October 10, 2018 The Secretary The Secretary, SSE Limited National Stock Exchange of India Ltd . Pheeroze Jeejeebhoy Towers Exchange Plaza, 5th Floor Dalal Street, Fort Plot No- 'C' Block, G Block Mumbai - 400 001 Bandra-Kurla Complex, Sandra (E) Scrip Code: 533261 Mumbai-400051 Scrip Code: EROSMEDIA Dear Sir(s), Sub: Submission of Annual Report Pursuant to Regulation 34 of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, we are submitting herewith the Annual Report of the Company for the financial year 2017-18, including Notice (forming part of /\nnual Report) as required. The said the Annual Report was approved and adopted by members of the Company at their 24 th Annual General Meeting held on September 27, 2018. Further, it may kindly be noted that the copy of Annual Report for the year 2017-18 has also been uploaded on our website www.erosintl.com You are requested to kindly take note of the above. Thanking you, Yours faithfully, For Eros International Media Limited Abhishekh Kanoi Vice President - Company Secretary and Compliance Officer EROS INTERNATIONAL MEDIA LIMITED Corporate Office: 90 I /902, Sup1 eme Chambe1 s, Off Veer □ Desai Road, Anclheri jW), Mumbai - 400 053 Tel : +91 -22-6602 1500 Fax: +9 l-22-6602 1540 E-mc1il : eros@erosintl com • www erosintl com Regel Office: Kui lash Pla.za, 2nd Floor, Plot No 12, Off Vee,o Desai Road , Anclheri jW), Mumbai . 400 053 CIN No L99999MH l 994PLC080502 CONTENT SO ENGROSSING... EROS INTERNATIONAL MEDIA LIMITED ANNUAL REPORT 2017-18 FY2018 Highlights ` 10,100 mn ` 3,679 mn ` 2,293 mn Annual Revenue Earning Before Interest Profi t after Tax* and Tax `23.92 36.4% 22.7% Diluted EPS EBIT Margin, y-o-y PAT Margin, y-o-y expansion of 10.3% expansion of 4.9% 24 No. of Theatrical Releases *after minority interests FORWARD-LOOKING STATEMENTS Certain statements in this report concerning the future growth prospects are forward-looking statements, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. In some cases, these forward-looking statements can be identifi ed by the use of forward-look- ing terminology, including the terms “believes”, “estimates”, “forecasts”, “plans”, “prepares”, “projects”, “anticipates”, “expects”, “intends”, “may”, “will” or “should” or, in each case, their negative or other variations or comparable terminology, or by discussions of strategy, plans, objectives, goals, future events or intentions. These forward-looking statements include all matters that are not historical facts. They appear in a number of places throughout this report and include, but are not limited to, statements regarding the Company’s intentions, beliefs or current expectations concerning, among other things, the Company’s results of operations, fi nancial condition, liquidity, prospects, growth, strategies, business development, the markets in which the Company operates, expected changes in the Company’s margins, certain cost or expense items as a percentage of the Company’s revenues, the Company’s relationships with theater operators and industry participants, the Company’s ability to source fi lm content, the com- pletion or release of the Company’s fi lms and the popularity thereof, the Company’s ability to maintain and acquire rights to fi lm content, the Company’s dependence on the Indian box offi ce success of its fi lms, the Company’s ability to recoup box offi ce revenues, the Company’s ability to compete in the Indian fi lm industry, the Company’s ability to protect its intellectual property rights and its ability to respond to technological changes, the Company’s contingent liabilities, general economic and political conditions in India, including fi scal policy and regulatory changes in the Indian fi lm industry. By their nature, forward-looking statements involve known and unknown risk and uncertainty be- cause they relate to future events and circumstances. The forward-looking statements speak only as of the date they are made and are not guarantees of future performance and the actual results of the Company’s operations, fi nancial condition and liquidity, and the development of the markets and the industry in which the Company operates may differ materially from those described in, or suggested by, the forward-looking statements contained in these materials. The forward-looking statements in this report are made only as of the date hereof and the Company undertakes no obligation to update or revise any forward-looking statement, whether as a result of current or future events or otherwise, except as required by law or applicable rules. Get Immersed… REEL Overview #1 Storyboard Content So Engrossing 02 Trailer Snapshot FY2018 08 Next Show Forthcoming Film & Content Slate 14 Scripting Engrossment Executive Message 