TIPSFILMSNSE30 October 2023

Tips Films Limited has informed the Exchange about Investor Presentation

Tips Films Limited

October 30, 2023

To, Listing Department BSE Limited P.J Towers, Dalal Street, Fort, Mumbai – 400 001

To, Listing Department National Stock Exchange of India Limited Exchange Plaza, 5th Floor, Plot No. C/1, G Block, Bandra Kurla Complex, Bandra (E), Mumbai – 400 050

Scrip Code: 543614

Symbol: TIPSFILMS

Dear Sir/Madam,

Subject: Submission of Investor Presentation

Pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, we enclose herewith a copy of Investor Presentation with respect to Unaudited Financial Results of the Company for the quarter ended September 30, 2023.

The same will be uploaded on our website i.e. at https://www.tipsfilms.in.

We request you to kindly take the above information on record.

Thanking You,

For Tips Films Limited

Haresh N. Sedhani Chief Financial Officer

TIPS FILMS LTD. 501, Durga Chambers, 5th Floor, Linking Road, Khar (West), Mumbai 400052 Tel : 022- 6643 1188 Email : info@tipsfilms.in Website : www.tipsfilms.in CIN: U74940MH2009PTC193028

TIPS Films Ltd.

Investor Presentation – Q2FY24

Safe Harbor

This presentation has been prepared by and is the sole responsibility of Tips Films Limited (the “Company”). By accessing this presentation, you are agreeing to be bound by the

trailing restrictions.

This presentation does not constitute or form part of any offer or invitation or inducement to sell or issue, or any solicitation of any offer or recommendation to purchase or

subscribe for, any securities of the Company, nor shall it or any part of it or the fact of its distribution form the basis of, or be relied on in connection with, any contract or

commitment thereof. In particular, this presentation is not intended to be a prospectus or offer document under the applicable laws of any jurisdiction, including India. No

representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or

opinions contained in this presentation. Such information and opinions are in all events not current after the date of this presentation. There is no obligation to update, modify or

amend this communication or to otherwise notify the recipient if the information, opinion, projection, forecast or estimate set forth herein, changes or subsequently becomes

inaccurate.

Certain statements contained in this presentation that are not statements of historical fact constitute “forward-looking statements.” You can generally identify forward-looking

statements by terminology such as “aim”, “anticipate”, “believe”, “continue”, “could”, “estimate”, “expect”, “intend”, “may”, “objective”, “goal”, “plan”, “potential”, “project”, “pursue”,

“shall”, “should”, “will”, “would”, or other words or phrases of similar import. These forward-looking statements involve known and unknown risks, uncertainties, assumptions and

other factors that may cause the Company’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed

or implied by such forward-looking statements or other projections. Important factors that could cause actual results, performance or achievements to differ materially include,

among others: (a) our ability to successfully implement our strategy, (b) our growth and expansion plans, (c) changes in regulatory norms applicable to the Company, (d)

technological changes, (e) investment income, (f) cash flow projections, and (g) other risks.

This presentation is for general information purposes only, without regard to any specific objectives, financial situations or informational needs of any particular person. The

Company may alter, modify or otherwise change in any manner the content of this presentation, without obligation to notify any person of such change or changes.

2

Key Highlights for the Quarter

❖ There were no film releases in Q1FY24, therefore no significant revenue could be booked during the quarter. This quarter’s results

reflect the impact of fixed costs.

❖ The film industry is a creative industry which is highly reliant on manpower. Therefore, the production and release of films are both dependent on multiple factors including competition from other movies, availability of cast and crew, shooting locations, release windows, seasonal trends, public holidays and festivals, avoiding clashes with major events, and analyzing trends in box office performance. Therefore, short-term comparisons are fundamentally incorrect.

❖ Additionally, comparing the performance of different quarters may not be appropriate, as it might involve comparing a blockbuster release from the previous year with a smaller-budget film release in the current quarter. An analytically robust method of comparison would be to do it on an annual basis as that would take into account the vagaries of production as well as releases.

❖ The limited number of releases which we are doing currently leads to such volatility in quarterly earnings, although there is no

change in the earnings outlook for the year.

❖ As we scale up to releasing 4 to 5 movies per annum over the next 2 years and subsequently to 10 to 12 movies per annum in the

subsequent 2 - 3 years, this volatility will reduce.

❖ Our team is geared up for 5 to 6 productions per year and we are also building our project pipeline to achieve this target.

❖ The state of the film industry remains very healthy and the outlook on content demand is positive. Therefore, we are confident of

scaling up profitably.

3

Project Pipeline and Star cast

Merry Christmas

Ishq -Vishq Rebound

Sridevi Prasanna

Vijay Sethupathi

Rohit Saraf

Sai Tamhankar

Siddharth Chandekar

Vishal Modhave (Director)

Pashmina Roshan

Jibraan Khan

Aditi Moghe (Writer)

Amitraj (Music)

Katrina Kaif

Upcoming movies

Pritam

Movie being dubbed in 5 languages

Soulmates

Motha Maanus (Nilu Phule Biopic)

Kolhapur To Pattaya (Tentative Title)

4

Estimated Revenue Mix for Tips Films’ Releases

Revenue mix estimate

15%

30%

30%

15%

10%

Music Rights Digital Rights Overseas Theatrical Rights Satellite Rights Domestic Theatrical Rights

5

Films Don’t Fail… Budgets Do!

