REPRO April MOR: Marketing Team

Education Content Management & Delivery Solutions Print & Digital

www.reproindialtd.com

Repro : An Education Content Delivery Solution Provider

Repro is one of the largest service provider to educational publications in India and Africa Over 85% of Repros revenue comes from education sector

Products & Services

Customers

Markets

Pre print solutions Print Print on Demand Logistics solutions Web Store front

Focused on education

publishing, a segment that is growing in emerging markets

Strong presence in India

and African markets, with 43% and 54% of revenues respectively

Offering a Wide Range of Solutions to the Publishing Sector

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Key Emerging Trends in The Publishing Market

Emerging market to lead growth in Publishing Market1

Global print market is large at ~$800 bn and is expected to grow at a

CAGR of 1.3% until 2016

This is driven by emerging markets which continue to grow at 4% while

large North American / Western European markets are declining

Within publishing, education books are set to grow at a robust pace

Repro increasingly focusing on education sector India and Africa are key target markets Partnering with publishers to provide end to end content delivery solutions

driven by increasing education thrust in emerging markets

In emerging markets, India and Africa present significant growth

potential with ~52%2 and ~60%2 of population in the school / college age

Technology disruptions opening up new opportunities

With advanced technology in printing, publishers are increasingly

focusing on digitization of content and related IPR management

Digital printing market is growing rapidly and forecast to account for

Creating capabilities to enable seamless access to digital delivery platform

18% of all print by 20161

1 2

Market data estimates as per Pira International 52% population in India under 24 years and 60% population in Africa in the 3-20 years age bracket

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Indian Education A Large Opportunity

India along with peers like Brazil, Russia and China falls in the category of countries which spend 2-4% of their GDP on

education compared with developed countries spend of 5-6% of GDP

The government proposes to increase the education expense to 5% of GDP from the current levels of 3% Indias population in the age group up till 24 years constitutes 52% of the total population

One of the worlds lowest GERs (17%), low literacy rates and number of schooling years (5.1) in the world, promise

long-term growth

Education Spend as % of GDP

Potential of Student Population in India

Age Group Education Group Population (Cr) % population

0-3
4-6 7-11 12-14 15-18 19-24 Pre-Primary Primary (I - IV) Upper Primary (VI - VII) Secondary (IX - XII) Higher (XII +)

7.5
7.9 14.4 8.5 9.7 12.6 60.6

6.5%
6.8% 12.4% 7.3% 8.3% 10.9% 52.2%

Source: CIA World Fact book 2009

Source: Indiademographics.com

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India - A Growing but Fragmented US$ 1.75 bn market

Indian books market estimated to be $1.75bn in size is highly fragmented with over 8,000 publishers Print Market forecast to grow at 14% driven by increased education thrust, and shift from second hand

books to new books with increased affordability

Digital content and delivery mechanisms will also grow in urban centers
With large number of regional publishers, large opportunity for solutions based on independent

platforms
Regional vs. English Language Books Market
Regi ona l 100 75 50 25 0 Pri ma ry Pri ma ry / Sec (Std I to X) Hi gher Sec (Std Xi to XII) Pos t Hi gher Sec 70 50 15 50 20 Engl i s h

85

80

30

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African Education Large Untapped Opportunity

Key Enablers in the African Education Market
Large population (1.1 billion) with 60% comprising of children

Repro Present in 16 Countries Across Africa

and students between age group of 3 - 20 years

Development policies by governments and multilateral

agencies focused on education to help lift these nations to middle income status
Thus, a growing US$ 4 billion market, characterized by low

affordability and driven by funding by multilateral agencies

Imports of Printed Books in Africa (US$mn)

2,284 1,812 1,635 1,591 1,902

2007

2008

2009

2010

2011

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Repro : Clear Shift to Capitalise the Opportunity in India and Africa in Education
Revenue by Segment
3% Education 20% Annual Reports 6% 13% 61% 86% 6% 5%

