Jagran Prakashan
BSE SENSEX
31,159
Bloomberg
Equity Shares (m)
M.Cap.(INRb)/(USDb)
52-Week Range (INR)
1, 6, 12 Rel. Per (%)
Avg Val, INRm
Free float (%)
S&P CNX
9,625
JAGP IN
Ad performance better than peers in challenging environment
327
Note: Complete consol. P&L not reported for 4Q. All commentaries are on
57.1 / 0.9
Standalone+Radio City+Mid-day – proxy to consolidated financials
213 / 163
-13/-15/-15
Consol. PAT up but misses estimate:
Consol. EBITDA grew 7.6% YoY to
40
INR1.43b (9% miss), despite in-line opex. The lower-than-expected
39.2
performance was driven by print ad miss. PAT grew 7% YoY to INR0.83b
30 May 2017
4QFY17 Results Update | Sector: Media
CMP: INR178
TP: INR225(+28%)
Buy
Financials & Valuations (INR b)
2017 2018E
Y/E Mar
Net Sales
22.8
25.0
EBITDA
6.4
7.1
PAT
3.5
3.9
EPS (INR)
10.8
12.2
Gr. (%)
2.7
13.0
BV/Sh (INR)
73.7
74.3
RoE (%)
17.6
16.3
RoCE (%)
15.2
14.6
P/E (x)
16.3
14.5
P/BV (x)
2.4
2.4
2019E
27.5
7.9
4.4
14.0
15.1
86.3
17.3
15.6
12.6
2.0
Estimate change
TP change
Rating change
Quarterly Performance (Consolidated)
Y/E March
Sales
YoY (%)
Operating expenses
EBITDA
YoY (%)
EBITDA margin (%)
Depreciation
Interest
Other Income
Exceptional item
PBT
Tax
Share of Profit/(loss) of assoc./MI
Reported net profit
1Q
4,750
7.9
3,408
1,341
25.3
28.2
231
186
195
51
1,068
348
721
(2.6% miss), as higher other income and lower tax outgo cushioned the
EBITDA miss. Consol. revenue grew 7% YoY to INR5.62b (est. of INR5.74b).
Print ad revenue better than peers:
While print ad revenue of INR3.33b fell
short of our estimate of INR3.48b, we note that JAGP did deliver better
performance v/s peers like DBCL (3% ad de-growth) and HMVL (3% ad
growth). After a weak FY17, management is confident of healthy 8-9% ad
growth in FY18. FMCG and Auto ad spends remained healthy for JAGP, while
Education and Real estate were laggards. Circulation revenue grew 4% YoY
to INR1.1b, largely led by a rise in circulated copies. Avg. per copy realization
remained flat YoY at INR2.4-2.5.
Radio City ad revenue grew ~4% YoY
to INR666m (est. of INR644m). Radio
EBITDA margin shrunk 10pp YoY to 24.9%, largely led by (i) losses pertaining
to new radio stations and (ii) demon hangover. We expect Radio biz CAGR of
17% over FY17-19 on the back of better inventory utilization.
Consol. EBITDA margin flat YoY at 25.5%, ~190bp lower than estimate:
Despite in-line opex, depressed revenue led to a 190bp miss in consol.
EBITDA margin. Standalone RM costs declined 1.4% YoY to INR1.59b. Consol.
RM cost is estimated to be largely flat YoY at INR1.58b.
Valuation view:
We largely maintain earnings for FY18E/FY19E, and expect
PAT CAGR of 12% over FY17-19, driven by 9%/8% ad/circulation revenue
CAGR. The stock trades at 14.5x FY18E and 12.6x FY19E EPS.
Buy
with a TP of
INR225 based on 16x FY18E EPS (~10% discount to 10-year average P/E).
