Reworld Media SA · EURONEXT:ALREW
Reworld Media SA — H1 2023 Earnings Presentation
38 slides from Reworld Media SA's earnings presentation, Sep 21, 2023
Slide 1: Results 1st Half 2023
RESULTS 1st HALF 2023 21 September 2023 CONTENT ● BRANDS ● TECHNOLOGIES
Slide 2: Contents
CONTENTS INTRODUCTION ACTIVITIES ACCOUNTS OUTLOOK
Slide 3: Introduction
INTRODUCTION 3
Slide 4: H1 2023 Key Figures
H1 2023 KEY FIGURES Consolidated Organic REVENUE: NET INCOME: REVENUE: €240.1 M €266.4 M €12.3 M +10.3% 29.0% -€5.7 M 4.6% -€1.4 M -0.6% vs. H1 2022 International vs. H1 2022 of revenue vs. H1 2022 vs. H1 2022 EBITDA: €22.5 M CASH: €88.8 M EBITDA: €26.7 M -€8.7 M 8.4% €115.1 M €11.7 M -€4.5 M 11.1%
Slide 5: H1 2023 Highlights
H1 2023 HIGHLIGHTS BTOB OPERATIONS Acquisitions BTOC Operations Organic revenue growth of Revenue and EBITDA impacted Execution of the integration plan +3.5% by rising prices of for Unify’s publisher activities in line with the digital market paper and energy Consolidation of organic War in Ukraine
Slide 6: H1 2023 Performance Analysis
H1 2023 PERFORMANCE ANALYSIS Revenue: €266.4m In €M +22.3 +10.3% growth 266,4 266.4 Stable organically +4.0 +10.3% +4.1 Scope effect(1) : +€26.3m +€24.9m 241,5 241.5 240,1 240.1 -5.5 H1 BTOC BTOB H1 2023 BTOC BTOB H1 2023 2022 organic consolidated Scope effect(1) EBITDA (2) : €22.5m 12.9% +0.3 11.1%
Slide 7: No. 1 Thematic Media Platform in France
NO. 1 No. 1 magazine publisher THEMATIC 38.7 million MEDIA people in France in contact with our press brands(1) PLATFORM +17% in 1 year IN FRANCE No. 2 digital media group More than 80 active media brands, rooted in the popular culture, at the 32.9 million unique visitors / month(2) heart of the dai
Slide 8: More than 80 Popular, Active Brands
MORE THAN 80 POPULAR, ACTIVE BRANDS HEALTH 1 WOMEN 2 FOOD 1 YOUNG 1 AUTO 2 LIFESTYLE WELL-BEING SCIENCE 3 ENTERTAIN4 TECH 3 SPORT 3 NATURE 2 HOME 1 CULTURE MENT GAMING Source: ranking based on Médiamétrie//Netratings measure, Global Internet Audience in France, average of Dec-22 to May-23 vs. simila
Slide 9: Continued International Development
Media (5) Adtech (16) CONTINUED Licenses (23) INTERNATIONAL DEVELOPMENT ADTECH & MEDIA As the leader in adtech in Europe, Tradedoubler is continuing with its internationalisation. International development of medias, directly or through brand licenses. one of the most prestigious fashion media brand
Slide 10: BtoC
BTOC 10
Slide 11: BtoC: Leader in Magazine Publishing in France
BTOC: LEADER IN MAGAZINE PUBLISHING IN FRANCE The most-read magazine No. 1 monthly in France No. 1 high-end SEPM 23 Relay Prize SEPM 23 Relay Prize in France women’s magazine Youth Magazine Magazine Passion "AI, draw me a sailor." Source: ACPM, OneNext Global Study H1 2023, targets together 15+. 11
Slide 12: BtoC: Continuous Enrichment of Magazine Offerings
BTOC: CONTINUOUS ENRICHMENT OF MAGAZINE OFFERINGS Acquisition of Grazia and launch of Grazia Food in Italy. Launch of new youth titles: Mon Petit Psychologies with Les Tidoudous, and also 100 Jeux pour les Curieux, Tout Savoir, J‘apprends en m‘amusant, etc. Launch of new variants such as Closer Star
Slide 13: BtoC: Continued Diversification of Offerings
BTOC: CONTINUED DIVERSIFICATION OF OFFERINGS Publishing Paywall TV Services Products Launch of new collections, especially for young people. Nearly 60 products put for sale in H1, including 37 new products. Integration of SVOD offerings of recently acquired channels, and launch of Doctissimo TV sche
