Alma Media Oyj · OMXHEX:ALMA
Alma Media Oyj — Q2 2010 Earnings Presentation
36 slides from Alma Media Oyj's earnings presentation, Jul 22, 2010
Slide 1: Alma Media Q2 2010
Al Alma Media M di QQ2 2010 Kai Telanne,, President & CEO Tuomas Itkonen, CFO July 22, 2010
Slide 2: Agenda
Agenda Kai Telanne, President & CEO: • Highlights Hi hli ht Q2 2010 • Markets Q2 2010 • Segment reviews Tuomas Itkonen, CFO: • Financial review • Outlook statement Questions
Slide 3: Highlights Q2 2010
Highlights Q2 2010 • Divided development of the advertising market – Market growth in online media including house and job advertising commenced. – Print newspaper advertising on last year’s weak level, June figures encouraging. • Comparable net sales of Alma Media grew 2.1 %. • Print media advertis
Slide 4: Key figures Q2 2010, MEUR
Key figures Q2 2010, MEUR N t sales, Net l MEUR EBIT MEUR EBIT, 90 14 -0,7% 80 12 0,6 0 6 7,5% -7,5% 79,0 78,7 11,7 70 73,0 74,4 10 11,3 11,3 60 8 8,3 50 6 40 4 30 20 2 10 0 -0,5 -0,1 -0,4 0 -2 Q3 09 Q4 09 Q1 10 Q2 10 Q3 09 Q4 09 Q1 10 Q2 10 Onetime items 4 22072010
Slide 5: Markets Q2 2010
Markets Q2 2010
Slide 6: Advertising sales change 6/2009 - 6/2010
Advertising sales change 6/2009 - 6/2010 50 % 40 % 30 % 20 % 10 % 0% -10 % -20 % -30 % Advertising sales total, chg % Newspaper advertising, chg % Internet advertising, chg % * Source: TNS Media Intelligence 6 22072010
Slide 7: Advertising sales change 4/2010 - 6/2010
Advertising sales change 4/2010 - 6/2010 Total market* Market value change, % 4/2010 5/2010 6/2010 Newspapers -4,5 -1,5 6,9 Magazines -4 4,8 8 03 0,3 47 4,7 Television 9,1 8,0 11,1 Radio , 2,9 7,6 , 10,1 , Internet 23,6 39,1 36,2 TOTAL 0,6 3,8 10,1 * Source: TNS Media Intelligence 7 22072010
Slide 8: Advertising by branch Q2/2010
Advertising by branch Q2/2010 Total market; change from Q2/2009 Advertising in Q2/10 MEUR -1,3 % Retail Retail 67 Food & bev. 7,2 , % Food & beverages g 27 Motor v. 3,2 % Motor vehicles 22 -8,4 % Entert Entertainment 11 -2,7 % Houses Houses and premises 10 Recru 38,9 % Recruiting 10 -6,4 6,4 % Touri
Slide 9: Advertising by branch Q2/2010
Advertising by branch Q2/2010 Newspapers total; change from Q2/2009 Advertising in Q2/10 MEUR -3,2 % Retail Retail 51 Motor v. 5,2 , % Motor vehicles 13 -11,8 % Houses Houses and premises 7 Recru 33,8 % Recruiting 6 -5,1 % Entert Entertainment 5 -11,4 % Tourism Tourism and traffic 4 Tele 16,9 % Tele
Slide 10: Advertising by branch Q1-Q2 2010
Advertising by branch Q1-Q2 2010 Total market; change from Q1-Q2 2009 Advertising in Q1-Q2 10 MEUR -1,4 % Retail Retail 122 Food & bev. 0,3 % Food & beverages g 49 1,2 % Motor v. Motor vehicles 47 Recru 17,8 % Recruiting 22 -6,2 % Houses Houses and premises 20 -4,6 % Entert Entertainment 20 Tele 24,
Slide 11: Advertising change by branch
Advertising change by branch Total market; change from previous year P4 2010 vs 2009 P5 2010 vs 2009 P6 2010 vs 2009 -6,8 % Retail Retail 0,9 % Retail 2,2 % Food &… 10,9 % -1,0 %Food &… Food & bev. 16,0 % Motor v. -5,6 % Motor v. 13,6 % Motor v. 3,6 % -9,4 % Entert -8,4 % Entert -7,6 % Entert Touris
Slide 12: Advertising sales, newspapers total
