United Internet Ag · XETR:UTDI
United Internet — Investor Presentation (September 2024)
43 slides from United Internet's investor presentation, September 2024
Slide 1: United Internet AG Company Presentation (Q2 2024)
UNITED INTERNET AG Company Presentation (Q2 2024) 1 United Internet AG - Company Presentation Q2 2024
Slide 2: Group: KPIs H1 2024
GROUP: KPIs H1 2024 ▪ +330,000 customer contracts to 28.78 million contracts Revenues and earnings figures (in € million) H1 2023 (1) H1 2024 (2) Change Revenues 3,014.2 3,099.9 +2.8% EBITDA 668.7 662.3 -1.0% EBIT 407.1 347.4 -14.7% EPS (in €) 0.83 0.61 -26.5% ▪ Included in EBITDA 2024: ▪ € -111.0 m
Slide 3: Business Areas: Access & Applications
2 BUSINESS AREAS: ACCESS & APPLICATIONS ACCESS APPLICATIONS Consumer Access Consumer Applications Motivated Team ▪ 11,000 employees, of which approx. 4,000 in product management, development and data centers Powerful network infrastructure ▪ 64,500 km of fiber network ▪ 5G mobile network Over 100,00
Slide 4: Group Structure
GROUP STRUCTURE (as of June 30, 2024) 1&1 AG IONOS Group SE <25% >75% 63.8% 36.2% shareholders shareholders Consumer Business Consumer Business Minorities Access Access Applications Applications 100% 100% 100% 100% 31.52% 25.39% 17.58%* 4.49%** 25.10% 20.00% * Held indirectly through the 63.84% inte
Slide 5: Access
ACCESS* Consumer Access Business Access ▪ Revenues: € 4,096.7 million ▪ Revenues: € 564.0 million ▪ EBITDA: € 653.8 million ▪ EBITDA: € 162.9 million ▪ Profitability: 16.0% EBITDA margin ▪ Profitability: 31.7% EBITDA margin ▪ FTE: ~ 3,300 ▪ FTE: ~ 1,500 ▪ Total contracts: 16.26 million * Figures bas
Slide 6: Consumer Access
“CONSUMER ACCESS” Fixed-line ▪ 1&1 with 3.99 million broadband connections ▪ VDSL and FTTH complete packages including voice and IP -TV via 1&1 Versatel, with last mile via Deutsche Telekom and City Carrier Mobile ▪ 12.36 million mobile contracts ▪ First Open RAN in Europe, fully virtualized ▪ Migra
Slide 7: Consumer Access: Customer Contracts
“CONSUMER ACCESS”: CUSTOMER CONTRACTS (in millions) Mobile Internet Broadband connections 20 ▪ 16.35 million customer contracts (+90,000) 16.26 16.35 +0.09 15 ▪ 12.36 million mobile Internet contracts (+110,000) ▪ 3.99 million ADSL / VDSL / FTTH broadband lines 10 12.25 12.36 (-20,000) 5 4.01 3.99 0
Slide 8: Consumer Access: Revenues
“CONSUMER ACCESS”: REVENUES (acc. to IFRS in € millions) Service revenues Other revenues (mainly hardware) 2,500 ▪ +1.1% revenues to € 2.016 billion 1,993.1 2,015.9 +22.8 2,000 ▪ +3.8% service revenues to € 1.645 billion (+1.1%) 1,500 ▪ -9.2% other revenues (especially smartphones) 1,584.6 1,644.9 t
Slide 9: Consumer Access (I): Total EBITDA
“CONSUMER ACCESS” (I): TOTAL EBITDA (acc. to IFRS in € millions) 400 352.0 326.6 -25.4 ▪ -7.2% EBITDA to € 326.6 million, including (-7.2%) 300 ▪ € -111.0 million from expenses for the expansion of the 1&1 mobile network (prior year: € -40.8 million), thereof 200 € -14.3 million in out-of-period exp
Slide 10: Consumer Access (II): EBITDA Subsegments
“CONSUMER ACCESS” (II): EBITDA SUBSEGMENTS (acc. to IFRS in € million) EBITDA “Access” 500 437.6 400 392.8 +44.8 “Access” (+11.4%) 300 ▪ +11.4% EBITDA to € 437.6 million 200 100 ▪ 21.7% EBITDA margin (prior year: 19.7%) 0 H1 2023 H1 2024 EBITDA “1&1 Mobile Network” “1&1 Mobile Network” 0 -50 -96.7 ▪
Slide 11: Business Access
