Television Francaise 1 Sa · EURONEXT:TFI
Television Francaise 1 Sa — Television Franchise — Q3 2021 Earnings Presentation
29 slides from Television Francaise 1 Sa's earnings presentation, Nov 22, 2021
Slide 1: Post 9M 2021 Results Investor Presentation
POST 9M 2021 RESULTS INVESTOR PRESENTATION
Slide 2: TF1 Group's History: From Analog TV to Multi-Use Content Creation and Diffusion
TF1 GROUP’S HISTORY: FROM ANALOG TV TO MULTI-USE CONTENT CREATION AND DIFFUSION 2020 2021 • Launch of Salto, the OTT • Announcement of the • Announcement of negotiations for • Renewal of distribution agreements platform with France Group's environmental a merger between M6 and TF1. with the main Fre
Slide 3: TF1 Group New Presentation as of June 30 2021
TF1 GROUP NEW PRESENTATION AS OF JUNE 30 2021 BROADCASTING STUDIOS AND ENTERTAINMENT Publishers Free-to-air channels Production and Distribution Advertising services Theme channels Music and events E-commerce E-TF1 MEDIA 2 main areas: Television & Online Free-to-air, DTT and theme channels, Producti
Slide 4: ESG Commitment, at the Heart of the Group's Strategy
ESG COMMITMENT, AT THE HEART OF THE GROUP’S STRATEGY TF1 GROUP’S 6 ESG PRIORITIES ESG CREDENTIALS Support of Reduction of Responsible 3rd place ecological Gender parity Inclusion Solidarity carbon impact advertising transition AA Grade Content Advertising Editorial 4th place Global Sustainability Ye
Slide 5: Table of Content
TABLE OF CONTENT A MAJ 1 MEDIA: UNLOCKING SYNERGY POTENTIAL AND SECURING VALUE 2 NEWEN STUDIOS: A GROWTH STORY 3 9M 2021: FINANCIAL RESULTS 4 2021 AND BEYOND: ROBUST GROWTH PERSPECTIVES 5
Slide 6: Media: Unlocking Synergy Potential and Securing Value
1 MEDIA : UNLOCKING SYNERGY POTENTIAL AND SECURING VALUE 6
Slide 7: The Audiovisual Sector Has Dramatically Evolved Over the Past Years
THE AUDIOVISUAL SECTOR HAS DRAMATICALLY EVOLVED OVER THE PAST YEARS TF1 GROUP HAS ADAPTED AND REPOSITIONED ITS BUSINESS AROUND TWO GROWTH SEGMENTS OF THE ATTENTION MARKET: CONTENT CONSUMPTION AND CONTENT PRODUCTION Average viewing time over the last 3 Share of non-linear in total viewing time TV sti
Slide 8: TF1 Group: A Winning, Multi-Channel Strategy
TF1 GROUP: A WINNING, MULTI-CHANNEL STRATEGY Clear leader among W<50PDM Increased leadership among 25-49 year-olds 32.1% 31.8% 33.0% 29.1% 29,2% 30.0% 21.7% 21,7% 21.4% 21,4% 22,5% 22.5% 19.6% 19.7% 19,7% 20,6% 20.6% 19,6% 9M 2019 9M 2020 9M 2021 9M 2019 9M 2020 9m 2021 Source: Médiamétrie - Médiama
Slide 9: TF1 Group: A Winning, Multi-Channel Strategy, for Individuals Aged 25/49
TF1 GROUP: A WINNING, MULTI-CHANNEL STRATEGY, FOR INDIVIDUALS AGED 25/49 In % 30.0% 20.6 +6.7 PT audience share vs M6 13.9 9.9 4TH FTA channel +0.7 pt vs W9 4.4 4.1 3.7 3.4 2.7 2.6 2.4 2.4 2.0 1.8 1.6 1.6 1.6 1.6 1.5 1.4 1.3 1.1 1.0 0.9 0.7 0.4 M6 F2 F3 W9 BFM TV C8 RMC déc. 6ter L'EQUIPE F5 Gulli R
Slide 10: Online Content: An Enlarged Business Model Relying on Solid Brands and Strong Reach
