Teamviewer Se · XETR:TMV
Teamviewer — Q3 2024 Earnings Presentation
37 slides from Teamviewer's earnings presentation, Nov 6, 2024
Slide 1: Q3/9M 2024 Results Analyst / Investor Presentation
Q3/9M 2024 Results Analyst / Investor Presentation
Slide 2: Important Notice / APMs
Important Notice / APMs This presentation as well as any information communicated in connection therewith (the “Presentation”) contains information regarding TeamViewer SE (the “Company”) and its subsidiaries (the Company, together with its subsidiaries, “TeamViewer”). It is provided for information
Slide 3: Important Notice / APMs (continued)
Important Notice / APMs (continued) • Net Retention Rate (NRR) (on ARR, cc) is defined as Retained ARR at the end of the reporting period divided by the Total ARR at the end of the prior year reporting period. • Annual Recurring Revenue (ARR) is annualized recurring revenue for all active subscripti
Slide 4: Business Overview
Business Overview Oliver Steil (CEO)
Slide 5: Continued revenue growth and outstanding profitability
Continued revenue growth and outstanding profitability Highlights 1 Revenue growth (+8 % cc yoy) Continued strong Enterprise Annual Recurring Revenue in line with expectations and momentum with sequentially increase of +7 % cc yoy across all regions improved Revenue growth trend demonstrates sustain
Slide 6: Continued Revenue growth across all regions and customer categories
Continued Revenue growth across all regions and customer categories Regional Development Customer Categories (% yoy) (% yoy) AMERICAS ENT 22 % 78 % SMB Revenue 34 % €168.7m Revenue: Revenue: Revenue: (+7 % | 8 % cc) €58.1m (+4 % | 7 % cc) €37.1m (+22 % | 23 % cc) €131.6m (+3 % | 5 % cc) 55 % EMEA Re
Slide 7: Enterprise continued to deliver significant growth in higher-value ranges
Enterprise continued to deliver significant growth in higher-value ranges SMB (ARR view) Enterprise (ARR view) (€m, % in cc) (€m, % in cc) € 1,500 - <10,000 ARR € >200,000 ARR € 500 - <1,500 ARR 139.3 € >100,000 ARR 530.1 514.5 € <500 ARR € >50,000 ARR 22.3 117.2 € 10,000 - 50,000 ARR +30 % 17.4 17.
Slide 8: New customer wins across industries
New customer wins across industries TENSOR FRONTLINE FRONTLINE FRONTLINE EMEA EMEA AMS • One of Switzerland’s largest retail and wholesale • Automotive OEM uses AR • Energy company uses companies for fleet maintenance and Frontline to manage digital inspection workflows • Remote IT helpdesk for 22,0
Slide 9: Session Insights powered by AI
Session Insights powered by AI TeamViewer’s new AI capabilities take care of routine, time-consuming tasks: ü AI-generated session summaries reduce manual documentation and speed up post-session reporting. ü Reporting dashboards make it easy to gain deep insights into support patterns. Enormous prod
Slide 10: Financial Overview
Financial Overview Michael Wilkens (CFO)
Slide 11: Q3 2024: Good results with outstanding profitability
Q3 2024: Good results with outstanding profitability Topline KPIs Q3 2024 Profitability / Cash Q3 2024 (% and pp yoy) (% and pp yoy) 1 €168.7m €81.0m Revenue Adjusted EBITDA +7 %/+8 % cc +15 % 2 €154.1m Adjusted EBITDA 48 % Billings +3 %/+4 % cc Margin +4 pp 3 €669.3m Free Cash Flow 9M: €142.6m (-1
Slide 12: Good Revenue and ARR growth; significant Margin expansion
Good Revenue and ARR growth; significant Margin expansion 1 Quarterly Revenue and Growth Rates Adjusted EBITDA and Margin (€m; %) 168.7 (€m; %) 158.1 163.1 161.7 164.1 48 % 44 % 38 % 40 % 41 % 10 % 8% 7 % (9 % cc) 7 % (+8 % cc) 6 % (9 % cc) 70.3 81.0 62.4 65.2 67.5 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3
Slide 13: Continued strong momentum in Enterprise
Continued strong momentum in Enterprise, double- digit growth advanced sequentially 1 Quarterly ENT Revenue and Growth Rates ENT ASP ENT Customers (€m; %) (€k, LTM) (eop) 37.1 33.7 35.1 35 4,494 33.3 33 34 34 34 4,164 4,199 4,342 30.5 4,034 22 % 22 % (23 % cc) 19 % 17 % (19 % cc) 19 % (21 % cc) Q3 2
Slide 14: SMB solid quarter with mid single digit revenue and ARR growth
SMB solid quarter with mid single digit revenue and ARR growth and improved subscriber churn 1 2 Quarterly SMB Revenue and Growth Rates SMB ASP SMB Subscribers (€m; %) (€; LTM) (k; eop) 127.6 129.9 128.0 129.0 131.6 638 639 636 627 622 857 852 841 838 836 8% 6% 5% (7 % cc) 3% (6 % cc) 3% (5 % cc) Q3
Slide 15: Outstanding profitability, Adj. EBITDA margin at 48 %
Outstanding profitability, Adj. EBITDA margin at 48 % Q3 2024 Adjusted EBITDA grew €m (all adjusted non-IFRS figures) Q3 2024 Q3 2023 ∆% 9M 2024 9M 2023 ∆% by 15 % yoy, margin expansion 4 pp yoy Revenue 168.7 158.1 7 % 494.5 463.6 7% COGS: Increase mainly driven Cost of Goods Sold (COGS) (13.4) (12.
