*1 Data sources; Aurora and Kantar Media INVESTORS BRIEFING DATED MARCH 13, 2015

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Janis Bond
6 years ago
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1 COMPANY PROFILE

PAKISTANI TV INDUSTRY Population 190m 270m by 2050; 30m households, per capita GDP nominal PKR 13,000.

There are currently over 100 TV channels available today on cable. No subscription based revenue w.r.t. broadcasters yet; 100% free-to-air (i.

TV advertising is 70% of total advertising and expected to stay at around 70% for the next 5 years+ * 1 Advertising model is

2 PAKISTANI TV INDUSTRY Population 190m 270m by 2050; 30m households, per capita GDP nominal PKR 13,000. TV industry was privatized in Until then, state owned PTV was the only TV broadcaster. There are currently over 100 TV channels available today on cable. No subscription based revenue w.r.t. broadcasters yet; 100% free-to-air (i.e., advertising supported; however, viewers pay PKR 200 to 500 per month to cable companies for access). TV advertising is 70% of total advertising and expected to stay at around 70% for the next 5 years+ * 1 Advertising model is still immature; rapid adoption of TV advertising especially by FMCG companies. Low literacy rates makes this medium more effective. *1 Data sources; Aurora and Kantar Media HUM NETWORK LIMITED 2

3 HUM NETWORK LIMITED 3 COMPANY OVERVIEW HUM Network Limited (HNL) is a market leader in electronic media, competing in a variety of genres. HNL s broadcasting portfolio consists of 3 satellite channels namely HUM, HUM Sitaray and HUM Masala. HNL also has a separate Digital Media Business. HNL has a strong presence in the Print Media as well with monthly magazines on political social affairs NewsLine, Masala Food Magazine & GLAM the fashion & lifestyle magazine.

4 TEN YEARS AT A GLANCE HUM NETWORK LIMITED 4 3,500,000,000 PROFITABILITY Amount in Rupees 3,000,000,000 2,500,000,000 2,000,000,000 1,500,000,000 1,000,000,000 NET REVENUE Gross Profit Net Profit after tax 500,000,000 - (500,000,000)

5 HUM NETWORK LIMITED 5 Inception to YTD CAGR PKR in million, Revenue & EPS have compounded at 34% & 36.5%, respectively

6 HUM NETWORK LIMITED 6 PATTERN OF SHAREHOLDING AS ON DECEMBER 31, 2014 Total Outstanding Shares 945,000,000 Less: Shares held by Directors/Sponsors 323,397,540 Government Holdings as promoter/acquirer/controller - Shares held by Associated Companies (Cross holdings) 333,397,000 Shares held with general public in Physical Form 2,635, ,430,150 Free-Float 285,569,850

7 HUM NETWORK LIMITED 7 GLOBAL REACH & DEVELOPMENTS HUM channel was recently launched in Middle East and North Africa (MENA) region and within very short time it has established as a leading Pakistani / South Asian entertainment channel in the region. Some of HUM Channel s content has been dubbed in Arabic and is being broadcasted by Middle East Broadcasting Center (MBC)

8 OVERSEAS SUBSIDIARIES UNITED STATES OF AMERICA HUM TV Inc., the 100% wholly owned subsidiary of the network started its operations in the financial year It has not only attracted viewership from South Asian Community in the region, but has also penetrated the advertising revenue market in the North American region. UNITED KINGDOM HUM Network UK Limited, the 100% wholly owned subsidiary of the network started its operations in the financial year Within a very short span of time HUM UK s Satellite channel has outcompeted established South Asian satellite channels and all the Pakistani channels in terms of BARB ratings (Broadcasters Audience Research Board, the only authentic rating system in UK for satellite channels) UNITED ARAB EMIRATES HUM Network FZ LLC, the 100% wholly owned subsidiary of the network started its operations in the financial year the subsidiary shall be actively involved in expansion of operations in Middle East and North Africa region. HUM NETWORK LIMITED 8

9 NEW ENDEAVORS FILMS DISTRIBUTION Over the last five to seven years cinema viewership has increased significantly in Pakistan. Initially Bollywood and Hollywood movies were screened which were well received by the public. Initially there were only 30 screens in Pakistan, the number now stands at 60 screens with still 200 more to come. The industry has an overall double digit growth rate. Therefore, the management has developed a separate business unit to focus on the industry. CONTENT SYNDICATION The demand for our content is continuously rising most of the countries with South Asian Diaspora. Recently we have entered into a content syndication arrangement with ZeeZindagi. The response to our content in India is extremely positive. Various international broadcasters have shown keen interest in our content and recently we have successfully syndicated our content to MBC-Mauritius Broadcast Company, Rishtey (Colors) UK, EROS NOW UK, Zee & MBC. HUM NETWORK LIMITED 9

Zindagi channel has been well received with some programs setting records according to Wikipedia.

10 INTERNATIONAL OPPORTUNITY 70m people in India speak Urdu, the official language of Pakistan and Urdu is very similar to Hindi. Up until now, Indians did not have access to Pakistani television programs Can t broadcast directly, Zee has broadcast rights (Zindagi channel). Zindagi channel has been well received with some programs setting records according to Wikipedia. Pakistani television entertainment is slightly classier than Indian equivalent according to The Guardian. Other international markets currently present in include the UK, US, etc. International revenue can be 15% of total revenue in 5 years from 5%+ today. HUM NETWORK LIMITED 10

AN OVERVIEW OF INDIA S LEADING MEDIA & ENTERTAINMENT COMPANY MAY 2009 ZEE ENTERTAINMENT ENTERPRISES LIMITED

AN OVERVIEW OF INDIA S LEADING MEDIA & ENTERTAINMENT COMPANY MAY 2009 1 DISCLAIMER Some of the statements made in this presentation are forward-looking statements and are based on the current beliefs,