FY16
2Q
5,064
16.1
3,649
1,416
33.2
28.0
287
81
-6
-145
1,186
327
859
3Q
5,764
22.5
4,043
1,721
29.9
29.9
284
172
64
0
1,329
396
933
4Q
5,269
24.6
3,937
1,332
27.1
25.3
242
143
148
0
1,094
319
776
1Q
5,580
17.5
4,034
1,546
15.3
27.7
244
139
89
0
1,252
407
840
FY17
2Q
4,590
-9.4
3,377
1,213
-14.3
26.4
209
91
164
0
1,077
351
726
(INR Million)
FY16
FY17
3QE
6,041
4.8
4,162
1,878
9.1
31.1
276
100
88
0
1,591
549
1,041
4Q
5,620
6.7
4,188
1,432
7.6
25.5
297
100
145
0
1,180
342
832
21,065
15,092
5,896
30.9
28.0
1,044
523
345
-95
4,769
1,390
3,378
22,829
16,435
6,395
8.5
28.0
1,289
350
412
0
5,167
1,675
-17
3,476
Investors are advised to refer through important disclosures made at the last page of the Research Report.
Motilal Oswal research is available on www.motilaloswal.com/Institutional-Equities, Bloomberg, Thomson Reuters, Factset and S&P Capital.
Jay Gandhi
(Jay.Gandhi@MotilalOswal.com); +91 22 6129 1546
Aliasgar Shakir
(Aliasgar.Shakir@motilaloswal.com); +91 22 3982 5423

Jagran Prakashan
Valuation and view
JAGP, a leader in the regional print segment, publishes (incl Nai Duniya) the top
3 newspapers in all large Hindi markets, except Rajasthan. Acquisition of Radio
City makes it a significant scale player in the radio business as well.
'Dainik Jagran' (DJ) is the highest-read daily in India with pan-India Hindi
readership share of ~21%. However its readership is relatively concentrated,
with Bihar and UP accounting for ~65%, though they constitute only ~40% of
Hindi market readership.
JAGP has preferred the inorganic route for growth over the last few years as the
management likely perceives this as relatively ‘low-risk’. By going for the
acquisition strategy, JAGP has been able to avoid large losses inherent in any
significant green-field expansion. While ‘Nai Duniya’ acquisition added a new
market (MP and Chhattisgarh) to existing regional footprint, business models of
the other two acquisitions (Mid-Day and Radio City) are largely metro-focused.
Expected cumulative radio investment of ~INR7b (towards Radio City
acquisition, migration fee, and likely acquisition of promoter group radio
business) compares with current invested capital (ex-cash) of ~INR10.5b, making
radio a very significant bet in the overall scheme of things for JAGP. We believe
that radio segment growth and integration of Radio City would be important
factors driving stock valuations going forward.
We expect advertising growth to accelerate and model 11%/9% each in
FY17E/18E v/s 8% growth in FY16.
We expect newsprint cost/ton to grow by 2% going forward. We model 7%
CAGR in newsprint costs (pricing and volume together) during FY17-19E.
We largely maintain our earnings estimates for FY18/FY19 by and expect PAT
CAGR of 12% over FY17-19, driven by 9%/8% ad/circulation revenue CAGR. The
stock trades at 14.5x FY18E and 12.6x FY19E EPS.
Buy
with a TP of INR225 based
on 16x FY18E EPS (~10% discount to 10-year average P/E).
