Slide 1: Q3 | 9M 2021 Results
Q3 | 9M 2021 Results Investor/Analyst Presentation 3 November 2021
Slide 2: Important Notice
Important Notice This presentation as well as any information communicated in connection therewith (the "Presentation") contains information regarding TeamViewer AG (the "Company") and its subsidiaries (the Company, together with its subsidiaries, "TeamViewer"). It is being provided for informationa
Slide 3: Business Overview
Business Overview Oliver Steil
Slide 4: Mixed 2021 – positive outlook
Mixed 2021 – positive outlook Healthy billings growth and Reconfiguration of our growth profit but still below our own initiatives and cost structure expectations Delivering on our strategy On path for further expansion regarding the Enterprise and increasing ACV business Update and details to be Br
Slide 5: Q3 2021 at a glance
Q3 2021 at a glance Financials Key developments • Q3 2021 billings growth up compared to previous quarter (Q2 2021: +15%/+18% cc 1) 9M 2021 Q3 2021 • Improving subscriber churn rate2 (14.6% LTM vs. 15.5% LTM in Q2 2021) • Significant increase of NRR in Q3 2021 to 99% after 88% in Q2 2021 – Billings
Slide 6: Churn rate stable over time and slightly improving in Q3
Churn rate stable over time and slightly improving in Q3 2021 Subscribers (thousand) & Subscriber Churn Rate1 (LTM) • Churn rate slightly improving to 14.6% in Q3 2021 • New billings of €20m in Q3 2021 despite deceleration of net new subscribers 5 628 20 623 19 603 17 584 567 15.7% 15.1% 15.0% 15.5%
Slide 7: Over 2,400 enterprise customers with billings growth up 75% yoy
Over 2,400 enterprise customers with billings growth accelerating sequentially and now up 75% yoy (LTM) Enterprise Customers (LTM)1 Enterprise Billings (€m, LTM)2 Enterprise Billings by ACV (LTM) +46% +75% €10-50k >€50k >€100k >€200k 77.8 11% 34% 48% 19% 10% 12% 2,419 44.5 13% 1,658 66% 17% 52% 30 S
Slide 8: Covering Unlimited Use Cases For All Industries
Covering Unlimited Use Cases For All Industries AR-powered remote support & training for on-site engineers to ensure high customer satisfaction & training-on-the-job. RICOH Japan – global leading Remote access & support for office devices at the customer's site imaging and electronics company to red
Slide 9: Financial Overview
Financial Overview Stefan Gaiser
Slide 10: Financial Highlights
Financial Highlights Revenue from subscription model up 24% in 9M Top Line (€m) Profitability (€m) 9M 2021 Q3 2021 9M 2021 Q3 2021 393.9 125.8 Billings Adj. EBITDA 189.3 42.3 +21% cc1 +18% cc1 (non-IFRS) (non-IFRS) +0% -27% +19% +18% Change in Change in (25.0) 1.9 (25.0) 1.9 Deferred Revenue Deferre
Slide 11: 21% cc billings growth in 9M with c. 628,000 subscribers
21% cc billings growth in 9M with c. 628,000 subscribers by 30 Sep 21 Subscriber Development (thousand, LTM) Billings by Category (€m) +21%cc +19% +11% 393.9 623 +5 628 +18%cc 332.1 1.8 567 +18% 74.3 145 0.6 172 93.5 203 125.8 106.4 0.4 0.4 19.9 317.7 451 484 28.2 238.1 364 105.4 77.9 30 Sep 20 30 J
Slide 12: Billings by regions
Billings by regions Americas and EMEA with solid performance, APAC lagging expectations AMERICAS EMEA APAC 9M 2021 Billings 9M 2021 Billings 9M 2021 Billings € 133m € 211m € 50m +17% | +23% cc +22% | +22% cc +9% | +11% cc Q3 2021 Billings Q3 2021 Billings Q3 2021 Billings € 50m € 60m € 16m +17% | +1
Slide 13: Industry-leading profitability including significant brand investments
Industry-leading profitability including significant brand investments €m Q3 2021 Q3 2020 ∆% 9M 2021 9M 2020 ∆% Billings 125.8 106.4 18% 393.9 332.1 19% Cost of sales (8.1) (9.4) (28.2) (26.3) • Adjusted gross profit margin stable -14% 7% % of billings 6.4% 8.8% 7.2% 7.9% and well above 90% Gross pr
Slide 14: Strong and improving free cash flow in Q3 2021
Strong and improving free cash flow in Q3 2021 Levered Free Cash Flow and Cash Conversion 9M 9M €m Q3 2021 Q3 2020 ∆% ∆% 2021 2020 Pre-Tax net cash from operating activities (IFRS) 51.9 57.4 -10% 157.4 185.1 -15% • Reduction of net trade receivables Income tax paid (10.3) (7.0) 47% (39.9) (24.7) 61%
Slide 15: Strong liquidity position - net leverage ratio at 1.5x
Strong liquidity position - net leverage ratio at 1.5x Adj. EBITDA (LTM) Development of cash & cash equivalents in Q3 2021 / Net Financial Liabilities at 30 Sep 2021 (€m) Cash & Cash Operating Cash & Cash Financial Net Fin. Capex M&A Paid Interest Other2 Equivalents Cash Flow1 Equivalents Liabilitie
Slide 16: Guidance
Guidance Outlook 2022 and beyond 2021 Billings High teens percentage (non-IFRS) €535m – €555m1 growth YoY Revenue Mid teens percentage (IFRS) €495m – €505m1 growth YoY Adj. EBITDA Margin (non-IFRS, as % of Billings) 44% – 46% Margin recovery 1 Assumes USD/EUR exchange rate of 1.20 and broadly stable
Slide 17: Thank you for your attention!