ONLINE CONTENT: AN ENLARGED BUSINESS MODEL RELYING ON SOLID BRANDS AND STRONG REACH Online reach 2 billion videos viewed in 9M : +20% 500 million sessions at end September A strong boost for the group’s channels 240 million sessions at end September +2,4 million catchuppers* for HPI (+26%) +1,2 mill
Slide 11: Media: Unlocking Synergy Potential for Advertisers
MEDIA : UNLOCKING SYNERGY POTENTIAL FOR ADVERTISERS Digital businesses From an external growth strategy (2018- 2020), to a focus on synergies (2021 onwards) Capitalizing on high profile user-centric brands and data collection will help develop synergies • In content, thanks to strong brands ➢ TF1 x
Slide 12: Media: Value Opportunities Ahead
MEDIA : VALUE OPPORTUNITIES AHEAD 1 2 3 25M subscribers over the past 2 years Growing non linear consumption New business offers Revenue Diversification Strong consumption increase in 9M 2021 for MYTF1 Addressable TV potential: up to +5% in 3 multiyear distribution viewed videos sales for the whole
Slide 13: A Growth Story
2 A GROWTH STORY 13
Slide 14: Newen Studios Continuous Expansion Abroad
IS OPERATING IN GROWTH MARKETS IN PRODUCTION AND DISTRIBUTION NEWEN SUTDIOS CONTINUOUS EXPANSION ABROAD APR. SEP. OCT. FEB. 2021 2020 2021 MARCH 2019 2019 SEP. 2018 JUL. 2018 FEB. 2017 2016 ACQUISITION OF BY 14
Slide 15: Seizing Value Opportunities in Dynamic Markets
IS OPERATING IN GROWTH MARKETS IN PRODUCTION AND DISTRIBUTION SEIZING VALUE OPPORTUNITIES IN DYNAMIC MARKETS Dynamic markets where demand for content is extremely high and multi-genre (North America, Northern Europe) Competitive markets, such as Spain, where we can benefit from comparative advantage
Slide 16: Strong Topline Growth Driven by International Operations
IS OPERATING IN GROWTH MARKETS IN PRODUCTION AND DISTRIBUTION STRONG TOPLINE GROWTH DRIVEN BY INTERNATIONAL OPERATIONS 2022 and beyond 2021* 2016 2019 32% International 40% 100% France 60% 68% International revenue, an even bigger contributor in the future *At the end of June 2021 16
Slide 17: Capturing Value Through the Complementarity of Formats
CAPTURING VALUE THROUGH THE COMPLEMENTARITY OF FORMATS A STRONG PROFITABILITY MIX DELIVERING HIGH MARGINS Profitability Mix Strong results Dailies Growing profitability Entertainment (at end December) Soap Documentary Between 10% 11% and 15% Short term Animation Scripted Movies 2020* 2021 and beyond
Slide 18: Development of a Rich Offer for a Diversified Customer Base
DEVELOPMENT OF A RICH OFFER FOR A DIVERSIFIED CUSTOMER BASE NEWEN STUDIOS CLIENT BASE INCREASING AND DIVERSIFYING FROM 2 MAIN CLIENTS IN 2016 … … TO A LARGE NUMBER OF FRENCH AND INTERNATIONAL CLIENTS IN 2021 PRODUCTION DISTRIBUTION 2016 2021 18
Slide 19: Newen Studios Book of Orders, Growing Fast, Especially with Platforms
DEVELOPMENT OF A RICH OFFER FOR A DIVERSIFIED CUSTOMER BASE NEWEN STUDIOS BOOK OF ORDERS, GROWING FAST, ESPECIALLY WITH PLATFORMS The order book* Growing is filling up partnerships with platforms** >1,500 >1,600 1,500 28% HOURS HOURS HOURS 21 % 1,000 Impact of orders from HOURS 10 % pure players pla
