Alma Media Oyj · OMXHEX:ALMA

Alma Media Oyj — Q1 2010 Earnings Presentation

34 slides from Alma Media Oyj's earnings presentation, Apr 30, 2010

  1. Slide 1: Alma Media Q1 2010

    Alma Media Q1 2010 Kai Telanne, President & CEO Tuomas Itkonen, CFO 1 30042010

  2. Slide 2: Agenda

    Agenda • Highlights Q1 2010 • Market environment Q1 2010 • Segment reviews – Kai Telanne, President & CEO • Financial review • Outlook for 2010 – Tuomas Itkonen, CFO • Q&A 2 30042010

  3. Slide 3: Highlights Q1 2010

    Highlights Q1 2010 • Comparable C bl nett sales l att th the llevell off Q1 2009 – Reported net sales decreased to 74.4 (76.4) MEUR. • Ope Operating at g pprofit o t improved p oved to 11.1 . (8.5) % o of net et sales – Good cost control and March advertising sales boosted profitability. • Advertisi

  4. Slide 4: Key figures Q1 2010, MEUR

    Key figures Q1 2010, MEUR Net sales, sales MEUR EBIT MEUR EBIT, 90 14 -2,7% 80 12 0,6 0 6 79,3 79,0 12 2 12,2 +10,6% 11,7 70 73,0 74,4 10 11,3 60 8 8,3 50 6 40 4 30 20 2 10 0 -0,5 -0,1 0 -2 Q2 09 Q3 09 Q4 09 Q1 10 Q2 09 Q3 09 Q4 09 Q1 10 Onetime items 4 30042010

  5. Slide 5: Market environment

    Market environment 5 30042010

  6. Slide 6: Advertising correlates with GDP

    Advertising correlates with GDP 15 % 10 % 5% 0% -5 % -10 % -15 % -20 % -25 % 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 GDP Advertising Newspaper advertising Sources: Statistics Finland, Finnish Advertising Council 6 30042010

  7. Slide 7: Advertising sales change 3/2009 - 3/2010

    Advertising sales change 3/2009 - 3/2010 30 % 20 % 10 % 0% 10 % -10 -20 % -30 % Advertising sales total, total chg % Newspaper advertising advertising, chg % Internet advertising, advertising chg % * Source: TNS Media Intelligence 7 30042010

  8. Slide 8: Advertising sales, total

    Advertising sales, total YTD change from previous year, % 5% 0% -5 % -10 10 % -15 % -20 % -25 % Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2009 2010 Source: TNS Media Intelligence 8 30042010

  9. Slide 9: Advertising sales, newspapers

    Advertising sales, newspapers YTD change from previous year, % 0% -5 % -10 % -15 % -20 % 25 % -25 -30 % Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2009 2010 Source: TNS Media Intelligence 9 30042010

  10. Slide 10: Advertising sales, internet

    Advertising sales, internet YTD change from previous year, % 20 % 15 % 10 % 5% 0% -5 % -10 % -15 % Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2009 2010 Source: TNS Media Intelligence 10 30042010

  11. Slide 11: Advertising by branch Q1 2010

    Advertising by branch Q1 2010 Change from Q1 2009 Ad Advertising ti i iin Q1 10 MEUR -1,5 % Retail Retail 56 -0,9 % Motor v. Motor vehicles 24 -7,4 % Food & bev. Food & beverages 22 Recru 3,3 % Recruiting 11 Tele ele 23,4 % eleco u cat o s Telecommunications 10 0 -9,8 % Houses Houses and premises 10

  12. Slide 12: Advertising by branch Q1 2010

    Advertising by branch Q1 2010 Newspapers, change from Q1 2009 Ad Advertising ti i iin Q1 10 MEUR -2,4 % Retail Retail 43 -0,2 % Motor v. Motor vehicles 14 R Recru 32% 3,2 Recruiting 7 -16,1 % Houses Houses and premises 7 -15,9 % Tourism Tourism and traffic 4 -11,6 % Entert Entertainment 4 Tele 30,1

  13. Slide 13: Advertising change by branch

    Advertising change by branch P1 2010 vs 2009 P2 2010 vs 2009 P3 2010 vs 2009 -6,1 % Retail -5,9 % Retail Retail 6,1 % -5,1 % Motor v. -3,5 % Motor v. Motor v. 5,7 , % -30,9Food % & bev. -9,5 % Food & bev. Food & bev. 23,6 % -6,2 % Recru Recru 3,7 % Recru 13,7 % Tele 39 5 % 39,5 Tele 9 1% 9,1 Tele 27

