Db Corp. Ltd. · NSE:DBCORP
Db — Non-Deal Roadshow (January 2015)
23 slides from Db's roadshow presentation, January 2015
Slide 1: DB Corp Ltd. Investor Presentation January 2015
DB Corp Ltd. Investor Presentation _ January 2015 afta arewz | TO BE THE LARGEST AND MOST ADMIRED MEDIA BRAND ENABLING SOCIO-ECONOMIC CHANGE VALUES CREDIBILITY & INTEGRITY INNOVATIVE & ENTREPRENEURIAL RESPECT & APPRECIATION PILLARS EMPOWERED TALENT INNOVATIVE PRODUCTS & PROCESSES ETHICAL GOVERNANCE
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 Dainik Bhaskar Group (DB Corp Ltd.) about its business and the industry
Slide 3: Print Industry Revenues and Media Spend as % of GDP
Print Industry Revenues (Rs bn) Media Spend as % of GDP o wth 8.6% CAGR Gr 243 224 209 51 193 46 175 42 36 50 30 45 41 37 31 62 57 59 49 53 67 69 74 81 65 2009 2010 2011 2012 2013 Sub Rev Eng. Ad Rev Hin. Ad. Rev Ver. Ad. Rev § M&E industry size was Rs 918 bn in 2013, which grew by 11.8% over 2012.
Slide 4: Readership population and Indian language gaining share of ad-pie
Can Read Population (in ‘000) Newspaper Reach (in ‘000) 26% Growth (Growth From 2007 – 2012) (Growth From 2007 – 2012) 9% Growth 11% Growth 41% Growth Indian Language gaining share of ad-pie English 50% English 38% Indian Language 62% Indian Language 50% 2005 : Rs 69 bn 2013 : Rs 163 bn Source: IRS
Slide 5: Advertising spend share by medium 2005 vs 2013
2005 2013 7% 1% 8% 3% 6% Television 4% 42% 37% Print Radio OOH 48% Online 45% 2005- Rs. 130.4 bn 2013- Rs. 363 bn Source: FICCI KPMG Report , IRS , TAM Adex 55
Slide 6: 44.2 million total readership in India's fastest growing markets
Around 44.2 million Total Readership &19.8 MN Daily readers in India’s fastest growing markets 66
Slide 7: A Leader in Print Readership, operating in the highest growth markets in India
A Leader in Print Readership, operating in the highest growth markets in India Leadership in Multiple States – Emerging Tier II & III Cities • Madhya Pradesh, Chhattisgarh, Rajasthan, Gujarat, Haryana, Punjab, Chandigarh, Maharashtra, Himachal Pradesh, Uttarakhand, Jharkhand, Bihar, Jammu & Kashmir
Slide 8: India state-wise presence
INDIA 29 States 7 Metros (English Play) 7 Union Territories Delhi, Mumbai, Chennai Less: 7 NE States Hyderabad, Kolkata, Less: 6 Union Territories (Non Focused Markets) Bangalore, Pune (Non Focused Markets) Remaining: Major 22States Remaining: (Major) 1 U.T.Chandigarh Hindi Bengali Oriya Marathi Guj
Slide 9: Even distribution of our 19.8 mn average daily readers
EVEN DISTRIBUTION OF OUR 19.8 MN AVERAGE DAILY READERS Readership – IRS12 Q4 Maharashtra, 7% CPH, 12% Jharkhand, 4% Gujarat, 19% Rajasthan, 32% MP & Chhattisgarh 26% CPH – Chandigarh, Punjab & Haryana 99
Slide 10: Market leadership and focus areas
• Dominant & leading player in Madhya Pradesh, Chhattisgarh, Haryana, Chandigarh, Urban Rajasthan, key cities of Gujarat and Punjab. Our focus is to further improve our lead • Rural Rajasthan, Rural Punjab and overall turnaround of Gujarat is current focus area • Post experiencing huge success & acc
Slide 11: Content and brand building initiatives
• Monday – No negative news concept in the paper • Sunday – Jacket Content Concept • City Bhaskar – For youth and women readership • New National Editorial Structure to focus on development of rural editions • Dainik Bhaskar has embarked on a Brand Building exercise. To continually add value to its
Slide 12: Sustained & Relentless Focus on Non-Print Media Strategy
SUSTAINED & RELENTLESS FOCUS ON NON- PRINT MEDIA STRATEGY.......... DB Corp Ltd
