Gaming Industry – India April 2015
Executive Summary
Market Overview
Drivers & Challenges
Global gaming industry is expected to grow at a CAGR of x1% between 20-- and 20- Gaming industry in India is estimated to have grown by x2% to reach the market size of INR x3 bn in 20--
Drivers:
Challenges:
Economic advancement, changing demographics and consumer behavior Demand for digital entertainment and contents Internet penetration and next generation cellular networks Mobile device adoption and colossal wireless subscriber base
Piracy and average revenue per user or unit Quality of internet services Penetration in suburban and rural areas
Key Players
Competitive Landscape
Company1
Company2
Company3
Company4
Company5
Company6
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•Macro Economic Indicators •Introduction •Market Overview •Drivers and Challenges •Market Trends •Competitive Landscape
•Consumer Insights •Strategic Recommendations •Appendix GAMING INDUSTRY IN INDIA 2015.PPT
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Economic Indicators (-/-) GDP at Factor Cost: Quarterly INR tn c4 b4 a4
15 14 d1 c1 13 b1
c3 b3 a3
d2 c2 b2 a2
12 a1 11 Q1
Q2 2010-11
2011-12
Q3 2013-14
2012-13
Q4
Inflation Rate: Monthly
% 2.0
p
1.5
s q
1.0
t
r
0.5 0.0
Jun 2013 - Jul 2013
Jul 2013 - Aug 2013
Aug 2013 - Sep 2013
Sep 2013 - Oct 2013
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Oct 2013 - Nov 2013 4
Introduction Video Gaming – Overview • Video game is an interactive entertainment product that uses Personal Computers, Televisions, dedicated display, or mobile devices as a services delivery platform These interactive entertainment products require somewhat constant and direct user-interaction or participation
• Gaming products can be broadly categorized in two segments, gaming hardware products and gaming software products Gaming hardware products would include gaming consoles or video gaming systems, gaming peripherals, and other gaming dedicated hardware Gaming software products would include games itself in CD, DVD, Blu-Ray and other media platforms or in digital format, and game add-on or downloaded contents (DLCs)
• Various genres of games are available on gaming platforms to cater to varied user preferences Some of the major game genres are Action, Action-Adventure, Adventure, Arcade, Fighting, Horror, Racing, Role-Playing Game (RPG), Shooting, Simulation, Strategy, and Sports
• Quick emerging online and mobile gaming has revolutionized the industry with new genres and have attracted new audience
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Product1 and Product2 are the most popular in India Market Overview – India (-/-) Gaming Industry – Market Size & Growth INR bn a6
+y% a1
20--
a2
20--
a3
20--
a5 a4
20--
20--
20--
• Gaming industry in India is estimated to have grown by a1% to reach the market size of INR a2 bn in 20-
In 20--, revenue contributions by major gaming segments were as below, –
PC gaming – a3%
–
Console gaming – a4%
–
Mobile gaming – a5%
–
Online gaming – a6%
•Media and entertainment industry in India is poised to register a CAGR of a7% to reach INR a8 bn by 20-GAMING INDUSTRY IN INDIA 2015.PPT
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Drivers & Challenges – Summary
Challenges Drivers
Piracy and average revenue per user or unit
Economic advancement, changing demographics and consumer behavior
Quality of internet services
Demand for digital entertainment and contents
Penetration in suburban and rural areas
Internet penetration and next generation cellular networks Mobile device adoption and colossal wireless subscriber base
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Trends (-/-)
Trend1
• text text text text text text text text text text text text text text text text text text text • text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text
Trend2
• text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text • text text text text text text text text text text text text text text text text text text text
Trend3
• text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text • text text text text text text text text text text text text text text text text text text text
Trend4
• text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text • text text text text text text text text text text text text text text text text text text text
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Porter’s Five Forces Analysis
SAMPLE
Threat of New Entrants • Text text text text text text text text text text text text text text text text text text text text text text text text text Impact Medium
Bargaining Power of Suppliers • Text text text text text text text text text text text text text text text text text text text text text text text text text
Impact Medium
Impact Medium Competitive Rivalry • Text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text
Threat of Substitutes • Text text text text text text text text text text text text text text text text text text text text text text text text text
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Impact High
Bargaining Power of Buyers • Text text text text text text text text text text text text text text text text text text text text text text text text text
Impact Low
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Public: Domestic Company – Company 1 (1/4)
SAMPLE
Company Information
Offices and Centres – India
Corporate Address
Tel No. Fax No. Website Year of Incorporation Ticker Symbol Stock Exchange
Head Office
Products and Services Category
Sectors (EPC)
Products/Services
Key People Name
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Designation
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Public: Domestic Company – Company 1 (2/4)
SAMPLE
Financial Snapshot
Key Ratios
Total Income
Net Profit/Loss
Particulars
INR bn
INR bn s1
t1
s2 t2
s4
s3 t3
t4
0 2010
2011
2012
2013
Financial Summary
y-o-y change (2013-12)
2013
2012
2011
2010
Profitability Ratios Operating Margin Net Margin Profit Before Tax Margin Return on Equity Return on Capital Employed Return on Working Capital Return on Assets Return on Fixed Assets
Cost Ratios • The company incurred a net loss of INR - bn in FY 2013, as compared to net profit of INR - bn in FY 2012 • The company reported total income of INR - bn in FY 2013, registering a decrease of -% over FY 2012
• The company earned an operating margin of -% in FY 2013, a decrease of percentage points over FY 2012 • The company reported debt to equity ratio of - in FY 2013, an increase of % over FY 2012
