Pay and Specialty - National Geographic Channel

Individual Pay, Pay-per-view, Video-on-demand and Specialty Services - Financial Summary 2011-2015

Table of Contents

Undertaking # Service Name Licensee Licensee Ultimate Owner Type Year
305424294 National Geographic Channel NGC Channel Inc. Shaw Communications Inc. Specialty (category B service) 2015

Revenue ($)
2011 2012 Var % 2013 Var % 2014 Var % 2015 Var % CAGR (%)
Residential/bulk/SMATV subscriber revenue 8,261,596 7,861,161 -4.85 8,879,756 12.96 9,132,062 2.84 8,948,752 -2.01 2.0
DTH revenue 3,201,751 3,533,198 10.35 4,655,095 31.75 4,801,280 3.14 4,417,728 -7.99 8.4
Local advertising revenue 0 0 0 0 0
National advertising revenue 8,469,653 11,222,074 32.50 12,010,234 7.02 13,434,211 11.86 13,575,823 1.05 12.5
Other revenue 0 0 1 0 -100.00 0
Total Revenue 19,933,000 22,616,433 13.46 25,545,086 12.95 27,367,553 7.13 26,942,303 -1.55 7.8

Expenses ($)
2011 2012 Var % 2013 Var % 2014 Var % 2015 Var % CAGR (%)
Programming and Production 3,070,153 3,285,240 7.01 3,719,241 13.21 4,460,045 19.92 4,557,875 2.19 10.4
Technical 698,961 730,957 4.58 706,709 -3.32 578,268 -18.17 628,566 8.70 -2.6
Sales and Promotion 353,114 800,696 126.75 1,073,972 34.13 246,414 -77.06 174,090 -29.35 -16.2
Administration and General 3,670,450 3,658,999 -0.31 3,591,628 -1.84 3,719,636 3.56 4,241,650 14.03 3.7
Total Expenses 7,792,678 8,475,892 8.77 9,091,550 7.26 9,004,363 -0.96 9,602,181 6.64 5.4

Performance ($)
2011 2012 Var % 2013 Var % 2014 Var % 2015 Var % CAGR (%)
Operating Income 12,140,322 14,140,541 16,453,536 18,363,190 17,340,122
Depreciation 0 -5,981 0 -100.00 0 0
P.B.I.T. 12,140,322 14,146,522 16,453,536 18,363,190 17,340,122
Interest Expense -11,492 0 -100.00 -13,114 -21,856 66.66 -31,346 43.42
Adjustments - Gain (Loss) 0 0 0 0 0
Pre-tax Profit 12,151,814 14,146,522 16,466,650 18,385,046 17,371,468

Canadian Programming Expenses ($)
2011 2012 Var % 2013 Var % 2014 Var % 2015 Var % CAGR (%)
Acquisition of rights 352,476 383,422 8.78 544,562 42.03 971,875 78.47 962,270 -0.99 28.5
Script & concept 0 0 0 0 0
Filler Programming + Program Production 483,058 561,595 16.26 572,940 2.02 574,377 0.25 431,639 -24.85 -2.8
Investment in Programming 0 0 0 0 0
Total Canadian Programming 835,534 945,017 13.10 1,117,502 18.25 1,546,252 38.37 1,393,909 -9.85 13.7
Canadian Programming/Revenue (%) 4.19 4.18 4.37 5.65 5.17

Staff
2011 2012 Var % 2013 Var % 2014 Var % 2015 Var % CAGR (%)
Total Remuneration ($) 900,968 1,327,814 47.38 1,208,924 -8.95 1,159,777 -4.07 1,087,553 -6.23 4.8
Average Staff Count 12 16 33.33 14 -12.50 13 -7.14 12 -7.69
Avg Remuneration ($) 75,081 82,988 10.53 86,352 4.05 89,214 3.31 90,629 1.59 4.8

Subscribers
2011 2012 Var % 2013 Var % 2014 Var % 2015 Var % CAGR (%)
Subscribers 6,360,612 6,480,322 1.88 7,125,246 9.95 5,615,325 -21.19 5,053,294 -10.01 -5.6

Profitability (%)
2011 2012 Var % 2013 Var % 2014 Var % 2015 Var % CAGR (%)
Operating Margin 60.9 62.5 64.4 67.1 64.4
P.B.I.T. Margin 60.9 62.5 64.4 67.1 64.4
Pre-tax Margin 61.0 62.5 64.5 67.2 64.5

CAGR = Compound Annual Growth Rate

DTH = Direct-to-Home

SMATV = Satellite Master Atenna Television

P.B.I.T. = Profit Before Interest and Tax

Var = Variation

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