Slide 1: Preliminary Q4 / FY 2022 Results
Preliminary Q4 / FY 2022 Results Analyst / Investor Presentation
Slide 2: Important Notice / APMs
Important Notice / APMs This presentation as well as any information communicated in connection therewith (the "Presentation") contains information regarding TeamViewer AG (the "Company") and its subsidiaries (the Company, together with its subsidiaries, "TeamViewer"). It is provided for information
Slide 3: Important Notice / APMs (continued)
Important Notice / APMs (continued) • Adjusted EBITDA (definition from FY 2023 onwards, also referred to as Adjusted (Revenue) EBITDA) is defined as operating income (EBIT) according to IFRS, plus depreciation and amortisation of tangible and intangible fixed assets (EBITDA), adjusted for certain bu
Slide 4: Business Overview
Business Overview Oliver Steil (CEO)
Slide 5: Successful year-end finish with a strong Q4
Successful year-end finish with a strong Q4 Strong Q4 Billings of Continued strong profitability with Targeted sales campaigns creating €191m with a +24% Adjusted (Billings) EBITDA margin of additional value for TMV and its (+20% cc) increase yoy 51% (+7pp) despite growing cost base global customer
Slide 6: Growing ticket sizes: Evidence of strong customer demand
Growing ticket sizes: Evidence of strong customer demand… SMB Billings by ACV Bucket (in €m, LTM) Enterprise Billings by ACV Bucket (in €m, LTM) +11% 502.8 +42% 132.0 454.6 22.9 >€ 200,000 224.8 177.2 +27% € <500 93.0 +18% 17.8 >€ 100,000 19.4 € 500 - <1,500 +71% 22.8 >€ 50,000 10.4 € 1,500 - 10,000
Slide 7: Underlined also by prominent new customer wins
…underlined also by prominent new customer wins • Secure remote connection to devices of employees • Simplifying global internal IT support to improve operating in around 140 countries with TeamViewer efficiency and productivity Tensor • Henkel's IT experts now able to connect to all devices of • Re
Slide 8: FY 2022 in line with original guidance
FY 2022 in line with original guidance KPIs at a Glance €635m Adjusted (Billings) €299m Billings +16% | +11% cc1 EBITDA +16% yoy 21% | 79% Adjusted (Billings) 47% Enterprise | SMB Split +|- 4pp yoy EBITDA Margin +0pp yoy €566m Free Cash Flow €172m Revenue +13% (FCFE) +9% yoy 107% €0.37 NRR (LTM) Bas
Slide 9: EMEA particularly strong; APAC accelerating
EMEA particularly strong; APAC accelerating Q4: TOTAL BILLINGS AND REGIONAL SPLIT FY: TOTAL BILLINGS AND REGIONAL SPLIT AMERICAS AMERICAS EMEA 33% (-2.3pp) EMEA 35% (+0.7pp) €191m €635m 57% (+1.7pp) (+24% | +20% cc) 54% (-0.5pp) (+16% | +11% cc) APAC APAC 9% (+0.6pp) 11% (-0.2p) EMEA Q4: €109.2m (+2
Slide 10: Strategic direction driven by client needs
Strategic direction driven by client needs Customer Matrix Strategic Focus 4 Focus topic 4 4 Capitalize on leading market position in AR / OT frontline digital workflows Focus topic 3 3 3 Diversify into connectivity use cases for Decision Maker operational technology and smart devices Focus topic 2
Slide 11: Focused high-quality product offering
Focused high-quality product offering Remote Support Enterprise Connectivity Frontline Productivity Solutions Solutions Solutions Remote access, control and Advanced remote support, control Digital workflows, instructions and management solutions for SMB IT and management of enterprise IT, smart ass
Slide 12: Financial Overview
Financial Overview Michael Wilkens (CFO)
Slide 13: Delivered in line with original guidance on Billings, Revenue and Margin
Delivered in line with original guidance on Billings, Revenue and Margin Quarterly Billings (in €m) and Growth Rates (yoy) Adjusted (Billings) EBITDA (in €m) and Margin (in %) 190.6 634.8 95% 153.7 163.5 30% 47% 144.6 136.1 25% 150 75% 24% 20% 51% 51% 44% 43% 55% 100 +16% 100 42% 298.7 20% 15% 35% 1
Slide 14: Pricing power in SMB business
Pricing power in SMB business SMB Quarterly Billings (in €m) and Growth Rates (yoy) SMB Average Selling Price (in €, LTM) 147.3 124.4 128.3 117.9 20% 502.8 804 109.3 18% 16% 18% 14% 773 753 12% 10% +11% 745 9% 10% 728 8% 10% FY 6% 4% 4% 2% 2022 20 0% Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q4 2021 Q
