#1000 100 R NAVNEET Knowledge is wealth TRANSFORMING WITH TIMES NAVNEET EDUCATION LIMITED INVESTOR PRESENTATION AS ON 30th JUNE, 2022#2Safe Harbour This quarterly investor presentation has been prepared by Navneet Education Limited (Navneet) and does not constitute a prospectus or placement memorandum or an offer to acquire any securities. This presentation or any other documentation or information (or any part thereof) delivered or supplied, should not be deemed to constitute an offer. 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 such information or opinions contained herein. The information contained in this presentation is only current as of its date. Certain statements made in this presentation may not be based on historical information or facts and may be 'forward-looking statements', including those relating to the general business plans and strategy of Navneet Education Limited, its future financial condition and growth prospects, future developments in its industry, within competitive and regulatory environment, statements which contain words or phrases such as 'will', 'expected to', 'horizons of growth', 'strong growth prospects', among many others, or similar expressions or variations of such expressions. These forward-looking statements involve a number of risks, uncertainties and other factors that could cause actual results, opportunities and growth potential to differ materially from those suggested by the forward-looking statements. The Company may alter, modify, or otherwise change in any manner, the content of this presentation, without obligation to notify any person of such revision or changes. This presentation cannot be copied and disseminated in any manner. 2#3NAVNEET EDUCATION LIMITED - A PANORAMIC VIEW Navneet Education Limited is an educational syllabus-based provider that offers quality content across Print and Digital mediums. With 60+ years of experience as an educational publisher & stationery manufacturer, the Company enjoys a high brand recognition and market standing in the educational content and scholastic stationery segment. Backed by proficiency, responsiveness and preparedness, the Company emphasises on consistently 'Transforming with Times'. Thus, endeavouring to remain aligned to the evolutions in the field of education and technology. The presentation hereon, in a nutshell, encompasses elements that render the Company's distinction and competitive advantage in the market.#4Navneet Education Limited - At A Glance Transforming With Times Since Over 6 Decades Navneet Education Limited's rich industry experience and insightful endeavours enabled the business to achieve a robust leadership position in the industry. It owns a market share of approximately 65% in Western India. Going ahead, as the Company continues to transform in line with ever-evolving trends, it aims to build a strong presence in the EdTech domain by leveraging its existing businesses. Vision To provide the highest quality of educational products and services to customers in the language/medium of their choice What sets us apart Mission Educational syllabus-based publisher material supplier, across print and digital mediums • To provide students with best quality supplementary study material and curriculum text books at affordable price. 。 