Canal+ Sa · LSE:CAN

Canal+ Sa — FY2024 Earnings Presentation

46 slides from Canal+ Sa's earnings presentation, Mar 4, 2025

1. Slide 1: FY 2024 Annual Results Presentation

   Ý FY 2024 ANNUAL RESULTS PRESENTATION

2. Slide 2: Presenters: CEO and CFO

   MAXIME SAADA AMANDINE FERRÉ  CEO  CFO 2

3. Slide 3: On track to become a global Media & Entertainment leader

   Ý is on track to achieve its ambition to become a global Media & Entertainment leader with 50 to 100 million subscribers, supported by strong financials 3

4. Slide 4: Globally appealing content in cinema

   DEMONSTRATED ABILITY TO PRODUCE GLOBALLY APPEALING CONTENT IN CINEMA SUCCESS OF OUR INHOUSE MOVIE PRODUCTIONS NEW GENRE LABEL $170M +4.9M $56M $70M $100M GLOBAL ADMISSIONS GLOBAL GLOBAL GLOBAL BOXOFFICE IN FRANCE BOXOFFICE BOXOFFICE BOXOFFICE Biggest opening STUDIOCANAL’s Number one of in franc

5. Slide 5: Developing numerous franchises based on IPs

   DEVELOPING NUMEROUS FRANCHISES BASED ON IPS 10M+ VIEWS IN FRANCE SMASH HIT ACROSS ALL Ý TERRITORIES… … AND IN OTHER GEOGRAPHIES 5

6. Slide 6: Developing numerous franchises based on IPs

   DEVELOPING NUMEROUS FRANCHISES BASED ON IPS 6

7. Slide 7: Leading partner of content creation in Africa

   Ý, THE LEADING PARTNER OF CONTENT CREATION IN AFRICA … 27 FILMS, TV SERIES, AND DOCUMENTARIES from Ý production, pre-purchases, or acquisitions are included in the official selection of Pan-African Film and Television Festival of Ouagadougou (FESPACO), A FIRST 7

8. Slide 8: ... and in France

   … AND IN FRANCE RENEWAL OF THE AGREEMENT WITH THE FRENCH CINEMA ORGANISATIONS TO BE THE ONLY BROADCASTER OF MOVIES 6 MONTHS AFTER THEIR THEATRICAL RELEASE THE BEST OF FRENCH ... … AND INTERNATIONAL MOVIES 8

9. Slide 9: Cost-effective unscripted programmes appealing to young demo

   SUCCESSFUL INTRODUCTION OF COSTEFFECTIVE UNSCRIPTED PROGRAMMES, PARTICULARLY APPEALING TO THE YOUNG DEMO IN FRANCE IN AFRICA 15M VIEWS IN FRANCE 27% OF VIEWERSHIP AGED UNDER 24 9

10. Slide 10: New sports rights and renewals secured long-term

    GAIN OF NEW SPORTS RIGHTS AND RENEWAL OF EXISTING ONES, SECURED OVER THE LONGTERM Exclusive rights acquired Number one broadcaster Exclusive rights of the Top in Poland, Haiti and throughout the world 14 and Pro D2 extended Myanmar until 2027 until 2032 Exclusive rights in Poland and Myanmar for th

11. Slide 11: Accelerating our super aggregation strategy with video...

    ACCELERATING OUR SUPER AGGREGATION STRATEGY WITH VIDEO… 11

12. Slide 12: ... and musical content

    ... AND MUSICAL CONTENT . HISTOIRE PREND VIE AVEC LE -30% SUR LOFFRE @Music , POUR TOUS LES ABONNES CANAL+

13. Slide 13: Continued expansion of distribution

    CONTINUED EXPANSION OF DISTRIBUTION SUCCESSFUL PARTNERSHIPS WITH LEADING INTRODUCTION OF THE Ý PLATFORM SMART TV MANUFACTURERS ON NEW SCREENS 13

14. Slide 14: Successful integration of new assets

    SUCCESSFUL INTEGRATION OF NEW ASSETS WHICH HAD STRONG PERFORMANCE IN 2024 DOUBLE The leading European short-form video streaming platform with 400m monthly active users DIGIT TOP LINE GROWTH IN 2024 VS 2023 DOUBLE The fastest growing fiber-optic telecom operator in French-speaking Africa DIGIT TOP L

