Slide 1: FY 2017 Results Conference Call
FY 2017 Results Conference Call Scout24 AG Greg Ellis (CEO), Christian Gisy (CFO) March 28, 2018 FY 2017 Results Conference Call page 1
Slide 2: Disclaimer
Disclaimer This document has been issued by Scout24 AG (the “Company” and, together with its direct and indirect subsidiaries, the "Group") and does not constitute or form part of and should not be construed as any offer or invitation to sell or issue, or any solicitation of any offer to purchase or
Slide 3: Key Operational Highlights
Key Operational Highlights We Continue to Be the Most Relevant Marketplace for BOTH our Professional Partners and Consumers Around 3m active listings1 Visits to core brands increased y-o-y 0.5m Dealer Listings : +22% YoY 0.8m Dealer Listings: +1% YoY 150m 161m 1.1m Dealer Listings: -4% YoY 0.4m -4%
Slide 4: Key Financial Highlights
Key Financial Highlights Strong organic …sustainable profitability… …and robust & visible cash flows revenue growth… 8.5% +13% +12% 480 253 230 442 225 205 91% 91% 53% 51% 2016 2017 2016 2017 2016 2017 Group Revenues Group ordinary operating Group cash contribution2 EBITDA1 ooEBITDA margin Cash Conv
Slide 5: ImmobilienScout24 Listings
ImmobilienScout24 Listings Traffic Monetization Innovation Listings position Listings per Customer based on total customers 510 -8% 480 450 IS24 20.3 18.7 420 # listings, in thousands 390 1.8x 1.7x FY 16 FY 17 360 1.6x IS24 330 -22% 300 270 combined comp. 14.6 Comp 1 11.3 240 Comp 2 0 Sep 16 Sep 17
Slide 6: ImmobilienScout24 Listings
ImmobilienScout24 Listings Listings Traffic Monetization Innovation Dec 2016 17.4 Core agent numbers increased sequentially in FY2017 and December 2017 ended with net increase of 96 Core 0.5 agents (0.9) Strong winback and new customer acquisition rates reflecting solid sales force execution Jun
Slide 7: ImmobilienScout24 Traffic
ImmobilienScout24 Listings Traffic Monetization Innovation Traffic Evolution1 (visits in millions) +13% y-o-y growth 26% 31% Total: +20% y-o-y growth Total: 72m 81m 69% = main sites = mobile sites and 74% apps 2016 2017 Unique Visitors (2017)2 Time Spent (2017)2 (in millions) Increase in (in minutes
Slide 8: ImmobilienScout24 ARPU Evolution
ImmobilienScout24 Listings Traffic Monetization Innovation ARPU Evolution (ARPU in €/month) 623 787 763 762 711 510 602 512 466 Membership ARPU for long-term migration finalized in customers ~11% December 2017 higher than average 1 2013 2014 2015 2016 2017 Q4 2016 Q4 2017 1. Given the Group’s comple
Slide 9: Percentage of Core Agents
ImmobilienScout24 Listings Traffic Monetization Innovation More and more of our core agents are recognizing our value proposition 2014 2015 2016 2017 Percentage of Core Agents Number of core agents spending more than €1,000/month up +8% in 2017 (+1.5x since 2014) Revenue per Core Agent / month Sourc
Slide 10: ImmobilienScout24 Innovation
ImmobilienScout24 Listings Traffic Monetization Innovation Re-launch Commercial Premium Platform Membership Realtor Lead-Engine page 10
Slide 11: ImmobilienScout24 Wrap-Up
ImmobilienScout24 Wrap-Up What We Have Delivered What We Are Working On Continue to drive VIA usage and further Stabilisation of core agent number expand ARPU Increased listings market share Leveraging regional product and pricing strategy Successfully implemented initiatives to improve Drive sales
Slide 12: AutoScout24: Focus on Germany
AutoScout24 Focus on Germany – Strengthening Market Positioning Core Dealer Locations1 Dealer Listings2 (‘000) +7% -4% 24,421 26,209 1,049 1,002 Listings Dec 2016 Dec 2017 Dec 2016 Dec 2017 (visits in millions) 28% Traffic Germany & EEU3 33% +2% y-o-y growth Total: +17% y-o-y growth Total: 45m 46m 6
Slide 13: AutoScout24: Focus on Italy & Benelux
