United Internet Ag · XETR:UTDI

United Internet — 9M 2018 Earnings Presentation

21 slides from United Internet's earnings presentation, Nov 13, 2018

  1. Slide 1: Analyst and Investor Call Presentation – 9M 2018

    UNITED INTERNET AG Analyst and Investor Call Presentation – 9M 2018 Montabaur, November 13, 2018 1 Analyst and Investor Call Presentation – 9M/2018 November 13, 2018

  2. Slide 2: KPIs 9M 2018 (as reported)

    KPIs 9M 2018 (AS REPORTED)  23.65 million customer contracts: + 0.76 million organically in the first 9 months and 250k from the acquisition of World4You Sales and earnings figures (in € million) (IAS 18) 9M 2017 (IFRS 15) 9M 2018 Change Sales 3,008.2 3,815.9 + 26.8 % EBITDA (1) 684.1 874.6 + 27.8

  3. Slide 3: Pro-forma growth 9M 2018

    PRO-FORMA GROWTH 9M 2018 (in million) Sales EBITDA* pro-forma +10.5% pro-forma 900 874.6 +10.2% 791.6 4,000 3,815.9 800 Strato/ +27.8% 3,462.5 107.5 Drillisch 3,500 Strato/ 700 +26.8% 454.3 Drillisch 3,000 600 2,500 500 2,000 400 684.1 1,500 3,008.2 UI 300 reported 1,000 200 -199.0 +213.0 +221.2 Sma

  4. Slide 4: "Access" in 9M 2018

    „ACCESS“ IN 9M 2018  BUSINESS ACCESS  BUSINESS APPLICATIONS  CONSUMER ACCESS  CONSUMER APPLICATIONS 4 Analyst and Investor Call Presentation – 9M/2018 November 13, 2018

  5. Slide 5: Consumer Access: customer contracts

    CONSUMER ACCESS: CUSTOMER CONTRACTS (in million) Mobile internet DSL-complete packages (ULL) 14.00 13.33 12.64 +0.69  13.33 million customer contracts with monthly basic 12.00 fees in current product-lines (+ 690,000), 10.00 8.00 8.30 8.93  8.93 million mobile internet contracts (+ 630,000) 6.00 

  6. Slide 6: Access: Sales

    ACCESS: SALES (in € million) pro-forma +11.1% 2,994.6 3,000 2,694.7 +721.4  € 2,994.6 million sales* (+ 31.7 %) 2,500 421.5 (+31.7%) Drillisch  Consumer: € 2,698.9 million (+ 36.6 %) 2,000 UI  Business: € 334.6 million (+ 2.7 %) reported 1,500  Pro-forma 9M 2017 (incl. Drillisch): 2,273.2 UI € 2

  7. Slide 7: Access: EBITDA

    ACCESS: EBITDA (in € million)  € 565.4 million EBITDA* (+ 33.3 %), pro-forma +8.0%  Consumer: € 521.8 million (+ 44.2 %) 600 565.4  Business: € 43.6 million (- 29.8 %) 550 523.5 500 Drillisch +141.4 99.5 (+33.3%)  Pro-forma 9M 2017 450 400 (incl. Drillisch): € 523.5 million (+ 8.0 %) 350 UI 300

  8. Slide 8: Access: EBIT

    ACCESS: EBIT (in € million) 348.6 350 +38.5 310.1 (+12.4%) 300  € 348.6 million* EBIT (+ 12.4 %), 250  IFRS 15 effect: € 200.8 million, which is 200 offset by additional smartphone investments 150 as expected -199.0 100 +200.8 Smart IFRS 15 phone Invest 50 0 9M 2017 9M 2018 * Incl. one-offs for on

  9. Slide 9: "Applications" in 9M 2018

    „APPLICATIONS“ IN 9M 2018  BUSINESS ACCESS  BUSINESS APPLICATIONS  CONSUMER ACCESS  CONSUMER APPLICATIONS 9 Analyst and Investor Call Presentation – 9M/2018 November 13, 2018

  10. Slide 10: Business Applications: customer contracts

    BUSINESS APPLICATIONS: CUSTOMER CONTRACTS (in million) Domestic Abroad 9 8.33 8.02 +0.31  8.33 million customer contracts (+ 310,000), 8 7 thereof 250,000 contracts from the World4You 6 4.01 4.07 acquisition 5 4  4.07 million domestic 3 2 4.01 4.26  4.26 million abroad 1 0 31.12.2017 30.09.2018 1

