Investor Presentation · Q2 FY19 and H1 FY19 Sales 5 Sales –Performance In ₹ million 5.9% Y-o-Y...

Investor Presentation

November 2018

This presentation may contain statements which reflect the management’s current

views and estimates and could be construed as forward looking statements.

The future involves certain risks and uncertainties that could cause actual results to

differ materially from the current views being expressed.

Potential risks and uncertainties include such factors as general economic conditions,

foreign exchange fluctuations, competitive product and pricing pressures and

regulatory developments.

Disclaimer

Q2FY19 Results

Company Overview

Financials

Growth Strategy

Management Team

3

Contents

2

4

1

5

Q2 FY19 Financials

4

Matchmaking Services Marriage Services & Related Sale of Products

In ₹ millionMatchmaking + Marriage Services

836 837 844 896 882

206 174 200 212 174

24.6%

20.8%23.6%

23.6%

19.7%

0%

5%

10%

15%

20%

25%

30%

0

200

400

600

800

1,000

Q2 FY2018 Q3 FY2018 Q4 FY2018 Q1 FY2019 Q2 FY2019

Revenue EBITDA EBITDA Margin (%)

46 39

30 36

24

(38)

(51)(43)

(31) (35)

(60)

(40)

(20)

0

20

40


Segment Revenue Segment EBITDA

790 797 814 859 851

267 250 264 277 235

33.8%

31.4% 32.5%

32.2%

27.7%

0%

10%

20%

30%

40%

50%

0

200

400

600

800

1,000


Segment Revenue Segment EBITDA EBITDA Margin %

Note: Matchmaking + Marriage services includes other income

Q2 FY19 and H1 FY19 Sales

5

In ₹ millionSales – Performance

5.9% Y-o-Y Growth of Sales in Q25.4% Y-o-Y Growth of Revenue in Q2

Quarterly Half Yearly

1,669 1,755

1,675 1,777

500

1,000

1,500

2,000

2,500

H1FY18 H1FY19

Sales Revenue

814

856

892 893

862 836 837 844

896 882

600

700

800

900

1,000


Sales Revenue

5.1% Y-o-Y Growth of Sales in H16.1% Y-o-Y Growth of Revenue in H1

Q2 FY19 Key Metrics

6

Ever Registrations (in mn) Active Profiles (in mn) Free Registrations (in mn)

Paid Subscription (000's) ATV (in Rs) Matchmaking Sales (in Rs mn)

28.5129.47

30.4731.49

32.49

20

22

24

26

28

30

32

34


3.193.29

3.403.53 3.57

2.0

2.5

3.0

3.5

4.0


0.870.95

0.99 1.02 1.00

0.4

0.6

0.8

1.0

1.2


177

187 192 191

184

100

125

150

175

200


4,339 4,371

4,489 4,477 4,542

3800

4000

4200

4400

4600


770

822

867 860

835

650

700

750

800

850

900


Company Overview

Matrimony.com at a glance

8

We deliver matchmaking

services to our users in

India and the Indian

diaspora through our

websites, mobile sites and

mobile apps complemented

by our on-the-ground

network in India

#1 Leader for Matchmaking Services

1 As on September 30 2018

300+Community Matrimony sites

15Regional Matrimony sites

3.57 mnActive Profiles 1

32.49 mnTotal registrations since January 2006 1

745,000Paid subscriptions in FY2018

INR 3,418 mn

FY18 Revenues (15.2% YoY growth)

9

A Unique Proposition

Large Online Matrimony Market Opportunity

Leading Provider of Online Matchmaking Services in India

Micro-Market Strategy with Targeted and Personalized Services

Strong Consumer Brand

Robust Technology and Analytics

Continued Expansion into Marriage Services Segment

Key Business Metrics Drive Revenue Growth & Operating Leverage

An Early Mover to Online Matchmaking services…..

