2015 box office

SHOWBOX
INVESTOR
RELATIONS 2015
2015
Ticker 086980 KS
© 2015 SHOWBOX Corp.
Disclaimer
This presentation has been prepared by Mediaplex Inc. (“The Company”)
This presentation is being presented solely for the purpose of information and is subject to change without
notice. No representation or warranty, expressed or implied, is made and no reliance should be placed on
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The contents of this presentation may not be reproduced, redistributed or passed on, directly or
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© 2015 SHOWBOX Corp.
SHOWBOX’S PURSUING VALUES
What is the SHOWBOX’s pursuing appearances as distributors?
① A Market Leader in qualitative aspects, not in quantitative aspects
② A Partner who can make profits to the investors
③ A Partner who can entrust directors and productions with the projects
④ A Brand that distributes the movies which audiences can see and believe
What does SHOWBOX want to be as a market leader?
Average of Number of audience per film
No.1
ROI No.1
(Based on Korean films only)
“SHOWBOX focuses more on being the most confidential partner and
distribution brand to create ways of our own to achieve the best rate of
return and the most number of audiences from each projects than being a
number one distributor which is distributing more films, attaining more
audiences and focusing on competition for sales.
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© 2015 SHOWBOX Corp.
MEDIAPLEX FINANCIAL INFORMATION
Consolidated statements of comprehensive income
(KRW in Millions)
3Q’15
%
QOQ
3Q’14
%
Box office
62,650
94.7%
105% ▲
30,539
94.8%
Copyright
3,322
5%
111% ▲
1,575
4.8%
0.001%
-99% ▼
15
0.04%
0.06%
648% ▲
6
0.01%
Distribution trust
Partial
Investment
1
46
133
0.2%
73% ▲
77
Total Revenue
66,152
100%
106% ▲
32,212
Cost of sales
55,428
106% ▲
26,897
G&A
2,011
26% ▲
1,597
Profit before income tax
8,713
134% ▲
3,718
Profit for the quarter
8,722
Etc.
0.2%
100%
4,090
• Box office: Revenue of main invested films from theater (Including distribution commission)
• Copyright : Overseas secondary market sales except of additional market in 2nd quarter and 4th quarter
• Distribution : Domestic distribution charges and overseas distribution charges
• Investment : Return on investment of partial invest product
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© 2015 SHOWBOX Corp.
SHOWBOX CORE STRATEGY
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© 2015 SHOWBOX Corp.
SHOWBOX REVIEW
Business structure change
Source: Korean Film Council, Showbox
Korea movie ROI
2003
3%
2004
13%
8%
2005
2006
2007
2008
2009
-11%
-8%
-13%
Quantitiative competition
<Showbox business strategy change>
-25%
-41%
Film business
entry
ROI NO.1
Merger
establishment
2010
Distribution
Business be
Extension of
influence
M/S NO.1
IPO
Admission top
increase record
(3,300 Million )
Motion 101
production
establishment
2011
-15%
2012
14%
2013
0.3%
2014
Qualitative competition
2015Year
1. Global Film business bulided up
2. Company name changed
(Mediaplex → SHOWBOX)
-44%
M&A
restructuring
Change in business structure
- Human restructuring
- Quality of Films management
Motion 101
system building
liquidation
- Oversea market expansion
policy through Foreign strategic
partnership (Huayi Brothers)
Disposal of
Subsidiary by sale
6
2012~2015OP
Of Turn into profitmarking
-Committee on investment
establish
-Risk managing intension
-Two wheel system
construction
-Distribution prediction
system construction
© 2015 SHOWBOX Corp.
CHANGING SHOWBOX
Old Showbox
New Showbox
Writer
Producer
Director
Producer
Qualitative competition
Actor / Staff
Actor/Staff
Director
Writer
SELECTOR
MAKER
Rather than simply pressuring a one-sided choice, take the initiative to create
alternatives for the best decision
FINANCIAL INVESTOR
CONTROLLER
There will not only be investing and distributing decisions, but rather a
complete overall production decision making
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© 2015 SHOWBOX Corp.
Box office hit TOP # 4
1
2
3
4
5
[The Thieves] [The Host] [Assassination] [TaeGukGI] [The face
2012.07
2007.07
2015.07
reader]
2004.02
2013.09
View 1303 View 1302
View 1270
View1175
View 914
6
[TAKE OFF]
2009.07
View 849
7
8
9
10
[D-war] [Welcome to
2007.08 Dongmakgol]
