A Premium Education House Investor Presentation As On 31st - PowerPoint PPT Presentation

A Premium Education House Investor Presentation As On 31st December 2019

03 Company Overview 1 08 Navneet Group Business Insights 2 13 E-Learning Business Overview 3 Table Of 15 Indiannica Learning 4 Contents 16 K12 – School Management Company 5 18 Industry Insights 6 24 Financial Performance 7 37 Shareholders Information 8

COMPANY OVERVIEW

ABOUT NAVNEET Navneet Education Limited, founded by the Gala Family, is an educational syllabus-based supplementary content provider in Print & Digital medium and a manufacturer of Scholastic Paper stationery for domestic and international markets. New range of text books for students of CBSE and ICSE Boards are sold across India. Over the years, the company has built a strong brand in the Educational Content & Scholastic Stationery gaining a leadership position. The company has a dominant market share of about 65% in western India. Earnings Presentation 4

VISION, MISSION & CORE VALUES Mission Vision Core Values To provide the highest quality of Excellence To provide students with best quality educational products and services supplementary study material and to customers in the language / Proactive curriculum text books at affordable medium of their choice. price. Student Centric To harness the power of Information Transparency Technology and bring home its wonder to children through e-learning. To provide students with scholastic stationery products. Earnings Presentation 5

6 DECADES OF NAVNEET – A SNAPSHOT Achieved Milestone Turnover of ₹1,000 Scholastic Stationery crores, Introduction of premium stationery New Stationery brand products under YOUVA launched, brand “HQ” Acquired Indiannica Learning 1993 Pvt. Ltd. (earlier Encyclopaedia Britannica (India) Pvt. Ltd.) 2017 Children Books First Digest / Introduced Guide Published Branded Stationery in for Std. X 1994 UAE 2016 1990 First Educational Publisher to be listed on BSE and NSE 1959 1970 2018 2019 & 2014 2008 1975 Workbook Digital Assessment Concept Entered B2C Digital Platform for schools / Introduced Learning Space Entered B2B Digital children Learning Space 2011 Published 21 Most Likely Question Sets Ventured into School Management Earnings Presentation 6

KEY FACTS 25,000+ 2 Presence in States No. of State Board for Supplementary 35 Mn+ Schools visited Books annually Students using Navneet products 8,500+ CBSE / ICSE Schools visited 600+ 5,500+ annually 300+ No. of Titles SKU’s in Stationery No. of Authors 48,000+ 25+ 3,000+ Presence in Retail 350+ Presence in Outlets for No. of Employees Hours of Digital Countries for Paper Stationery in India Library Stationery 5 3 Mediums / Printing / Languages for Manufacturing State Board 1 Lakh+ Tons Locations 4,000+ Publications Paper Digital Classrooms consumed Earnings Presentation 7

NAVNEET GROUP BUSINESS

NAVNEET GROUP BUSINESS PORTFOLIO Curriculum (Maharashtra & Gujarat) Supplementary Books Non Curriculum (Pan-India & PRINT Exports) Text – Books (ICSE / CBSE) CONTENT E-LEARNING SSC (Adaptive (Maharashtra Learning) & Gujarat) B2B & B2C Domestic (Pan - India) PAPER STATIONERY School Management Exports (USA, Europe, STATIONERY Africa) Earnings Presentation 9

NAVNEET’S PRESENCE Supplementary Books Maharashtra & Gujarat Digital Presence Maharashtra & Gujarat Orchid International Mumbai, Pune, Bengaluru, Hyderabad and Kolkata Text Books Andaman & Nicobar, Andhra Pradesh, Arunachal Pradesh, Assam, Bihar, Chhattisgarh, Delhi, Gujarat, Haryana, Himachal Pradesh, Jammu & Kashmir, Jharkhand, Karnataka, Kerala, Madhya Pradesh, Maharashtra, Manipur, Meghalaya, Nagaland, Odisha, Punjab, Rajasthan, Tamil Nadu, Telangana, Tripura, Uttar Pradesh, Uttarakhand, West Bengal and Sri Lanka Stationery Maharashtra, Dadra & Nagar Haveli, Bihar, Jharkhand, Odisha, West Bengal, Karnataka, Kerala, Tamil Nadu, Telangana, Gujarat, Chhattisgarh, Delhi, Haryana, Madhya Pradesh, Punjab, Rajasthan, Uttar Pradesh, Uttarakhand Earnings Presentation 10