AutoScout24 Focus on Italy & Benelux – Cementing our Leadership Positions Core Dealer Locations1 Dealer Listings2 +5% Listings growth (‘000) +1% 1.5 vs. #2 +1% 18,747 18,892 -5% Listings 599 603 Listings 1.3x vs. #2 stable Listings 1.9x vs. #2 Dec 2016 Dec 2017 Dec 2016 Dec 2017 +18% y-o-y growth (v
Slide 14: AutoScout24 Innovation
AutoScout24 Listings Traffic Monetization Innovation Price authority 360° listings page 14
Slide 15: AutoScout24 Wrap-Up
AutoScout24 Wrap-Up What We Have Delivered What We Are Working On Creating tangible USPs/differentiation points Further leverage USPs to narrow traffic and content gap vs. vs. our competition in Germany our competition Further increase penetration of Marketing power products Marketing Power product
Slide 16: Scout24 Consumer Services
Scout24 Consumer Services Well Positioned for Further Growth Along Value-Chains Revenue contribution 2017 € 80 million page 16
Slide 17: Financial Review FY2017
Financial Review FY2017 Scout24 AG Christian Gisy (CFO) March 28, 2018 FY 2017 Results Conference Call page 17
Slide 18: Group: Strong organic growth and sustainable profitability
Group Strong organic growth and sustainable profitability growth y-o-y growth y-o-y Revenues 480 8,5% (in €m) 9% 442 15% 16% 5% 116 126 5% Q4 2016 Q4 2017 2016 2017 AS24 Corporate & other IS24 ordinary operating EBITDA 53% growth y-o-y growth y-o-y 51% 253 13% 53% 18% 225 49% 67 57 Q4 2016 Q4 2017 2
Slide 19: ImmobilienScout24 Platform for Continued Growth
ImmobilienScout24 Platform for Continued Growth External Revenues Key highlights growth y-o-y growth y-o-y (in €m) Core Agent revenues 5% 285 299 5% Growth of Core agent revenues reported a sequential increase q-o-q, especially in H2 2% 2017 Other Agent revenues 3% 2% Solid development in Profes
Slide 20: AutoScout24 Delivering on Growth Potential
AutoScout24 Delivering on Growth Potential growth y-o-y External Revenues growth y-o-y 175 Key highlights 16% 15% (in €m) 152 Core Dealer revenues Strong ARPU expansion in Germany and 19% Benelux/Italy on the back of implemented price increases and ongoing MIA penetration. 19% Further expanded d
Slide 21: Ordinary Operating Cost
Ordinary Operating Cost Comments FY2016 FY 2017 (in €m) • Increase in capitalisation of internally generated assets deriving from a combination of higher underlying internal hourly work rates and increased product Revenues 442.1 479.8 development for the IS24 and AS24 platforms Own work capitalised
Slide 22: Below EBITDA Items
Below EBITDA Items FY 2016 FY 2017 Comments (in €m) Ordinary operating EBITDA 224.5 252.8 • Includes €3.2m from share-based compensation (Management Equity Programmes, thereof €0.4m non-cash), €2.8m performance Non-operating items (17.8) (20.0) based compensation stemming from a purchase price agree
Slide 23: Capital structure
Capital structure Strong deleveraging profile and low interest margins supporting dividend payment Margin ratchet thresholds Key highlights Leverage Margin1 (Net Debt/EBITDA) A of total €60m from the excess cash flow were used to pay down debt Term Loan Revolving Facility2 during 2017 >3.00x 2.00%
Slide 24: Outlook FY2018
Outlook FY2018 Scout24 AG Christian Gisy (CFO) March 28, 2018 FY 2017 Results Conference Call page 24
Slide 25: IFRS changes to be considered for 2017 and Outlook 2018
IFRS changes to be considered for 2017 and Outlook 2018 IFRS 15 (Recognition of Revenues) • Outlook and 2017 financials not including impact of adjustment • As of Q1/2018 reporting will show restated 2017 and outlook will be adjusted • Negative impact on Revenue of € 5.1m in 2017 and ~€6.0 m in 2018
Slide 26: We are Diversifying our Operations
