Slide 1: RTL Group Interim results H1/2024
9 August 2024 RTL Group Interim results H1/2024
Slide 2: Agenda
Agenda 01 02 03 04 05 Highlights Financials Operations Strategy & Deep dive: ad-tech Outlook partnership with P7S1 RTL Group interim results 2024 2
Slide 3: Highlights
01 Highlights 3
Slide 4: Highlights
Highlights ꟷ Dynamic growth in streaming ꟷ Paying subscribers: +25% to 6.3 million ꟷ Streaming revenue: +42% ꟷ Successful launch and expansion of M6+ ꟷ Full-year outlook for 2024 and long-term streaming targets confirmed ꟷ Strong operating performance in H1/2024 ꟷ Recovery of TV advertising markets
Slide 5: Financials
02 Financials 5
Slide 6: Key financials
Key financials Group revenue Adjusted EBITA1 Total Group profit in € million Organic Adjusted EBITA growth1 +2% margin1 6.4% 6.0% +31% +2% 173 -5% Continuing 132 63 Discontinued operations 55 operations 2,820 2,872 181 172 Continuing 110 operations 77 H1/2023 H1/2024 H1/2023 H1/2024 H1/2023 H1/2024
Slide 7: Key financials
Key financials Adjusted EBITA in € million 250 181 172 -69 H1/2023 RTL H1/2023 Sports costs Operating H1/2024 pro forma Nederland continuing performance continuing Source: FY 2023 presentation RTL Group interim results 2024 7
Slide 8: Group profit
Group profit in € million H1/2024 H1/2023 Adjusted EBITA 172 181 Significant special items (33) (78) EBITA 139 103 Impairment of goodwill of subsidiaries - - Amortisation and impairment of fair value adjustments on acquisitions of subsidiaries (20) (23) Impairment and reversals of investments accoun
Slide 9: Cash flow
Cash flow in € million H1/2024 H1/2023 Net cash from/(used in) operating activities 72 (24) -thereof discontinued operations 12 (2) Operating free cash flow 70 (33) - thereof discontinued operations 11 (2) Income tax paid (71) (77) Acquisitions/disposals of subsidiaries, at-equity investments and ot
Slide 10: Operations
03 Operations 10
Slide 11: RTL Deutschland
RTL Deutschland Key financials Family of channels Highlights in € million Audience shares, in % 14-59, H1/2024 5.594 million paying subscribers 27.4% at 30 June 2024: +25% yoy +3% 1,209 10.4 Only commercial channel to gain 1,172 audience share (14-59) in Germany 5.7 Others 32.3 +44% 23 11.3 1 Market
Slide 12: Groupe M6
Groupe M6 Key financials Family of channels Highlights in € million Audience shares, in % 25-49, H1/2024 20.5% Successful launch of M6+: >2.2 million downloads of the M6+ app +6% +33% in viewers +23% in streaming hours 657 12.6 622 Others 7.9 36.6 -12% 138 122 Strong #2 High reach of the Uefa Euro 2
Slide 13: Fremantle
Fremantle Key financials Highlights in € million Organic -8% growth Entertainment Drama & Film Documentaries -5% 1,007 957 -3% 36 35 American Idol: Britain’s Got Talent: Neighbours: return on Maxton Hall: the No 1 Deadliest Catch: consistently the No 1 average audience Amazon’s Freevee title of the
Slide 14: Strategy & Outlook
04 Strategy & Outlook 14
Slide 15: Strategy framework unchanged
Strategy framework unchanged Alliances & Core Growth partnerships Portfolio transformation Creativity & Communications People Regulation Entrepreneurship & Marketing Enabler RTL Group interim results 2024 15
Slide 16: Strategy update – Growth
Strategy update – Growth Dynamic growth in subscribers and revenue Long-term targets confirmed Streaming targets for RTL+ in Germany and Hungary and M6+ in France by 2026 Paying subscribers +25% in million 6.27 M6+ ~9m ~€750m 5.03 0.68 RTL+ HU 0.54 0.90 5.59 paying streaming 0.65 4.49 RTL+ DE subscr
Slide 17: Strategy update – Growth
Strategy update – Growth Expand global content business Revenue development Targets for 2026 FY, in € billion − Continued revenue growth – organic and via M&A − Maintain gross margin at current level 2.3 2.3 − Reduce and scale overheads 1.9 − Increase Adjusted EBITA margin to 9% 1.5 Main acquisition
Slide 18: Strategy update – Growth
