Dish TV India Limited · NSE:DISHTV
Dish TV India — Investor Presentation (2020)
36 slides from Dish TV India's investor presentation, 2020
Slide 1: Dish TV India Limited Investor Presentation
Dish TV India Limited Investor Presentation Stock Code: BSE - 532839 NSE- DISHTV LSE: DTVL 1
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: Investment rationale
Investment rationale Strategic partnerships to Leading distribution fuel growth platform in India Partnership with Amazon Prime Video, Amazon Alexa, ShortsTV, Zee5, Hungama Amongst both cable TV and DTH 01 Play, Voot, Sony Liv, Alt Balaji and many players more 07 06 Annuity business Annuity business
Slide 4: Leading distribution platform
Leading distribution platform Total Revenues (Rs Bn.) Year ending 31 March 2020 50 36 29 24 25 18 16 13 0 Dish TV India Airtel Digital TV GTPL Hathway Hathway Cable & Datacom SITI Networks Den Networks EBITDA (Rs Bn.) Year ending 31 March 2020 24 21 20 16 8 5 4 3 2 0 Dish TV India Airtel Digital TV
Slide 5: Supremacy in tier-2 and rural areas
Supremacy in tier-2 and rural areas DTH - easiest to reach / most economical for TV viewing TV viewing is Distributed a family affair row houses India outside big cities Growing Large family penetration size of wireless broadband Negligible Unfeasible to requirement lay fibre/ for wired wired broadb
Slide 6: Multiple product offerings
Multiple product offerings Online Linear TV Dish SMRT HUB Apps** Access to more than 500,000 Apps & games from Google Play store Access to satellite D2H stream TV channels Access to curated content across genres and premium original shows HD quality content Dish SMRT Kit – with Alexa 6 ** Brand logo
Slide 7: Stay connected on the go - WATCHO
Stay connected on the go - WATCHO Personalized TV experience everywhere • The first OTT service to feature user generated & Growing content allowing users to create and upload their own content • Focused on short format storytelling - apt for digital consumption • 22 original shows and 1000+ hours o
Slide 8: Indian TV Industry
disht @ Indian TV Industry
Slide 9: The Indian TV industry
The Indian TV industry TV Industry Size (INR Bn.) 2018 2021 2022P 495 388 2022 INR 495 Bn. TV subscription revenues 298 m 311 m 2020P 449 341 Total households (in Mn.) CAGR of 2% (2019-2022P) 2019 468 320 0 200 400 600 800 1000 Total TV households (in Mn.) 197 m 220 m Subscription revenues Advertisi
Slide 10: TV viewing HHs - Pay & FTA
TV viewing HHs - Pay & FTA TV households 197 Mn. Pay -TV Non - Pay 163 Mn. 34 Mn. Cable Subs DTH Subs Free Dish 94 Mn. 70 Mn. 30 Mn. 10 Source: TV & Pay – TV HH: BARC Universe Update 2018; Distribution by platform: MPA Report 2018, DTH: TRAI Dec. 2019; Free Dish subscriber base: Prasar Bharti websit
Slide 11: TV viewing in India
TV viewing in India Share of TV viewership universe across age groups TV continues to remain the most popular form of entertainment Senior (>50 years) Kids Avg.daily Daily tune in on TV: 16% (2-14 years) time spent 836 Mn. Individuals 20% per individual 03:42:00 14% (hh:mm:ss) Youth (15-30 Adults ye
Slide 12: Popular across age groups despite rising internet penetration
Popular across age groups despite rising internet penetration Share of TV viewership universe by age groups All India internet penetration- 54% (in Mn. impressions) Broadband subscribers (in Mn.) 700 2-14 yrs 643 22% growth 600 15-30 yrs 507 500 400 31-40 yrs 345 300 218 41-50 yrs 200 120 100 70 51+
Slide 13: Emergence of OTT
Emergence of OTT The global OTT phenomenon Low cost of OTT vs Pay -TV drove adoption Annual cost of Netflix 1/10th of Pay -TV cost in the US 80 1,439 54 1,131 1,064 997 30 8 11 7 11 8 8 6 103 USA Australia Sweden Mexico Nigeria DirecTV Charter Dish Comcast Netflix Pay TV monthly ARPU (USD) OTT month
Slide 14: IPTV as an offering
disht IPTV as an offering
Slide 15: Typical IPTV ecosystem
IPTV Typical IPTV ecosystem High rise High speed Smart devices broadband Infrastructure Affordability Consumer Content & High speed wired broadband connected readiness services devices Densely populated cities Last mile high speed Penetration of smart & high-rise housing wired broadband devices pene
Slide 16: IPTV - Reality check
IPTV - Reality check Winning IPTV subscribers. Is it as easy as gaining telecom customers? Telecom IPTV Capex requirement Low Front loaded Physical Infrastructure requirement Low High Ground Task force Negligible Huge Overall cost of delivery Low Extremely high per home Distribution/reaching the las
Slide 17: Global fixed broadband penetration & TV platform take-up
Global fixed broadband penetration & TV platform take-up Fixed Broadband penetration as a % of Household TV platform take-up as proportion of TV homes (%) South Korea 105% IND 1 42 15 42 Hong Kong 93% BRA 1 27 14 46 12 Singapore 88% ITA 2 69 30 UK 84% POL 3 14 49 12 22 US 82% GER 6 6 44 24 19 Austra
Slide 18: IPTV as an offering – An oversimplification of market thesis
IPTV as an offering – An oversimplification of market thesis IPTV as a threat to DTH – An oversimplification of market thesis! Have we seen this before? • Mandatory digitization of analog cable signals (Digital Addressable Systems), started in 2012, was perceived to be a threat to DTH • DTH had the