Magazines
Others

2008 Rev: Rs 150 Cr

2012 Rev: Rs 345 Cr

Revenue from Indian Education Segment (Rs Cr)

97
69 46 31 52

Revenue from Africa (Rs Cr)

08-12CAGR: 40% 130 90 49
Affected by delay in World-bank funding

187

121

FY2008

FY2009

FY2010

FY2011

FY2012

FY2008

FY2009

FY2010

FY2011

FY2012

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Repro Has Built A Strong Portfolio of Long Standing Customer Relationships

Customer Relationship Driven Organization
Relationship of over 2 decades with all leading publishers in India and across the globe

Dealing with over 250 publishers and managing their content, IPR protection through ECM, timely deliveries
Quality of highest standards ensures repeat business year after year Capability to handle 1 book to 1.5 million books which gives tremendous flexibility to the publishers

Created & Strengthened Relationships; 74% of our business in FY12 was repeat orders
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Adding Products & Services to Provide End to End Content Delivery Solutions
Products
Complete range of print solutions to all publishers Text books, exam study materials Activity books including paint with water

Service Solutions
Content solutions: Content Digitization; Content

Conversion; Content Management

Print on Demand and Short Run Printing Fulfillment solutions: Packing & Warehousing Logistics Solutions: Third party logistics Web Store Front: Facilitating online ordering of

drawing books, magic printing, etc.

Trade books Commercial printing segment including annual

reports, magazines, trade books, etc.

printing and seamless delivery of books

Repro Offers End to End Solution to the publisher Concept/ Design/ Creation
$6.6

Press/ Printing

$1.8

$2.0

Fulfillment/ Distribution/ Warehousing/Archiving

Prepress/ Preparation www.reproindialtd.com

$1.8

Postpress / binding

$1.2

$7.6

Dissemination/ Retailing/ Final Sale

State-of-Art High Capacity Manufacturing Facilities

Navi Mumbai Chennai

Established in 1994 Area: 75,000 sq. ft.

Acquired Macmillans printing operations Area: 30,000 sq. ft. Capacity*: 5,000 MT POD Facility at Navi Mumbai

Capacity*: 30,000 MT Surat

Established in 2008

Established in 2006

Area: 50,000 sq. ft.

Capacity*: 27,000 MT
*

Area: 35,000 sq. ft.

Capacity*: 35,000 books per day

Realizable capacity

Multi Locational; Flexible; Multi Solution Print Facilities

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Content & Delivery Management

Content Management

Delivery Management

Integrated Solutions

Repro has invested ~$5mn in technology infrastructure and systems over last 3 years These capabilities helps in building publishers confidence to entrust us with IPR rights

Repro Serves As One Stop Shop to Provide Integrated Content Management and Printing Service to Publishers
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Digital Delivery A Large Emerging Opportunity

Growing demand for customised short runs book orders and fulfilment solutions The market is growing at 40% and will be ~$300 bn by 20161 Growth in tablets and hand held devices offering further opportunity for electronic delivery of enriched content to

students
1

Source: Pira International

Repro is well positioned to tap the growing opportunities in digital content delivery Long standing credible relationship with global & local publishers and access to their content

Capabilities and experience in digitising and distribution of content Setting up network of franchisees to offer distributed POD capabilities Access to schools through the publisher relationships

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Digital Journey

Publishing & Education Segment focused through Digital Technologies Central Processing, Multi-location production & deliveries

Vision Ahead .establish multiple centers around the world to offer best POD timelines, reduce cost of logistics and impact environment positively
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Repro is Thus a Leader Providing End-To-End Education Content Delivery Solution

