Company Presentation March 2017 1 Business Overview Company - - PowerPoint PPT Presentation

Company Presentation

March 2017

1

Business Overview

Company Overview

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Notes

• 1. Unique visitors are considered across various mediums – Voice, PC Internet, Mobile Internet – these may not necessarily be mutually exclusive.
• 2. As on 31 March, 2017

India’s only Search Plus engine (Search & Transact) Multi platform search engine High rates of direct, mobile and repeat traffic 4,35,360 active paid campaigns(2) 70.5mn reviews and ratings(2) 86.8mn unique visitors in Q4FY17 (1) 17.9mn total business listings(2) Profitable business model

Justdial Everywhere: Connecting With Users Anytime, Anywhere

PC Internet Mobile Internet & Apps Voice/SMS

User friendly features – Predictive auto-suggest – Maps, directions, operating hours, logos, pictures, videos – Ratings and reviews Search by company or category or product Search Plus Popular category searches Location-based search service Voice Search Search Plus Developed Android, iOS, Windows apps 8888888888 Operator assisted Hotline number across India 24 hours a day, 7 days a week Multi-lingual support Company/ category/product searches Search Plus 4

37.1 41.3 45.1 48.4 51.0 53.1 55.3 58.3 60.6 62.6 64.8 67.9 70.5 0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 80.0

Mar-14 Sep-14 Mar-15 Sep-15 Mar-16 Sep-16 Mar-17

User Community and Reviews Drive Engagement

Reviews and Ratings

Millions 5

Special focus on Friend’s Reviews & Ratings

Voice, PC and Mobile – Unique Visitors

Total Unique Visitors are considered across various mediums – Voice, PC Internet, Mobile Internet – these may not necessarily be mutually exclusive.

Unique Visitors

27.6 27.3 24.3 24.8 26.7 25.2 24.3 25.6 11.3 10.9 10.6 9.7 10.3 9.9 9.5 9.0 36.3 37.6 36.6 36.8 38.9 41.5 46.8 52.2 75.2 75.8 71.5 71.3 75.9 76.6 80.6 86.8

10 20 30 40 50 60 70 80 90 100 Q1 FY16 Q2 FY16 Q3 FY16 Q4 FY16 Q1 FY17 Q2 FY17 Q3 FY17 Q4 FY17

Web Voice Mobile Total

in million

Attractive Value Proposition for Local SMEs

Paid Campaigns

‘000

Total Business Listings

Million 7

7.2 9.1 11.8 15 15.0 17.9 2 4 6 8 10 12 14 16 18 20 FY12 FY13 FY14 FY15 FY16 FY17 171 206 262 331 369 435 50 100 150 200 250 300 350 400 450 500 FY12 FY13 FY14 FY15 FY16 FY17

JD lite app – light, fast, and less than 1MB

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JD Pay – integrated within the App for easy payments

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Search Plus – A natural extension of our core search business

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Leveraging The Three Cornerstones of Our Success to Do More

Enabling Best Way to Discover Information About Each Other Trusted Strong Brand Established Relationships with Local SMEs Across India Large, Loyal User Community

“Three Clicks to Find”

Enabling Hyper Local Commerce and Transactions Trusted Strong Brand Established Relationships with Local SMEs Across India Large, Loyal User Community Enabling “Offline to Online” Shift

“Three Clicks to Transact”

Products and Services – Search Plus

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Options of Wallets for Payment Hail a Cab Shop Online Order Grocery

Products and Services – Search Plus

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Book Train Tickets Bills & Recharge Book Movie Tickets Book Flight Tickets

Search Plus: Win-Win for Users and SMEs

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• Enable O2O transformation
• App to better manage business
• Shop front for customer

acquisition in local markets

• Enhance trust online

(via JD guarantee)

• Leverage existing hyper local

delivery network

• Choose vendor in local

neighborhood for product of choice

• Convenience of ‘master app’,

look no further

• Personalized door-step

service experience

• Real-time price discovery
• Increased engagement and stickiness
• f users
• Increase in monetization streams

from SMEs

• Natural extension of core

search business

The Search Plus Model

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New Revenue Streams Near Term Areas of Focus User engagement Vendor adoption and penetration

• No. of listings in each

segment Transaction fee JD Omni# Display ad revenue Subscription fee from Vendors

#JD Omni is being revamped and will be launched soon

Financial Overview

We have an Efficient and Profitable Business Model

Quarter ended March 31, 2017 highlights:

► Total operating revenue: INR 1,817 MM ► Adjusted Operating EBITDA margin at 20%* ► PAT margin at 13%

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4QFY17 and FY17 financials are based on IndAS while FY11 is based on Indian GAAP