Understanding

the monetization

potential of a story and pairing it with

the right cast and execution team is the

essence of successful film making.

Budgeting is effective when a film’s

revenue potential determines

the

choice of cast and execution team.

1. Script Breakdown

TFL limits risk of loss by producing

small and mid budget films.

For

large budget

films, TFL has

developed a partnership model where it

partners with

actors

and other

producers on revenue sharing basis and

thereby limits risk.

Budgeting Process

Tips Films Ltd. Accounting Policy

Tips Films Ltd will write off 100%

of the cost of the movie within 12

months of release.

2. Production Budgeting

Earlier 60% was written off in the

first year, and the remaining over

9 years.

TFL’s success ratio is over 85%. This is because

we continue to monetize films long after their

3. Pre-Production

Box-Office releases.

We own IPR of around 50 films in perpetuity and

expect this library to generate substantial Free

Cash Flow in the medium term.

6

Quarterly Financial Performance

Particulars (Rs. in lakhs)

Q2FY24

Q2FY23

Y-o-Y

Q1FY24

Q-o-Q

H1FY24

H1FY23

Y-o-Y

Revenue From Operations

Cost of Production / Distribution

Employee Benefits Expenses

Other Expenses

Other Income

Depreciation and Amortisation Expense

446

350

91

120

31

19

1,513

-70.5%

150

91

117

28

13

66

0

91

154

33

18

576.2%

511.9

1,723

-70.3%

350

181

274

64

38

150

165

252

937

25

EBIT

Finance Costs

PBT

Tax

PAT

PAT %

EPS

-103

1170

-108.8%

-164

-37.5%

-267

2067

-112.9%

9

35

19

27

40

-111

1135

-109.8%

-183

-39.3%

-294

2027

-114.5%

0

330

0

0

590

-111

-25%

-2.6

805

-113.8%

-183

-39.3%

-294

1437

-120.5%

53%

18.6

-279%

-4.2

-57%

-6.8

83%

33.2

7

Balance Sheet

Equity & Liabilities (₹ in Cr) Equity Share Capital Other Equity Total Equity Loans Deferred Tax Liabilities, (net) Employee Benefit Obligations Other Non-Current Liabilities Total Non ‐ Current Liabilities

Financial Liabilities Loans

Trade Payables

Total outstanding dues of micro enterprises and small enterprises

Total outstanding dues of creditors other than micro enterprises and small enterprises

Other Financial Liabilities Employee benefit Obligations Current Tax Liabilities (net) Other Current Liabilities Total Current Liabilities

Total Equity and Liabilities

Sep’23 4.3 82.5 86.9 2.5 2.3 0.4

5.2

Sep’22 4.3 77.6 81.9 0.0 2.6 0.0 0.6 3.2

3.5

20.0

0

1.9

0 0 8 24.1 37.5

0.0

6.8

9.1 0.0 4.4 0.4 40.7

Assets (₹ in Cr)

Sep’23

Sep’22

Non- Current Assets

Property, plant and equipment

Investment Property

Other Financial Assets

Other Non‐Current Assets

Total Non ‐ Current Assets

Current Assets

Financial Assets

Investments

Trade receivables

Cash and cash equivalents

Bank balances other than (ii) above

Loans

Other Financial Assets

Other Current Assets

Current Tax Assets (Net)

Total Current Assets

2.7

11.7

0.2

13.1

27.7

0.0

0.6

5.5

0

0

2.6

83.5

9.7

0.9

11.9

0.2

10.3

23.4

0.2

9.1

2.4

3.4

0.0

2.6

84.7

0.0

101.9

102.4

129.6

125.8

8

129.6

125.8

Total Assets

Cash Flow Statement

Cash Flow Statement (Rs. Crs.)

Cash Flow from Operating Activities

Profit before Tax

Adjustment for Non-Operating Items

Operating Profit before Working Capital Changes

Changes in Working Capital

Cash Generated from Operations

Less: Direct Taxes paid

Net Cash from Operating Activities

Cash Flow from Investing Activities

Cash Flow from Financing Activities

Net increase/ (decrease) in Cash & Cash equivalent

Add : Cash and cash equivalents at the beginning of the period

Cash and cash equivalents

Sep’23

Sep’22

-2.9

-0.6

-2.3

16.8

14.5

-1.5

13.0

1.3

-11.8

2.4

3.1

5.5

20.3

-0.5

20.8

-49.2

-28.4

-4.3

-32.7

10.9

19.6

-2.2

4.7

2.4

9

Thank You!

FICCI – EY Media & Entertainment Report 2022

Tips Films Limited CIN: U74940MH2009PTC193028 Email id: investorrelations@tipsfilms.in

Click Here

Investor Relations Advisors:

Orientcapital (a division of Link Intime India Pvt Ltd)

Nikunj Jain: +91 9769060608 nikunj.jain@linkintime.co.in

Amar Yardi: +91 7045121239 amar.yardi@linkintime.co.in

10

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