Modern Times Group MTG AB Class A · OMXSTO:MTG_A

Modern Times Group MTG AB Class A — Q2 2014 Earnings Presentation

12 slides from Modern Times Group MTG AB Class A's earnings presentation, July 2014

  1. Slide 1: Q2 2014 Financial Results

    MTG Q2 2014 FINANCIAL RESULTS “PROFITS UP ON RECORD SALES”

  2. Slide 2: Q2 2014 – Highlights

    Q2 2014 – HIGHLIGHTS  Sales up 13% at constant FX & 3% on an organic basis  Higher operating profit (excl. NRI) despite ongoing investments in channel launches and in MTGx  PTV Nordic - healthy top-line growth combined with margin expansion + retain FY outlook  FTV Scandi - stable margin despite

  3. Slide 3: Group Performance: Profits Up on Record Sales

    GROUP PERFORMANCE PROFITS UP ON RECORD SALES SALES GROWTH (Y-O-Y) EBIT (SEK MN) AND EBIT MARGIN (%) 16% 600 16 14% 14 12% 500 12 10% 400 8% 10 6% 300 8 4% 6 200 2% 4 0% 100 2 Q3 2012 Q4 2012 Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014 -2% 0 0 2012 2012 2013 2013 2013 2013 2014 2014 Q3 Q4 Q1 Q2 Q

  4. Slide 4: Free-TV Scandinavia

    FREE-TV SCANDINAVIA STABLE MARGIN DESPITE DECLINING MARKETS Sales down 3% at constant FX 25% of Group sales 2014 2013  All three TV advertising markets have declined in the quarter Apr-Jun Apr-Jun Sales (SEKm) 1,065 1,080 Audience share gains in Denmark Growth (at constant FX) -3% 0%  Denmark – hi

  5. Slide 5: Pay-TV Nordic

    PAY-TV NORDIC GROWTH AND MARGIN EXPANSION Sales up 5% at constant FX 34% of Group sales 2014 2013  Reflected continued strong subscriber intake at Viaplay Apr-Jun Apr-Jun DTH subs down but ARPU up Sales (SEKm) 1,439 1,349  The premium DTH and third party subscriber bases declined Growth (at consta

  6. Slide 6: Free-TV Emerging Markets

    FREE-TV EMERGING MARKETS 18% EBIT MARGIN BUT LOWER SALES Lower sales at constant FX 16% of Group sales 2014 2013  Continued double digit growth in the Baltics and Bulgaria Apr-Jun Apr-Jun  Offset by lower sales in the Czech Republic following the exceptional growth levels in 2013 (Q2’13 up 47% at

  7. Slide 7: Pay-TV Emerging Markets

    PAY-TV EMERGING MARKETS IMPACTED BY UNFAVOURABLE FX MOVEMENTS Sales up 8% at constant FX  Driven by the mini-pay wholesale channel business 6% of Group sales 2014 2013 Apr-Jun Apr-Jun Subscription growth affected by the geopolitical situation Sales (SEKm) 271 269  Mini-pay subscriptions up c. 4m y

  8. Slide 8: Nice, MTGx, Radio

    NICE, MTGX, RADIO 24% ORGANIC SALES GROWTH & PROFITABLE Organic + acquisition led growth  24% organic sales growth driven by strong performance of the content production and radio businesses 19% of Group sales 2014 2013  Overall sales boosted by the consolidation of Nice, DRG and Apr-Jun Apr-Jun N

  9. Slide 9: Income Statement

    INCOME STATEMENT PROFITABLE GROWTH Sales up 13% at constant FX Q2 in brief 2014 2013  3% organic growth Apr-Jun Apr-Jun  Acquisitions add ~ 11 percentage points of growth Sales (SEKm) 4,109 3,605 12% EBIT margin (excl. associates and NRI) Sales growth (at constant FX) 13% 6%  OpEx up 15% at const

  10. Slide 10: Cash Flow

    CASH FLOW WELL-POSITIONED FOR THE FUTURE Cash flow generation remains good (SEKm) 2014 2013  81% of EBITDA (excl. NRI) converted into operating CF Apr-Jun Apr-Jun  SEK 71m cash dividend payments received from CTCM Cash flow from operations 491 472 Strong financial position Changes in working capit

  11. Slide 11: Q2 2014 – Highlights

    Q2 2014 – HIGHLIGHTS  Sales up 13% at constant FX & 3% on an organic basis  Higher operating profit (excl. NRI) despite ongoing investments in channel launches and in MTGx  PTV Nordic - healthy top-line growth combined with margin expansion + retain FY outlook  FTV Scandi - stable margin despite

  12. Slide 12: MTG Investor Relations

    MTG INVESTOR RELATIONS FOR FURTHER INFORMATION VISIT WWW.MTG.SE TEL: +46 (0) 73 699 2714 EMAIL: INVESTOR.RELATIONS@MTG.SE

Modern Times Group MTG — Q2 2014 Earnings Presentation on 6ix