Slide 1: The leading European entertainment network
The leading European entertainment network
Slide 2: Agenda
Agenda ● HY 2011 RESULTS ○ Business Review ○ Strategy update
Slide 3: RTL Group Half year highlights 2011
RTL Group Half year highlights 2011 EBITA MARGIN REPORTED EBITA 20.2% REVENUE continuing operations EUR 2.75 billion EUR 557 million CASH CONVERSION 96% NET CASH POSITION Portfolio strengthened: Strong audience shares EUR 973 million acquisition of minorities; in major markets creation of new family
Slide 4: Agenda
Agenda ○ HY 2011 results ● BUSINESS REVIEW ○ Strategy update
Slide 5: Germany & France Results 2011
Germany & France Results 2011 NET ADVERTISING MARKET DEVELOPMENT (in % ) NET ADVERTISING MARKET DEVELOPMENT (in % ) HY 2011 vs 2010 HY 2011 vs 2010 Market RTL P7S1 Market M6 TF1 0,4 5,3 0,2 2,5 -0,9 -0,4 AUDIENCE SHARE 14-49 (in %) AUDIENCE SHARE – FAMILY OF CHANNELS HOUSEWIVES <50 ALL DAY (in %) +0
Slide 6: FremantleMedia Half year Results 2011
FremantleMedia Half year Results 2011 KEY FACTS 2011 KEY FINANCIALS (in EUR million) ● Continues to produce the highest rated 621 entertainment shows around the world 596 o In the US, season ten of American Idol was once again the most watched prime time entertainment series ROS ROS o In the UK, ser
Slide 7: FremantleMedia is known for…
FremantleMedia is known for… 6
Slide 8: …but FremantleMedia also has a global expertise in other parts of the value chain
…but FremantleMedia also has a global expertise in other parts of the value chain Drama Sponsors Live Event Online Social hip Networks Licensing 7
Slide 9: FremantleMedia's evolution
FremantleMedia’s evolution TV Production and 21st Century Rights Company Entertainment Company Distribution TV Production Kids Distribution Branded Ent. Licensing Home Video Licensing Gaming idea Home Live Video Events Digital Retail TBA 8
Slide 10: Netherlands & Belgium Results 2011
Netherlands & Belgium Results 2011 NET TV ADVERTISING MARKET DEVELOPMENT (in % ) NET TV ADVERTISING MARKET DEVELOPMENT (in % ) HY 2011 vs 2010 HY 2011 vs 2010 Market RTL SBS Market RTL RTBF 21,6 5,6 4,3 8,1 6,5 -0,4 Source : RTL Group estimates TV AUDIENCE SHARE – FAMILY OF CHANNELS TV AUDIENCE SHAR
Slide 11: Agenda
Agenda ○ Q1 2011 results ○ Business Review ● STRATEGY UPDATE
Slide 12: RTL Group exercises put option which leads to unwind of all Dutch radio assets
RTL Group excercises put option which leads to unwind of all Dutch radio assets from RTL Nederland Situation after RTL Group excercises Sanoma and Talpa acquire SBS Broadcasting put option with Talpa Sanoma Talpa RTL Group Sanoma Talpa RTL Group 67% 33% 26% 74% 67% 33% 100% 100% SBS NL RTL NL RTL NL
Slide 13: Acquisition of Cable Channels in Hungary: Strategic Rationale
Acquisition of Cable Channels in Hungary Strategic Rational THREE PART ACTION PLAN 1 Actions Cleans up shareholding • Currently IKO Telkom holds 31%, RTL 69% Acquire • Media law changes enables gain of full control 31% 2 Allows implementation of multichannel strategy Create • RTL Klub needs family o
Slide 14: Fragmentation in the Hungarian TV market
Acquisition of Cable Channels in Hungary Fragmentation in the Hungarian TV market TG 18-49, all day, in %, Q1 22,4 2 main commercial channels RTL = 40% of all day audience share Klub TV2 17,7 4 mid-sized channels M1 = 17% of all day audience share Viasat3 Film+ Cool (PSB) 80+ small channels Discov-
Slide 15: Development of Advertising Spend in the UK and Hungary
Acquisition of Cable Channels in Hungary Development of Advertising Spend in the UK and Hungary UK ADVERTISING SPEND 2001 -2010 HUNGARY ADVERTISING SPEND 2009-2018 (E) TERRESTRIAL VS. MULTI-CHANNEL TERRESTRIAL VS. MULTI-CHANNEL EUR 152m EUR -38m 84,2% 81.1%79,4% 76,4% 83,5% 73,0% 81.1% 69,8% 78,4% 6
Slide 16: Hungary: Acquisition of Cable Channels & 31 per cent stake in M-RTL
Hungary: Acquisition of 7 Cable Channels & 31 per cent stake in M-RTL Description #1 PAY-TV CHANNEL PROVIDER IN HUNGARY . Cool TV: #3 cable channel; young- Reflektor: celebrity Sorozat: series channel, skewing general entertainment, channel, launched in launched in 2008 launched in 2004 2008 Prizma:
Slide 17: Croatia: Buy-out of Remaining Minority Shareholder
Croatia: Buy-out of Remaining Minority Shareholder 2003 2010 2011 After change in media law, In 2011, RTL Group acquires RTL Group establishes RTLH RTL Group bought out RTLwith Group RTLshareholders Group buy up ouruntil remaining 26%-stake from localestablishes partners several RTLH with local part
Slide 18: Future Opportunities
Future Opportunities EXPAND FOOTPRINT IN ASIA 17
Slide 19: The leading European entertainment network
The leading European entertainment network