Sto Se & Co. Kgaa Vorz-inhaber-akt Ohne Stimmrecht · XETR:STO3
Sto Se & Co. Kgaa Vorz-inhaber-akt Ohne Stimmrecht — Sto SE & Co. KGaA — Q3 2024 Earnings Presentation
33 slides from Sto Se & Co. Kgaa Vorz-inhaber-akt Ohne Stimmrecht's earnings presentation, Nov 13, 2024
Slide 1: Value Creation through DOoH
Value Creation through DOoH November 13, 2024 | Ströer SE & Co. KGaA
Slide 2: Agenda
Agenda Group Update 1 Financials 2 Outlook 3 2
Slide 3: Q3 2024 Market Dynamics: (D)OoH outperforming the Ad Market
Q3 2024 Market Dynamics: (D)OoH outperforming the Ad Market German Ad Market with positive Momentum in the third Quarter Global Points of Reference Local German Peers Ströer Reported Net Revenues Organic Net Revenues German Alphabet (2) Desktop/Mobile (4) Ströer DOoH Ad Market (4) +15% -3% +4% +24%
Slide 4: Results 9M 2024: Strong Margin Extension and Cash Conversion
Results 9M 2024 Strong Margin Extension and Cash Conversion m€ 9M 2023 9M 2024 ▲ Reported growth 1,348.3 1,460.9 +8% Revenues Organic growth(1) +7.9% +7.8% -0.1%pts EBITDA (adjusted) 374.6 419.8 +12% EBIT (adjusted) 157.7 192.2 +22% Net income (adjusted)(2) 78.5 96.2 +22% Free Cash Flow (adjusted) -
Slide 5: Accelerating DOoH-Momentum in normalising Market
Accelerating DOoH-Momentum in “normalising Market”! Quarterly & LTM Development biased by Macro Environment for almost 4 Years Drop of pre-pandemic LTM by ~35% to low-point during pandemic; since then, DOoH trippled m€ Quarterly DOoH revenue Pandemic & lockdowns Ukraine war, ad market crisis, tobacc
Slide 6: Programmatic drives digital Out-of-Home
Programmatic drives digital Out-of-Home Industry Forecasts expect unchanged Momentum going forward Skala entfernen? Mio. Euro DOoH Non-programmatic DOoH programmatic 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 Net advertising revenues Out of Home in
Slide 7: Linear TV is experiencing a sustained Reduction in Viewing Time
Linear TV is experiencing a sustained Reduction in Viewing Time Massive Upside for DOoH (Public Video) based on Advertiser Challenges TV Viewing time in minutes/day 238 238 Adults 14+ 235 235 215 200 150 142 Young target groups in particular are Adults 14-29 turning their backs on linear TV 100 73 5
Slide 8: DOoH Portfolio: Strong Audience Coverage after a Decade of Investing
DOoH Portfolio Strong Audience Coverage after a Decade of Investing ~46,500 in > 200 902 Infoscreen screens ~70% net reach screens cities 2,399 Station screens 2,381 Mall screens per month 45 Mio. 13 billion UU/month contacts/month 1,042 Roadside screens 606 City screens 374 City Tower screens 77 Gi
Slide 9: DOoH Supply @Ströer
DOoH Supply @Ströer up to 71 m² >9 m² up to < 2 m² 5 m² up to 64 m² Large portfolio of screens in different sizes up to >70m² Scene Infoscreen Roadside Giant Train Station Touchpoints from highly Cinema Mall, City, City Retail Tower frequented locations to special interest touchpoints 9
Slide 10: DOoH Premium Screens
DOoH Premium Screens Covering all relevant high Frequency Touchpoints Infoscreen Station Mall Giant Indoor Roadside City Tower City Giant Outdoor 10
Slide 11: Available through all relevant DSPs
Available through all relevant DSPs Full Access to digital programmatic Demand Status 04.10.2024 11
Slide 12: Ströer Data and Analytics Tool Set
Ströer Data and Analytics Tool Set The Base for successful Development – DOoH, OoH, Online Media Advertiser / Custom 12
Slide 13: How does DOoH Audience Targeting work?
How does DOoH Audience Targeting work? DOoH (Public Video) is a one-to- many medium. Therefore, an above-average concentration of the target group at the location is crucial for audience targeting and not the individual person in front of the screen. 1. Identification of target groups using audience
Slide 14: Video Solutions
High Video Audience Impact Solutions Solutions Solutions Content Social Retail Solutions Solutions Solutions Sustain- Real- ROI ability Time Solutions Solutions Solutions 14
Slide 15: Video Solutions: Reaching Target Groups that TV can't cover
Video Solutions Reaching Target Groups that TV can‘t cover Challenge Solution Results Potential TV infrequent viewers Case: Ad recall: Potential derivation are individuals who Bayer Priorin | TV Boost +11ppt German TV Market rarely watch linear TV. 16.5 bn TV Spendings Supported brand in 202
Slide 16: Audience Solutions: More Efficiency in catching the right Target Group
Audience Solutions More Efficiency in catching the right Target Group Challenge Solution Results Potential Just like in online media, Case: Audience uplift: 2.7x Potential derivation via identifying target groups Unilever Veggie FMCG through audience data is becoming increasingly 6.8 bn spendi
Slide 17: Retail Solutions: A Power Shift at the Point of Sale
Retail Solutions A Power Shift at the Point of Sale Challenge Solution Results Potential Guide customers to the Case: Store visit uplift 5.1 bn spendings point of sale, boosting in- Food Discounter between +96 and 2023 in Retail sector store traffic and sales. 111% (two different in the German m
Slide 18: Strategic Acquisition of RBL Media further strengthens OoH
Strategic Acquisition of RBL Media further strengthens OoH Logical step in Ströer’s strategy of continuous and targeted expansion of our high-reach digital OoH (DOoH) advertising portfolio. Significant expansion and addition to our core OoH business in Leipzig, Essen, Dortmund, Aachen, Münster a
Slide 19: Communal Advertising Rights robust and stable
Communal Advertising Rights robust and stable Development of Top 22 Cities (Ströer with ~ 1,300 Municipality Concessions) Active municipal marketing rights | City overview from 300,000 inhabitants 1 Berlin 3,664 - - - - - - - - - - - 2 Hamburg 1,852 3 Munich 1,488 4 Cologne 1,083 5 Frankfurt a.M. 76
Slide 20: Agenda
Agenda Group Update 1 Financials 2 Outlook 3 20
Slide 21: Profit and Loss Statement Q3 2024
Profit and Loss Statement Q3 2024 m€ Q3 2023 Q3 2024 ▲ Revenues 483.6 495.9 +3% Organic growth +9.0% +3.3% -5.7%pts EBITDA (adjusted) 147.5 156.5 +6% Exceptional items 0.3 -3.6 n/a EBITDA 147.7 152.9 +3% Depreciation & Amortization(1) -78.6 -80.6 -3% EBIT 69.2 72.3 +4% Financial result(1) -19.8 -18.
