Atresmedia Corporacion De Medios De Comunicacion Sa · BME:A3M
Atresmedia Corporacion De Medios De Comunicacion Sa — H1 2017 Earnings Presentation
34 slides from Atresmedia Corporacion De Medios De Comunicacion Sa's earnings presentation, Jul 28, 2017
Slide 1: 1H 17 Results
1H 17 Results July 28th, 2017 www.atresmediacorporacion.com 1H 17 Results 1
Slide 2: 1H 17 Highlights
1H 17 Highlights According to market estimates, Total Ad market was slightly negative in 1H 17 (TV was down by 1% and Radio up grew by 4% approximately) In 1H 17, Atresmedia achieved 26.7% audience share in Total Individuals and 28.8% as Commercial Target Atresmedia Television achieved market share
Slide 3: 1H 17 Financial Summary
1 1H 17 Financial Summary 1H 17 Results 3
Slide 4: Advertising market in Spain
Advertising market in Spain According to market sources, Total Ad market was between -0.2% as per Infoadex and -1% as per Arcemedia in this first half of 2017 TV was in line with the Total market while Radio outperformed it yoy Media Infoadex I2p TV -0.4% -1.2% Radio +4.0% +3.8% Newspapers -7.8% -9.
Slide 5: Atresmedia P&L
Atresmedia 1H 17 Results in € mill: P&L 1H 17 1H 16 YoY Net Revenues 550.8 544.1 +1.2% OPEX 434.3 424.6 +2.3% EBITDA 116.5 119.4 -2.5% EBITDA Margin 21.2% 22.0% EBIT 107.8 110.5 -2.4% EBIT Margin 19.6% 20.3% Net profit 84.3 84.2 +0.1% Net profit Margin 15.3% 15.5% Source: Atresmedia’s financial stat
Slide 6: Atresmedia: Net revenues by segment
Atresmedia: Net revenues by segment Total Net Revenues stood at €550.8 million, +1.2% yoy Net TV revenues of €485.5 million (-0.9% yoy) Radio revenues reached €42.4 mill (+1.9% yoy) Revenues of “Others” reached €22.9 mill (€10 mill more yoy) Net Revenues In € mill +1.2% -0.9% 544 551 490 485 +1.9% 1
Slide 7: Atresmedia: OPEX
Atresmedia: OPEX Total OPEX of €434 mill, +2.3% vs 1H 16 TV OPEX mainly increased due to more programming costs in Radio and higher amortization costs linked to Cinema OPEX breakdown by division OPEX breakdown by type of cost In € mill In € mill +2.3% 434 425 +2.3% 434 425 6 16 Others +10mill Radio
Slide 8: Atresmedia: Cash flow & Debt position
Atresmedia: Cash flow & Debt position Total net debt reached €161 million Total net debt/last 12 months EBITDA = 0.8x Cash flow Credit facilities In €mill In € mill 342 -77 -102 +101 -25 -59 Undrawn 47% 22 Cash -161 -179 Drawn Net 161 Debt 53% 2016 Net Operating Investing Dividends & 1H 17 Net debt
Slide 9: TV Advertising market
TV Advertising market 1H 17 (-1.2% yoy): Modest performance for TV ad market facing tough comps Gross Total TV Advertising by quarter (yoy growth) 22% 13% 12% 11% 8% 8% 6% 6% 3% 3% 3% 3% 4% 1% -3% FY14=+11% FY15=+6% FY16=+6% -5% -10% 1H17=-1.2% -16% FY13=-6% Q1 13 Q2 13 Q3 13 Q4 13 Q1 14 Q2 14 Q3 14
Slide 10: TV Advertising market by sector
TV Advertising market by sector Autos, Telcos & Others mostly offset the decline in Finance and FMCGs TV Ad market by sector TV Ad market by 1H 17 Market share 1H 17 Market = -1% Beauty Beauty & -15% 10% Hygiene Others Food -2% 29% Food 13% Automotive 6% Telecom 4% Retail -11% Autos Health 15% 6% Fi
Slide 11: Atresmedia market positioning
Atresmedia market positioning Market share stood at 42.9% according to I2p-Arcemedia Best power ratio in the industry Ad share positioning Power ratio in H1 17 In % Power ratio (x Market share /Audience ) 1.6 1.5 43.6% 43.5% -0.1pp -0.1pp 43.0% 42.9% H1 16 H1 17 Source: Infoadex/I2p(Arcemedia) 1H 17
