was
Slide 8: ESG focus
ESG focus Green Building 17 Certified Buildings & Sustainability 1.6 Mn Sq Ft of Sustainability Reports “Great Place to Operating Area – CESC and PCBL as one of the core Work” have been publishing The RP-Sanjiv Goenka values for the group – CESC, Group has received the their Sustainability ‘Be equal
Slide 9: Strategic priorities
Strategic priorities Sustainably growing our businesses Enriching portfolio of businesses Profitable Growth (Organic and Inorganic mix) by increasing share of (Focus on ROCE as KPI) value-added product and services Transforming into R&D and ESG Shareholder Innovation led culture Commitment Value Cre
Slide 10: Numerous Legacies Continuous Growth
Numerous Legacies Continuous Growth THE WORLD’S NO.1 CELEBRITY MAGAZINE Years UEST R P S G - G R O U P P R E S E N TA T I O N 10
Slide 11: India’s Largest IP Company
I N D I A ’ S L A R G E S T I P C O M P A N Y M U S I C . F I L M S . S E R I E S . L I V E .
Slide 12: Disclaimer
Disclaimer Saregama India Ltd. Disclaimer: In evaluating our business, we consider and use non-GAAP financial measures such as EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, PAT Margin, Debt to Equity Ratio, Return on Equity, to review and assess our operating performance. These non-GAAP financial
Slide 13: India’s Leading and only Entertainment Company with Diversified Business
India’s Leading and only Entertainment Company with Diversified Business Young & Entertaining @ 121 First recording of an Indian RPG Group acquired the TV Serial production Started investing in song by Gauhar Jaan. company started Carvaan launched non-film music 1902 1946 1986 2000 2001 2016 2017 20
Slide 14: Saregama Key Financial Metrics
SAREGAMA KEY FINANCIAL METRICS Revenue From Operations (INR Mn) Adjusted EBITDA (INR Mn) PBT(INR Mn) 7,366 50% CAGR 2,712 22% CAGR 58% CAGR 2,481 2,230 5,806 5,447 2,044 5,215 4,420 1,519 1,451 3,566 2,185 847 786 763 603 511 389 237 159 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY17 FY18 FY19 FY20 FY21 FY
Slide 15: Industry Overview
INDUSTRY OVERVIEW
Slide 16: Global Music Industry continues to Grow on back of Paid Streaming
Global Music Industry continues to Grow on back of Paid Streaming Streaming accounted for 10% pa 67% of global recorded music revenue in 2022 589 523 443 341 255 176 112 68 28 41 8 13 20 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 Worldwide users of paid music streaming subscrip
Slide 17: Indian Media & Entertainment Sector expected to grow on back of Digitisation
Indian Media & Entertainment Sector is expected to grow at 11% pa on the back of Digitisation Saregama has a play in multiple verticals of the Sector MUSIC VIDEO LIVE EVENTS INDUSTRY SIZE (2022) : INR 24000 Mn FILM INDUSTRY SIZE (2022) : INR 172000 Mn INDUSTRY SIZE (2022) : INR 73000 Mn NEXT 3 YEAR
Slide 18: Digitisation Driving Growth
Digitisation Driving Growth Digital Increase in Increase Boom in Increase in in App Demand for India Revenue Usage Content ~750M smart phones Music Streaming 22M connected TVs Spotify / Gaana/ Wynk SVoD Music Cheap Data Social Media Netflix / Disney / Spotify Films driving YouTube / Facebook driving
Slide 19: Company Overview
COMPANY OVERVIEW
Slide 20: Music Licensing, Music Retail, Films & Series, Live Events
MUSIC LICENSING, MUSIC RETAIL, FILMS & SERIES, LIVE EVENTS 1,574 1,024 702 Film, Series and Events 476 521 FY19 FY20 FY21 FY22 FY23 * * 4,410 21% * 3,585 * 2,839 FY23 1,949 2,361 Revenue INR 7366 Mn 61% 2,948 FY19 FY20 FY21 FY22 FY23 18% * One time income of INR 84Mn in FY23, INR 97Mn in FY22, 2,062
Slide 21: Strategic Overview
Strategic Overview To be a Pure Play Content Company capitalising on the global content consumption boom driven by the ever-increasing Digitisation Through licensing to EVERY 3rd party Digital (music, video, social) and TV platform. Monetisation of Existing IP Carvaan transitioning from being a Prod
Slide 22: India’s Largest and Most Popular Music Catalogue
Path to Leadership Position in Music Segment Disproportionate Share of New Content across Hindi & Regional Languages + Acquisition of Small & Mid size Music Catalogues using Cash Reserves + Better Monetisation Capability on the back of Catalogue + New Content strength Investments in + + Deeper artis
Slide 23: Access to Music Catalogue gives Unique Strength
Our growth strategy in Video segment Pick Films and Cast primarily basis recoveries from Pick Web Series basis pre-licensing approval Digital and TV licensing from a VoD platform + Retain IP Volume of Films / Series to drive Greater emphasis on regional movies for Portfolio building & future Cost Op
Slide 24: Music Segment
MUSIC SEGMENT LICENSING, RETAILING
Slide 25: Music Segment: Licensing
