United Internet Ag · XETR:UTDI

United Internet — H1 2021 Earnings Presentation

35 slides from United Internet's earnings presentation, Aug 5, 2021

  1. Slide 1: United Internet AG 6-Month 2021

    UNITED INTERNET AG 6-Month 2021 Montabaur, August 5, 2021 1 H1 2021 Montabaur, August 5, 2021

  2. Slide 2: Agenda

    AGENDA Ralph Dommermuth Company development Outlook 2021 Martin Mildner Results H1 2021 2 H1 2021 Montabaur, August 5, 2021

  3. Slide 3: Company Development

    COMPANY DEVELOPMENT 3 H1 2021 Montabaur, August 5, 2021

  4. Slide 4: Business Areas: Access & Applications

    2 BUSINESS AREAS: ACCESS & APPLICATIONS ACCESS APPLICATIONS Consumer Access Consumer Applications Motivated Team  9,900 employees, of which approx. 3,200 in product management, development and data centers Sales strength  More than 5 million contracts p. a.  50,000 registrations for free services

  5. Slide 5: Brands & Investments

    BRANDS & INVESTMENTS (as of June 30, 2021) Consumer Access Business Consumer A p p l i c a t i o ns Business Partners 25.39% 31.52% 37.76%* 25.10% 20.00% * Tele Columbus shares held indirectly via 40% investment in Kublai GmbH 5 H1 2021 Montabaur, August 5, 2021

  6. Slide 6: "Access" in H1 2021

    “ACCESS” IN H1 2021  CONSUMER ACCESS  CONSUMER APPLICATIONS  BUSINESS ACCESS  BUSINESS APPLICATIONS 6 H1 2021 Montabaur, August 5, 2021

  7. Slide 7: "Consumer Access": Fixed-Line Business

    “CONSUMER ACCESS”: FIXED-LINE BUSINESS  1&1 as the largest alternative DSL provider with 4.28 million broadband connections  VDSL and FTTH complete packages incl. voice and IP-TV via 1&1 Versatel, with the last mile via Deutsche Telekom and City Carrier  Connect fixed-line network awards: #1 in 2

  8. Slide 8: "Consumer Access": Mobile Business

    “CONSUMER ACCESS”: MOBILE BUSINESS  1&1 is Germany's leading MVNO with 10.83 million mobile phone contracts  Broad market coverage - target group-specific approach to all market segments  Award winning in the connect customer satisfaction survey Main brand  Development of a high-performance 5G n

  9. Slide 9: "Consumer Access": Customer Contracts

    “CONSUMER ACCESS”: CUSTOMER CONTRACTS (in millions) Mobile Internet Broadband connections 20 14.83 15.11 15 +0.28  15.11 million customer contracts (+ 280,000) 10  10.83 million mobile internet contracts (+ 310,000) 10.52 10.83  4.28 million broadband connections ADSL / VDSL / 5 FTTH (- 30,000) 4

  10. Slide 10: "Consumer Access": Revenues

    “CONSUMER ACCESS”: REVENUES (acc. to IFRS in € millions) Service revenues Other revenues (mainly hardware) 2,000 1,867.2 1,916.2 +49.0 (+2.6%)  + 2.6% revenues to € 1.916 billion 1,500  + 3.0% service revenues to € 1.542 billion 1,496.9 1,541.7 1,000  + 1.1% other revenues (mainly smartphones) to

  11. Slide 11: "Consumer Access" (I): Total EBITDA

    “CONSUMER ACCESS” (I): TOTAL EBITDA (acc. to IFRS in € millions) 400 376.4 39.4 331.3 +5.7  + 13.6% EBITDA to € 376.4 million (+1.7%) 300  Incl. + € 39.4 million positive earnings effect from retrospective price adjustment of MBA MVNO in 2020 200 (“non-period ” ) 337.0  + 1.7% operative EBITDA to

  12. Slide 12: "Consumer Access" (II): EBITDA acc. to Subsegments

    “CONSUMER ACCESS” (II): EBITDA ACC. TO SUBSEGMENTS (acc. to IFRS in € million) EBITDA “Access” 400 351.9 336.9 +15.0 “Access” w/o non-period effects (+4.5%) 300  + 4.5% operative EBITDA to € 351.9 million 200  18.4% EBITDA margin (prior year: 18.0%) 100 0 H1 2020 H1 2021 EBITDA “5G” “5G”  - € 14.

