Television Francaise 1 Sa · EURONEXT:TFI
Television Francaise 1 Sa — Tf1 — Investor Presentation (April 2013)
32 slides from Television Francaise 1 Sa's investor presentation, Apr 22, 2013
Slide 1: A New Reporting Format to Reflect Our Strategy
A NEW REPORTING FORMAT TO REFLECT OUR STRATEGY April 22, 2013
Slide 2: Forward-looking statements
This presentation contains certain forward‐looking statements based on current expectations, forecasts and assumptions that involve risks and uncertainties. These statements are based on information available to the Company as of the date hereof. All forward‐looking statements are TF1 management’s p
Slide 3: We Are Changing Our Financial Reporting Format to Reflect Our Strategy
WE ARE CHANGING OUR FINANCIAL REPORTING FORMAT TO REFLECT OUR STRATEGY 3
Slide 4: 2007-2015 Strategy: Built Around Content
2007 – 2015 STRATEGY: BUILT AROUND CONTENT ` Since 2007, our strategy has focused on.... A UNIQUELY POWERFUL THE OFFERINGS WE MAKE PARTNERSHIPS IN ADVERTISING MODEL TO OUR AUDIENCES DISTRIBUTION EXPANDED MEDIA OFFERING 4
Slide 5: 2007-2015 Strategy: From Mass Media to One-to-One
2007 – 2015 STRATEGY: FROM MASS MEDIA TO ONE‐TO‐ONE Portable PCs Internet users On the move Smartphones TV viewers Tablets Mobile phone users Sharing (Facebook, Twitter, etc.) Consumers In the home Family viewing Games/ Licences (living room TV set) Live shows/ Music Solo viewing (PC, IPTV, connecte
Slide 6: 2007-2015 Strategy: Adapting Our Organisational Structure
2007 – 2015 STRATEGY: ADAPTING OUR ORGANISATIONAL STRUCTURE BROADCASTING & CONTENT CONSUMER PRODUCTS PRODUCTION TRADING PUBLISHING GAMES LICENCES VIDEO & VOD MUSIC LIVE SHOWS HOME SHOPPING & E‐COMMERCE DTT DIGITAL CHANNELS PAY‐TV PAY‐TV FRANCE PAY‐TV INTERNATIONAL PLURIMEDIA ADVERTISING SALES THREE
Slide 7: 2007-2015: Operating Segments on the Move
2007‐2015: 3 OPERATING SEGMENTS ON THE MOVE BROADCASTING & CONTENT REINFORCING OUR CORE BUSINESS CONSUMER RATIONALISING AND EXPANDING SERVICES PAY‐TV GROWTH AND PROFITABILITY OBJECTIVE: IMPROVING OUR COMPETITIVENESS 7
Slide 8: 2007-2015: TV Experience Enhanced by Digital
2007‐2015: TV EXPERIENCE ENHANCED BY DIGITAL > 1.6 billion 10 million 500,000 videos watched in 2012 fans followers DIGITAL AT THE HEART OF OUR TRANSFORMATION 8
Slide 9: Simple, Transparent Financial Reporting
SIMPLE, TRANSPARENT FINANCIAL REPORTING 9
Slide 10: 2013: Reporting Based on Operating Segments
2013: REPORTING BASED ON 3 OPERATING SEGMENTS BROADCASTING & CONTENT CONSUMER PRODUCTS PAY‐TV Broadcasting Free‐to‐air channels: Eurosport Group TF1 − TMC − NT1 − HD1 TF1 Vidéo Eurosport International Digital: Eurosport France e‐TF1 Home Shopping Other media: TF1 Publicité − Metro France Theme Chann
Slide 11: Broadcasting & Content Segment
“BROADCASTING & CONTENT” SEGMENT ` BROADCASTING TF1, TMC, NT1 and HD1, the 4 channels in our multi‐channel offering 9 Pooling of programme acquisitions 9 Centralised scheduling for the 4 channels 9 Effective cross‐usage of programmes TOTAL SOLUTION e‐TF1: 9 Digital is a vital add‐on to the unenc
Slide 12: Consumer Products Segment
“CONSUMER PRODUCTS” SEGMENT ` HOME SHOPPING Distance selling e‐commerce ` TF1 ENTREPRISES Games Licenses BRINGING TOGETHER Music OUR B2C PRODUCTS Publishing AND SERVICES Live shows ` TF1 VIDEO DVD & Blu‐Ray releases MYTF1VOD 12
Slide 13: Pay-TV Segment
“PAY‐TV” SEGMENT ` EUROSPORT GROUP Eurosport France Eurosport International CLEARER ` THEME CHANNELS IN FRANCE LCI PRESENTATION OF TV Breizh OUR PAY‐TV Histoire ACTIVITIES Ushuaïa Stylía TF6 and Série Club (50% owned) 13
Slide 14: Comparison: 2012 Segments vs 2013 Segments (1/2)
COMPARISON: 2012 SEGMENTS VS 2013 SEGMENTS (1/2) OLD NEW Broadcasting France Broadcasting & Content Audiovisual Rights Consumer Products Broadcasting International Pay-TV Miscellaneous Activities Holding company & other (including property) 14
Slide 15: Comparison: 2012 Segments vs 2013 Segments (2/2)
COMPARISON: 2012 SEGMENTS VS 2013 SEGMENTS (2/2) OLD NEW BROADCASTING FRANCE BROADCASTING & CONTENT TF1 SA Broadcasting Home Shopping Theme Channels France Content TF1 Entreprises CONSUMER PRODUCTS Production e-TF1 TF1 Vidéo Other activities Home Shopping AUDIOVISUAL RIGHTS TF1 Entreprises Catalogue
Slide 16: New Reporting Format
NEW REPORTING FORMAT 16
Slide 17: Published Indicators: Revenue and Current Operating Profit
