United Internet Ag · XETR:UTDI

United Internet — Ionos — Investor Day (November 2022)

158 slides from United Internet's investor day presentation, Nov 15, 2022

Slide 1: #1 European SMB Digitalization Partner & Trusted Cloud Enabler
#1 European SMB Digitalization Partner & Trusted Cloud Enabler CAPITAL MARKETS DAY PRESENTATION | November 2022 Copyright Copyright © IONOS © IONOS TopCo SE 2022 1
Slide 2: Disclaimer
DISCLAIMER Important Notice opinions or otherwise arising in connection therewith. None of the Presentation, any future issue of securities nor any NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO ANY JURISDICTION subscription for, purchase or sale of securities made
Slide 3: Disclaimer (cont'd)
DISCLAIMER (cont’d) Unless otherwise specified, the information in this Presentation on the market environment, market developments, United Internet have not been, and will not be, registered under the US Securities Act of 1933, as amended (the market sizes, growth rates, market trends and competiti
Slide 4: Agenda
Agenda AGENDA ITEM PAGES P R E S E NT ERS T I M E ( UK T I M E ) Introduction 5 – 23 Achim Weiss 11:00 – 11:30 Market & competitive landscape 24 – 36 Achim Weiss 11:30 – 11:50 BREAK 11:50 - 12:00 Product suite 37 – 53 Achim Weiss 12:00 – 12:30 Our customers 54 – 65 Martin Endress 12:30 – 12:45 Marke
Slide 7: Today's presenters
Today’s presenters Achim Britta Dr. Martin Arthur Hüseyin Henning Weiss Schmidt Endress Mai Dogan Kettler Chief Executive Chief Financial Chief Customer Chief Marketing Chief Operating Chief Technology Officer Officer Officer Officer Officer Officer 25+ 10+ 15+ 15+ 20+ 20+ Co-Founder Founder X Years
Slide 9: #1 European SMB digitalization partner & trusted cloud enabler
#1 European SMB digitalization partner & trusted cloud enabler 1. Leading Web Presence & Productivity 2. Augmented by our high growth player aftermarket business sedo 1st 2nd ~€800mm ~€150mm2 ~22mm Market positions Revenue2 of which Exceptional EBITDA European Revenue Domains listed in 6 core Europe
Slide 11: 2021 delivered strong and sustainable growth, profitability and cash generation
2021 delivered strong and sustainable growth, profitability and cash generation Leading partner for digitalization, active in 18 markets across Europe and €1.1bn total revenue2 (12% yoy growth) ~90% recurring revenue3 North America, accessible worldwide High revenue visibility and predictability Sub
Slide 12: Successful transformation into the leading enabler for European SMBs
Successful transformation into the leading enabler for European SMBs 1998 2000-2007 2006-2008 2016 2017 2018 2021 2022 1&1 became shareholder of internet 1&1 Hosting launched Acquisition of fasthosts STRATO entered Warburg Pincus invested Expansion we22 STRATO entered pioneer Schlund + Partner (foun
Slide 13: Comprehensive product portfolio, first class customer care and infrastructure
Comprehensive product portfolio, first class customer care and infrastructure Strong customer support organisation (Personal Service Agent & 24/7 multi-channel support) v WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS One-stop-shop for all digitalization needs of SMBs Trusted European cloud provider fo
Slide 15: IONOS represents a unique equity story
IONOS represents a unique equity story MARKET Large, resilient and fast-growing SMB market, fuelled by digitalization and shift to Cloud #1 European digitalization partner & trusted cloud enabler for SMBs with leading1 positions in 6 LEADERSHIP core countries and broad strategic footprint PRODUCT Sc
Slide 16: Championing a large, attractive and fast-growing market driven by secular trends
M AR K ET LEAD ER S H I P PRODUCT C U S T O M ER S G R O W T H LEV ER S F I NANC I ALS C U LT U R E Championing a large, attractive and fast-growing market driven by secular trends Large and untapped IONOS addressable market ’15-263, €bn SMB core target group1 19% 89 >90mm CAGR SMBs in North America
Slide 17: Leading partner for SMB digitalization in Europe with broad strategic footprint
M AR K ET LEAD ER S H I P PRODUCT C U S T O M ER S G R O W T H LEV ER S F I NANC I ALS C U LT U R E IONOS is the leading partner for SMB digitalization in Europe with a broad strategic footprint and leading local brands IONOS footprint in 18 markets & local brand champions Webhosting market share in
Slide 18: Easy-to-use, intuitive and scalable platform offering mission critical products
M AR K ET LEAD ER S H I P PRODUCT C U S T O M ER S G R O W T H LEV ER S F I NANC I ALS C U LT U R E Easy-to-use, intuitive and scalable platform offering mission critical products across the customer lifecycle Broad portfolio… … supported by unique differentiators Proprietary tech 2 Vertically integ
Slide 19: Highly diversified, loyal customer base with strong unit economics
M AR K ET LEAD ER S H I P PRODUCT C U S T O M ER S G R O W T H LEV ER S F I NANC I ALS C U LT U R E Highly diversified, loyal customer base with strong unit economics ~6mm 10x+ ~12-18 ~90% >7y Subscription Average customer Customers CLTV/CAC2 Months payback3 revenue lifetime Diversified customer bas
Slide 20: IONOS is well positioned to take advantage of multiple additional growth levers
M AR K ET LEAD ER S H I P PRODUCT C U S T O M ER S G R O W T H LEV ER S F I NANC I ALS C U LT U R E IONOS is well positioned to take advantage of multiple additional growth levers… Driving Accelerated Further Build the International Expand product Platform for digitalization growth via up- accelerat
Slide 21: Benefitting from building the strongest brand in the industry
M AR K ET LEAD ER S H I P PRODUCT C U S T O M ER S G R O W T H LEV ER S F I NANC I ALS C U LT U R E …and is benefitting from building the strongest brand in the industry ✓ Further cementing the position of our well recognised and trusted brand ✓ Increasing the share of branded and organic customer t
Slide 22: Subscription-based business model with strong and sustainable revenue growth
M AR K ET LEAD ER S H I P PRODUCT C U S T O M ER S G R O W T H LEV ER S F I NANC I ALS C U LT U R E Subscription-based business model with strong and sustainable revenue growth, high visibility, attractive profitability and cash flow generation Industry leading growth Cash conversion rate Attractive
Slide 23: Strong commitment to the environment and people is a driver of value
M AR K ET LEAD ER S H I P PRODUCT C U S T O M ER S G R O W T H LEV ER S F I NANC I ALS C U LT U R E IONOS’ strong commitment to the environment and people is a clear driver of value creation We focus on energy efficiency measures … … and people, culture & sense of community 115 ✓ 1.41 ✓ 100% ✓ 23.9%
Slide 25: SMBs represent a large target group that is digitally underserved