  13. Slide 13: "Business Access"

    “BUSINESS ACCESS”  1&1 Versatel operates one of the largest German fiber optic networks  Project business and plug-and-play solutions for medium-sized companies Business  51,721 km of fiber optic network FTTB  In 250 German cities, incl. 19 of the 25 Authorities largest cities  20,791 directly

  14. Slide 14: "Business Access": Revenues

    “BUSINESS ACCESS”: REVENUES (acc. to IFRS in € millions) 300 258.4 241.5 +16.9 (+7.0%) 200  + 7.0% revenues to € 258.4 million 100 0 H1 2020 H1 2021 14 H1 2021 Montabaur, August 5, 2021

  15. Slide 15: "Business Access": EBITDA

    “BUSINESS ACCESS”: EBITDA (acc. to IFRS in € millions) 79.1 80 74.9 +4.2 (+5.6%) 70 60  + 5.6% EBITDA to € 79.1 million 50  Incl. - € 1.1 million one-off charge in connection with 40 the new FTTH / VDSL wholesale contract with 30 Deutsche Telekom 20  30.6% EBITDA margin (prior year: 31.0%) 10 0 H

  16. Slide 16: "Applications" in H1 2021

    “APPLICATIONS” IN H1 2021  CONSUMER ACCESS  CONSUMER APPLICATIONS  BUSINESS ACCESS  BUSINESS APPLICATIONS 16 H1 2021 Montabaur, August 5, 2021

  17. Slide 17: "Consumer Applications": From E-Mail Service to Command Center

    “CONSUMER APPLICATIONS”: FROM E-MAIL SERVICE TO COMMAND CENTER FOR COMMUNICATION, INFORMATION AND IDENTITY MANAGEMENT Communication Online offfice and organization texts, spreadsheets, E-mail, calendar, presentations contacts, SMS, fax Cloud storage De-Mail for photos, videos, legally secure communi

  18. Slide 18: "Consumer Applications": Assets

    “CONSUMER APPLICATIONS”: ASSETS  With GMX, WEB.DE and mail.com one of the leading providers of consumer applications  34.6 million active accounts in Germany alone - over 50% market share in private e-mails eIDAS/ Cloud- E-Mail* Content* ID De-Mail Speicher* #1 #1 #2 #1 #3  Differentiation throug

  19. Slide 19: "Consumer Applications": Accounts

    “CONSUMER APPLICATIONS”: ACCOUNTS (in millions) Free-Accounts Pay-Accounts  42.12 million consumer accounts (+ 350,000), thereof 50 41.77 42.12  39.69 million free accounts (+ 290,000) +0.35 40  2.43 million pay accounts (+ 60,000) 30  27.0 million with mobile use (+ 300,000) 39.40 39.69 20  21

  20. Slide 20: "Consumer Applications": Revenues

    “CONSUMER APPLICATIONS”: REVENUES (acc. to IFRS in € millions) 140 134.2 +14.5 119.7 (+12.1%) 120  + 12.1% revenues to € 134.2 million 100 80 60 40 20 0 H1 2020 H1 2021 20 H1 2021 Montabaur, August 5, 2021

  21. Slide 21: "Consumer Applications": EBITDA

    “CONSUMER APPLICATIONS”: EBITDA (acc. to IFRS in € millions) 60 56.1 +9.1 47.0 (+19.4%)  + 19.4% EBITDA to € 56.1 million 40  41.8% EBITDA margin (prior year: 39.3%) 20 0 H1 2020 H1 2021 21 H1 2021 Montabaur, August 5, 2021

  22. Slide 22: "Business Applications": From Web Host to E-Business Solutions Provider

    “BUSINESS APPLICATIONS”: FROM WEB HOST TO E-BUSINESS SOLUTIONS PROVIDER E-mail Website Sector Business marketing design Mobile apps content apps Local Display E-payment E-shops SEO tools listings advertising solutions 22 H1 2021 Montabaur, August 5, 2021

  23. Slide 23: "Business Applications": IONOS Market Position

    “BUSINESS APPLICATIONS”: IONOS MARKET POSITION  Leading European provider  Active in 17 countries: #1 in Germany, Spain, Poland and Austria, #2 in UK and France*  Broad product portfolio  In-house developments and cooperations with development partners  Powerful data centers * Based on ccTLDs 2