16 Directing Blockbusters Board of Directors 18 Detour to the Studio Business Profi le 22 REEL Reports #2 Post Production Analysis Management Discussion & Analysis 32 When Directors Report Directors’ Report 36 Through the Looking Glass Corporate Governance Report 71 REEL Financials #3 Small Budget Slate Standalone Financial Statements 83 Big Budget Slate Consolidated Financial Statements 127 Invite to the Premier Notice to the AGM 169 2 ANNUAL REPORT 2017-18 CORPORATE OVERVIEW | MANAGEMENT REPORT | FINANCIAL MANAGEMENT Content So Engrossing… Content so engrossing that the urge to watch more keeps on growing. On the one hand is the captivating premium content from Eros repertoire; pairing on the other hand is a multitude of viewing options – theatres, television, online, offl ine – aptly augmented by new media, burgeoning technology and enhanced connectivity. Hunting in a pair, original content and viewing choices are culminating in entertainment being consumed at a pace never witnessed and at places least expected before. EROS INTERNATIONAL MEDIA LIMITED 3 We saw entertainment becoming the new oxygen well ahead of our peers. And, prepared hard. We prepared across technologies and digital platforms, and more importantly, across a content framework that addressed the individual needs of a wide spectrum of audience classes - children, adolescents and adults; parents and grandparents; singles, committed, familywalas - nuclear as well as joint; cosmopolitan, urban, and rural; Hindi speaking ones, Telugus and Tamils; brick and mortar as well as SVoD. All along, we kept a sharp eye on the genre diversity – romance, action, suspense, comedy, period and sequels. We saw this future shaping up well in advance, drew our strategic blueprint and got going with precise execution. The future that we envisaged and prepared for in the last many years is unfolding. Right here, right now! We take pleasure in unveiling the evolving face of entertainment of tomorrow in our Annual Report 2017-18. This entertainment knows no boundaries, play to the whims of the audience, syncs with her/his current mood, accompanies her/him all the way, all the time and most importantly, is content driven. It is not always dependent on the star cast or hefty dollars spent on grand production budgets. Welcome to the era of entertainment 24x7. Welcome to the era of CONTENTainment. 4 ANNUAL REPORT 2017-18 CORPORATE OVERVIEW | MANAGEMENT REPORT | FINANCIAL MANAGEMENT EROS INTERNATIONAL MEDIA LIMITED 5 Gauri Pujari, Merchant Banker, Mumbai 6 ANNUAL REPORT 2017-18 CORPORATE OVERVIEW | MANAGEMENT REPORT | FINANCIAL MANAGEMENT Eros International Media Ltd. produces/acquires content for Eros Now, parent Eros International Plc’s OTT service EROS INTERNATIONAL MEDIA LIMITED 7 The Trailer Snapshot of the Year A Year of Amassing Content-scaling Partnerships and Film Slate QUARTER QUARTER 2017-18 1 2017-18 2 We signed a signifi cant TV syndication deal with Zee The release of Eros’ fi rst franchise fi lm, Sniff – I Spy, was Entertainment for the three forthcoming movies from our accompanied with the launch of a comic book series, slate, namely, Sarkar 3, Munna Michael, and Shubh Mangal arcade game and merchandise. Savdhaan. Newton, our political comedy-drama fi lm got selected We announced a fi rst of its kind Indo-Turkish co-production as India’s offi cial entry to the Oscars in 2018 under the deal with Pana Films, a leading fi lm studio, owned by the well language category of Best Foreign Film. -acclaimed Turkish actor Necati Sasmaz. QUARTER QUARTER 2017-18 3 2017-18 4 Eros announced its fi rst animal themed fi lm, Haathi Mere We entered into an equal joint venture parnership with the Saathi, a trilingual fi lm to be shot in Tamil, Telugu and Hindi country’s leading business house, Reliance Industries, to and deploying visual effects of a scale never seen before in invest upto ` 10 billion to produce and acquire Indian fi lms any movie pertaining to the animal fi lm genre. and digital originals across all languages. We signed a four fi lm co-production deal with Drishyam Bajrangi Bhaijaan, our 2015 blockbuster, got released Films, a reputed fi lm production house that has a knack in China and went on to gross ` 3 billion, engaging the to deliver compelling stories produced on relatively smaller Chinese audience with a soul touching cross-border story budgets. of love and compassion. 8 ANNUAL REPORT 2017-18 CORPORATE OVERVIEW | MANAGEMENT REPORT | FINANCIAL MANAGEMENT Key Performance Indicators-FY2018 REVENUE (` Million) EBIT (` Million) 3,768 16,257 3,616 3,549 3,679 14,410 14,453 2,997 11,396 10,100 REVENUE MIX (FY2018) 10.90% FY2014 FY2015 FY2016 FY2017 FY2018 FY2014 FY2015 FY2016 FY2017 FY2018 42.80% PROFIT AFTER TAX (`