May 2018 · 2018-05-11 · A wedding classified portal with 50,000+ listings to connect customers...
Transcript of May 2018 · 2018-05-11 · A wedding classified portal with 50,000+ listings to connect customers...
Investor PresentationMay 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
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Q4FY18 Results
Company Overview
Financials
Growth Strategy
Management Team
Contents
Q4 FY18 Financials
4
Matchmaking Services Marriage Services & Related Sale of Products
In ₹ million
Note : Q4 of FY17 financials as per IGAAP
Matchmaking + Marriage Services
754
839 836 837 844
158 197 206
174 200
20.9%
23.5% 24.6% 20.8% 23.6%
0%
5%
10%
15%
20%
25%
30%
0
200
400
600
800
1,000
Q4 FY2017 Q1 FY2018 Q2 FY2018 Q3 FY2018 Q4 FY2018
Revenue EBITDA EBITDA Margin (%)
717 790 790 797 814
215 261 267 250 264
30.1%33.1% 33.8%
31.4%32.5%
0%
10%
20%
30%
40%
50%
0
200
400
600
800
1,000
Q4 FY2017 Q1 FY2018 Q2 FY2018 Q3 FY2018 Q4 FY2018
Segment (₹ million) Segment EBITDA EBITDA Margin %
37 49 46
39 30
(31)(36) (38)
(51)(43)
(60)
(40)
(20)
0
20
40
Q4 FY2017 Q1 FY2018 Q2 FY2018 Q3 FY2018 Q4 FY2018
Segment Revenue Segment EBITDA
121
164
(122)
(168)(200)
(100)
0
100
200
FY17 FY18
Segment Revenue Segment EBITDA
FY18 Financials
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Matchmaking Services Marriage Services & Related Sale of Products
In ₹ millionMatchmaking + Marriage Services
2,808
3,191
814 1,043
29.0%
32.7%
0%
10%
20%
30%
40%
0
500
1,000
1,500
2,000
2,500
3,000
3,500
FY17 FY18
Revenue EBITDA EBITDA Margin %
2,929
3,355
590 777
20.1%
23.2%
0%
5%
10%
15%
20%
25%
30%
0
500
1,000
1,500
2,000
2,500
3,000
3,500
FY17 FY18
Revenue EBITDA EBITDA Margin (%)
Q4 FY18 and FY18 Sales
6
In ₹ million
Note : Q4 of FY17 financials as per IGAAP
Sales – FY Performance
Sales – Quarterly Performance
8% Y-o-Y Growth of Sales in Q4
15% Y-o-Y Growth of Sales
826
856
814
856
892
754
839 836 837 844
600
700
800
900
Q4 FY2017 Q1 FY2018 Q2 FY2018 Q3 FY2018 Q4 FY2018
Sales Revenue
2,967
3,418
2,929
3,355
1,500
2,000
2,500
3,000
3,500
FY17 FY18
Sales Revenue
Q4 FY18 Key Metrics
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Ever Registrations (in mn) Active Profiles (in mn) Free Registrations (in mn)
Paid Subscription (000's) ATV (in Rs) Matchmaking Sales (in Rs mn)
26.7527.65
28.5129.47
30.47
20
22
24
26
28
30
32
Q4FY17 Q1FY18 Q2FY18 Q3 FY18 Q4 FY18
3.03 3.083.19
3.293.40
2.0
2.4
2.8
3.2
3.6
Q4FY17 Q1FY18 Q2FY18 Q3 FY18 Q4 FY18
0.91 0.900.87
0.95 0.99
0.4
0.6
0.8
1.0
Q4FY17 Q1FY18 Q2FY18 Q3 FY18 Q4 FY18
186 190
177
187 192
100
125
150
175
200
Q4FY17 Q1FY18 Q2FY18 Q3 FY18 Q4 FY18
4,245 4,242
4,339 4,371
4,489
3800
4000
4200
4400
4600
Q4FY17 Q1FY18 Q2FY18 Q3 FY18 Q4 FY18
789 808
770
822
867
650
700
750
800
850
900
Q4FY17 Q1FY18 Q2FY18 Q3 FY18 Q4 FY18
Company Overview
Matrimony.com at a glance
300+Community Matrimony sites
15Regional Matrimony sites
139Retail Outlets
3.40mnActive Profiles 2
30.47mnTotal registrations since January 2006
459mnTotal Page Views. More than 9x views of other sites 1
745,000Paid subscriptions in FY2018
INR 3,418mnFY18 Sales(15.2% YoY growth)
23.2%FY18 EBITDA margin (against 20.1% in FY17)
#1Leader for Matchmaking Services 1
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.
