Modern Times Group Mtg Ab Class A · OMXSTO:MTG_A
Modern Times Group Mtg Ab Class A — Q3 2017 Earnings Presentation
13 slides from Modern Times Group Mtg Ab Class A's earnings presentation, 2017
Slide 1: Q3 2017 Financial Results
Slide 2: A clear and simple story
Transforming a Into a global traditional digital video national entertainment broadcaster provider A CLEAR AND SIMPLE STORY iA DS OS
Slide 3: Q3 in Summary
Q3 IN SUMMARY ° 7% organic sales growth & 83% profit growth ° Nordic Entertainment, International Entertainment and MTG Studios all reported higher organic sales, higher profits and higher margins. Losses in MTGx down due to the consolidation of InnoGames ° Continued investment into content & digita
Slide 4: Sales & EBIT by Division
SALES & EBIT BY DIVISION Sales (SEKm) 4, SOO 9p 4,000 po _ = 3500 $e 3657 3000 Q316 NE IE Studios MTGx Q3"17 Sales and EBIT refer to continuing operations 300 7 200 + 100 +- EBIT before IAC (SEKm) 141 Q316 NE IE Studios MTGx Q317
Slide 5: Nordic Entertainment
NORDIC ENTERTAINMENT Key highlights Sales (SEKm) EBIT (SEKm) Organic sales up 3% ° FTV & Radio sales up in No & Dk, but down in Se due to last year’s coverage of the Olympics & World Cup ° PTV sales up — Viaplay continues to be the main driver EBIT up 38% ° Healthy underlying performance ° Last year
Slide 6: International Entertainment
INTERNATIONAL ENTERTAINMENT Key highlights Organic sales up 12% ° Double-digit percentage growth in both Bulgaria and in Trace EBIT up 53% * Despite continued investments into Trace Play Closed divestment of the Baltics * Disposal of Tanzania has yet to close Sales (SEKm) EBIT (SEKm) 40 p------- $=
Slide 7: MTG Studios
MTG STUDIOS Key highlights Sales (SEKm) EBIT (SEKm) Organic sales up 15% 600 ------------------------------+------ 50 ~o--n-o n-nonane enone ee ee ee ne ea ° Continued high demand for scripted drama and branded content EBIT up 17% ° As the strong sales performance flowed through the P&L Great story-
Slide 8: MTGx
MTGx Key highlights Sales (SEKm) EBIT (SEKm) Organic sales up 39% 1000 7-----------------------------+----- ° Fuelled by a 49% organic sales growth for esports ° Reported growth up 149% due to the consolidation of InnoGames No contribution from Kongregate in Q3 600 +-------------------- 800 + EBIT l
Slide 9: Sales & EBIT by Type
SALES & EBIT BY TYPE Sales (SEKm) EBIT before IAC (SEKm) 4500 J 300 7— 4000 | 200 + 3500 + - L 4280 100 +- 3000 4 - 141 2.500 re) Q316 Organic FX Acquisitions Divestments Q317 Q316 Organic Acquisitions Divestments Q317 For continuing operations. Organic EBIT includes FX translation & transaction eff
Slide 10: Cost Transformation Update
COST TRANSFORMATION UPDATE Cost transformation (SEKm) On track & according to plan with total estimated savings of ~SEK 600m fully impacting in 2017 Incremental savings of ~SEK 20m in Q3, taking the run-rate to SEK 575m Cash flow impact from restructuring of ~SEK 15m in Q3, taking the total so far t
Slide 11: Leverage
Q116 Net debt (SEKm) LEVERAGE Q2'16 Q316 Q416 Qri7 Q2'17 Q3'17 Net debt to 12m trailing EBITDA before IAC BO nner 2B freee 2,0 > 1,5 4 Dy een OB prvi aneenennemennemeanmenn 0,0 T T T T T 1 Qr16 Q216 Q316 Q416 Qari? Q2'17 Q317 1
Slide 12: Summary & Outlook
SUMMARY & OUTLOOK ° 7% organic sales growth & 83% profit growth Stronger products than ever before following continued digital and content investments ° Outlook Higher sales & profits for the Groups continued operations ° Higher sales & profits for Nordic Entertainment ° >40% organic esports sales g
Slide 13: Questions Please
Modern Times Group MTG — Q3 2017 Earnings Presentation on 6ix