Slide 15: Continued Enterprise success
Continued Enterprise success Enterprise Quarterly Billings (in €m) and Growth Rates (yoy) Enterprise Average Selling Price (in €k, LTM) 43.3 35.2 132.0 37 36 36 36 29.4 34 26.9 26.7 +42% 107% 51% 47% 47% 21% FY 2022 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Ente
Slide 16: Recurring and resilient business model proven by increasing NRR
Recurring and resilient business model proven by increasing NRR NRR Development (LTM) LARGE & STICKY CUSTOMER BASE 107% Significant cross- and up-selling potential 103% Upsell Campaigns MYD Net upsell SMB to ENT Successful increase Reducing churn risk (LTM; €m) in customer value, by securing 101% 20
Slide 17: Strong growth of 13% in newly introduced ARR metric
Strong growth of 13% in newly introduced ARR metric New KPI: ARR Billings-ARR-Revenue Development ARR to normalize Billings for MYD-effects Revenue ARR Billings Definition Annual Recurring Revenue (ARR) 634.8 Annualized recurring Billings for all active subscriptions at 602.5 565.9 the reporting dat
Slide 18: FY 2022 recurring cost base in line with Billings growth
FY 2022 recurring cost base in line with Billings growth €m (all adjusted non-IFRS figures) Q4 2022 Q4 2021 ∆% FY 2022 FY 2021 ∆% Billings 190.6 153.7 +24% 634.8 547.6 +16% Revenue 150.5 132.3 +14% 565.9 501.1 +13% Cost of sales (12.3) (10.0) +23% (41.6) (38.3) +9% Cost development Billings Gross pr
Slide 19: High profitability with very strong Net Income growth
High profitability with very strong Net Income growth €m Q4 2022 Q4 2021 ∆% FY 2022 FY 2021 ∆% Adjusted (Billings) EBITDA 97.4 67.7 +44% 298.7 257.0 +16% Change in deferred revenue (40.1) (21.5) +87% (68.9) (46.5) +48% • Deferred revenue driven by strong Q4 Billings development Adjusted (Revenue) EB
Slide 20: Continued high Cash Conversion
Continued high Cash Conversion €m Q4 2022 Q4 2021 ∆% FY 2022 FY 2021 ∆% • Pre-tax net cash from operating Pre-tax net cash from operating activities (IFRS) 92.4 80.0 +15% 250.8 237.5 +6% activities increased by 6%, despite full year sponsorship payments Income tax paid (11.8) (3.6) +226% (46.4) (43.
Slide 21: FY 2022 Leverage in line with target
FY 2022 Leverage in line with target m€ Further optimized financial profile Cash & Cash Operating CapEx Paid Net debt Share Cash & Cash Financial Net Fin. ✓ €300m SBB completed Other2 Equivalents Cash Flow1 incl. M&A Interest repayment Buyback Equivalents Liabilities3 Liabilities ✓ €286m debt repaid
Slide 22: Key takeaways
Key takeaways 1 Strong Revenue growth 4 Strong cash flow generation 2 High predictability and stickiness 5 Upside from Manchester United option Proven resilience in the current macro 3 Sustainable high margin 6 environment TeamViewer | Preliminary Q4 / FY 2022 Results 22
Slide 23: Outlook
Outlook Michael Wilkens (CFO)
Slide 24: High confidence in 2023 Guidance
High confidence in 2023 Guidance • Performance underpinned by Revenue (IFRS) EUR 620m to 645m1 highly recurring and resilient +10-14% yoy business model NEW Revenue-based • Confidence in double-digit Guidance KPIs revenue growth, operating in Adjusted (Revenue) EBITDA Margin2 around 40% an exciting
Slide 25: Delivering stable high margins
Delivering stable high margins INVEST INTO FUTURE GROWTH MACRO-ECONOMIC IMPACTS ACTIONS TAKEN Strengthen TeamViewer’s high-quality • One-off negative • Inflationary cost • Diligent cost product offering to reinforce its leading effect in 2023 pressure across management market position all cost items
Slide 26: Commitment to efficient capital allocation
Commitment to efficient capital allocation Strong FCFE generation (€ m) Capital Allocation Framework around +9% Assuming Prudent Approach to Leverage continued +9% high Cash • Confirming target leverage of around 1.5x (translating Conversion 172 into 1.75x Net Debt to Adjusted (Revenue) EBITDA) 158
Slide 27: Summary highlights