…. Coupled with a Network effect resulting in a large database of profiles…

A Differentiated Growth Story

10

1 Based on “Market study of Online Matrimony & Marriage Services in India” report by KPMG dated May 4, 2017;2 As on September 30 2018

Unmarried Population in 2016 - 107 Mn 1

Active Seekers in 2016

63 Mn 1

Active users of online matrimony in 2016

6 Mn 1

Active Profiles on Matrimony.com

3.57 Mn 2

… Resulting in Market Leadership

Large Database

More

Matches

Attracts

More

UsersMore

Responses

Large Market Opportunity

11

With a Highly Customised “Micro-Market” Strategy….

Matchmaking Services: 15 Regional Language Portals and Over 300 Community Matrimonial Sites

Model Developed to Cater to Unique Requirements of the Indian Market

• Classic, Classic Advantage and Classic Premium• Till-U-Marry• Assisted Service

• Gold, Blue, Platinum• Till-U-Marry

A range of targeted and customized products and services…..

.…Catering to Customer Needs through a Layered Product Offering

• Gold, Diamond and Platinum• Till-U-Marry• Assisted Service

Mobile

Offline

Website

10.4 million app installs 1

Mobile sites and mobile apps accounts for 2

91% of Profile views

82% of Personalized messages sent and received

83% of the total number of free profiles registered

87% of Express Interest messages

78% of Phone numbers viewed

Source: 1 According to www.androidrank.org as updated on 23 September 2018 ;2 For the month of September 2018

Multi-Channel Customer Outreach…

12

Increasing Mobile Usage

Strong Technology PlatformReliable and Scalable technology with focus on Information security

Big Data & AnalyticsIn-house Intelligent Matchmaking Algorithm (“MIMA”) Data Analytics algorithms to track trends to assist in driving monetization of user base

Campaign ManagementIBM Unica systems to improve customer experience and subscriptions

… Backed by Strong

Technology and Analytics Backbone…

http://www.androidrank.org/

Additional Avenues for Growth through Forward Integration..

13

Marriage Services : Complements online matchmaking services to provide organized services in the marriage services market

Provides professional wedding photography and videography services

Launched in Tamil Nadu, Kerala, Andhra Pradesh, Telangana and Karnataka

A wedding classified portal with 50,000+ listings to connect customers with right service provider

A wedding venue discovery platform with 500+ wedding venues

Currently available at Chennai, Coimbatore, Madurai and Trichy , Hyderabad Bangalore and Kochi

A relationship manager helps customer avail wedding-related services and recommends suitable vendors

Currently available in Chennai, Coimbatore, Madurai and Trichy

Strong Consumer Brand

14

Featured in Limca Book of Records for record number of documented marriages online

2015 NASSCOM “Certificate of Excellence for innovative application of analytics for business solution”

Bharatmatrimony.comawarded India’s mosttrusted onlinematrimony brand byBrand Trust ReportIndia Study 2014

Special jury mentionfor gender sensitivity(2013-2014) for TVC(Bharat Matrimony-Career) at NationalLaadli Media andAdvertising Awards,2015

Certified as mostused matrimonialsearch website in2013-14 for Indianonline customersby JUXT

BharatMatrimonymobile app - Best app in the social category. Global Mobile App Summit and Awards -July 2016 and July 2017

Profile authentication features such as “Identity Trust Badge” help in maintaining and continuously improving the quality of database further increasing consumer trust

…With A New Brand Ambassador

15

Financials

2,073

2,428 2,554

2,929

3,355

6.3% 7.3%

2.8%

20.2%23.2%

0%

5%

10%

15%

20%

25%

30%

0

500

1,000

1,500

2,000

2,500

3,000

3,500

FY14 FY15 FY16 FY17 FY18

Revenue (INR mn) EBITDA Margin (%)

Robust Revenue Growth

17

Matchmaking + Marriage Services

Matchmaking Services Marriage Services & Related Sale of Products

Note: 1. FY14, FY15 FY16, and FY17 Financials as per IGAAP2. CAGR (%): Calculated as [{(Revenue in FY18/Revenue in FY14)^0.25}-1]*100 | 3. Segment EBITDA=Segments Results + Depreciation

In ₹ million

1,9892,320 2,440

2,808

3,191

13.5%

17.1%

14.7%

29.0%

32.7%

0%

5%

10%

15%

20%

25%

30%

35%

0

1,000

2,000

3,000


Matchmaking Revenue (INR mn) EBITDA Margin (%)