M AR K ET O P P O R T U NI T Y W EB P R ES ENC E & P R O D U C T I V I T Y C LO U D S O LU T I O NS C O M P ET I T I V E LAND S C AP E SMBs represent a large target group that is digitally underserved >90mm SMBs in North America and Europe <1% (~300k) Medium + large SMBs & public entities (50+ FTE)
Slide 26: Served addressable market is large and growing fast
M AR K ET O P P O R T U NI T Y W EB P R ES ENC E & P R O D U C T I V I T Y C LO U D S O LU T I O NS C O M P ET I T I V E LAND S C AP E Our served addressable market is large and growing fast, with Cloud Solutions becoming a bigger proportion of the overall market Served addressable market in 2021, C
Slide 27: Web Presence & Productivity is a large market with stable growth
M AR K ET O P P O R T U NI T Y W EB P R ES ENC E & P R O D U C T I V I T Y C LO U D S O LU T I O NS C O M P ET I T I V E LAND S C AP E Web Presence & Productivity is a large market with stable and predictable growth €22bn 9% Served addressable 21-26F CAGR Web Presence & Forecasted market Productivit
Slide 28: Growth in our key regions is driven by secular trends
M AR K ET O P P O R T U NI T Y W EB P R ES ENC E & P R O D U C T I V I T Y C LO U D S O LU T I O NS C O M P ET I T I V E LAND S C AP E Growth in our key regions is driven by secular trends Continued growth in the number of SMBs, especially solo-preneurs 1 and micro SMBs Web Presence & Productivity S
Slide 29: Cloud Solutions market represents an attractive growth opportunity
M AR K ET O P P O R T U NI T Y W EB P R ES ENC E & P R O D U C T I V I T Y C LO U D S O LU T I O NS C O M P ET I T I V E LAND S C AP E The Cloud Solutions market represents an attractive growth opportunity €15bn 29% Served addressable 21-26F CAGR Cloud Solutions Cloud Solutions Forecasted market mar
Slide 30: Strong growth in our Served Addressable Market in Cloud Solutions
M AR K ET O P P O R T U NI T Y W EB P R ES ENC E & P R O D U C T I V I T Y C LO U D S O LU T I O NS C O M P ET I T I V E LAND S C AP E Strong growth in our Served Addressable Market in Cloud Solutions 1 Cloud computing has become ubiquitous 55 Cloud Solutions market ’15-26 Growing number of Cloud na
Slide 31: European market leader in Webhosting
M AR K ET O P P O R T U NI T Y W EB P R ES ENC E & P R O D U C T I V I T Y C LO U D S O LU T I O NS C O M P ET I T I V E LAND S C AP E IONOS is the European market leader in Webhosting, with scale and diversification across attractive geographies and products in Europe Webhosting market share Footpr
Slide 32: Competitive advantages in Web Presence & Productivity market
M AR K ET O P P O R T U NI T Y W EB P R ES ENC E & P R O D U C T I V I T Y C LO U D S O LU T I O NS C O M P ET I T I V E LAND S C AP E IONOS sees competitive advantages against its competitors in the Web Presence & Productivity market Why sees competitive Why sees competitive advantages vs digital p
Slide 33: Our leading IONOS Cloud offering
M AR K ET O P P O R T U NI T Y W EB P R ES ENC E & P R O D U C T I V I T Y C LO U D S O LU T I O NS C O M P ET I T I V E LAND S C AP E Our leading IONOS Cloud offering… Public Cloud – Services and Solutions 2021 2021 ISG Provider Hyperscale Infrastructure and Platform Services Germany Lens Leader Lo
Slide 34: A strong challenger in the Cloud Solutions market
M AR K ET O P P O R T U NI T Y W EB P R ES ENC E & P R O D U C T I V I T Y C LO U D S O LU T I O NS C O M P ET I T I V E LAND S C AP E … makes us a strong challenger in the Cloud Solutions market Why sees competitive Why sees competitive advantages vs hyperscalers advantages vs other EU Cloud player
Slide 35: Numerous customer examples underpin competitiveness in Cloud
M AR K ET O P P O R T U NI T Y W EB P R ES ENC E & P R O D U C T I V I T Y C LO U D S O LU T I O NS C O M P ET I T I V E LAND S C AP E Numerous customer examples underpin our competitiveness in Cloud ”The public sector digitalisation security expert“ About dataport • dataport is an IT service provid
Slide 36: Market & competitive landscape – Key takeaways
Market & competitive landscape – Key takeaways #1 Sizeable €22bn Web Presence Structural growth Clear market leadership in & Productivity market in our markets Europe complemented by fast- growing €15bn Cloud Solutions market Copyright © IONOS TopCo SE 2022 36
Slide 38: One-stop-shop portfolio enables end-to-end digitisation journey
The IONOS one-stop-shop portfolio enables an end-to-end digitisation journey for our customers Protect your brand with a domain For domains that have Communicate your professional identity already been rewarded with company branded e-mail 1 ccTLDs 2 3 Business Mail “My customers can now find my busi
Slide 39: Leading global domain platform
WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS DOMAINS E-MAIL & OFFICE WEBHOSTING & SITEBUILDER E-COMMERCE SERVER HOSTING IONOS serves customers via its leading global domain platform Domains are a necessity Longstanding experience in domains Everyone needs domains to build From small businesses, perso
Slide 40: Aftermarket business is the largest in Europe
WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS DOMAINS E-MAIL & OFFICE WEBHOSTING & SITEBUILDER E-COMMERCE SERVER HOSTING Our Aftermarket business is the largest in Europe and allows us to significantly augment our domains business IONOS’ Aftermarket activities Buying domains Search and look for a doma
Slide 41: Strong e-mail and office offering
WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS DOMAINS E-MAIL & OFFICE WEBHOSTING & SITEBUILDER E-COMMERCE SERVER HOSTING Our strong e-mail and office offering serves an essential customer need of further professionalizing their business Must-have business product Security and privacy Professional exte
Slide 42: Agnostic, reliable and secure hosting platform
WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS DOMAINS E-MAIL & OFFICE WEBHOSTING & SITEBUILDER E-COMMERCE SERVER HOSTING Our agnostic, reliable and secure hosting platform is at the center of our integrated product offering Highly optimized platform Secure and reliable Ease of use through 1-click appl
Slide 43: 30+ years industry evolution from HTML website to minutes
WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS DOMAINS E-MAIL & OFFICE WEBHOSTING & SITEBUILDER E-COMMERCE SERVER HOSTING 30+ years industry evolution from hosting a HTML-based website to a world in which anyone can create and publish a website in minutes “I need an online presence that drives my busin
Slide 44: WordPress is the dominant CMS in the world
WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS DOMAINS E-MAIL & OFFICE WEBHOSTING & SITEBUILDER E-COMMERCE SERVER HOSTING WordPress deep-dive WordPress is the dominant CMS in the world today and an essential part of our Web Presence & Productivity strategy Percentages of websites using various content
Slide 45: Early movers in the WordPress ecosystem
WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS DOMAINS E-MAIL & OFFICE WEBHOSTING & SITEBUILDER E-COMMERCE SERVER HOSTING WordPress deep-dive We were early movers in the WordPress ecosystem and are helping our customers to navigate through the labyrinth of options Increasing popularity has been accompa
Slide 46: Diverse range of products based on WordPress
WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS DOMAINS E-MAIL & OFFICE WEBHOSTING & SITEBUILDER E-COMMERCE SERVER HOSTING WordPress deep-dive Our diverse range of products is based on WordPress and addresses customers of any skill level 1 Do It Yourself (DIY) 2 Do It For Me (DIFM) You choose your desig
Slide 47: Leading online presence creator
WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS DOMAINS E-MAIL & OFFICE WEBHOSTING & SITEBUILDER E-COMMERCE SERVER HOSTING We serve customers with a leading online presence creator allowing for flexibility and scalability Digital presence starts with a website Offering both open source and walled garden
Slide 48: Everything you need for e-commerce success
WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS DOMAINS E-MAIL & OFFICE WEBHOSTING & SITEBUILDER E-COMMERCE SERVER HOSTING We offer everything you need for e-commerce success Maximum optionality State-of-the-art platform Sell anything (physical, digital) anywhere (shop, From basic entry level B2C functi
Slide 49: High performance dedicated infrastructure
WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS DOMAINS E-MAIL & OFFICE WEBHOSTING & SITEBUILDER E-COMMERCE SERVER HOSTING High performance dedicated infrastructure allows us to serve specific customer needs Broad portfolio for any performance demand Easy administration & full flexibility Professional (
Slide 50: All types of Cloud Solutions
WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS We provide all types of Cloud Solutions, allowing us to serve every customer need Private cloud Public cloud Managed Private Cloud Bare Metal Cloud Virtual Private Server Enterprise Cloud Platform (based on VMWare) Managed cloud cluster environment with Cl
Slide 51: PaaS represents a core strategic focus
WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS Based on attractive business proposition PaaS represents a core strategic focus for IONOS Customer benefits Opportunities for IONOS Time to market The product is ready to use, reducing the need to hire experts Extending our target group from pure “IT-tech”
Slide 52: THE European Cloud alternative
WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS We believe we are THE European Cloud alternative Independence and security Flexibility and performance In-house Geo independence Compliance with >210k Ability to Future-proof Full flexibility on any developed and and compliant to GDPR – no dedicated cores
Slide 53: Product suite – Key takeaways
Product suite – Key takeaways Easy to use, intuitive and One-stop-shop for all GDPR-compliant EU Cloud scalable platform with a digitalization needs of provider with Cloud native carefully designed SMBs with strong cross- architecture and full product suite across the and up-selling potential contro
Slide 55: Serves customers of all sizes with focus on solo-preneurs and SMBs
CUSTOMER SEGMENTATION CUSTOMER TESTIMONIALS KPIS AND COHORT VIEWS IONOS serves customers of all sizes with focus on solo-preneurs and SMBs Web Presence & Productivity Cloud Solutions Customer type / % of total1 Solo-preneurs | 50% SMBs | 48% Agencies | 2% Mid market | <1% Public sector | <1% Private
Slide 56: Customers can seamlessly grow with Web Presence & Productivity
CUSTOMER SEGMENTATION CUSTOMER TESTIMONIALS KPIS AND COHORT VIEWS Customers can seamlessly grow their businesses with our Web Presence & Productivity offering “Swiss cuisine at its best, in the heart of Berlin” “A little bit of Hollywood at Chiemsee” About Schwarze Heidi About Spreadfilms Jeniffer S
Slide 57: Customers start small and later migrate critical workloads to Cloud
CUSTOMER SEGMENTATION CUSTOMER TESTIMONIALS KPIS AND COHORT VIEWS Many customers start small and later migrate critical workloads and apps to our Cloud “The IT-star in Germany‘s far North” “A mid-sized partner for mid-sized enterprises” About VIAKOM About proALPHA Managed Service Provider and proALP
Slide 59: Large and growing customer base with low concentration
CUSTOMER SEGMENTATION CUSTOMER TESTIMONIALS KPIS AND COHORT VIEWS We have a large and growing customer base with low customer concentration… Number of customers and net customer adds (000’s)1 2021 revenue breakdown2 ~2% ~4% +2.4% +2.0% +137 +112 5,894 5,757 5,645 sdsdsdsd Top 10 customers Top 100 cu
Slide 60: Sustainable ARPU growth across the portfolio
CUSTOMER SEGMENTATION CUSTOMER TESTIMONIALS KPIS AND COHORT VIEWS ... and have seen sustainable ARPU growth across the portfolio Monthly ARPU (€)1 +4.7% Customers purchase higher value +2.4% products and services as they grow +0.6 with IONOS +0.3 13.3 12.7 Successful cross-sell of additional 12.4 pr
Slide 61: Significant long-term value from each customer cohort
CUSTOMER SEGMENTATION CUSTOMER TESTIMONIALS KPIS AND COHORT VIEWS IONOS generates significant and long-term value from each customer cohort IONOS1 2015 Cohort – WP&P revenue by product group evolution New customers are attracted 3 1 and benefit from welcome 2 discounts in the first year 4 5 Full pri
Slide 62: Customers onboarded until 2017 contribute ~80% of 2021 revenue
CUSTOMER SEGMENTATION CUSTOMER TESTIMONIALS KPIS AND COHORT VIEWS Customers onboarded until 2017 contribute ~80% of 2021 revenue IONOS1 WP&P revenue over time by customer cohort Sticky customer base 2021 cohort --- 100% with strong net retention 2020 cohort 2019 cohort Older cohorts remain a 2018 co
Slide 63: Effective retention measures have improved churn
CUSTOMER SEGMENTATION CUSTOMER TESTIMONIALS KPIS AND COHORT VIEWS Effective retention measures have improved customer churn significantly Customer churn and average lifetime evolution1 7.7 +0.7 years ✓ Activation: Trigger-based, personalized increase in onboarding to ensure 7.0 7.1 average customers
Slide 64: Attractive and highly predictable unit economics
CUSTOMER SEGMENTATION CUSTOMER TESTIMONIALS KPIS AND COHORT VIEWS Attractive and highly predictable unit economics demonstrating strong profitability profile Short and highly predictable Exceptional CLTV / CAC across different methodologies payback period 2021A CAC defined as the amount +10x of recu
Slide 65: Our customers – Key takeaways
Our customers – Key takeaways We serve a large, growing Attractive cohort Best-in-class unit economics on and diversified customer lifetime values the back of efficient marketing base without customer concentration Copyright © IONOS TopCo SE 2022 65
Slide 66: Marketing, sales and customer care