2005.08
[Secretly
Greatly]
2013.06
[200 Pounds
Beauty]
2006.12
View 843
View 695
View 662
View 801
Unit (view): Ten thousand Audience
11
12
13
[The throne]
[Marrying
[Secret
2015.09
The mafia 2 ] Reunion]
2005.09
2010.02
View 630
View 564
View 551
14
15
16
17
[Marathon] [The chaser] [Detective k] [kundo]
2005.01
2008.02
2011.01
2014.07
View 515
View 507
8
View 479
18
[Nameless
Gangster]
2012.02
View 477 View 472
19
20
[The Suspect] [Man on
2013.12
the Edge]
2013.01
View 414
View 392
MOVIE INDUSTRY REVIEW
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© 2015 SHOWBOX Corp.
MOVIE INDUSTRY REVIEW
Review 2014 Box office
<2014Y>
(UNIT : Hundred Million)
Development of box office numbers
250
Total movies
2.13
Decrease of
Korean films’
admission
2.15
Korea movies
200
Foreign movies
-15%
150
1.07
100
50
Increase of
Foreign film’s
admission
+25%
0
2008Y
2009Y
2010Y
2011Y
10
2012Y
2013Y
2014Y
MOVIE INDUSTRY REVIEW
2015 Box office of the first half year
70%
11,000
2hundred million pace
9,851
9,651
9,510
6,973
61%
9,000
8,279
7,248
55%
6,843
53%
6,973
57%
6,842
52%
50%
56%
Foreign film
47%
43%
57%
7,000
53%
5,000
47%
44%
45%
57%
한국영화
43%
외국영화
48%
43%
39%
3,000
Korea film
1,000
30%
-1,000
2007
2008
2009
2010
2011
2012
2013
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전체영화
2014
2015
2015 BOX OFFICE
Review FY2015 The third-quarter primary film (Domestic)
BEST 10 FILM
Quarter
Most Expected Titles
Attendance
1. Veteran
1340
C
2. Assassination
1270
S
3. Mission impossible
S
C
L
N
(10 Thousand)
613
<2015 Korea Domestic Distributor M/S>
: -rogue nation
The third
quarter
SHOWBOX
CJ E&M
LOTTE
NEW
- 2015 3Q / the basic date : 20151012
4. The Throne
601
5. Inside out
497
6. Northern limit line
481
7. Terminator Genisys
324
8. Ant-Man
284
9. Maze runner
272
S
N
SHOWBOX 2 movies
19million viewers
CJ E&M
4 movies
17million viewers
LOTTE
4 movies
10million viewers
NEW
3 movies
7million viewers
(※ Foreign Distributors was ruled out)
Source: Korean Film Council, Showbox
: The Scorch Trials
10. Minions
263
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© 2015 SHOWBOX Corp.
2015 SHOWBOX Line-up
Release
Date
Movie Title(Director)
Actor
Sort
Formality of
Investment
January
<Gangnam1970> YU-Ha
LEE Min-ho, KIM Lae-won
Korean film’s
Main
February
<Detective K : Secret of the Lost
lsland> KIM Sok-yun
KIM Myeong-min, OH Dal-su,
LEE Yeon-hee
Korean film’s
Main
June
<The classified file>
KWAK Kyung-taek
KIM Yoon-seok, YU Hae-jin
Korean film’s
Main
July
<Assassination>
CHOI Dong-hoon
HA Jung-woo, LEE Jeong-jae,
JEON Ji-hyun
Korean film’s
Main
September
<The Throne>
LEE Joon-ik
SONG Kang-ho, YOO A-in,
MOON Geun-young
Korean film’s
Main
October
<Adeline>Lee Toland Krieger
Blake Lively, Harrison Ford
Foreign film’s
Distribution
trust
October
<Summer snow>
JEON Yun-su
KIM Sung-kyun, SUNG Yu-ri,
JI Jin-hee
Korean film’s
Main
November
<Inside Men>
Woo Min-ho
LEE Byeong-heon , JO Seung-woo
Korean film’s
Main
Source: Korean Film Council
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© 2015 SHOWBOX Corp.
SHOWBOX Global Business
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© 2015 SHOWBOX Corp.
SHOWBOX IN CHINA (北京秀博思文化发展有限公司)
An exclusive contract 3 Year deal
<Pre-production>
100% -Owned
Subsidiary
SHOWBOX
CHINA
<Production>
Local Chinese
Productions
Product
Min 6 + α
Planning &
scenario
development
Showbox
China project
KOREA
items
Marketing &
Distribution
Main
Investment
Partial
Investment
scenario
Major Chinese
Film maker
(Huayi Brothers)
Initial R&D
Cost
SHOWBOX
KOREA(HQ)
SHOWBOX CHINA Step
+500
1 strategy
Movie planning and development company specializing in China
Showbox boasts a pool of around 500 new scenarios a year
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© 2015 SHOWBOX Corp.
SHOWBOX/BLUMHOUSE & IVANHOE PARTNERSHIP
SHOWBOX
Development
Production
Marketing
Distribution
Production
know-how
Blum house
100%
Investment
Ivanhoe
picture
Micro budget
Genre film
Genre:
Thriller, Horror
Contract term : Five year / Six korean films
showbox
In charge
Korean film
Development
①
Blum house
In charge
Korea film
Production /
Release
Remark
Picking out micro budget genre film & capable development
 Blumhouse, showbox and Ivanhoe will co-develop and
produce a minimum of six horror and thriller films
during the next five years