Music Segment : Licensing Music Catalogue of the Golden Era across Languages Share of Saregama’s Songs by language Others 14% Bhojpuri 1% Kannada 2% Hindi Gujrati 3% 28% Malayalam 5% 150K+ Marathi 5% Punjabi 6% Bengali Telugu 20% 7% Tamil 9%
Slide 26: Revenue from Catalogue Music continues to grow
Music Segment : Licensing Revenue from Catalogue Music continues to grow 3-pronged strategy to maximize Catalogue Revenue Releasing Derivatives Encouraging User Occasion based relevant to younger Generated Cover promotion of the generation versions Original song • LoFi • Share Royalty with the • Ins
Slide 27: 48% of Licensing Revenue now comes from 21st century songs
Music Segment : Licensing But Saregama is no longer a Catalogue Company 48% of Licensing Revenue now comes from 21st century songs FY23 150k+ songs generated Licensing Revenue INR 4,410 Mn * Era wise Breakup 2021-2023 8% 27% 2001-2020 25% 21% 1981-2000 26% 21% 1961-1980 25% 29% Till 1960 16% 2.6% Co
Slide 28: Chartbuster Songs of 2022
Music Segment :Licensing Chartbuster Songs of 2022 YouTube : 100M views Club 325M+ 325M+ 255M+ 217M+ 187M+ 165M+ 132M+ 130M+ 120M+ 105M+ 135M+ Views from all versions of the song, including lyrical, uploaded on Saregama’s official YouTube channel. Does not include UGC views Data Mining Based Predict
Slide 29: Chartbuster Songs of 2023
#li ili 5M&. #liwm #lz #12. Chartbuster Songs of 2023 HO sim #402 INDIA uf #22... #1 moe HD be #4 © #1 ics #4 #2 Kit #48, #5 aa *50n we TMZ REELS # Qrorm #1 amg #1 ae #1 inte? Him 4 Spo HOt HL tesa
Slide 30: Major Film Releases FY24: Hindi
Music Segment : Licensing Major Film Releases FY24: Hindi
Slide 31: Major Film Releases FY24: Tamil
Major Film Releases FY24 : Tamil
Slide 32: Major Film Releases FY24: Telugu
Major Film Releases FY24 : Telugu
Slide 33: Major Film Releases FY24: Malayalam
Major Film Releases FY24 : Malayalam
Slide 34: Making Money from Music Licensing
Making Money from Music Licensing A. Music Streaming Apps (OTT) B. Social Media Platforms (incl. Video sharing Apps) Saregama has 32 channels on YouTube with a cumulative subscriber Saregama Music is licensed to multiple Global Platforms base of over 84 Mn (i.e. 31% increase from FY22 base of 64 Mn)
Slide 35: Making Money from Music Licensing
IMDb Dil Bekaraar Making Money from Music Licensing C. Video streaming platforms D. Broadcasting Platforms – TV Channels, Brands With the rising popularity of video streaming in India, • Saregama Licenses its music to Television Channels for use in platforms like Netflix, Disney+ Hotstar, Amazon, MX
Slide 36: Music Segment: Retailing
Music Segment : Retailing India’s most "DIFFERENTIATED" and "PREMIUM" music brand Brand Attributes Product wise Volumes (FY23) Convenience 35+ Carvaan Volumes (lacs) of Use Segment 9.1 7.4 27% 5.6 34% 3.9 4.0 3.5 39% Premium Nostalgia FY18 FY19 FY20 FY21 FY22 FY23 Carvaan Mini Mobile
Slide 37: Video Segment
VIDEO SEGMENT FILMS, SERIES AND TV
Slide 38: Video Segment: Films & Series
Video Segment : Films & Series • Yoodlee Films is Saregama’s production house focussed on creating content for theatrical releases and 3rd party digital platforms & TV • Saregama issues period-based licenses for its movies to these platforms for a fixed-fee • Yoodlee films, as a studio is positioned
Slide 39: Video Segment: Upcoming Releases
Video Segment : Films & Series Upcoming Releases 39
Slide 40: Video Segment: TV Serials
Video Segment : TV Serials Tamil TV Serials The revenue stream is through sale of commercial time • Saregama is leading TV series content producer for Southern (advertising slot). The Company also monetises these serials channels. In the past, it also produced shows for Hindi GECs, but due on digita
Slide 41: Live Events
LIVE EVENTS
Slide 42: Live Events
Live Events Started Live Music Events “Saregama Live” with a bang with India’s biggest live Performance star Diljit Dosanjh. • 14 concerts were held in FY23 • India : Gurgaon, Jalandhar, Mumbai and Jaipur • Canada : Vancouver, Calgary, Winnipeg, Toronto • USA : Newark, Fairfax, Dallas, Houston, Cali
Slide 43: Financials
FINANCIALS
Slide 44: Financial Summary
Financial Summary Particulars (INR Mn) FY23* FY22 Y-o-Y Growth FY21 Revenue from Operations (A) 7,366 5,806 27% 4,420 Total Expenses (B) 4,654 3,576 30% 2,969 Adjusted EBIDTA (C= A-B) 2,712 2,230 22% 1,451 Adjusted EBIDTA Margin (%) 37% 38% 33% Content Charge (D) 679 463 47% 179 Depreciation (F) 31
Slide 45: Financial Charts (Consolidated)
FINANCIAL CHARTS (CONSOLIDATED) Revenue from Operations Music Licensing Revenue Content Charge (INR Mn) PAT (INR Mn) (Turnover) (INR Mn) (INR Mn) * 1,890 4,410 679 * 7,513 1,526 3,585 * 5,806 463 * 5,447 2,839 1,135 5,215 2,361 4,420 1,949 543 179 176 435 99 FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 F
Slide 46: Thank You
THANK YOU