Slide 1: RTL Group Interim results H1/2021
6 August 2021 RTL Group Interim results H1/2021
Slide 2: Agenda
Agenda 01 02 03 04 Highlights Financials Operations Strategy & Outlook RTL Group Interim results H1/2021 2
Slide 3: 01 Highlights
01 Highlights 3
Slide 4: Highlights
Highlights ꟷ Rebound of TV advertising markets ꟷ Strong financial and operating performance ꟷ Higher TV advertising market shares in FR, NL, HU, CR ꟷ Streaming: paying subscribers +72% to more than 3 million ꟷ Fremantle revenue +29% ꟷ Major consolidation moves to build national cross-media champions
Slide 5: 02 Financials
02 Financials 5
Slide 6: Significantly higher Group revenue, Adjusted EBITA, Group profit
Significantly higher Group revenue, Adjusted EBITA, Group profit in € million Organic +21.5% growth +13.7% Margin Change 9.7% 16.0% x6 929 3,014 2,652 +87.2% 483 258 156 H1/2020 H1/2021 H1/2020 H1/2021 H1/2020 H1/2021 Group revenue Adjusted EBITA1 Group profit Note: 1. For definition, see slide 27 R
Slide 7: Rebound to pre-crisis level
Rebound to pre-crisis level 537 538 Organic growth, in % +2.1% 483 54 Group revenue -5.0% 13.7% in € million 3,173 3,014 2,652 -2.7% 35.8% -7.5% -4.2% 1,655 1,610 1,518 1,466 1,404 1,186 Q1/2019 Q1/2020 Q1/2021 Q2/2019 Q2/2020 Q2/2021 H1/2019 H1/2020 H1/2021 Adj. EBITA Streaming Adj. EBITA Adj. EBIT
Slide 8: Record Group profit
Record Group profit Per cent in € million H1/2021 H1/2020 change Adjusted EBITA 483 258 +87% Significant special items (12) (17) EBITA 471 241 +95% Re-measurement of earn-out arrangements and gain/(loss) from sale of subsidiaries, 766 88 other investments and re-measurement to fair value of pre-exis
Slide 9: Continued high Operating free cash flow
Continued high Operating free cash flow in € million H1/2021 H1/2020 Net cash from operating activities 214 336 Add: Income tax paid 238 159 Less: Acquisition of assets, net (97) (100) Add: Transaction-related costs 31 - Equals: Operating free cash flow (FCF) 386 395 Acquisition/disposal of subsidia
Slide 10: Operations
04 Operations 10
Slide 11: RTL Deutschland: Dynamic growth of TV Now
RTL Deutschland: Dynamic growth of TV Now Key financials Family of channels Highlights in € million Audience shares 14 to 59, H1/2021 Revenue Adjusted EBITA 20% 26.5% Margin 2.029 million paying subscribers on 30.06.2021 – +119% yoy Viewing time +51% vs. H1/2020 9.4% Others 23.9% 6.5% In three month
Slide 12: Groupe M6: Adjusted EBITA up 78 per cent
Groupe M6: Adjusted EBITA up 78 per cent Key financials Family of channels Highlights in € million Audience shares Women < 50 responsible Revenue Adjusted EBITA 23% for purchases, H1/2021 23.1% Margin High audience shares for main channel M6 15.1% Others 30.5% 8.0% Active users +16% in H1/2021 – ser
Slide 13: RTL Nederland: Profit margin of 21 per cent
RTL Nederland: Profit margin of 21 per cent Key financials Family of channels Highlights in € million Audience shares Adults 25 to 54, prime time, Revenue Adjusted EBITA 21% H1/2021 33.1% Margin 1.016 million paying subscribers on 30.06.2021 – +21% yoy Others Viewing time +12% vs. H1/2020 16.4% New
Slide 14: Fremantle: Creative successes boost revenue and Adjusted EBITA
Fremantle: Creative successes boost revenue and Adjusted EBITA Key financials Highlights in € million Revenue Adjusted EBITA 7% Margin 909 707 Scripted Non-scripted Factual Shows & The Mosquito Coast, Exit, The Masked Singer, The Investigation American Idol, America‘s Got Talent, Documentaries Too H
Slide 15: 04 Strategy & Outlook
04 Strategy & Outlook 15
Slide 16: Strategy framework unchanged
Strategy framework unchanged Core Growth Alliances & Partnerships Portfolio transformation Creativity & Communications People Regulation Entrepreneurship & Marketing Enabler RTL Group Interim results H1/2021 16