Exhibit 2: JAGP: Relative P/E v/s Sensex
150
100
50
18.0
0
15.6
-50
-100
4.1
-14.9
Jagran Prakashan PE Relative to Sensex PE (%)
Exhibit 1: JAGP: P/E band chart
60
46
32
18
4
16.2
PE (x)
Median(x)
Peak(x)
Min(x)
51.6
Avg(x)
8.2
Source: Company, MOSL
Source: Company, MOSL
30 May 2017
2

Jagran Prakashan
Exhibit 3: Standalone ad/circulation revenue (including Nai Duniya from 4QFY13)
Advertising revenue (INR m)
Circulation revenue (INR m)
Exhibit 4: Standalone YoY ad growth (%)
31
18
13
20
8 10
15 16
7 9
5 3
6
15
11
8
4
7
0
12 11
9 11 10 9
1 0
4
Exhibit 5: Standalone EBITDA (incl. Nai Duniya from 4QFY13)
EBITDA (INR m)
33 33 31
25 27 26 26
EBITDA margin (%)
29
31
29 29
26 28
26 28 26
26
21
25 24 26
16
26
24 25
20
26 25
Source: Company, MOSL
Exhibit 6: RM/sales (consolidated from 1QFY14)
RM cost (INR m)
RM cost (% of rev)
30 28 30 29 28 29
30 32 32
35 35 35 36 34 34 36 34 36 36 37 37 37 34 34 33
31 28 30 29 29
28 29
Source: Company, MOSL
30 May 2017
3

Jagran Prakashan
Exhibit 7: Consolidated quarterly performance
Print Advertising revenue
Circulation revenue
Radio
Others (incl. digital)
Revenue
Total operating cost
EBITDA
EBITDA margin (%)
Depreciation
EBIT
Interest
Other Income
Exceptional costs
PBT
Tax
Tax rate (%)
Reported PAT
Exceptional/prior period items
Adjusted PAT
Operating expenses (INR m)
Raw material
Employee
Others
Total
Opex (% of revenue)
Raw material
Employee
Others
Note: 4QFY17 Consol cost break up in an estimate
4QFY16
1,572
823
1,542
3,937
29.8
15.6
29.3
3QFY17
1,683
831
1,649
4,162
27.9
13.8
27.3
4QFY17
1,578
899
1,710
4,188
28.1
16.0
30.4
YoY (%)
0.4
9.2
10.9
6.4
-176bps
37bps
117bps
QoQ (%)
-6.2
8.2
3.7
0.6
22bps
225bps
314bps
4QFY17E
1,636
857
1,677
4,169
28.5
14.9
29.2
v/s est (%)
-3.5
5.0
2.0
0.5
-42bps
108bps
122bps
4QFY16
3,190
1,062
643
375
5,269
3,937
1,332
25.3
242
1,089
143
148
0
1,094
319
29
776
0
776
3QFY17
3,688
1,094
728
524
6,041
4,162
1,878
31.1
276
1,603
100
88
0
1,591
549
35
1,041
0
1,041
4QFY17
3,333
1,102
666
519
5,620
4,188
1,432
25.5
297
1,135
100
145
0
1,180
342
29
833
0
833
YoY (%)
4.5
3.8
3.6
38.4
6.7
6.4
7.6
21bps
22.7
4.2
-30.2
-2.1
7.8
7.3
0bps
7.4
7.4
QoQ (%)
-9.6
0.7
-8.6
-0.9
-7.0
0.6
-23.7
-561bps
7.8
-29.2
-0.2
64.3
-25.8
-37.8
-557bps
-20.0
-20.0
4QFY17E
3,488
1,125
644
482
5,739
4,169
1,570
27.4
247
1,323
52
52
0
1,323
463
35
855
0
855
v/s est (%)
-4.4
-2.1
3.4
7.8
-2.1
0.5
-8.8
-187bps
20.3
-14.2
92.6
177.2
-10.8
-26.2
-601bps
-2.6
-2.6
Source: Company, MOSL
30 May 2017
4

Jagran Prakashan
Exhibit 8: Standalone quarterly performance (INR m)
Print Advertising revenue (ex-Mid-day)
Circulation revenue
Others (incl. digital)
Revenue
Total operating cost
EBITDA
EBITDA margin (%)
Depreciation
EBIT
