silly monks entertainment ltd share price Management discussions


a) COMPANY OVERVIEW

We are a ‘South India based entertainment & media with a focus of being a recognized & fast-growing player in areas such as movie/series/music/other creator content production, content distribution, content marketing on digital and traditional mediums.

Our business lines / model is illustrated below:

Our primary focus currently is Content production, distribution and marketing on Digital media and traditional mediums. We publish our content on various digital platforms such as YouTube, Facebook, Amazon, Netflix etc. We also distribute or syndicate the content on satellite channels, cinema theatres, airborne and many more offlineplatforms.

All the said content is either created by us, i.e. by our in-house production or acquired through outright purchase or aggregated on a revenue share method. Produced or acquired Content 100% rights, all revenues generated from such content is fully accrued to us.

When we aggregate content from third parties content partners for distribution, we share the revenue with the content partner.

Through YouTube, Facebook, Instagram and other social media channels we are building communities in various genres like music, food, wellness, devotional etc., We distribute and monetise all the content produced by the creators in all possible publishing mediums to maximise the revenue. The more the fan base, the more branded content revenue opportunities will unlock.

Silly Monks Studios (Movie/Series Production):We have co-produced Telugu Movies like Maa Vintha Gadhaa Vinuma, George Reddy, 24 Kisses, and few movies co-produced with Vaaraahi Chalana Chitram like Oohalu Gusagusalade ‘Dikkulu Choodaku Ramayya, & Tungabhadra.

Upcomingreleases in 2024:

Happy Ending & RajaRamyam.

In our studio division, we identify stories, develop, pitch and onboard project independent investors, produce, market and distribute/sell the project on various mediums. With our expertise, we are bridging between film directors/writers, investors & the platforms and making it a viable and profitable business. In this model SillyMonks retains 20-30% asset holding in each project that we are developing. Two film porjects are ready to release and many under development stage and pitchingstage. We bring content production and distribution expertise. Weare currently developing many movie concepts in south India along with potential film directors and setting up the complete project end-to-end. We will be collaborating with potential project investors to execute the plans and maximizethe film business.

Web Series Production: We have produced a Telugu series titled Gangstars for Amazon Prime Video before. We are currently producing another series for Amazon Prime Video. Our content team is developing many moreseries concepts for many OTT platforms. For every developed idea that gets approved and produced by the OTT platforms, we accrue a profit margin on each project.

Apart from our promoters Mr. Tekulapalli Sanjay Reddy & Mr. Anil Kumar Pallala, our Company has got angel investment fromwell -renowned personalities such as;

1) Mr. Ranganathasai Korrapati, who is a Telugu film Producer and distributor known for his works predominantly inTelugu cinema.

2) Mr Sreenivasa Reddy Musani who is chairman and MD of Hyderabad-based Ektha Group which operates in. Information Technology, Engineering, BusinessProcess, Data Processing, Multimedia & RealEstate.

Content Publishing

Our primary focus is on Content production, marketing and distribution. Content which we publish over various platforms is Movies, music, short films, short videos, web Series and a creator video. Income from content publishing on YouTube constitute a significant portion of Digital Media Publishing. We have published over 100+ movies like Act 1978, Bombhaat and many more on Amazon Prime. We extending our distribution partnership with more OTT plaforms and also dubbing the content into multi-lingiual.

YouTube

Dream Boat Entertainment LLC is one of the top enterprise partners (MCN - Multi-Channel Network) with YouTube. On YouTube, Income generates through monetization of content. Monetization of content means, enabling YouTube toplace anadvertisement and generate revenue.

YouTube enables every content creator to publish his/her content to monetize. We own a few channels and we also aggregate 3rdparty channels intoour network (MCN).

When a 3rd party YouTube channel connects his/her channel to Dream Boat MCN network, we bring together the advantages of professional tools like copyright management, collaborations, brand associations, cross-promotions for better monetization. A state of the art ‘Audio/video studio tohelp indigenous, but popular, YouTubers.

DreamBoat shares an agreed revenue sharegenerated with content partners. This amount varies contractually.

Branded content is another stream of revenue that we generate when we collaborate with brands to promote their products.

OTT Platforms:

We produce content, acquire content and aggregate content (Movies, Series, short films etc.,) to distribute on a revenue share or a fixed license fee. We also distribute the content produced for YouTube on OTTplatforms.

Mobile VAS & Audio streaming /distribution:

Mobile VAS (Value added services) is another medium for our digital content publishing. With the increase in number of smartphone users in India, this is one of the rapidly growing platforms for Digital Media Publishing. We have entered into an alliance with Idea cellular, PDL for Content License & Distribution on various streaming platforms like Apple music, spotify etc.,

Silly Monks earns the revenue in the form of License Fees from mobile networks and streaming platforms which was agreed in the agreement between two & when content is being published by Mobile VAS and streaming platforms, the end usersubscribes for the service by paying subscriptionfees. This is the revenue sourceto Mobile networks.

Silly Monks has an alliance with music apps such as ‘Saavn / Gaana / PDL and various mobile networks to publish songs and CRBTs (Caller ring back tones), wherein we provide the audio content to Saavn, which is then published through Saavn. We have started acquiring film music and independent musicaggressively inSouth India.

We also publish the same content on YouTube.

Celebrity Digital Management:

SocialMedia

We have on boarded few celebrities and building them as a brand on digital platforms. We make strategies to create content for social media and YouTube to engage the followers and subscribers of the celebrity. We generate revenue from monetizing the content on the said platforms and also collaborate with various brands for brand endorsements and generate revenue.

Facebook, Instagram, Twitter, YouTube are the top platforms for celebrities, quickly gaining importance in terms of total users and traffic. These platforms present a unique marketing opportunity for businesses through the creation of verified accounts for celebrities. As more people explore social media, social networking sites have become some of the critical online sources they use to learn more about products, organizations, artists and world events. We manage celebrities over social media platforms. Income will be generated through these platforms by monetizing the content and brand associations. No. of followers and subscribers with good engagement on the platforms decides the revenues.

Production HouseManagement and filmContent Digital marketingand Advertising:

Movie Marketing/Promotions:

We are associated as a digital partner with top movie production houses like Hombale Films, Vyjayanthi Movies, Vaaraahi Chalana Chitram, Gunaa TeamWorks, KVN Productions, Vibri Media, Sukumar Writings, Prakash Raj Productions, Swapna Cinemas and many more, working on movies like KGF 1 & 2, Jathi Ratnalu, Salaar, Shakuntalam, Project K, Muddy, Yuvaratna, Talaivi, Chakra and many more where we give 360 degree solutions on digital promotions, produce exclusive promotions content around the film story to create momentum for the films and drive audience to the theatres. We generate revenue by providing marketing strategy, creative services, advertising, influencer promotions & creator collaborations.

We manage the majority of the movie production house in South India. Our role is to manage the brand of the production house on digital platforms, market their films, monetise the content produced by the production house on digital platformslike OTT platforms (Amazon Prime), YouTubebranded channel

We also do online advertising for films withGoogle AdWords . Google AdWords is one of the most effective ways to reach new customers and grow your business. Google AdWords is the online advertising platform owned and operated by Google. AdWords is also the largest and most widely used online advertising network in the world, and millions of businesses advertise online using AdWords to reach new customers and grow their business. Advertisers who choose to use Google AdWords can target users across two main networks – the search network, and the Display network .