Slide 19: IPTV as an offering – An oversimplification (continued)
IPTV as an offering – An oversimplification .. (continued) • However, in reality, DTH emerged stronger than ever before post the event: IPTV as a threat to DTH – An oversimplification of market thesis 19
Slide 20: DTH supremacy
DTH supremacy Increased capacity & content throughput Extremely Consumption of Declining Consolidation in efficient, low bandwidth transponder cable & Web Design cost, video heavy content Consulting costs – an implementation delivery likely to opportunity of the Tariff platform increase going Order
Slide 21: Impact of changes in environment on DTH: mobility/fixed line
Impact of changes in environment on DTH: mobility/fixed line Wireless data usage and growth India broadband uptake as % home passed Dec. 2019 90000 332.8% 350.0% 6.00 18.0% 5.60 80000 76,319 16.0% 300.0% 5.00 15.9% 70000 14.0% 237.6% 250.0% 60000 4.00 12.0% 12.2% 11.8% 50000 200.0% 10.0% 46,404 3.00
Slide 22: Impact of changes in environment on DTH: FTTH
Impact of changes in environment on DTH: FTTH Fibre not a game changer! FTTH Value addition to consumer experience High speed There are no specific applications which need 1Gbps connectivity and till these applications evolve customers would not necessarily jump onto the Very High Speed broadband. D
Slide 23: Impact of changes in environment on DTH: FTTH vs fixed line
Impact of changes in environment on DTH: FTTH Fibre not a game changer .. even when compared to existing fixed line broadband Netflix ISP leader board – February 2020 4.10 3.86 3.60 3.62 3.52 3.49 3.45 3.41 3.10 3.18 3.17 2.60 2.10 1.60 Jio Giga Fiber 7 Star Digital Airtel SPECTRA You Broadband ATRI
Slide 24: Impact of changes in environment on DTH: New Tariff Regime
Impact of changes in environment on DTH: New Tariff Regime Creation of a level Overall margin playing field vis-à- expansion vis cable Web Design Consulting Pass through of Network carriage content costs to New Tariff fees to provide de-risk the Regulations revenue stability business Web Building eS
Slide 25: Roadmap
disht @ Roadmap
Slide 26: Dish TV India – The road ahead
Dish TV India – The road ahead FY 2020-2021 – Well positioned to address evolving video needs • Constant increase in content throughput and capacity; strengthening ability to compete • Technological innovations to enable subscribers to watch content anywhere, anytime • VDSP – Partnering with telcos
Slide 27: New customer centric 'Dish Combos'
New customer centric ‘Dish Combos’ English Cricket HD Rs. 57* Rs. 57* Telugu HD All Hindi Rs. Bharat Combo Swagat Super Family HD 197* @ Rs. 161* @ Rs. 225* @ Rs. 277* Rs. 70* Marathi Dish HD HD Hindi add-on Rs. packs Entertainment HD 133* Rs. 71* Bangla HD English Movies, Rs. News & Music HD 100* R
Slide 28: Our core values
disht’) @ Our core values dishtY”) | @ mee KEEP GROWING. W STAY Camry GROUNDED. a . DACIOU Values that make us extraordinary together GOALS B AU ©) CUSTOMER FIRST ( RESPECT HUMILITY INTEGRITY \ COLLABORATION iS _) BR’ 23
Slide 29: Financials
disht @ Financials
Slide 30: Quarterly performance metrics
Quarterly performance metrics P&L structure – 4Q FY20 Subscription revenues Subscription revenues 4% INR 7,766 million Additional marketing, 6% promotional fee and 1% Consolidated bandwidth charges Advertisement income Operating revenues revenues INR 8,691 million Others 89% Programming and other co
Slide 31: Summarized consolidated P&L - Quarterly
Summarized consolidated P&L - Quarterly 4QFY 2020 vs. 4QFY 2019 Quarter ended Quarter ended INR Million Mar. 2020 Mar. 2019 Operating revenues break-up (Rs. mn) Operating revenues 8,691 13,987 Expenditure 3,258 9,838 Subscription revenues 121 502 EBITDA 5,432 4,150 302 EBITDA margin (%) 62.5 29.7 Ad
Slide 32: Annual performance metrics
Annual performance metrics P&L structure – FY20 Subscription revenues Subscription revenues 4% 2% INR 31,928 million 5% Additional marketing, promotional fee and bandwidth charges Consolidated Advertisement income Operating revenues revenues Others INR 35,563 million 90% Programming and other costs
Slide 33: Summarized consolidated P&L - Annual
Summarized consolidated P&L- Annual FY 2020 vs. FY 2019 Year Year ended ended INR Million Mar. – 2020 Mar. – 2019 Operating revenues break-up (INR Mn.) Operating revenues 35,563 61,661 Expenditure 14,504 41,218 Subscription revenues EBITDA 21,060 20,443 552 1,670 1,413 EBITDA margin (%) 59.2 33.2 Ot
Slide 34: Consolidated Balance Sheet
Consolidated Balance Sheet INR Million March 2020 (Audited) Equity and liabilities Equity (a) Equity share capital 1,841 (b) Other equity 36,657 Equity attributable to owners of Holding Company 38,498 (c) Non-controlling interest (521) Liabilities (1) Non-current liabilities (a) Financial liabilitie
Slide 35: Consolidated Balance Sheet - Assets
INR Million March 2020 (Audited) Assets (1) Non-current assets (a) Property, plant & equipment 28,488 (b) Capital work in progress 6,227 (c) Goodwill 28,170 (d) Other intangible assets 20,155 (e) Intangible assets under development 5,250 (f) Financial assets (i) Investments - (ii) Loans 108 (iii) Ot
Slide 36: Thanks
disht @ Thanks