Slide 1: First Quarter 2013
en Oz aes “First Quarter 2013 a week wa cde See ~ Sea
Slide 2: 1Q 2013 Financial Highlights
1Q 2013 Financial Highlights Financial metric 1Q13 1Q12 (MUSD) (MUSD) Revenue Total revenue 62.0 46.9 Profitability Adj. EBITDA*/** 18.0 15.2 EBIT** 14.3 12.4 • Revenue growth of 32% • Record revenue and profits • Strong revenue growth from Mobile Consumers and Mobile Publishers & Advertisers, coupl
Slide 3: Highlights
Highlights First quarter, 2013 Consumer Browsers Operators Mobile Publishers & Advertisers 250M+ users of Opera mobile Operator active user growth 114% Consumer Browsers and Mobile consumer products YoY Publishers & Advertisers revenue up 166% YoY 80M+ users on Smartphones Skyfire transaction comple
Slide 4: Financial review
Financial review
Slide 5: A note from our lawyers
A note from our lawyers DISCLAIMER: This presentation contains, and is i.a. based on, forward-looking statements regarding Opera Software ASA and its subsidiaries. These statements are based on various assumptions made by Opera Software ASA, which are beyond its control and which involve known and u
Slide 6: Financial Highlights
Financial Highlights Financial metric 1Q13 1Q12 (MUSD) (MUSD) Revenue Total revenue 62.0 46.9 Profitability Adj. EBITDA*/** 18.0 15.2 EBIT** 14.3 12.4 Cash generation Operating Cash Flow 3.0 12.0 Free Cash Flow*** 0.5 10.2 *Non-IFRS EBITDA excludes stock option costs **Excluding one-off extraordinar
Slide 7: 1Q13 Actuals versus Guidance
1Q13 Actuals versus Guidance 1Q 2013 Actuals 1Q 2013 Midpoint Guidance (February 15)* Revenue MUSD 62.0 MUSD 61.5 Adj EBITDA** MUSD 18.0 MUSD 17.0 EBIT** MUSD 14.3 MUSD 12.0 *Provided at 4Q12 Presentation **Excluding one-off extraordinary costs of MUSD 1.5 in 1Q13
Slide 8: 1Q13 Financial review
1Q13 Financial review MUSD 1Q13* 1Q12 Q on Q Revenue 62.0 46.9 32% Cost of Goods sold- 8.9 3.1 186% Payroll and related expenses - 24.2 20.0 21% Stock option costs - 0.9 0.9 6% Depreciation and amortization - 2.9 2.0 43% Other operating expenses - 10.9 8.6 26% Total expenses = 47.7 34.6 38% EBIT bef
Slide 9: Financial highlights: 1Q12-1Q13
Financial highlights: 1Q12-1Q13 Revenue (MUSD) Adjusted EBITDA* (MUSD) $ 65 $ 20 $ 60 $ 18 $ 55 $ 50 $ 16 $ 45 $ 14 $ 40 $ 12 $ 35 $ 30 $ 10 $ 25 $8 $ 20 $6 $ 15 $ 10 $4 $5 $2 $0 $0 1Q12 2Q12 3Q12 4Q12 1Q13 1Q12 2Q12 3Q12 4Q12 1Q13 * Non-IFRS EBITDA excludes stock option costs and extraordinary one-
Slide 10: Revenue growth drivers
Revenue growth drivers Operators: Users and Usage and explosion of video traffic Mobile Consumers: Users and Usage and smartphone growth Mobile Publishers & Advertisers: Mobile Advertising Spend from Premium Brands and Performance Advertisers Desktop: Users and Usage
Slide 11: Opera helps partners reach its massive mobile audience
Opera helps partners reach its massive mobile audience Skyfire helps Opera power the entire mobile ecosystem 500 mm user reach 250 million users 250 million users Opera Network Member Opera websites and applications Websites/Applications Search, operators and developers Advertisers Media Optimizatio
Slide 12: Pillars of Long-Term Growth
Pillars of Long-Term Growth Provide highly value Continue to Mobile ad added Grab unfair build up a and partner products to share of massive dollars will key player in smartphone mobile follow the the mobile users audience audience ecosystem: Operators
Slide 13: Revenue: Customer type (1Q13)
Revenue: Customer type (1Q13) Overall revenue in line with expectations Customer Type Operators In line with expectations Mobile Consumers – Opera Owned and Operated Properties In line with expectations Mobile Publishers & Advertisers – Opera Network Members In line with expectations Desktop Consume
Slide 14: Revenue: Operators (1Q13)
Revenue: Operators (1Q13) Operator Revenue in line with expectations 114% Operator active user growth March 2013 vs. March 2012 User growth driven by Airtel, Vimpelcom and Vodafone in particular Cloud based Operator Data/License revenue up 30% to MUSD 11.8, driven primarily by Opera Mini Operator li
Slide 15: Revenue: Mobile Consumers – Opera Owned and Operated Properties (1Q13)
