Experience
The Extraordinary

Annual Report 2017-18

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25 YEARS OF EXTRAORDINARY GROWTH

Revenues

MARKET Capitalisation

Employees

  • 150+
    FY1992
  • 600+
    FY1998
  • 1500+
    FY2003
  • 1700+
    FY2008
  • 2100+
    FY2013
  • 3200+
    FY2018

Content library

  • 1000
    FY1992
  • 12000
    FY1998
  • 30000
    FY2003
  • 80000
    FY2008
  • 120000
    FY2013
  • Hours
    250000
    FY2018

International presence (Countries)

  • 1
    FY1992
  • 40
    FY1998
  • 80
    FY2003
  • 120
    FY2008
  • 169
    FY2013
  • 173
    FY2018

Extraordinary

  • ENTERTAINMENT

    Quality content is the focal point for an extraordinary entertainment experience. This quality content is the confluence of numerous disparate elements, each of which demands careful attention. Creating content is an intricate and iterative

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  • PARTNERSHIPS

    25 years ago, the launch of Zee TV - the first private Indian satellite channel - ushered in a new era in entertainment. Since then, entertainment landscape has evolved immeasurably, giving consumers myriad choices. This has been possible through the collaborative efforts of all our partners and peers

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  • People

    An organisation is nothing but an amalgam of its people who define and shape it. It is the people who determine whether an organisation realises its potential. In the realm of entertainment, boundaries between art and science are blurry, innovation is the only constant

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  • POSSIBILITIES

    It is imperative for every organisation to have a meaningful engagement with community, as consumers are inextricably shaped by it. However, for us, community is not only the audience but also a cultural and social melting pot, providing ideas and perspectives

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KEY PERFORMANCE INDICATORS CONSISTENT GROWTH

Revenues (₹ Million)

FY13-18 CAGR +12.6%

EBITDA (₹ Million)

FY13-18 CAGR +16.8%

PBT Before Exceptional Items (₹ Million)

FY13-18 CAGR +15.7%

Return on Capital
Employed (%)

FY18 (YoY) -244bps

Networth (₹ Million)

FY18 (YoY) +13.0%

Television Network Share(%)

FY18 (YoY) +200bps

16.0

FY17

18.0

FY18

International Reach (Million)

FY18 (YoY) +59.2%

363

FY17

578

FY18

Movie Business
Revenue (₹ Million)

FY18 (YoY) +2.7%

1615

FY17

1660

FY18

Revenue Breakdown

FY18 Revenue: ₹ 66,857 million

  • 63%
    Advertising revenues
  • 30%
    Subscription revenues
  • 7%
    Other Sales and Services

Distribution of Expenses

FY18 Total Expenses: ₹ 46,096 million

  • 55%
    Operating Costs
  • 14%
    Employee Benefit Expenses
  • 31%
    Other Costs

Message From

  • Dr. Subhash ChandraCHAIRMAN

    Dear ShareholdersIn a Journey, there are moments when one should pause and celebrate the accomplishments and failures. Standing on the cusp of a spectacular twenty-five-year journey is certainly one such moment

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  • Punit GoenkaMD & CEO

    ceo

    Dear ShareholdersFY18 was a special one in several ways. The year marked the completion of 25 years of our flagship TV channel - Zee TV, and also saw the launch of our enhanced digital platform, ZEE5.

    Read more
  • Amit GoenkaQ & A - CEO
    International Business

    ceo

    What differentiates ZEE5 from other OTTs in the market?The biggest differentiator for ZEE5 will be its unrivalled content catalogue. The sheer depth and the breadth of our content offering is overwhelming and is significantly ahead of all the OTTs present in India.

    Read more
  • The Finance DeskFY 18
    PERFORMANCE REVIEW

    ceo

    How was ZEEL's financial performance in FY18?In FY18, ZEEL delivered yet another year of industry leading growth. During the year, advertising revenue growth was negatively impacted on account of implementation of GST.