Slide 16: Significant yoy increase in Net Income and EPS
Significant yoy increase in Net Income and EPS Significant increase in Net €m Q3 2024 Q3 2023 ∆ % 9M 2024 9M 2023 ∆% income attributable to: Adjusted EBITDA 81.0 70.3 15 % 213.6 198.1 8% • Lower non-recurring costs, 1 Adjustment for non-recurring items (6.9) (10.9) -37 % (26.3) (31.3) -16 % in parti
Slide 17: FCFE development as anticipated, expected to grow by ~8 % yoy for FY24
FCFE development as anticipated, expected to grow by ~8 % yoy for FY24 €m Q3 2024 Q3 2023 ∆ % 9M 2024 9M 2023 ∆% Pre-Tax net cash from operating activities (IFRS) 66.3 67.4 -2 % 211.9 196.7 8% Capital expenditure (excl. M&A) (1.3) (1.7) -27 % (4.2) (4.6) -8 % 9M 2024 Pre-Tax FCFE Lease payments (1.9
Slide 18: Leverage further improved
Leverage further improved (€m) Share Buybacks Cash/Cash Op. Cash Equivalents Flow 1 Share Net debt Paid Buyback repayment Interest CapEx incl. M&A 2 Other Cash/Cash Equivalents Financial Net Fin. 3 Liabilities Liabilities • As part of the ongoing €150m Share Buyback program 2023/2024, shares equival
Slide 19: FY 2024 guidance
FY 2024 guidance • TeamViewer narrows its Revenue guidance range for FY 2024 within its originally guided Revenue range. 3 Corrected for FX headwinds, Revenue (IFRS) between €662m - €668m¹ guided revenue corresponds to 2 (corresponds to +7 to +8 % cc yoy ) 7-8 % growth yoy in cc. • TeamViewer raises
Slide 20: Q&A
Q&A 20
Slide 21: Introducing Annualized Recurring Revenue (ARR)
Introducing Annualized Recurring Revenue (ARR) As a leading global SaaS company, TeamViewer will introduce ARR is a leading indicator of TeamViewer’s anticipated two main new SaaS related KPIs, as of Q3 2024: subscriptions revenues. • Revenue-based Annual Recurring Revenue (ARR), a standard performa
Slide 22: Definitions
Definitions Annualized Recurring Revenue Net Retention Rate on ARR Annualized Recurring Revenue (ARR) is calculated as: • Net Retention Rate on ARR (on ARR, cc) is calculated as: the annualized revenue of active subscription contracts as • Retained ARR at the end of the reporting period divided by a
Slide 23: Historic comparable data
Historic comparable data New calculation method Previous calculation method (as introduced in Q3 2024) (method applied until Q2 2024, disclosed in parallel for transparency purposes) Based on Revenue Q3 2024 Q2 2024 Q1 2024 Q4 2023 Based on Billings Q3 2024 Q2 2024 Q1 2024 Q4 2023 Total Total ARR in
Slide 24: Appendix
Appendix
Slide 25: Overview sales KPIs
Overview sales KPIs Q3’24 Q2’24 Q1’24 Q4’23 Q3’23 Q2’23 Q1’23 Q4’22 Q3’22 SMB Billings p.q. in €m 118.8 121.3 141.8 148.6 122.8 121.9 142.8 147.3 117.9 Billings LTM in €m 530.6 534.5 535.0 536.0 534.7 529.9 517.3 502.8 479.8 1 Number of subscribers 639,480 637,571 635,962 627,362 622,188 629,302 627
Slide 26: Annual Contract Value (Billings based)
Annual Contract Value (Billings based) SMB Billings by ACV Bucket (LTM) Enterprise Billings by ACV Bucket (LTM) (€m; LTM) (€m; LTM) € 1,500 - <10,000 € >200,000 € 500 - <1,500 € >100,000 534.7 530.6 157.2 € <500 € >50,000 133.0 € 10,000 - 50,000 35.2 +59 % 254.4 22.1 257.2 +1 % 19.0 14.8 +28 % Net u
Slide 27: Q3 2024: Reconciliation management metrics to IFRS
