INVESTOR UPDATE
THE ESSEL GROUP
P2
ABOUT ZEE MEDIAINDIA'S LARGEST BOUQUET OF 14 NEWS CHANNELS.
11 DIGITAL PROPERTIES, 11 LANGUAGES
220+ million viewers
60 million+monthly unique
visitors
45 million+monthly unique
visitorsP3
OUR ASSETS
P4
100,000+ Hours
of Video Content31 High-End Studios
540 Correspondents
& Stringers
43 News Bureaus
PAN India
27 DSNG Vans, 66 Backpack Units, 28 MOJO Kits
300 ENG Cameras
• Distribution Advantage
• ZMCL channels are offered as a part of the Zee distribution bouquet of channels by Zee Entertainment Enterprises Limited to MSOs & DTH Operators
• Access to Domestic Advertisers
• Engaged in ad sales across TV, Print, DTH, Cable, and Digital platforms.
• Benefits ZMCL with increased advertisement sales clientele due to cross / combined selling across media
• 1,000+ Advertisers
• International Sales
• ZEEL’s international teams sell advertising spaces on behalf of ZMCL on its television and digital platforms
• Digital Content Synergies
• Diversity of news publishing platforms provides huge content repository
• Access to 42 Million Households
• Joint curation of events and programmes
ZEE MEDIA SYNERGIES WITH ESSEL GROUP
P5
WHAT DOES TV MEAN TO INDIA?
P6
TV continues to remain the most popular form of entertainment across all age groups
Source: Daily Time spent and Daily tune in on TV: BARC; Daily time spent per day with major media: eMarketer
TV SEGMENT PERFORMANCE: IMPROVING SHARE AND STICKINESS
P7Source: BARC
Highest time spent during 4 of last 6 quarters
8
9
10
11
12
13
14
Q2
'17
Q3
'17
Q4
'17
Q1
'18
Q2
'18
Q3
'18
ATS
V (
in m
ins)
Increasing stickiness
Only channel other than AajTak to be No. 1 by share for
100 consecutive weeks
No. 1 by market share in Urdu news genre since
launch in Jul’17
Highest ATSV in the genre for 8 consecutive quarters
Highest ATSV in the genre for 5 consecutive quarters
Highest ATSV in the genre for 8 consecutive quarters
Strong No. 2 channel by market share for 3 years
STICKINESS OF CONTENT REFLECTED IN EARNING RATES
P8
Improving market shares and increasing stickiness of the channels (as highlighted in prior slide) resulting into
changing trends of Earning Rates (ERs) of respective channels
a. 7 out of 14 channels witnessed over 25% growth in ER in Q1 FY19 over corresponding quarter last year
b. 4 out of above 7 channels were Regional channels, reflecting the potential in regional markets
c. Zee Hindustan, that was launched last year as a national platform, experienced an over 50% increase in ER for
Q1 FY19
d. Zee Salaam , that was launched last year achieved operational break even in last financial year itself
HOW INTERNET WILL LOOK IN INDIA IN 2020?
P9Source: Cisco Visual Networking Index 2015-2020
P10
India’s Largest News Platform in Multi Languages
ZEE DIGITAL NEWS PUBLISHING HUB: DERIVING CONTENT SYNERGIES
STRIVING TO MAKE THE WORLD A MORE INFORMED PLACE
ZEENEWS.COM
News that builds perspectiveIndia’s Global Voice on the internet
Investment guide and business advisor for mass markets
News and Information Gateway to India
One stop shop for everything ENTERTAINMENT
Complete Health Portal on Health, Fitness, Nutrition, Lifestyle
India’s #1 source of exclusive gadgets and gaming news and views
Brings out expertise and opinions of fans
DNAINDIA.COMWIONEWS.COMZEEBIZ.COM
INDIA.COM BOLLYWOODLIFE.COM THEHEALTHSITE.COM BGR.IN CRICKETCOUNTRY.COM
Entertainment•Events / Movies Bookings
•Memorabilia (Zee Studios)
Ad Aggregation
Zee Business• Mutual Funds
• Insurance
BGR.in• Gadgets/Mobiles
• Product Comparison Engine
Health• Fitness Apps
• Drug Recommendation
•Pharmacies
•Patient Data
Hyperlocal•News
•Utility Payments / Recharges
•Wellness & Healthcare
•Education (Z Learn)
•Services / Food
India.com•Art & Craft
Sports•Memorabilia
•Tickets
Travel•Flights
•Hotels
•Bus / Car
ZeeNews.com• Multi-language content
Internet users
1
2
3
4
56
7
8
9
10
ZEE DIGITAL: AIMING TO ENGAGE AUDIENCE AT MULTIPLE TOUCH-POINTS
MULTIPLE SEGMENTS AND MULTIPLE PLATFORMS
P11
News/Information Jul-17 Jul-18 Growth%
The Times of India Sites 86.7 111.7 29%
NDTV 50.8 77.8 53%
The Indian Express Group 63.7 76.2 20%
ZEE DIGITAL 50.8 69.1 36%
India Today Group 62.1 67.3 8%
Network 18 Sites 58.9 60.6 3%
HT Media Group 53.1 57.3 8%
OneIndia.com Sites 41.1 43.0 5%
Jagran Sites 38.3 38.1 0%
Bhaskar Group Sites 40.5 26.3 -35%
ABP News Network 25.2 24.6 -3%
ZEE DIGITAL: HIGH GROWTH, STRONG POSITION
AMONGST TOP 4 NEWS PUBLISHING GROUPS IN INDIA
P12
ZEENEWS.COM: CHARTING EXPONENTIAL GROWTH TRAJECTORY
P13Source: comScore, Mobile + Desktop Users
910
13
16
2219 20
2524
21
25
22 2223
29 28
35
31
34
0
5
10
15
20
25
30
35
40
Unique Users (millions)
Q2 FY18 350 Million p.m.
