Onmobile Global Limited · NSE:ONMOBILE
Onmobile Global — Investor Presentation (December 2008)
26 slides from Onmobile Global's investor presentation, December 2008
Slide 1: Leading provider of telecom Value Added Services (VAS) Investor Presentation
Leading provider of telecom Value Added Services (VAS) Investor Presentation __________________________________ December 2008
Slide 2: Agenda
Agenda 1. Introduction to OnMobile 2. Products & Customers 3. Financial summary 2
Slide 3: What is VAS?
What is VAS? Time Warner, EMI, SONY BBC, Disney, ESPN, Internet Yahoo, Google, AOL, Media & Content Portals, Cricinfo, MTV Expedia, Monster, Facebook, TV, Radio, Publishing E Commerce Verticals, MySpace, Goal.com, EBay Music, Movies, Video, P2P, UGC Print. . . VAS Handset Manufacturers, NEP’s, Opera
Slide 4: Definition of VAS: India Market
Definition of VAS : India Market INR 45,000 M = US $1.1 bn 11 % P2A SMS P2P SMS 45% 26 % Voice Portal* Roaming, 5% Data Access RBT* 46% Other 50% 14% WAP Misc 3% FY 07 – 08 Overall Market * = primary OnMobile products Based on company estimates and industry data 4
Slide 5: OnMobile = VAS specialist, well capitalized
OnMobile = VAS specialist, well capitalized • Business: Telecom VAS, Mobile Marketing • Headquarters: Bangalore, India. Founded in Y2000 • Global offices: Mumbai, Delhi, Singapore, Sydney, Jakarta, Paris, London, Kuala Lumpur, Dhaka • Employees: 1000 + • Founders / Investors: Listed in India on Bomb
Slide 6: History & milestones
History & milestones January 2000 Company formed in US as Onscan, Inc. Series A shares to INFY as spinout consideration June 2000 Series B financing round, $15M cash @ $40M post money Argo = lead VC, HQ&AP investors November 2001 Launched Orange, Mumbai……..1st customer, Voice Portal March-Sept 2002
Slide 7: Company positioning & Strategy
Company positioning & Strategy Products………………. Telecom Value added services, Media Portals/interactivity M-Commerce, m-advertising Direct Marketing via mobiles and landlines On-Device portal, USSD/WAP services, Phone backup Unbranded (white label), content neutral, aggreg/distrib. Target Markets……….
Slide 8: Seasoned Management Team
Seasoned Management Team Strong Top Management Arvind Rao Chandramouli Janakiraman Co-Founder and CEO Co-Founder and CTO ● MBA, Wharton School of Business; Bachelor of Technology, IIT Mumbai ● Bachelor of Technology, National Institute of Technology, Allahabad ● Over two decades of experience in IT,
Slide 9: Supported By A Strong Board of Directors
Supported By A Strong Board of Directors Independent Directors Executive Directors Sridar A. Iyengar Arvind Rao Service (Compensation Committee Chairman) Chairman, Co-Founder, MD & CEO ● Over 38 years of experience in corporate finance and accounting ● Independent director of various companies inclu
Slide 10: Proven track record with telecom operators (customers)
Proven track record with telecom operators (customers) Market reach 450+ million mobile subscribers in 17 countries Unique users 45 million /month VAS call vol. 7 billion /month Ringback Tone 30%+ market penetration; 11%+ ARPU uplift, 12M+ song selections/mo Voice Portal 15% market penetration; 4% A
Slide 11: Our International Presence
Our International Presence OnMobile’s customers Vox mobili’s customers UK Netherlands Russia Market reach in excess of 360m Germany Belgium subscribers in France Pakistan Turkey India(1) US Israel Bangladesh Market reach in U.A.E Taiwan excess of 100m Senegal India Malaysia international Sri Lanka s
Slide 12: Agenda
Agenda 1. Introduction to OnMobile 2. Products & Customers 3. Financial summary 12
Slide 13: Platform: Enabling end-to-end Solution Delivery
Platform: Enabling end- end-to- to-end Solution Delivery Telephony Apps SS7, PRI, SIP/RTP Differentiated applications for both corporate and consumer markets OnMobile Mobile Positioning Network Deployment Multimodal Center Monitoring Architecture Architecture Voice, WAP, SMS local station Distribute