Q3 2024: Reconciliation management metrics to IFRS Accounting Management view Change in Management view Other non-IFRS view 1 2 1 €m adjusted P&L deferred revenue Revenue adj. P&L D&A adjustments IFRS P&L Billings / Revenue 154.1 14.6 168.7 168.7 Cost of Goods Sold (COGS) (13.4) (13.4) (3.4) (0.6) (
Slide 28: 9M 2024: Reconciliation management metrics to IFRS
9M 2024: Reconciliation management metrics to IFRS Accounting Management view Change in Management view Other non-IFRS view 1 2 1 €m adjusted P&L deferred revenue Revenue adj. P&L D&A adjustments IFRS P&L Billings / Revenue 486.9 7.5 494.5 494.5 Cost of Goods Sold (COGS) (39.9) (39.9) (21.5) (1.5) (
Slide 29: Non-IFRS adjustments in EBITDA
Non-IFRS adjustments in EBITDA Total Non-IFRS adjustments €m Q3 2024 Q3 2023 9M 2024 9M 2023 in Q3 2024 decreased due to: Total IFRS 2 charges (6.0) 0.2 (16.0) (16.4) • Lower TLO-related TeamViewer LTIP (0.6) (0.6) 0.5 (1.3) charges due to vesting RSU/PSU 1 (3.6) (4.2) (11.2) (11.8) period adjustmen
Slide 30: Share Count Development since IPO
Share Count Development since IPO Share Buyback 2022 Share Buyback 2023 (24,093,675 shares) Tranche I Share Buyback 2023 Ubimax Acquisition (5,078,064 shares) Capital increase by Tranche II contribution in kind (4,915,829 shares) (1,070,931 shares) 201,070,931 Share Redemption 200,000,000 (14,555,07
Slide 31: Financial Statements
Financial Statements
Slide 32: Profit & Loss Statement
Profit & Loss Statement € thousand Q3 2024 Q3 2023 ∆% 9M 2024 9M 2023 ∆% Revenue 168,681 158,114 7% 494,451 463,575 7% Cost of Goods Sold (COGS) (17,392) (20,751) -16 % (62,890) (59,580) 6% Gross profit 151,288 137,363 10 % 431,561 403,995 7% Research and development (21,266) (19,581) 9% (59,956) (5
Slide 33: Balance Sheet – Assets
Balance Sheet – Assets € thousand 30 September 2024 31 December 2023 Non-current assets Goodwill 667,685 667,662 Intangible assets 152,844 175,736 Property, plant and equipment 44,556 43,261 Financial assets 6,952 11,866 1 Investments in associates 17,711 15,414 Other assets 22,294 19,530 Deferred t
Slide 34: Balance Sheet – Equity & Liabilities
Balance Sheet – Equity & Liabilities € thousand 30 September 2024 31 December 2023 Equity Issued capital 170,000 174,000 Capital reserve 67,878 105,234 Accumulated losses (6,799) (95,188) Hedge reserve 66 929 Foreign currency translation reserve 1,373 1,614 Treasury share reserve (160,618) (102,929)
Slide 35: Cash Flow Statement
Cash Flow Statement € thousand Q3 2024 Q3 2023 ∆% 9M 2024 9M 2023 ∆% Profit before tax 60,122 40,224 49 % 132,846 110,949 20 % Depreciation, amortization and impairment of non-current assets 9,061 14,086 -36 % 37,644 41,830 -10 % Increase/(decrease) in provisions (73) 1,087 -107 % 226 1,110 -80 % No
Slide 36: Cash Flow Statement (continued)
Cash Flow Statement (continued) € thousand Q3 2024 Q3 2023 ∆% 9M 2024 9M 2023 ∆% Repayments of borrowings (39,000) 0 n/a (259,000) (100,000) 159 % Proceeds from borrowings 4,000 0 n/a 194,000 0 n/a Payments for the capital element of lease liabilities (1,921) (2,273) (15 %) (7,266) (5,165) 41 % Inte
Slide 37: Financial Calendar
Financial Calendar TeamViewer Technology Field Trip 11 December 2024