  14. Slide 14: Advertising sales change Q1 2010

    Advertising sales change Q1 2010 Alma Media vs. market Market Alma Media Change, % Q1 10 * Q1 10 Newspapers -0,5 -1,5 ** Magazines -10,0 - T l i i Television 27 2,7 - Radio 0,3 - Internet 17,7 11,2 TOTAL 0,7 0,6 * Source: TNS Media Intelligence ** Newspapers segment (excl. online services), Kauppale

  15. Slide 15: Segment reviews

    Segment reviews 15 30042010

  16. Slide 16: Newspapers in Q1 2010

    Ne spapers in Q1 2010 Newspapers • Net sales declined 0.4 % to 52.2 ((52.4)) MEUR • Advertising sales grew 0.9 % to 24.6 (24.4) MEUR – Aamulehti and Iltalehti advertising sales turned to growth thanks to good March sales. sales – Other newspapers continued to suffer from weak market. – Online advert

  17. Slide 17: Kauppalehti Group in Q1 2010

    Kauppalehti Group in Q1 2010 • Net sales declined to 14 14.1 1 (16 (16.2) 2) MEUR – Net sales of the divested Kauppalehti 121 (2.1 MEUR) included in the Q1 2009 net sales. • Ad Advertising ti i sales l declined d li d 3.33 3 % to t 44.2 2 (4 (4.3) 3) MEUR • Circulation sales at the level of Q1 2009,

  18. Slide 18: Marketplaces in Q1 2010

    Marketplaces in Q1 2010 • Net sales grew to 7 7.6 6 (7 (7.2) 2) MEUR – Growth resulted mainly from changes in Etuovi.com newspaper delivery. – Recruitment market picking up. – Mascus growing according to plan. – New product GoDome introduced to the high high-end end of real estate market in Stockhol

  19. Slide 19: Financial review Q1 2010

    Financial review Q1 2010 19 30042010

  20. Slide 20: Key figures Q1 2010, MEUR

    Key figures Q1 2010, MEUR Net sales, sales MEUR EBIT MEUR EBIT, 90 14 -2,7% 80 12 0,6 0 6 79,3 79,0 12 2 12,2 +10,6% 11,7 70 73,0 74,4 10 11,3 60 8 8,3 50 6 40 4 30 20 2 10 0 -0,5 -0,1 0 -2 Q2 09 Q3 09 Q4 09 Q1 10 Q2 09 Q3 09 Q4 09 Q1 10 Onetime items 20 30042010

  21. Slide 21: Net sales change by type, MEUR

    Net sales change by type, MEUR Circulation, MEUR Advertising, MEUR 0,6 0,0 05 0,5 10 -1,0 -0,2% 0,4 -2,0 -3,0 0,3 -4,0 0,2 -5,0 0,1 +0,1% -0,3% -6,0 0,0 -7,0 -12,4% -0,1 -8,0 -0,2 0,2 -9,0 9,0 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 21 30042010

  22. Slide 22: Net Sales Q1/2010, MEUR

    Net Sales Q1/2010, MEUR Newspapers Kauppalehti Group Kauppalehti-Group Marketplaces 52,2 MEUR (68,8%) 14,1 MEUR (18,8%) 7,7 MEUR (10,3%) 20 4,0 12 10 3,0 15 8 10 6 2,0 4 5 1,0 2 0 0 0,0 Etuovi.com 47,9% , ((3,6 , MEUR)) Aamulehti 36,2% (18,9 MEUR) Kauppalehti 71,9% (10,3 MEUR) monster 20,4% (1,5 MEU

  23. Slide 23: Net Sales change Q1/2010 vs Q1/2009

    Net Sales change Q1/2010 vs Q1/2009 w/o onetime items Alma Media total Newspapers Kauppalehti Group Kauppalehti-Group Marketplaces -2,1 MEUR (-2,8 %) -0,2 MEUR (-0,4 %) -2,2 MEUR (-13,4 %) +0,5 MEUR (+6,6 %) 1,5 0,6 0,5 0,60 1,0 0,5 , 0 0 0,0 0,5 0,4 0,40 0,3 -0,5 0,0 MEUR MEUR0,2 MEUR MEUR -0,5 -1,

