Slide 1: DB Corp Ltd. Investor Presentation April 2015
DB Corp Ltd. Investor Presentation April 2015 cites ree | TO BE THE LARGEST AND MOST ADMIRED MEDIA BRAND ENABLING SOCIO-ECONOMIC CHANGE VALUES PILLARS CREDIBILITY & INTEGRITY INNOVATIVE & ENTREPRENEURIAL RESPECT & APPRECIATION 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 263 243 224 57 209 51 193 46 42 54 36 50 45 37 41 62 65 57 59 53 69 75 81 87 67 2010 2011 2012 2013 2014 Sub. Rev Eng. Ad. Rev Hin. Ad. Rev Ver. Ad. Rev. M&E industry size was Rs 1026 bn in 2014, which grew by 11.7% over 2013. Expected CAGR g
Slide 4: Can Read Population and Newspaper Reach
Can Read Population (in ‘000) Newspaper Reach (in ‘000) 26% Growth (Growth From 2007 – 2012) (Growth From 2007 – 2012) 87 320 87,320 59,378 6,252 1,526 English Hindi English 9% Growth Hindi 11% Growth 41% Growth I di Language Indian L gaining i i share h off ad-pie d i English English 50% 37% Region
Slide 5: Television, Print and Radio share of media 2005 vs 2014
2005 2014 7% 1% 11% 2.50% 5% Television 4% 37% 42% Print Radio OOH Online 48% 43% 2005- Rs. 130.4 bn 2014- Rs. 414 bn Source: FICCI KPMG Report 2015 55
Slide 6: 44.2 MN Total Readership and 19.8 MN Daily readers
Around 44.2 MN 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 • M Madhya dh Pradesh, Chhattisgarh, Rajasthan, Gujar at, Haryana, Punjab, Chandigarh, Mahar ashtra, Himachal Pradesh, Uttarakhand, Jharkhand, Bihar, Jammu & K
Slide 8: 14 States, Hindi, Gujarati and Marathi Editions
State 01 14 States d Editions Hindi dto s 05 37 Hindi d Editions dto s Gujarati Edition 00 07 Gujarati Editions Marathi Edition 00 07 Marathi Editions Languages 01 04 Languages Readership (MN) 32 3.2 19.8 19 8 Readership (MN) 88 8
Slide 9: India: DB Corp markets by state
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 10: 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% Chandigarh, Punjab, Harya Jharkhand, 4% na, 12% Gujarat, 19% Rajasthan, 32% Madhya Pradesh & Chhattisgarh, 26% 10 10
Slide 11: Dominant leading player
• 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 12: Monday no negative news; Sunday Jacket Content concept
• Monday – No negative news concept in the paper • Sunday – Jacket Content Concept • City Bhaskar – For youth and women readership • p New National Editorial Structure to focus on development of rural editions • Dainik Bhaskar has embarked on a Brand Building exercise. exercise To continually add va
Slide 13: Sustained & Relentless Focus on Non-Print Media Strategy
SUSTAINED & RELENTLESS FOCUS ON NON- PRINT MEDIA STRATEGY.......... DB Corp Ltd a f2ce1 nase fatcr vert EE DEIDIGITAL 13
Slide 14: Radio business: 17 stations in 7 states
• Launched in 2006, now operates from 17 stations in 7 states, namely Madhya Pradesh, Chhattisgarh, Punjab, Gujarat, Rajasthan, Chandigarh, Maharashtra • Leading radio station in majority of 17 markets. markets • Our Radio Business has achieved EBITDA breakeven in record 2.5 years time, from the tim
Slide 15: Digital business: online presence and growth
• 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 16: New digital properties and mobile strategy
• DBCL launched new titles/ properties Bollywoodbhaskar.com, Businessbhaskar.com, Dainikbhaskar.com/UP & Moneybhaskar com 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 inf
Slide 17: Consolidated Financial Highlights
CONSOLIDATED FINANCIAL HIGHLIGHTS ¢ Robust Growth in Profits ¢ Strong Focus on ROCE & RONW ¢ Low Debt Exposure, High Net worth & Strong Balance Sheet 3 DB Pn Ltd — Stca enene faaraercdt Er DEQDIGITAL 17
Slide 18: Robust Advertisement & Revenue Growth
ROBUST ADVERTISEMENT & REVENUE GROWTH Advertisement Revenue (Mn) 14178 12,075 11,623 11,281 10,778 10,034 8,085 7,256 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) 18 836 18,836 16,137 15,400 14,755 14,214 12,794 10,630 9,610 5
Slide 19: EBITDA Growth & its Margin; PAT Growth & its Margin
EBITDA Growth & its Margin g (INR ( MN)) 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) 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 19 19 19
Slide 20: 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 21: 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 21 21
Slide 22: Summary financials (INR million)
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 23: Board of Directors and Management
Chairman - 44 years of experience Ramesh Chandra Agarwal Served as Chairman of FICCI of the MP region Managing Director of DBCL Sudhir Agarwal 27 years of experience in the publishing and newspaper business 19 years of experience. Won the E&Y ‘Young Entrepreneur of the Year 2006 ’ Award Gi
Slide 24: cftas urea | TO BE THE LARGEST AND MOST ADMIRED MEDIA BRAND ENABLING SOCIO-ECONOMIC
cftas urea | 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