Baltic Classifieds Group Plc · LSE:BCG
Baltic Classifieds — FY2024 Earnings Presentation
31 slides from Baltic Classifieds's earnings presentation, July 2024
Slide 1: Full year results presentation
Full year results presentation Year ended 30 April 2024
Slide 2: Financial highlights
Financial highlights +19% +20% 77% +18% Revenue up to €72.1m Auto +24% Adjusted net income2 (2023: €60.8m) Real Estate +20% up to €45.0m Jobs & Services +17% EBITDA1 up to €55.3m EBITDA margin1 (2023: €38.0m) and Generalist +8% (2023: €46.0m) (2023: 76%) Profit up by 38% to €32.0m (2023: €23.2m) +20
Slide 3: Operational highlights
Operational highlights Significant leadership position5 against nearest competitor B2C customers: C2C active ads: maintained for all our major businesses (times) Year ended 30 April 2024 is shown as 2024 Auto2: +26% 20216 20226 2023 2024 Real Estate: +20% Auto: +4% Services1: +32% Real Estate: +1% J
Slide 4: Cultural highlights
Cultural highlights 54 tCO2e emissions 1 88% the portion of electricity used from renewable sources reduced by 70% from a 2022 base year (183 tCO2e), increased (2023: 73%), achieving our goal of having at exceeding our near term target to reduce least 80% of used electricity derived from renewable S
Slide 5: Financials
;—~< BALTIC ; CLASSIFIEDS : , GROUP ae : rx ‘ : . il _ Financials, — “s.
Slide 6: Continued momentum in the core business, with balanced contribution across all segments
Continued momentum in the core business, with balanced contribution across all segments 18% 38% The growth came from the core classifieds B2C +22% business: B2C + C2C = 90% of revenue. C2C +18% Revenue (million €) Year ended 30 April 2024 is shown as 2024 Revenue share Diversified revenue streams Au
Slide 7: Continued execution against our strategic priorities despite ongoing uncertainty
Continued execution against our strategic priorities despite ongoing uncertainty Revenue (million €) 8 Our business, together with M&A: Auto24 1st wave of Covid-19 Russian invasion of Ukraine, inflation shock, and Baltic economies, demonstrated 7 increase in Euribor resilience to multiple recent 6 a
Slide 8: Continued cost discipline driving operating leverage
Continued cost discipline driving operating leverage Operating costs to EBITDA (million €) Year ended 30 April 2024 is shown as 2024 +14% 16.8 People costs: • Increase in people costs was driven by an increase in headcount, higher remuneration costs, 14.8 2.5 and PSP costs 1.9 Marketing: 11.3 +18% •
Slide 9: Resilient EBITDA and continued margin expansion underpin robust cash flow generation
Resilient EBITDA and continued margin expansion underpin robust cash flow generation EBITDA1 (million €) Net cash inflow from operating activities (million €) Year ended 30 April 2024 is shown as 2024 Year ended 30 April 2024 is shown as 2024 Cash conversion2 99% Cash generated from operations +23%
Slide 10: Adjusted operating profit continues to track closely to EBITDA
Adjusted operating profit continues to track closely to EBITDA 2024 (€ millions) 2023 (€ millions) Change Revenue 72.1 60.8 19% Operating cost excluding depreciation and amortisation (16.8) (14.8) 14% EBITDA1 55.3 46.0 20% EBITDA margin1 % 77% 76% 1% pt Depreciation and amortisation (16.9) (17.0) (0
Slide 11: Debt and leverage continues to be reduced
Debt and leverage continues to be reduced Net debt1 bridge (million €) Year ended 30 April 2024 is shown as 2024 Leverage2 Leverage 1.0x 0.5x 45.3 (51.2) At the beginning of 2024: • Loan of €70 million • Leverage of 1.0x 19.5 0.7 27.5 During 2024: • Voluntarily repaid €20 million 13.3 At the end of
Slide 12: Capital allocation priorities remain unchanged
Capital allocation priorities remain unchanged Dividends M&A Debt repayment We intend to return 1/3 of We will continue to assess and share Adjusted net income1 each value-creating opportunities year via dividend Own cash is most likely buy-backs Interim (1/3) and final (2/3) source of financing, bu
Slide 13: Strategic Progress
Strategic Progress
Slide 14: Auto revenue up 24%
Auto revenue up 24% Through growth in the number of listings, improved yield and rising transaction values Average auto price and transactions1 C2C KPIs YoY YoY YoY 517 YoY YoY 20 YoY 20 478 496 487 19 Growth Growth Growth Growth Growth Growth transactions monthly revenue (thousand) per active ad (€
Slide 15: Real Estate revenue up 20%
Real Estate revenue up 20% Through growth in the number of listings, improved yield and rising transaction values Average apartment price1 and transactions C2C KPIs YoY 271 YoY YoY YoY YoY 23 YoY 23 249 Growth Growth Growth Growth 20 Growth Growth 219 transactions 195 (thousand) 16 monthly revenue +