Interest
Other Income
Exceptional costs
PBT
Tax
Tax rate (%)
Reported PAT
Exceptional/prior period items
Adjusted PAT
Operating expenses (INR m)
Raw material
Employee
Others
Total
Opex (% of revenue)
Raw material
Employee
Others
4QFY16
1,505
606
1,138
3,249
34.5
13.9
26.1
3QFY17
1,590
686
1,178
3,454
31.8
13.7
23.5
4QFY17
1,484
696
1,295
3,475
31.8
14.9
27.7
YoY (%)
-1.4
14.9
13.8
7.0
-269bps
103bps
166bps
QoQ (%)
-6.7
1.5
9.9
0.6
0bps
119bps
419bps
4QFY16
2,997
999
371
4,368
3,249
1,118
25.6
198
921
83
111
0
949
302
32
647
0
647
3QFY17
3,456
1,025
524
5,005
3,454
1,551
31.0
208
1,342
50
81
0
1,373
482
35
891
0
891
4QFY17
3,115
1,034
522
4,671
3,475
1,196
25.6
224
972
40
119
0
1,051
292
28
759
0
759
YoY (%)
3.9
3.4
40.8
7.0
7.0
7.0
0bps
13.6
5.5
-51.9
6.8
10.7
-3.5
-409bps
17.4
17.4
QoQ (%)
-9.9
0.9
-0.3
-6.7
0.6
-22.9
-538bps
7.7
-27.6
-20.2
46.7
-23.5
-39.5
-733bps
-14.8
-14.8
Source: Company, MOSL
Exhibit 9: Radio City and Mid-day key financials (INR m)
Radio City (INR m)
Revenue
Operating costs
EBITDA
EBITDA margin (%)
Mid-day financials (INR m)
Revenue
Operating costs
EBITDA
EBITDA margin (%)
4QFY16
278
230
48
17.1
3QFY17
308
246
61
19.9
4QFY17
313
243
70
22.3
YoY (%)
12.7
5.6
46.9
30.4
QoQ (%)
1.8
-1.2
13.9
11.8
4QFY16
643
416
226
35.2
3QFY17
728
462
266
36.6
4QFY17
666
500
166
24.9
YoY (%)
3.6
20.0
-26.6
-1026bps
QoQ (%)
-8.6
8.2
-37.6
-1163bps
Source: Company, MOSL
30 May 2017
5

Jagran Prakashan
Exhibit 10: Below EBITDA: Segment-wise break-up (INRm)
Depreciation
Standalone
Radio
Mid-day
Consol Depreciation
4QFY16
198
31.5
17.4
246
4QFY16
Finance Cost
Standalone
Radio
Mid-day
Consol Finance Cost
83.357
33.6
1.9
119
4QFY16
Other Income
Standalone
Radio
Mid-day
Consol Other income
111
14
-7
117
4QFY16
Tax
Standalone
Radio
Mid-day
Consol Tax Expense
302
57.1
74.1
433
4QFY16
PAT
Standalone
Radio
Mid-day
Consol PAT
647
118
-53.2
711
3QFY17
208
50.4
17.2
276
3QFY17
50.271
49.6
0.1
100
3QFY17
81
9
-2
88
3QFY17
482
54.1
13.4
549
3QFY17
891
121
28.9
1041
4QFY17
224
56
17
297
4QFY17
40
59
0.6
100
4QFY17
119
17
9
145
4QFY17
292
22.5
26.9
341
4QFY17
759
45
34.5
832
YoY (%)
13.6
78.7
-3.4
20.7
YoY (%)
-51.9
75.6
-68.4
-16.1
YoY (%)
6.8
24.4
-221.6
23.2
YoY (%)
-3.5
-60.6
-63.7
-21.3
YoY (%)
17.4
-61.7
-164.8
17.1
QoQ (%)
7.7
11.7
-2.3
7.8
QoQ (%)
-20.2
19.0
500.0
-0.2
QoQ (%)
46.7
95.3
-662.5
64.3
QoQ (%)
-39.5
-58.4
100.7
-37.9
QoQ (%)
-14.8
-62.7
19.4
-20.0
Source: Company, MOSL
Exhibit 11: Summary of estimate change (INR b)
FY18E
Revenue
Old
Actual/New
Change (%)
EBITDA
Old
Actual/New
Change (%)
EBITDA margin (%)
Old
Actual/New
Change (bp)
Adj. PAT
Old
Actual/New
Change (%)
Adj. EPS (INR)
Old
Actual/New
Change (%)
25.4
25.0
-1.6
7.1
7.1
0.1
27.9
28.4
48