15. Slide 15: Progress on scale with active M&A strategy, focusing on Africa

    PROGRESS ON SCALE WITH ACTIVE M&A STRATEGY, FOCUSING ON AFRICA ORGANIC ACTIVITY Current footprint M&A ACTIVITY 37.2% 29.3% 45.2% Mandatory public offering launched in April 2024 15

16. Slide 16: MultiChoice is the English and Portuguese-speaking African pay TV leader

    MULTICHOICE IS THE ENGLISH AND PORTUGUESESPEAKING AFRICAN PAY TV LEADER STRONG ASSETS Leadership in South Africa as well as across other English and Portuguese-speaking African markets 16m subscribers - €2.7bn revenues and €350m EBIT 16 COUNTRIES FOOTPRINT Strong brands and content portfolio PREMI

17. Slide 17: Combined group will operate in markets with strong tailwinds

    THE COMBINED GROUP WILL OPERATE IN MARKETS WITH STRONG TAILWINDS SUBSAHARAN AFRICA 4.5% PER YEAR 1,200M GDP GROWTH OVER 20242028 POPULATION 51% ELECTRIFICATION + 800M RATE 38% 3% by 2050 PAY TV OTT PENETRATION PENETRATION 17

18. Slide 18: Investment rationale and value creation opportunities

    THE INVESTMENT RATIONALE AND THE VALUE CREATION OPPORTUNITIES ARE VERY COMPELLING COMBINED GROUP FOOTPRINT Favourable long-term macroeconomic tailwinds Creation of the leading media & entertainment player in Europe and Africa with more than 40 million subscribers Unrivalled portfolio of Brands and R

19. Slide 19: Transaction on track

    TRANSACTION ON TRACK Apr 24 Mandatory offer – Firm Intention Announcement Jun 24 Mandatory offer – Announcement re. Combined Circular Sep 24 Joint Merger control filing (South Africa) Jan 25 Joint Merger control filing COMESA Feb 25 Joint market announcement regarding: Finalisation of corporate stru

20. Slide 20: On track to achieve ambition to become global leader

     IS ON TRACK TO ACHIEVE ITS AMBITION TO BECOME A GLOBAL MEDIA AND ENTERTAINMENT LEADER WITH 50 TO 100 MILLION SUBSCRIBERS KEY CONTENT 01 02 CONTINUED EXPANSION MILESTONES ACHIEVED OF DISTRIBUTION 04 03 PROGRESS ON SCALE WITH SUCCESSFUL INTEGRATION ACTIVE M&A STRATEGY, OF NEW ASSETS FOCUSING ON AFRI

21. Slide 21: Strong financials to support our ambition

    STRONG FINANCIALS TO SUPPORT OUR AMBITION 21

22. Slide 22: 2024: Delivering solid financial results

    2024: DELIVERING SOLID FINANCIAL RESULTS REVENUES EBITA 1 CFFO NET DEBT 25.8 6,449 € M M €503M 218M € €(355)M +3.6% +5.4% VS FY 2023 VS FY 2023 0.5x LEVERAGE RATIO2 2024 GOALS ACHIEVED, IN LINE WITH GUIDANCE 22 1. Adjusted EBIT (EBITA), before exceptional items 2. Net financial debt / EBITDA ratio a

23. Slide 23: Focus on high value subscriber base

    2024: PAVING THE WAY TO INCREASING PROFITABILITY FOCUS ON HIGH VALUE SUBSCRIBER BASE +0.4% 26.8 26.9 19.5 19.9 DtoC (73%) (74%) +1.9% 7.3 7.0 Wholesale (27%) (26%) -3.4% 2023 2024 SUBSCRIBER BASE PER DISTRIBUTION CHANNEL [M] 23

24. Slide 24: France: successful focus on recovering top line growth

    2024: PAVING THE WAY TO INCREASING PROFITABILITY FOCUS ON HIGH VALUE SUBSCRIBER BASE FRANCE: SUCCESSFUL FOCUS ON RECOVERING TOP LINE GROWTH, DESPITE PRICE INCREASE AND CONTENT RATIONALISATION Back to DtoC subscriber base growth in France Highest year on year increase of DtoC customer base over the p