Advertising sales, newspapers total YTD change g from p previous yyear, % 0% -5 5% -10 % -15 % -20 % -25 % -30 % Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2009 2010 Source: TNS Media Intelligence 12 22072010
Slide 13: Advertising sales, internet
Advertising sales, internet YTD change g from previous p yyear, % 30 % 25 % 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 13 22072010
Slide 14: Advertising sales change Q2/2010
Advertising sales change Q2/2010 Alma Media vs. market Market Alma Media Change, % Q2/10 * Q2/10 Newspapers total -0,2 -2,4 ** Magazines -0,2 - Television 9,2 - Radio 7,2 - Internet 32,9 35,7 TOTAL 4,5 4,2 * Source: TNS Media Intelligence ** Newspapers segment (excl. online services), Kauppalehti an
Slide 15: Advertising sales change Q1-Q2 2010
Advertising sales change Q1-Q2 2010 Alma Media vs. market Market Alma Media Change, % Q1-Q2 10 * Q1-Q2 10 Newspapers total -0,3 -1,9 ** Magazines -5,0 - Television 6,0 - Radio 4,2 - Internet 25,3 23,2 TOTAL 2,7 2,4 * Source: TNS Media Intelligence ** Newspapers segment (excl. online services), Kaupp
Slide 16: Segment reviews
S Segment t reviews i
Slide 17: Newspapers Q2 2010
Newspapers Q2 2010 • N t sales Net l was MEUR 55 55.4 4 (55 (55.5) 5) att th the llevell off Q2 2009 2009. • Advertising sales grew 0.5% to MEUR 27.4 (27.3). – Print media advertising sales grew in Aamulehti and Lapin Kansa. – Online advertising sales grew well in the whole segment, particularly wel
Slide 18: Kauppalehti Group Q2 2010
Kauppalehti Group Q2 2010 • Net N t sales l MEUR 14.4 14 4 (16.0) (16 0) – Comparable net sales grew as Q2 2009 included MEUR 2.0 net sales pp of Kauppalehti 121. – Kauppalehti advertising picked up, growth was 12.9%. • Kauppalehti.fi advertising sales grew 29.1%. – Baltic News Service is still in a
Slide 19: Marketplaces Q2 2010
Marketplaces Q2 2010 • Net sales grew 17 17.0% 0% to MEUR 8 8.2 2 (7 (7.0). 0) – The picking up of housing advertising and a successful change in pricing increased the net sales of Etuovi.com. • Weak market conditions prevailed for City24 services, services operations are being scaled down down. – R
Slide 20: Financial Review
Financial Review
Slide 21: Key figures Q2 2010, MEUR
Key figures Q2 2010, MEUR N t sales, Net l MEUR EBIT MEUR EBIT, 90 14 -0,7% 80 12 0,6 0 6 7,5% -7,5% 79,0 78,7 11,7 70 73,0 74,4 10 11,3 11,3 60 8 8,3 50 6 40 4 30 20 2 10 0 -0,5 -0,1 -0,4 0 -2 Q3 09 Q4 09 Q1 10 Q2 10 Q3 09 Q4 09 Q1 10 Q2 10 Onetime items 21 22072010
Slide 22: Net sales change by type, MEUR
Net sales change by type, MEUR Circulation, MEUR Advertising, MEUR 0,6 2,0 +3,5% 05 0,5 -0,2% 0 2% 0,0 0,4 -2,0 0,3 0,2 -4,0 0,1 -0,3% -0,2% -6,0 0,0 -8,0 -0,1 -0,2 0,2 -10,0 10,0 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 22 22072010
Slide 23: Net Sales Q2/2010, MEUR
Net Sales Q2/2010, MEUR Newspapers Kauppalehti Group Kauppalehti-Group Marketplaces 55,4 MEUR (69,1%) 14,4 MEUR (17,9%) 8,2 MEUR (10,6%) 20 5,0 12 10 40 4,0 15 8 3,0 10 6 2,0 4 5 2 1,0 0 0 0,0 Etuovi.com 51,0% , ((4,1 , MEUR)) Aamulehti 34,3% (19,0 MEUR) Kauppalehti 68,7% (10,0 MEUR) monster 18,6% (
Slide 24: Net Sales change Q2/2010 vs Q2/2009
Net Sales change Q2/2010 vs Q2/2009 w/o onetime items Alma Media total Newspapers Kauppalehti Group Kauppalehti-Group Marketplaces -0,6 MEUR (-0,7 %) -0,1 MEUR (-0,1 %) -1,7 MEUR (-10,8 %) +1,2 MEUR (+16,6 %) 1,5 0,5 0,5 0,80 1 0 1,0 0,4 , 0 0 0,0 0,60 0,3 0,5 0,2 -0,5 0,0 0,40 MEUR MEUR0,1 MEUR MEU