4.0
3.9
-2.6
12.2
12.2
-0.6
FY19E
28.3
27.5
-2.6
8.0
7.9
-1.4
28.2
28.6
37
4.5
4.4
-3.7
13.9
14.0
0.3
Source: Company, MOSL
30 May 2017
6

Jagran Prakashan
Exhibit 12: Key assumptions & other data
Group ad revenue (INR b)
YoY (%)
-Standalone (exc. Nai Duniya)
YoY (%)
-Mid-Day + Inquilab
YoY (%)
-Nai Duniya
YoY (%)
-Radio
YoY (%)
Group circulation revenue (INR b)
YoY (%)
-Standalone (exc. Nai Duniya)
YoY (%)
-Mid-Day + Inquilab
YoY (%)
-Nai Duniya
YoY (%)
Dainik Jagran av circulation/day (m)
YoY (%)
Newsprint price (USD/ton)
YoY (%)
RM cost/Revenue (%)
FY10
6.4
16
6.4
16
0.8
FY11
8.5
34
7.7
20
0.9
4
FY12
9.4
10
8.5
11
0.9
2
FY13
10.5
12
8.9
4
0.9
-2
0.8
13
FY14
11.9
13
10.0
13
0.9
5
0.9
16
FY15
12.5
5
10.6
6
0.9
0
1.0
5
FY16
13.5
8
11.4
8
1.0
11
1.1
13
1.9
-7
4.1
5
3.5
5
0.3
4
0.3
10
3.9
3
504
-9
26
FY17
13.9
3
11.5
1
1.1
11
1.2
13
2.7
41
4.3
6
3.7
6
0.2
-3
0.3
0
4.1
3
515
2
26
FY18E
15.1
9
12.5
9
1.2
7
1.4
13
3.2
17
4.6
7
4.0
8
0.2
-2
0.3
0
4.3
5
522
1
25
FY19E
16.5
9
13.6
9
1.3
7
1.6
13
3.7
17
5.0
7
4.3
8
0.2
-1
0.3
0
4.5
5
530
1
25
2.1
9
2.1
10
0.1
2.4
12
2.2
4
0.2
4
2.7
11
2.4
10
0.2
28
2.7
-2
505
-20
29
3.0
11
573
13
29
3.2
8
652
14
34
3.2
20
2.7
11
0.2
9
0.3
25
3.5
7
610
-6
32
3.6
12
3.1
13
0.2
5
0.3
10
3.6
4
586
-4
32
3.9
9
3.3
9
0.2
9
0.3
10
3.8
6
557
-5
31
Source: Company, MOSL
30 May 2017
7

Jagran Prakashan
Story in charts
Exhibit 13: Hindi dailies: Brand wise readership (m)
Hari Bhoomi
Nai Dunia
Prabhat Khabar
Navbharat Times
Punjab Kesari
Amar Ujala group
Rajasthan Patrika group
Hindustan
Dainik Bhaskar
Dainik Jagran
1.3
1.6
2.6
2.6
3.3
8.6
8.8
12.2
14.4
16.4
Source: IRS 2012
Exhibit 14: Dainik Jagran: State wise readership mix (%)
Punjab
Others, 3
(incl.
Uttarakhan Chandigarh
Delhi, 4
d, 4
), 4
Jharkhand,
5
Haryana, 6
MP (incl Nai
Duniya), 8
Bihar, 16
Source: IRS 2012
Uttar
Pradesh, 50
Exhibit 15: Print advertising revenue growth
Ad revenue (INRb)
26
28
11
16
17
10
4
12
5
YoY Ex-acquisition (%)
Exhibit 16: Print Circulation revenue growth
Circulation revenue (INRb)
11
8
2
9
8
5
8
9
4
12 12
9
5
6
7
7
YoY Ex-acquisition (%)
8
3.9 5.0 5.5 6.4 8.5 9.4 9.7 10.9 11.5 12.4 12.6 13.7 14.9
1.7 1.8 2.0 2.1 2.4 2.7 3.2 3.6 3.9 4.1 4.3 4.6 5.0
Source: Company, MOSL
Source: Company, MOSL
Exhibit 17: Radio business revenue and EBITDA estimates
Radio revenue (INR b)
Radio EBITDA (INR b)
Exhibit 18: Radio Business: Expected PAT impact
0.13
3.7
3.2
2.7
2.1
1.3
0.2
FY12
1.5
0.3
FY13
1.6
0.4
FY14
0.6
1.9
0.9
1.1
1.2
0.05
0.7
FY15
FY16
FY17E FY18E FY19E
Source: Company, MOSL
-0.02
FY16
-0.01
FY17E
FY18E
FY19E
Source: Company, MOSL
30 May 2017
8

Jagran Prakashan
Story in charts
Exhibit 19: Revenue mix
Advertising revenue
7
28
9
24
9
24
10
23
11
20
