INDIAN MACROECONOMICS SCENARIO:
(Source: Parliament Library, IBEF report and CII Communique)
India, the third-largest economy in the world in Purchasing Power Parity (PPP) terms
and the fifth-largest in market exchange rates, has reinforced the countrys belief in its
economic resilience as it has withstood the internal and external challenges alike such as
of mitigating external imbalances caused by the Russian-Ukraine conflict without losing
growth momentum in the process. The Indian economy appears to have moved on addressing the
challenges posed by the pandemic, staging a full recovery, ahead of many nations and
positioning itself to ascend to the pre-pandemic growth path in Financial Year (FY)
2023-24.
According to Finance Ministry, the Indian economy remains a bright spot and has
positioned itself to grow at 7 per cent in 2022-23, making it the fastest growing major
economy in the world for third time in a row. India is also set to act as an important
contributor of global economic recovery in the current year.
The International Monetary Fund (IMF) expects emerging economies to account for
four-fifth of global growth this year, with India alone expected to play the role of a
global growth engine and contribute more than 15 per cent.
India has emerged as the fastest-growing major economy in the world and is expected to
be one of the top three economic powers in the world over the next 10-15 years, backed by
its robust democracy and strong partnerships.
INDUSTRY OVERVIEW & GROWTH OUTLOOK:
According to FICCI, the Indian M&E sector continued its strong growth trajectory.
It grew by INR 348 billion (19.9%) to reach INR 2.1 trillion (US$ 26.2 billion), 10% above
its pre-pandemic 2019 levels.
While television remained the largest segment, digital media cemented its position as a
strong number two segment, followed by a resurgent print.
The _lmed entertainment segment recovered as theatrical releases doubled, and reclaimed
the fourth position overtaking online gaming. The share of traditional media (television,
print, _lmed entertainment, OOH, music, radio) stood at 58% of M&E sector revenues in
2022, down from 71% in 2019.
They expect the M&E sector to grow 11.5% in 2023 to reach INR 2.34 trillion (US$
29.2 billion), then grow at a CAGR of 10% to reach INR2.83 trillion (US$ 35.4 billion) by
2025.
COMPANY OVERVIEW:
SAB Events & Governance Now Media Limited is carrying out the business of Digital
Media Websites & MICE. ‘Governance Now started its journey as a multi-media
initiative for participatory reportage and analyses related to governance of all
institutions and processes that are vital to public life in India. Our editorial team
comprises of highly experienced senior journalists and guest writers from diverse
disciplines and professional background. Currently, Governance Now is available in the
digital format as a portal www.governancenow.com and as a video channel on YouTube
"SAB Group Governance Now" with approx. half million subscribers.
CURRENT SCENARIO:
Due to the outbreak of the COVID pandemic, the Company migrated from organizing
‘On Ground Conferences to hosting Webinars, Virtual Conferences & Visionary
Talks series, etc. maintaining healthy revenue. In FY 2022-23, with resumption of trade
activities and no restriction on movement, the business of conducting seminars on ground
has begun. The Company is also back to organizing its ‘On Ground Conferences.
The Company was highly successful in organising 3rd India CISO Meet, 9th
PSU Awards & Conference, 3rd RailTech Summit, 5th India BFSI
conclave & Awards, 7th India PSU IT Forum, 2nd India Police
Summit & Awards and Urban GovTech Transformation Conclave. Our Company has managed to
deliver good performance in such testing times through its on ground conferences and
webinars and is amongst very few companies to do so. Along with on ground seminars, our
company intends to continue the Virtual Conferences, Technology Masterclasses, Visionary
Talks as and when suitable.
KEY CONCLAVES
April 2022- July 2023:
28th April 2023:The Lalit, New Delhi
28th April 2023:The Lalit, New Delhi
More Data, More Digitization means more new risks and questions, but it does not mean
security must be sacri_ced. An increase in digital technology use for day-today operations
poses greater risks from data breaches, ransom ware, and cyber intrusion. The challenges
of cyber and network security due to the increasing use of digital technologies in
day-to-day operations and how to build a robust security architecture for data loss &
fraud protection as well as the role of CISO in identity, and access management, program
management, investigations and forensics, governance, and communication.