  24. Slide 24: EBIT by segment, MEUR

    EBIT by segment, MEUR w/o onetime items Newspapers, MEUR & % Kauppalehti Group, MEUR & % 12,0 18 % 2,5 25 % -17,9% 17,9% +16,9% +16 9% 16 % -2,9% 10,0 14 % 2,0 20 % 2,0 +71,1% 8,0 8,6 12 % 15 1,5 15 % 10 % 1,5 6,9 6,0 8% 1,0 10 % 4,0 6% 4% 0,5 5% 2,0 2% 0,0 , 0% 0,0 , 0% Q1 09 Q2 09 Q3 09 Q4 09 Q1 1

  25. Slide 25: EBIT by segment, MEUR

    EBIT by segment, MEUR w/o onetime items Marketplaces, MEUR & % Other, MEUR 0,20 3% 2,5 -70,0% -150,6% 0 15 0,15 2% 0,10 2,0 0,1 1% 0,05 1,5 0,00 0% -0,05 -1 % 1,0 -0,10 1,0 -0,15 -2 % 0,5 -0,20 0 20 -3 % -0,25 0,0 -0,3 -4 % -0,3 -0,30 0,35 -0,35 -5 5% -0,5 0,5 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Q1 09 Q2

  26. Slide 26: Cash flow from operating activities

    C h fl Cash flow ffrom operating ti activities ti iti 30,0 26 8 26,8 25,6 25,0 22,4 20,0 MEUR 15,0 10,0 5,0 0,0 Q3 07 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Tax return 26 30042010

  27. Slide 27: Cash flow and investments

    Cash flow and investments IFRS 30 12 1.2 25.6 24.7 1.0 1.0 25 22.4 0.8 21.4 0.8 20 0.6 EUR MEUR 15 ME 0.4 10 0.2 5 0.0 0 -0.2 02 Q1 09 Q1 10 Q1 09 Q1 10 from operating activities gross investments before financing activities proceeds from sales of assets 27 30042010

  28. Slide 28: Net debt, MEUR

    Net debt, MEUR 30 25,8 25 20 15 10 5 3,8 EUR 03 0,3 ME 0 -5 -3,2 -10 -7,9 7,9 -15 -20 -16,5 -25 Q3 07 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Dividend 27.3.08 Dividend 25.3.09 Dividend 25.3.10 67.2 MEUR 22.4 MEUR 29.8 MEUR 28 30042010

  29. Slide 29: Key ratios in 2010

    Key ratios i ini 2010 IFRS Equity ratio, ratio % Gearing % Gearing, ROE% ROI% 80 0 35 35 -2 33,2 70 30 32,4 30 -4 67,2 60 25 -6 25 59,5 25,6 50 -8 20 20 20,6 40 -10 -10,8 -12 15 15 30 -14 10 10 20 -16 -17,1 5 5 10 -18 0 -20 0 0 Q4 09 Q1 10 Q4 09 Q1 10 Q1 09 Q1 10 Q1 09 Q1 10 29 30042010

  30. Slide 30: EPS and shareholders' equity per share

    EPS and shareholders' equity equit per share 0,10 , 14 1,4 0,08 1,2 1,0 0,06 0,65 0,8 0,33 0,04 , 0,08 0 07 0,07 0,6 0,02 0,4 0 64 0,64 0 64 0,64 0,00 0,2 -0,01 , -0,02 0,0 Q1 09 Q1 10 Q4 09 Q1 10 EPS wo onetime Retained earnings Onetime items Restricted equity 30 30042010

  31. Slide 31: Balance Sheet

    Balance Sheet IFRS MEUR Q1 2010 Q1 2009 Intangibles and goodwill 39,1 44,9 Tangibles 30,9 34,3 Associated companies 31,8 30,3 Inventory 1,0 1,3 Receivables 33,0 38,0 Cash 12,3 31,8 Assets 148,1 180,7 Equity 72,6 70,3 Reserves-obligatory Reserves obligatory 1,1 1,2 Pension liabilities 3,0 3,5 Ib debt

  32. Slide 32: Outlook for 2010

    , ; "4 id - - Ce . c “~ ~ ~~ . - ret 4 wr * 3236042010

  33. Slide 33: Outlook for 2010

    Outlook for 2010 • In 2010, Alma Media expects its comparable net sales and operating profit to increase moderately from the 2009 level as a result of a gradual growth in advertising sales. • Q2 2010 nett sales l andd operating ti profit fit are expected to be close to the previous year’s level. lev

  34. Slide 34: Q&A

    Q&A 34 30042010

Alma Media — Q1 2010 Earnings Presentation on 6ix