PUBLISHED INDICATORS: REVENUE AND CURRENT OPERATING PROFIT ` Contributions will be reported for the following segments and sub‐divisions: € million Current year Prior year Broadcasting & Content Broadcasting Content Consumer Products TF1 Vidéo Home Shopping TF1 Entreprises Pay‐TV Eurosport Group The
Slide 18: Published Indicators: Advertising Revenue
PUBLISHED INDICATORS: ADVERTISING REVENUE ` We will report our advertising revenue in the format shown below: € million Current year Prior year Broadcasting & Content advertising revenue Television Other Pay‐TV advertising revenue Eurosport Group Theme Channels in France Group advertising revenue 18
Slide 19: Programming Costs to Cost of Programmes
PROGRAMMING COSTS → COST OF PROGRAMMES (FREE‐TO‐AIR) ` Change needed in order to give a clearer picture of our multi‐channel offering OLD NEW ` We reported programming costs, defined as: ` We report cost of programmes, defined as: Cost of programmes broadcast Cost of programmes broadcast + Write‐off
Slide 20: Additional Information: Cost of Programmes
ADDITIONAL INFORMATION: COST OF PROGRAMMES ` Cost of programmes will be broken down by type of programme: € million Current year Prior year TOTAL COST OF PROGRAMMES Major sporting events TOTAL EXCLUDING MAJOR SPORTING EVENTS Entertainment/Gameshows/Magazines Drama/TV Movies/Series/Plays Sports (excl
Slide 21: Impact of the Change on Financial Targets
IMPACT OF THE CHANGE IN REPORTING FORMAT ON FINANCIAL TARGETS ` This new reporting format is simply a change in the way we present our financial statements. ` It does not affect our assumptions on trends in consolidated revenue, or the nature of our cost‐cutting commitments. 21
Slide 22: Conclusion
CONCLUSION ` Historical quarterly data for FY 2011 and FY 2012 are available on our corporate website: www.groupe‐tf1.fr ` An updated Q&A page will also be provided on this site 22
Slide 23: Questions & Answers
QUESTIONS & ANSWERS 23
Slide 24: Appendix 1 - Pro-Forma Historical Data
APPENDIX 1 – PRO‐FORMA HISTORICAL DATA Downloadable in Excel format from our corporate website www.groupe‐tf1.fr 24
Slide 25: Annual Contributions - FY 2011 & FY 2012
ANNUAL CONTRIBUTIONS – FY 2011 & FY 2012 Revenue Current operating profit € million FY 2012 FY 2011 € million FY 2012 FY 2011 Broadcasting 1,737.8 1,781.3 Broadcasting 154.9 234.2 Content 71.5 77.0 Content 5.2 ‐24.0 Total: Broadcasting & Content segment 1,809.3 1,858.3 Total: Broadcasting & Content
Slide 26: Cost of Programmes
COST OF PROGRAMMES € million FY 2012 FY 2011 TOTAL COST OF PROGRAMMES 1,004.6 960.2 Major sporting events 24.2 24.1 TOTAL EXCLUDING MAJOR SPORTING EVENTS 980.4 936.1 Entertainment/Gameshows/Magazines 293.6 270.8 Drama/TV Movies/Series/Plays 313.4 295.9 Sports (excluding major sporting events) 101.0
Slide 27: Group Advertising Revenue
GROUP ADVERTISING REVENUE € million FY 2012 FY 2011 Broadcasting & Content advertising revenue 1,649.7 1,706.5 Television 1,566.0 1,653.8 Other 83.7 52.7 Pay‐TV advertising revenue 125.8 115.0 Eurosport Group 98.6 85.3 Pay‐TV Theme Channels 27.2 29.7 Group advertising revenue 1,775.5 1,821.5 27
Slide 28: Appendix 2 - New Table Formats
APPENDIX 2 – NEW TABLE FORMATS 28
Slide 29: Press Release (1/2)
PRESS RELEASE (1/2) OLD NEW CONSOLIDATED FIGURES (€m) Current year Prior year Change % CONSOLIDATED FIGURES (€m) Current year Prior year Change % Revenue Revenue TF1 Group advertising revenue TF1 channel advertising revenue Other activities Other activities Current operating profit Current operating
Slide 30: Press Release (2/2)
PRESS RELEASE (2/2) OLD NEW € million Current year Prior year € million Current year Prior year Broadcasting & Content Broadcasting France of which TV advertising Audiovisual Rights Consumer Products Broadcasting International Pay-TV Miscellaneous Activities Holding Company & Other Consolidated reve
Slide 31: Management Review (1/2)
MANAGEMENT REVIEW (1/2) NEW OLD € million Current year Prior year Current year Prior year € million Consolidated revenue Consolidated revenue Group advertising revenue TF1 channel advertising revenue Revenue from other activities Revenue from other activities Current operating profit Current operati
Slide 32: Management Review (2/2)
MANAGEMENT REVIEW (2/2) OLD NEW Current operating Revenue profit € million Current year Prior year Broadcasting & Content € million Current year Prior year Current year Prior year BROADCASTING FRANCE Broadcasting TF1 SA a Content Home Shopping b Theme Channels France TF1 Entreprises Production c Con