16th Feb 2023 : Aerocity, New Delhi
Governance Now announces 9th edition of its prestigious PSU Awards. The
Awards honour the efforts of Public Sector Undertakings (PSUs) that have been key to the
countrys growth. Over the period of eight years, the awards ceremony has seen the
presence of esteemed guests to recognize the efforts of PSUs and felicitate them. This
year we are introducing the PSU IT Awards, honouring Central and State PSUs which are
leveraging digital technologies to transform their customer engagement, business
operations, and operating models in order to compete and thrive in the new digital
economy. They are being supported unabatedly by their line-of-business leaders to deliver
business transformation.
16th December 2022:The Park, New Delhi
Governance Now, the premier publication on public policy and governance from Sri
Adhikari Brothers Group is organizing the 3rd edition of Rail Tech Summit 2022
on 16th December 2022 at New Delhi. The Rail Tech summit will discuss the
technology infrastructure modernization for the seamless transformation of the Indian
Railways. For the railways, the rapid digitalization is marked by the fourth industrial
revolution - Railway 4.0. It enhances railway infrastructure, services, systems,
signaling, etc. while improving operational efficiency. They are being re-imagined,
designed, delivered, and operated using
12th October 2022: St. Regis, Mumbai
The Indian BFSI sector has been playing a critical role in driving the growth of the
Indian economy and is considered the key enabler for the vision of India becoming a US$ 5
trillion economy in the coming years. The BFSI sector is undergoing a major transformation
towards digitization on one side and containing NPA on the other side which leads to
short-term turbulence. The outlook seems to be cautiously optimistic with a multi-decade
low credit growth however improving corporate outlook on infrastructure and capital
spending. There is no doubt that, like other sectors, the BFSI sector is also going
through turbulent times. The Government and regulators are taking strong measures to
strengthen the sector through favourable policies, the creation of new types of banks to
promote financial inclusion, relaxation of FDI norms, etc.
21st July 2022: Hotel Taj Mahal, New Delhi
Governance Now, a premier publication on public policy and governance from Sri Adhikari
Brothers Group, is organizing the 7th edition of its flagship India PSU IT
Forum. In the past six editions of the PSU IT Forums Governance Now has been successful in
actively engaging IT experts from Indias top PSUs, community, and technology solution
providers for addressing the digital transformation needs. PSUs modernizing their
operations and cloud infrastructure are becoming increasingly important. They are also
taking advantage of technologies such as the Internet of Things, Blockchain, Artificial
Intelligence, and others which are helping them to reinvent and build a comprehensive
services framework.
15th July 2022
Governance Now is organizing the 2nd Virtual Edition of ‘India Police
Summit and Awards on 15th July 2022, as veterans from Law and Enforcement,
Police Forces, units, Social Scientists, Forensic experts, Cyber experts, and other
stakeholders come under one roof to share their perspectives and insights on the theme
‘Future of Policing: Innovation and Resilience.
The India Police Awards 2022 is a part of India Police Summit & Awards to identify
the best initiatives under the Indian Police Force across states for technology enablement
within their procedure for solving crimes and incidents and to felicitate them as a token
of appreciation and encouragement.
21st April, 2022
Governance Now, the premier publication on public policy and governance from Sri
Adhikari Brothers Group is organizing Urban Gov-Tech Transformation Conclave 2022 on 21st
April 2022. In the past editions, Governance Now has done series of nextgen cities which
was supported by the Ministry of Housing and Urban Affairs, Government of India and
actively engaging with key stakeholders on Technologies for People-centric Urban
Development, governance, and infrastructure. The objective of the conclave is to bring the
government officials, industry experts, technology solution providers at a common platform
to deliberate upon technologies and innovations in urban planning, AI, IoT infrastructure,
IT & e-Governance, infrastructure development, service delivery and implementation and
development of smart cities.