Slide 16: Jobs & Services revenue up 17%
Jobs & Services revenue up 17% Through growth in the number of customers, improved yield and significant growth of Services Average monthly gross wage1 C2C KPIs: Services and average unemployment rate2 YoY YoY YoY 24 Growth Growth 22 Growth YoY YoY YoY monthly revenue 2.0 +74% +51% +11% 1.8 per acti
Slide 17: Generalist revenue up 8%
Generalist revenue up 8% Through growing number of listings and yield improvement including value-based pricing E-commerce market growth1 in Lithuania and Estonia (€bn) CAGR CAGR 2019 - 2023 2023 - 2028 Lithuania Estonia 1,665 1,737 +24% +6% 1,506 1,591 1,301 1,416 1,086 996 469 542 712 +27% +7% 382
Slide 18: Product developments in H2 2024
Product developments in H2 2024 In Autoplius, we launched a rating system for top-tier car dealers. In Estonia, we introduced a new product for the property rental market This system allows them to ask for a feedback from car buyers and which allows landlords and tenants to execute rental contracts
Slide 19: Product developments in H2 2024
Product developments in H2 2024 In GetaPro, we improved content quality by encouraging service In Osta, we launched a parcel self-service platform that aggregates the providers to add more information to their profiles and to collect most popular parcel delivery providers. This tool is not limited t
Slide 20: Outlook
10 utlook BALTIC CLASSIFIEDS GROUP
Slide 21: Macroeconomic overview
Macroeconomic overview Historical growth exceeding Gradual recovery in GDP Strong credit profile the EU average growth Real GDP per capita GDP Public sector debt Lithuania: 4.6% Lithuania: 1.5% Lithuania: 40.0% CAGR 2000-20231: YoY 20241F: % of GDP 20241F: Estonia: 3.1% Estonia: (0.5)% Estonia: 22.5
Slide 22: Outlook
Outlook The Board is guiding to 15% revenue growth in 2025, with Auto, Real Estate and Jobs & Services expected to grow marginally ahead of this number and Generalists below the overall Group average. The growth will be driven by B2C ARPU and C2C yield expansion, expecting inventory levels to remain
Slide 23: Appendices
Py BALTIC EDS = 3
Slide 24: KPIs and revenue by business line
KPIs and revenue by business line 2024 2023 YoY B2C - monthly number of dealers 3,732 3,586 4% Auto B2C - monthly ARPU (€)1 289 230 26% C2C - monthly number of active ads2 33,695 26,824 26% C2C - monthly revenue per active ad (€)2 20 20 0% Total Auto revenue, € million 27.5 22.2 24% B2C - monthly nu
Slide 25: Consolidated statement of profit or loss and other comprehensive income
Consolidated statement of profit or loss and other comprehensive income 2024 2023 (€ millions) (€ millions) Revenue 72.1 60.8 Other income 0.0 0.0 Expenses (33.8) (31.8) Operating profit 38.3 29.1 Finance income 0.2 0.0 Finance expenses (3.6) (2.7) Net finance costs (3.4) (2.7) Profit before tax 34.
Slide 26: Consolidated statement of financial position
Consolidated statement of financial position 2024 (€ millions) 2023 (€ millions) Assets Property, plant and equipment 0.5 0.5 Intangible assets and goodwill 369.3 385.6 Right-of-use assets 1.2 0.9 Deferred tax asset - 0.2 Non current assets 371.0 387.2 Trade and other receivables 4.5 3.5 Cash and ca
Slide 27: Consolidated statement of cash flows
Consolidated statement of cash flows 2024 (€ millions) 2023 (€ millions) Cash flows from operating activities Profit for the period 32.0 23.2 Adjustments for: Depreciation and amortization 16.9 17.0 (Profit) on property, plant and equipment disposals - (0.0) Taxation 2.9 3.2 Net finance costs 3.4 2.
Slide 28: Consolidated statement of cash flows (cont.)
Consolidated statement of cash flows (cont.) 2024 (€ millions) 2023 (€ millions) Cash flows from investing activities Acquisition of intangible assets and property, plant and equipment (0.3) (0.3) Proceeds from sale of property, plant and equipment 0.0 0.0 Acquisition of business - (1.6) Net cash us
Slide 29: We are the clear leader
We are the clear leader Lead over closest competitor Go-to destination for the public Relative Market Share1 vs. Nearest Competitor, 2024 Monthly Visits per Capita8, calendar year 2020 Lithuania Estonia Latvia 8.4 c.7x2 c.36x3 6.5 c.0.6x5 4 c.17x 4 c.19x 4 #1 in Latvia is generalist portal SS.lv 1.3
Slide 30: Monetisation journey as presented at the time of IPO
Monetisation journey as presented at the time of IPO C2C B2C Effective Cost of C2C Listing as a % of Underlying Car Value B2C Take Rates3, calendar year 2019 0.6-1.2% 5-6% 4-5% 0.4-0.6% 0.4-0.6% 0.4-0.6% 0.5-0.6% 1-3% ~0.4% Baltics1 Baltics1 B2C Take Rates3, calendar year 2019 7-9% 3-5% 2-3% Effecti
Slide 31: Thank you
Thank you Q&A?
Baltic Classifieds Group — FY2024 Earnings Presentation on 6ix