Slide 12: Atresmedia Television
Atresmedia Television 1H 17 Results in € mill: P&L 1H 17 1H 16 YoY Total Net Rev. 485.5 489.9 -0.9% OPEX 385.4 390.3 -1.3% EBITDA 100.1 99.6 +0.5% EBITDA Margin 20.6% 20.3% EBIT 92.8 91.9 +1.0% EBIT Margin 19.1% 18.8% Source: Atresmedia`s financial statements 1H 17 Results 12
Slide 13: Atresmedia Television: Ad revenues breakdown in 1H 17
Atresmedia Television: Ad revenues breakdown in 1H 17 1H 17 Key factors ∆ GRPs ∆ GRPs ∆ Price 4% 10% -3% -2% -5% ∆ ∆ ∆ Audience Inventory TV viewing ∆ Gross Ad. Revenue -1.5% Source: Internal estimates 1H 17 Results 13
Slide 14: Atresmedia Radio
Atresmedia Radio Atresmedia Radio grew by 2% in 1H 17 vs +4% for the Radio market OPEX increased yoy mainly due to the programming grid reinforcement in the late night as of Q3 16 Atresmedia Radio vs Radio market Revenues breakdown in 1H 17 1H17 yoy growth By format By market +4% Radio market Revenu
Slide 15: Atresmedia Radio
Atresmedia Radio 1H 17 Results in € mill: P&L 1H 17 1H 16 YoY Net Revenues 42.4 41.6 +1.9% OPEX 32.9 28.6 +15.0% EBITDA 9.4 12.9 -27.1% EBITDA Margin 22.3% 31.2% EBIT 8.4 12.0 -29.6% EBIT Margin 19.9% 28.8% Source: Atresmedia’s financial statements 1H 17 Results 15
Slide 16: Atresmedia: Others Division
Atresmedia: Others Division Financials Net revenues split Events 26% € mill 1H 17 1H 16 Others Net Revenues 22.9 12.6 * 44% EBITDA 6.9 6.9 Films 30% Source: Atresmedia’s financial statements Contribution to consolidated group net of eliminations *Others (Internet, Editorial…) 1H 17 Results 16
Slide 17: 1H 17 Business Summary
2 1H 17 Business Summary 1H 17 Results 17
Slide 18: TV viewing
TV viewing TV viewing remains at high levels (237 min/day) Downward trend in linear TV is partially offset by non linear TV (+4 min/day) TV viewing Average daily viewing in min Linear + Non linear Linear 247 243 237 254 256 250 233 233 241 246 244 239 233 228 224 225 230 220 1H03 1H04 1H05 1H06 1H07
Slide 19: Atresmedia Television: Audience by channel
Atresmedia Television: Audience by channel Atresmedia’s audience dropped by 70 bps yoy Audience group 27.4 26.7 In % 1H 16 1H 17 12.9 13.0 7.4 6.4 2.4 2.4 2.1 2.2 1.8 1.8 1.0 0.7 -0.1 -1.0 0.0 +0.1 +0.0 +0.3 -0.7 Source: Kantar Media. Total Individuals (4y+) 1H 17 Results 19
Slide 20: TV audience shares: By groups
TV audience shares: By groups Atresmedia achieved 26.7% audience share in Total Individuals and 28.8% as Commercial Target in 1H17 Audience Share Total Individuals Aud. Share by Commercial Target In % In % 30.5 -1.3pp 31.1 -0.7pp 29.2 30.4 30.2 -1.4pp 27.4 -0.7pp 28.8 26.7 16.6 -0.4pp 16.2 14.3 -1.1
Slide 21: TV audience shares: By core channels (Tier I)
TV audience shares: By core channels (Tier I) Antena 3 achieved 12.9% in Total Individuals and 12.7% in Commercial Target Audience Share Total Individuals Aud. Share by Commercial Target In % In % 15.1 -1.3pp 13.8 14.0 -1.3pp 12.7 13.0 -0.1pp 13.2 12.9 -0.5pp 12.7 10.0 +0.2pp 10.2 8.7 -0.3pp 8.4 1S1
Slide 22: TV audience shares: By core channels (Tier II)
TV audience shares: By core channels (Tier II) La Sexta was affected by declining interest in political and current affairs programmes vs 1H16 Audience Share Total Individuals Aud. Share by Commercial Target In % In % 7.4 -0.1pp 7.2 8.5 -1.4pp 7.3 7.3 -1.0pp 6.4 7.7 6.7 -0.4pp -0.5pp 7.1 6.2 +0.0pp
Slide 23: TV audience shares: Complementary channels
