Slide 1: Full Year Results 2022
FULL YEAR RESULTS 2022 12 APRIL 2023 1 LBG Media Full Year Results 2022
Slide 2: The Team
THE TEAM Solly Solomou Tim Croston Founder & CEO FCCA CFO 2 LBG Media Full Year Results 2022
Slide 3: Incoming CFO
INCOMING CFO Richard Jarvis Incoming CFO Richard has held a number of senior roles at AIM- listed GB Group plc, since joining in 1996. Managed & developed a global finance team across UK, USA, & APAC, gained significant international growth and M&A experience, and guided on performance, commercial o
Slide 4: FY 2022 Summary
FY 2022 SUMMARY £62.8m £15.7m 47% Revenue Adj. EBITDA Increase in +15% yoy -6% yoy international revenue 98bn 366m c. 2/3rds Content views1 Global audience Direct revenue +56% yoy +39% yoy from recurring clients 1: Views (source: Tubular), 2: Across Facebook, Instagram, Twitter, YouTube, TikTok & Sn
Slide 5: H2 2022 Highlights
H2 2022 HIGHLIGHTS £38.0m £14.1m 62bn H2 revenue H2 Adj. H2 content +21% yoy EBITDA views1 +48% yoy +68% yoy 1: Facebook video views only (source: Tubular) 5 LBG Media Full Year Results 2022
Slide 6: Huge youth audience, social first, first mover advantage
Huge youth audience Social first First mover advantage 6 LBG Media Full Year Results 2022
Slide 7: Advertising Market Trends
ADVERTISING MARKET TRENDS Global advertising market grew 7% in 2022, with continued growth forecast (2023: 6%1). We operate in the fastest growing digital segments of this market, which grew 9% in 2022 (forecast 2023: 8%1) US has world’s largest advertising spend1 and we are building a physical pres
Slide 8: Progress Against Our Three Growth Pillars
PROGRESS AGAINST OUR THREE GROWTH PILLARS 101GEOGRAPHIES Geographies 02 Acquisitions 03 Capabilities International now represents 20% LBG appointed first M&A Director Growing our website of Group revenue Key area of focus for the Page views +32% yoy A multi platform global audience1 business 29m Two
Slide 9: Unrivalled Engagement vs Competitors
UNRIVALLED ENGAGEMENT VS COMPETITORS FACEBOOK FOLLOWERS1 INTERACTIONS1 VIDEO VIEWS2 346m 1,402m 76,600m 337m 1,074m 13,600m 201m 396m 11,300m 77m 144m 6,600m 72m 127m 5,700m 63m 88m 4,500m 58m 87m 632m 38m 67m 14m 16m 34m 14m 15m 34m 13m 4m 14m 8m 1m 2m 2m 1 Source: CrowdTangle. Note data is for Fac
Slide 10: Developing Individual Brand Identity
DEVELOPING INDIVIDUAL BRAND IDENTITY White picture frame around the celebs with brands in the frame 10 LBG Media Full Year Results 2022 2022
Slide 11: Continuing to Take Our Social Responsibility Seriously
CONTINUING TO TAKE OUR SOCIAL RESPONSIBILITY SERIOUSLY SEXUAL ABUSE & VIOLENCE AWARENESS WEEK ABORTION: ROE vs WADE We ran a campaign to end stigma and educate our audience following the Supreme Court’s decision We worked with several charities on editorial content 2.3m PEOPLE … A hub of resources w
Slide 12: Tim Croston, CFO
Tim Croston CFO 12 LBG Media Full Year Results 2022
Slide 13: Monetisation: Routes to Market
MONETISATION: ROUTES TO MARKET Direct Indirect c45% c55% of Group of Group Revenue Revenue 13 LBG Media Full Year Results 2022
Slide 14: Direct Route to Market
DIRECT ROUTE TO MARKET ❖ Direct commercial partnerships created for leading brands and media agencies who want to reach our huge youth audience ❖ LBG creates & produces bespoke Branded Content & Direct Display advertising campaigns ❖ Publication across LBG’s social channels and websites, allowing br
Slide 15: Direct Revenue: Case Study Tampax Think Outside the Box
DIRECT REVENUE: CASE STUDY TAMPAX THINK OUTSIDE THE BOX Client problem to solve ❖LADbible Group were briefed to help Tampax discover why young people feared Tampons What did we do? ❖Research poll with our audience ❖Teamed up with a celebrity – Scarlett Moffat ❖Produced a social video featuring Scarl
Slide 16: Indirect Route to Market
INDIRECT ROUTE TO MARKET ❖ Social video and web editorial content ❖ Programmatic advertising ❖ Revenue share with social media platforms & ad exchanges Social Ad served Revenue Brand within media shared with Client publisher platform publisher content 45% 55% £ revenue 16 LBG Media Full Year Results
Slide 17: Financials
FINANCIALS LBG Media Full Year Results 2022
Slide 18: Continued Revenue Growth and Seasonality
CONTINUED REVENUE GROWTH AND SEASONALITY TOTAL REVENUE H1 / H2 REVENUE SPLIT £m 70 60 H1 60 50 H2 50 40 58% 61% 40 62.8 30 54.4 30 20 57% 67% 20 29.0 30.2 58% 39% 20.4 10 42% 10 42% 43% 33% 0 0 FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 15% 33% 21% Seasonal adver
Slide 19: Continued Revenue Growth and Diversification
CONTINUED REVENUE GROWTH AND DIVERSIFICATION DIVERSIFIED REVENUE STREAMS Direct 1% 6% 2% 2% v Direct partnerships with brand owners v Strong growth £27.8m +17% yoy 53% 55% v H2 £17.3m +21% yoy 48% 54% v 44% of revenue v 33% conversion, up from 21% v Growing recognition with global brands 44% 45% 42%