FY2011 FY2017 Paid Campaigns 120,200 4,35,360 Operating Revenue INR 1,839 MM INR 7,186 MM Operating EBIDTA INR 455 MM INR 1,255 MM* Operating EBIDTA Margin 25% 17%* PAT INR 289 MM INR 1,213 MM PAT Margin 15% 15%

* Note: Operating EBIDTA for FY17 is adjusted for ESOP expenses and one time spends * Note: Adjusted Operating EBIDTA is after ESOP expenses of Rs. 3.7crore during the quarter

Rapid Revenue Growth

► Paid Advertisers primarily across 11 large Indian cities

(Contributes substantially to all of the company’s campaigns)

► Paid Advertisers pay fixed monthly or annual fees to run

search-led advertising campaigns for their businesses on Justdial’s platform

► Various types of premium memberships: Platinum, Diamond,

Gold and non-premium packages determine priority of placement in search results

–

Get direct leads to consumers (actual buyers)

–

Paid in advance

–

Automatic renewal

► Justdial also runs multiple city campaigns for pan-India

customers

► 4,350 tele-sales executives and 1,484 feet on street selling to

SMEs and 2,055 Just Dial Ambassadors (JDAs)

Key Business Model Attributes Operating Revenue

INR Mn 17

2594 3577 4592 5883 6551 6972 1669 1774 1800 27 51 21 15 125 214 47 28 17

2621 3628 4613 5898 6677 7186 1716 1803 1817

2000 4000 6000 8000 10000 12000 14000 16000 FY12 FY13 FY14 FY15 FY16 FY17 Q4FY16 Q3FY17 Q4FY17

Search Other Revenue Total

Financials up to FY15 are based on Indian GAAP, while FY16 onwards are based on Ind AS

51% 50% 50% 52% 57% 61% 58% 62% 60% 19% 18% 16% 16% 18% 19% 18% 19% 18% 5% 4% 4% 4% 3% 4% 4% 5% 4% 3% 4% 4% 4% 5% 6% 5% 6% 6%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

FY12 FY13 FY14 FY15 FY16 FY17 Q4FY16 Q3FY17 Q4FY17

Margin Expansion and Operating Leverage

Key Expenses as a % of Operating Revenue Key Drivers

►More paid campaigns ►Improved package pricings, increasing and

upgrading contracts

►Deepen and broaden SME coverage ►New categories, new products and services ►Increasing PC Internet and mobile internet

usage volume

►Increased brand awareness

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• Adj. Op. EBIDTA Margins*

17% | 22% | 17% | 20%

* Note: Adj. Operating EBIDTA excludes ESOP expenses and one time spends

Financials up to FY15 are based on Indian GAAP, while FY16 onwards are based on Ind AS

Driving Profitability Growth

Profit after Tax (PAT)

INR Mn 19

PAT MARGINS: 15% | 20% | 14% | 13%

506 685 1206 1389 1427 1213 403 274 254

200 400 600 800 1000 1200 1400 1600 FY12 FY13 FY14 FY15 FY16 FY17 Q4FY16 Q3FY17 Q4FY17

Financials up to FY15 are based on Indian GAAP, while FY16 onwards are based on Ind AS

Growing Cash Flows and Return on Capital

Cash Flow from Operations

INR Mn 359 600 957 1,023 1,330 1,846 1,492

200 400 600 800 1,000 1,200 1,400 1,600 1,800 2,000

FY10 FY11 FY12 FY 13 FY 14 FY 15 FY16

Return on Net Worth (RoNW)

35% 36% 50% 26% 25% 23% 21%

0% 10% 20% 30% 40% 50% 60%

FY10 FY11 FY12 FY13 FY 14 FY15 FY16 20

Transition to Ind AS from Indian GAAP (IGAAP)

21 S No. Particulars (in INR lacs) I GAAP Effect of Transition to Ind AS Ind AS 1 Income from operations Revenue from operations 69,083 (2,317) 66,766 Total Income from operations 69,083 (2,317) 66,766 2 Expenses a) Employee benefits expense 37,741 253 37,994 b) Depreciation and amortisation expense 3,110

• 3,110

c) Other expenses 14,288 65 14,353 Total expenses 55,139 318 55,457 3 Profit from operations before other income and finance costs (1-2) 13,944 (2,635) 11,309 4 Other income 5,849 2,154 8,003 5 Profit from operations before finance costs (3+4) 19,793 (481) 19,312 6 Finance costs

• 7 Profit from ordinary activities before tax (5-6)

19,793 (481) 19,312 8 Tax expense (net) 5,613 (574) 5,039 9 Net Profit for the period (7-8) 14,180 94 14,274 10 Other comprehensive income

• 110

110 11 Total comprehensive income (9+10) 14,180 204 14,384 Year ended March 31, 2016

Key Strengths

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

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