Rtl Group S.a. · LUXSE:RTLL
Rtl — Deutsche Bank, London (September 2015)
28 slides from Rtl's conference presentation, Sep 3, 2015
Slide 1: Deutsche Bank, London 3 September 2015
Deutsche Bank, London 3 September 2015
Slide 2: Agenda
Agenda 1 22 Half-year RTL Group’s Group 2015 highlights financials strategy 2
Slide 3: Strong financial performance: revenue, EBITA and net profit up
Strong financial performance: revenue, EBITA and net profit up € 2,788 +3.8% million revenue YoY growth € 1.00 Interim extraordinary dividend 19.2% € 534 million +3.3% EBITA Margin € million 351 reported EBITA YoY growth +73.8% € 628 million +2.6% net profit YoY growth reported EBITDA YoY growth 3
Slide 4: Highlights of HY 2015
Highlights of HY 2015 +94% digital revenue growth EBITA growth at Mediengruppe +9.6% RTL Deutschland European media company in #1 online video1) Britain's Got Talent, Simon Cowell 1) By comScore video property ranking 4
Slide 5: Agenda: RTL Group's strategy
Agenda 1 2 Half-year RTL GroupGroup’s 2015 highlights financials strategy 5
Slide 6: Media is in a state of constant evolution
Media is in a state of constant evolution Television Monetisation Remains highly profitable – video Multi-platform distribution leads to consumption increasingly across all converging media sales and platform screens fee opportunities BROADCAST Production & IP Digital Video New global hits are hard
Slide 7: Linear TV is still strong, with non-linear likely to accelerate
Consumption Linear TV is still strong, with non-linear likely to accelerate Current video consumption1) Potential 2020 2) scenarios RTL Top 5 (GE/FR/NL/ES/UK), in minutes per day (avg.) RTL Top 5, in minutes per day Linear TV Time-shifted TV VOD +18min 231 241 259 213 5% 2% 8% 1% 6% 11% 4% 1% 98% 94
Slide 8: Viewing time is stable overall, with slight decline in young demo's
Consumption Viewing time is stable overall, with slight decline in young demo’s TV viewing time in minutes per day1) Average daily time (incl. time shifting) Germany France US CAGR CAGR CAGR 223 221 10-14 212 221 10-14 292 282 10-14 Total -0.2% Total +1% Total -1% 219 E 15-24 E 14-29 158 E 15-34 146
Slide 9: Our main channels remain #1 or #2
Consumption Our main channels remain #1 or #2…. Average audience performance by time slot in 2014 Target: 14-59 y.o., all day Target: Hswes <50 y.o., all day Target: Shoppers 20-49 y.o., all day Access Prime Late Late Access Prime Late Late Access Prime Late Late Prime Time Prime Night Prime Time Pr
Slide 10: …based on strong local productions
Consumption …based on strong local productions Germany France Netherlands Local productions Acquired content In hours, in 2014 +4% -2% +11% +X% YoY growth 65% 70% 88% 91% 91% X New format launches 40 15 11 5 20 11 X New format launches above channel average +7% -7% +34% 54% 64% 76% 34 14 5 3 14 8 10
Slide 11: But measurement systems need to follow the audience
Consumption But measurement systems need to follow the audience Type of viewing Trend Data DE FR NL Linear TV Linear viewing on TV set Extended TV Panel Measurement Time-shifted Time shifted viewing within 7 days 4 days Starting 2016 Starting Catch-Up TV (7+days) 2015 Incl. IPTV 2015 Online Hybrid o
Slide 12: We believe video will remain the dominant format in the future
Advertising We believe video will remain the dominant format in the future Forecast US ad spend by format ¹) US: Video ad spend, in $ billion 15% 8% Premium VOD Non-premium VOD TV advertising 6% 6% 4% Text 4% CAGR +3% Audio 24% 80 32% 69 9% 4% Image 35% 2% 2% 2% 67% 96% 87% 54% Video 44% 2000 2005 2
Slide 13: Transforming the Content industry
Agenda BROADCAST Transforming the Content industry CONTENT DIGITAL 13
Slide 14: FremantleMedia: More format development, drama and digital
FremantleMedia More format development, drama and digital Our strategic priorities Keep existing shows on air Maintaining core 1 business Roll out formats to new territories Create new entertainment formats Developing the 2 pipeline Strengthen new genres Through organic growth and M&A Deve
