Alma Media Oyj · OMXHEX:ALMA
Alma Media Oyj — Q1 2012 Earnings Presentation
29 slides from Alma Media Oyj's earnings presentation, Apr 27, 2012
Slide 1: Alma Media Q1 2012
Alma Media Q1 2012 Kai Telanne, President and CEO Tuomas Itkonen, CFO April 27, 2012 1 27.4.2012
Slide 2: Agenda
Agenda • Q1 2012 in a nutshell • Key strategic projects • Market development in Finland • Financial development and outlook 2 27.4.2012
Slide 3: Q1 2012 in a nutshell
Q1 2012 in a nutshell • Total advertising market increased only by 1.4%. • Competitive situation in online services for home sales changed. • Revenue increased by acquisitions made, digital business accounted for nearly a quarter of revenue. • EBITDA excl. non-recurring items was MEUR 11.6 (11.6). •
Slide 4: Revenue grew thanks to acquisitions
Revenue grew thanks to acquisitions Revenue, MEUR EBIT, MEUR IFRS IFRS -0,2% +5,2% -8,1% -9,1% 90 14 0,4 80 82,7 12 81,3 81,1 12,0 70 77,1 75,1 11,5 10 10,1 60 8 9,3 8,5 50 6 40 4 30 2 20 0 10 -0,3 -0,5 -0,5 -2 0 -2,5 -4 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Onetime items 4 27.
Slide 5: Digital business is growing
Digital business is growing % 30.0 25.0 24.0 20.0 18.0 15.7 15.0 12.9 13.1 10.9 10.0 8.8 5.8 5.0 0.0 2005 2006 2007 2008 2009 2010 2011 Q1 12 The share tuotteiden Digitaalisten of digital ja products andosuus palveluiden services of the total revenue, % liikevaihdosta 5 27.4.2012
Slide 6: Recruitment service business is internationalising
Recruitment service business is internationalising CV Online — The leading in Baltic countries — Revenue MEUR 2.0 in 2011 — Appr. 34 employees LMC — The leading in Czech Republic — Revenue MEUR 16.5 in 2011 — Appr. 200 employees 6 27.4.2012
Slide 7: Significant rationalisation measures initiated
Significant rationalisation measures initiated • Structural change and transformation of the media industry accelerated in the beginning of 2012. • Four significant change projects including impacts on employees initiated since the beginning of the year. • Alma Media aims to reorganise and rationali
Slide 8: Market development in Finland
Market development in Finland 8 27.4.2012
Slide 9: Advertising sales change Q1 / 2012
Advertising sales change Q1 / 2012 Cumulative development (Change-% versus previous year) Q1 15 Change, % 2012 10 Newspapers -1,3 total 5 Magazines -1,7 Change% 0 Television 4,5 -5 Radio 4,5 -10 Internet 13,7 -15 JAN FEB MARCH APRIL MAY JUNE JULY AUG SEP OCT NOV DEC TOTAL 1,4 2011 2012 Source: TNS M
Slide 10: Advertising by branch Q1 / 2012
Advertising by branch Q1 / 2012 Total market; change from Q1 2011 Advertising in Q1 12 MEUR Retail 3,7 % Retail 58 Motor v. -2,9 % Motor vehicles 30 Food & bev. 4,3 % Food & beverages 26 Recru -8,8 % Recruiting 15 Houses 8,8 % Houses and premises 13 Tourism -0,9 % Tourism and traffic 11 Entert 11,0
Slide 11: Advertising by branch Q1 / 2012
Advertising by branch Q1 / 2012 Newspapers total*, change from Q1 2011 Advertising in Q1 12 MEUR Retail 2,0 % Retail 41 Motor v. -6,8 % Motor vehicles 15 Houses 13,8 % Houses and premises 9 Recru -17,5 % Recruiting 8 Tourism 1,0 % Tourism and traffic 4 Entert -0,1 % Entertainment 4 Food & bev. 73,8
Slide 12: Financial development and outlook
Financial development and outlook 12 27.4.2012
Slide 13: Revenue grew, operating profit decreased
Revenue grew, operating profit decreased Revenue, MEUR EBIT, MEUR IFRS IFRS -0,2% +5,2% -8,1% -9,1% 90 14 0,4 80 82,7 12 81,3 81,1 12,0 70 77,1 75,1 11,5 10 10,1 60 8 9,3 8,5 50 6 40 4 30 2 20 0 10 -0,3 -0,5 -0,5 -2 0 -2,5 -4 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Onetime items
Slide 14: Advertising sales grew due to the acquisitions made
Advertising sales grew due to the acquisitions made IFRS Circulation sales, MEUR Advertising sales, MEUR 0,5 5,0 0,4 +9,0% 0,3 -1,5% -0,5% 4,0 -1,1% 0,2 3,0 0,1 0,0 2,0 -0,1 -0,2 1,0 -0,3 -0,4 0,0 -0,5 -0,6 -1,0 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 14 27.4.2012
Slide 15: Newspapers segment Q1