6th April, 2022
Governance Now, a premier publication on public policy and governance from Sri Adhikari
Brothers Group is organizing the Cyber Security Roundtable on 6th April 2022 at
Hotel The Lalit, New Delhi.
Government agencies and Public Sector Undertakings (PSU) are an attractive target to
attackers. You need every advantage you can get to disrupt attack paths and strengthen
your security posture. You need total network visibility to understand your cyber risk and
quickly prioritize and remediate vulnerabilities. As government agencies focus on
modernizing their IT infrastructure, security must be a top priority.
OPPORTUNITIES AND THREAT:
Opportunities:
Learning Curve: The immense experience of the promoters in the media industry has
proved to be an added advantage in understanding the taste of audience and providing
differentiated contents.
Digitization: Internet penetration is grown exponentially now with 5G on the anvil.
With the world becoming a Global Village and Digitization playing a vast role in it, the
youth population have shifted to the digital media. The adoption of Digitalization/Webinar
model of business has become an integral part of the success for the socio political
development of the Country and our Company.
Challenges and Threats:
Maintaining the Brand Value – The success of seminar business is highly
dependent on our product maintaining its brand value.
Consumer Data- Access to customer data is getting harder with cookie degradation
and the growth of walled content gardens. To overcome these barriers to personalisation,
we have to focus more on niche sectors where segmentation is easy.
Updated with Consumers changing Interest- Getting connected at right time with
changing Consumers Interest is vital point.
Bringing Corporate Sponsorship – Engaging corporates for seminars on a
continuous basis.
Business Risks- Having a successful turn out at seminars is key to success of
business model and thus revenue generation.
Competitive Era - In this extreme competitive era, maintaining the current position
and looking for consistent growth is making company in becoming vital player in the
market.
Revenue Risks
The Company earns revenue by advertising, sponsorship and on-ground or Virtual
conferences. Any change in the quality of the content or the ratio of advertisements or
sponsorship can affect the revenues of the Company.
Technological Risks
With broadband and smartphones penetrating the markets rapidly, there is an increase in
usage of online availability of news and hence, the Company aims at improving the content
displayed on its website www.governancenow. com and also on digital course as such YouTube
to compete with other publication houses.
FINANCIALS
Disclosure of Accounting Treatment:
The financial statements of the Company for the year ended March 31, 2023 have been
prepared in accordance with the Indian Accounting Standards (IND AS) prescribed under
Section 133 of the Companies Act, 2013 read with relevant rules issued thereunder and
other accounting principles generally accepted in India and there is no change in the
same.
Share Capital
As on March 31, 2023, the Authorized Share Capital of the Company stood at 1,103 lakh
divided into 109.9 lakh Equity Shares of 10/- each and 0.4 lakh 0.01% Non-Convertible
Non-cumulative Redeemable Preference Shares of 10/- each.
As on March 31, 2023, the Paid-up Share Capital of the Company stood at 1,049.37 lakh
divided into 1,048.37 lakh comprising of 104.83 lakh Equity Shares of 10/- each full
paid-up and 1 lakh comprising of 0.1 lakh 0.01% Non-Convertible Non-Cumulative
Redeemable Preference Shares of 10/- each fully paid-up.
Other Equity:
The total Reserves and Surplus as at March 31, 2023, amounted to (1064.39) lakh as
per statement of Profit and Loss including (1070.12) lakh as retained earnings and
5.74 lakh as other comprehensive income as per statement of Profit and Loss.
Long Term Borrowing:
The total unsecured loans as at March 31, 2023, stood at 1 Lakh.
Short Term Borrowing:
The total short term borrowings as at March 31, 2023 is increased to 809.50 lakh.
Fixed Assets:
Depreciation of 80.26 lakh was charged to the statement of Profit and Loss. The Net
Block of Tangible Fixed Assets as on March 31, 2023 is 6.77 lakh. The goodwill on
demerger as on March 31, 2023 amounted to 220.20 lakh.
Investments:
There are no investments as on March 31, 2023.
Revenues:
The Company earned total revenues of 200.99 lakh during the year ended March 31, 2023
through business activities.