25. Slide 25: Europe subscriber base and revenues

    2024: PAVING THE WAY TO INCREASING PROFITABILITY FOCUS ON HIGH VALUE SUBSCRIBER BASE GENERATING INCREASING REVENUE GROWTH +91M€ +2.0% 0.7% 17.4 17.2 4,640 4,731 2023 2024 2023 2024 EUROPE SUBSCRIBER BASE [M] EUROPE REVENUES [M€] 26 NB: DtoC and wholesale breakdown

26. Slide 26: Africa / Asia subscriber base and revenues

    2024: PAVING THE WAY TO INCREASING PROFITABILITY FOCUS ON HIGH VALUE SUBSCRIBER BASE GENERATING INCREASING REVENUE GROWTH +35M€ +3.5% +2.5% 1,002 1,037 9.5 9.7 2023 2024 2023 2024 AFRICA / ASIA SUBSCRIBER BASE [M] AFRICA / ASIA REVENUES [M€] 28

27. Slide 27: Content distribution & other revenues

    2024: PAVING THE WAY TO INCREASING PROFITABILITY CONTENT DISTRIBUTION & OTHER REVENUES [M€] +105M€ +14.7% 817 713 2023 2024 29

28. Slide 28: Subscriber base and revenues by geography

    2024: PAVING THE WAY TO INCREASING PROFITABILITY FOCUS ON HIGH VALUE SUBSCRIBER BASE GENERATING INCREASING REVENUE GROWTH +226 +3.6% +0.4% 6,449 6,223 26.8 26.9 817 +14.7% Content distribution & Others 713 Africa / Asia 1,002 1,037 +3.5% Africa / Asia 9.5 9.7 +2.5% Europe 4,640 4,731 + 2.0% Europe 1

29. Slide 29: EBITA by segment

    2024: PAVING THE WAY TO INCREASING PROFITABILITY SOLID FINANCIALS DELTA 2024 EBITA IN M€ 2024 Margin 2023 Margin VS 2023 Europe 217 4.6% 203 4.4% +14 +7.0% Africa / Asia 216 20.8% 214 21.4% +2 +0.8% Content production & others 70 8.6% 61 8.5% +10 +15.8% TOTAL 503 7.8% 477 7.7% +26 +5.4% 31

30. Slide 30: Revenues, costs and adjusted EBITA

    2024: PAVING THE WAY TO INCREASING PROFITABILITY SOLID FINANCIALS Year ended 31st December % CHANGE (in millions of euros) 2024 2023 REVENUES 6,449 6,223 +3.6% Content costs (3,896) (3,725) +4.6% Technology, selling, general, administrative costs & others* (2,050) (2,021) +1.4% ADJUSTED EBIT (EBITA)

31. Slide 31: Initiatives to boost profitability from 2025

    2024: PAVING THE WAY TO INCREASING PROFITABILITY INITIATIVES TAKEN IN 2024 TO BOOST PROFITABILITY FROM 2025 New organisation to maximise synergies Systematic activities assessment to rationalise margin-dilutive activities : § Content investments (Ligue 1, Disney+) § Exit from DTT channels in France

32. Slide 32: Organisational changes to maximise economies of scale

    ORGANISATIONAL CHANGES TO MAXIMISE ECONOMIES OF SCALE CREATION OF … CHANGE IN HIERARCHY OF A GLOBAL PAYTV ROLE A CHIEF CONTENT ROLE FUNCTIONAL ROLES 34

33. Slide 33: Operational excellence measures and exceptional costs

    2024: PAVING THE WAY TO INCREASING PROFITABILITY OPERATIONAL EXCELLENCE MEASURES TO BOOST PROFITABILITY, CREATING EXCEPTIONAL COSTS IN 2024 Year ended 31st December % CHANGE (in millions of euros) 2024 2023 REVENUES 6,449 6,223 +3.6% ADJUSTED EBIT (EBITA) BEFORE EXCEPTIONAL ITEMS 503 477 +5.4% As a

