Slide 1: Q1 2022 Results
Q1 2022 Results Investor/Analyst Presentation 04 May 2022
Slide 2: Important Notice
Important Notice 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 being provided for informationa
Slide 3: Business Overview
Business Overview Oliver Steil
Slide 4: Q1 2022 at a glance
Q1 2022 at a glance Financials Key developments • Q1 2022 billings up compared to previous year (+12%) Q1 2022 • Adjusted EBITDA margin of 51% driven by strong operating leverage; +7 pp vs. Q4 2021 • Strong retention of pandemic cohorts resulting in 101% NRR (99% LTM) Billings € 163.5m • SMB busines
Slide 5: Continued APAC momentum and strong growth in AMERICAS
Continued APAC momentum and strong growth in AMERICAS AMERICAS EMEA APAC Q1 2022 Billings Q1 2022 Billings Q1 2022 Billings € 53.1m € 93.8m € 16.6m +18% (+10% cc) +8% (+7% cc) +11% (+9% cc) Spotlight on APAC • Successful opening of Singapore Office attended by leading business and political represen
Slide 6: ReMax program with substantial progress
ReMax program with substantial progress MARKETING & SHORT-TERM PRODUCTS ORGANIZATION COST REDUCTION BRANDING BILLINGS Phased go-live of EMEA Enterprise sales setup Changes in Mgmt. Board, Non-core product FTE Major cost reductions upgrades to digital adjusted for efficiency & SLT, 2nd leadership lev
Slide 7: New CFO to commence on 1 September 2022
New CFO to commence on 1 September 2022 • Michael Wilkens appointed Chief Financial Officer • Currently Senior Vice President Group Controlling at Deutsche Telekom AG • Extensive financial leadership experience: • Over 30 years of experience in telecom industry • Currently global responsibility for
Slide 8: New CCO to commence mid-July 2022
New CCO to commence mid-July 2022 • Peter Turner appointed as Chief Commercial Officer to drive commercial strategy and core business • Formerly Chief Commercial Officer at Avast, a leading Czech multinational cyber security software company • Extensive experience with rapidly growing software compa
Slide 9: Leading security posture confirmed by BitSight ranking and new CISO
Leading security posture confirmed by BitSight ranking and further enhanced by new CISO • TeamViewers “security by design” approach ensures best-in-class cyber security across the entire portfolio • Latest BitSight security ranking confirms: • TeamViewer is the most secure remote connectivity player
Slide 10: Financial Overview
Financial Overview Stefan Gaiser
Slide 11: Financial highlights
Financial highlights Top Line (in €m) Profitability (in €m) Free Cash Flow and Cash Conversion (in €m) Q1 2022 Q1 2022 Q1 2022 163.5 Billings Adj. EBITDA 83.2 Levered Free 21.9 +8% cc1 (non-IFRS) (non-IFRS)2 -8% Cash Flow -13% +12% Revenue 134.5 Adj. EBITDA 51% (IFRS) +14% margins (non-IFRS)2 -10 pp
Slide 12: Continued billings growth with accelerating shift towards Enterprise business
Continued billings growth with further accelerating shift towards Enterprise business Quarterly Billings Growth Rate YoY Q1 2022 LTM Billings Bridge (€) 134% 564m 107% +16% 487m +14m 105m 91m (+79%) 64% (+56%) 59m 51% Enterprise 32% 7% 9% 9% 473m 21% 4% -14m (+10%) 460m (+7%) Q1 2021 Q2 2021 Q3 2021
Slide 13: Strong growth in higher quality SMB tiers
Strong growth in higher quality SMB tiers; decreasing entry segment as percentage of SMB billings Absolute SMB Billings Development by Absolute SMB Subscriber Development ACV Bucket (in €m, LTM) by ACV Bucket (in k) 460 428 601 617 56 +21% 68 +20% 185 154 171 +19% 204 154 +10% 170 373 -8% 345 120 -1
Slide 14: SMB growth backed by upselling into higher ACV buckets
