Slide 1: Investors Presentation October 2022
Investors Presentation October 2022 INVESTORS PRESENTATION - OCTOBER 2022 1
Slide 2: Agenda
Agenda 01. WHO WE ARE 02. FINANCIAL REVIEW 03. OUTLOOK Mathias Hautefort, CEO INVESTORS PRESENTATION - OCTOBER 2022 2
Slide 3: What makes us unique
01. WHO WE ARE 02. FINANCIAL REVIEW 03. OUTLOOK What makes us unique Our technology has been a CSR approach at each stage of established in the digital operations entertainment market for 25 years A team of video experts 471,000 subscribers comprising more than 70 people Our “Content-as-a-Service” b
Slide 4: Netgem, end-to-end service operator
01. WHO WE ARE 02. FINANCIAL REVIEW 03. OUTLOOK Netgem, end-to-end service operator 01. 02. 03. 04. 05. NETGEM STUDIO NETGEM NETGEM NETGEM TV NETGEM TV CDN PLATFORM APPLICATIONS CUSTOMER STREAMING Microsoft Azure MANAGEMENT Microsoft Azure CDN PRODUCT AND SERVICE ROADMAP OPERATIONS AND MAINTENANCE E
Slide 5: Our partnership model
01. WHO WE ARE 02. FINANCIAL REVIEW 03. OUTLOOK Our partnership model Flexible for operators and recurring for Netgem Simplifying the lives of our Providing innovative and quality customers by allowing them to "Content-as-a-Service" entertainment solutions focus on their core business: very high-spe
Slide 6: Operators who trust us
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 30 operator partners Operators who trust us UK FRANCE NORDICS Viihde Elamus ROW INVESTORS PRESENTATION - OCTOBER 2022 6
Slide 7: Publishers who trust us
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 100 publisher partners Publishers who trust us Local partners VOD partners International partners INVESTORS PRESENTATION - OCTOBER 2022 7
Slide 8: Proven governance
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 Proven governance Executive Committee Board of Directors Mathias Hautefort Sandrine Alexandre Joseph Haddad Christophe Aulnette Virginie Banet Group CEO CFO Chairman of the Board Director Independent Director of
Slide 9: Shareholder structure
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 Shareholder structure A shareholder base that supports our strategy 55% Solid base 45% Significant free float 25% Joseph Haddad & family Several thousand 35% individual shareholders 09% Olivier Guillaumin & family
Slide 10: Financial Review
Financial Review INVESTORS PRESENTATION - OCTOBER 2022 10
Slide 11: 2022: our strategy is bearing fruit
01. WHO WE ARE 02. FINANCIAL REVIEW 03. OUTLOOK 2022: our strategy is bearing fruit Positive impact from the change in the Group’s Continued growth in gross business model 80% recurring margin margin +7% H1 2022 vs. H1 2021 +11% H1 2022 vs. H1 2021 Improvement in half-year Strong cash position + Inc
Slide 12: Highlights of 2022 H1
01. WHO WE ARE OPERATING REVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 Highlights of 2022 H1 28% annual growth in the number of subscribers ● 411,000 subscribers at the end of June 2022 (471,000 at end of September 2022) - a result of the rollout of NetgemTV offers to telecom oper
Slide 13: Highlights of 2022 H1
01. WHO WE ARE OPERATING REVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 Highlights of 2022 H1 Profitability looking strong Relevant positioning of the Confirmed “Content-as-a-service” offer by acceleration from one half-year to the … and continued ● an offer adapted for telecom next
Slide 14: Improving profitability indicators
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 Improving profitability indicators From revenue to current operating profit IFRS DATA H1 2022 H1 2021 CHANGE in million euros Revenue 16.3 14.7 +11% Gross margin 9.6 9.0 +7% Opex (6.5) (7.0) -7% EBITDA 3.2 2.0 +60
Slide 15: Strong improvement in operating performance
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 Strong improvement in operating performance Steady improvement in EBITDA Growth in revenue and gross margin + Cost control = Steady improvement in EBITDA each half-year Turnover Gross margin EBITDA €3.2m in H1 2
Slide 16: Group net income
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 Group net income IFRS H1 2022 H1 2021 in million euros Operating income (1.3) (2.1) Financial result (0.1) (0.0) Taxes 0.0 0.0 Net income (0.5) (1.0) (Group share) Net income (Group share) improved and amounted
Slide 17: Solid gross cash position
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 Solid gross cash position Gross cash of €5.1m and net cash of €3.2m at the end of June 2022 Cash at 01/01/2022 Internal WCR Investment flows Financing flows Cash at 06/30/2022 financing capacity The flows for the fir
Slide 18: Outlook
Outlook INVESTORS PRESENTATION - OCTOBER 2022 18
Slide 19: Our brands: assets serving our strategy
01. WHO WE ARE 02. FINANCIAL REVIEW 03. OUTLOOK Our brands: assets serving our strategy THE CORPORATE BRAND CO-BRANDING TV SERVICES BRAND UK VOD BRAND FRENCH-SPEAKING Our own TV service brand in the UK MARKETS by by TV by INVESTORS PRESENTATION - OCTOBER 2022 19
Slide 20: France
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 France ● Global agreement for ZeopTV powered by Netgem services ● Viva by VIDEOFUTUR, Netgem’s showcase technology for OTT ● New development for editors and content platforms such as Gaumont Classique INVESTORS
Slide 21: United Kingdom
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 United Kingdom ● Commercial launch of the Talk Talk 4K by NetgemTV product in March 2022 => one of the most comprehensive products on the UK market, including Sky NowTV, Amazon Prime Video, TikTok, Netflix, Britb
Slide 22: Finland
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 Finland ● Continued development with our long-term partner Elisa, leading Tier 1 operator in Finland ● Momentum of the Elisa Viihde Premium product maintained for two years with a customer satisfaction rate at a
Slide 23: Netgem sees little impact from the geopolitical context
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 Netgem sees little impact from the geopolitical context Actions taken concerning potential indirect risks: No direct impact has ◆ Security audit by an expert firm concerning the risk of cyber-attacks; been identi
Slide 24: Corporate social responsibility
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 Corporate social responsibility A TEAM OF LOYAL ACTIONS TO PROMOTE SHARING THE FRUITS OF EMPLOYEES GENDER EQUALITY GROWTH 39 years old 30% Macron bonuses paid in France proportion of women in the and similarly i
Slide 25: Environmental responsibility
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 Environmental responsibility Bandwidth optimisation Boxes ● Systematic recycling ● ● Maritime transport preferred to possibility of voluntarily limiting bandwidth air transport ● Choice of DTT hybrid solution in
Slide 26: Our 2022 goals
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022: 03. OUTLOOK FOR 2022 Our 2022 goals More than half a Acceleration of Positive momentum million subscribers growth in revenue for EBITDA and cash to our services and gross margin generation INVESTORS PRESENTATION - OCTOBER 2022 26
Slide 27: Growth outlook
01. OPERATING WHO WE AREREVIEW 02. FINANCIAL RESULTS REVIEW H1 2022 03. OUTLOOK FOR 2022 Growth outlook Development of our 3 Development of a new Ready to seize new organic reference markets in Europe commercial focus with or external growth with Telecom Operators of publishers development opportuni
Slide 28: Q&A
Q&A INVESTORS PRESENTATION - OCTOBER 2022 28
Slide 29: Thank you!
Thank you! INVESTORS PRESENTATION - OCTOBER 2022 29