To harness the power of Information Technology and bring home its wonder to children through e-learning. • To provide students with scholastic stationery products. Strong brand visibility and leading position in the educational content & scholastic stationery space ✓ Core Values Poised to become a leader in EdTech through its quality and innovation О Excellence Proactive Student Centric Transparency 4#5Shareholding Pattern And Corporate Information Shareholding pattern CATEGORY NUMBER OF SHARES 2.42% Promoters 14,32,22,373 Stock Information as on 30th June, 2022 Market Capitalisation *2,127.53 Crores 2.85% Public Stock Price 4,11,38,436 * 94.05 13.24% Mutual Funds & Alternate 2,99,41,673 Investment Fund III 18.19% Other Bodies Corporate 64,39,456 63.31% Foreign Institutional Investor 54,71,243 - NSE/BSE Symbol NAVNETEDUL/508989 No. of Shares Outstanding 22,62,13,181 ст 5#6Transforming With Time Through Innovative Product Offerings Print CONTENT Digital NAVNEET EDUCATION LIMITED Paper Stationery Supplementary Books DigiBooks Export (USA, Europe, Africa) Curriculum (Maharashtra & Gujarat) Non-Curriculum (PAN-India & Exports) PAN-India NEX రి STATIONERY Non-Paper Stationery PAN-India 9#7Our Journey Of Transformation 2017 Introduced 2014 Premium 2008 Entered B2C 1993 1975 Published Launched Scholastic Stationary Entered B2B Digital Learning Space Digital Learning Space (Top Scorer) Stationery Products under Brand 'HQ' 1959 First 21 Most Likely Question Sets Digest/Guide Published for Std. X Children Books Introduced First Education Publisher to 1990 be Listed on Workbook Concept Introduced 1970 BSE and NSE 1994 Ventured into School Management 2011 2021 HQ stationery Brand Joined Hands with Terribly Tiny Tales (TTT) for the 'Carve Your Niche' Campaign Launched LMS Platform in Maharashtra, Gujarat, Andhra Pradesh, Telangana, Karnataka, Tamil Nadu, and Launched New Ed-Tech Launched New Stationery Brand YOUVA, Acquired Indiannica Products (Navneet Chhattisgarh DigiBook) 2022 2020 Learning Private Limited (earlier Encyclopedia Britannica (India) Private Limited 2016#8Geographical Presence Strengthening NEL's Transformational Journey Digital Presence Maharashtra, Gujarat, Andhra Pradesh, Telangana, Karnataka, Tamil Nadu, and Chhattisgarh Text Books PAN-India & Sri Lanka A AAA AAA AAA Supplementary Books Maharashtra & Gujarat AA Stationery PAN India & Nepal Disclaimer: This map is a generalised illustration only for the ease of the reader to understand the locations, and it is not intended to be used for reference purposes. The representation of political boundaries and the names of geographical features/states do not necessarily reflect the actual position. The Company or any of its directors, officers or employees, cannot be held responsible for any misuse or misinterpretation of any information or design thereof. The Company does not warrant or represent any kind of connection to its accuracy or completeness. 8#9Numbers Testifying NEL's Successful Transformation 40 million+ No. of Students 6 No. of Subsidiaries (Including step-down subsidiary) 3 Printing/ Manufacturing Locations 300+ Authors 30,000+ No. of Schools Visited Annually 5 Mediums/Languag es for State Board Publications 350+ Hours of Digital Library 2,700+ No. of Employees 5,800+ No. of Titles 4,000+ Digital Classrooms 25+ Presence in Countries for Paper Stationery 6#10Update for Q1 FY 23 NAVNEET FUTURE LECH#11NEL Group - EdTech Business Structure NAVNEET EDUCATION LIMITED NAVNEET FUTURETECH LIMITED (Earlier, eSense Learning Limited) INVESTMENTS o K-12 Techno, Be Galileo, Tinkerly & Sports For All BUSINESSES o TopTech (B2B - Schools) Genext (B2B-Tutoring) ⚫ Leapbridge (B2C - Early years) 11#12SBUS & Focus Areas CEO SBU Brand Name en 666 Segment Customer Products Customer Brands HARSHIL GALA TOPTECH B2B - Curriculum-based Schools Content, LMS & ERP School SaaS - TopSchool, TopClass & TopScorer GAURANG SANGHVI LEAPBRIDGE B2C - Extra Curriculum Parents (& B2B) Phygital toys, Coding, STEM Leapbridge DEVISH GALA GENEXT B2B - Curriculum and Extra Curriculum Tutors & Coaching Institutes Content, LMS & ERP - Tutoring SaaS BeMasterly 12#13Product Launches {C} SBU Brand Name TOPTECH LEAPBRIDGE GENEXT LAUNCH UPDATE All products have been launched customers acquisition underway Research ongoing; to be launched soon To be launched in Q2 FY 2022-23 For core