SMB growth backed by upselling into higher ACV buckets and stable subscriber churn rate SMB Billings Total and by ACV Bucket (in €m, LTM) SMB Total ASP Development (in €) +7% 460 745 +24% 428 728 345 € 1,500 – 10,000 36% 40% 713 710 32% 699 702 € 500 – <1,500 36% 37% 40% 27% 28% 23% € <500 Q4 2020 Q
Slide 15: Solid ecosystem development
Solid ecosystem development Av. Monthly Active Devices per Quarter (in m) New Installs per Quarter (in m) -2% +4% +2% -3% 50 51 52 49 50 48 10 12 10 18 18 15 13 14 14 13 14 14 23 25 26 19 21 21 Q3 2021 Q4 2021 Q1 2022 Q3 2021 Q4 2021 Q1 2022 APAC AMERICAS EMEA 15 Q1 2022 Results - Investor Presentat
Slide 16: Strong Enterprise momentum with increase in higher ACV tiers
Strong Enterprise momentum with significant increase in higher ACV tiers Enterprise Billings by ACV Bucket (in €m, LTM) Enterprise Total ASP Development (in €k) 105 34.3 36.5 29.9 32.2 +79% >€ 200k 28.1 28.5 21% 59 13% 15% >€ 100k +89% 18% 9% 31 13% 17% >€ 50k 9% 49% 10% 60% 68% € 10-50k Q4 2020 Q1
Slide 17: Robust billings growth and margin above expectations
Robust billings growth and margin above expectations Billings by Category (in €m) Adj. EBITDA Margin Development (in %) 70% +8%cc 61% 60% +12% 51% 50% 47% 163.5 44% 146.6 0.7 1.0 40% 16.2 34% 26.7 30% 146.5 118.9 20% 10% Q1 2021 Q1 2022 0% Retained New Non-Recurring Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q
Slide 18: Strong operating leverage reflected in positive development of major KPIs
Strong operating leverage reflected in positive development of major KPIs since Q3 2021 Major KPI Development since Q3 2021 (in m€) Billings Revenues • Progress on action plan announced at the Capital Markets Day is reflected in positive KPI development: • Growing topline despite continued suspensio
Slide 19: Strong and improving customer retention; new billings affected
Strong and improving customer retention; new billings affected by missing monetization and seasonality Net Retention Rate (NRR), past five quarters (LTM) New Billings per Quarter (overall, in €m) 110% 35 105% 30 28 27 100% 99% 100% 98% 25 95% 96% 20 20 95% 20 16 90% 15 85% 10 80% 5 75% 0 Q1 2021 Q2
Slide 20: Successful rightsizing across entire cost base
Successful rightsizing across entire cost base versus previous quarter €m (all adjusted non-IFRS figures) Q1 2022 Q1 2021 ∆% Q1 2022 Q4 2021 ∆% Billings 163.5 146.6 12% 163.5 153.7 6% Cost of sales (9.8) (10.2) (9.8) (10.0) • Increased marketing spending % of billings -6.0% -7.0% -4% -6.0% -6.5% -2%
Slide 21: High free cash flow and cash conversion
High free cash flow and cash conversion €m Q1 2022 Q1 2021 ∆% • CapEx significantly reduced post successful rollout of new ERP system and the completed headquarters move Pre-Tax net cash from operating activities (IFRS) 39.6 46.6 -15% in 2021, continuing positive trend from previous FY Income tax pa
Slide 22: Strong liquidity position allowing for significant share buyback
Strong liquidity position allowing for significant share buyback m€ Cash & Cash Operating CapEx Paid Payments Cash & Cash Financial Net Fin. Update Share Buyback Program Other2 Equivalents Cash Flow1 incl. M&A Interest SBB Equivalents Liabilities Liabilities 31 Dec 21 31 Mar 22 31 Mar 22 • As of 29
Slide 23: Outlook
6 TeamViewer Outlook Stefan Gaiser
Slide 24: 2022 guidance unchanged after solid start
2022 guidance unchanged after solid start 2022 guidance Mid-term outlook • TeamViewer on track to achieve FY Billings High teens percentage guidance € 630m – € 650m (non-IFRS) growth YoY • TeamViewer stopped its business activities in Russia and Belarus; leading to approx. 1 percent negative impact