66

94 108121

164

-122%

-138%-161%

-101%

-103%

-200%

-100%

0%

0

50

100

150


Marriage Services Revenue (INR mn) EBITDA Margin (%)

… Resulting in Operating Leverage

18

Fixed Costs as % of Revenues have started to taper resulting in Margin Expansion

Note: FY13, FY14, FY15, FY16 and FY17 financials as per IGAAP

39.8%

42.4%43.6%

49.0%

39.8% 39.6%

24.5%23.2%

21.9% 21.1%

17.8%16.7%

27.1% 28.1% 27.1% 27.0%

22.2%20.5%

8.6%

6.3%7.3%

2.8%

20.2%

23.2%

0%

5%

10%

15%

20%

25%

0%

10%

20%

30%

40%

50%

60%

FY13 FY14 FY15 FY16 FY17 FY18

Employee benefit expenses as % of revenues - LHS

Advertisement and promotion expenses as % of revenues - LHS

Other expenses as % of revenues - LHS

EBITDA Margin (%) - RHS

39.3%40.6% 40.2%

39.0% 39.2%

15.4%

17.5% 17.2% 17.9%

21.2%20.6% 21.1%

18.9% 19.5% 19.8%

24.6%

20.8%

23.6% 23.6%

19.7%

0%

5%

10%

15%

20%

25%

0%

10%

20%

30%

40%

50%

Q2 FY18 Q3 FY18 Q4 FY18 Q1FY19 Q2FY19

Employee benefit expenses as % of revenues - LHS

Advertisement and promotion expenses as % of revenues - LHS

Other expenses as % of revenues - LHS

EBITDA Margin (%) - RHS

Increased Advertising and Promotion Expenses to Accelerate Revenue Expansion

19

Operating Cash Flow

20

In ₹ million

201232

205

644

830

314

0

100

200

300

400

500

600

700

800

900

FY14 FY15 FY16 FY17 FY18 6M FY19

Cash from Operating activities after tax and before exceptional items (INR mn)

Profiles:• Fueled by Increasing internet

and smartphone penetration

• Social adoption & Trust

Conversion Rate:• Continuous product

improvements in online &

mobile

• Leverage campaign

management & Analytics

ATV:• Sustained price increase due

to leadership position

• Higher price packages

Increased

Sales

Matchmaking Growth Cycle Our Growth Strategy

Our Growth Strategy

21

Expand User Base

Continue Investmentsin Mobile Platforms

Continue to Expand into Marriage Services

Further Strengthen Brands

Drive Monetization

3

2

4

1

5

Highly Experienced Board of Directors and Management Team

22

Board of Directors

George ZachariasNon-Executive Independent Director

Milind S SarwateNon-Executive Independent Director

Murugavel JanakiramanPromoter, Chairman and Managing Director

Deepa MurugavelNon-Executive Director

Key Managerial and Senior Management Personnel

Prasad NelliparthiChief Human Resource Officer

R ChandrasekarChief Technology Operation and Infrastructure Officer

S. SaichitraChief Portal and Mobile Officer

Murugavel JanakiramanPromoter, Chairman and Managing Director

K BalasubramanianChief Financial Officer

S. VijayanandGeneral Manager-Company Secretary and Compliance

Officer

C K RanganathanNon-Executive Independent Director

J. KarthikHead - Matrimony Bazaar

KP JaikumarHead - Photography

Akila KrishnakumarNon-Executive Independent Director

Sankara NarayananChief Operating Officer

Investor Contacts

Mr. Vijayanand S

Company Secretary

matrimony.com

No: 94, TVH Beliciaa Towers, Tower 2,

10th Floor, MRC Nagar, Mandaveli,

Chennai - 600 028, Tamil Nadu, India.

Phone: 044-24631500

Email: [email protected]

CIN: L63090TN2001PLC047432

Investor Presentation · Q2 FY19 and H1 FY19 Sales 5 Sales –Performance In ₹ million 5.9% Y-o-Y...

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