Newspapers segment Q1 Newspapers, revenue and EBIT, • Advertising sales decreased by 3.8% MEUR & % (+4.0%) to MEUR 24.2 (25.2). Without onetime items • Advertising sales in print media 65,0 -2,5% -2,1% 30 % declined by 5.1% (+1.9%). 55,0 • Online advertising sales grew by 55,8 25 % 53,0 51,9 7.9% (2
Slide 16: Kauppalehti Group Q1
Kauppalehti Group Q1 Kauppalehti-group, revenue and • Advertising sales declined by 3.3% EBIT, MEUR & % (1.8%) to MEUR 4.0 (4.1). Without onetime items • Online advertising sales increased 17,0 -5,7% +3,0% 30 % by 6.4% (1.5%). 15,0 • Circulation revenue remained at the 15,2 14,3 25 % 13,0 13,9 last
Slide 17: Digital Consumer Services Q1
Digital Consumer Services Q1 Digital Consumer Services, • The new segment consists of: revenue and EBIT MEUR & % — Marketplaces Without onetime items — Digital consumer services 16,0 +0,1% +43,5% 30 % previously reported in 14,9 14,0 Newspapers and Other 25 % operations segments. 12,0 20 % • Revenue
Slide 18: Other operations Q1
Other operations Q1 • Revenue grew to MEUR 21.0, of which Other, revenue and EBIT MEUR MEUR 1.6 (1.4) generated by external Without onetime items customers. • Total expenses excl. non-recurring +5,5% +10,1% 25,0 items were MEUR 22.1 (19.2). 20,0 21,0 • Delivery area expanded to Lapland, 19,1 20,2 pr
Slide 19: Cash flow from operating activities
Cash flow from operating activities IFRS 30,0 25,0 20,0 12,0 15,0 12,3 MEUR 10,0 20,3 27,5 22,4 12,3 12,0 5,0 0,0 -5,0 -10,0 Q3 09 Q4 09 Q1 10 Q2 10 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Tax return and final withholding tax 19 27.4.2012
Slide 20: Cash flow and investments
Cash flow and investments IFRS 40 10,0 5,0 2,1 30 -0,9 3,8 28,8 0,0 27,5 20 -5,0 -10,0 10 12,0 -15,0 MEUR MEUR -20,0 0 -25,0 -10 -30,0 -35,0 -38,4 -20 -22,6 -40,0 -30 -45,0 Q1 11 Q1 12 Q1 11 Q1 12 From operating activities Gross investments Before financing activities Proceeds from sales of assets 2
Slide 21: Net debt
Net debt IFRS 50 40 42,2 30 20 MEUR 10 0,0 0 -7,9 -8,5 -10 -12,4 -20 -30 -32,3 -40 Q3 09 Q4 09 Q1 10 Q2 10 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 21 27.4.2012
Slide 22: Key ratios
Key ratios IFRS Equity ratio, % Gearing, % 60 70 60 50 60,2 48,6 50 40 40 30 30 33,9 20 20 10 0 10 -11,4 -10 0 -20 Q1 11 Q1 12 Q1 11 Q1 12 22 27.4.2012
Slide 23: Key ratios
Key ratios IFRS ROE, % ROI, % 40 35 35 30 31,1 33,5 30 25 25 20 19,0 *) 20 15 15 13,8 10 10 10,1 5 5 0 0 Q1 2011 Q1 2012 Q1 2011 Q1 2012 *) ROI without impairment losses Q1 2012 23 27.4.2012
Slide 24: EPS and shareholders' equity per share
EPS and shareholders’ equity per share IFRS 0,10 1,0 0,09 0,90 0,89 0,9 0,08 0,03 0,8 0,23 0,18 0,06 0,7 0,09 0,6 0,04 0,07 0,5 0,02 0,4 0,67 0,70 0,00 0,3 0,00 0,2 -0,02 -0,03 0,1 -0,04 0,0 Q1 11 Q1 12 Q1 11 Q1 12 Retained earnings EPS wo onetime Onetime items Restricted equity 24 27.4.2012
Slide 25: Balance sheet
Balance sheet IFRS MEUR Q1 2012 Q1 2011 Intangibles and goodwill 88,2 41,0 Tangibles 43,3 26,6 Associated companies 34,5 34,1 Inventory 0,6 1,0 Receivables 39,4 40,6 Cash 28,5 26,8 Assets 234,6 170,0 Equity 70,1 69,4 Reserves-obligatory 0,9 0,9 Pension liabilities 2,5 2,7 Ib debt 70,7 18,9 Non-Ib de
Slide 26: Profit and loss
Profit and loss Without onetime items MEUR Q1 2012 Q1 2011 Chg Chg % Revenue 81,1 77,1 4,0 5,2 % Circulation sales 30,5 30,7 -0,2 -0,5 % Advertising sales 41,1 37,7 3,4 9,0 % Advertising sales, print 24,7 26,7 -2,0 -7,5 % Advertising sales, online 15,9 10,8 5,2 47,9 % Content and service revenue 9,6
Slide 27: Outlook for 2012
Outlook for 2012 April 27, 2012 Due to the uncertainty prevailing in the macroeconomic conditions of the Group’s main markets, it is exceptionally complicated to estimate the development of circulation and advertising revenues. Digital services are expected to further increase their share of the med
Slide 28: Upcoming events:
Upcoming events: Conference call today at 15:00 EEST Capital Markets Day on May 25, 2012 in Helsinki 28 27.4.2012
Slide 29: Thank you!
Thank you! 29 27.4.2012