Slide 25: EBIT by segment, MEUR
EBIT by segment, MEUR w/o onetime items Newspapers, MEUR & % Kauppalehti Group, MEUR & % 12,0 18 % 3,0 25 % -1,9% 16 % +60 2% +60,2% +16,9% 10,0 2,5 14 % 2,5 20 % 9,2 8,0 12 % 2,0 +71,1 15 % 6,9 10 % 6,0 1,5 1,5 8% 10 % 4,0 6% 1,0 4% 5% 2,0 0,5 2% 0 0 0,0 0% 00 0,0 0% Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Q
Slide 26: EBIT by segment, MEUR
EBIT by segment, MEUR w/o onetime items Marketplaces, MEUR & % Other, MEUR 0,20 3% 3,0 -150,6% 0,15 , 2% 2,5 -44,8% 0,10 0,1 1% 0,05 2,0 0,00 0% 1,5 -0,05 -1 % -0,10 -0,1 1,0 -0,15 -2 % -0,20 05 0,5 -3 % -0,25 -4 % 0,0 -0,30 -0,3 -0,3 -0,35 0 35 -5 5% -0,5 05 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Q2 09 Q3 0
Slide 27: Cash flow from operating activities
C h flow Cash fl ffrom operating i activities i ii 30,0 25,0 20,0 MEUR 15,0 10,0 5,7 , 6,5 , 4,0 5,0 0,0 , Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Tax return 27 22072010
Slide 28: Cash flow and investments
Cash flow and investments IFRS 7 0,5 6 5 6,5 6 0,0 5 4,2 -0,5 4,0 4 MEUR M EUR -1,0 1,0 M 2,9 3 -1,2 -1,5 2 1 -2,0 0 2,5 -2,5 -2,3 Q2 09 Q2 10 Q2 09 Q2 10 from operating activities gross investments before financing activities proceeds from sales of assets 28 22072010
Slide 29: Net debt, MEUR
Net debt, MEUR Dividend 25.3.10 29.8 MEUR 30 23,9 25 20 15 10 5 EUR 03 0,3 ME 0 -5 -3,2 -10 -7,9 7,9 -15 -14,5 -20 -16,5 -25 25 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Dividend 27.3.08 Dividend 25.3.09 67.2 MEUR 22.4 MEUR 29 22072010
Slide 30: Key ratios in 2010
Key ratios i ini 2010 IFRS Equity ratio, ratio % Gearing % Gearing, ROE% ROI% 80 0 60 50 -2 45 70 45,0 -4 50 52,6 40 67,2 60 64,9 46,7 -6 35 38,3 40 50 -8 30 40 -10 30 25 -12 20 30 -14 20 15 20 -16 -17,1 -17,4 10 10 10 -18 5 0 -20 0 0 Q4 09 Q2 10 Q4 09 Q2 10 Q2 09 Q2 10 Q2 09 Q2 10 30 22072010
Slide 31: EPS and shareholders' equity per share
EPS and a d shareholders' sha eholde s' eq equity it per e sha sharee 0,12 0, 14 1,4 0,10 1,2 0 08 0,08 1,0 0,65 0,44 0,06 0,8 0,11 0,11 0,04 0,6 0,02 0,4 0 64 0,64 0,66 0,00 0,00 0,2 -0,01 -0,02 , 0,0 Q2 09 Q2 10 Q4 09 Q2 10 EPS wo onetime Retained earnings Onetime items Restricted equity 31 220720
Slide 32: Balance Sheet
Balance Sheet IFRS MEUR Q2 2010 Q2 2009 Intangibles and goodwill 40,9 44,8 Tangibles 29,9 33,3 Associated companies 31,2 28,7 Inventory 0,9 1,4 Receivables 29,8 33,4 Cash 18,8 14,4 Assets 151,6 156,0 Equity 83,2 78,0 Reserves-obligatory Reserves obligatory 0,5 0,7 Pension liabilities 2,9 3,5 Ib debt
Slide 33: Outlook statement
Outlook statement
Slide 34: Outlook statement
Outlook statement • Alma Media expects its comparable net sales to increase moderatelyy from the 2009 level as a result of gradual growth in media advertising. Operating profit is expected to remain close to th previous the i year’s ’ llevel. l 34 22072010
Slide 35: Questions
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Slide 36: Coming events
Coming events Aug 19, 19 2010 Extraordinary General Meeting Oct 29,, 2010 Q3 2010 Interim Report p Nov 24, 2010 Capital Markets Day (preliminary)