One Media Ip Group Plc · LSE:OMIP
One Media Ip — FY2021 Earnings Presentation
22 slides from One Media Ip's earnings presentation, April 2022
Slide 1: A Sound Investment
A digital music rights acquirer, publisher and distributor A Sound Investment FY 2021 Results: Double-digit earnings growth and investment into complementary Group platforms April 2022 LON:OMIP
Slide 2: Contents
Contents 1. Overview 2. Financial results 3. Operational update 4. Outlook & conclusion
Slide 3: 1. Overview
1. Overview
Slide 4: Proven management team with deep industry expertise
Proven management team with deep industry expertise Founder & Chief Executive Officer: Michael Infante • +30 years’ music industry experience • Exec Producer for Royal Philharmonic Orchestra’s largest recording project for over 140 classical albums Chairman: Claire Blunt • Co-founder of Air Music &
Slide 5: OMIP: Strategy & company overview
OMIP: Strategy & company overview Owner, publisher and distributor of music copyrights, actively monetised delivering proven income streams • Majority of revenues from royalties collected from use of content internationally: > 600 digital stores & 200 territories • Focus on mature compositions with
Slide 6: Music Monetisation - Follow the Money
Music Monetisation - Follow the Money RIGHTS HOLDERS THE WRITER THE PERFORMER THE RECORD LABEL • The creator of the composition, writing • Entitled to a royalty paid subject to the • A collective of music recordings the lyrics and/or composing the tune to contract with their record label and, perfor
Slide 7: We don't just buy: we create, monitor and monetise
We don’t just buy: we create, monitor and monetise Unlike other pure acquisition funds, OMiP actively sweats content to maximise its potential and income delivery All new content is immediately digitally analysed to ensure its metadata is correct across over 80 recognised categories Team of expert C
Slide 8: 2. Financial Results
2. Financial Results *
Slide 9: FY 2021: Results summary
FY 2021: Results summary REVENUE OPERATING PROFIT EBITDA +10% Revenue increased 10% to £4.4 million +5.5% Operating profit increased 5.5% to £1.07 +11% EBITDA increased 10% to £1.65 million (2020: £4 million) million (2020: £1.02 million) (2020: £1.49 million) FCF YIELD ACQUISITIONS FINAL DIVIDEND 7
Slide 10: 2021 Financial Results
2021 Financial Results Six years of year on year growth Revenue £m Operating profit £m EBITDA £m 5.00 4.50 1.20 1.80 4.00 1.60 1.00 3.50 1.40 3.00 0.80 1.20 2.50 1.00 0.60 2.00 0.80 1.50 0.40 0.60 1.00 0.40 0.20 0.50 0.20 - - - 2016 2017 2018 2019 2020 2021 2016 2017 2018 2019 2020 2021 2016 2017 20
Slide 11: 2021 Financial Performance
2021 Financial Performance FY 2021 % change FY 2020 £ £ Revenue 4,389,581 +10% 4,005,385 Net revenue 2,780,526 +13% 2,459,351 Gross margin 63.3% +1.9% 61.4% Amortisation of catalogues (599,308) -15% (523,170) Administration expenses (1,040,706) -13% (919,250) Operating profit 1,075,958 +6% 1,019,884
Slide 12: 2021 Balance Sheet
2021 Balance Sheet FY 2021 % change FY 2020 £ £ Intangible assets 13,484,077 +52% 8,884,158 Fixed assets 44,007 -52% 91,260 Trade and other receivables 1,481,077 +30% 1,141,555 Cash and cash equivalents 2,565,813 -62% 6,766,424 Total assets 17,574,974 +4% 16,883,397 Trade and other payables 937,622
Slide 13: Positive Independent catalogue valuation
Positive Independent catalogue valuation • YM&U Group engaged post period end to undertake detailed assessment and fully independent valuation of Group catalogues £34.8m Value of One Media iP catalogue • Portfolio independently valued at £34.8 million (as at April 2022), reflecting blended NPS multi
Slide 14: 3. Operational update
3. Operational update
Slide 15: Acquisitions in year under review
Acquisitions in year under review • Acquisition strategy: identify overlooked and undervalued content, maximising exposure, usage and ultimately returns • £4.3m of investment across nine acquisitions at an average 11.2 blended multiple • Largest acquisition undertaken by One Media to date – composit
Slide 16: Harmony IP: Unlocking future earnings today
Harmony IP: Unlocking future earnings today • Established in 2020 following £6m million equity raise www.harmonyip.com • Aims to acquire 10-30% of IP equity on agreed multiples, mainly targeting composers’ rights • Gives artists greater flexibility to access future earnings while retaining majority
Slide 17: Tackling music piracy
Tackling music piracy • Proprietary, specialist anti-piracy tool developed by One Media, established as a subsidiary business in 2021 www.tcat.media • £9bn Software platform licensed on a subscription basis and/or as SaaS basis centrally hosted • Identifies the illegal or infringing use of digital m
Slide 18: 4. Outlook & conclusion
4. Outlook & conclusion
Slide 19: Growing Market
Growing Market GLOBAL REVENUE GROWTH +18.5% STREAMING SHARE OF GLOBAL REVENUE 65.0% GROWTH IN PAID STREAMING REVENUE 21.9% Market data source: The International Federation of the Phonographic Industry (IFPI) Revenue Forecast - Report “MUSIC IN THE AIR THE SHOW MUST GO ON” - Goldman Sachs
Slide 20: Market opportunity & outlook
Market opportunity & outlook • Market backdrop continues to be strongly supportive • Goldman Sachs has significantly upgraded industry forecasts, driven by streaming and growing demographic trends: o music industry revenues set to double by 2030 to $131 billion (spilt as follows): o global live musi
Slide 21: Conclusion
Conclusion • Positive performance delivering double digit revenue growth • Strong, income accretive acquisition pipeline • Harmony IP and TCAT providing additional income streams and strategic opportunities with exciting potential • Independent portfolio valuation demonstrates long term success of G
Slide 22: www.omip.co.uk
ONE MEDIA" www.omip.co.uk