TIPS Industries Limited has informed the Exchange about Investor Presentation

January 25, 2022

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: 532375

Symbol: TIPSINDLTD

Subject: Submission of Presentation of Analysts/Investors Meeting

This is further to our letter on the Investor/ Analyst call scheduled on January 25, 2022 at 3:00 p.m. (IST) and 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 December 31, 2021.

The same shall be uploaded on our website www.tips.in

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

Thanking you,

For Tips Industries Limited

Bijal R. Patel Company Secretary

Encl: a/a

Tips Industries Limited

Investor Presentation Q3-FY22

Safe Harbor

This presentation has been prepared by and is the sole responsibility of Tips Industries 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

Financial Highlights

Quarterly Highlights

Total 86 new Songs Released

All songs of 2 big Punjabi films released

11 remaining songs of Tips Rewind (Season 1) Released

2 new songs Released under Tips Originals

❖ Released 86 new songs during the quarter

❖ Released all songs of 2 big Punjabi films

• Yes I am Student – starring Ammy Virk

& Sargun Mehta

• Honsla Rakh - starring Diljit Dosanjh & Shehnaaz Gill (released only 1 song in Sep-21, rest in Oct-21)

❖ Released 11 remaining songs of project "Tips

Rewind (Season 1) : Tribute to Ghazal Maestro Jagjit Singh" under "Tips Originals".

❖ Recreated Ghazals performed by renowned singers like Hariharan, Sonu Nigam, Talat Aziz, Shaan, etc.

❖ Released 2 new songs namely "Bollywood Wala Dance" and "Meri Zindagi Mein" under "Tips Originals".

❖ Our new Bhojpuri song "Tumsa Koi Pyaara" by Pawan Singh & Priyanka Singh crossed 60 mn YouTube views. Song was released on 10th Dec.

4

Segmental Performance – Music (Quarterly)

Revenue (Rs. in Crs)

EBIT (Rs. in Crs)

EBIT Margins (%)

+43%

44.9

31.4

+23%

28.3

23.1

73.0%

63.0%

Q3 FY21

Q3 FY22

Q3 FY21

Q3 FY22

Q3 FY21

Q3 FY22

Revenue (Rs. in Crs)

EBIT (Rs. in Crs)

EBIT Margins (%)

+54%

44.9

29.1

+44%

28.3

19.7

68.0%

63.0%

Y - o - Y

Q - o -

Q

Q2 FY22

Q3 FY22

Q2 FY22

Q3 FY22

Q2 FY22

Q3 FY22

5

Segmental Performance – Music (9 Months)

Revenue (Rs. in Crs)

EBIT (Rs. in Crs)

EBIT Margins (%)

+64%

103.4

+41%

67.7

76.0%

66.0%

62.9

48.0

9M FY21

9M FY22

9M FY21

9M FY22

9M FY21

9M FY22

6

Q3 FY22 Profit & Loss Statement

Particulars (Rs. in Crs)

Q3 FY22

Q3 FY21

Revenue From Operations

Other Income

Total Income

Employee Benefits Expenses

Amortization of cost of production

Other Expenses

EBITDA

EBITDA %

Depreciation and Amortisation Expense

EBIT

EBIT Margin %

Finance Costs

PBT

Tax

PAT

PAT %

EPS

44.2

1.2

45.4

2.3

0.0

16.2

25.7

58%

0.2

25.5

58%

0.0

26.6

6.7

19.9

45%

15.37

31.4

1.0

32.4

2.1

0.0

10.8

18.6

59%

0.2

18.4

59%

0.0

19.4

7.0

12.4

39%

9.55

Y-o-Y

41%

38%

38%

37%

61%

Q2 FY22

95.9

1.0

96.9

2.5

55.1

11.0

27.4

29%

0.2

27.2

28%

0.0

28.1

7.1

21.0

22%

16.2

Q-o-Q

-54%

-6%

-6%

-5%

-5%

9M FY22

9M FY21

Y-o-Y

168.1

3.1

171.2

7.0

54.9

34.4

71.8

43%

0.7

71.1

42%

0.0

74.2

18.6

55.5

33%

42.81

62.9

2.1

65.0

5.9

0.0

20.9

36.1

57%

0.6

35.4

56%

0.0

37.5

12.3

25.2

40%

18.82

167%

99%

101%

98%

120%

7

Company Overview

Company Overview

Collection of over 29,000 songs across all genres and major languages

Established in 1988, Tips Industries is one of the large corporate houses in the field of music and films

Consistent success in creating and acquiring high quality music I.P.R.

Since 1990, Tips has been amongst players with the highest number of gold and platinum discs to their credit

Catalogue is licensed to

• OTT platforms

• Content Aggregators

• TV Channels

• Telecom Companies

• Radio Stations,

• Advertisers

Hindi

Punjabi

Gujarati

Bhojpuri & many others…

Presence across platforms

Extensive Devotional, Pop, Remixes

catalogue

of

Film, Non-Film,

• Event Management Companies

• Hotels, Restaurants, and Others

9

Corporate Philosophy

Our Vision To maintain and grow a MUST HAVE HITS catalogue

Our Mission To create, acquire and deliver quality music to a wide range of audiences

Our Purpose Deliver Entertainment

Our Core Values

•Honesty •Commitment •Teamwork •Passion •Positive attitude

10

Generating multiple revenue streams

Large and diversified music library Our catalogue comprises film, non-film, pop, remixes devotional songs and bhajans, created by some of the leading artistes and musicians of this country.

