pt media nusantara citra update/mncn june... · indonesians love dramas and we broadcast many of...
TRANSCRIPT
June 2018
PT Media Nusantara Citra
Corporate Update
Listed and traded on the Indonesia Stock Exchange
STOCK CODE: MNCN
Disclaimer
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In addition, the information contained in this presentation contains projections and forward-looking statements that reflect thecompany's current views with respect to future events and financial performance. These views are based on a number of estimates and current assumptions which are subject to business, economic and competitive uncertainties and contingencies as well as various risks and these may change over time and in many cases are outside the control of the company and its directors.No assurance can be given that future events will occur, that projections will be achieved, or that the company's assumptions are correct. Actual results may differ materially from those forecast and projected.
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Corporate StructureSection 1
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The Largest Fully Integrated Media Company in Southeast Asia
RADIO
SUPPORTINGCONTENTFREE-TO-AIR TV
ENTERTAINMENT
NEWS & SPORTS
Entertainment FTA focusing on family audience
Largest news TV and
programs (providing news
programs to the Group’s 3
entertainment FTA)
PAY-TV CHANNELSCONTENT LIBRARYTALENT / EVENTMANAGEMENT
Content librarycontains more than300,000 hours andincreasing by morethan 15,000 - 20,000hours per year
PRODUCTION
The Largest Content Producer
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CONTENT
• 80% of our contents are local with more than 90% produced in-house
• Gradually reducing foreign content, due to low margin and high cost
• Targeting to increase local content to approximately 100% in 2018, which will lead to a decrease in programming
cost and higher EBITDA Margin
PRODUCTIONCONTENT LIBRARY Pay TV Channel
Drama, Talent Search, Animation, Sitcom, Movie
The Largest and Leading Audience Share
Content is the only way to capture audience share
and monetize advertising dollars
Indonesians love dramas and we broadcast many of
the top drama series
We have licensed popular International programs
such as Master Chef, Indonesian Idol and X Factor
More than 300,000 hours of content library and
increasing by more than 15,000 – 20,000 hours
annually
We also have 20 MNC branded Pay TV Channels.
These channels are integral to our content strategy
Creating the best content is our top priority
“Content is where I expect much of the real money will be made on the Internet, just as it was in broadcasting.
The television revolution that began half a century ago spawned a number of industries, including the manufacturing of TV sets, but the
long-term winners were those who used the medium to deliver information and entertainment.”
“Content is King” by Bill Gates in 1996
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Source: Nielsen Prime-Time All Demographic 5+ Audience Share
Week 4 May18
Share
1 RCTI ABC 18.6
2 SCTV ABCD 17.3
3 IVM ABCD 15.4
4 ANTV ABC 15.2
5 MNCTV ABCD 11.5
6 TRANS7 ABC 6.3
7 GTV ABC 5.8
8 TRANS ABC 4.2
9 TVONE ABC 2.6
10 METRO AB 1.2
11 INEWS ABC 0.9
Rank StationTarget
Audience
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The Best Talent Search Format Lineup
Pioneering the international scale talent search programs in Indonesia, such as
Indonesian Idol - 10th season and running,
X-Factor Indonesia - 2nd season and running,
Rising Star Indonesia - The 3rd Season with interactive talent search programs
MasterChef Indonesia - 3rd season and running
The Voice Indonesia – Aired February 2016Our talent search programs are 3x more profitable than competing “In-house” dangdut singing competition
MNCN Dominates Top 20 Program as of 2017
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• New comedy drama series produced by MNC Pictures “Dunia Terbalik” performed very
strong topping the program charts.
