Solocal Group · EURONEXT:LOCAL
Solocal — Q1 2020 Earnings Presentation
20 slides from Solocal's earnings presentation, Apr 23, 2020
Slide 1: Q1 2020 Activity and Revenues
Q1 2020 Activity and Revenues 23 APRIL 2020
Slide 2: Disclaimer
Disclaimer This document contains forward-looking statements. Any forward-looking statement does not constitute forecasts as defined in European regulation (EC) 809/2004. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trend
Slide 3: Q1 2020 Highlights
Q1 2020 Highlights A good start to the year, in line with expected path ❑ Increasing adoption of the new Digital services offer ❑ Favourable acquisition & cross-sell However, significant Covid impact since mid-March : -70% Digital order intake since the beginning of the lockdown1 vs. last year 2020
Slide 4: Content
Content 1 Business Review p. 5 2 Q1 2020 Revenues & Outlook p. 12
Slide 5: Business review
Business review Eric BOUSTOULLER Chief Executive Officer
Slide 6: New digital services for VSEs/SMEs: a successful roll-out
New digital services for VSEs/SMEs: a successful roll-out A strong adoption of the subscription model A steady increase in the number of customers for new Digital services (% of subscription mode Digital products sold) Priority Ranking customers +46k Presence customers 132k 79% +51k 86k 72% 55% 35k
Slide 7: Ongoing progress in the sales transformation plan
Ongoing progress in the sales transformation plan +22% 7k 5.8k 3.7k Customer acquisition (in volumes) February 2.9k January in Jan/Feb 2020 vs. Jan/Feb 2019 2.8k 3.3k 2019 2020 Cross sell : promising trend Booster contact : x4.5 in Jan/Feb 2020 vs. Jan/Feb 2019 24 12 6 months Success of our long-mat
Slide 8: Macro & industry environment abruptly impacted by the crisis
Macro & industry environment abruptly impacted by the crisis Strong effects on French business Slowdown in local service media searches -39% store -86% store traffic traffic for grocery & in retail & -36% -35% -29% pharmacy recreation sector -41% businesses2. businesses2. -51% -74% PagesJaunes less
Slide 9: Covid-19 lockdown: massive impact since day one
Covid-19 lockdown : massive impact since day one • A lot of customers are closed or unreachable : Customer availability -45% opened points of sale in retail businesses1 down • Adjusted staff : -50%2 Adjusted staff • All eligible staff working remotely • Reduction in Digital order intake (vs. LY) Wee
Slide 10: PagesJaunes initiatives to vitalise local economy
PagesJaunes initiatives to vitalise local economy Reactive, innovative and client-centric adaptation of our services • Free rich content update on PagesJaunes : Help businesses broadcast updated opening hours, useful news or initiatives • Support French consumers in their daily life by easing access
Slide 11: Going forward, post-lockdown ramp up
Going forward, post-lockdown ramp up Securing most of sales & marketing resources back to work 1 • Mobilise at the time of economic upturn; leveraging remote working teams as a new normal. • 2020 Capex are maintained, to accelerate the roll out of 2 Deliver our new innovative products (new Presence
Slide 12: Revenues & Outlook
Revenues & Outlook Olivier REGNARD Chief Financial Officer
Slide 13: Q1 2020: Revenues & KPIs
Q1 2020 : Revenues & KPIs In million euros Q1 20191 Q1 20201 Change Digital revenues 127 118 -7.4% • Decrease in Digital revenues due to the conversion of previous quarters’ order intake into revenues Secured Digital 383 360 -5.8% • More than €360 m Digital revenues are already revenues for current
Slide 14: Q1 2020 Revenues breakdown vs. Q1 2019
Q1 2020 Revenues breakdown vs. Q1 2019 Total (€m) 142.4 • Digital revenues in line with our expectations Print 15.1 126.1 -11.5% − Impacted by negative order intake in H1 2019 8.2 and positive H2 2019 -45.7% • As of today, revenues not yet impacted by Covid crisis 127.3 − But Q2 2020 and H2 2020 wil
Slide 15: Operational measures to protect liquidity
Operational measures to protect liquidity Conservatory measures taken very quickly to preserve our business and our financial structure: Additional cost • Implementation of partial or full unemployment measures taken reductions for 50% of Solocal staff c. €40 m for 2020 on top • Cost cutting measure
Slide 16: Wrap up
Wrap up • Covid has severe impact on Solocal activity : crisis magnitude and timing yet to be assessed Under these circumstances, Solocal suspended its announced guidance on 3rd April 2020 & cannot deliver reliable guidance for 2020 yet As of today: Revenues Already €360 m Digital Implementation of
Slide 17: Annexes
Annexes solocal
Slide 18: Q1 2020 PagesJaunes traffic impacted by the crisis
Q1 2020 PagesJaunes traffic impacted by the crisis Million visits on PagesJaunes • -10% decrease in PJ visits in Q1 2020 vs. Q1 2019, as online 561 local searches are impacted by containment measures 505 • Local searches decreased by -29% overall: different trend depending on the type of business se
Slide 19: Redundancy plan 2018 & 2019: 81% of costs already paid
Redundancy plan 2018 & 2019: 81% of costs already paid € 183m already paid Planned disbursements : € 43m of which € 36m in 2020 Extension 2019 60 PSE 2018 PSE 2018 €203 m 38 32 18 19 16 15 Ext 2019 11 10 €22 m 5 1 0 0 2018 T1 19 T2 19 T3 19 T4 19 T1 20 T2 20 T3 20 T4 20 T1 21 T2 21 T3 21 T4 21 P.19
Slide 20: commerces-ouverts.pagesjaunes.fr
commerces-ouverts.pagesjaunes.fr P.20