We are Diversifying our Operations… 2016 2017 32% 34% 49% 52% 16% 17% Revenue share ImmobilienScout24 AutoScout24 Scout24 Consumer Services page 26
Slide 27: Adjusting Our Financial Disclosure Going Forward
… And are Adjusting Our Financial Disclosure Going Foward Revenue 2016 2017 YoY ordinary operating EBITDA 2017 Margin (in €m) (in €m) ImmobilienScout24 229.8 236.0 2.7% ImmobilienScout24 157.5 66.7% AutoScout24 140.9 162.6 15.4% AutoScout24 76.6 47.1% Scout24 Consumer Services 70.3 80.6 14.6% Scout2
Slide 28: Outlook for 2018 According to New Financial Disclosure
Outlook for 2018 According to New Financial Disclosure Revenue ordinary operating EBITDA margin ImmobilienScout24 4.0% to 6.0% growth ImmobilienScout24 At least 67.0% AutoScout24 At least €185.0m AutoScout24 At least 50.0% Increase by at least one Scout24 Consumer Services Around €90.0m Scout24 Cons
Slide 29: ImmobilienScout24: Adjusted for More Granularity
ImmobilienScout24: Adjusted for More Granularity ImmobilienScout24 Q4 Q4 Q4 Q4 YoY 2016 2017 YoY KPIs YoY (in €m) 2016 2017 2016 2017 Residential Partners Revenue with Residential 13,223 13,434 1.6% 28.2 28.9 2.2% 112.2 113.6 1.3% (end of period, contractual, #) real estate partners ARPU (€) 622 635
Slide 30: AutoScout24: Slightly Adjusted to Reflect Business Evolution
AutoScout24: Slightly Adjusted to Reflect Business Evolution AutoScout24 Q4 Q4 Q4 Q4 YoY 2016 2017 YoY KPIs YoY (in €m) 2016 2017 2016 2017 Revenue with Dealers Dealer Germany (#) 25,688 27,470 6.9% 15.6 17.8 14.1% 57.5 67.9 18.1% Germany ARPU Germany (€) 204 217 6.0% Revenue with Dealers in Europea
Slide 31: Scout24 Consumer Services: Additional Disclosure
Scout24 Consumer Services: Additional Disclosure Scout24 Consumer Revenue with Financing Partners reflects all revenue Q4 Q4 Services YoY 2016 2017 YoY generated with Financing Partners (consisting of listing 2016 2017 (in €m) and lead revenue) Revenue with Finance 8.9 10.7 20.3% 34.3 40.6 18.2% P
Slide 32: We Have Clear Priorities for Cash
We Have Clear Priorities for Cash Re-invest in growth M&A activities targeted to strengthen market positions or grow adjacencies business Dividend proposal to Return cash to shareholders AGM 2018: €0.56/share Dividend pay-out ratio of 30.0% to 50.0% of adjusted net income over time Repay debt Target
Slide 33: Appendix
Appendix FY 2017 Results Conference Call page 33
Slide 34: Strong Free Cash Flow Generation
Strong Free Cash Flow Generation Revenue to Free Cash Flow Bridge (2017) (in €m) Total Revenue 480 Solid topline driven by organic growth Operating Expenses (227) Cost efficiencies and significant operating leverage oo EBITDA 253 52.7% margin Limited non-operating cost non-operating items (20) Repor
Slide 35: Reconciliation Adjusted Earnings
Reconciliation Adjusted Earnings (EUR millions) 2016 2017 Earnings before Tax 98.5 165.5 Add back non-operating items 17.8 20 Add back D&A on PPA items 49.6 38.2 Add back extraordinary finance expense/ income and (1,8) (3,4) effects from derivative instruments Deduct Profit from disposal of investme
Slide 36: Reconciliation Core Agent Revenues
Reconciliation Core Agent Revenues ImmobilienScout24 2017 YoY Residential Partners 13,434 1.6% (end of period, contractual, #) ImmobilienScout24 2017 YoY ARPU (€) 617 n/a Core Agents Core Residential revenues (€m) 98.7 1.5% 17,507 0.6% (end of period, #) Business Partners 2,771 (2.6)% ARPU (€) 763 7
Slide 37: ImmobilienScout24: Historical data adjusted to new disclosure
ImmobilienScout24: Historical data adjusted to new disclosure ImmobilienScout24 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 (in €m) 2016 2016 2016 2016 2017 2017 2017 2017 Revenue with Residential real estate 27.9 28.0 28.1 28.2 27.7 28.4 28.6 28.9 partners Revenue with Business real estate 11.3 11.2 11.5 11.6 11.5 11.
