Scout24 Se · XETR:G24
Scout24 — Q1 2019 Earnings Presentation
28 slides from Scout24's earnings presentation, May 14, 2019
Slide 1: Scout24 AG Q1 2019 Results Conference Call
SCOUT24 AG | Q1 2019 Results Conference Call| May 14, 2019
Slide 2: Disclaimer
Disclaimer This document has been issued by Scout24 AG (the “Company” and, together with its direct and indirect subsidiaries, the "Group") and does not constitute or form part of and should not be construed as any offer or invitation to sell or issue, or any solicitation of any offer to purchase or
Slide 3: Takeover Bid: Successful
Take over Successful Takeover Bid HELLMAN & FRIEDMAN AND BLACKSTONE REACHES MINIMUM ACCEPTANCE THRESHOLD • According to information provided by the Bidder, the minimum acceptance threshold of 50% plus one Scout24 share was exceeded • Takeover bid subject to merger control clearance • With Hellman &
Slide 4: Takeover Bid: Not Successful
Take over NOT Successful Takeover Bid TAKEOVER BID BY HELLMAN & FRIEDMAN AND BLACKSTONE REJECTED BY MA JORITY OF SHAREHOLDERS • Minimum acceptance threshold of 50 percent plus one share not reached • Management and Supervisory Board had expressed support for the strategic partnership with Hellman &
Slide 5: Key Financial Highlights
Key Financial Highlights WE DELIVER STRONG REVENUE GROWTH AND EVEN STRONGER SUSTAINABLE PROFITABILITY AND CASH FLOWS in €m +14.8% l-f-l +15.2% l-f-l +21.7% l-f-l +20.6% +11.3% +17.2% 149 71 65 64 123 56 51.6% 47.5% 47.7% 87.5% 92.1% Q1 2018 Q1 2019 Q1 2018 Q1 2019 Q1 2018 Q1 2019 Group Revenues Grou
Slide 6: Recap: Disclosure Adjusted to Reflect Operations
Recap: Disclosure Adjusted to Reflect Operations Revenue 2018 2018 YOY ordinary operating 2018 2018 Margin (in €m) as new new EBITDA as new new reported disclosure disclosure (in €m) reported disclosure disclosure ImmobilienScout24 250.0 250.0 6.0% ImmobilienScout24 170.3 170.3 68.1% AutoScout24 181
Slide 7: ImmobilienScout24
ImmobilienScout24 REVENUES WITH RESIDENTIAL REAL ESTATE PARTNERS WITH DOUBLE-DIGIT GROWTH RATE IN Q1 2019 in €m External Revenues ordinary operating EBITDA +8.5% l-f-l +7.6% 65 61 +8.4% l-f-l +8.2% 43 40 66.0% 66.3% Q1 2018 Q1 2019 Q1 2018 Q1 2019 ooEBITDA-margin 7 l-f-l: Like-for-like, i.e. as if n
Slide 8: ImmobilienScout24: VIA - Providing Value to Our Partners' Business
ImmobilienScout24 VIA - PROVIDING VALUE TO OUR PARTNERS’ BUSINESS Value-added Product Solutions Q4 2018: 31.4%* 31.8% VIA Revenues as % of total IS24 Revenues (Q1 2019) Successfully market existing Premium listing products objects Media Display Advertising Build local reputation & brand products Inc
Slide 9: AutoScout24
AutoScout24 FURTHER INCREASE IN ARPU DRIVING POSITIVE DEVELOPMENT in €m External Revenues ordinary operating EBITDA +21.2% l-f-l +16.8% 45 39 +48.9% l-f-l +42.5% 25 17 54.8% 44.9% Q1 2018 Q1 2019 Q1 2018 Q1 2019 ooEBITDA-margin 9 l-f-l: Like-for-like, i.e. as if new acquisitions or divestments would
Slide 10: AutoScout24: Providing Clear Benefit to Our Partners
AutoScout24 PROVIDING CLEAR BENEFIT TO OUR PARTNERS Q4 2018: 17.9%* 17.4% Value-added Product Solutions MIA Revenues as % of total AS24 Dealer Revenues (Q1 2019) Premium listing products Increase demand performance Media Display Advertising Build local reputation & brand products 10 *Q4 2018 figure
Slide 11: Consumer Services
Consumer Services GROWTH WAS DRIVEN BY REVENUE WITH FINANCING PARTNERS AND SERVICES INCL. FINANZCHECK.DE in €m External Revenues ordinary operating EBITDA +19.1% l-f-l +59.4% 39 -27.8% l-f-l -39.2% 8 24 ooEBITDA-margin 5 ooEBITDA-margin l-f-l 35.0% 22.0% 13.3% Q1 20181 Q1 2019 Q1 20182 Q1 2019 l-f-l
Slide 12: Ordinary Operating Cost
Ordinary Operating Cost Q1 2018 Q1 2019 (in €m) Revenues 123.4 148.8 • Increase mainly driven by consolidation of Own work capitalised 4.7 4.6 FZ.de Personnel (incl. external labour) (36.3) (41.9) • Higher marketing costs reflecting Marketing (online & offline) (15.4) (25.4) investments into future
Slide 13: Below EBITDA Items
Below EBITDA Items Q1 2018 Q1 2019 (in €m) Ordinary operating EBITDA 63.7 70.9 • Includes personnel expenses of €9.3m, which mainly result from share-based Non-operating items (2.9) (12.5) compensation, as well as €2.8m for M&A Reported EBITDA 60.8 58.5 related activities D&A (5.1) (5.4) D&A on PPA
Slide 14: Capital Structure
