Atresmedia Corporacion De Medios De Comunicacion Sa · BME:A3M

Atresmedia Corporacion De Medios De Comunicacion Sa — Atresmedia — 9M 2020 Earnings Presentation

30 slides from Atresmedia Corporacion De Medios De Comunicacion Sa's earnings presentation, Oct 22, 2020

  1. Slide 1: 9M 20 Results

    9M 20 Results October 22nd, 2020 www.atresmediacorporacion.com “We believe in the power of reflection and emotion” 9M 20 Results 1

  2. Slide 2: 9M 20 Highlights

    9M 20 Highlights  According to external sources, Total Ad market, impacted by Covid-19, decreased by -27%: Radio was down by -29%, TV near -25% and Digital -18%.  Within our Audiovisual division:  Atresmedia TV maintained market share in yoy basis (42%) and reached 26.1% audience share in Total

  3. Slide 3: 9M 20 Financial Summary

    1 9M 20 Financial Summary 9M 20 Results 3

  4. Slide 4: Atresmedia P&L

    Atresmedia 9M 20 Results in € mill: P&L 9M 20 9M 19 YoY Net Revenues << 580.1 723.7 -19.8% OPEX 507.0 597.3 <<<<<<<<<<<<<<<<< -15.1% EBITDA 73.1 126.4 -42.1% EBITDA Margin <<< 12.6% 17.5% EBIT 58.8 111.8 -47.4% EBIT Margin 10.1% 15.4% Net profit 39.9 80.3 -50.3% Net profit Margin 6.9% 11.1% Source:

  5. Slide 5: Atresmedia: Net revenues by segment

    Atresmedia: Net revenues by segment  Total Net Revenues stood at €580.1 mill, -19.8% yoy  Audiovisual revenues were €542.4 mill (-19.2% yoy)  Radio revenues totaled €44.6 mill (-24.6% yoy) Net Revenues -19.8% In € mill -19.2% 724 672 581 542 -24.6% 59 45 9M 19 9M 20 9M 19 9M 20 9M 19 9M 20 Total

  6. Slide 6: Atresmedia: Total revenue

    Atresmedia: Total revenue  Total revenue mostly affected by Covid-19’s impact in the ad market In € mill Total revenue yoy breakdown 724 +10 581 -127 -2 -10 -14 9M 19 Total TV NAR Digital NAR Content Others Radio 9M 20 Total Rev Rev Audiovisual Source: Atresmedia’s financial statements Eliminations

  7. Slide 7: Atresmedia: OPEX by segment

    Atresmedia: OPEX by segment  Total OPEX was €507.0 million, -15.1% yoy  Audiovisual expenses reached €470.3 mill (-15.3% yoy)  Radio expenses: €43.5 mill (-11.8% yoy) OPEX In € mill -15.1% -15.3% 597 555 507 470 -11.8% 49 44 9M 19 9M 20 9M 19 9M 20 9M 19 9M 20 Total Group Audiovisual Radio Source

  8. Slide 8: Atresmedia: Cash flow & Debt position

    Atresmedia: Cash flow & Debt position  Total net debt reached €180 million vs €193 million at Dec-2019  Total net debt last 12 months/EBITDA = 1.3x Cash flow Credit facilities In €mill In € mill 564 Undrawn 49% 108 Cash Drawn -25 -180 51% -9 +47 Net Debt -193 180 Total available FY19 Net Operating

  9. Slide 9: Atresmedia Audiovisual

    Atresmedia Audiovisual 9M 20 results in € mill: P&L 9M 20 9M 19 YoY Total Net Rev. 542.4 671.6 -19.2% OPEX 470.3 554.9 -15.3% EBITDA 72.1 116.6 -38.2% EBITDA Margin 13.3% 17.4% EBIT 59.7 104.1 -42.6% EBIT Margin 11.0% 15.5% Source: Atresmedia`s financial statements 9M 20 Results 9

  10. Slide 10: Audiovisual: Breakdown

    Audiovisual: Breakdown  Audiovisual Net Revenue decreased by -19.2%, due to the Covid-19 impact  OPEX down by -15.3% to offset near 2/3 of the fall in revenues Net Revenue breakdown OPEX breakdown In € mill 672 In € mill -19.2% Others 555 28 -15.3% Content 542 470 51 Digital -35.0% 18 33 98 Variab