Market Capitalization (INR mn) Total Enterprise Value (INR mn) EPS (INR) PE Ratio (Absolute)
Liquidity Ratios Current Ratio Cash Ratio
Leverage Ratios Debt to Equity Ratio Debt to Capital Ratio Interest Coverage Ratio
Key Financial Performance Indicators Indicators
Operating costs (% of Sales) Administration costs (% of Sales) Interest costs (% of Sales)
Value (17/01/2014)
Efficiency Ratios Fixed Asset Turnover Asset Turnover Current Asset Turnover Working Capital Turnover Capital Employed Turnover Improved
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Decline
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Public: Domestic Company – Company 1 (3/4)
SAMPLE
Key Business Segments
Key Geographic Segments
Construction and Engineering
India
e1
e2
e3
e4
f1
f2
f3
f4
2010
2011
2012
2013
g1 0%
0%
2013
Overseas
Business Highlights
Description
News • Text text text text text text text text text text text text text text text text text text text text text text text
Overview
text text text text text text text text text text text text text text
• Text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text
Extensive Product Portfolio
• Text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text
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SAMPLE
Public: Domestic Company – Company 1 (4/4)
S
W
O
T
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SAMPLE
Private: Domestic Company – Company 2 (1/5) Company Information
Offices and Centres – India
Corporate Address
Tel No. Fax No. Website Ahmedabad
Year of Incorporation
Head Office Products and Services Category Products
Products/Services Key People Name
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Designation
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SAMPLE
Private: Domestic Company – Company 2 (2/5) Shareholders of the Company as on 28.09.2012
Name
Ownership Structure
No. of Shares held
Corporate Bodies
Foreign holdings
X X
30% Total
70%
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SAMPLE
Private: Domestic Company – Company 2 (3/5) Financial Snapshot
Key Ratios
Total Income
Net Profit/Loss
Particulars
INR mn
INR mn u4 u2 u1
v4
v1
v2
u3 v3
2010
2011
2012
0
2013
Financial Summary
2012
2011
2010
Operating Margin Net Margin Profit Before Tax Margin Return on Equity Return on Capital Employed Return on Working Capital Return on Assets Return on Fixed Assets
Cost Ratios Operating costs (% of Sales) Administration costs (% of Sales) Interest costs (% of Sales)
Liquidity Ratios
• The company reported total income of INR - mn in FY 2013, registering an increase of -% over FY 2012
Leverage Ratios
• The company reported debt to equity ratio of - in FY 2013, a decrease of -% over FY 2012
2013
Profitability Ratios
• The company earned a net profit of INR - mn in FY 2013, as compared to net loss of INR - mn in FY 2012
• The company earned an operating margin of -% in FY 2013, an increase of - percentage points over FY 2012
y-o-y change (2013-12)
Current Ratio Cash Ratio
Debt to Equity Ratio Debt to Capital Ratio Interest Coverage Ratio
Efficiency Ratios Fixed Asset Turnover Asset Turnover Current Asset Turnover Working Capital Turnover Capital Employed Turnover Improved
GAMING INDUSTRY IN INDIA 2015.PPT
Decline
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SAMPLE
Private: Domestic Company – Company 2 (4/5) Business Highlights
Description
News • Text text text text text text text text text text text text text text text text text text text text text text text
Overview
text text text text text text text text text text text text text text
• Text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text
Extensive Product Portfolio
• Text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text
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Private: Domestic Company – Company 2 – SWOT Analysis (5/5)
SAMPLE
S
W
O
T
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Strategic Recommendations (-/-) •Text text text text text text text text text text text text text text text text text •Text text text text text text text text text text text text text text text text text
Recommendation1
Recommendation2
• Text text text text text text text text text text text text text text text text text
• Text text text text text text text text text text text text text text text text text
• Text text text text text text text text text text text text text text text
• Text text text text text text text text text text text text text text text
• Text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text
• Text text text text text text text text text text text text text text text text text text text text text text text text text text text text text text
• Text text text text text text text text text text text text
• Text text text text text text text text text text text text
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Appendix Ratio
Calculations
Ratio
Calculations
Operating Margin
(Operating Income/Revenues)*100
Current Ratio
Current Assets / Current Liabilities
Net Margin
(Net Profit / Revenues) *100
Cash Ratio
Profit Before Tax Margin
(Income Before Tax / Revenues *100
{(Cash & Bank Balance + Marketable Securities) / Current Liabilities)}
Debt to Equity
Total Liabilities / Shareholders Equity
Debt to Capital Ratio
{Total Debt / (Shareholders Equity + Total Debt)}
Interest Coverage Ratio
EBIT / Interest Expense
Fixed Asset Turnover
Sales / Fixed Assets
Asset Turnover
Sales / Total Assets
Return on Equity (ROE)
Return on Capital (ROCE) Return on Working Capital
(Net Income / Shareholders Equity)*100
EBIT / (Total Assets – Current Liabilities)*100 (EBIT / Working Capital) *100
Return on Assets
(EBIT / Total Assets)*100
Return on Fixed Assets
(EBIT / Fixed Assets) *100
Operating Costs (% of Sales)
(Operating Expenses / Sales) *100
Current Asset Turnover
Sales / Current Assets
Administration Costs (% of Sales)
(Administrative Expenses / Sales) *100
Working Capital Turnover
Sales / Working Capital
Interest Costs (% of Sales)
(Interest Expenses / Sales) *100
Capital Employed Turnover
Sales / (Shareholders Equity + Total Debt)
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Sources of Information
PRIMARY RESEARCH Interviews
Leading Industry Experts
SECONDARY RESEARCH Print Media
Electronic Media
Leading Newspapers
Regulatory Websites
Magazines and Journals
Technology Magazines
Annual Reports of Companies
Company Websites Premium Databases Open Sources
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