Slide 17: RTL – Europe's leading entertainment brand
RTL – Europe‘s leading entertainment brand ꟷ Newly developed purpose, promise and brand principles ꟷ Multicoloured logo reflects the diversity of RTL‘s content and people ꟷ Roll-out starts with RTL Group and RTL Deutschland, followed by other RTL-branded units ꟷ TV Now to be rebranded to RTL+ in aut
Slide 18: Strategy update – Core
Strategy update – Core Scale broadcasting businesses Value creation potential ꟷ Rationale: National media groups with scale and resources to compete with global tech platforms ~ €250-350m run-rate synergies within 3 years after closing ꟷ Content: Enhanced capabilities to invest in premium local cont
Slide 19: Strategy update – Core
Strategy update – Core Create German cross-media champion Transaction terms acquisition ꟷ Rationale: Cross-media champion with the scale, €230m price resources and creative power to compete with global tech platforms in Germany run-rate synergies ~ €100m to be fully realised in 2025 ꟷ Growth opportu
Slide 20: Consolidation moves in 2021 to unlock significant shareholder value
Consolidation moves in 2021 to unlock significant shareholder value Long-term Adjusted EBITA impact from synergies per year pro-forma 100% basis, in € million ~100 510 mid-point €2.0bn to RTL Group shareholder €2.2bn value from synergies 2 × 100-120 RTL Group’s synergy shares in ÷ 155m RTL merged en
Slide 21: Strategy update – Growth
Strategy update – Growth Build national streaming champions Targets 20252 unchanged 1 +72% Paying subscribers 5m to 7m paying subscribers in million 3.04 1.02 1.77 0.90 > €500m streaming revenue Videoland 0.84 0.65 2.03 1.29 TV Now 0.78 0.93 ~ €350m content spend p.a. H1/2020 H1/2021 Key figures2 in
Slide 22: Strategy update – Growth
Strategy update – Growth Expand global content business New target 2025 ꟷ High-end factual: Grow high-end factual Total revenue Fremantle talent pool and production capabilities with in € million newly established global factual division ~3.0bn ~ x2 ꟷ Scale: Leverage global footprint and become pref
Slide 23: Strategy update – Target structure
Strategy update – Target structure National cross-media champions Global content business Germany France The Netherlands Other businesses 100% 16% 70% + + 100% Cross-country cooperation and competencies Target: Ad tech €3bn in revenue via organic Streaming tech growth and M&A by 2025 International a
Slide 24: Outlook 2021 raised
Outlook 2021 raised RTL Group has raised its outlook for 2021. This outlook assumes that the economic recovery from Covid 19 will continue in 2021, as vaccination programmes progress and no new lockdown measures are put in place. 2021 2021e 2020 New old Revenue ~€6.5bn ~€6.2bn €6.0bn Adjusted EBITA
Slide 25: #RTLresults
6 August 2021 #RTLresults
Slide 26: Definitions
Definitions Alternative performance measure Explanation Adjusted EBITA represents a recurring operating result and excludes significant special items. RTL Group management has established an ‘Adjusted EBITA’ that neutralises the impacts of structural distortions for the sake of transparency. Based o
Slide 27: Definitions
Definitions Alternative performance measure Explanation Operating free cash flow is equal to net cash from operating activities adjusted by income tax paid; cash outflows from the Operating free cash flow acquisitions of programme and other rights and other intangible assets and tangible assets; cas
Slide 28: Disclaimer
Disclaimer This presentation is not an offer or solicitation of an offer to buy or sell securities. It is furnished to you solely for your information and use at this meeting. It contains summary information only and does not purport to be comprehensive or complete, and it is not intended to be (and