  11. Slide 11: Atresmedia Radio

    Atresmedia Radio 9M 20 Results in € mill: P&L 9M 20 9M 19 YoY Net Revenues 44.6 59.1 -24.6% OPEX 43.5 49.3 -11.8% EBITDA 1.0 9.8 -89.4% EBITDA Margin 2.3% 16.5% EBIT -0.9 7.7 n/a EBIT Margin n/a 13.0% Source: Atresmedia’s financial statements 9M 20 Results 11

  12. Slide 12: 9M 20 Operational Summary

    2 9M 20 Operational Summary 9M 20 Results 12

  13. Slide 13: Advertising market in Spain

    Advertising market in Spain  According to internal estimates, Total Ad market fell by 27.4% yoy.  TV Ad market decreased by -24.8%, Radio -29.2% and Digital -18.1% Media Internal estimates TV -24.8% Radio -29.2% Newsp & Sunday suppl -37.7% Magazines -38.8% Outdoor -52.8% Digital -18.1% Cinema -62.

  14. Slide 14: TV Advertising market

    TV Advertising market  Q3 20: still negative but better than previous quarters Gross Total TV Advertising by quarter (yoy growth) 12% 11% 8% 9M20=-25% 6% 3% 3% 3% 4% 3% 1% 1% 2% 1% -2% -1% -3% -4% -5% -5% -9% -8% -12% FY15=+6% FY16=+6% FY17=+1% FY18=-1% FY19=-6% -50% Q115 Q215 Q315 Q415 Q116 Q216 Q

  15. Slide 15: TV Advertising market by category

    TV Advertising market by category  Negative performance at every category due to Covid-19 9M 20 TV Ad market share by category 9M 20 TV Ad market evolution TV Market = -24.8% Autos Autos -37% 12% Others* 25% Food -23% Food 11% Beauty & Hygiene -25% Telecom -4% Beverages Beauty & Finace -17% 5% Hygi

  16. Slide 16: TV Ad market: Competitive position

    TV Ad market: Competitive position  Atresmedia’s market share stood at 42% according to internal estimates Ad share positioning TV ad market Power ratio x1.6 x1.6 MSE +0.3 pp 41.8% 43% 41.5% A3M 42% Market share Other 15% 9M19 9M20 Source: Internal estimates 9M 20 Results 16

  17. Slide 17: TV viewing

    TV viewing  Total TV viewing (3h 59’) is close to all-time record  TV viewing increased in all age groups Average daily TV viewing In hours By age group 6h 22’ >65 5h 47’ 3h54’ 4h01’ 4h01’ 3h56’ 3h54’ 3h56’ 3h53’ 3h59’ 3h41’ 3h49’ 3h50’ 3h40’ 4h 57’ 45 to 64 4h 31’ 3h 59’ Ind 4+ 3h 40’ 2h 42’ 2h 4

  18. Slide 18: Television: Groups audience share

    Television: Groups audience share  Atresmedia achieved 26.1% audience share in Total Individuals and 27.7% in Commercial Target in 9M 20 Audience Share Total Individuals Aud. Share by Commercial Target In % In % 30.5 31.1 30.3 29.1 30.3 30.6 29.0 28.8 28.6 29.4 29.6 27.0 28.4 28.3 28.0 27.7 26.4 26

  19. Slide 19: Atresmedia Television: Ad revenues breakdown in 9M 20

    Atresmedia Television: Ad revenues breakdown in 9M 20  Prices are explained by the exceptionality of the ad market due to Covid-19 9M 20 Key factors Price GRPs -10% -14% Net Ad Revenue -23% Source: Internal estimates 9M 20 Results 19

  20. Slide 20: Atresmedia Digital

    Atresmedia Digital  In #9th position among most visited sites in Spain  Atresplayer Premium (Atresmedia’s SVOD) reached 289k subscribers ATRESMEDIA SITES Latam Most visited sites Ranking (Comscore) Sales 9M 20 Monthly Unique 33% 30% Programmatic users Non Video (Sept 20 Comscore) 70% Videoplayer u