34. Slide 34: From operating income to net earnings

    2024: PAVING THE WAY TO INCREASING PROFITABILITY SOLID FINANCIALS Year ended 31st December % CHANGE (in millions of euros) 2024 2023 OPERATING INCOME (EBIT) 341 426 20.0% Income (loss) from equity affiliates (158) (104) Net financial income (loss) (123) (220) Interest expenses (39) (158) Income fro

35. Slide 35: Anticipated low CFFO due to sports pre-payments

    2024: PAVING THE WAY TO INCREASING PROFITABILITY ANTICIPATED LOW CFFO IN 2024 DUE TO EXCEPTIONAL SPORTS PRE PAYMENTS CFFO 2024 [€M] 503 -15 -198 315 6 Including -78 218 pre-payments EBITA 2024 Cash impact of Net content investments Non content investment Working capital & others CFFO 2024 CFFO 2023

36. Slide 36: Company focused on improving cash generation

    2024: PAVING THE WAY TO INCREASING PROFITABILITY COMPANY FOCUSED ON IMPROVING CASH GENERATION Management incentive Capital allocation Fiscal integration on cash KPI: assessment with cash Distribution based at 50% generation as essential on CFFO KPI criteria 39

37. Slide 37: Attractive financial profile with low debt level

    ATTRACTIVE FINANCIAL PROFILE WITH LOW DEBT LEVEL ATTRACTIVE PROFILE DESPITE EXCEPTIONALLY LOW CFFO IN 2024 31/12/2023 31/12/2024 Net financial debt Net financial debt Interests and other Dividends Re-capitalisation CFFO Income tax financial costs to minorities M&A(1) and others -355 3,986 3,936 218

38. Slide 38: Dividend from year 1

    FOCUS ON SHAREHOLDER VALUE WITH A DIVIDEND FROM YEAR 1 Ordinary dividend to be subject to shareholder approval at the General Meeting on 6th June 2025 €0.02 per share with respect to FY 2024 Dividend would be payable as from 27th June 2025, with an ex-dividend date as of 25th June 2025 41

39. Slide 39: CSR at the core of our operations

    CSR AT THE CORE OF OUR OPERATIONS NEW CSR STRATEGY TO BE DEFINED IN 2025 INCLUSIVE WORKPLACE DIVERSE, IMPACTFUL TALENT SUSTAINABLE & RESPONSIBLE AND COMMITTED TEAMS TO MAKE CULTURE AND OPERATIONAL FOOTPRINT CONTENT MORE ACCESSIBLE Promoting healthy employee Commitment to a decarbonisation developmen

40. Slide 40: 2025 Outlook

    = Ill 2025 OUTLOOK hed

41. Slide 41: 2025 and medium-term outlook

    2025 AND MEDIUMTERM OUTLOOK UNTIL POTENTIAL ACQUISITION OF MCG REVENUES FY25 ORGANIC GROWTH EXPECTED. HOWEVER, GROWTH SLIGHTLY MORE THAN OFFSET BY NEGATIVE EFFECTS Anticipated end of broadcasting of French FTA channel C8 Termination of sublicensing contracts and Disney deal* MEDIUM TERM MODERATE GR

42. Slide 42: Firmly on track to reach ambition

    Ý IS FIRMLY ON TRACK TO REACH ITS AMBITION TO BECOME A GLOBAL MEDIA AND ENTERTAINMENT LEADER STRONG OPERATIONAL AND KEY MILESTONES REACHED FINANCIAL FOUNDATIONS § Production and distribution § 26.9m subscribers across 3 of globally appealing content, continents with global hits § Successful integrat

43. Slide 43: 48

    48

44. Slide 44: Appendix

    APPENDIX 49

45. Slide 45: Glossary

    GLOSSARY The non-GAAP measures defined below should be considered in addition to, and not as a substitute for, other GAAP measures of operating and financial performance. CANAL+ considers these to be relevant indicators of the group’s operating and financial performance. Moreover, it should be noted

46. Slide 46: Disclaimer

    DISCLAIMER This presentation has been prepared by CANAL+ SA (“Canal”) solely for use at the FY 2024 results webcast held on 4th March 2025. For the purposes of this notice, this “presentation” shall include these slides and any question-and answer session that follows the presentation. This presenta

Canal+ — FY2024 Earnings Presentation on 6ix