Marketing, sales and customer care Arthur Mai, CMO Dr. Martin Endress, CCO Hüseyin Dogan, COO Copyright © IONOS TopCo SE 2022 66 Copyright © IONOS TopCo SE 2022 66
Slide 67: IONOS House of Brands
MARKETING SALES CUSTOMER CARE IONOS House of Brands: Strong footprint with local brand approaches #1 European SMB digitalization partner & trusted cloud enabler with strong North America presence Local champions Value brand Value brand Value brand Value brand Value brand Countries with brand presenc
Slide 68: Efficient go-to-market strategy and sticky customer base
MARKETING SALES CUSTOMER CARE IONOS has an efficient go-to-market strategy and a sticky customer base which translates into attractive unit economics Go-to-market strategy components Customer Lifetime Value / Customer Acquisition Cost Tailored Marketing approach Customer Life Well-balanced, Time Val
Slide 69: Advanced Marketing set-up with innovation and efficiency
MARKETING SALES CUSTOMER CARE Advanced Marketing set-up with innovation and efficiency built into our DNA Level 3 Level 4 Level 2 > +32% +14% increase in Marketing efficiency2 ROI based branding Level 1 increase in Marketing-driven sales1 AI/ML & automation Data-Driven & Scaling ■ Branding investmen
Slide 70: Excellence along the funnel leads to strong Marketing toolkit
MARKETING SALES CUSTOMER CARE Excellence along the entire funnel leads to a strong Marketing toolkit Brand marketing Product marketing Performance marketing Defining strong brand messages Integrated product marketing campaigns Data driven online marketing IONOS marketing and creating 360° campaigns
Slide 71: In a consolidating market, a strong brand will win
MARKETING SALES CUSTOMER CARE In a consolidating market, a strong brand will be the winner in the long run Launch: September 2021 Launch: May 2022 Launch: September 2022 Launch: September 2022 Building an evergreen brand that is Increase in target audience Increase in CLTV and synonymous for Web Pre
Slide 73: Benefit from brand reputation as trusted partner to SMBs
MARKETING SALES CUSTOMER CARE We will continue to benefit from our brand reputation as a leading and trusted partner to SMBs Since start of UK branding waves in 2021… +10 points in aided company awareness1 +12 points in NPS2 overtaking search volume of #1 UK competitor3 +30% applications YoY 2021 to
Slide 74: Data-driven digital sales
MARKETING SALES CUSTOMER CARE IONOS wins and advises new customers predominantly through data-driven digital sales DIGITAL DIRECT CHANNEL WEB PRESENCE & PRODUCTIVITY Webshop, Control Panel Customer care agents Digital agencies Server Panel, Digital sales reps, Reseller, Managed Data Center Designer
Slide 75: Digital: majority of customers order in self-service
MARKETING SALES CUSTOMER CARE Digital: Majority of our customers order their products in self-service via the website & shop Example: Domain registration process 1 Landing page introduces customer to product offering ✓ Modern tech stack allows rapid product launches and high upgrade flexibility ✓ Ex
Slide 76: IONOS Control Panel as central location to manage and order
MARKETING SALES CUSTOMER CARE Digital: IONOS Control Panel as the central location for customers to manage and order products Self-service platform for existing customers to manage and order products Engagement features ensure frequent login and interaction of customers, thus driving ✓ product activ
Slide 77: Advanced personalization engine with next best offers
MARKETING SALES CUSTOMER CARE We have built an advanced personalization engine which scores customers and calculates next best offers based on a 360 degree view of our customers Data sources Customer data platform Sales channels Customer base data Customer profile with >500 Shop attributes for campa
Slide 78: Direct: differentiated sales approaches by customer value
MARKETING SALES CUSTOMER CARE Direct: We differentiate our sales approaches depending on customer value and potential WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS Sales-after-Service (inbound) Sales Reps Use of service contacts for sales pitch Programmatic approach to acquire/grow customers Agent use
Slide 79: Attractive partner programs for WP&P and Cloud
MARKETING SALES CUSTOMER CARE Channel: We have attractive partner programs for both Web Presence & Productivity and Cloud Solutions WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS • ∼20,000 verified digital agency partners • >200 resellers & managed service providers with 5x higher ARPU than regular cus
Slide 80: IONOS Personal Consultant is a key differentiator
MARKETING SALES CUSTOMER CARE The IONOS Personal Consultant is a key differentiator in the industry and contributes meaningfully to business performance and customer satisfaction Michael Schlichting +10.5pts Increase in post contact NPS to 51.42 07210 - 170 55627 michael.schlichting@ionos.com 42% Of
Slide 81: Customer care transformed into a value creator
MARKETING SALES CUSTOMER CARE IONOS customer care transformed from a pure cost center to a significant value creator and meaningful revenue contributor Typical customer service operation IONOS customer support organization2 €1 spent in customer services … … creates €3.5 customer lifetime revenue1 th
Slide 82: Strong post contact NPS and customer awards
MARKETING SALES CUSTOMER CARE Our strong post contact NPS and multiple customer awards result from a systematic focus on excellence Post Contact Net Promoter Score Customer Awards European Contact Centre & ~2x Customer Service Awards CHIP 4.43 52 Excellent based on 45,000+ reviews 26 ”Fast competent
Slide 83: Marketing, sales & customer care – Key takeaways
Marketing, sales & customer care – Key takeaways Versatile marketing Omni-channel sales setup Personal Consultant toolbox with flexibility to leveraging distinctive, contributing meaningfully customize marketing efficient and data-driven to business performance strategies per country, digital sales
Slide 85: Full stack, full control, deep value creation and efficiency
TECH STACK INTERNET FACTORY SECURITY, CERTIFICATIONS & PROCESSES DNA Full stack, full control, deep value creation and efficiency Significant experience in developing and running ✔ WordPress, MyWebsite SaaS Now, Managed Nextcloud, tech platforms Full-service application Open Xchange, E- hosting Comm
Slide 86: Global, efficient, resilient and certified data center portfolio
TECH STACK INTERNET FACTORY SECURITY, CERTIFICATIONS & PROCESSES DNA IONOS operates a global, efficient, resilient and certified data center portfolio Tangible assets • 32 data centers close to our customers, of which, 11 are fully owned • We limit the number of owned DCs, we start with colocation a
Slide 87: Own global, high scale, resilient backbone
TECH STACK INTERNET FACTORY SECURITY, CERTIFICATIONS & PROCESSES DNA IONOS operates its own global, high scale, resilient and certified backbone Tangible assets Dual vendor network equipment • >700 network providers directly connected • Terabit level external bandwidth • Terabit level DDoS filtering