Revenue: Mobile Consumers – Opera Owned and Operated Properties (1Q13) Mobile Consumer revenue in line with expectations Revenue growth driven primarily by mobile search, advertising and strategic partnership revenue 249M users by end of 1Q13, up more than 55M compared to end of 1Q12 16.9B ad reques
Slide 16: Revenue: Mobile Publishers & Advertisers – Opera Network Members (1Q13)
Revenue: Mobile Publishers & Advertisers – Opera Network Members (1Q13) Mobile Publisher & Advertiser revenue in line with expectations Revenue growth driven by both premium advertisers, including American Express, Audi, Lufthansa, McDonalds, Starbucks, and Walmart, and performance advertisers such
Slide 17: Revenue: Desktop Consumers (1Q13)
Revenue: Desktop Consumers (1Q13) Desktop revenue in line with expectations Strong ARPU due to strong local affiliate and search revenue and strategic partnership revenue Desktop users at 55 million, down 8% versus end of 1Q12 Overall revenue growth: 4% versus 1Q12 Monthly Desktop users* (last Deskt
Slide 18: Revenue: Device OEMs (1Q13)
Revenue: Device OEMs (1Q13) Device OEM revenue in line with expectations Revenue driven by Connected TV customers License revenue: 60%+ of revenue Overall revenue growth: down 31% versus 1Q12 MUSD Device OEM revenue* $ 10 $8 $6 $4 8 9 7 5 $2 4 $0 *Unaudited 1Q12 2Q12 3Q12 4Q12 1Q13
Slide 19: OPEX development 1Q13 vs. 1Q12
OPEX development Cost line 1Q13 vs. 1Q12 Comments OPEX (MUSD) •Higher headcount and higher Payroll 21% One-time extraordinary cost compensation expense per employee Cost of goods sold Cost of Goods 186% •Driven by 166% growth in Mobile Other OPEX Sold Publisher and Advertiser revenue Depreciation •C
Slide 20: Cash flow 1Q13 (MUSD)
Cash flow 1Q13 (MUSD) $ 20 $ 10 $0 -$ 10 -$ 20 -$ 30 -$ 40 -$ 50 -$ 60 -$ 70 -$ 80
Slide 21: 2Q13 Guidance
2Q13 Guidance Metric 2Q13 Guidance Revenue* MUSD 70-74 Adj EBITDA*** MUSD 17-20 EBIT** MUSD 11.5-14.5 * Assumes currency remainder of 2Q13 (NOK 5.8 /USD, USD 1.3 /EUR) **Earnings before interest and taxes, excluding extraordinary/one-time costs and acquisition costs.
Slide 22: 2Q13 Guidance
2Q13 Guidance Vs. 1Q13* Comments Revenue Operators Flat/Up Solid cloud based license/data revenue Mobile Consumers Up Solid user growth and solid ARPU Mobile Publishers & Up Seasonally strong quarter, continuing to outgrow overall Advertisers market Desktop Flat Stable user trend and solid ARPU Devi
Slide 23: 2013 Guidance
2013 Guidance Metric 2013 Guidance 2013 Guidance (new) (prior***) Revenue* MUSD 280-295 MUSD 280-295 Adj EBITDA** MUSD 76-84 MUSD 76-84 EBIT** MUSD 52-62 MUSD 52-62 * Assumes currency remainder of 2013 (NOK 5.8 /USD, USD 1.3 /EUR) **Earnings before interest and taxes, excluding extraordinary/one-tim
Slide 24: Operational Update
ae! rr OPERA ~—— Operational Update
Slide 25: We are aligning our business around three key areas
We are aligning our business around three key areas Consumer Browsers Mobile Publishers & Advertisers Mobile Operators
Slide 26: Consumer Browsers
Consumer Browsers
Slide 27: Releasing a lot of products 2013
Releasing a lot of products 2013 Premium products, differentiated offering Mobile Desktop Tablets
Slide 28: 250 million users use Opera on a mobile device
250 million users use Opera on a mobile device Growth in one year: 270 000 000 250 000 000 230 000 000 210 000 000 190 000 000 170 000 000 150 000 000
Slide 29: More than 50 million Android users
More than 50 million Android users 10% browser market share Growth in one year: 60 000 000 50 000 000 40 000 000 30 000 000 20 000 000 10 000 000 0
Slide 30: Opera. Made for Android.
Opera. Made for Android. Beta released March 5th
Slide 31: Key features on Android
Key features on Android the rk slows down or you want to save data, switch on Off-Road Mode. + hntp1/500pxcomphowor27 CE] QO > Discover Top stories ic) Save for offline nk Blue Jackets to extend streak Downloads Settings Off-Road mode ‘Top Tours of the Week ~ February 18 - 22, 2013, °
Slide 32: Great reviews in tech media
Great reviews in tech media From heavy-weight industry giants such as Engadget and GigaOm "The start screen now leaps ahead of the competition, being more intuitive, more feature-rich and perhaps even more attractive than that offered by Chrome. This is the first of the new Opera browsers to come ou
Slide 33: What do our users have to say?