Circulation revenue
11
20
10
21
9
21
8
22
7
9
20
Radio
8
12
19
61
8
19
60
Others
8
18
60
1.2 1.6 1.6 2.8 3.6 3.2 3.0 3.8 4.5 5.9 6.4 7.1 7.9
20.0 21.8 19.0
Exhibit 20: EBITDA and EBITDA margin
EBITDA (INRb)
30.0 29.2
23.4
19.4
22.5
EBITDA margin (%)
25.5
28.0 28.0 28.4 28.6
65
67
67
68
70
69
69
70
70
65
Source: Company, MOSL
Source: Company, MOSL
Exhibit 21: Newsprint cost(INR b)
5.6 5.8 5.8
6.2
6.7
7.4
Exhibit 22: Newsprint cost as % of revenue
36.5
33.4
26.2
35.2
26.2
30.9
32.8
33.0
27.6
32.6
27.2
26.7
26.8
4.2
2.2 2.5
2.9
2.5
3.2
5.0
Source: Company, MOSL
Source: Company, MOSL
Exhibit 23: Adjusted PAT growth
112
Adj. PAT (INR b)
92
33
-7
24
-18 -17
37
13
YoY (%)
Exhibit 24: Dividend per share and pay-out
Dividend per share
70
44
6
11
13
72
77
70
73
59
50
72
57
40
34
29
26
Pay-out (%)
0.7 1.0 0.9 1.8 2.2 1.8 1.5 2.0 2.3 3.3 3.5 3.9 4.4
1.5 2.0 2.0 3.5 3.5 3.5 2.0 4.0 3.5 3.5 3.0 3.0 3.0
Source: Company, MOSL
Source: Company, MOSL
30 May 2017
9

Jagran Prakashan
Financials and Valuations
Income Statement (Consolidated)
Y/E March
Net Sales
YoY (%)
EBITDA
EBITDA margin (%)
Depreciation
Interest
Other Income
PBT
Tax
Tax rate (%)
Adjusted PAT
Change (%)
Extra-ordinary items
Reported PAT
Balance Sheet
Y/E March
Share Capital
Share Premium
Reserves
Net Worth
Loans
Deffered Tax Liability
Minority interest
Capital Employed
Gross Fixed Assets
Less: Depreciation
Net Fixed Assets
Capital WIP
Goodwill
Investments
Curr. Assets
Inventory
Debtors
Cash & Bank Balance
Loans & Advances
Other current assets
Current Liab. & Prov.
Creditors
Provisions & other liabilities
Net Current Assets
Application of Funds
2012
13,557
11.0
3,168
23.4
709
158
255
2,556
773
30.2
1,783
-18.3
0
1,783
2013
15,256
12.5
2,964
19.4
755
307
206
2,107
632
30.0
1,475
-17.3
1,087
2,562
2014
17,027
11.6
3,826
22.5
789
345
117
2,810
795
28.3
2,015
36.6
248
2,263
2015
17,698
3.9
4,505
25.5
1,035
369
279
3,380
1,102
32.6
2,278
13.0
803
3,081
2016
21,065
19.0
5,974
28.4
1,044
523
345
4,752
1,390
29.3
3,362
47.6
1,164
4,525
2017
22,829
8.4
6,395
28.0
1,289
350
412
5,167
1,675
32.4
3,492
3.9
0
3,492
(INR Million)
2018E
2019E
25,028
27,512
9.6
9.9
7,106
28.4
1,544
147
356
5,771
1,904
33.0
3,867
10.7
0
3,867
7,865
28.6
1,668
147
454
6,504
2,146
33.0
4,358
12.7
0
4,358
2012
633
3,590
3,296
7,519
6,434
720
80
14,752
9,280
3,279
6,001
316
2,993
2,524
6,744
775
2,889
995
1,891
194
3,825
2,433
1,392
2,919
14,752
2013
633
3,590
5,101
9,324
4,623
711
11
14,669
10,277
4,034
6,242
316
2,510
2,224
6,726
833
3,190
523
1,479
702
3,350
2,481
868
3,377
14,669
2014
623
3,125
5,869
9,616
4,658
854
9
15,137
11,232
4,823
6,409
316
2,323
3,320
6,888
999
3,426
325
1,465
673
4,119
2,879
1,240
2,769
15,137
2015
635
3,057
7,650