Slide 88: Own cost- and sustainability-optimized Bare Metal Servers
TECH STACK INTERNET FACTORY SECURITY, CERTIFICATIONS & PROCESSES DNA IONOS engineers its own cost- and sustainability-optimized Bare Metal Servers Tangible assets • Industrialized server: purely functional, stripped down, reusable - Supply chain optimized: reusable and standardized 20% • Portfolio o
Slide 89: Infrastructure as a Service
TECH STACK INTERNET FACTORY SECURITY, CERTIFICATIONS & PROCESSES DNA Infrastructure as a Service – allowing a diversified public and private cloud offering IaaS • >50% more cost efficient1 compared to IaaS sourcing Sovereign Infrastructure from hyperscalers • +30% hardware efficiency by AI driven TC
Slide 90: Platform as a Service
TECH STACK INTERNET FACTORY SECURITY, CERTIFICATIONS & PROCESSES DNA Platform as a Service – our growing box of battle-tested platform solutions PaaS “API first” – standard interfaces ensure easy • We have built 100+ IT platforms over more than two decades integration • Proven solutions to everythin
Slide 91: Software as a Service
TECH STACK INTERNET FACTORY SECURITY, CERTIFICATIONS & PROCESSES DNA Software as a Service – the final stage of full stack utilization SaaS Domain Sitebuilder E-Mail & Office ● >50 solutions across brands are offered to customers ● All SaaS solutions built on PaaS and leveraging other Online Marketi
Slide 92: Multi-brand company moving to a single technology stack
TECH STACK INTERNET FACTORY SECURITY, CERTIFICATIONS & PROCESSES DNA We are a multi-brand company on our way to operate a single technology stack for all brands Illustrative target ✔ Already 60%+ of our products/services are used by multiple brands ✔ Powerful position through a single fully owned te
Slide 93: Internet Factory adds value for customers and IONOS
TECH STACK INTERNET FACTORY SECURITY, CERTIFICATIONS & PROCESSES DNA The Internet Factory adds significant value for both our customers and IONOS Domains/SSL/DNS WordPress on WaaS CoreVPS As part of the Internet Factory the Domain The Internet Factory way of working has STRATO was the first Internet
Slide 94: Strong resilience and reliability
TECH STACK INTERNET FACTORY SECURITY, CERTIFICATIONS & PROCESSES DNA Strong resilience and reliability High infrastructure resilience Strong operating processes • New DCs structural redundancy on the level of • ITIL oriented but optimized Service Operations and Tier III / Tier IV as defined by the u
Slide 95: Proven operating model powered by a can-do workforce
TECH STACK INTERNET FACTORY SECURITY, CERTIFICATIONS & PROCESSES DNA Proven operating model powered by a can-do workforce Talent-attracting state- Key to success, experts Our Tech work-force distribution of-the-art tech stack on all layers Cloud-native Significant ~1,400 IT Covering all levels: UK a
Slide 96: Our technology foundation – Key takeaways
Our technology foundation – Key takeaways Highly robust vertically Multi-brand company on Highly experienced teams integrated technology our way to operate under a with strong Tech DNA stack single technology stack Copyright © IONOS TopCo SE 2022 96
Slide 98: An effective People Strategy is an enabler for business success
BU S I NES S P R I NC I P LES P EO P LE S T R AT EG Y S U S T AI NABI LI T Y G O V ER NANC E An effective People Strategy is an enabler for our business success Business Strategy People Strategy Talent Talent Growth and Diversity and attraction retention Leadership Inclusion We attract and hire We e
Slide 99: Business principles represent our cultural DNA
BU S I NES S P R I NC I P LES P EO P LE S T R AT EG Y S U S T AI NABI LI T Y G O V ER NANC E Our business principles represent our cultural DNA and what enables us to succeed… Who we are… We are We are open- We are We are We are curious customer minded and innovators passionate explorers champions c
Slide 100: Bringing business principles to life in day-to-day activities
BU S I NES S P R I NC I P LES P EO P LE S T R AT EG Y S U S T AI NABI LI T Y G O V ER NANC E … and we bring them to life by integrating them into our day-to-day activities Recruitment Engagement Talent retention • Data-driven recruiting • Global engagement surveys • Career development • Talent pipel
Slide 101: Strong employer brand attracts and retains talent
BU S I NES S P R I NC I P LES P EO P LE S T R AT EG Y S U S T AI NABI LI T Y G O V ER NANC E T ALENT AT T R AC T I O N T ALENT R ET ENT I O N G R O W T H AND LEAD ER S H I P D I V ER S I T Y AND I NC LU S I O N Our strong employer brand is key to attracting and retaining quality talent Increasing po
Slide 102: Inclusive culture and collaborative work environment
BU S I NES S P R I NC I P LES P EO P LE S T R AT EG Y S U S T AI NABI LI T Y G O V ER NANC E T ALENT AT T R AC T I O N T ALENT R ET ENT I O N G R O W T H AND LEAD ER S H I P D I V ER S I T Y AND I NC LU S I O N Create an inclusive culture and a collaborative work environment for a positive employee
Slide 103: Empowering people: career development and talent lifecycle
BU S I NES S P R I NC I P LES P EO P LE S T R AT EG Y S U S T AI NABI LI T Y G O V ER NANC E T ALENT AT T R AC T I O N T ALENT R ET ENT I O N G R O W T H AND LEAD ER S H I P D I V ER S I T Y AND I NC LU S I O N Empowering our people: career development and talent lifecycle Performance Learning Talen
Slide 104: Diverse and inclusive workplace enriches company culture
BU S I NES S P R I NC I P LES P EO P LE S T R AT EG Y S U S T AI NABI LI T Y G O V ER NANC E T ALENT AT T R AC T I O N T ALENT R ET ENT I O N G R O W T H AND LEAD ER S H I P D I V ER S I T Y AND I NC LU S I O N Our diverse and inclusive workplace enriches our company culture empowering business succ
Slide 105: Optimise environmental sustainability across lifecycle of operations
BU S I NES S P R I NC I P LES P EO P LE S T R AT EG Y S U S T AI NABI LI T Y G O V ER NANC E We optimise environmental sustainability across the lifecycle of our operations Sourcing renewable Sustainable design electricity Data centers designed, built Renewable electricity and upgraded to reduce sou
Slide 106: Climate neutral data center operations since 2018
BU S I NES S P R I NC I P LES P EO P LE S T R AT EG Y S U S T AI NABI LI T Y G O V ER NANC E Climate neutral1 data center operations since 2018 Our own global data centers run on Energy consumption Renewable electricity directly sourced 100% renewable In GWh In % directly sourced electricity1 132.0
Slide 107: The IONOS Supervisory Board
BU S I NES S P R I NC I P LES P EO P LE S T R AT EG Y S U S T AI NABI LI T Y G O V ER NANC E The IONOS Supervisory Board: Deep industry knowledge and complementary skill set Supervisory Board composition Members of the Supervisory Board Ralph Dommermuth René Obermann Composition of the board Chairma