Strategy update – Growth Expand global content business Format Countries1 Launch year IP owned by Fremantle Price Is Right 11 1956 ꟷ Strong portfolio of Password 6 1961 long-running formats Family Feud 32 1976 and established brands Idols 16 2001 ꟷ Significant IP Farmer Wants A Wife 24 2001 ownershi
Slide 19: Outlook 2024 confirmed
Outlook 2024 confirmed 2023 2024e Revenue €6.2bn ~€6.6bn ~€750m Adjusted EBITA €782m (+/- €50m) Streaming start-up losses €176m ~€200m 19
Slide 20: Ad tech made in Europe
Ad tech made in Europe Thomas Servatius, Co-CEO & MD Platform & Technology, Smartclip 20
Slide 21: TV advertising is facing not only new challenges but also new opportunities
TV advertising is facing not only new challenges but also new opportunities Germany: video usage on TV devices1 for 3+, in hours/day Linear TV Non-linear − The rise of streaming brought big screen advertising new growth opportunities and created new access points to younger target groups outside lin
Slide 22: RTL Deutschland's ad-tech venture with ProSiebenSat1 will create a holistic TV advertising ecosystem
RTL Deutschland’s ad-tech venture with ProSiebenSat1 will create a holistic TV advertising ecosystem Digital TV ecosystem Linear TV ecosystem One-to-many broadcast ATV OLV CTV LTV RTL ad tech: P7S1 ad tech: Smartclip, Creation of a holistic video advertising engine Active Agent, Realytics, TheAdx, Y
Slide 23: Combined technology will serve all relevant inventories from both media companies
Combined technology will serve all relevant inventories from both media companies Shared buy-side solutions Booking Buying Audience Measuring Non-digitally addressable reach (Linear TV) Media Manager Linear TV channels Shared Digitally supply-side addressable solutions reach (Addressable TV) smartcl
Slide 24: Benefits for advertisers and broadcasters
Benefits for advertisers and broadcasters Benefits for advertisers and agencies Access to European TV Cross-channel measurement Data and AI-driven total inventories via one DSP and digital KPIs TV buying in real time Benefits for € broadcasters‘ sales houses Better inventory Enabling Total Video Bet
Slide 25: Next steps
Next steps Closer integration of the Enhanced KPIs and Enabling of further use ad-tech offerings from cross-TV measurement cases and scenarios Creation of a European TV Smartclip and Virtual Minds advertising ecosystem for advertisers/buyers and broadcasters… Market test for Standardisation of Roll
Slide 26: #RTLresults
9 August 2024 » #RTLresults
Slide 27: Financial calendar 2024
Financial calendar 2024 January RTL Group Financial Results 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 14 March 2024 February at 08:00 CET 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 Full-year results: January to December 202
Slide 28: Definitions
Definitions Alternative performance measure Explanation Adjusted EBITA represents a recurring operating result and excludes significant special items. RTL Group management has established an ‘Adjusted EBITA’ that neutralises the impacts of structural distortions for the sake of transparency. Based o
Slide 29: Definitions
Definitions Alternative performance measure Explanation In accordance with RTL Group’s strategy, the company continued to invest heavily in its streaming services, RTL+ in Germany and Hungary and M6+ in France, all of which have seen a rapid increase in the number of paying subscribers (for further
Slide 30: Definitions
Definitions Alternative performance measure Explanation Operating cash conversion rate Operating cash conversion rate means operating free cash flow divided by EBITA. The net cash/(debt) is the gross balance sheet financial debt adjusted for ‘Cash and cash equivalents’; current deposits with shareho
Slide 31: Disclaimer
Disclaimer This presentation is not an offer or solicitation of an offer to buy or sell securities. It is furnished to you solely for your information and use at this meeting. It contains summary information only and does not purport to be comprehensive or complete, and it is not intended to be (and