United Internet Ag · XETR:UTDI

United Internet — FY2014 Earnings Presentation

27 slides from United Internet's earnings presentation, Mar 26, 2015

  1. Slide 1: Fiscal Year 2014 & Outlook 2015

    Fiscal Year 2014 & Outlook 2015

  2. Slide 2: Agenda

    Agenda Ralph Dommermuth Company development 2014 Outlook 2015 Norbert Lang Results 2014 2 Fiscal Year 2014 & Outlook 2015 Frankfurt/Main, 26 March 2015

  3. Slide 3: Company development 2009-2014

    Company development 2009 2014

  4. Slide 4: Highlights 2014

    Highlights 2014  Strong customer growth: 14.78 million (+1.33 m contracts, thereof 0.42 m from the acquisition of Versatel)  Investment in Rocket Internet (8.18 % as of year-end 2014)  Strong financial figures 2013 2014 + / - vs. 2013 Sales € 2.656 bn € 3.065 bn + 15.4 % EBITDA € 406.9 m € 551.5

  5. Slide 5: 2 segments: Access and Applications

    2 segments: Access and Applications ACCESS APPLICATIONS Motivated team  7,800 employees, of which approx. Networks 2,500 in product management, Content development and data centers Sales strength  Approx. 3.2 million contracts p. a.  50,000 registrations for free services every day Operational ex

  6. Slide 6: Brands and investments

    Brands and investments Consumer Access Business Consumer Applications Business Partners 48.65% 30.02% 28.36% 25.10% 30.36% Listed investments 14.96% 10.50% 8.18% Stock value at year-end 2014: € 669 m 6 Fiscal Year 2014 & Outlook 2015 Frankfurt/Main, 26 March 2015

  7. Slide 7: "Access" in fiscal year 2014

    “Access” in fiscal year 2014 ACCESS APPLICATIONS Mobiles DSL Mobiles DSL DSL Consumer Business DSL Consumer Business Internet Internet Access Access Applications Applications 7 Fiscal Year 2014 & Outlook 2015 Frankfurt/Main, 26 March 2015

  8. Slide 8: Consumer Access: 6.79 million customer contracts

    Consumer Access: 6.79 million customer contracts  Largest alternative German DSL provider with 4.19 million DSL connections  2.60 million customer contracts for mobile internet 8 Fiscal Year 2014 & Outlook 2015 Frankfurt/Main, 26 March 2015

  9. Slide 9: Business Access via Versatel

    Business Access via Versatel  Acquisition of Versatel on October 1, 2014  Purchase price: € 593 m in cash; in addition repayment of net bank liabilities of € 377 m  Second-largest German fiber network, approx. 39,000 km – 226 German cities – of which 19 of the 25 largest cities  420,000 DSL cust

  10. Slide 10: Access: customer and sales growth

    Access: customer and sales growth Customer contracts Sales (in million) (acc. to IFRS in € million) Versatel DSL Versatel 1&1 DSL previous business areas Mobile Internet +1.25 +346.8 (+19.4%) 6.79 0.42 2,135.1 5.54 130.6 3.77 3.56 2,004.5 1,788.3 2.60 1.98 31.12.2013 31.12.2014 2013 2014  + 620,000

  11. Slide 11: Access: EBITDA and EBIT

    Access: EBITDA and EBIT EBITDA EBIT (acc. to IFRS in € million) (acc. to IFRS in € million) Versatel Versatel previous business fields previous business fields +85.4 (+34.8%) +50.4 330.8 (+23.2%) 33.3 267.8 0.9 297.5 266.9 245.4 217.4 2013 2014* 2013 2014*  € 33.3 m Versatel EBITDA in Q4 2014  € 0

  12. Slide 12: "Applications" in fiscal year 2014

    “Applications” in fiscal year 2014 ACCESS APPLICATIONS Mobiles DSL Mobiles DSL DSL Consumer Business DSL Consumer Business Internet Internet Access Access Applications Applications 12 Fiscal Year 2014 & Outlook 2015 Frankfurt/Main, 26 March 2015

  13. Slide 13: Consumer Applications: from e-mail service to command center

    Consumer Applications: from e-mail service to command center for communication, information and identity management Communication De-Mail and organization legally secure e-mail, calendar, communication and contacts, SMS, fax identity management Online office Online storage texts, spreadsheets, for p

  14. Slide 14: Business Applications: from webhoster to e-business solutions provider

    Business Applications: from webhoster to e-business solutions provider Website design SEO tools Sector content E-mail marketing Business apps Local listings Mobile conversion Display advertising E-shops Payment solutions 14 Fiscal Year 2014 & Outlook 2015 Frankfurt/Main, 26 March 2015

