Slide 1: 4Q04 Results
Opera - Simply The Best Internet Experience 4Q04 Results February 16, 2005
Slide 2: Highlights – fourth quarter 2004
Opera - Simply The Best Internet Experience Highlights – fourth quarter 2004 Increased technological lead and strengthened market position Commercial breakthrough for Opera Platform Shift in revenue mix. Strong growth in royalty income Less up-front development funding – more self-financed s
Slide 3: Opera – Achievements in Q4 - 2004
Opera - Simply The Best Internet Experience Opera – Achievements in Q4 - 2004 Increased technology lead Technical Devices: Opera 7 available for Mobile and Home Media with Opera Platform capabilities Desktop: Opera 8 to be launched on Desktop. Focus on security, speed and UI Technology: Revolutionar
Slide 4: Financial Highlights – 4Q04
Opera - Simply The Best Internet Experience Financial Highlights – 4Q04 PROFIT AND LOSS ACCOUNT Fourth Quarter Accumulated (Figures in TNOK) 2003 2004 2003 2004 Revenues, PC/Desktop 5 205 9 757 23 307 33 439 Revenues, Internet Devices 23 597 20 078 55 224 65 645 Other income 0 0 0 87 689 Total Opera
Slide 5: Higher cost base – a clear investment for the future
Opera - Simply The Best Internet Experience Higher cost base – a clear investment for the future Increased cost base in Q4 to strengthen the position as a leading player in the industry Opera has chosen projects with less fees in the development stage but with larger potential in the commercial
Slide 6: Strong growth in number of phones sold to end-users
Opera - Simply The Best Internet Experience Strong growth in number of phones sold to end-users Per year Per quarter 6 000 000 2 750 000 5 500 000 2 500 000 5 000 000 2 250 000 4 500 000 2 000 000 4 000 000 1 750 000 3 500 000 1 500 000 3 000 000 1 250 000 2 500 000 1 000 000 2 000 000 1 500 000 750
Slide 7: Our goal - at least double the number of models also in 2005
Opera - Simply The Best Internet Experience Our goal - at least double the number of models also in 2005 *: Only on Cingular’s network Nok ia 7710 Cas io W21CA Nok ia 6620* Nok ia 9300 M otorola A780 Sony Erics son P910 M otorola A1000 Se ndo X Nok ia 7610 Nok ia 9500 Nok ia 6600 BenQ P30 Sony Erics
Slide 8: Financial Highlights, Cont’d
Opera - Simply The Best Internet Experience Financial Highlights, Cont’d BALANCE SHEET 31. December (Figures in TNOK) 2003 2004 Assets Deferred taxes 21 348 1 055 Goodwill 3 143 1 571 Tangible assets 1 483 2 338 Other current assets 37 412 33 404 Cash and cash equivalents 28 388 241 275 Total assets
Slide 9: Growth trend confirmed
Opera - Simply The Best Internet Experience Growth trend confirmed Per year* Per quarter* 110 35 100 90 30 80 25 70 60 20 50 40 15 30 20 10 10 0 5 -10 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 0 -20 1Q03 2Q03 3Q03 4Q03 1Q04 2Q04 3Q04 4Q04 -30 -5 -40 -50 -10 Operating income EBIT Operating ex
Slide 10: Financial outlook
Opera - Simply The Best Internet Experience Financial outlook Opera expects a significant increase in revenue growth rate in 2005 Operas competitive position in this market is stronger into 2005 compared to last year Royalty income to grow in importance during 2005 Expect strong growth in nu
Slide 11: Strong position among major OS and phone vendors
Opera - Simply The Best Internet Experience Strong position among major OS and phone vendors Opera default on UIQ (UI used by Motorola, Sony Ericsson and others) Opera default on Nokia’s Series 80 and 90 Symbian Opera 7 on Series 60 has increased the gap in performance Operators are key to e
Slide 12: Opera Platform - first commercial version delivered
Opera - Simply The Best Internet Experience Opera Platform - first commercial version delivered Technical status Opera Platform 2.0. delivered for 3GSM (first commercial delivery based on 1.5) No other browser vendor can deliver same technology today Commercial status First commercial version
Slide 13: New pricing model
Opera - Simply The Best Internet Experience Vodafone - A new way of thinking 3G Brings speed, bandwidth and capacity which will drive new and enhanced services New pricing model Old Model New Model • Pay to browse • Free browsing on the net • Pay to download • Pay for services • Charges related to v
Slide 14: Opera Platform – Key Challenges
Opera - Simply The Best Internet Experience Opera Platform – Key Challenges Key to success is to become multiplatform Opera needs to deliver on all major platforms A danger of running to slow Some major Operators are making their bets now Opera is at this stage only ready on Symbian S-60 Some
Slide 15: Opera Platform – Key Opportunities
Opera - Simply The Best Internet Experience Opera Platform – Key Opportunities Opera has the strongest browser technology Competitors key challenge is support for DOM and web standards Strong cooperation with several of the world’s leading Operators Talking with the right partners and people V
Slide 16: Desktop: Focus on browser alternatives increases
Opera - Simply The Best Internet Experience Desktop Focus on browser alternatives increases Opera increased desktop revenue by 46% in 2004 2 000 60 000 Security issues have increased browser attention 1 800 50 000 1 600 Launch of Firefox 2H04 has created new interest in 1 400 Accumulated Downl
Slide 17: Opera 8 – A license to thrill
Opera - Simply The Best Internet Experience Opera 8 – A license to thrill ERA - makes it possible to fit any page to a window or a piece of paper Voice - Control the browser through voice commands, interact with and read web pages Speed. New, even faster EcmaScript engine User Interface - Si
Slide 18: Home media – projects to materialize in 2005
Opera - Simply The Best Internet Experience Home media – projects to materialize in 2005 4 Key Growth Trends Global Broadband Penetration – facilitating triple play Commoditization of Electronic Storage in CE Devices ”Big Picture” – LCD & Plasma Screen growth to reach above 50% Demand for wi