11,342
5,479
725
10
17,556
11,789
5,858
5,931
200
2,323
3,573
10,525
929
3,636
4,931
899
131
4,995
3,500
1,495
5,530
17,556
2016
654
3,057
12,102
15,813
5,120
726
0
21,658
15,399
6,902
8,496
200
5,980
3,068
7,942
669
4,977
493
1,525
278
4,028
3,834
195
3,913
21,659
2017
654
6,486
14,409
21,549
1,334
1,971
2,363
27,217
19,791
8,191
11,600
759
3,377
5,289
10,551
935
5,158
3,491
149
818
4,998
4,948
50
5,553
27,218
2018E
623
3,495
17,155
21,273
1,334
1,971
2,363
26,941
21,392
9,736
11,656
759
3,377
5,289
11,509
984
5,654
3,810
164
897
5,480
5,425
55
6,030
26,941
2019E
623
3,495
20,391
24,509
1,334
1,971
2,363
30,177
23,093
11,404
11,689
759
3,377
5,289
15,257
1,055
6,215
6,821
180
986
6,023
5,963
60
9,234
30,178
30 May 2017
10

Jagran Prakashan
Financials and Valuations
Ratios
Y/E March
Basic (INR)
Adjusted EPS
Growth (%)
Cash EPS
Book Value
DPS
Payout (incl. Div. Tax.) (%)
Valuation
P/E
Cash P/E
EV/EBITDA
EV/Sales
Price/Book Value
Dividend Yield (%)
Profitability Ratios (%)
RoE
RoCE
RoIC
Turnover Ratios
Debtors (Days)
Inventory (Days)
Creditors. (Days)
Asset Turnover (x)
Leverage Ratio
Debt/Equity (x)
Cash Flow Statement
Y/E March
Op.Profit/(Loss) bef Tax
Other Income
Interest Paid
Direct Taxes Paid
(Inc)/Dec in Wkg. Cap.
CF from Op.Activity
(inc)/Dec in FA + CWIP
(Pur)/Sale of Investments
CF from Inv.Activity
Issue of Shares
Inc/(Dec) in Debt
Dividends Paid
Other Financing Activities
CF from Fin.Activity
Inc/(Dec) in Cash
Add: Opening Balance
Closing Balance
2012
5.6
-18.3
7.9
24.0
3.5
73
2013
4.7
-17.3
7.1
29.5
2.0
50
2014
6.4
37.7
8.9
30.7
4.0
72
2015
7.2
12.8
10.5
36.1
3.5
57
2016
10.5
44.6
13.7
49.3
3.5
40
2017
10.8
2.7
14.7
73.7
3.0
34
2018E
12.2
13.0
17.0
74.3
2.9
29
2019E
14.0
15.1
19.3
86.3
3.0
26
31.2
22.3
18.7
4.4
7.3
2.0
37.7
24.9
19.7
3.8
6.0
1.1
27.4
19.7
14.9
3.3
5.7
2.3
24.3
16.7
12.4
3.2
4.9
2.0
16.8
12.8
9.8
2.8
3.6
2.0
16.3
11.9
7.8
2.2
2.4
1.7
14.5
10.3
6.6
1.9
2.4
1.7
12.6
9.1
5.6
1.6
2.0
1.7
24.4
15.5
18.6
78
21
85
1.5
17.4
18.7
15.3
76
20
74
1.3
21.3
16.7
19.2
73
21
80
1.5
21.7
20.3
24.9
75
19
97
1.7
24.7
24.8
27.8
86
12
93
1.6
17.6
15.2
19.2
82
15
110
1.3
16.3
14.6
20.8
82
14
110
1.4
17.3
15.6
22.9
82
14
111
1.5
0.8
0.5
0.5
0.5
0.3
0.1
0.1
0.0
2012
3,168
255
-158
-671
-209
2,386
-4,550
-506
-5,056
0
4,510
-1,295
89
3,304
633
362
996
2013
4,050
206
-307
-641
-329
2,980
-997
300
-697
0
-1,811
-740
-204
-2,755
-473
995
523
2014
3,826
117
-345
-795
372
3,176
-768
-1,096
-1,864
-475
35
-1,457
-2
-1,899
-588
523
325
2015
4,505
279
-369
-1,102
1,846
5,158
-441
-253
-694
-56
821
-1,299
1
-533
3,932
325
4,931
2016
5,974
345
-523
-1,390
-2,822
1,584
-7,267
504
-6,763
19
-359
-1,329
-10
-1,679
-6,858
4,931
493
2017
6,395
412
-350
-1,675
1,358
