Slide 1: May 5th, 2022
May 5th, 2022 technicolor.com
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS This presentation contains certain statements that constitute "forward-looking statements”, including but not limited to statements that are predictions of or indicate future events, trends, plans or objectives, based on certain assumptions or which do not directly relate
Slide 3: 1 Business Update
technicolor
Slide 4: Key Q1 Highlights
KEY Q1 HIGHLIGHTS REVENUES (in € million) Adjusted EBITDA (in € million) FCF (before interest and tax, in € million) +6.6% % @ current rate €756m +39.1% €55m margin @ current rate €709m 1 +7.2% 4 Margin up 169bp % 7.7% margin €39m 408 +5.5% 31 (126) 428 6.3% (200) 27 5 3.1% 150 +€74m 139 3.1% 13.0%
Slide 5: 2022 Guidance Confirmed
2022 GUIDANCE CONFIRMED • Revenues from continuing operations are expected to grow • Adjusted EBITDA from continuing operations of €375m, €361m excl. Trademark Licensing • Adjusted EBITA from continuing operations of €175m, €161m excl. Trademark Licensing 2022 • FCF(1) from continuing operations of
Slide 6: Business Update
Slide 7: TCS Q1 2022 Outstanding Success
TCS Q1 2022 OUTSTANDING SUCCESS IN PRODUCTION ON APPROX. 20 THEATRICAL AND 30 CONTRIBUTION TO APPROX. STREAMING / EPISODIC 1,000 PROJECTS DURING Q1 PROJECTS Three Thousand Years of Longing BEST BRITISH VISUAL VISUAL ARROWS EFFECTS BAFTA EFFECTS VISUAL AWARDS SOCIETY SOCIETY EFFECTS CÉSAR 6 2 1 1 1 W
Slide 8: TCS Financial Performance: Burgeoning Demand for Content
TCS FINANCIAL PERFORMANCE: BURGEONING DEMAND FOR CONTENT Q1 2022 2022 OUTLOOK REVENUES (in € million) ADJUSTED EBITDA (in € million) EBITDA MARGIN (in %) ¦ Demand for TCS VFX and Animation services using the +33.4% highest quality artistry and cutting- @ constant edge technology expected to rate con
Slide 9: Connected Home in Q1 2022: Significant Business Progress
CONNECTED HOME IN Q1 2022: SIGNIFICANT BUSINESS PROGRESS LEVERAGING OPEN AND ECOVADIS CSR INNOVATIVE TECHNOLOGIES FOR Technicolor has committed to climate change Science Based Targets, and is the only NETWORK SERVICE company in the connected home industry that PROVIDERS has signed the 2050 Net-Zero
Slide 10: Connected Home: Financial Performance
CONNECTED HOME: FINANCIAL PERFORMANCE Q1 2022: CONTINUING CHALLENGING ENVIRONMENT BUT EFFICIENTLY MANAGED 2022 OUTLOOK REVENUES (in € million) ADJUSTED EBITDA (in € million) EBITDA MARGIN (in %) u Demand for Connected Home -11.3% Broadband broadband boxes is expected to @ constant Video +1.4pp remai
Slide 11: DVD Services Q1 2022 Commercial Successes and Operational Efficiencies
DVD SERVICES Q1 2022 COMMERCIAL SUCCESSES AND OPERATIONAL EFFICIENCIES NEW GROWTH BUSINESSES: DISC BUSINESS KEY COMMERCIAL SUCCESSES DISC VOLUMES BREAKDOWN (in m of units) ACTIVE, MULTIFACETED DIVERSIFICATION AND GROWTH STRATEGY ® Volumes down 16.5% MIICROFLUIDICS 156 ® ISO 13485 (CA) with Solvent B
Slide 12: DVD Services in Q1 2022
DVD SERVICES IN Q1 2022 Q1 2022: SHOWING THE RESULTS OF OUR OPERATIONAL RESTRUCTURING 2022: OUTLOOK REVENUES (in € million) ADJUSTED EBITDA (in € million) +8.2% EBITDA MARGIN (in %) £ Higher new release @ current rate volumes to be slightly offset by lower catalog +2.2% flat volumes @ constant 3.1%
Slide 13: Financial Review
technicolor
Slide 14: Key Figures Q1 2022 – Group
KEY FIGURES Q1 2022 – GROUP vs. Q1 2021 vs. Q1 2021 Forex impact at constant rate Q1 2022 Q1 2021 (a) (b) (c=a+b) (in € million) Current rate LY rate LY rate Current rate LY rate Revenues 756 708 709 +47 +6.6% -49 -2 -0.3% Adjusted EBITDA 55 51 39 +16 +39.1% -4 +11 +28.6% in % of Revenues 7.2% 7.2%
Slide 15: Group Profile: Revenue Evolution
