Company Presentation September 2014 1 Untapped User Base Market - PowerPoint PPT Presentation

Company Presentation September 2014 1

Untapped User Base – Market Potential

India: One of the Largest Consumer Economies India: 2nd Fastest Economic Growth India : 4th Largest Economy Globally GDP at Purchasing Power Parity in 2014 GDP Growth Estimate (2014, %) US$ Tn 9 18 17.5 16.8 7.4 14.6 7 5.6 12 5 3 6 5.4 2.2 4.8 2.6 1 0.3 0.2 -0.4 0 USA EU China India Japan Russia -1 China India United Brazil Russia European States Union India is expected to become the world’s fifth largest consumer market by 2025 Source: The World Bank data, World Economic Outlook – International Monetary Fund, 2014 3

India: One of the Largest Consumer Economies India: 2 nd Largest Wireless Market Globally Low Internet Penetration Presents Further Upside Million Wireless Subscribers (1) Internet Penetration (%), As on June 30, 2014 1246 100 1,200 85 80 893 900 60 48 46 46 39 40 32 600 20 16 345 273 300 237 0 USA Russia Brazil China World Asia India No. of Internet 245 68 88 538 2,406 1,077 137 0 Users (Million) China India USA Brazil Russia Source: www.internetworldstats.com/stats.htm 4

Current status of Mobile Internet usage in India Share of Internet Use in India (%) 3G Subscriptions in India (Mn) 266 10 Mobiles only 173 14 41 PC & Mobile 88 56 PC 23 11 38 76 21 2011 2012 2013 2014 2015 2016 2010 2015 Source: McKinsey Report | Avendus Report 5

Business Overview

Company Overview India’s only Search Plus engine (Search & Transact) 94MM searches per month (1) Multi platform search engine 45MM reviews and ratings (2) 14.5MM total business listings (2) 296,100 active paid campaigns (2) High rates of direct, mobile and repeat traffic Profitable business model Notes 1. Based on FY14 average 2. As on 30 September, 2014 7

Justdial Everywhere: Connecting With Users Anytime, Anywhere PC Internet Mobile Internet Voice/SMS User friendly features Location-based search service 08888888888 Operator assisted Hotline number across India – Predictive auto-suggest Developed Android, iOS, Windows & WP7 apps 24 hours a day, 7 days a week – Maps, directions, operating hours, logos, pictures, videos Multi-lingual support – Ratings and reviews Company/ category/product searches Search by company or category or product Popular category searches 8

User Community and Reviews Drive Engagement Reviews and Ratings Millions 50.0 45.1 45.0 41.3 40.0 37.1 33.7 35.0 30.3 30.0 26.5 25.0 22.4 19.8 20.0 14.5 15.0 10.0 5.0 2.7 0.0 'Jun- 'Jul-12 'Dec- 'Mar- 'Jun- 'Sep- 'Dec- 'Mar- 'Jun- 'Sep- 11 12 13 13 13 13 14 14 14 9

Attractive Value Proposition for Local SMEs Total Business Listings* Paid Campaigns* ‘000 Million 16.0 350 14.5 14.1 296 14.0 300 278 262 11.8 12.0 250 10.0 206 9.1 200 171 8.0 7.2 150 5.8 120 6.0 4.5 100 4.0 62 50 2.0 0.0 0 FY10 FY11 FY12 FY13 FY14 Q1FY15 Q2FY15 FY10 FY11 FY12 FY13 FY14 Q1FY15 Q2FY15 10

Multiple Strategies for Growth Order Groceries Total: 44.8 Million SMEs (1) Order Food Doctor’s Appointment Broaden Enhance Further Develop New Geographic Grow SME User Strengthen Products & Reach Base Experience Brand Services Across India 1. Ministry of Small and Medium Enterprises Annual Report 2013 11

Engagement Driven Through Innovative Mobile Applications Justdial – Smart Phone Application With A Unique Social Interface Rate & Review Search & Tag Transact Friends 12

Search Plus – A natural extension of our core search business Leveraging The Three Cornerstones of Our Success to Do More Trusted Strong Brand Trusted Strong Brand Established Established Relationships Relationships with Local SMEs Large, Loyal Large, Loyal with Local SMEs Across India User Community User Community Across India Enabling Best Way to Discover Enabling “Offline to Online” Shift Information About Each Other Enabling Hyper Local Commerce and Transactions “Three Clicks to Find” “Three Clicks to Transact” 13

Products and Services – Search Plus Book Movie Tickets Book Hotels Restaurant Reservation/ Ordering Book A Doctors' Appointment 14

Products and Services – Search Plus Book a Cab / Bus Pharmacy Online Shop Online Order Flowers 15

Search Plus: Win-Win for Users and SMEs • Enable O2O transformation • Choose vendor in local • App to better manage business neighborhood for product of choice • Shop front for customer • Convenience of ‘master app’, acquisition in local markets look no further • Enhance trust online • Personalized door-step (via JD guarantee) service experience • Leverage existing hyper local • Real-time price discovery delivery network • Increased engagement and stickiness of users • Increase in monetization streams from SMEs • Natural extension of core search business 16