Expenses:
The operating expenses of the Company for the year ended March 31, 2023 is 319.89
lakhs.
Critical accounting policies
The principles of revenue recognition are as under:
The Company earns its revenue in the form of advertisement and sponsorship which gets
recognized upon receipt of release order. Other revenues are recognized when related event
occurs up to the reporting date.
Segment wise Performance
The Company is operating in single primary business segment i.e. Digital Media Websites
& MICE. Accordingly, no segment reporting as per Accounting Standard–17 has been
reported.
Internal Controls and Adequacy of those controls
Adequate systems of internal controls that commensurate with the size of operation and
the nature of business of the Company have been implemented. Risks and controls are
regularly viewed by senior and responsible officers of the company that assure strict
adherence to budgets and effective use of resources. The internal control systems are
implemented to safeguard Companys assets from unauthorized use or disposition, to provide
constant check on cost structure, to provide financial and accounting controls and
implement accounting standards.
Human Resources
Human capital is a very important asset in a media Company. The Company has built up a
human resource structure, which has enabled the Company to grow and take up challenges.
The Company has a qualified team of professionals.
As on March 31, 2023, the Company had 12 (Twelve) permanent employees on its payroll.
Outlook
With the growing importance of digital media, e-magazines, smart phones and the
convergence of media and technology, we are aiming at monetizing the Companys content
through induction of emerging technology platforms and improvements, so as to offer next
generation features on multiple-media including the digital media, web, smart phones,
tablets, and other digital devices and e-commerce business. The Company is proactively
planning to place its readers and advertisers at the cutting edge of technology.
The industry is undergoing transformation, driven by digital technologies,
opportunities for further penetration of the billion strong markets, and an enabling
regulatory framework. At the same time, it remains sensitive to the economic situation,
and a lot will depend on its ability to manage the risks of continued shortage of skilled
manpower, and ability to spur end user pricing across segments.
Details of significant changes in key financial ratios:
Ratios |
Formula Used |
FY 22-23 |
FY 21-22 |
| Debtors Turnover |
Revenue from operations / Average Debtors |
6.18 |
12.30 |
| Inventory Turnover |
COGS / Average Inventory Turnover |
NA |
NA |
| Interest Coverage Ratio |
Earnings before Interest and Tax / Interest Expense |
(2.60) |
(2.63) |
| Current Ratio |
Current Assets / Current Liabilities |
0.76 |
0.40 |
| Debt Equity Ratio |
Debt / Equity |
(50.60) |
2.88 |
| Operating Profit Margin (%) |
EBITDA / Revenue from operations |
0.04 |
(0.001) |
| Net Profit Margin (%) |
PAT without exceptional items / Revenue from |
(0.45) |
(0.73) |
|
operations |
|
|
| Return on Net worth (%) |
PAT without exceptional items / Total Equity |
6.17 |
(1.37) |
Interest Coverage Ratio: Loss for this financial year has been reduced which has
resulted in the change of interest coverage ratio.
Debt Equity Ratio: During the current FY 2022-23, the Company obtains additional
unsecured borrowing which resulted into increase in debt equity ratio.
Operating Profit Margin: The loss of the Company during the year has reduced as
compared to previous year due to which there is change in operating profit margin.
Net Profit Margin: The loss of the Company during the year has reduced as compared
to previous year due to which there is change in net profit margin.
Return on Net worth: The change in return on net worth is due to loss in current
year and previous year.
Note: Debt Equity Ratios has only long/short term loan from institutional/others as a
debts.
CAUTIONARY STATEMENT
Statements in the Management Discussion and Analysis Report describing the Companys
objectives, projections, estimates, expectations may be "forward- looking
statement" within the meaning of applicable securities laws and regulations. Actual
results could differ materially from those expressed or implied. Important factors that
could make a difference to the Companys operations include economic conditions affecting
demand/ supply and price conditions in the domestic and overseas markets in which the
Company operates, changes in the Government regulations, tax laws and other statutes and
other incidental factors.
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