Thank you for your attention! 10 November Capital Markets Day
Slide 18: Appendix
6 TeamViewer Appendix
Slide 19: Q3 2021 reconciliation from management key metrics to IFRS
Q3 2021 reconciliation from management key metrics to IFRS Management view Change in Other non-IFRS Accounting view €m adjusted P&L1 deferred revenue2 D&A adjustments IFRS P&L Billings / Revenue 125.8 1.9 127.7 Cost of sales (8.1) (8.5) (0.1) (16.7) Gross profit contribution 117.7 (94% of billings)
Slide 20: 9M 2021 reconciliation from management key metrics to IFRS
9M 2021 reconciliation from management key metrics to IFRS Management view Change in Other non-IFRS Accounting view €m adjusted P&L1 deferred revenue2 D&A adjustments IFRS P&L Billings / Revenue 393.9 (25.0) 368.8 Cost of sales (28.2) (24.9) (0.5) (53.7) Gross profit contribution 365.6 / (93% of bil
Slide 21: Deferred revenue development in 9M 2021
Deferred revenue development in 9M 2021 Additions Other Release to Additions Other Release to Additions Other Release to €m 1 Jan from Addition / IFRS 31 Mar 1 Apr from Addition / IFRS 30 Jun 1 Jul from Addition / IFRS 30 Sep Billings Release Revenue Billings Release Revenue Billings Release Revenue
Slide 22: Non-IFRS adjustments in EBITDA
Non-IFRS adjustments in EBITDA €m Q3 2021 Q3 2020 9M 2021 9M 2020 Total IFRS 2 charges (11.0) (13.8) (40.8) (34.2) • M&A related and TLO share-based compensation not cash relevant TeamViewer LTIP 1.3 (0.6) (0.3) (1.0) • Other relate mainly to IT projects (incl. ERP) M&A related share-based compensat
Slide 23: Full time employees by functional area
Full time employees by functional area In FTE 30 Sep 21 31 Dec 20 ∆ 30 Sep 20 ∆ YoY Sales 31% 469 38% 648 495 Marketing 10% 97 7% 104 94 Tech Support -8% 79 -1% 78 85 R&D 13% 378 15% 436 384 G&A 22% 191 26% 240 198 Total 1,506 1,256 20% 1,213 24% 23 Q3 | 9M 2021 Results - Investor Presentation
Slide 24: Financial Statements
6 TeamViewer Financial Statements ~""
Slide 25: Profit & Loss Statement
Profit & Loss Statement € thousand Q3 2021 Q3 2020 ∆% 9M 2021 9M 2020 ∆% Revenue 127,684 117,197 9% 368,845 334,644 10% Cost of sales (16,702) (16,352) 2% (53,656) (46,637) 15% Gross profit 110,982 100,845 10% 315,189 288,006 9% Other income 127 1,504 -92% 2,187 2,025 8% Research and development (14
Slide 26: Balance Sheet
Balance Sheet € thousand 30 Sep 2021 31 Dec 2020 Non-current assets Goodwill 667,073 646,793 Intangible assets 256,839 255,330 Property, plant and equipment 44,225 40,469 Financial assets 4,480 4,516 Other assets 1,135 857 Deferred tax assets 276 159 Total non-current assets 974,029 948,124 Current
Slide 27: Balance Sheet (cont’d)
Balance Sheet (cont’d) € thousand 30 Sep 2021 31 Dec 2020 Equity Issued capital 201,071 201,071 Capital reserve 407,362 366,898 (Accumulated losses)/retained earnings (305,244) (326,854) Hedge reserve (58) (61) Foreign currency translation reserve 693 (343) Total equity attributable to shareholders
Slide 28: Cash Flow Statement
Cash Flow Statement € thousand Q3 2021 Q3 2020 9M 2021 9M 2020 Cash flows from operating activities Profit before taxation 11,026 54,437 50,562 124,130 Depreciation, amortisation and impairment of non-current assets 13,040 10,319 37,661 29,641 Increase/(decrease) in provisions 6 841 (134) (137) Non-
Slide 29: Cash Flow Statement (cont’d)
Cash Flow Statement (cont’d) € thousand Q3 2021 Q3 2020 9M 2021 9M 2020 Cash flows from financing activities Repayments of borrowings 0 (38,987) (52,730) (38,987) Proceeds from borrowings 0 0 400,000 0 Payments for the capital element of lease liabilities (1,027) (1,602) (4,647) (3,358) Interest pai