TV audience shares: Complementary channels 1H 17 yoy audiences: Atresmedia’s complementary channels keep positive trend (+0.4pp yoy) Complementary channels’ audience share In % 1H 17 Channels 1H 16 A3M 7.4 7.0 +0.4 9.2 * MSE 8.7 +0.5 TVE 5.9 -0.7 6.6 3.0 Net 2.8 +0.2 2.8 Veo 1.9 +0.9 * 2.0 13TV 2.1
Slide 24: Atresmedia Radio
Atresmedia Radio Atresmedia Radio has flattened out at 4.1 million listeners Stable performance in all our radio stations Listeners evolution In thousand of listerners 4,119 4,153 4,106 4,091 1,943 1,947 1,912 1,922 1,902 1,920 1,910 1,871 274 286 284 298 2nd 16 3rd 16 1st 17 2nd 17 Source: EGM Surv
Slide 25: Atresmedia Digital
Atresmedia Digital Monthly unique users increased by 26.6% up to 28.8 mill in 1H 17 Atresmedia: Leading in unique users among TV broadcasters Unique Users yoy Monthly average in mill users 28.8 15.9 +26.6% 22.7 11.0 10.6 11.0 1H 17 7.6 1H 16 6.4 Jan 16 Jun 17 Source: Adobe Analytics Source: Comscore
Slide 26: Digital: Atresplayer & Flooxer
Atresmedia Digital: Atresplayer & Flooxer Atresplayer achieves 2.4 mill users in monthly average Flooxer nearly reaches 1.1 mill users /month KPIs KPIs Long form video Short form video platform platform Videoplayers 2.4 Users mill (avg 1H 17) Videoplayers 1.1 Apps 9.6 Users (avg 1H 17) mill Download
Slide 27: Diversification: International
Atresmedia Diversification: International International division increased penetration by x2.6 in 3 years In mill suscribers x2.6 ≈49 ≈19 9 20 5 20 14 1H 14 1H 17 1H 17 Results 27
Slide 28: Atresmedia Cinema
Atresmedia Cinema Atresmedia Films accounted for 45% of total revenues generated by Spanish films in the first half of 2017 Atresmedia Cinema in 1H 17 1H 17 Results 28
Slide 29: Back up
Back up 1H 17 Results 29
Slide 30: Atresmedia Television: Ad revenues breakdown in Q2 17
Atresmedia Television: Ad revenues breakdown in Q2 17 Q2 17 Key factors ∆ GRPs ∆ GRPs ∆ Price 2% 7% -3% -3% -7% ∆ ∆ ∆ Audience Inventory TV viewing ∆ Gross Ad. Revenue -5% Source: Internal estimates 1H 17 Results 30
Slide 31: Atresmedia Q2 Results
Atresmedia Q2 17 Results in € mill: P&L Q2 17 Q2 16 YoY Net Revenues 291.7 298.0 -2.1% OPEX 216.4 218.9 -1.1% EBITDA 75.3 79.2 -4.9% EBITDA Margin 25.8% 26.6% EBIT 71.0 74.7 -5.0% EBIT Margin 24.3% 25.1% Net profit 55.9 57.0 -2.0% Net profit Margin 19.2% 19.1% Source: Atresmedia’s financial statemen
Slide 32: Atresmedia Television Q2 Results
Atresmedia Television Q2 17 Results in € mill: P&L Q2 17 Q2 16 YoY Total Net Revenues 254.9 265.7 -4.1% OPEX 190.7 199.5 -4.4% EBITDA 64.2 66.2 -3.0% EBITDA Margin 25.2% 24.9% EBIT 60.6 62.3 -2.8% EBIT Margin 23.8% 23.5% Source: Atresmedia`s financial statements 1H 17 Results 32
Slide 33: Atresmedia Radio Q2 Results
Atresmedia Radio Q2 17 Results in € mill: P&L Q2 17 Q2 16 YoY Net Revenues 23.0 23.5 -2.0% OPEX 15.3 13.5 +13.1% EBITDA 7.7 9.9 -22.4% EBITDA Margin 33.6% 42.4% EBIT 7.2 9.4 -23.7% EBIT Margin 31.3% 40.3% Source: Atresmedia’s financial statements 1H 17 Results 33
Slide 34: Additional information
Additional information Investor Relations Department Phone: +34 91 623 46 14 E-mail: ir@atresmedia.com Web: www.atresmediacorporacion.com Legal Notice The information contained in this presentation has not been independently verified and is, in any case, subject to negotiation, changes and modificat
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