Capital Structure Loan volume Margin going • Debt structure reflecting successful Debt structure Current Margin (€m) forward early refinancing of bank debt in July Term loan 300 1.35% 1.15% RCF I (drawn) 20 1.05% 0.85% 2018 RCF I (undrawn) 180 • Successfully financed the acquisition RCF II (drawn) 2
Slide 15: We have clear priorities for cash
We have clear priorities for cash Re-invest in growth M&A activities targeted to strengthen market positions or grow adjacencies business Return cash to shareholders Dividend pay-out ratio of 30.0% to 50.0% of adjusted net income over time Repay debt Target leverage ratio of 1.0x to 1.5x over time 1
Slide 16: Outlook Full Year 2019
Outlook Full Year 2019 REITERATING FULL YEAR OUTLOOK Revenue growth1 ordinary operating EBITDA margin 9.0% to 11.0% ImmobilienScout24 reported 8.0% to 10.0% ImmobilienScout24 Up to 70.0% 12.0% to 14.0% AutoScout24 reported 9.0% to 11.0% AutoScout24 Up to 54.0% 15.0% to 17.0% Scout24 Consumer Service
Slide 17: Q&A
Q&A 37 page 17 Scout24 AG | Q1 2019 Results Presentation
Slide 18: Appendix
Appendix SCOUT24 AG Q1 2019 Results
Slide 19: Reconciliation Adjusted Earnings
Reconciliation Adjusted Earnings (in €m) Q1 2018 Q1 2019 Earnings before Tax 40.5 37.8 Add back non-operating items 2.9 12.5 Add back D&A on PPA items 9.0 9.4 Add back extraordinary finance expenses / income and effects from derivative instruments1 (1) 0.5 Adjusted Earnings before Tax 51.3 60.0 Adju
Slide 20: Income Statement
Income Statement (EUR '000) Q1 2018 Q1 2019 Revenues 123.4 148.8 Own work capitalised 4.7 4.6 Other operating income 1.9 0.8 Total operating performance 130.0 154.1 Personnel expenses (30.9) (43.0) Advertising expenses (16.1) (26.2) IT expenses (4.8) (5.9) Other operating expenses (17.4) (20.5) EBIT
Slide 21: Balance Sheet 1 / 2
Balance Sheet 1 / 2 (EUR '000) 31/12/2018 31/03/2019 Assets Current assets 168.9 200.0 Cash and cash equivalents 58.4 92.8 Trade receivables 58.4 57.9 Financial assets 7.4 2.2 Income tax receivables 0.7 1.0 Other assets 10.1 11.8 Assets held for sale 33.8 34.3 Non-current assets 2,295.8 2,284.1 Good
Slide 22: Balance Sheet 2 / 2
Balance Sheet 2 / 2 (EUR '000) 31/12/2018 31/03/2019 Equity and liabilities Current liabilities 148.0 140.7 Trade payables 37.6 32.9 Financial liabilities 23.4 21.8 Lease liabilities 6.0 6.1 Other provisions 9.0 9.6 Income tax liabilities 28.5 22.2 Contract liabilities 9.7 10.8 Other liabilities 22.
Slide 23: Cash Flow Statement 1 / 2
Cash Flow Statement 1 / 2 (EUR '000) Q1 2018 Q1 2019 Earnings after tax 30.1 26.1 Depreciation. amortisation and impairment losses 15.7 16.6 Income tax expense/(income) 10.4 11.7 Financial income1 (1.0) (0.0) Financial expenses1 5.6 4.2 Result from investments accounted for using the equity method (
Slide 24: Cash Flow Statement 2 / 2
Cash Flow Statement 2 / 2 (EUR '000) Q1 2018 Q1 2019 Cash flow from investing activities (6.6) 0.6 Repayment of short-term financial liabilities (31.5) (2.6) Drawing down of medium and long term financial liabilities 215.0 (0.0) Repayment of medium- and long-term financial liabilities (220.0) (0.0)
Slide 25: New long term incentive programme (LTIP)
New long term incentive programme (LTIP) 2018 2019 2020 2021 • Replacement of existing MEP (only valid for a limited amount of people, running out in 2019) 35% Started in Q3 2018 for key personnel of the Retention • company, around 90 participants as of today • Vesting quarterly over a period of 3 r
Slide 26: AutoScout24: Adjusted to Reflect Operations
AutoScout24: Adjusted to Reflect Operations AS24 as reported AS24 new disclosure1 AutoScout24 H1 H2 FY AutoScout24 H1 H2 FY (in €m) 2018 2018 2018 (in €m) 2018 2018 2018 Revenue with Dealers Revenue with Dealers 36.7 40.8 77.5 37.4 42.8 80.2 (+2.7) Germany Germany Revenue with Dealers Revenue with D
Slide 27: Scout24 Consumer Services: Adjusted to Reflect Operations
Scout24 Consumer Services: Adjusted to Reflect Operations Scout24 CS as reported Scout24 CS new disclosure1 Scout24 Consumer Scout24 Consumer H1 H2 FY H1 H2 FY Services Services 2018 2018 2018 2018 2018 2018 (in €m) (in €m) Revenue with Finance Revenue with Finance 20.6 34.2 54.8 20.6 34.2 54.8 Part
Slide 28: IR Contact details and financial calendar
IR Contact details and financial calendar Financial Calendar 2019 (expected) Half year report 2019 August 13, 2019 Annual general meeting August 30, 2019 Interim report Q3 2019 November 7, 2019 Publications Full year report report.scout24.com/2018 CSR Report csrbericht.scout24.com/en Group Annual Re