GROUP PROFILE REVENUE EVOLUTION Q1 2022 REVENUES BY SEGMENT REVENUE EVOLUTION REVENUES FLAT AT CONSTANT EXCHANGE RATE 900 Q1 2022 REVENUES: €756m UP 6.6% AT CURRENT EXCHANGE RATE 800 3 67 - 49 -2 - 21 49 Q1 2022 700 0% Corporate & Other 600 DVD Services TCS 500 20% 0% 26% 20% 20% 400 756 709 300 Q1
Slide 16: Adjusted EBITDA
ADJUSTED EBITDA BRIDGE VS. Q1 2021 EBITDA BY SEGMENT EBITDA GROWTH Adjusted EBITDA (in € million) Margin up % 169bp €55m margin +28.6% at constant rate +7.2% % +39.1% margin €39m +5.5% 31 7.7% 2 0 4 27 5 3.1% 11 -3 6.3% 51 55 3.1% 4 39 26 14 13.0% 9.7% Q1 2021 Technicolor Connected DVD Services Corp
Slide 17: From Adjusted EBITDA to EBIT in Summary
FROM ADJUSTED EBITDA TO EBIT IN SUMMARY vs. Q1 2021 vs. Q1 2021 Q1 2022 Q1 2021 at constant rate (a) Forex impact (c=a+b) (b) in € million Current rate LY rate LY rate Current rate LY rate Adjusted EBITDA 55 51 39 +16 (4) +11 D&A(1) & Reserves(2) w/o PPA amortization (41) (38) (43) +3 +2 +5 Adjusted
Slide 18: From EBIT to Net Result Group
FROM EBIT TO NET RESULT GROUP vs. Q1 2021 vs. Q1 2021 Q1 2022 Q1 2021 at constant rate (a) Forex impact (c=a+b) (b) in € million Current rate LY rate LY rate Current rate LY rate EBIT Continuing (1) (1) (29) +28 (1) +27 Net Interest Expense (34) (33) (31) (3) +1 (2) Other Financial (0) 2 (1) +1 +2 +
Slide 19: Free Cash Flow from Continuing Operations
FREE CASH FLOW FROM CONTINUING OPERATIONS FREE CASH FLOW FROM CONTINUING OPERATIONS: Q1 2022 VS. Q1 2021 (152) (160) (231) (2) (1) (2) (4) +76 (8) +11 +12 (11) FCF Q1 2021 EBITDA Net Net ∆ WC/OAL Rendering Financial Tax Pensions FCF Q1 2022 Forex FCF Q1 2022 as published ADJ Capex Restructuring and
Slide 20: Liquidity
LIQUIDITY at Amount of credit Available credit Liquidity at March 31, 2022 (€m) Drawn amount Available amount March 31, 2022 for €26m line line* and €(40)m available Cash on hand 38 Committed credit facilities: €29m used at March 31, Wells Fargo credit line ($125m) 113 66 26 40 2022 on CH-France’s €
Slide 21: Envisaged Transaction Timeline
ENVISAGED TRANSACTION TIMELINE EGM approving issuance of the AGM Listing and distribution Mandatory approving Spin-Off of TCS shares Convertible Notes Intention to list 65% May 6th 2022 June 14th, 2022 June 30th, 2022 After June 30th Q3 2022 of TCS Refinancing of Technicolor’s existing debt, 2 years
Slide 22: Appendix
technicolor
Slide 23: Technicolor Creative Studios Q1 2022 Profitability
TECHNICOLOR CREATIVE STUDIOS Q1 2022 PROFITABILITY vs. Q1 2021 Vs. Q1 2021 Q1 2022 Q1 2021 at constant rate (a) Forex impact (b) (c=a+b) Technicolor Creative Studios Current rate LY rate LY rate Current rate LY rate in € million Revenues 198 186 140 +58 +41.6% (11) +47 +33.4% Adjusted EBITDA 26 24 1
Slide 24: Connected Home Q1 2022 Profitability
CONNECTED HOME Q1 2022 PROFITABILITY vs. Q1 2021 vs. Q1 2021 Q1 2022 Q1 2021 at constant rate (a) Forex impact (b) (c=a+b) Connected Home Current rate LY rate LY rate Current rate LY rate in € million Revenues 408 379 428 (20) (4.6)% (29) (49) (11.3)% Adjusted EBITDA 31 29 27 +4 +15.9% (2) +2 +8.0%
Slide 25: DVD Services Q1 2022 Profitability
DVD SERVICES Q1 2022 PROFITABILITY vs. Q1 2021 vs. Q1 2021 Q1 2022 Q1 2021 at constant rate (a) Forex impact (b) (c=a+b) DVD Services Current rate LY rate LY rate Current rate LY rate in € million Revenues 150 142 139 +11 +8.2% (8) +3 +2.2% Adjusted EBITDA 5 4 4 +0 +15.0% (0) +0 +4.5% in % of Revenu
Slide 26: Debt Structure as of March 31, 2022
DEBT STRUCTURE AS OF MARCH 31, 2022 Nominal rate Moodys / S&P In million currency Currency Nominal Amount IFRS Amount Type of rate (1) Repayment Type Final maturity rating New Money Notes EUR 371 379 Floating 12.00%(2) Bullet Jun. 30, 2024 Caa1/B New Money Term Loans USD 118 120 Floating 12.15%(3) B
Slide 27: C3 - Restricted Natixis
C3 - Restricted Natixis