Slide 25: Thank you for your attention
6 TeamViewer Thank you for your attentio
Slide 26: Appendix
6 TeamViewer Appendix
Slide 27: Enterprise and SMB KPI overview
Enterprise and SMB KPI overview Q1’20 Q2’20 Q3’20 Q4’20 Q1’21 Q2’21 Q3’21 Q4’21 Q1’22 Enterprise Billings p.q. in €m 17.5 13.6 7.7 14.2 23.2 22.2 18.1 29.4 35.2 Billings LTM in €m 31.0 40.7 44.5 53.0 58.7 67.4 77.8 93.0 105.0 Number of subscribers 1,183 1,457 1,658 1,885 2,058 2,252 2,419 2,712 2,87
Slide 28: Q1 2022 reconciliation from management key metrics to IFRS - YTD
Q1 2022 reconciliation from management key metrics to IFRS - YTD Management view Change in Other non-IFRS Accounting view €m adjusted P&L1 deferred revenue D&A adjustments IFRS P&L Billings / Revenue 163.5 (29.0) 134.5 Cost of sales (9.8) (8.3) 0.0 (18.2) Gross profit contribution 153.6 116.3 % of B
Slide 29: Deferred revenue development in 2021 and 2022
Deferred revenue development in 2021 and 2022 Additions Other Release to Additions Other Release to Additions Other Release to Additions Other Release to 1 Jan 31 Mar 1 Apr 30 Jun 1 Jul 30 Sep 1 Oct 31 Dec €m from Addition / IFRS from Addition / IFRS from Addition / IFRS from Addition / IFRS 21 Bill
Slide 30: Non-IFRS adjustments in EBITDA
Non-IFRS adjustments in EBITDA €m Q1 2022 Q1 2021 Q1 2022 Q4 2021 Total IFRS 2 charges (5.4) (15.0) (5.4) 14.4 • M&A related and TLO share-based compensation not cash relevant TeamViewer LTIP (0.1) (0.9) (0.1) 1.5 • Lower IFRS 2 expenses due to scheduled M&A related share-based compensation (3.3) (7
Slide 31: Full time employees by functional area
Full time employees by functional area In FTE Q1 2022 Q1 2021 ∆ Sales 563 576 -2% Marketing 88 99 -12% Tech Support 66 76 -13% R&D 401 411 -2% G&A 224 216 4% Total 1,342 1,378 -3% 31 Q1 2022 Results - Investor Presentation
Slide 32: Financial Statements
6 TeamViewer Financial Statements ~~"
Slide 33: Profit & Loss Statement
Profit & Loss Statement € thousand Q1 2022 Q1 2021 ∆% Q1 2022 Q4 2021 ∆% Revenue 134,494 118,330 14% 134,494 132,252 2% Cost of sales (18,199) (18,380) -1% (18,199) (17,288) 5% Gross profit 116,295 99,950 16% 116,295 114,964 1% Research and development (16,793) (13,814) 22% (16,793) (17,267) -3% Mar
Slide 34: Balance Sheet
Balance Sheet € thousand 31 Mar 2022 31 Dec 2021 Non-current assets Goodwill 667,362 667,224 Intangible assets 238,722 248,159 Property, plant and equipment 44,221 45,484 Financial assets 4,801 4,848 Other assets 6,924 3,824 Deferred tax assets 692 496 Total non-current assets 962,724 970,035 Curren
Slide 35: Balance Sheet (cont'd)
Balance Sheet (cont’d) € thousand 31 Mar 2022 31 Dec 2021 Equity Issued capital 201,071 201,071 Capital reserve 399,744 394,487 (Accumulated losses)/retained earnings (262,111) (276,803) Hedge reserve 637 12 Foreign currency translation reserve 1,807 1,320 Treasury share reserve (148,857) 0 Total eq
Slide 36: Cash Flow Statement
Cash Flow Statement € thousand Q1 2022 Q1 2021 ∆% Profit before tax 22,416 9,936 126% Depreciation, amortisation and impairment of non-current assets 13,131 11,937 10% Increase/(decrease) in provisions 113 1,217 -91% Non-operational foreign exchange (gains)/losses 2,355 15,306 -85% Expenses for equi
Slide 37: Cash Flow Statement (cont'd)
Cash Flow Statement (cont’d) € thousand Q1 2022 Q1 2021 ∆% Repayments of borrowings 0 (52,730) -100% Proceeds from borrowings 0 400,000 -100% Payments for the capital element of lease liabilities (1,428) (1,107) 29% Interest paid for borrowings and lease liabilities (4,540) (3,975) 14% Purchase of t