Slide 108: People, culture and sustainability – Key takeaways
People, culture and sustainability – Key takeaways Deep integration of Strong employer brand Environmental business principles into our with the ability to attract sustainability across the day-to-day activities and retain high-quality entire lifecycle of our talent operations Copyright © IONOS TopC
Slide 110: Well positioned to take advantage of multiple growth levers
IONOS is well positioned to take advantage of multiple growth levers Driving Accelerated Further Build the International Expand product Platform for digitalization growth via up- accelerate cloud strongest brand expansion portfolio M&A and adoption of and cross-sell offering in the industry digital
Slide 111: SMBs represent a large target group that is digitally underserved
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M SMBs represent a large target group that is digitally underserved Large and untapped SMB target
Slide 112: Great track record of capturing SMBs as new clients
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M IONOS has a great track record of capturing SMBs as new clients Gross customer adds (k) Commenta
Slide 113: Aftermarket business expected to benefit from sustained growth dynamics
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M Our Aftermarket business is expected to benefit from sustained growth dynamics Balanced domain i
Slide 114: Sustainable ARPU growth across the portfolio
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M We pursue sustainable ARPU growth across the portfolio Monthly ARPU (€)1 +5.7% +4.7% Customers p
Slide 115: Product suite designed for seamless up- and cross-selling
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M Our product suite is designed for seamless up- and cross-selling Web Presence & Productivity Clo
Slide 116: Proven track record of up-selling and cross-selling across cohorts
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M Proven track record of up-selling and cross-selling across cohorts ARPU development and number o
Slide 117: Significant whitespace for up-sell and cross-sell
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M We see significant whitespace for continued up-sell and cross-sell Percentage of 2021 customers
Slide 118: Significant whitespace in Cloud and demand for complex solutions
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M Significant whitespace in Cloud and increasing demand for complex solutions Share of respondents
Slide 119: Investing to accelerate Cloud Solutions offering and growth
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M We are investing to further accelerate our Cloud Solutions offering and growth Investments in th
Slide 120: Cloud investments backed by PaaS services and strong roadmap
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M Our Cloud investments are substantiated by our broad suite of PaaS services and we have a strong
Slide 121: Continue to develop brand reputation as trusted partner to SMBs
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M We will continue to develop our brand reputation as a leading and trusted partner to SMBs ✓ Furt
Slide 122: International expansion through curated entry strategies
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M Our international expansion is realized through curated entry strategies Market Data center Avai
Slide 123: Case study: expansion to Sweden via STRATO
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M Case study: We expanded to Sweden via our STRATO brand in September 2022 Rationale Go-to-Market
Slide 124: Continuous portfolio expansion serves SMB digitalization journey
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M Continuous portfolio expansion serves the needs of SMB digitalization journey and is expected to
Slide 125: M&A strategies
S I G NI F I C ANT U P - AND C R O S S - S T R O NG C LO U D BU I LD S T R O NG ES T I NT ER NAT I O NAL PRODUCT M&A W H I T ES P AC E S ELLI NG GROWTH BR AND EX P ANS I O N P O R T F O LIO P LAT F O R M Proven track record of accretive, highly selective and disciplined M&A Acquisition of fasthosts,
Slide 126: Growth levers – Key takeaways
Growth levers – Key takeaways Significant whitespace of Well positioned to grow in Leverage strong brand digitally underserved SMBs Cloud Solutions coupled as a leading and trusted with great cross- and up- with clear product roll-out partner to SMBs selling potential strategy Copyright © IONOS TopC
Slide 128: Best-in-class financial profile
Best-in-class financial profile Strong and 12% yoy total revenue growth sustainable revenue growth ~90% of recurring revenue1 44% Rule of Attractive 72% adj. gross profit margin2 40 profitability 32% adj. EBITDA margin3 High cash 90% cash conversion rate4 generation Well invested asset base with low
Slide 129: Strong and sustainable total revenue growth
F I NANC I ALS G U I D ANC E GROWTH P R O F I T ABI LI T Y C AS H C O NV ER S I O N C AP I T AL S T R U C T U R E Strong and sustainable total revenue growth on the back of growing customer base and expanding ARPU Number of customers (000’s), % yoy customer growth1 Monthly ARPU (€), % yoy ARPU growt
Slide 130: Both business areas contribute to revenue growth and recurring revenue
F I NANC I ALS G U I D ANC E GROWTH P R O F I T ABI LI T Y C AS H C O NV ER S I O N C AP I T AL S T R U C T U R E Both business areas contribute to strong revenue growth and high recurring revenue Total Total yoy revenue growth revenue CAGR Commentary 7% 12% 19% (in €mm) 2019A–2021A 3% 5% 11% • Subs
Slide 131: Healthy adj. gross profit margin driven by ownership of tech stack
F I NANC I ALS G U I D ANC E GROWTH P R O F I T ABI LI T Y C AS H C O NV ER S I O N C AP I T AL S T R U C T U R E Healthy adj. gross profit margin driven by ownership of our technology stack Adj. gross Adj. gross profit margin2 profit1 Commentary 75.1% 73.6% 72.3% 72.9% 65.9% (in €mm) • Healthy adj.
Slide 132: Well invested platform with investments across S&M and T&D
F I NANC I ALS G U I D ANC E GROWTH P R O F I T ABI LI T Y C AS H C O NV ER S I O N C AP I T AL S T R U C T U R E Well invested platform with investments across S&M and T&D Operating % total revenue expenses 12% 12% 14% 14% 13% Commentary (in €mm) 7% 6% 6% 6% 6% • S&M driven by: 22% 21% 21% 21% 19%
Slide 133: Attractive adj. EBITDA margin despite growth investments
F I NANC I ALS G U I D ANC E GROWTH P R O F I T ABI LI T Y C AS H C O NV ER S I O N C AP I T AL S T R U C T U R E Attractive adj. EBITDA margin despite significant growth investments Adj. Adj. EBITDA margin2 EBITDA Commentary 36% 36% 32% 34% 29% (in €mm)1 • Attractive adj. EBITDA margins Growth 32%
Slide 134: Strong inherent operating leverage in business model