“BUSINESS ACCESS” ▪ One of the largest German fiber-optic networks ▪ Project business and plug-and-play solutions for medium-sized companies ▪ Fiber-optic network with 64,455 km ▪ In more than 350 German cities, including in the 25 largest cities ▪ 26,781 directly connected locations Fiber optic exp
Slide 12: Business Access: Revenues
“BUSINESS ACCESS”: REVENUES (acc. to IFRS in € millions) 300 283.2 270.8 +12.4 (+4.6%) ▪ +4.6% revenues to € 283.2 million 200 100 0 H1 2023 H1 2024 12 United Internet AG - Company Presentation Q2 2024
Slide 13: Business Access: EBITDA
“BUSINESS ACCESS”: EBITDA (acc. to IFRS in € millions) 80 77.2 78.7 +1.5 (+1.9%) ▪ +1.9% EBITDA to € 78.7 million, including ▪ € -16.4 million start-up costs (prior year: € -11.8 million) in 60 the new business areas “5G” and “expansion of commercial areas” 40 ▪ 27.8% EBITDA margin (prior year: 28.5
Slide 14: Applications
APPLICATIONS* Consumer Applications Business Applications ▪ Revenues: € 304.3 million ▪ Revenues: € 1.423 billion ▪ EBITDA: € 109.8 million ▪ EBITDA: € 373.7 million ▪ Profitability: 36.1% EBITDA margin ▪ Profitability: 26.3% EBITDA margin ▪ FTE: ~ 1,050 ▪ FTE: ~ 4,350 ▪ Total contracts: 42.77 milli
Slide 15: Consumer Applications
“CONSUMER APPLICATIONS” ▪ With GMX, WEB.DE and mail.com, one of the leading providers of consumer applications ▪ Broad product portfolio for private customers: Communication Online Office texts, spreadsheets, Personal Information Management (e-mail, and organization presentations E-mail, calendar, c
Slide 16: Consumer Applications: Accounts
“CONSUMER APPLICATIONS”: ACCOUNTS (in millions) Free-Accounts Pay-Accounts 50 42.73 41.66 -1.07 ▪ 41.66 million Consumer accounts (-1.07 million) 40 ▪ 38.75 million free accounts (-1.18 million) 30 particularly due to seasonal factors and higher security 39.93 38.75 requirements 20 ▪ 2.91 million pa
Slide 17: Consumer Applications: Revenues
“CONSUMER APPLICATIONS”: REVENUES (acc. to IFRS in € millions) 150 144.4 +17.3 127.1 (+13.6%) ▪ +13.6% revenues to € 144.4 million 100 50 0 H1 2023 (1) H1 2024 (1) (1) Excluding revenue contributions of € 13.4m (prior year: € 13.9m) from Energy and De-Mail 17 United Internet AG - Company Presentatio
Slide 18: Consumer Applications: EBITDA
“CONSUMER APPLICATIONS”: EBITDA (acc. to IFRS in € millions) 60 ▪ +16.4% EBITDA to € 53.9 million 53.9 +7.6 46.3 (+16.4%) ▪ 37.3% EBITDA margin (prior year: 36.4%) 40 Continued good revenues growth expected; the 20 associated profitability growth is to be invested in future growth in H2 2024 0 H1 20
Slide 19: Business Applications
“BUSINESS APPLICATIONS” ▪ IONOS as Europe's leading digitization partner for freelancers and small/medium-sized enterprises and reliable cloud enabler ▪ Active in 15 European countries as well as in the USA, Canada and Mexico ▪ Broad product portfolio from Web Presence & Productivity to Cloud Soluti
Slide 20: Business Applications: Customer Contracts
“BUSINESS APPLICATIONS”: CUSTOMER CONTRACTS (in millions) Abroad Domestic 10 9.39 9.52 +0.13 ▪ 9.52 million customer contracts (+130,000) 8 ▪ 4.91 million abroad (+110,000) 4.80 4.91 6 ▪ 4.61 million in Germany (+20,000) 4 2 4.59 4.61 0 31.12.2023 30.06.2024 20 United Internet AG - Company Presentat
Slide 21: Business Applications: Revenues