Q2 FY19500 Million p.m.
Monthly Average Page Views
45Million
Social Media Followers
ZMCL: INCREASINGLY DELIVERING EYE-BALLS TO ADVERTISERS
P14
Youtube Video Views
200Million
p.m.
250Million
p.m.
Facebook Video Views
FINANCIAL HIGHLIGHTS
P15
BEATING THE INDUSTRY ADVERTISING REVENUE GROWTH
P16
243
267
304
335
368
0
50
100
150
200
250
300
350
400
2016 2017 2018P 2019P 2020P
Rs
bill
ion
Television Advertising Revenues
Source: FICCI – EY Re-imagining India’s M&E sector Report, March 2018
3,300
3,952
5,106
6,500
9,000
-
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
10,000
FY16 FY17 FY18 FY19-P FY20-P
ZMCL Advertising Revenues
IMPROVING PROFITABILITY
P17
2014 2015 2016 2017 2018 Q1FY19
Operating Income 3,352 4,221 4,346 4,498 5,735 1,547
Operating Expenditure 3,097 3,626 3,566 3,543 4,405 1,188
Operating Profit 255 596 780 955 1,330 359
EBITDA Margin 8% 14% 18% 21% 23% 23%
3,352
4,221 4,346 4,498
5,735
1,547
3,097
3,626 3,566 3,543
4,405
1,188 255 596 780 955
1,330
359
8%
14%
18%
21%
23% 23%
0%
5%
10%
15%
20%
25%
-
1,000
2,000
3,000
4,000
5,000
6,000
7,000
TV Business - KPIs
Operating Income Operating Expenditure Operating Profit EBITDA Margin
EBITDA margin has improved from 8% in FY14 to 23% in Q1FY19
WHOLISTIC GROWTH
P18
National Channels – Zee News, Zee Business, Zee Hindustan, WION (Q4FY17 onwards)
2,338
2,942 2,869 2,959
3,580
957
1,900 2,098 2,027
2,209
2,758
711
439
844 841 750 822
247
-
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
2014 2015 2016 2017 2018 Q1FY19
National Channels
Operating Income Operating Expenditure Operating Profit
1,013
1,279
1,477 1,539
2,155
590
1,197
1,527 1,538
1,334
1,657
477
(184) (248) (61)
205
498
112
(500)
-
500
1,000
1,500
2,000
2,500
2014 2015 2016 2017 2018 Q1FY19
Regional Channels
Operating Income Operating Expenditure Operating Profit
Regional Channels also include new launches Zee Salaam, Zee 24 Kalak and Zee Uttar Pradesh Uttarakhand
IMPROVED PROFITABILITY IN NATIONAL AS WELL AS REGIONAL CHANNELS
WHOLISTIC GROWTH
P19
REDUCING RELIANCE ON NATIONAL CHANNELS; UNLOCKING POTENTIAL OF REGIONAL PORTFOLIO
70% 70%66% 66%
62% 62%
30% 30%34% 34%
38% 38%
0%
10%
20%
30%
40%
50%
60%
70%
80%
2014 2015 2016 2017 2018 Q1FY19
National Regional
THANK YOU
OUR MANAGEMENT TEAM
……
……
Sumit KapoorChief Financial Officer
……
…
……
……
Rajiv SinghExecutive Director & COO –
National & Digital
……
…
……
……
Ashok VenkatramaniManaging Director
……
…
Harvard Business School Alumni with 14 years’ experience in corporate finance and consulting across South-South East Asia, Africa and the US.
Expert in Business Strategy and Planning, Investment Proposals (National / International) and Investor Relations.
Held leadership positions in Monnet Ispat, EY, CBRE and Deloitte.
Industry veteran with 35+ years of experience spanning both offline / digital media in India as well as Middle-East.
Helped build up US$ 5 million business in middle-east for Exponential Interactive as Managing Director, MENA
Held leadership positions in Reliance Jio, News18, and several print publications
Broadcast media & FMCG veteran with 30 years’ experience in various leadership, sales, marketing and general management roles. Also served as member of Digitization Task Force by Government of India.
Featured twice in World CMO Council‘s list of India’s 75 top marketers. Awarded ‘CEO with best HR Orientation’ by The World HRD Congress and as ‘Media Person of the Year’ by The World Brand Congress in India.
Entered ‘Hall of Fame’ of News Television Awards for successful rebranding of Star News to ABP News.
……
……
Sudhir ChaudharyEditor in Chief – Zee News, Zee
Business, WION……
…
A journalist, who is a thinker, well versed and widely read with the intention of analysing and showing his viewers news and facts with deep research and clarity
Belongs to the First generation of television journalists in India
Has been in TV news industry for more than 19 years