Slide 14: 5 major Product Lines today
5 major Product Lines today Consumer VAS Portal In- In-call Solutions Core Business Support ●Music Music & Entertainment ●Ring Ring Bank Tone (“RBT”) ●Phone Phone backup ●Sports Sports & Live Streaming ●Missed Missed Call Alert ●Pre Pre- Pre-paid/Post- paid/Post-paid payments ●Infotainment Infotainm
Slide 15: Proven track record in new product innovation
Proven track record in new product innovation 2000- 2000-2003 2004 2005 2006 2007 ● Platform – Voice ● Indian Languages ● Support for more ● Pricing innovations: ● Content Discovery portal 1.0 (English) Model (3 languages Subscription, Not languages) Enough Funds ● M-Search (Voice & ● Ring tones ● 1
Slide 16: Blue chip customer base
Blue chip customer base Telecom Operators Media Houses M-Commerce Data Services Phone backup/Address Book Customers 16
Slide 17: OnMobile differentiators and competitive edge
OnMobile differentiators and competitive edge • Breadth of product lines in VAS, ability to cross-sell and piggyback • Product innovation • First-mover advantage in India, emerging markets • Installed base of equipment which is heavily integrated into telco network and OSS-BSS • Operating scale, bil
Slide 18: Agenda
Agenda 1. Introduction to OnMobile 2. Products & Customers 3. Financial summary 18
Slide 19: Last 5 year summary
Last 5 year summary INR Mn 2003-04 2004-05 2005-06 2006-07 2007-08 CAGR Net Revenue 173 409 826 1,330 2,618 97% Growth 137% 102% 61% 97% Gross Profit 123 350 703 1,092 2,230 Gross Margin 71% 85% 85% 82% 85% Total Opex 53 85 232 483 1,182 EBITDA 70 265 471 610 1,048 40% 65% 57% 46% 40% Net Income 43
Slide 20: H1 2008-09 Performance
H1 2008- 2008-09 Performance INR Mn % H1 2007-08 Q1 2008-09 Q2 2008-09 H1 2008-09 Growth Net Revenue 1,125 779 975 1,753 56% COGS 162 136 182 317 96% Gross Profit 963 643 793 1,436 49% Gross Margin 85.6% 83% 81.4% 81.9% Total Opex 478 434 519 953 100% EBITDA 485 209 274 483 -1% 43.1% 27% 28.1% 27.5%
Slide 21: Balance Sheet
Balance Sheet INR Mn 2006-07 2007-08 Stockholders' Equity 37 575 Issue of Bonus shares / Public issue Retained Earnings 1,990 5,536 Current Liabilities 723 2,460 Other Liabilities 44 318 Total Liabilities & Equity 2,794 8,889 Goodwill arising on Consolidation Goodwill 205 1,368 31st Mar 07: ITFinity
Slide 22: Key Parameters
Key Parameters…… FY 02-03 FY 03-04 FY 04-05 FY 05-06 FY 06-07 FY 07-08 H1 08-09 India Revenue 100% 100% 100% 99.8% 95% 84.5% 79.0% Overseas Revenue 0.2% 5% 15.5% 21.0% Revenue From top 5 Customers 100% 100% 100% 95% 86% 77% 74% Number of R&D Sites 1 1 1 1 2 3 4 Number of Offices Worldwide 2 2 3 5 6
Slide 23: Cash Flow Statement
Cash Flow Statement INR Mn 2006-07 2007-08 Cash flow from operating activities Net Profit before taxation 510 850 Depreciation & Amortisation/ Forex 143 300 Changes in current assets / liabilities (52) (26) Income taxes paid during the year (211) (305) Net cash generated from operating activities (A
Slide 24: Ratios for last 5 years
Ratios for last 5 years………………… FY 02 FY 03-04* FY 04-05 FY 05-06 FY 06-07 FY 07-08 Audited Audited Audited Audited Audited Audited Balance Sheet Ratios Current Ratio 2.05 0.67 1.31 1.60 1.71 1.39 Capital Expenditure/Total Income 5% 59% 17% 21% 20% 32% Depreciation/ Average Gross Block* 32% 13% 30% 3
Slide 25: Stock Price – Performance vs. Sensex
Stock Price – Performance vs. Sensex OM Price BSE Close 800 20,000 700 18,000 600 16,000 OM Price 500 Sensex 14,000 400 12,000 300 10,000 200 100 8,000 19 Feb 28 Dec 25 OnMobile Proprietary & Confidential
Slide 26: Thank You
THANK YOU OnMobile Global Limited # 26, Bannerghatta Road, JP Nagar 3rd Phase, Bangalore - 560076 OnMobile Proprietary & Confidential
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