Teamviewer Se · XETR:TMV

Teamviewer — Q4 2020 Earnings Presentation

32 slides from Teamviewer's earnings presentation, Feb 9, 2021

  1. Slide 1: Q4 / FY 2020 Preliminary Results (unaudited)

    Q4 / FY 2020 Preliminary Results (unaudited) Investor Presentation 9 February 2021

  2. Slide 2: Importance Notice

    Importance Notice This presentation as well as any information communicated in connection therewith (the "Presentation") contains information regarding TeamViewer AG (the "Company") and its subsidiaries (the Company, together with its subsidiaries, "TeamViewer"). It is being provided for information

  3. Slide 3: Business Overview

    Business Overview Oliver Steil

  4. Slide 4: Strong Q4 concluded a record FY 2020

    Strong Q4 concluded a record FY 2020 Billings and adjusted EBITDA exceeding revised outlook FY 2020 Growth 1 +204% • Exceeded revised FY 20 outlook despite Enterprise higher than expected FX headwinds Billings Organic3 Total • Q4: strongest Enterprise quarter ever with Billings 456.7 460.3 +170% sig

  5. Slide 5: Innovative use cases drive enterprise traction

    Innovative use cases drive enterprise traction Remote Support for medical devices "The number of use cases we need to provide with secure and high-performance access to our systems is increasing within the clinical environment. That’s why the partnership with TeamViewer is becoming increasingly impo

  6. Slide 6: Enterprise benefiting from new business, high retention and strong upselling

    Enterprise benefiting from new business as well as high retention and strong upselling Sector Country ACV in € License Use Cases Automotive USA >200k Frontline AR supported guidance with smart glases for mechanics at car dealers in US & UK Healthcare USA >200k Frontline AR supported use of medical d

  7. Slide 7: Expanding enterprise customer base with significant billings growth

    Expanding enterprise customer base with significant billings growth Enterprise billings tripled in size, now representing 12% of total billings Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20 Enterprise Billings2 +204% (€m, LTM) Enterprise +350% +170% customers1 53.0 (LTM) 1,885 1,658 1,

  8. Slide 8: The way we work has changed

    THE WAY WE WORK HAS CHANGED 8 Q4 / FY 2020 Preliminary Results (unaudited) - Investor Presentation

  9. Slide 9: TeamViewer solutions for the entire value chain

    TeamViewer solutions for the entire value chain Leveraging the connectivity platform for horizontal and increasingly vertical solutions Product Manufacturing Supply Chain Corporate Sales Service Development Shared Internet of Things Asset Monitoring Customer Repair & Workspace AI & Robotics & Manage

  10. Slide 10: Mid-Term objective: €1 billion billings in 2023

    Mid-Term objective: €1 billion billings in 2023 Focused execution of targeted growth initiatives 2018 2020 2023 230m 460m 1 billion Industrial AR verticals 2020 IoT Enterprise Selective M&A Tensor Frontline SME Industrial verticals Full customer SoHo & coverage Increasing enterprise footprint Person

  11. Slide 11: Financial Overview

    Financial Overview Stefan Gaiser

  12. Slide 12: Record FY 2020 billings with sustained high profitability

    Record FY 2020 billings with sustained high profitability Billings (€m) Adj. EBITDA (€m) & Margin1 +27% +15% +32% cc 128.1 +25% cc 100.6 72.1 62.6 55.6% 56.3% 62.2% Q4 2019 Q4 2020 Q4 2019 Q4 2020 +42% +44% +44% cc 460.3 +49% cc 261.4 324.9 182.1 56.8% 56.0% 53.3% FY 2019 FY 2020 FY 2019 FY 2020 1Ad

  13. Slide 13: High regional billings diversification with broad customer coverage

    High regional billings diversification with broad customer coverage AMERICAS billings (€m) EMEA billings (€m) APAC billings (€m) • Strong traction across all sales channels • Very strong enterprise business • Key markets with strong growth in 2020 • US$ continued to devaluate in Q4 • Well balanced g

  14. Slide 14: Strong billings growth due to expanding subscriber base

    Strong billings growth due to expanding subscriber base with higher deal values and >100% net retention rate Subscribers (thousand, LTM) Billings by category (€m) • Continued subscriber growth • Q4 2020: strong new billings growth paired with high renewals and additional billings from Frontline • Ne

  15. Slide 15: Superior margins maintained while investing across functions

    Superior margins maintained while significant investments across functions support future growth €m Q4 20 Q4 19 ∆ FY 20 FY 19 ∆ Billings 128.1 100.6 +27% 460.3 324.9 +42% • Cost of sales up as anticipated and reflecting Cost of sales (9.6) (6.9) (35.9) (24.2) investments in platform infrastructure f

  16. Slide 16: Sharp increase in FCFE due to strong operating cash flow

    Sharp increase in FCFE due to consistently strong operating cash flow and significantly lower cost of debt €m Q4 20 Q4 19 ∆ FY 20 FY 19 ∆ Pre-Tax net cash from 72.9 62.6 +17% 258.0 161.5 +60% operating activities (IFRS) • Capital expenditure mainly related to one-off Income tax paid (8.7) (2.6) >100

  17. Slide 17: Net leverage further reduced to 1.7x adjusted EBITDA

    Net leverage further reduced to 1.7x adjusted EBITDA Strong cash flow and €24m loan repayment Development cash & cash equivalents in Q4 (€m) Net financial debt and net leverage development (€m) Cash & cash equiv. Loan facilities IFRS 16 leases Net financial debt Net leverage (23.8) 23.1 27.2 532.3 5