GLOBAL PRESENCE 10 11 9 12 13 1 14 15 16 2 5 3 25 6 8 4 7 17 18 21 19 20 22 23 24 1. Canada 6. Puerto Rico 11. Sweden 16. Turkey 21. Zambia 2. U.S. 7. Costa Rica 12. Denmark 17. Ethiopia 22. Madagascar 3. Mexico 8. Panama 13. Germany 18. Kenya 23. South Africa 4. Honduras 9. Ireland 14. U.K. 19. Rwanda 24. New Zealand 5. Jamaica 10. Norway 15. Spain 20. Tanzania 25. UAE Earnings Presentation 11

GROWTH DRIVERS FOR NAVNEET Content Stationery Syllabus CBSE Affiliated CBSE Pattern Domestic Exports change Schools Schools Stationery Stationery With the rapid growth of Many English Medium Increasing number of Syllabus Change in State On account of Quality, CBSE schools in the Private SSC Schools schools, improved Board (SSC) Schools is a timely delivery, country the market for (Around 94,000 in the standard of living as well major growth driver as it competitive preference these products will grow Country) have started as shift in focus from does away with the old over other exporting rapidly. positioning themselves as inexpensive to premium and second hand books countries and also being CBSE Pattern Schools quality products are from trade and students one of the leading where they use private some of the crucial buy new supplementary organized player in the publishers’ text books up factors which would drive books as per the new Segment, Exports is to Grade VIII. the demand revised syllabus. poised for rapid growth Earnings Presentation 12

eSENSE LEARNING 150+ 4,000+ 1,20,000+ 20,000+ Team of authors, Digital Classrooms using Students learning Teachers trained Illustrators and Top Class through Top Class animators 15,000+ 2,00,000+ 350+ Hours of digital content Videos MCQs Earnings Presentation 13

GROWTH DRIVERS - E-LEARNING EDUCATION EVOLVING BUSINESS MODEL : RISING DISPOSABLE INCOME : Peer to peer learning among students to gain pace also value-added services such as internships and live Disposable income of the country projects along with regular courses to provide hands expected to grow 55% by 2020 on experience to students GAMIFICATION : RISING JOB SEEKING POPULATION : Will gain application in the form of simulation of 280 million people to enter job market by 2050. Growth concepts, Incentive based learning, level advancement rate of jobs:2%, Unemployment rate (2016):5% badges and the likes CSR INITIATIVES : SMARTPHONE PENETRATION : With law of CSR spending of 2% from profit, the More than 290 million smartphone users currently, max spends towards education, will enable User base to add 180 million users by 2021 infrastructure needed for online education LACK OF QUALITY EDUCATION : INTERNET PENETRATION : Online channel provides quality education to potential 51% Penetration , 409 million users students currently, there is lack of quality education in 2021(P)- Projected 735 million Users many parts of India GROWING YOUNG POPULATION : LOW COST ALTERNATIVE : Large fraction of Indian population is young thus Online Education – enlarging the target population for online education. Acceptability for online education is higher in the 53% Cheaper younger demographic Source: KPMG Earnings Presentation 14

INDIANNICA LEARNING (Formerly ENCYCLOPAEDIA BRITANNICA INDIA) 1 3 CBSE, ICSE, SSB 220+ 8,500+ Schools Pan-India School Presence 2 4 SCHOOLS VISITED CURRICULUM LOCATIONS EMPLOYEES ANNUALLY TARGET REACH 25,000+ CBSE / ICSE & 20,000+ SSC Schools o Encyclopedia Britannica India (“EB India”) is one of India’s leading K -12 curricular educational publisher; started publishing operations in India in 2009. o Extensive product catalogue comprising educational, instructional and information products & technology solution. o Offers specialized curricular learning solutions consisting of textbooks, interactive student, teacher resources and training materials. o Key export markets include Sri-Lanka, Nepal and GCC. Earnings Presentation 15

K12 TECHNO SERVICES Over the last few years, quality Direct Education is in great demand in the Country and hence seen a sudden growth. ORCHIDS – THE INTERNATIONAL SCHOOL 25 24,000 5 34,000 No. of Schools + Locations + (CBSE/ICSE) No. of Capacity Students Locations No. of Schools SHAREHOLDING Bangalore 11 Sequoia Capital Mumbai 9 35% Hyderabad 1 Pune 3 65% Navneet Learning LLP Kolkata 1 TOTAL 25 Earnings Presentation 16