We expect learning effect that film planning &
development learn knowhow of blumhouse
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U.S film
development
②
U.S film
Production /
Release
Establish a bridgehead for Glover film market
 U.S film will remark production/investment

Blum house & Ivanhoe picked up potential
Business in U.S film market
© 2015 SHOWBOX Corp.
2015 GLOBAL BUSINESS PARTNER INTRODUCTION
BLUM HOUSE PRODUCTIONS
Blum house’s film division is specializes in micro-budget genre movies

Blumhouse’s model began with the original “Paranormal Activity,” which was made for $15,000 and
grossed close to $200 million worldwide, making it the most profitable film in Hollywood history.
<Filmography>
Paranormal Activity
Insidious
IVANHOE PICTURE
Ivanhoe picture is established film / tv investment in 2013

Ivanhoe is a production/financing company focused on the North American and Asian markets and recently
has co-produced and co-financed a slate of Asian films with Fox International productions.

Blumhouse & ivanhoe and Phantom Films is contract 5 year deal / India genre film made
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© 2015 SHOWBOX Corp.
Revenue distribute structure
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© 2015 SHOWBOX Corp.
BUSINESS STRUCTURE
Main Market
Theater
50%
50%
50%
50%
Share of the ticket
revenue
The interior
Copyright
The oversee
Copyright
Box Office
Source
Stage1
Sub Market
Distributor
Platform
MG / RS
(IP TV, VOD)
Distribution fee of
around 10% is deducted
Stage2
The cost of
remaining revenue
used for production
And Marketing are
recouped
Main Investors for movies
Sales/Cost recognition
60% of the net profit is
distributed to each investor
Stage3
Profit share
40% of the net profit
is distributed to
productor
Investors
Productiors
(60%)
(40%)
(Equity investment)
Main Investors
Sub Investors
Sub Investors
19
Sub Investors
© 2015 SHOWBOX Corp.
Thank you.
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© 2015 SHOWBOX Corp.