  15. Slide 15: Applications: consumer and business contracts

    Applications: consumer and business contracts Consumer Applications Business Applications (contracts in million) (contracts in million) Accounts with Value Added subscription 1&1 MyWebsite Accounts with Premium Mail subscription Domains, webhosting, servers, eShops, tools 0.00 +0.08 2.18 2.18 5.73 5

  16. Slide 16: Applications: contract and sales growth

    Applications: contract and sales growth Customer contracts, total Sales (in million) (acc. to IFRS in € million) Abroad Domestic +62.4 +0.08 (+7.2%) 7.91 7.99 929.4 867.0 3.36 +0.03 3.39 4.55 +0.05 4.60 31.12.2013 31.12.2014 2013 2014 16 Fiscal Year 2014 & Outlook 2015 Frankfurt/Main, 26 March 2015

  17. Slide 17: Applications: EBITDA and EBIT

    Applications: EBITDA and EBIT EBITDA EBIT (acc. to IFRS in € million) (acc. to IFRS € million) +59.9 (+35.5%) +68.8 (+67.4%) 228.6 170.9 168.7 102.1 2013 2014 2013 2014  Lower start-up costs in the new business fields (MyWebsite, De-Mail) and initiatives (E-mail made in Germany): € 47.6 m in 2014 a

  18. Slide 18: Outlook

    Outlook 2015

  19. Slide 19: Guidance 2015: further growth in customers, sales and earnings

    Guidance 2015: further growth in customers, sales and earnings  approx. 800,000 new contracts  approx. 20 % sales growth  approx. 40 % EBITDA growth 19 Fiscal Year 2014 & Outlook 2015 Frankfurt/Main, 26 March 2015

  20. Slide 20: Results 2009-2014

    Results 2009 2014

  21. Slide 21: Consolidated sales and earnings development

    Consolidated sales and earnings development (acc. to IFRS in € million) 2013 2014* Sales 2,655.7 3,065.0  + 15.4 % EBITDA from the established business fields 514.8 599.1  + 16.4 % Start-up costs in the new business fields (Opex) -107.9 -47.6  – 56.3 % EBITDA 406.9 551.5  + 35.5 % EBIT 312.2 430

  22. Slide 22: Group: special items in fiscal year 2014

    Group: special items in fiscal year 2014 (acc. to IFRS in € million) Consolidation of One-off effect from One-off effect from Versatel Versatel acquisition portfolio optimization Sales effect + 130.6 - - EBITDA effect + 33.3 + 112.0 + 74.1 EBIT effect + 0.9 + 112.0 + 74.1 EBT effect - 0.7 + 91.9 + 7

  23. Slide 23: Group: Reconciliation of organic growth to income statement

    Group: Reconciliation of organic growth to income statement (acc. to IFRS) 2013 2014 2014 2014 organic organic organic incl. Versatel incl. Versatel and incl. one-offs €m €m +/- €m +/- €m +/- Sales 2,655.7 2,934.4 10.5% 3,065.0 15.4% 3,065.0 15.4% EBITDA 406.9 518.2 27.4% 551.5 35.5% 737.6 81.3% EBI

  24. Slide 24: Consolidated balance sheet as of 31 December 2014 (I)

    Consolidated balance sheet as of 31 December 2014 (I) (acc. to IFRS in €k) Assets 31.12.2013 31.12.2014 Comments: Property, plant and  Capex: €72.3m; D&A: €120.9m equipment / intangible 281,253 1,074,776  Increase through Versatel acquisition: assets €835.8m  Increase through Versatel acquisition

  25. Slide 25: Consolidated balance sheet as of 31 December 2014 (II)

    Consolidated balance sheet as of 31 December 2014 (II) (acc. to IFRS in €k) Liabilities and equity 31.12.2013 31.12.2014 Comments:  Equity ratio: 32.8% (PY 24.2%) Equity 307,853 1,204,729 treasury shares: € 35.3m (PY € 5.2m)  Bank liabilities (net): €1,323.2m (PY € 297.2m) Liabilities due to banks

  26. Slide 26: Consolidated cash flow as of 31 December 2014

    Consolidated cash flow as of 31 December 2014 (acc. to IFRS in €k) 2013 2014 Comments: Operative cash flow 280,130 380,563  Without capital gains tax Cash flow from operating activities 268,255 453,997 payment due to closing-date effects (€ 335.7m)  Capex: €72.3m (PY €59.9m)  €942.2m for Versatel

  27. Slide 27: Our success story continues!

    Our success story continues! 27 Fiscal Year 2014 & Outlook 2015 Frankfurt/Main, 26 March 2015

United Internet — FY2014 Earnings Presentation on 6ix