Summary highlights 1 Full year 2022 targets delivered 4 Strong and resilient cashflow generation Successful cross-/upselling, strong pricing 2 5 Confidence in double-digit revenue outlook power and prominent new customer wins Continue to capitalize on global 3 6 New share buyback program announced m
Slide 28: Q&A
Q&A
Slide 29: Appendix
Appendix
Slide 30: Share count development around SBB 2022
Share count development around SBB 2022 9,112,985 shares remaining under current Ubimax Acquisition Share Buyback 2022 Capital increase by (24,093,675 shares) buyback authorization contribution in kind (1,070,931 shares) Up to 10% of outstanding shares might be held as 210,000,000 Share Redemption t
Slide 31: Overview sales KPIs
Overview sales KPIs Q4‘22 Q3’22 Q2’22 Q1’22 Q4’21 Q3’21 Q2’21 Q1’21 Q4’20 SMB Billings p.q. in €m 147.3 117.9 109.3 128.3 124.4 107.6 99.3 123.3 113.9 Billings LTM in €m 502.8 479.8 469.5 459.6 454.6 444.2 435.3 428.4 407.2 1 Number of subscribers 622,410 615,650 615,531 607,834 614,262 615,584 609,
Slide 32: Q4 2022: Reconciliation management metrics to IFRS
Q4 2022: Reconciliation management metrics to IFRS Management view Change in Management view Other non-IFRS Accounting view €m adjusted P&L1 deferred revenue2 Revenue adj. P&L D&A adjustments IFRS P&L Billings / Revenue 190.6 (40.1) 150.5 150.5 Cost of sales (12.3) (12.3) (8.4) (0.2) (20.9) Gross pr
Slide 33: FY 2022: Reconciliation management metrics to IFRS
FY 2022: Reconciliation management metrics to IFRS Management view Change in Management view Other non-IFRS Accounting view €m adjusted P&L1 deferred revenue2 Revenue adj. P&L D&A adjustments IFRS P&L Billings / Revenue 634.8 (68.9) 565.9 565.9 Cost of sales (41.6) (41.6) (33.5) (6.1) (81.3) Gross p
Slide 34: Non-IFRS adjustments in EBITDA
Non-IFRS adjustments in EBITDA €m Q4 2022 Q4 2021 FY 2022 FY 2021 Total IFRS 2 charges (8.1) 14.4 (28.4) (26.4) • IFRS2 charges nearly stable on FY basis: o new RSU (employee shares) program TeamViewer LTIP (0.3) 1.5 (0.7) 1.2 launched in 2022 RSU (1.9) 0.0 (4.2) 0.0 o vested shares from previous M&
Slide 35: Financial Statements
Financial Statements
Slide 36: Profit & Loss Statement
Profit & Loss Statement € thousand Q4 2022 Q4 2021 ∆% FY 2022 FY 2021 ∆% Revenue 150,507 132,252 14% 565,874 501,097 13% Cost of sales (20,896) (17,288) 21% (81,298) (70,944) 15% Gross profit 129,611 114,964 13% 484,577 430,153 13% Research and development (19,343) (17,267) 12% (69,538) (62,137) 12%
Slide 37: Balance Sheet – Assets
Balance Sheet – Assets € thousand 2022 2021 Non-current assets Goodwill 667,929 667,224 Intangible assets 212,864 248,159 Property, plant and equipment 50,265 45,484 Financial assets 18,537 4,848 Other assets 11,922 3,824 Deferred tax assets 2,126 496 Total non-current assets 963,644 970,035 Current
Slide 38: Balance Sheet – Liabilities
Balance Sheet – Liabilities € thousand 2022 2021 Equity Issued capital 186,516 201,071 Capital reserve 236,849 394,487 (Accumulated losses)/retained earnings (209,203) (276,803) Hedge reserve (1,620) 12 Foreign currency translation reserve 3,003 1,320 Treasury share reserve (100,263) 0 Total equity
Slide 39: Cash Flow Statement
Cash Flow Statement € thousand Q4 2022 Q4 2021 ∆% FY 2022 FY 2021 ∆% Profit before tax 45,650 34,827 31% 116,689 85,389 37% Depreciation, amortisation and impairment of non-current assets 13,638 13,256 3% 53,741 50,918 6% Increase/(decrease) in provisions (1,291) (265) >+300% 7,285 (399) <-300% Non-
Slide 40: Cash Flow Statement (cont'd)
Cash Flow Statement (cont’d) € thousand Q4 2022 Q4 2021 ∆% FY 2022 FY 2021 ∆% Repayments of borrowings 0 (25,204) -100% (470,376) (77,934) >+300% Proceeds from borrowings 0 0 n/a 184,323 400,000 -54% Payments for the capital element of lease liabilities (3,201) (2,236) 43% (9,461) (6,884) 37% Intere
Slide 41: Financial Calendar
Financial Calendar Berenberg EU Opportunities Conference, London 16 March 2023 Q1 2023 Results 3 May 2023 Annual General Meeting 24 May 2023 Q2 2023 / Half-Year Results 1 August 2023 Q3 2023 Results 31 October 2023