Rich content can be leveraged to generate multiple revenue streams via following

Sync Deals

Rich & Evergreen Catalogue Digitized catalogue comprises over 29,000 songs in multiple Indian languages and genres with new additions every year

29,000+ Songs

Digitally available

Catalogue is available on all the leading online music stores, applications, and web platforms including YouTube, Resso, Amazon Prime, JioSaavn and Facebook

Over 64.56 Mn

YouTube channel subscribers/followers

Broadcast Partners

11

Two Pronged Content Acquisition Strategy

Our endeavour to add right content for larger target audience

Content Cost

Produce

Strategy

•

To introduce promising singers (TIPS) is in our DNA

• We have a strong A&R team which engages with artistes across genres and languages which allows us to present upcoming talent to our listeners.

• Our team has a deep understanding of music which allows us to create and build a repertoire of “Must Have Hits”

Purchase

Strategy

• We also engage with other producers to buy music rights to complement our repertoire

• Our understanding of music and its creative process provides us deep insights on costs and returns and therefore we remain cost always conscious while acquiring music rights

100% of Content cost is charged off to profit & loss account in the year of release, thus no Capitalization & no write-offs in the future. Company follows this policy since inception

Content acquisition cost is only funded Content acquisition cost is only funded Content acquisition cost is only funded Content acquisition cost is only funded through through internal accruals through internal accruals through internal accruals internal accruals

Strong A&R team to acquire content across languages & genres. 5 Artist signed exclusively

12

Growing listenership & Increasing Content Addition

Evergreen & Rich content of over 29,000 songs across genres, languages & different vintages giving us high visibility of music revenue

New Songs Added

86 New releases in Q3FY22

215

203

100

FY20

FY21

9M FY22

Existing Content + Continuous Additions + Improving Monetisation : Increasing Music Revenue

YouTube Views (in. Bn)

YouTube Views Y-o-Y (in. Bn)

+41%

26.6

38.5

19.3

7.6

7.7

5.9

9.2

9.8

+54%

11.8

12.8

15.3

15.1

FY19

FY20

FY21

Q3FY20 Q4FY20 Q1FY21 Q2FY21

Q3FY21 Q4FY21 Q1FY22

Q2 FY22

Q3 FY22

13

Annexure

Music is the most valuable content

Ranking on repeated monetization

Music is now an internet business

Music

Films

Web Series

TV Serials

News

*Source: IFPI Industry report (2020)

can

be that Content monetized multiple times naturally commands greater economic value

*20%

2%

11%

2020

68%

content

Music ranks at the top of pyramid the when on repeated monetization

ranked

Internet Performance Rights

Sync *Physical

Internet platforms comprised 68% of total revenues in 2020, up from 54% in 2018, for the Global Music Industry

*Japan has the largest share. India’s share is less than 2% as more than 80% of music has been digitized

15

Digital Advertising – Key Driver of Indian Music Industry

Indian Digital Ad Industry

AD spends on Digital Media by formats & verticals

INR Crs

Social Media

Paid Search

Display Banners

Other incl. Classified

Online Video

23,673

+22%

18,938

15,782

13,683

10,859

8,202

6,228

32%

1%

3%

49%

23%

9%

21%

32%

14%

15%

26%

1%

42%

21%

10%

34%

0%

15%

24%

0%

31%

31%

0% 13%

34%

20%

41%

27%

13%

24%

17%

34%

3%

18%

26%

45%

2%

19%

16%

18%

17%

25%

15%

19%

18%

2016

2017

2018

2019

2020

2021f

2022f

FMCG

Auto

E-commerce

Retail

Telecom

BFSI

Media & Entertainment

Consumer Durables

Others

• Digital media is expected to grow at a CAGR of 22% to cross the Rs. 23,600 crores by the end of 2022

technological

• This sustained growth can be attributed to the advancements, improvements in data science & analytics, introduction of policies & regulations among others

Source: Dentsu Aegis Network Report 2021

• Advertising spends on Digital Media is led by Social Media with the largest share of 29%, contributing Rs. 4,596 crore to the Indian digital advertising pie

• Social Media is new revenue stream for

Music Industry

• On an average, Indians spend 2-3 hours on Social Media, which is at par with the global average

• 73% of the audience belonging to the age group of 45 years to 54 years use YouTube to watch online content

16

Global Music Subscription Update

On Demand Audio streaming in the US was up ~17% y-o-y. 76 Mn Music services subscribers v/s 74 Mn subscribers of Netflix

Netherlands

Proportion of Streaming doubled in last 8 years & ~60% have premium subscriptions

Paid streaming contributes~75% of revenue for Music Labels

Slightly under 1/3rd of population of France is Slightly under 1/3rd of population is using Streaming using Streaming services & off that more than services & of that more than ~62% of people are using ~62% of people using paid streaming services paid streamingservices

Music revenue grew by ~50% in 2019 and streaming grew by ~76% for 2020, this was partially aided by high profile launch of Spotify

Number of paid subscribers doubled in 2 years to 60 Mn; Second highest globally but still under 5% penetration of country’s total population.

Russia

China

Listenership on audio streaming services grew by 40% Y-o-Y in first half of 2020

India

17

USA

Brazil

France

Source: MusicAlly

Few Industry Reports

dentsu – Digital Advertising in India

IFPI – Global Music Report

Click Here

Click Here

FICCI – EY Media & Entertainment

Report 2021

Click Here

Ericsson Mobility Report

Click Here

18

Thank You

Company Details:

Tips Industries Limited

CIN: L92120MH1996PLC099359

Email id: investorrelations@tips.in

Investor Relations Advisors:

Orientcapital (a division of Link Intime India Pvt Ltd)

Mr. Rajesh Agrawal : +91 9967491495 rajesh.agrawal@linkintime.co.in

Mr. Faraz Ahmed : +91 9619705150 faraz.ahmed@linkintime.co.in