    Read more

BUSINESSOVERVIEW

DOMESTIC BROADCAST DIGITAL INTERNATIONAL MOVIES & MUSIC LIVE EVENTS

DOMESTIC BROADCAST

DOMESTIC BROADCAST
  • Hindi General Entertainment
  • Regional General Entertainment
  • Hindi Movie Cluster
  • Regional Movie Cluster
  • Niche Channels

DIGITAL

DIGITAL
  • Hindi General Entertainment
  • Regional General Entertainment
  • Hindi Movie Cluster
  • Regional Movie Cluster
  • Niche Channels

INTERNATIONAL

INTERNATIONAL
  • Hindi General Entertainment
  • Regional General Entertainment
  • Hindi Movie Cluster
  • Regional Movie Cluster
  • Niche Channels

MOVIES & MUSIC

MOVIES & MUSIC
  • Hindi General Entertainment
  • Regional General Entertainment
  • Hindi Movie Cluster
  • Regional Movie Cluster
  • Niche Channels

LIVE EVENTS

LIVE EVENTS
  • Hindi General Entertainment
  • Regional General Entertainment
  • Hindi Movie Cluster
  • Regional Movie Cluster
  • Niche Channels

STRATEGY ANDBUSINESS MODEL

  • Evolve

    To satisfy consumer's varied and ever-changing preferences for entertainment content across different formats, languages and platforms

  • Build

    An entrenched position in content eco-system by partnering with the best talent both internal and external

  • Lead

    By building a strong competitive position in all our businesses

  • Sustain

    Through inclusive growth by managing our operations in a way that benefits all our stakeholders

  • 01

    STRONG
    CONTENT
    CREATION
    CAPABILITIES

    Over the last two and a half decades, we have built strong in-house content creation expertise and developed an eco-system that seamlessly delivers engaging content at a competitive cost. We have long-standing partnership with the artist fraternity and our strong market position makes us their preferred partner. While we work with multiple production houses, with an in-house TV studio, movie production and distribution company and a music label, we are uniquely positioned to offer a range of content for diverse audience.

    • We produce 500+ hours of content every week
    • We produce original content in 12 languages
    • We own the IP rights of all the content we produce
  • 02

    SYNERGIES

    We realize significant revenue and cost synergies due to our presence across markets and platforms. Content created for a market or platform seamlessly travels to another, enhancing its monetisation potential. We leverage our diverse presence to manage the content creation and acquisition costs and use it for all round promotion.

    • All 39 channels in International markets and 2 channels in India run on content produced for other channel
    • Digital platform hosts content from TV, Movies. Music and Live Businesses
  • 03

    REACH

    Our five businesses cover the entire spectrum of consumers’ entertainment needs. This enables us to reach almost every consumer of entertainment content in India and one in ten in the rest of the world. This strong reach makes us the default partner for brand building.

    • 700mn+ individuals reached in India every month
    • 570mn+ reach outside India
    • 3,000+ brands connected with their consumers through our network, in India
  • 01

    ADVERTISING

    It is an important revenue stream for our domestic broadcast, international and digital businesses. Consumer staples, consumer durables, telecom, auto and e-commerce are our key advertisers. Advertising revenue is primarily driven by viewership of our content.

  • 02

    SUBSCRIPTION

    Domestic broadcast, international and digital businesses generate subscription revenue. Our domestic and international broadcast business receive subscription income from our distribution partners - DTH and Cable. Digital business generates subscription revenue from consumers and telecom operators.

  • 03

    SYNDICATION

    Syndication revenue comes from licensing of our content to other players, primarily in international markets.

  • 04

    THEATRICAL

    Theatrical revenue represents our share of box-office collections of the movies produced by us

  • 05

    MUSIC LICENSING

    Revenue from the licensing of our music catalogue to music streaming platforms and from any other events/platforms where our music titles are utilised

  • 06

    OTHERS

    Movie distribution: Revenues earned from the distribution of movies

    Ticketing and Sponsorships: Revenue from events, live shows and theatre

  • FOR AUDIENCES

    By providing engaging, inspirational and uplifting content to audience’s satisfaction.

  • FOR ADVERTISERS

    By offering brand building solutions to our advertisers to connect with consumers through multiple touch-points

  • FOR DISTRIBUTION
    PARTNERS

    By providing content which is an integral part of our distribution partners’ offerings

  • FOR TALENT

    By providing unparalleled reach to our content partners and giving a platform for new talent

  • FOR
    SHAREHOLDERS

    By delivering a strong and consistent operating and financial performance

  • FOR OUR PEOPLE

    By providing enriching experience at the work place, work life balance, adequate learning and growth opportunities.

Next COMPETITIVE ADVANTAGES

CONTENTCREATION Flow

CONSUMER

BRAND

CONTENT
PLATFORM

STORY TRUST

COLLABORATIVE
APPROACH FOR
CONTENT CREATION