• 5 out of the Top 10 drama series for 2017 belongs to MNC
Source: Nielsen, ALL DEMO, 5+
NO PROGRAMS CHANNEL TYPE TVR SHARE
1 ANUGERAH CINTA RCTI Series 5.8 27.4
2 DUNIA TERBALIK RCTI Series 5.0 22.1
3 TUKANG BUBUR NAIK HAJI THE SER RCTI Series 4.9 19.7
4 ANAK JALANAN RCTI Series 4.9 23.0
5 SIAPA TAKUT JATUH CINTA SCTV Series 4.3 19.0
6 ORANG-ORANG KAMPUNG DUKU SCTV Series 3.9 15.9
7 ANAK LANGIT SCTV Series 3.8 16.1
8 JODOH ANTV Series 3.7 16.5
9 BOY SCTV Series 3.6 14.9
10 CAHAYA HATI(A01) RCTI Series 3.5 15.5
11 BUAYA PUTIH RCTI Series 3.2 12.3
12 PESANTREN & ROCK'N ROLL 4 SCTV Series 3.2 21.2
13 BERKAH CINTA SCTV Series 3.1 17.4
14 TOP TUKANG OJEK PENGKOLAN RCTI Series 3.1 15.7
15 AMANAH WALI RCTI Series 3.0 21.0
16 GOPI ANTV Series 2.9 19.0
17 SELEB DRAMA ANTV Series 2.9 21.3
18 GEET ANTV Series 2.8 15.8
19 JODOH PENGANTAR JENAZAH ANTV Series 2.8 17.0
20 WARTEG DKI(R) ANTV Series 2.8 12.2
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MNC Integrated Studios Facilities
Revenue StreamsSection 2
TV Advertising Revenue
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Traditional TVC Commercial (15”
and 30” ) during commercial
break
Virtual ads
Built-in sponsorship and off air
events
Build-In AdvertisingTraditional TVC
Advertising Revenue Stream
Virtual Advertising on Drama Series (TOP) Virtual Advertising on Variety Shows (Dashyat)
Digital Mobile/ Online Advertising Revenue
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Content Revenue
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Pay TV
OTTProduced for
All the local content is sourced from the Group/s content library and
produced in house
Library is monetized by selling to FTA, Pay-TV, and OTT in both Indonesia
and Overseas
Revenue is generated from advertising and subscription
Indonesia and overseas
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Content Revenue (Including Digital Content)
Content business is growing, content revenue is derived not only from FTA, but also
from digital platforms in Indonesia and overseas
More than 300.000 hours of content library to sell
Financial UpdatesSection 3
MNCN FS Q1-2018 VS Q1-2017MNCN Recorded 82% Content Revenue Growth
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In IDR mio Q1-2018 Q1-2017 YoY
Revenues 1.602.361 1.609.585 0%
Advertisement 1.543.479 1.532.872 1%
Content 312.076 171.102 82%
Others 104.820 125.696 -17%
(elimination) (358.014) (220.085) 63%
Direct Cost *) 615.311 641.246 -4%
Depr & amort in Direct Cost 48.128 40.171 20%
Gross profit 938.922 928.168 1%
Gross profit margin 59% 58% 2%
General & Administrative expense 349.376 347.887 0%
Depreciation and amortization 61.728 53.227 16%
EBITDA 637.674 620.452 3%
EBITDA Margin 40% 39% 3%
Net Income 274.045 419.006 -35%
Net income margin 17% 26% -34%
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Financial Performance from FY2013 until FY2016 (Audited)
Source: Company Financials
FY2013 to FY2016 Financials
FY2013 to FY2016 Solvency Metrics
IDR trillion
6.52
2.72
9.62
7.746.67
2.78
13.61
9.40
6.44
2.40
14.47
9.57
6.73
2.62
14.26
9.57
Revenue EBITDA Assets Equity
2013
2014
2015
2016
24%
66x
42%45% 48x
42%
51%
12x
37%
51%
14x
39%
Debt/Equity EBITDA/Interest EBITDA Margin
2013
2014
2015
2016
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Strong Revenue Growth with Increasing EBITDA Margins
Room For Further Margins Improvement
Source : Company information
EBITDA margins (FY2011A – 9M/FY2017A; FY2020E)
33%
38%
42%
37% 38%40% 39%
43% 44%
2011A 2012A 2013A 2014A 2015A 2016A 9M-2016 9M-2017 2021E
2011A 2012A 2013A 2014A 2015A 2016A 9M-2016 9M-2017 2021E
Consistent Revenue Share delivery, outperforming audience shares dynamics
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0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
2013 2014 2015 2016 2017
Audience Share VS Market Share
MNCN SCMA VIVA TRANS Others
37% 37%39%
41%
43%
30%
27%
25%
28%
24%
8%
12%13%
15%17%
21%
17%18%
12% 12%
4%
6%
4% 4% 4%
For further information, please contact Investor Relations Division:
Tallytha [email protected]
Christy Kusuma [email protected]
PT Media Nusantara Citra TbkMNC Tower 29th Floor
Jl Kebon Sirih No.17-19Jakarta 10340, Indonesia
Tel: 62-21 3913338Fax: 62-21 3910454
Website: www.mnc.co.id