“BUSINESS APPLICATIONS”: REVENUES (acc. to IFRS in € millions) 900 ▪ +6.1% revenues to € 751.6 million 751.6 750 708.6 +43.0 (+6.1%) ▪ Customer growth 600 ▪ Increased up- and cross-selling 450 ▪ Lower aftermarket revenues due to temporary phasing effects 300 in connection with a new product launch (
Slide 22: Business Applications: EBITDA
“BUSINESS APPLICATIONS”: EBITDA (acc. to IFRS in € millions) 225 207.4 192.3 +15.1 ▪ +7.9% EBITDA to € 207.4 million (+7.9%) 180 ▪ € -8.9 million phasing in marketing expenses 135 ▪ € -5.0 million lower EBITDA in the aftermarket business 90 ▪ 27.6% EBITDA margin (prior year: 27.1%) +12.1% EBITDA gro
Slide 23: IONOS leading partner for SMB digitalization in Europe
IONOS IS THE LEADING PARTNER FOR SMB DIGITALIZATION IN EUROPE WI TH A BROAD STRATEGIC FOOTPRINT AND LEADING LOCAL BRANDS IONOS footprint in 18 markets & local brand champions Webhosting market share in Europe (%)1 1 Sweden Germany 1 Europe overall 1 >2x UK Spain 1 Netherlands Poland Canada Germany A
Slide 24: Large and fast-growing market driven by secular trends
LARGE AND FAST-GROWING MARKET DRIVEN BY SECULAR TRENDS Large and untapped IONOS addressable market 15-26***, €bn SMB core target group* >90mm 89 19% CAGR SMBs in North America and Europe 15% CAGR 55 38 15 ~58mm 16 3 22 34 SMBs across Europe 14 2015A 2021A 2026F ~6mm CAGR 15–21 21–26 IONOS customers*
Slide 25: Comprehensive product portfolio, customer care and infrastructure
COMPREHENSIVE PRODUCT PORTFOLIO, FIRST CLASS CUSTOMER CARE AND INFRASTRUCTURE Strong customer support organisation (Personal Service Agent & 24/7 multi-channel support) WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS One-stop-shop for all digitalization needs of SMBs Trusted European cloud provider for
Slide 26: IONOS one-stop-shop portfolio enables end-to-end digitisation journey
THE IONOS ONE-STOP-SHOP PORTFOLIO ENABLES AN END-TO-END DIGITISATION JOURNEY FOR OUR CUSTOMERS 1 3 5 7 MyWebsite Now Digitize your business and Leverage cloud For domains Set up your processes with computing, scalable that have website and a trusted partner infrastructure and already been present yo
Slide 27: Results Q2 2024
RESULTS Q2 2024 27 United Internet AG - Company Presentation Q2 2024
Slide 28: Group: KPIs as of June 30, 2024
GROUP: KPIs AS OF JUNE 30, 2024 P&L ratios acc. to IFRS in € million H1 2023 (1) H1 2024 (2) Change Fee-based customer contracts 27.91 28.78 ▪ +0.87 million Advertising financed free accounts 39.52 38.75 ▪ -0.77 milllion (pay accounts: +0.21 million) Revenues 3,014.2 3,099.9 ▪ +2.8% ▪ -1.0% despite
Slide 29: Group: EBITDA / Free Cash Flow Bridge as of June 30, 2024
GROUP: EBITDA / FREE CASH FLOW BRIDGE AS OF JUNE 30, 2024 (nach IFRS in Mio. €) 661.6 -280.9 -262.9 -155.9 -104.3 36.6 -105.8 -80.0 -185.8 EBITDA Capex Contingent Tax Phasing effects Working Capital Free Cashflow Leasing Free Cashflow H1 2024(1) (net) payment from Q4 2023 & others H1 2024 after leas
Slide 30: Group: Balance Sheet as of June 30, 2024 (I)
GROUP: BALANCE SHEET AS OF JUNE 30, 2024 (I) (acc. to IFRS in € millions) Vermögenswerte 31.12.2023 30.06.2024 Erläuterungen ▪ Increase due to investments made in H1 2024 (primarily in Property, plant and equipment / intangible assets 4,406.9 4,656.7 the fiber optic/mobile network) Goodwill 3,628.8
Slide 31: Group: Balance Sheet as of June 30, 2024 (II)
GROUP: BALANCE SHEET AS OF JUNE 30, 2024 (II) (acc. to IFRS in € millions) Liabilities and equity 31.12.2023 30.06.2024 Comments Equity 5,555.1 5,453.1 ▪ Equity ratio: -2.3 PP to 47.3% ▪ Bank liabilities (net): € 2,793.8 million (December 31, 2023: € 2,436.6 million); Increase in particular due to T