Slide 15: Maintaining the core business
FremantleMedia Maintaining the core business Long-running game shows performing well Talent shows continue to roll out Highest ratings in SCANDINAVIA 6.4 Back over 20 years 5.7 in-house 4.6 5.0 Household ratings FRANCE ASIA 3rd season Pan-regional 3.0 since back 2.4 1.9 1.9 MEXICO As a daily 08/09 0
Slide 16: Developing the pipeline – entertainment shows
FremantleMedia Developing the pipeline – entertainment shows 2014/2015 launches with potential to travel RTL Germany launch, headliner at MIPTV 2015 Sold into 12 markets (incl. Argentina, Turkey, Romania, Croatia, Czech Republic, Indonesia, Ireland, Peru) Beat The Brain – 30 Episodes BBC2 across pri
Slide 17: Push into scripted prime-time entertainment
FremantleMedia Push into scripted prime-time entertainment New acquisition New top production New development The Young Pope: Starring Jude Law, Deutschland 83: “Fresh and American Gods: TV serial adaptation (Sky, HBO & Canal Plus) enjoyable” (New York Times) of best selling novel Leading Ital
Slide 18: Status of Digital initiatives
Agenda BROADCAST Status of Digital initiatives CONTENT DIGITAL 18
Slide 19: Digital hub created to manage growth of video assets
Digital business Digital hub created to manage growth of video assets Anke Schäferkordt / Guillaume de Posch, Co-CEOs RTL DIGITAL HUB Marcel Reichart, EVP RTL Digital Hub THE RTL DIGITAL HUB TEAM #3 MCN worldwide MCN: Fashion & beauty Giles Drew #1 MCN Diane Le Douaron Video advertising Top5 exchang
Slide 20: RTL Group is becoming a truly global online video powerhouse
Digital business RTL Group is becoming a truly global online video powerhouse VIDEO VIEWS RTL GROUP HY 2015 (in billion)2) European media company 1# in online video1) digital revenue, driven by +94% acquisitions and organic 42,5 growth of +33% YouTube channels managed 15,7 45,000 by world leading st
Slide 21: Digital has become a key driver of RTL Group's top-line growth
Digital business Digital has become a key driver of RTL Group’s top-line growth DIGITAL REVENUE YoY growth In € million X2 219 +84% Ad Non-Ad 1) 103 113 +112% 1) +90% HY 2013 HY 2014 HY 2015 4% Share of total revenue 8% RTL Group to further grow its leading position in online video 1) Pro-forma 21
Slide 22: RTL Group has become a global leader on YouTube
Digital business RTL Group has become a global leader on YouTube COMSCORE MCN RANKING By video views, excl. music services1) #2 #1 #2 #5 #1 worldwide 2) in US #1 in #1 #2 #3 3) Europe #1 in #1 #2 #3 Germany 4) In June 2015 June 2014 June 2015 1) Content & ads, excl. mobile; 2) Aggregated pro-forma v
Slide 23: Global leader on YouTube
Digital business Global leader on YouTube 2) 3) 200+ hours original content produced in HY 20154) VIDEO VIEWS June 20151) El Rubius Zoella Rclbeauty 101 UNIQUE USERS 270m 265m 75m 13m 8m 3m June 20151) subs subs subs SUBSCRIBERS 700m 650m 270m 180+ CHANNELS 45,000 55,000 2,000 branded content campai
Slide 24: SpotXchange on impressive profitable growth path
Digital business SpotXchange on impressive profitable growth path Strong revenue growth Growing publisher base HY 2015 revenue growth, YoY1) Latest additions +100% YoY 4.2bn Ad decisions processed per day Live platform publishers 300+ +112% Growth of private market place usage ~100 New offices +4 In
Slide 25: RTL Group's strategic focus
Summary RTL Group’s strategic focus Strengthen & reinforce Improve & extend Reach and audience performance Sales and monetisation (ad/pay) BROADCAST Develop & innovate Broaden & intensify Broadcaster programming Digital capabilities (e.g. ad-tech) Invest & grow CONTENT DIGITAL Scale & expand Fremant
Slide 26: Thank you
Slide 27: 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
Slide 28: Deutsche Bank, London September 2015
Deutsche Bank, London 3 September 2015