products: Ensuring that (a) Sales efficiency is tracked (b) Customer onboarding is overseen minutely for better learnings (c) LAUNCH RELATED Customer feedback on experience is understood (d) Changes considered (e) Continuous focus on training For Phygital business: Undertaking rigorous testing of App & the physical kit with the help of experts and sample customers their feedback is crucial for decision-making before the final launch - For partners' products (Sports, and more): Approaching schools with cross-selling initiatives For other Phygital businesses, Coding & STEM products: Assessing commercial viability of business model while early stage development of platform is underway Rigorous testing and validation of the (a) platform is ongoing with sample customers (b) Marketing & branding strategy is being developed 13#14Key Focus Area {C} SBU Brand Name TOPTECH 。 Working aggressively on customer feedback LEAPBRIDGE • Developing investment thesis for new products GENEXT 。 Working aggressively on customer feedback & incorporating changes before launch 。 Integrating various tools on the platform o Developing the platform with strong learnings customer 。 Integrating various content sources other tech tools on the platform o Recruiting across critical functions 。 Integrating various tools on the platform o Recruiting across critical functions CURRENT FOCUS o Initiating brand building and marketing o Recruiting across critical functions o Initiating work on brand building and marketing 。 Setting up internal processes for all departments 。 Implementing various policies covering HR, and more 。 Setting up internal processes for all departments o Implementing various policies covering HR, among others 。 Setting up internal processes for all departments o Implementing various policies covering HR, etc o Developing strong MIS & dashboards for review of the business o Development of strong MIS & Dashboards for review of the business o Developing strong MIS & dashboards for review of the business 14#15Board Addition, Key Hires And Other Focus Area NFL BOARD ADDITIONS GNANESH GALA onboarded as Managing Director of the NFL Board Managing Director, Navneet Education Limited OTHER KEY HIRES OTHER FOCUS AREAS o Establishing strong commercial filters for selection of product for launch with a clear path to profitability o Detailing business plans with critical milestones KARAN KHEMKA onboarded as Senior Advisor and as a Member of NFL Board He will be advising NFL across all EdTech businesses https://www.linkedin.com/in/karankhemka/ Following positions are confirmed for NFL (and their teams) will be service providers dedicated to the EdTech businesses: Chief Data Scientist, Legal Head, HR Head, Head of Strategy & Fund Raising, Financial Controller o Establishing review mechanisms across SBUS o Establishing process for all shared services with SBUS and with clear accountability o Overseeing quality of recruitment across critical functions SANJEEV SHAH onboarded as Jt Managing Director of the NFL Board https://www.linkedin.com/in/sanjeev-shah/ o Implementing various policies covering HR, IP, and more o Developing strong MIS & dashboards for review of the business 15#16Offering Academic Solutions With K12 Techno Services Shareholding Pattern 17.00% LOCATIONS NUMBER OF SCHOOLS 'Orchids, the International School' group of schools is an emerging and fast-growing dominant player in providing management services in the field of direct education. Sequoia Capital - 33% Bengaluru (21 schools + 5 colleges) 26 33.00% Mumbai 15 8.27% Pune Hyderabad 7 4 Gurgaon 3 14.43% Chennai 2 Kolkata 1 27.32% Aurangabad 1 Navneet Learning LLP - 27% Sofnia Ventures - 15% Sorting Hat Tech - 8% SCI Investment - 17% Nagpur 1 Total 60 80,000+ Capacity 9 Locations 41,700+ Number of students 60 No. of schools (CBSE/ICSE) 16#17The Team Leading NEL's Transformations Governance Shri Kamlesh S Vikamsey, Chairman Shri Gnanesh D Gala, Managing Director Shri Raju H Gala, Jt Managing Director 66 NEL's governance approach is based on accountability, effective delegation and adequate oversight to support sound decision-making. The Board places high importance in overseeing the Company's operation and ensures that NEL remains well-positioned to create long-term value for its shareholders. 