Slide 32: Outlook 2024
OUTLOOK 2024 32 United Internet AG - Company Presentation Q2 2024
Slide 33: Outlook 2024
OUTLOOK 2024 Adjustment on August 2, 2024 ▪ Revenues: approx. € 6.4 billion (previously expected: approx. € 6.5 billion; 2023: € 6.213 billion) ▪ Lower revenues in “Consumer Access” ▪ Lower aftermarket revenues in “Business Applications” ▪ EBITDA: approx. € 1.38 billion or approx. € 1.39 billion exc
Slide 34: Share and Dividend
SHARE AND DIVIDEND 34 United Internet AG - Company Presentation Q2 2024
Slide 35: Share Price Development and Shareholder Structure
SHARE PRICE DEVELOPMENT AND SHAREHOLDER STRUCTURE 60 € € 59.80 (ATH: 09.01.2018) Key Share Facts & Figures: 50 € € 19.04 (23.08.2024) ▪ ISIN: DE0005089031 40 € ▪ WKN: 508903 € 1.02 (23.3.98) ▪ Stock Exchange: Xetra 30 € 2008: Financial crisis ▪ Index: MDAX, TecDAX 20 € 2020: COVID-19 ▪ Shares: 192.0
Slide 36: Shareholder Return
SHAREHOLDER RETURN Dividend payments Share buy backs Share capital (cumulative in € million) (cumulative in € million) (in € million) 1600 270 1.400 1400 250 1.200 1200 1.000 230 1000 800 800 210 600 600 190 400 400 200 170 200 0 0 150 ▪ Dividend payment for fiscal year 2024: ▪ Total of more than €
Slide 37: Sustainability at United Internet
SUSTAINABILITY AT UNITED INTERNET 37 United Internet AG - Company Presentation Q2 2024
Slide 38: Sustainability at United Internet
SUSTAINABILITY AT UNITED INTERNET Corporate Digital Social Ecological Responsibility Responsibility Responsibility Responsibility ▪ Responsible ▪ Digital Participation ▪ Working Conditions ▪ Energy Consumption Corporate and Decarbonization Management ▪ Information Security ▪ Diversity and Equal ▪ Da
Slide 39: Focus Topics & Highlights 2023
FOCUS TOPICS & HIGHLIGHTS 2023 § MISSION STATEMENT SUPPLY CHAIN DIVERSITY CSRD EMISSIONS Development of a Group-wide Continuous diversity strategy, improvement of Development of a Implementation of including diversity energy efficiency and Preparation for the common the German Supply targets using g
Slide 40: United Internet – ESG Approach
UNITED INTERNET – ESG APPROACH ESG – Environment – Social – Governance & Digital Responsibility IONOS data centers are powered by United Internet's employees are the key to its € 69 million donations for UNICEF Information management system green electricity and are ISO 50001 success since 2006 acco
Slide 41: ESG Ratings 2023
ESG RATINGS 2023 Rating agency Overall rating 2023 C- A 22.3 submitted 37 2.6 Overall rating 2022 C- A 21.8 C 40 2.6 Overall rating 2021 C- BBB 21.5 C 36 2.9 Highlights Especially in the governmental The company’s Dimension United overall exposure is Internet scores medium and is Environmental highe
Slide 42: Investor Relations Contact
INVESTOR RELATIONS CONTACT DOMINIC GROSSMANN VOTING RIGHTS* Head of Investor Relations United Interent AG Phone: +49 2602 / 96-1671 Elgendorfer Straße 57 E-Mail: dgrossmann@united-internet.de D-56410 Montabaur E-Mail: voting-rights@united-internet.de * Please use the provided email address for share
Slide 43: United Internet AG: Our success story continues!
UNITED INTERNET AG Our success story continues! 43 United Internet AG - Company Presentation Q2 2024
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