Slide 14: BtoC: Rigorous Management in the Face of Inflation
BTOC: RIGOROUS MANAGEMENT IN THE FACE OF INFLATION "What's new?" Unprecedented rise in paper and energy prices, well above inflation, leading to a significant increase in the production and distribution costs of magazines. Summer 2023: 14% drop in the price of paper for purchase. In H1 2023, paper w
Slide 15: BtoC: Evolution of Key Indicators
BTOC: EVOLUTION OF KEY INDICATORS BtoC revenue by product Focus on subscription Magazines, vs. H1 2022 Others, vs. H1 2022 -2.6% +28.6% 1.8 million -5.0% organically +7.3% organically Paid subscriptions(1) 339 000 Diversified subscriptions(1) BTOC revenue by offer €9.3m 54% 46% MRR (2) per pay-per-u
Slide 16: BtoC: 6.5% EBITDA Margin, 7.1% Organically
BTOC: 6.5% EBITDA MARGIN, 7.1% ORGANICALLY (€M) Consolidated Organic -1.2% -4.4% -€1.4m -€5.5m Revenue 124,1 124.1 124,1 124.1 122,7 122.7 118,6 118.6 30/06/22 30/06/23 30/06/22 30/06/23 - 39.8% -36.3% -€5.3m -€4.8m EBITDA(1) 13,3 13.3 13,3 13.3 8,0 8.0 8,5 8.5 30/06/22 30/06/23 30/06/22 30/06/23 10
Slide 17: BtoB
BTOB 17
Slide 18: BtoB: A Market That Is Continuing to Digitise
BTOB: A MARKET THAT IS CONTINUING TO DIGITISE Digital is slowing down but remains the driver of growth in H1 2023 in a stable 83% of BTOB revenue is Digital communication market (bn) +22.5% growth in revenue from BTOB vs. H1 2022 +3.5% in BTOB revenue organically in line with the market excluding Se
Slide 19: BtoB: 2nd Digital Media Group in France
Stronger leadership position with the acquisition of Unify BTOB: 2ND DIGITAL (in millions of monthly UVs) MEDIA GROUP 38.5 IN FRANCE 32.9 +23.5% 32.8 27.9 12.2 million audio listenings/month 27.8 on 18 sites and 7 themes 25.0 24.7 > 270 million 20.2 Instream videos viewed / month 17.8 17.6 Media gro
Slide 20: BtoB: No. 1 Media Group on Social Networks
BTOB: NO. 1 MEDIA GROUP ON SOCIAL NETWORKS 77.5 million 342.6 million followers videos viewed/month Continued investment in dedicated contents 530 ORIGINAL SHOWS & PROGRAMS → Trend: implementation of remuneration for content creators by platforms Social media offering Powerful both in terms of audie
Slide 21: BtoB: Agility and Organic Innovation
BTOB: AGILITY AND ORGANIC INNOVATION New offerings CONTENT TO COMMERCE Global market > €100bn in 2022 From content to purchase, this offering allows brands, in a contextual media environment, to efficiently target potential customers, generate qualified traffic and boost their sales. INFLUENCE Media
Slide 22: BtoB: Execution of the Unify Integration Plan
BTOB: EXECUTION OF THE UNIFY INTEGRATION PLAN → A strategic acquisition, which strengthens the Group's leadership in digital 1. Operations 2. Teams 3. "Go-to-market" Maintaining the audiences of Rapidly pooling teams under joint Development of priority acquired assets supervision monetisation
Slide 23: BtoB: 10.1% EBITDA Margin, 15.0% Organic
BTOB: 10.1% EBITDA MARGIN, 15.0% ORGANIC (€M) Consolidated Organic +22.5% +€26.4m +3.5% Revenue +€4.1m 143,7 143.7 117,3 117.3 117,3 117.3 121,4 121.4 30/06/22 30/06/23 30/06/22 30/06/23 +1.8% -19.0% +€0.3m -€3.4m EBITDA(1) 17,9 17.9 17,9 17.9 18,2 18.2 14,5 14.5 30/06/22 30/06/23 30/06/22 30/06/23
Slide 24: Accounts
ACCOUNTS 24
Slide 25: Consolidated Income