F I NANC I ALS G U I D ANC E GROWTH P R O F I T ABI LI T Y C AS H C O NV ER S I O N C AP I T AL S T R U C T U R E Strong inherent operating leverage in our business model Adj. Adj. EBITDA margin EBITDA Commentary (in €mm) 36% 32% 1 ■ 19% higher total revenue in 2021 Strong operating leverage compare
Slide 135: Well invested asset base with low maintenance capex
F I NANC I ALS G U I D ANC E GROWTH P R O F I T ABI LI T Y C AS H C O NV ER S I O N C AP I T AL S T R U C T U R E Well invested asset base with low and predictable maintenance capex requirements Total % total revenue Capex1 Commentary 2% 2% 5% 5% 5% (in €mm) 5% 5% 3% 3% 3% • Low and predictable main
Slide 136: Strong server economics generating high returns
F I NANC I ALS G U I D ANC E GROWTH P R O F I T ABI LI T Y C AS H C O NV ER S I O N C AP I T AL S T R U C T U R E Strong server economics generating high returns Value creative server unit economics Commentary • Dedicated server lifetime ranges Illustrative Server 1 Server 2 on average between 5 to
Slide 137: Highly cash generative model
F I NANC I ALS G U I D ANC E GROWTH P R O F I T ABI LI T Y C AS H C O NV ER S I O N C AP I T AL S T R U C T U R E Highly cash generative model Adjusted Cash conversion rate 2 cash Commentary 86% 87% 90% 90% 89% contribution1 (in €mm) 90% cash conversion rate • High profitability with low capex exclu
Slide 138: Long term debt at fixed interest rates without refinancing risk
F I NANC I ALS G U I D ANC E GROWTH P R O F I T ABI LI T Y C AS H C O NV ER S I O N C AP I T AL S T R U C T U R E Long term debt at fixed interest rates without refinancing risk Net Debt as of September 2022A (in €mm) Commentary • Gross debt of €1,248mm1 as of September 2022A, mainly comprising a sh
Slide 139: #1 Webhosting provider in Europe and strong challenger in Cloud
F I NANC I ALS G U I D ANC E IONOS is the #1 Webhosting provider in Europe and a strong challenger in Cloud Footprint in 18 markets and local brand champions 2021 ISG Provider Lens Leader 1 Germany 1 Europe overall 1 Spain 1 >2x Austria 1 UK 2 Poland 2 France 2 Source: Company information; Informati
Slide 140: Initiatives aimed at delivering profitable growth
F I NANC I ALS G U I D ANC E Our initiatives are aimed at delivering profitable growth going forward Unit economics Financials Key initiatives Customer ARPU CLTV CAC growth growth 1 Brand marketing ~ 2 Cloud investments 3 Cross-sell / up-sell ~ ~ 4 Churn reduction / retention ~ ~ Source: Company inf
Slide 141: Outlook (1/2)
F I NANC I ALS G U I D ANC E Outlook (1/2) 2022E Mid-term target €1,265-1,300mm, Group ~10% CAGR 15-18% YoY growth €1,090-1,115mm, WP&P (incl. Aftermarket) High single digit CAGR 15-17% YoY growth Total Revenue €128-133mm, Cloud Solutions ~20% CAGR 17-21% YoY growth Hosting Services to UI ~€50mm Mid
Slide 142: Outlook (2/2)
F I NANC I ALS G U I D ANC E Outlook (2/2) 2022E Mid-term target Maintenance In-line with 2021 as a % of total revenue ~8% CAGR Capex Growth €50-60mm Decreasing to ~4% of total revenue Effective tax rate Group ~35% of EBT Decreasing to ~30% of EBT We will continue to focus on deleveraging with net l
Slide 146: Number of SMBs resilient, even in market downturn
Number of SMBs resilient, even in times of market downturn Number of SMBs in EMEA and North America (in millions) Source: Eurostat, OECD, IMF, US Census (SMBs and Source: Statista (SMBs < 250 FTE)1 large enterprises)2 94 96 98 100 102 89 91 92 92 85 86 88 73 74 76 77 67 70 68 70 59 60 61 63 64 64 20
Slide 147: Revenue by region
Revenue by region Total Revenue International share (related to revenue from contracts with customers) (in €mm) Commentary 47.9% 48.2% 48.2% 47.8% 49.7% • Revenue from contracts with customers are split evenly 1,103 between domestic and international with both 988 954 924 contributing c. 50% 511 803
Slide 148: EBITDA to adj. EBITDA bridge
EBITDA to adj. EBITDA bridge 2021 EBTIDA, adjustments and adj. EBITDA (in €mm) Commentary 30% 32% Margin 4 Margin 1 Includes costs of employee stock 2 3 ownership programs 1 1 355 12 3 2 Includes costs of preparing the carve-out from the United 13 326 Internet Group and the establishment of IONOS To
Slide 149: Key financials (1/3)
Key financials (1/3) Management reporting, in (€mm) FY19 FY20 FY21 9M 2021 9M 2022 Total Revenue 924 988 1,103 803 954 % revenue growth n.a. 7.0% 11.6% n.a. 18.7% Cost of sales (excl. T&D and D&A) 230 260 306 217 325 Adj. gross profit 694 728 797 586 628 % gross profit margin 75.1% 73.6% 72.3% 72.9%
Slide 150: Key financials (2/3)
Key financials (2/3) In (€mm) FY19 FY20 FY21 9M 2021 9M 2022 Total Revenue 924 988 1,103 803 954 % revenue growth n.a. 7.0% 11.6% n.a 18.7% Adj. EBITDA 330 355 355 270 276 % Adj. EBITDA margin 35.7% 35.9% 32.2% 33.7% 28.9% Maintenance Capex (excl. IFRS 16) (47) (45) (37) (27) (31) % of total revenue
Slide 151: Key financials (3/3)
Key financials (3/3) In (€mm) FY19 FY20 FY21 9M 2022 Current assets 176 231 162 199 o/w cash and cash equivalents 40 106 50 43 o/w receivables from related parties 63 41 16 23 Non-current assets 1,324 1,257 1,310 1,344 Total assets 1,500 1,489 1,472 1,543 Current liabilities 207 231 278 299 Non-curr
Slide 153: Glossary (1/3)
Glossary (1/3) Abbreviation Definition Abbreviation Definition AGM Annual general meeting D&A Depreciation and amortization AI Artificial intelligence DBaaS Database-as-a-Service API Application programming interface DC Data center ARM Azure Resource Manager DCD Data center designer ARPU Average rev
Slide 154: Glossary (2/3)
Glossary (2/3) Abbreviation Definition Abbreviation Definition GDPR General data protection regulation (EU) LTIP Long-term incentive plan GPU Graphics processing unit ML Machine learning GTM Go-to-market MSP Managed service provider GWh Gigawatt hours NAS Network-attached-storage HDD Hard disk drive
Slide 155: Glossary (3/3)
Glossary (3/3) Abbreviation Definition Abbreviation Definition SDN Software-defined networking UX User experience SEA Search engine advertising VAS Value added services SEO Search engine optimization vCPU Virtual CPU SMB Small and midsize businesses VM Virtual machine SQL Structured query language V
Slide 156: Financial definitions (1/2)
Financial definitions (1/2) Item Definition Total revenue Defined as revenue from contracts with customers and revenue from contracts with related parties Related parties revenue In this document also referred to as “Hosting Services to UI Group companies”, refers to contracted revenue with other UI
Slide 157: Financial definitions (2/2)
Financial definitions (2/2) Item Definition Other expenses (income) includes impairment losses on receivables and contract assets, other operating expenses and other operating Other expenses (income) income Maintenance capital expenditures Maintenance capital expenditures (excl. IFRS 16) include cap