Slide 22: Free Cash Flow Perspective Q3 & 9M 2024
Free Cash Flow Perspective Q3 & 9M 2024 Q3 9M Comment m€ 2023 2024 2023 2024 Free Cash Flow (adj.) positive and significantly improved in EBITDA (adjusted) 147.5 156.5 374.6 419.8 Q3 and 9M especially due to higher earnings contribution, - Exceptional items 0.3 -3.6 -4.0 -11.8 continued Working Ca
Slide 23: Segment Perspective – OoH Media
Segment Perspective – OoH Media Q3 9M m€ 2023 2024 ▲ 2023 2024 ▲ Segment revenue, thereof 217.0 236.5 +9.0% 575.2 660.8 +14.9% Classic OoH 127.3 130.6 +2.6% 340.4 381.4 +12.0% Digital OoH 74.7 92.9 +24.4% 190.0 241.6 +27.2% OoH Services 15.1 13.0 -13.7% 44.8 37.8 -15.7% EBITDA (adjusted) 101.6 115.4
Slide 24: Segment Perspective – Digital & Dialog Media
Segment Perspective – Digital & Dialog Media Q3 9M m€ 2023 2024 ▲ 2023 2024 ▲ Segment revenue, thereof 207.6 212.3 +2.3% 579.3 631.0 +8.9% Digital 106.2 112.4 +5.8% 287.6 315.9 +9.8% Dialog 101.4 99.9 -1.5% 291.8 315.2 +8.0% EBITDA (adjusted) 38.1 36.8 -3.3% 102.0 105.4 +3.4% EBITDA margin (adjusted
Slide 25: Segment Perspective – DaaS & E-Commerce
Segment Perspective – DaaS & E-Commerce Q3 9M m€ 2023 2024 ▲ 2023 2024 ▲ Segment revenue, thereof 90.4 85.5 -5.5% 261.6 263.0 +0.5% Data as a Service 36.0 40.7 +13.1% 111.5 120.5 +8.1% E-Commerce 54.4 44.7 -17.7% 150.1 142.5 -5.0% EBITDA (adjusted) 14.8 11.3 -23.6% 42.0 32.4 -22.8% EBITDA margin (ad
Slide 26: Agenda
Agenda Group Update 1 Financials 2 Outlook 3 26
Slide 27: Outlook
Outlook For Q4 2024, we expect revenue developments as follows: OoH up in a high single digit percentage range, driven by on-going strong DOoH momentum Digital & Dialog should increase in a mid-single digit percentage range DaaS & E-Commerce should accelerate driven by Statista Our full-year g
Slide 28: Financial Calendar 2024 / 2025
Financial Calendar 2024 / 2025 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 November 11 Publication of August 13 Q3 Quarterly Statement Publication of May 8 Q2 / H1 Statement March 6 Publication of November 13 Publication of Q1 Quarterly Statement Publication of Preliminary Figures 2024 Q3 Quarterly Stat
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Slide 30: Disclaimer
Disclaimer This presentation contains “forward looking statements” regarding Ströer SE & Co. KGaA (“Ströer”) or the Ströer Group, including opinions, estimates and projections regarding Ströer’s or the Ströer Group’s financial position, business strategy, plans and objectives of management and futur
Slide 31: BACKUP
MILA == Pees Pere
Slide 32: YTD 2024 Market Dynamics: (D)OoH outperforming the Ad Market
YTD 2024 Market Dynamics: (D)OoH outperforming the Ad Market German Ad Market with positive Momentum Global Points of Reference Local German Peers Ströer Reported Net Revenues Reported Net Revenues German Alphabet (2) Desktop/Mobile (4) Ströer DOoH Ad Market (4) +15% +5% +8% +27% Youtube (2) TV Germ
Slide 33: Profit and Loss Statement 9M 2024
Profit and Loss Statement 9M 2024 m€ 9M 2023 9M 2024 ▲ Revenues 1,348.3 1,460.9 +8% Organic growth +7.9% +7.8% -0.1%pts EBITDA (adjusted) 374.6 419.8 +12% Exceptional items -4.0 -11.8 >-100% EBITDA 370.7 408.0 +10% Depreciation & Amortization(1) -231.2 -237.2 -3% EBIT 139.4 170.8 +23% Financial resu