  24. Slide 24: "Business Applications": Customer Contracts

    “BUSINESS APPLICATIONS”: CUSTOMER CONTRACTS (in millions) Abroad Domestic 10 8.45 8.63 +0.18  8.63 million customer contracts (+ 180,000) 8  4.46 million abroad (+ 70,000) 4.39 4.46 6  4.17 million domestic (+ 110,000) 4 2 4.06 4.17 0 31.12.2020 30.06.2021 24 H1 2021 Montabaur, August 5, 2021

  25. Slide 25: "Business Applications": Revenues

    “BUSINESS APPLICATIONS”: REVENUES (acc. to IFRS in € millions) 600 514.4 +42.8 471.6 (+9.1%)  + 9.1% revenues to € 514.4 million 400  Customer growth  Increased up- and cross-selling 200  Strong Sedo growth (domain trading platform and domain parking) 0 H1 2020 H1 2021 25 H1 2021 Montabaur, Augu

  26. Slide 26: "Business Applications": EBITDA

    “BUSINESS APPLICATIONS”: EBITDA (acc. to IFRS in € millions) 180 167.8 163.3 -4.5 (-2.7%)  - 2.7% EBITDA to € 163.3 million 135  Incl. - € 16.4 million for a product / sales offensive in 90 the cloud business and further internationalization  31.7% EBITDA margin (prior year: 35.6%) 45 0 H1 2020 H

  27. Slide 27: Group: KPIs H1 2021

    GROUP: KPIs H1 2021  + 520,000 customer contracts to 26.17 million contracts Revenues and earnings figures (in € millions) H1 2020 H1 2021 Change Revenues 2,657.9 2,775.6 + 4.4% EBITDA (1) 620.5 673.2 + 8.5% Operative EBITDA (2) 620.5 633.8 + 2.1% EBIT (1) 385.4 441.9 + 14.7% Operative EBIT (2) 385

  28. Slide 28: Outlook 2021

    OUTLOOK 2021 28 H1 2021 Montabaur, August 5, 2021

  29. Slide 29: Forecast 2021

    FORECAST 2021 Guidance increased after successful H1 2021  Revenues: approx. € 5.6 billion (previous guidance: approx. € 5.5 billion)  EBITDA: approx. € 1.25 billion (previous guidance: € 1.22 billion), therein unchanged included  Approx. - € 30 million start-up costs for 1&1 mobile network  App

  30. Slide 30: Results H1 2021

    RESULTS H1 2021 30 H1 2021 Montabaur, August 5, 2021

  31. Slide 31: Group: Key Figures as of June 30, 2021

    GROUP: KEY FIGURES AS OF JUNE 30, 2021 Contracts in million / P&L figures according to IFRS in million € 30.06.2020 30.06.2021 Change Customer contracts with costs 25.20 26.17 + 0.97 million Advertising financed Free-Accounts 38.51 39.69 + 1.18 million Revenues 2,657.9 2,775.6 + 4.4% EBITDA (1) 620.

  32. Slide 32: Group: EBITDA / Free Cash Flow Bridge as of June 30, 2021

    GROUP: EBITDA / FREE CASH FLOW BRIDGE AS OF JUNE 30, 2021 (acc. to IFRS in € millions) 633.8 -136.9 -126.0 -216.0 214.5 59.6 -57.0 157.5 Operative Taxes & interest Capex DTAG contingent Working Free Cashflow Leasing FCF after EBITDA payment Capital H1 2021 Leasing H1 2021 32 H1 2021 Montabaur, Augus

  33. Slide 33: Group: Balance Sheet as of June 30, 2021 (I)

    GROUP: BALANCE SHEET AS OF JUNE 30, 2021 (I) (acc. to IFRS in € millions) Assets 31.12.2020 30.06.2021 Comments Property, plant and equipment / 3,469.4 3,421.9  Mostly unchanged intangible assets Goodwill 3,609.4 3,638.9  Increase through we22 acquisition Financial assets 99.5 445.4  Increase thr

  34. Slide 34: Group: Balance Sheet as of June 30, 2021 (II)

    GROUP: BALANCE SHEET AS OF JUNE 30, 2021 (II) (acc. to IFRS in € millions) Liabilities and equity 31.12.2020 30.06.2021 Comments  Equity ratio: - 3.8 pp to 49.4% by increasing the shares in 1&1 and IONOS Equity 4,911.2 4,759.5 (+8.43 pp to 75.10% (purchase price: approx. € 310 million) und 1&1 (1.8

  35. Slide 35: Our success story continues!

    UNITED INTERNET AG Our success story continues! 35 H1 2021 Montabaur, August 5, 2021

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