Slide 38: AutoScout24: Historical data adjusted to new disclosure
AutoScout24: Historical data adjusted to new disclosure AutoScout24 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 (in €m) 2016 2016 2016 2016 2017 2017 2017 2017 Revenue with Dealers Germany 13.6 13.9 14.4 15.6 16.3 16.7 17.1 17.8 Revenue with Dealers in European Core 11.4 13.1 13.1 13.3 14.0 15.1 15.5 16.9 Countries Rev
Slide 39: Scout24 Consumer Services: Historical data adjusted to new disclosure
Scout24 Consumer Services: Historical data adjusted to new disclosure Consumer Services Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 (in €m) 2016 2016 2016 2016 2017 2017 2017 2017 Revenue with Finance Partners 8.3 8.7 8.4 8.9 9.2 10.6 10.1 10.7 Services revenue 5.0 4.9 5.4 4.8 6.0 5.6 6.2 5.8 3rd Party Display revenue
Slide 40: Income Statement
Income Statement 2016 2017 (EUR millions) Revenues 442,110 479,755 Own work capitalised 11,654 15,087 Other operating income 2,594 1,059 Total operating performance 456,358 495,901 Personnel expenses (112,000) (116,896) Advertising expenses (50,563) (54,091) IT expenses (16,191) (16,994) Other opera
Slide 41: Balance Sheet 1/2
Balance Sheet 1/2 Assets 12/31/2016 12/31/2017 (EUR '000) Current assets 96,175 115,275 Cash and cash equivalents 43,441 56,659 Trade receivables 43,275 47,432 Financial assets 406 1,075 Income tax receivables 1,249 2,653 Other assets 7,804 7,456 Non-current assets 2,034,722 2,025,188 Goodwill 816,2
Slide 42: Balance Sheet 2/2
Balance Sheet 2/2 Equity and liabilities 12/31/2016 12/31/2017 (EUR '000) Current liabilities 112,300 159,194 Trade payables 27,897 22,224 Financial liabilities 31,835 79,511 Other provisions 4,027 6,889 Income tax liabilities 15,870 12,843 Other liabilities 32,671 37,727 Non-current liabilities 1,0
Slide 43: Cash Flow Statement 1/2
Cash Flow Statement 1/2 (EUR millions) 01/01/16 - 12/31/16 01/01/17 - 12/31/17 Earnings after tax 66,899 110,898 Depreciation. amortisation and impairment losses 65,457 56,830 Income tax expense/(income) 31,560 54,644 Financial income 1 (2,999) (3,819) Financial expenses 1 45,858 14,194 Result from
Slide 44: Cash Flow Statement 2/2
Cash Flow Statement 2/2 (EUR millions) 01/01/16 - 12/31/16 01/01/17 - 12/31/17 Cash flow from investing activities (48,777) (43,488) Drawing down of short-term financial liabilities 30,002 1 Repayment of short-term financial liabilities (2,990) (30,172) Drawing down of medium- and long-term financia
Slide 45: IR Contact details and financial calendar
IR Contact details and financial calendar Financial Calendar (expected) Tuesday Interim Report Q1 2018 Full year report 8 May 2017 report.scout24.com/2017 Thursday Annual General Meeting 21 June 2017 Monday Half Year Report 2018 http://www.scout24.com/en/Investor-Relations.aspx 13 August 2017 Wednes