  18. Slide 18: TeamViewer solutions avoid 37 Mt of greenhouse gases every year

    TeamViewer solutions avoid 37 Mt of greenhouse gases every year Based on a scientific study conducted by the Institute for Energy, Ecology, and Economy (DFGE) 1 Remote connectivity solutions by TeamViewer contribute to an avoidance of 37 megatons CO2 equivalent (CO2e) emissions per year. This equals

  19. Slide 19: 2021 Outlook

    2021 Outlook Targeting 29 - 33% billings growth at constant currencies 2020 Guidance 2020 Actual 2021 Outlook (*excl. Ubimax) (incl. Ubimax) • With c.30% USD denominated billings and exposure to other currencies, reported growth is subject to Billings €450-455m* €460.3m1 €585 – 605m exchange rate ch

  20. Slide 20: Q&A

    TeamViewer Q&A

  21. Slide 21: Thank you for your attention!

    Thank you for your attention! 10 - 11 Feb Roadshow, Virtual (J.P. Morgan) 09 - 10 Mar UBS Technology One-on-One Virtual Conference 25 Mar Annual Report 04 May Q1 2021 Results

  22. Slide 22: Appendix

    TeamViewer Appendix

  23. Slide 23: Further expansion of TeamViewer's global footprint

    Further expansion of TeamViewer’s global footprint FTEs per function year end 20203 vs. 2019 Sales representatives (FTEs)2 per region 20203 vs. 2019 +49% Inside Enterprise Channel Total 1,256 2019 2020 2019 2020 2019 2020 2019 2020 +54% 495 56 69 26 61 14 14 96 144 841 EMEA +42% 94 Sales1 322 49 54

  24. Slide 24: Q4 2020 reconciliation from management key metrics to IFRS

    Q4 2020 reconciliation from management key metrics to IFRS Management view Deferred Other non-IFRS Accounting view €m adjusted P&L revenue D&A adjustments IFRS P&L Billings / Revenue 128.1 (7.2) 121.0 Cost of sales (9.6) / (7.5% of Billings) (7.7) (0.2) (17.5) / (14.5% of Revenue) Gross profit contr

  25. Slide 25: FY 2020 reconciliation from management key metrics to IFRS

    FY 2020 reconciliation from management key metrics to IFRS Management view Deferred Other non-IFRS Accounting view €m adjusted P&L revenue D&A adjustments IFRS P&L Billings / Revenue 460.3 (4.7) 455.6 Cost of sales (35.9) / (7.8% of Billings) (27.6) (0.6) (64.1) / (14.1% of Revenue) Gross profit con

  26. Slide 26: Non-IFRS adjustments in EBITDA

    Non-IFRS adjustments in EBITDA Deferred revenue adjustments Other non-IFRS adjustments €m Q4 20 Q4 19 FY20 FY19 €m Q4 20 Q4 19 FY 20 FY19 Billings 128.1 100.6 460.3 324.9 Total IFRS 2 charges (14.8) (9.7) (48.9) (36.8) TeamViewer LTIP (0.6) - (1.6) - Perpetual def. revenue 6.5 28.7 46.2 124.5 Releas

  27. Slide 27: Deferred revenue development

    Deferred revenue development €m Q4 20 Q4 19 FY 20 FY 19 Perpetual deferred revenue (BoP) 9.2 77.5 48.9 173.4 (–) Release 6.5 28.6 46.2 125.5 (+) Addition 0.0 0.0 0.0 1.0 Perpetual deferred revenue (EoP) 2.7 48.9 2.7 48.9 Subscription deferred revenue (BoP) 198.6 142.7 164.0 107.2 (–) Release 114.2 8

  28. Slide 28: Profit & Loss Statement

    Profit & Loss Statement (unaudited) EUR thousands Q4 2020 Q4 2019 ∆% FY 2020 FY 2019 ∆% Revenue 120,971 106,934 13% 455,614 390,191 17% Cost of sales (17,465) (13,810) 26% (64,102) (50,228) 28% Gross profit 103,506 93,124 11% 391,512 339,963 15% Other income 3,231 (8,132) - 5,256 7,723 -32% Research

  29. Slide 29: Balance Sheet

    Balance Sheet (unaudited) EUR thousands 31 December 2020 31 December 2019 Non-current assets Goodwill 646,793 590,445 Intangible assets 255,330 235,831 Property, plant and equipment 40,469 26,480 Financial assets 4,516 4,424 Other assets 857 1,740 Deferred tax assets 159 6,266 Total non-current asse

  30. Slide 30: Balance Sheet (cont'd)

    Balance Sheet (cont’d) (unaudited) EUR thousands 31 December 2020 31 December 2019 Equity Issued capital 201,071 200,000 Capital reserve 366,898 320,661 (Accumulated losses)/retained earnings (326,854) (429,881) Hedge reserve (61) 0 Foreign currency translation reserve (343) 1,081 Total equity attri

  31. Slide 31: Cash Flow Statement

    Cash Flow Statement (unaudited) EUR thousands Q4 2020 Q4 2019 FY 2020 FY 2019 Cash flows from operating activities Profit before taxation 46,255 46,072 170,385 95,142 Depreciation, amortisation and impairment of non-current assets 11,455 9,346 41,096 36,442 (Gain)/loss from the sale of property, pla

  32. Slide 32: Cash Flow Statement (cont'd)

    Cash Flow Statement (cont’d) (unaudited) EUR thousands Q4 2020 Q4 2019 FY 2020 FY 2019 Cash flows from financing activities Repayments of borrowings (23,845) (517,260) (62,832) (696,373) Proceeds from bank borrowings 0 536,296 0 610,313 Payments for the capital element of lease liabilities (1,505) 3

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