  21. Slide 21: Content Production & Distribution: International

    Content Production & Distribution: International  Up to 55 mill subscribers in our international channels (x2.9 vs 2014) In mill subscribers 57 55 51 53 39 31 19 x3 9M14 9M15 9M16 9M17 9M18 9M19 9M20 * 9M20: Affected by the closure of Direct TV’s operations on Venezuela due to USA restrictions to t

  22. Slide 22: Content Production & Distribution: Cinema & Studios

    Content Production & Distribution: Cinema & Studios  Atresmedia Films accounted for 60% of total revenues generated by Spanish films in 9M 20  In Q3, Atresmedia Studios delivered its largest production to date: “La templanza” Atresmedia Cinema in 9M 20 Atresmedia Studios in 9M 20 9M 20 Results 22

  23. Slide 23: Atresmedia Radio

    Atresmedia Radio  Atresmedia Radio’s revenue fell by 25%, outperforming the Total Radio ad market (29%) Atresmedia Radio vs Radio market Revenues breakdown in 9M 20 9M 20 growth Music Radio market Revenues Local (Infoadex) -29.2% 23% 45% Revenues OPEX Talk National -24.6% 77% -11.8% 55% EBITDA +1.

  24. Slide 24: Atresmedia Radio

    Atresmedia Radio  Atresmedia Radio reached near 3.3 mill listeners/day in the last survey Listeners evolution In thousand of listeners 3,947 3,875 3,664 3,568 3,470 3,445 3,345 1,961 1,975 1,948 1,887 1,909 1,908 1,926 1,713 1,651 1,522 1,410 1,287 1,310 1,300 273 249 233 250 234 197 171 1st 18 2nd

  25. Slide 25: Back up

    Back up 9M 20 Results 25

  26. Slide 26: Atresmedia Q3 Results

    Atresmedia Q3 20 Results in € mill: P&L Q3 20 Q3 19 YoY Total Net Rev. 205.1 183.8 +11.6% OPEX 174.8 161.2 +8.4% EBITDA 30.3 22.6 +34.3% EBITDA Margin 14.8% 12.3% EBIT 25.6 17.8 +43.6% EBIT Margin 12.4% 9.7% Net profit 17.2 10.7 +60.9% Net profit Margin 8.4% 5.8% Source: Atresmedia`s financial state

  27. Slide 27: Atresmedia Audiovisual Q3 Results

    Atresmedia Audiovisual Q3 20 Results in € mill: P&L Q3 20 Q3 19 YoY Total Net Rev. 191.8 169.8 +12.9% OPEX 162.7 148.1 +9.8% EBITDA 29.1 21.7 +33.8% EBITDA Margin 15.2% 12.8% EBIT 24.9 17.6 +41.5% EBIT Margin 13.0% 10.4% Source: Atresmedia`s financial statements 9M 20 Results 27

  28. Slide 28: Television: Ad revenues breakdown in Q3 20

    Television: Ad revenues breakdown in Q3 20 Q3 20 Key factors Price GRPs 1% -2% Net Ad Revenue -1% Source: Internal estimates 9M 20 Results 28

  29. Slide 29: Atresmedia Radio Q3 Results

    Atresmedia Radio Q3 20 Results in € mill: P&L Q3 20 Q3 19 YoY Net Revenues 15.0 15.8 -5.2% OPEX 13.7 14.9 -8.2% EBITDA 1.3 0.9 +47.2% EBITDA Margin 8.5% 5.5% EBIT 0.6 0.2 +248.9% EBIT Margin 4.1% 1.1% Source: Atresmedia’s financial statements 9M 20 Results 29

  30. Slide 30: Additional information

    Additional information Investor Relations Department Phone: +34 91 623 46 14 E-mail: ir@atresmedia.com Web: www.atresmediacorporacion.com Legal Notice The information contained in this presentation has not been independently verified and is, in any case, subject to negotiation, changes and modificat

Atresmedia — 9M 2020 Earnings Presentation on 6ix