  11. Slide 11: Consumer Applications: customer contracts

    CONSUMER APPLICATIONS: CUSTOMER CONTRACTS (in million) Accounts with Value-Added-Subscription Accounts with Premium-Mail-Subscription 1.98 1.99 2.00 +0.01  1.99 million pay products 0.42 0.46 1.50  36.17 million free accounts (+ 500,000)*, thereof  22.0 million with mobile usage 1.00 1.56 1.53 

  12. Slide 12: Applications: Sales

    APPLICATIONS: SALES (in € million) pro-forma +5.9% 900 834.8 788.3 +79.3  € 834.8 million sales (+ 10.5 %), 800 Strato 32.8 (+10.5%) 700  Consumer: € 203.9 million (+ 1.0 %) 600  Business: € 634.7 million (+ 13.9 %) 500 400 755.5  Pro-forma 9M 2017 (incl. Strato): € 788.3m, (+ 5.9%) UI reported

  13. Slide 13: Applications: EBITDA

    APPLICATIONS: EBITDA (in € million)  € 313.8 million EBITDA* (+ 15.7 %) pro-forma +12.4%  Consumer: € 79.9 million (- 5.7 %) 350 313.8 300 279.2 +42.6 € - 9.7 million due to reduced advertising space 8.0 Strato (+15.7%) 250  Business: € 233.9 million (+ 25.5 %) 200  37.6 % EBITDA-margin (prev. y

  14. Slide 14: Applications: EBIT

    APPLICATIONS: EBIT (in € million) 239.2 240 +26.9 220 212.3 (+12.7%) 200  € 239.2 million EBIT* (+ 12.7 %) 180 160  IFRS 15 effect: € 14.8 million 140 120 100 80 60 40 20 + 14.8 IFRS 15 0 9M 2017 9M 2018 * Incl. one-offs for onging integration projects (EBITDA and EBIT effect: € -8.8m) 14 Analyst

  15. Slide 15: Summary - Big data opportunity for Consumer Applications

    SUMMARY - BIG DATA OPPORTUNITY FOR CONSUMER APPLICATIONS Single-Sign-On process: netID  Largest customer base in the attractive DACH market, leveraging two of the strongest and most trusted Consumer brands in Germany: GMX and WEB.de Applications  38m customer accounts, of which 36m free accounts a

  16. Slide 16: Lift off to a new world of hosting

    LIFT OFF TO A NEW WORLD OF HOSTING What‘s new?  1&1 Internet SE + ProfitBricks = 1&1 IONOS  Only European web hosting provider that will be able to guide companies through all of the phases and milestones of their development  Comprehensive range of solutions, from domains to enterprise clouds 

  17. Slide 17: Pro-forma development in 9M 2018

    PRO-FORMA DEVELOPMENT IN 9M 2018 (9M 2017 incl. Strato and Drillisch; in € million) 9M 2017 9M 2018 Access Change Comments 9M 2018 Like-for-like (IAS 18) (IFRS 15) Sales 2,694.7 2,994.6 + 11.1 %  € + 202.2 million IFRS 15 + 3.6 %  € + 199.4 million IFRS 15 effect  € - 199.0 million increased use

  18. Slide 18: Key financial KPIs as of 30 September 2018

    KEY FINANCIAL KPI S AS OF 30 SEPTEMBER 2018 (contracts in million / financial KPIs acc. to IFRS in € million) 9M/Dec.31, 2017 9M 2018 Change (IAS 18) (IFRS 15) Fee-based customer contracts 22.37 23.65 + 1.28m Sales 3,008.2 3,815.9 + 26.8 % EBITDA 684.1 874.6 + 27.8 % Net debt (prev. year as of Dec.

  19. Slide 19: Outlook 2018

    OUTLOOK 2018 19 Analyst and Investor Call Presentation – 9M/2018 November 13, 2018

  20. Slide 20: Roadmap 2018 and Guidance 2018

    ROADMAP 2018 GUIDANCE 2018  Further expansion of the fiber optic network  Sales increase to approx. € 5.2 billion – organically and through acquisitions  Strong contract growth Business  Development of BNGs for VDSL/Vectoring based on Layer-2 (Target 2018: approx. 500 of 897 BNGs)  Consolidatio

  21. Slide 21: United Internet AG: Our success story continues!

    UNITED INTERNET AG Our success story continues! 21 Analyst and Investor Call Presentation – 9M/2018 November 13, 2018

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