Slide 20: Costs
COSTS MANAGEMENT OF COSTS1 COST SPLIT £m 50 FY22 45 40 35 53% Payroll 30 22% Content & production 47.2 25 37.8 20 25% Overheads 15 23.3 24.7 10 15.5 5 0 2018 2019 2020 2021 2022 FY21 2022 costs 57% Payroll • COS £10.6m, +£3.4m yoy – revenue growth & content acquisition 19% Content & production • Pay
Slide 21: Adjusted EBITDA
ADJUSTED EBITDA Adjusted EBITDA £m HY SPLIT £m 20 FY21 FY22 14.1 9.5 7.3 1.6 10 H1 H2 16.8 15.7 v Typically EBITDA is more significantly weighted to H2 than revenue as operating costs are evenly spread throughout the year 5.7 5.5 4.9 v Cost control is a key focus but we will continue to 0 FY 2018 FY
Slide 22: Cash
CASH NET CASH EBITDA to CASH FROM OPERATIONS £m Cash balance 31 Dec 2022 £6.9m £29.3m -5.2 Cash from operations pre-one off items -£5.1m vs 2021 v Business remains highly cash generative -3.6 v Year end debtors increased £5.2m (34%) yoy, 15.7 commensurate with Q4 revenue growth -2.6 v Year end credi
Slide 23: Outlook & Guidance
OUTLOOK & GUIDANCE OUTLOOK ❖ DIGITAL ADVERTSING MARKET FORECAST TO CONTINUE OUTGROWING THE GENERAL AD MARKET IN 2023 ❖ STRONG START TO 2023 WITH MOMENTUM CONTINUING FROM H2 2022 ❖ TEAM FOCUSED ON ORGANIC GROWTH, COST CONTROL AND M&A ❖ AT THIS EARLY STAGE OF THE YEAR MANAGEMENT ARE CONFIDENT THAT THE
Slide 24: Solly Solomou, CEO
Solly Solomou CEO 24 LBG Media Full Year Results 2022
Slide 25: Strength of Core Business
STRENGTH OF CORE BUSINESS ❖ Unrivalled access to hard to reach audience ❖ Existing relationships with global brands ❖ Focus on content and engagement through data and insight ONE OF THE LARGEST AND ❖ Managing costs MOST ENGAGED PUBLISHERS ON ❖ Robust financial position SOCIAL OF ALL TIME ❖ Significa
Slide 26: Strategy for 2023 and Beyond: Geographies
STRATEGY FOR 2023 AND BEYOND GEOGRAPHIES ❖ Establish US operations DIGITAL MARKET1 SIZE ❖ Build on already significant 115m US audience UK $40bn ❖ Focus on producing dedicated AUS $10bn content for US audience, building brand partnerships and driving IRELAND $1bn growth in direct revenue US $213bn ❖
Slide 27: Strategy for 2023 and Beyond: Acquisitions
STRATEGY FOR 2023 AND BEYOND ACQUISITIONS ❖ Dedicated resource with M&A Director ❖ Identify opportunities to help the Group scale its reach and expand market share with a clear pipeline identified ❖ Ambition to deliver in 2023, with a small bolt on acquisition already made 19m followers ❖ Use strong
Slide 28: Strategy for 2023 and Beyond: Capabilities
STRATEGY FOR 2023 AND BEYOND CAPABILITIES ❖ World class brands ❖ Best in class audience access and service to client ❖ Focus on data and insights ❖ Invest in younger audiences, building followers and interactions to facilitate audience monetisation on new platforms ❖ Progressing in AI and emerging t
Slide 29: Strong Team to Deliver for the Future
STRONG TEAM TO DELIVER FOR THE FUTURE Mike Vaughan Joe Summers Felicity Rothwell Sinead Allchurch Jon Birchall Director of Social Vice President HR Director HR Director Director of APAC, USA & IRE Editorial Strategy Lindsay Turner Ben Elshaw Ben Andrews Tim Pearson Director of Marketing Director of
Slide 30: Summary
SUMMARY 2022 revenue +15% to £62.8m Ongoing focus on cost control Increased followers by 39% to 366m Growing reputation, partnering with global brands Continued to grow international presence and established operations in the US Strong H2, revenue up 21% and good momentum into 2023 30 LBG Media Full
Slide 31: Appendices
APPENDICES 32 LBG Media Full Year Results 2022
Slide 32: Profit & Loss
PROFIT & LOSS Historical Financial Performance Y/e Dec 2020 Y/e Dec 2021 Y/e Dec 2022 £’000 £’000 £’000 Revenue 30,170 54,502 62,809 Growth rate (%) 4% 81% 15% Net operating expenses (25,784) (46,255) (55,792) Expected credit loss reversal - - 467 Operating Profit/(loss) 4,386 8,247 7,466 Margin (%)
Slide 33: Balance Sheet
BALANCE SHEET HistoricalHistorical Financial Performance (audited) Y/e Dec 2020 Y/e Dec 2021 Y/e Dec 2022 H1 Interims (unaudited) Financial Performance £’000 £’000 £’000 Goodwill & other intangibles 15,055 14,558 15,436 Property, plant & equipment 4,598 3,705 3,670 Investment in JV 244 359 359 Other
Slide 34: Cashflow
CASHFLOW Historical Financial Performance Y/e Dec 2020 Y/e Dec 2021 H12022 Y/e Dec Interims (unaudited) £’000 £’000 £’000 Cash flows from operating activities Cash (used)/generated from operations 1,950 13,004 1,295 Tax (paid)/received (1,088) (678) (2,693) Net cash (used)/generated from operating 8
Slide 35: Thank you
Thank you Contact us: Email: investors@ladbiblegroup.com 36 LBG Media Full Half Year Year Results Results 2022 2022