The Search Plus Model New Revenue Streams Key Metrics to Track in Near Term Transaction fee User traffic Vendor app usage fee Vendor ad option and Shopfront rentals penetration Display ad revenue No. of listings in each segment [Bid fee from Vendors] 17

Experienced Management Team Sandipan Chattopadhyay V. S. S. Mani Chief Technology Officer Founder, Managing Director &CEO Years of Experience : 17 years in field Years of Experience : 26 years in the field of technology of media and local search services V. Krishnan Ramkumar Krishnamachari Chief Operating Officer Chief Financial Officer Years of Experience : 21 years in the field Years of Experience : 23 years in the of strategic planning and execution field of finance and accounting Shreos Roy Chowdhury Koora Srinivas Chief Technical Architect Deputy Chief Financial Officer Years of Experience : 17 years in the field Years of Experience : 14 years in the of technology field of finance and accounting 18

Financial Overview

We have an Efficient and Profitable Business Model FY2009 FY2014 Total Searches 82 MM 1125 MM Paid Campaigns 40,500 262,150 Search Revenue INR 735 MM INR 4,613 MM Operating EBIDTA INR 79 MM INR 1,422 MM Operating EBIDTA Margin 9% 31% PAT INR 75 MM INR 1206 MM PAT Margin 8% 24% Quarter ended September 30, 2014 highlights: ► Total operating revenue: INR 1,474 MM ► Adjusted Operating EBITDA margin at 31% for quarter ending September 30, 2014* ► PAT margin at 20% for quarter ending September 30, 2014 * Note: Adjusted Operating EBIDTA is excluding ESOP expenses incurred during the quarter 20 Quarterly numbers are limited review, others are restated financials

Rapid Revenue Growth Key Business Model Attributes Operating Revenue INR Mn ► Paid Advertisers primarily across 11 large Indian cities 5,000 (Contributes substantially to all of the company’s campaigns) 4613 21 4,500 ► Paid Advertisers pay fixed monthly or annual fees to run search-led advertising campaigns for their businesses on 4,000 Justdial’s platform 3628 2 3,500 ► Three types of premium memberships: Platinum, Diamond, Gold and non-premium packages determine priority of 3,000 placement in search results 2621 27 – 2,500 Get direct leads to consumers (actual buyers) YOY Growth 4592 31% – Paid in advance 1839 2,000 43 3626 1474 – Automatic renewal 1,500 1309 2594 1126 148 ► Justdial also runs multiple city campaigns for pan-India 1 859 1,000 1796 customers 124 1474 1161 1125 500 ► 3,044 tele-sales executives and 1,072 feet on street selling to 735 SMEs and 926 Just Dial Ambassadors (JDAs) 0 FY 09 FY 10 FY 11 FY 12 FY 13 FY 14 Q2FY14 Q2FY15 Search Print Other Operating Revenue Total 21

Margin Expansion and Operating Leverage Key Expenses as a % of Operating Revenue Key Drivers 100% 95% ► More paid campaigns Op. EBIDTA Margins 4% 5% 31% | 31% | 31%* ► Improved package pricings, increasing and 81% upgrading contracts 79% 80% 78% 4% 76% 75% 4% 3% ► Deepen and broaden SME coverage 73% 5% 73% 4% 25% 4% 5% 5% 4% 4% 4% 4% ► New categories, new products and services 4% 4% 20% 18% 19% 60% ► Increasing PC Internet and mobile internet 18% 16% 16% 14% usage volume 61% ► Increased brand awareness 52% 51% 52% 51% 51% 50% 50% 40% FY 09 FY 10 FY 11 FY 12 FY 13 FY 14 Q2FY14 Q2FY15 Personnel Other OPEX Lease Depreciation Total * Note: For Q2FY15 Adjusted Operating EBIDTA margin excluding ESOP expenses is considered 22

Driving Profitability Growth Profit after Tax (PAT) INR Mn PAT MARGINS: 24% | 24% | 20% 1,300 1,206 1,200 1,100 1,000 900 800 685 700 600 506 500 400 315 288 287 300 193 200 75 100 0 FY09 FY10 FY11 FY12 FY13 FY14 Q2FY14 Q2FY15 23

Growing Cash Flows and Return on Capital Cash Flow from Operations Return on Net Worth (RoNW) INR Mn 1 ,400 1,330 60% 50% 1 ,200 50% 1,023 957 1 ,000 40% 36% 35% 800 30% 26% 600 25% 600 20% 359 400 1 0% 200 61 0% 0 FY10 FY11 FY12 FY13 FY 14 FY09 FY10 FY11 FY12 FY 13 FY 14 24

Key Strengths First Mover Advantage in the Indian Local Search Market Strong Brand Recognition Attractive Value Proposition For Local SMEs Experience and Expertise in Local Indian Markets Advanced and Scalable Technology Platform An Efficient and Profitable Business Model 25