99 Shri Tushar K Jani, Independent Director Dr Vijay B Joshi, Independent Director Shri Bipin A Gala, Whole-time Director Shri Anil D Gala, Whole-time Director Shri Shailendra J Gala, Whole-time Director Smt Usha Laxman, Independent Director Shri Anil Swarup, Non-Independent & Non- Executive Director Shri Nilesh S Vikamsey, Non-Independent & Non- Executive Director Shri KI Viswanathan, Independent Director 17#18Robust Financial Performance Backing NEL's Transformational Journey Over the years, the Company's dedicated efforts enabled it to maintain stable growth in persistent manner. The year gone by further testifies for its capabilities, as showcased through its key financial parameters. It has been consistently strengthening its credibility and remains poised to explore new avenues of growth.#19Financial Performance (Q1 FY 2022-23) Particulars Income from Operations Q1 FY23 (Unaudited) % of Revenue 68,278 (* in Lakhs) Q1 FY22 (Unaudited) 31,832 % of Revenue FY 21-22 (Audited) 1,06,052 % of Revenue Other Income 474 685 2,019 Total Revenue 68,752 32,517 1,08,071 COGS 37,426 18,958 60,287 Employee benefits 4,359 3,622 15,488 Other General Overheads 5,807 3,077 13,261 Total Expenses 47,592 25,657 89,036 EBITDA 21,160 31% 6,860 22% 19,035 18% Depreciation 802 799 3,270 EBIT 20,358 6,061 15,765 Financial Cost 201 118 368 PBT before exceptional item 20,157 30% 5,943 19% 15,397 15% Exceptional Items 4,580 Tax 5,185 1,489 5,315 PAT 14,972 22% 4,454 14% 14,662 14% Other Comprehensive Income -1,105 -249 -352 (OCI) Total Comprehensive Income 13,867 4,205 (TCI) 14,310 19#20Standalone Financial Performance - Q1 FY 2022-23 Total Income (* in Lakhs) 32,517 68,752 111% Q1 2021-22 Q1 2022-23 PBT before exceptional item (* in Lakhs) EBITDA (in Lakhs) 20,157 239% 5,943 Q1 2021-22 Q1 2022-23 6,860 208% 21,160 Q1 2021-22 Q1 2022-23 20 20#21Standalone Financial Performance - Q1 FY 2022-23 Segment Revenue Publication (* in Lakhs) 9,877 262% 35,710 Q1 2021-22 Q1 2022-23 Segment Revenue Stationery- Domestic (in Lakhs) Segment Revenue Stationery - Exports (in Lakhs) 20,728 18,495 12% Q1 2021-22 Q1 2022-23 252% 3,340 11,743 Q1 2021-22 Q1 2022-23 21 21#22Working Capital Cycle 136 130 126 124 122 118 110 103 83 63 50 June'21 59 56 59 Sep'21 Dec'21 Mar'22 ■Receviable Days FG Inventory Days ■RM Inventory Days 43 67 June'22 नै 77 22 22#23Consolidated Performance For Q1 FY 2022-23 Revenues from Operations EBITDA (in Lakhs) PAT Particulars Q1 FY23 Q1 FY22 Q1 FY23 Q1 FY22 Q1 FY23 Q1 FY22 NEL 68,278 31,832 21,160 6,860 14,972 4,454 eSense 405 226 (705) (192) (891) (502) Indiannica 759 961 (225) (159) (419) (346) NLLP # NHKL 169 154 GeNext 1 (134) 4 21 4 21 (167) NTVPL I # # K12 840 (232) 537 (436) Carveniche Tech (55) (57) Inter co Adjust (238) (388) (146) 14 (123) 21 Total 69,374 32,785 20,739 6,312 13,856 3,212 23#24Thank You Navneet Education Limited Corporate Identity Number: L22200MH1984PLC034055 Corporate Office & Regd. Office: Navneet Education Limited, Navneet Bhavan, Bhavani Shankar Road, Dadar (West), Mumbai - 400028. Website: www.navneet.com E-mail Id: [email protected] Investor Relations Contact Roomy Mistry | Head - Investor Relations | Navneet Education Limited Address: Navneet Education Limited | Navneet Bhavan | Bhavani Shankar Road, Dadar-(West), Mumbai 400028. - Phone: +91 22 6662 6565 | Mobile: +91 98199 58878 Email Id: [email protected]