Listed and traded on the Indonesia Stock Exchange STOCK CODE: BMTR MNCN MSKY PT Media Nusantara Citra Tbk. Corporate Update February 2018
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Section 1 Corporate Structure
The Largest Fully Integrated Media Company in Southeast Asia FREE-TO-AIR TV CONTENT SUPPORTING ENTERTAINMENT PRODUCTION PRINT Studio based by 4 FTA RADIO Entertainment FTA focusing on family audience CONTENT LIBRARY PAY-TV CHANNELS TALENT / EVENT MANAGEMENT NEWS & SPORTS Largest news TV and programs (providing news programs to the Group s 3 entertainment FTA) Content library contains more than 300,000 hours and increasing by more than 15,000-20,000 hours per year 4
The Largest Content Producer CONTENT CONTENT LIBRARY PRODUCTION Pay TV Channel Drama, Talent Search, Animation, Sitcom, Movie 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 5
The Largest and Leading Audience Share 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 Creating the best content is our top priority 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 Rank Station Target Dec-17 Audience Share 1 RCTI ABC 21.7 2 SCTV ABCD 16.2 3 ANTV ABC 14.3 4 IVM ABCD 12.7 5 MNCTV ABCD 9.8 6 TRANS7 ABC 6.2 7 GTV ABC 5.7 8 TVONE ABC 5.0 9 TRANS ABC 4.8 10 METRO AB 1.7 11 INEWS ABC 1.1 Source: Nielsen Prime-Time All Demographic 5+ Audience Share 6
The Best Talent Search Format Lineup Pioneering the international scale talent search programs in Indonesia, such as Indonesian Idol - 8 th season and running, X-Factor Indonesia - 2 nd season and running, Rising Star Indonesia - The 1 st Season with interactive talent search programs MasterChef Indonesia - 3 rd season and running The Voice Indonesia Aired February 2016 Our talent search programs are 3x more profitable than competing In-house dangdut singing competition 7
MNCN Dominates Top 20 Program as of 2017 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 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 Source: Nielsen, ALL DEMO, 5+ 8
All Contents Are Produced Using State-of-the Art Broadcasting Facilities Entertainment Based Infrastructure Integrated News Center MNC TV RCTI GTV INEWS 9
Section 2 Revenue Streams
TV Advertising Revenue Advertising Revenue Stream Traditional TVC Commercial (15 and 30 ) during commercial break Traditional TVC Build-In Advertising Virtual ads Built-in sponsorship and off air events Virtual Advertising on Drama Series (TOP) Virtual Advertising on Variety Shows (Dashyat) 11
Digital Mobile/ Online Advertising Revenue 12
Content Revenue 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 We are planning to supply 8 additional channel to Malaysia in Q2-2018 Pay TV Produced for OTT Indonesia and overseas 13
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 14
Section 4 Financial Updates
MNCN FS 9M-2017 VS 9M-2016 MNCN Recorded Rp2.3 Trillion EBITDA in 9M-2017 16
Financial Performance from FY2013 until FY2016 (Audited) FY2013 to FY2016 Financials IDR trillion 13,61 14,47 14,26 6,52 6,67 6,44 6,73 2,72 2,78 2,40 2,62 9,62 7,74 9,40 9,57 9,57 2013 2014 2015 2016 Revenue EBITDA Assets Equity FY2013 to FY2016 Solvency Metrics 66x 24% 45% 51% 51% 48x 12x 14x 42% 42% 37% 39% 2013 2014 2015 2016 Debt/Equity EBITDA/Interest EBITDA Margin Source: Company Financials 17
Strong Revenue Growth with Increasing EBITDA Margins Room For Further Margins Improvement EBITDA margins (FY2011A 9M/FY2017A; FY2020E) 38% 42% 37% 38% 40% 39% 43% 44% 33% 2011A 2012A 2013A 2014A 2015A 2016A 9M-2016 9M-2017 2021E 2011A 2012A 2013A 2014A 2015A 2016A 9M-2016 9M-2017 2021E Source : Company information 18
Thank You
For further information, please contact Investor Relations Division: Tallytha Amanda tallytha.amanda@mncgroup.com Christy Kusuma Atmaja christy.atmaja@mncgroup.com PT Global Mediacom Tbk MNC Tower 29 th Floor Jl Kebon Sirih No.17-19 Jakarta 10340, Indonesia Tel: 62-21 3913338 Fax: 62-21 3910454 Website: www.mncgroup.com