Conventional Print Content

Leading education books printer in

End to End Content Solutions

Content Solutions, Digitization,

New Initiatives Digital Content Delivery

Large investment in technology

India
Three state of the art plants with

Conversion and Management

Content Repository & IPR

and infrastructure to deliver digital content

Launching e-retailing platform to

installed capacity of 1.5 million books / day

Relationship of over 250

protection
Web Store Front for publishers

publishers with capability to handle 1 book to 1.5 million books

Key target markets include India

Distributed printing services

Packing & Warehousing Fulfillment solutions Third party logistics, Online

target opportunity in the retail segment

Enhancing market for publishers

and Africa
Print on Demand providing added

tracking

to capitalise on digital opportunity through website and application devices as preloaded content
Digital education delivery

flexibility Started operations Forayed into Books segment First export order Focus shifted on education sector

platform Content & Digital Solutions Macmillan Press Acquisition

1980
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2000

2002

2007

2010

2011

Repro The Way Forward

Expand existing relationships with global publishers to offer complete solutions Customers Enhance reach and acquire new customers in existing markets Explore new markets in emerging economies

Utilize enhanced capacities at Surat & Mahape and planned expansion at Chennai plant

Expand Capabilities for Print

Add warehouse in North & South India to complement state of art Mumbai warehouse Further expansion through partnerships & franchisees

Expand POD platform through distributed network - own as well as franchisee model Enhance Services Platforms Enhance digital content repository by converting existing content to e-books Establish digital distribution platform for publishers

Strategy Focused on Adding New Customers and Providing Additional Services to Existing Customers
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Focused Management with A Diversified Board bringing in Vast Experience

Executive Directors
Vinod Vohra - Chairman Sanjeev Vohra - Managing Director

Independent Directors Sanjay Asher

Ullal R. Bhat Jamshed J. Irani Dushyant Mehta

Rajeev Vohra - Executive Director

Mukesh Dhruve - Finance Director Pramod Khera - Executive Director

Alyque Padamsee P. Krishnamurthy

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Key Financials
Repro - Financials

Rs Cr Net Sales % growth EBITDA % margin Less: Depreciation EBIT Less: Interest exp Less: Tax PAT % margin
Net Worth Net Debt Net Block2 ROCE ROE Net Debt/Equity Long Term Debt/Equity
1 2

FY2008 151
29 19% 6 23 4 3 16 10% 96 39 86 17% 16% 0.4x 0.01x

FY2009 238 58% 35 15% 8 27 8 3 17 7%

110 101 131 13% 15% 0.9x 0.3x

FY2010 200 -16% 33 1 17% 10 23 7 (1) 18 9%

123 100 137 10% 14% 0.8x 0.4x

FY20113 269 34% 37 14% 11 26 8 (3) 23 8%

139 105 143 11% 16% 0.8x 0.5x

FY2012 346 29% 62 18% 12 51 12 1 36 10%

178 132 176 16% 20% 0.7x 0.4x

Profitability for FY2010 is after providing for one time provision for bad debts of Rs 6.81 Cr Net block including CWIP 3 Previous year financials as been restated as applicable

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Key Financials (contd)

Repro Quarterly Financials

Revenue (Rs Cr) EBITDA margin 15% 67 62 14%

18% 17% 17% 82 73 76 67

19% 101 18% 87

11%

Q1'11

Q2'11

Q3'11

Q4'11

Q1'12

Q2'12

Q3'12

Q4'12

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Key Financials (contd)

Working Capital to Sales Ratio
29% 28% 33% 28% 26%

Fixed Assets Turnover Ratio

1.8x 1.8x 1.5x

1.9x

2.0x

FY2008

FY2009

FY2010

FY2011

FY2012

FY2008

FY2009

FY2010

FY2011

FY2012

Inventory & Debtor Turnover in Days

Inventory Days 119 140 122 Debtors Days 113 112

ROCE & ROE ratios

ROCE 17% 16% ROE 16% 15% 13% 20% 16%

14%

50

56

67

11% 10%

45

37

FY2008

FY2009

FY2010

FY2011

FY2012

FY2008

FY2009

FY2010

FY2011

FY2012

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We will manage your content to give you a zero inventory solution

by providing your books to fulfill your clients requirements

wherever, whenever from one to a million copies

Thank You
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