CONSOLIDATED INCOME In €m 30/06/2023 30/06/2022 Change (€m) Change (%) Revenue 266.4 241.5 24.9 +10.3% Operating costs (243.9) (210.3) (33.6) +16.0% (1) EBITDA 22.5 31.2 (8.7) -27.9% (2) STATEMENT (0.6) (2.0) 1.4 n.a. Amortisation (1) EBIT 21.8 29.1 (7.3) -25.0% Financial result (4.7) (3.6) (1.1) +3
Slide 26: Situation of Net Financial Debt
SITUATION OF NET FINANCIAL DEBT NFD: €115.1m In €M -12.6 Amounts recorded on the balance sheet 216.5 203.9 203.9 88.8 -29.5 Net debt of 2.0x L12M EBITDA 118.3 115.1 88.8 Gearing(1) of 57% 31/12/22 30/06/23 31/12/22 30/06/23 Gross debt Cash NFD Gross financial debt Cash assets Net debt as at 30/06/23
Slide 27: Cash Flow in H1 2023
CASH FLOW IN H1 2023 Cash assets In €m +11.7 -4.1 -6.5 -4.9 -17.7 118.3 -7.8 -0.4 Acquisitions of Reworld Media Italia 88.8 Grazia (Jan-23) and Zezam (June-23). 31/12/22 Operating Income tax Exceptional Investment Financing Acquisitions Foreign 30/06/23 exchange effect Y-1 122.9 +20.1 -2.4 -8.0 -2.7
Slide 28: Reference Shareholder of Hopscotch Group
REFERENCE SHAREHOLDER OF HOPSCOTCH GROUP 1st European Reworld Media holds(3) 793,186 shares: communication and event Average price 18.03€ €18.03 consulting group 28.66% 26.90% since 1 January Price/share (3) Capital Voting rights Present in 30 countries 2020 2021 2022 March February July 2023 The he
Slide 29: Outlook
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Slide 30: Outlook Unchanged, Maintaining Strategic Orientation
OUTLOOK UNCHANGED, 1 Continuing the Group’s development MAINTAINING BTOC (€M) BTOB (€M) STRATEGIC ✓ Maintaining profitability and assets ✓ Expected rebound in Unify's profitability ✓ Building an innovative offering at 360° ORIENTATION ✓ Continued investment in the most ✓ Developing subscriptions pro
Slide 31: Questions
QUESTIONS 31
Slide 32: Appendices
APPENDICES 32
Slide 33: A Unique and Diversified Platform
A UNIQUE AND DIVERSIFIED PLATFORM BTOC DIVISION SOCIAL AFFILIATION MEDIA Leader in thematic media in France Consulting, production and advertising Other BTOC CONTENT TO Content, product and services offering in tune with consumers’ interests, available E-commerce, Micro-training, Services COMMERCE B
Slide 34: Simplified Consolidated Balance Sheet
SIMPLIFIED CONSOLIDATED BALANCE SHEET In €m 30/06/2023 31/12/2022 Change (M€) Fixed asset 363.1 348.7 14.4 Deferred tax assets 12.6 8.2 4.4 Current assets 172.4 176.9 (4.5) Cash and cash equivalents 88.8 118.3 (29.5) Assets 636.8 652.1 (15.3) Equity 186.5 176.3 10.2 Minority interests 15.1 14.3 0.8
Slide 35: Cash Flow
CASH FLOW In €m 30/06/2023 30/06/2022 Change (M€) EBITDA(1) 22.5 31.2 (8.7) Operating cash flow effect (10.7) (11.0) 0.3 Operating flows 11.7 20.1 (8.4) Income tax (4.1) (2.4) (1.7) Exceptional cash effect (6.5) (8.0) 1.4 Cash flow from operating activities 1.1 9.8 (8.7) Cash flow from investing act
Slide 36: Important Warnings
IMPORTANT WARNINGS The information contained in this document, particularly that relating to expectations of future performance of Reworld Media Group, are forward-looking statements and may be subject to certain risks and uncertainties. Any references to past performance of Reworld Media Group shou
Slide 37: Contacts
CONTACTS 8 rue Barthélémy Danjou 92100 Boulogne Billancourt reworldmedia.com investisseurs@reworldmedia.com Follow us also on: Sponsor listing: Euroland Corporate Contact: Julia Bridger jbridger@elcorp.com Communication Contact: PCE - Ségolène de St Martin sdestmartin@p-c-e.fr
Slide 38: Content, Brands, Technologies
CONTENT ● BRANDS ● TECHNOLOGIES