Slide 20: 9M 2021: Financial Results
3 9M 2021: FINANCIAL RESULTS 20
Slide 21: TF1 Group 2021 First Nine Months Results
TF1 GROUP 2021 FIRST NINE MONTHS RESULTS CONSOLIDATED REVENUE €1,651.2 m (+21% vs. 9M 2020) GROUP ADVERTISING REVENUE €1,162.5 m (+21% vs 9M 2020) NEWEN STUDIOS REVENUE €220.2 m (+45% vs 9M 2020) CURRENT OPERATING PROFIT €223.1 m (+78% vs. 9M 2020 and +21% vs. 9M 2019) FREE CASH FLOW* € 133.7m (broa
Slide 22: 9M 2021 Consolidated Revenue
9M 2021 CONSOLIDATED REVENUE (€M) 9m 2021 9m 2020 CHG. M€ CHG. % Media* 1431.0 1209.8 221.2 18.3% Advertising revenue* 1162.4 960.4 202.0 21.0% o/w digital advertising revenue* 93.6 83.9 9.8 11.6% Other revenue* 1 268.6 249.4 19.1 7.7% Newen Studios* 220.2 151.6 68.6 45.3% France* 114.0 86.6 27.4 31
Slide 23: Broadcasting Schedule Costs
BROADCASTING SCHEDULE COSTS* €M 9m 2021 9m 2020 CHG. M€ CHG. % 9m 2019 TV dramas / TV movies / Series / Theatre (244.7) (178.0) (66.7) 37.5% (218.7) Entertainment (178.8) (162.1) (16.7) 10.3% (204.8) News (102.3) (97.9) (4.4) 4.5% (103.3) Movies (96.3) (88.3) (8.0) 9.1% (95.6) Sport (53.5) (13.1) (4
Slide 24: Current Operating Profit per Segment (9M 2021)
CURRENT OPERATING PROFIT PER SEGMENT (9M 2021) €M 9M 2021 9M 2020 CHG. M€ CHG. % Media* 193.9 121.8 72.1 59.2% Margin 13.5% 10.1% 0.0 34.6% Newen Studios* 29.2 3.8 25.4 661.0% Margin 13.3% 2.5% 0.1 423.9% 9m 2019 Current operating profit 223.1 125.6 97.5 77.6% 184.4 Margin 13.5% 9.2% 0.0 46.9% 11.4%
Slide 25: 9M 2021 Consolidated Income Statement
9M 2021 CONSOLIDATED INCOME STATEMENT €M 9m 2021 9m 2020 CHG. M€ CHG. % 9m 2019 Consolidated revenue 1651.2 1361.4 289.8 21.3% 1614.6 Total cost of programmes (684.5) (546.7) (137.8) 25.2% (659.7) Other charges. depreciation. amortization. provision (743.6) (689.1) (54.5) 7.9% (770.5) Current operat
Slide 26: Trends in Net Cash Position 9M 2021
TRENDS IN NET CASH POSITION 9M 2021 (EXCLUDING THE IMPACT OF IFRS 16*) 2021 Free cash-flow : € 133.7 M M€ -16,0 Opening net Operating Decrease Change in Net capital Acquisitions/disposals Salto, Shareholder Closing net debt debt cashflow** in lease operating expenditure loans, dividends obligations
Slide 27: 2021 and Beyond: Robust Growth Perspectives
4 2021 and beyond: ROBUST GROWTH PERSPECTIVES 27
Slide 28: Growth Perspectives
GROWTH PERSPECTIVES MEDIA Development of a rich and diverse line-up, Increased share of the revenues coming from accessible by both linear and non-linear viewers. international clients as of 2021 Developing synergies and creating value Significant increase of the book of orders between linear and di
Slide 29: Investor Relations Contacts
Philippe DENERY – CFO IR team pdenery@tf1.fr comfi@tf1.fr Thomas CARDIEL – Head of Investor Relations TF1 tcardiel@tf1.fr 1 Quai du Point du Jour 92 656 Boulogne-Billancourt Cedex France Anaïs AMGHAR – Investor Relations https://www.groupe-tf1.fr/en aamghar@tf1.fr 29