What do our users have to say? Feedback gathered directly from the Google Play Store
Slide 34: Opera. Made for Computers.
Opera. Made for Computers. New version coming this year
Slide 35: Opera for Computers
Opera for Computers Coming this year: New rendering core engine based on Blink • Featuring native UI • New, fresh features • Added exclusive Opera functionality • Opera Turbo, and more • Full web standards support • HTML5 and CSS3
Slide 36: Strong revenue in 1Q 2013
Strong revenue in 1Q 2013 Up 4% vs. 1Q 2012 $17.4 million
Slide 37: Opera. Made for Tablets.
Opera. Made for Tablets. A line of Tablet products is in the pipeline
Slide 38: Opera. Made for TV.
Opera. Made for TV. Powerful interactive TV solutions
Slide 39: What’s on the air tonight?
What’s on the air tonight? Opera-powered Samsung 2013 Blu-ray players • Opera deployed on 2013 Samsung Blu-ray players Series 5 • The ultimate home entertainment experience • Enjoy various streaming video services with ease • The new Opera-powered Samsung 2013 Blu-ray players Series 5 will be availa
Slide 40: Opera for TV
Opera for TV Interactive TV solution combining applications and full Internet browsing • Shipping on tens of millions of devices • 6 new OEM’s preparing to ship devices • 160+ TV applications published • Applications are broadcast aware and relevant to what you watch • We’re bringing the strength of
Slide 41: Opera for Operators
O OPERA’ Opera for Operators = ——7=
Slide 42: Introducing Opera Web Pass
Introducing Opera Web Pass An important tool to drive user adoption Key features: • Accessible in browser • Time-based and content-based • Encourages upgrades • Or repeat purchases • One-click renewal process • Retail intelligence to optimize offerings • Inexpensive and rapid to deploy
Slide 43: AirTel launches Opera Web Pass
AirTel launches Opera Web Pass Major operator in India • Opera Mini partner since early 2012 • Plans to roll-out the offering in India in 2013 • Opera also works with Airtel outside India
Slide 44: Vimpelcom launches Opera Web Pass
Vimpelcom launches Opera Web Pass
Slide 45: In the pipeline
In the pipeline Complete integration of Opera & Skyfire technology and service offering Horizon Toolbar + Rocket Optimizer
Slide 46: A solution for the mobile data traffic explosion
A solution for the mobile data traffic explosion Codenamed Opera Boost - - - -
Slide 47: Mobile data traffic is exploding
Mobile data traffic is exploding We have the solution Opera Boost is a cloud assisted smart phone service Benefits for users Benefits for Operators Cost and data control Network offload through compression Data and video compression Web Pass and customized data bundles Statistics about usa
Slide 48: A complete Operator portfolio
A complete Operator portfolio Access, monetization and network management Smartphones, Horizon Opera Rocket Tablets & Mi-Fi Platform Boost Optimizer Opera Web Pass Feature phones Opera Mini co-brand Increase revenue Manage traffic
Slide 49: Highlights Operators
Highlights Operators 66.7 million active users in 1Q12 Operator active user growth 114% YoY Skyfire transaction completed Strong pipeline building up
Slide 50: mobile
mobile OPERA tablet m e d lawo if ks interactive tv
Slide 51: Opera Mediaworks
Opera Mediaworks A complete offering to advertisers and publishers Retail Brands Finance Lifestyle B2B v v v v v Advertisers Publishers
Slide 52: Opera Mediaworks
Opera Mediaworks The world’s leading mobile advertising platform With a premium advertisement inventory
Slide 53: Key metrics
Key metrics 12K+ 300M+ 50B+ 400M+ Mobile Sites & Monthly Unique Advertisement Publisher Revenue Applications Customers Impressions Monthly Enabled
Slide 54: Growth forecast 2013
Growth forecast 2013 20K+ 400M+ 65B+ 600M+ Mobile Sites & Monthly Unique Advertisement Publisher Revenue Applications Customers Impressions Monthly Enabled
Slide 55: Opera Mediaworks
Opera Mediaworks A powerful mobile ad platform for publishers and advertisers Premium Advertisers 13,000 250 Million 70 of top 100 global agencies Sites & Applications Monthly visitors
Slide 56: Our own inventory is building up
Our own inventory is building up From text and banners to rich media ads Opera Sports Speed Dial Opera Mobile Store Smart Page Discover
Slide 57: Highlights Opera Mediaworks
Highlights Opera Mediaworks Mobile Publishers & Advertisers revenue up 166% YoY
Slide 58: © 2013 Opera Software ASA. All rights reserved.
© 2013 Opera Software ASA. All rights reserved. |