Ionos — Investor Day (November 2022) on 6ix

United Internet — Ionos — Investor Day (November 2022)

Slide 1: #1 European SMB Digitalization Partner & Trusted Cloud Enabler

Slide 2: Disclaimer

Slide 3: Disclaimer (cont'd)

Slide 4: Agenda

Slide 5: Introduction & speakers

Slide 6: Copyright © IONOS TopCo SE 2022

Slide 7: Today's presenters

Slide 8: IONOS at a glance

Slide 9: #1 European SMB digitalization partner & trusted cloud enabler

Slide 10: Copyright © IONOS TopCo SE 2022

Slide 11: 2021 delivered strong and sustainable growth, profitability and cash generation

Slide 12: Successful transformation into the leading enabler for European SMBs

Slide 13: Comprehensive product portfolio, first class customer care and infrastructure

Slide 14: IONOS' strategic pillars

Slide 15: IONOS represents a unique equity story

Slide 16: Championing a large, attractive and fast-growing market driven by secular trends

Slide 17: Leading partner for SMB digitalization in Europe with broad strategic footprint

Slide 18: Easy-to-use, intuitive and scalable platform offering mission critical products

Slide 19: Highly diversified, loyal customer base with strong unit economics

Slide 20: IONOS is well positioned to take advantage of multiple additional growth levers

Slide 21: Benefitting from building the strongest brand in the industry

Slide 22: Subscription-based business model with strong and sustainable revenue growth

Slide 23: Strong commitment to the environment and people is a driver of value

Slide 24: Market & competitive landscape

Slide 25: SMBs represent a large target group that is digitally underserved

Slide 26: Served addressable market is large and growing fast

Slide 27: Web Presence & Productivity is a large market with stable growth

Slide 28: Growth in our key regions is driven by secular trends

Slide 29: Cloud Solutions market represents an attractive growth opportunity

Slide 30: Strong growth in our Served Addressable Market in Cloud Solutions

Slide 31: European market leader in Webhosting

Slide 32: Competitive advantages in Web Presence & Productivity market

Slide 33: Our leading IONOS Cloud offering

Slide 34: A strong challenger in the Cloud Solutions market

Slide 35: Numerous customer examples underpin competitiveness in Cloud

Slide 36: Market & competitive landscape – Key takeaways

Slide 37: Product suite

Slide 38: One-stop-shop portfolio enables end-to-end digitisation journey

Slide 39: Leading global domain platform

Slide 40: Aftermarket business is the largest in Europe

Slide 41: Strong e-mail and office offering

Slide 42: Agnostic, reliable and secure hosting platform

Slide 43: 30+ years industry evolution from HTML website to minutes

Slide 44: WordPress is the dominant CMS in the world

Slide 45: Early movers in the WordPress ecosystem

Slide 46: Diverse range of products based on WordPress

Slide 47: Leading online presence creator

Slide 48: Everything you need for e-commerce success

Slide 49: High performance dedicated infrastructure

Slide 50: All types of Cloud Solutions

Slide 51: PaaS represents a core strategic focus

Slide 52: THE European Cloud alternative

Slide 53: Product suite – Key takeaways

Slide 54: Our customers

Slide 55: Serves customers of all sizes with focus on solo-preneurs and SMBs

Slide 56: Customers can seamlessly grow with Web Presence & Productivity

Slide 57: Customers start small and later migrate critical workloads to Cloud

Slide 58: Copyright © IONOS TopCo SE 2022

Slide 59: Large and growing customer base with low concentration

Slide 60: Sustainable ARPU growth across the portfolio

Slide 61: Significant long-term value from each customer cohort

Slide 62: Customers onboarded until 2017 contribute ~80% of 2021 revenue

Slide 63: Effective retention measures have improved churn

Slide 64: Attractive and highly predictable unit economics

Slide 65: Our customers – Key takeaways

Slide 66: Marketing, sales and customer care

Slide 67: IONOS House of Brands

Slide 68: Efficient go-to-market strategy and sticky customer base

Slide 69: Advanced Marketing set-up with innovation and efficiency

Slide 70: Excellence along the funnel leads to strong Marketing toolkit

Slide 71: In a consolidating market, a strong brand will win

Slide 72: Copyright © IONOS TopCo SE 2022

Slide 73: Benefit from brand reputation as trusted partner to SMBs

Slide 74: Data-driven digital sales

Slide 75: Digital: majority of customers order in self-service

Slide 76: IONOS Control Panel as central location to manage and order

Slide 77: Advanced personalization engine with next best offers

Slide 78: Direct: differentiated sales approaches by customer value

Slide 79: Attractive partner programs for WP&P and Cloud