91 In terms of average number of website pages viewed by unique visitors in June 2017 as per the Traffic Share Distribution data from April 2014 to June 2017 compiled by Comscore, Inc. 2 As on Mar 31 2018
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1Large Online Matrimony Market
Opportunity
2Leading Provider of Online
Matchmaking Services in India
3Micro-Market Strategy with Targeted and Customized or
Personalized Services
4Strong Consumer Brand
5Robust Technology and
Analytics
7Key Business Metrics Drive Revenue
Growth and Operating Leverage
6Continued Expansion into Marriage
Services Segment
A Unique Proposition
Unmarried Population in 2016107 Million 1
Active Seekers in 2016 - 63 Million
Active users of online matrimony in 2016 –6 Million
100%
59%
6%
Active Profiles on Matrimony.com 3.4 Million 2
3% An Early Mover to Online Matchmaking services…..
Large Database
More Matches/Responses
AttractsMoreUsers
…. Coupled with a Network effect resulting in a large database of profiles…
991
420 348
Matrimony Site1 Site2
149
26 33
Matrimony Site1 Site2
459
46 48
Matrimony Site1 Site2
30.47 Million Total registrations since 2006 2
Total pages viewed (millions) for June 2017
Time Spent (minutes in millions) for June 2017
Unique visitors (‘000s) for June 2017 3
…. Resulting in Market Leadership
A Differentiated Growth Story
111 Based on “Market study of Online Matrimony & Marriage Services in India” report by KPMG dated May 4, 2017; 2 As on Mar 31 20183 Source: Traffic distribution data from April 2014 to June 2017 for Matrimony.com, and others complied by ComScore.Inc
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With a Highly Customised “Micro-Market” Strategy….
BharatMatrimony
CommunityMatrimony
EliteMatrimony
• Classic, Classic Advantage and Classic Premium• Till-U-Marry• Assisted Service
• Gold, Diamond and Platinum• 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…
Matchmaking Services: 15 Regional Language Portals and Over 300 Community Matrimonial Sites
Model Developed to Cater to Unique Requirements of the Indian Market
Mobile
Offline
Website
• 8.4 million app installs 1
• Mobile sites and mobile apps accounts for 2
89% of Profile views
72% of Personalized messages sent and received
80% of the total number of free profiles registered
82% of Express Interest messages
73% of Phone numbers viewed
Source: 1 According to www.androidrank.org as updated on 21 January 2018 ;2 For the month of December 2017
matrimony.com
Strong Technology Platform• Reliable and Scalable technology with focus on Information security
Big Data & Analytics• In-house Intelligent Matchmaking Algorithm (“MIMA”) • Data Analytics algorithms to track consumer trends to assist in driving monetization of user base
Campaign Management
• IBM Unica systems to improve customer experience and subscriptions
… Backed by Strong Technology and Analytics Backbone…
Multi-Channel Customer Outreach…
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Additional Avenues for Growth through Forward Integration..
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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 in Tamil Nadu, Hyderabad and Secundrabad in Telangana, Bangalore in Karnataka and Kochi in Kerala
• A relationship manager helps customer avail wedding-related services and recommends suitable vendors
• Currently available in Chennai, Coimbatore, Madurai and Trichy
2015 NASSCOM “Certificate of Excellence for
innovative application of analytics for
business solution”
Bharatmatrimony.com awarded India’s most
trusted online matrimony brand by Brand Trust Report India Study 2014
Featured in Limca Book of Records for record number of documented marriages online
Special jury mention for gender sensitivity (2013-2014) for TVC (Bharat Matrimony-Career) at National Laadli Media and
Advertising Awards, 2015
Certified as most used matrimonial search website in 2013-14 for Indian online customers
by 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
Strong Consumer Brand
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Robust Revenue Growth
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Matchmaking + Marriage Services
Matchmaking Services Marriage Services & Related Sale of Products
Note: 1. 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
2,0732,428 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 (%)
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
500
1,000
1,500
2,000
2,500
3,000
3,500
FY14 FY15 FY16 FY17 FY18
Matchmaking Revenue (INR mn) EBITDA Margin (%)
66
94 108121
164
-122%
-138% -161%-101%
-103%
-400%
-300%
-200%
-100%
0%
0
20
40
60
80
100
120
140
160
180
FY14 FY15 FY16 FY17 FY18
Marriage Services Revenue (INR mn) EBITDA Margin (%)
… Resulting in Operating Leverage
17
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
38.3%39.3%
40.6%40.2%
16.6%15.4%
17.5% 17.2%
21.6%20.6% 21.1%
18.9%
23.5%24.6%
20.8%
23.6%
0%
5%
10%
15%
20%
25%
0%
10%
20%
30%
40%
50%
Q1 FY18 Q2 FY18 Q3 FY18 Q4 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
Operating Cash Flow
18
In ₹ million
136
201232
205
644
830
0
100
200
300
400
500
600
700
800
900
FY13 FY14 FY15 FY16 FY17 FY18
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
Expand User Base1
Continue Investments in
Mobile Platforms2
Drive Monetization3
Further Strengthen Brands4
Continue to Expand into Marriage Services5
Our Growth Strategy
Our Growth Strategy
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Highly Experienced Board of Directors and Management Team
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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
Sanjeev MisraSenior Vice President, Sales and Operations –
Matchmaking Business
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
Investor Contacts:
Vijayanand S
Company Secretary
Matrimony.com Ltd.
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: U63090TN2001PLC047432