6,139
-2,348
-2,221
-4,568
3,429
-3,786
-1,168
2,363
838
2,409
493
3,491
(INR Million)
2018E
2019E
7,106
7,865
356
454
-147
-147
-1,904
-2,146
-158
-193
5,253
5,833
-1,601
0
-1,601
-3,022
0
-1,121
0
-4,143
-491
3,491
3,810
-1,700
0
-1,700
0
0
-1,121
0
-1,121
3,011
3,810
6,821
30 May 2017
11

Jagran Prakashan
Corporate profile
Company description
Exhibit 1: Sensex rebased
Jagran Prakashan Ltd (JPL) is a leading media and
communications group with its main interests across
Newspaper, Outdoor, Internet, Magazine, Event Management
and Short Code Sevice media, spanning across 11 states. JPL is a
leading newspaper publisher. It's flagship brand Dainik Jagran
has been the largest read and circulated newspaper in India.
JPL has 3 newspaper titles - Dainik Jagran, I next and City Plus.
Dainik Jagran is a Hindi newspaper printed out of 31 locations
across 11 states, I next is a bilingual compact morning
newspaper targeted at 18-35 yrs, SEC AB1 in key metros, while
City Plus is a weekly English tabloid circulated in Gurgaon,
Faridabad, Ghaziabad, Noida and Delhi.
Source: MOSL/Bloomberg
Exhibit 2: Shareholding pattern (%)
Mar-17
Promoter
DII
FII
Others
60.8
12.0
14.3
13.0
Dec-16
60.8
12.4
15.4
11.5
Mar-16
60.8
12.6
15.7
11.0
Source: Capitaline
Exhibit 3: Top holders
Holder Name
HDFC TRUSTEE COMPANY LIMITED
ICICI PRUDENTIAL LIFE INSURANCE
COMPANY LIMITED
NTASIAN DISCOVERY MASTER FUND
FRANKLIN TEMPLETON INVESTMENT FUNDS
FRANKLIN TEMPLETON MUTUAL FUND
% Holding
4.6
4.3
3.5
3.5
2.0
Source: Capitaline
Note: FII Includes depository receipts
Exhibit 4: Top management
Name
Mahendra Mohan Gupta
Sanjay Gupta
Amit Jaiswal
Designation
Chairman & Managing
Director
Whole Time Director &
CFO
Company Secretary
Exhibit 5: Directors
Name
Devendra Mohan Gupta
Amit Dixit
Anuj Puri
Jayant Davar
Ravi Sardana
Vijay Tandon
Dhirendra Mohan Gupta
Shailesh Gupta
Name
Shailendra Mohan Gupta
Anita Nayyar
Dilip Cherian
Rajendra Kumar Jhunjhunwala
Shashidhar Narain Sinha
Vikram Sakhuja
Satish Chandra Mishra
Sunil Gupta
*Independent
Source: Capitaline
Exhibit 6: Auditors
Name
Ernst & Young LLP
Price Waterhouse & Co LLP
Internal
Statutory
Type
Exhibit 7: MOSL forecast v/s consensus
EPS
(INR)
FY18
FY19
MOSL
forecast
12.2
14.0
Consensus
forecast
12.7
14.1
Variation (%)
-4.3
-1.0
Source: Bloomberg
Source: Capitaline
30 May 2017
12

Jagran Prakashan
NOTES
30 May 2017
13

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Jagran Prakashan
Disclosure of Interest Statement
Analyst ownership of the stock
No
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No
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JAGRAN PRAKASHAN
30 May 2017
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14