Slide 13: Radio business
• Launched in 2006, now operates from 17 stations in 7 states, namely M.P., C.G., Punjab, Gujarat, Rajasthan, Chandigarh, Maharashtra • Leading radio station in majority of 17 markets. • Our Radio Business has achieved EBITDA breakeven in record 2.5 years time, from the time of operations of all 17
Slide 14: Digital business
• Our online presence is in Hindi, Gujarati and Marathi, which account for 75% of India’s regional language audience - as well as in English. • Significant progress in growth of UV & PV, our Unique Visitors have grown to 18 million from 12 million last year. Collective page views stands at 540 milli
Slide 15: New digital properties and mobile strategy
• DBCL launched new titles/ properties Bollywoodbhaskar.com, Businessbhaskar.com, Dainikbhaskar.com/UP & Moneybhaskar.com. • The only fully independent digital media organization in country with editorial force of 250 people and total strength of 400+, operating with independent infrastructure, cont
Slide 16: Consolidated Financial Highlights
CONSOLIDATED FINANCIAL HIGHLIGHTS ¢ Robust Growth in Profits ¢ Strong Focus on ROCE & RONW ¢ Low Debt Exposure, High Net worth & Strong Balance Sheet 2 @e e ad DB Corp Ltd aie urwe féce1 cu2s2
Slide 17: Robust Advertisement & Revenue Growth
ROBUST ADVERTISEMENT & REVENUE GROWTH Advertisement Revenue (Mn) 14178 7.8% th 14.3% YOY G rowth CA GR Grow 11,281 12,075 11,623 10,034 10,778 8,085 7,256 th 6.2% YOY Grow 4,035 4,283 FY09 FY10 FY11 FY12 FY13 FY14 FY14 Q3 FY15 Q3 9 mnths 9 mnths Dec YTD Dec YTD FY14 FY15 Total Revenue (Mn) th 14.4%
Slide 18: EBITDA and PAT Growth & Margin
EBITDA Growth & its Margin (INR MN) h 30% th 11.5% CAGR G rowt YOY Grow th 15.4% YOY Grow FY 14 FY 15 9 mnths 9 mnths FY 09 FY 10 FY 11 FY 12 FY 13 FY 14 Dec YTD Dec YTD Q3 Q3 FY14 FY15 PAT Growth & its Margin (INR MN) th 9.4% 45% YOY Grow CAGR Growth th 11.3% YOY Grow FY 14 FY 15 9 mnths 9 mnths FY
Slide 19: Matured vs emerging editions results
Rs MN 9 mnths 9 mnths Q3 Q3 YTD Dec YTD Dec (FY 13-14) (FY 14-15) (FY 13-14) (FY 14-15) Particulars Matured Emerging DBCL Matured Emerging DBCL Matured Emerging DBCL Matured Emerging DBCL Topline 4503 461 5203 4589 635 5573 12306 1198 14089 12747 1742 15395 EBIDTA(Before 1569 (10) 1672 1739 44 1876
Slide 20: Return on Capital Employed and Return on Net Worth
Return on Capital Employed (ROCE) 31.9% 34.1% 34.5% 33.1% 34.5% 26.7% 28.1% 14.8% FY09 FY10 FY11 FY12 FY13 FY14 Q3 FY14 Q3 FY15 Return on Net Worth (RONW) 31.6% 28.7% 26.9% 25.8% 25.9% 22.0% 21.4% 20.2% FY09 FY10 FY11 FY12 FY13 FY14 Q3 FY14 Q3 FY15 20 20
Slide 21: Consolidated financial summary
Year Ended Quarter Ended Particulars (INR million) Mar-11 Mar-12 Mar-13 Mar-14 Q3 FY14 Q3 FY15 Growth % Advertising Income 10030 11281 12075 14178 4035 4283 6.2% Circulation Revenue 2144 2422 2823 3235 830 969 16.8% Total Income 12794 14755 16137 18836 5256 5574 6.1% Newsprint (3838) (5070) (5446) (
Slide 22: Management and board profiles
n Chairman - 44 years of experience Ramesh Chandra Agarwal n Served as Chairman of FICCI of the MP region n Managing Director of DBCL Sudhir Agarwal n 27 years of experience in the publishing and newspaper business n 19 years of experience. Won the E&Y ‘Young Entrepreneur of the Year 2006 ’ Award Gi
Slide 23: Thank You
THANK YOU afta arewz | TO BE THE LARGEST AND MOST ADMIRED MEDIA BRAND ENABLING SOCIO-ECONOMIC CHANGE VALUES CREDIBILITY & INTEGRITY INNOVATIVE & ENTREPRENEURIAL RESPECT & APPRECIATION PILLARS EMPOWERED TALENT INNOVATIVE PRODUCTS & PROCESSES ETHICAL GOVERNANCE