Kinepolis Group Nv · EURONEXT:KIN

Kinepolis Group Nv — Non-Deal Roadshow (March 2023)

50 slides from Kinepolis Group Nv's roadshow presentation, March 2023

  1. Slide 1: Kinepolis Group Results 2022 Roadshow

    Kinepolis Group Results 2022 Roadshow March, 2023

  2. Slide 2: Slide 2

  3. Slide 3: Business review 2022

    Business review 2022 CEO, Mr. Eddy Duquenne

  4. Slide 4: Slide 4

  5. Slide 5: Executive Summary

    EXECUTIVE SUMMARY  72,7% of 2019 attendance in 2022 (+70,7% vs 2021), resulting in 90,6% of 2019 revenue  Q1 still impacted by restrictive measures and closures  Film calendar continues to be impacted (less Hollywood releases in 2022)  2023 will still be a transition year in terms of content  S

  6. Slide 6: Highlights

    highlights  Strategic pillars  Best Marketer  Best Cinema Operator  Best Real Estate Manager  Opening Kinepolis Metz Amphithéâtre (FR)  Acquisition of cinemas in Barcelona, Marbella (ES) and Amnéville (FR)  Roll-out of Kinepolis concepts in Canada and US  Premiere Seats (CA)  Laser ULTRA (C

  7. Slide 7: New builds opened in 2022

    NEW BUILDs OPENED IN 2022 Kinepolis Metz Amphithéâtre 5

  8. Slide 8: Acquisitions in 2022

    Acquisitions IN 2022 Kinepolis Mataró (Barcelona) Kinepolis La Cañada (Marbella) 6

  9. Slide 9: Acquisitions in 2022

    Acquisitions IN 2022 Gaumont Amnéville (FR) 7

  10. Slide 10: Dividend payment

    dividend payment  2022:  Based on Net Income: € 27,5 m  # Dividend eligible shares: 26 967 801*  € 0,26* gross dividend per share * Calculation based on number of treasury shares as at 13/02/2023  Due to the impact of the Covid-19 pandemic, there has been decided not to distribute a dividend fo

  11. Slide 11: Kinepolis Group

    kinepolis group 11 3 Market Complexes in Ownership Countries Complexes *** Screens *** Share # %Visitors Belgium 11 138 0% 10 98% France 16 +2 176 +20 4% 11 80% Canada 38 -2 312 -13 14% 4 1% Spain 10 +2 157 +20 7% 3 33% The Netherlands 20 147 13% 13 68% United States 10 164 0,4% 7 71% Luxembourg 3 2

  12. Slide 12: Key Financials

    KEY FINANCIALS €m YE 2022 YE 2021 % Better / -Worse YE 2019 Revenue 499,9 266,4 87,7% 551,5 Visitors (‘000) 29 323 17 181 70,7% 40 341 EBITDA 150,2 72,7 106,8% 172,3 EBITDA margin € 5,12/Vis 30,1% € 4,23/Vis 27,3% 278 bps € 4,27/Vis 31,3% EBITDAL 114,0 38,5 196,0% 142,7 EBITDAL margin € 3,89/Vis 22,

  13. Slide 13: Adjusted key financials

    Adjusted key financials €m YE 2022 YE 2021 % Better / -Worse YE 2019 Revenue 499,9 266,4 87,7% 551,5 Visitors (‘000) 29 323 17 181 70,7% 40 341 EBITDA 150,2 72,7 106,8% 172,3 Adjusted EBITDA 151,0 72,3 108,9% 174,1 Adjusted EBITDA margin € 5,15/Vis 30,2% € 4,21/Vis 27,1% 307 bps € 4,32/Vis 31,6% EBI

  14. Slide 14: ESG

    ESG Customer experience excellence Wellbeing & development Green building & infrastructure of employees • CSI: 424 K surveys completed in 2022 (+35% • PSI: 81% response rate (+5% vs. 2021) vs. 2021); partial implementation in Canada • Carbon footprint measured since 2021 but (full roll-out in 2023)

  15. Slide 15: Closures and reopenings theatres

    CLOSURES AND REOPENINGS THEATRES 13

  16. Slide 16: Visitors

    visitors Visitors (000's) YE 2022 % of Tot YE 2021 % of Tot % ∆ YoY Belgium 5 800 19,8% 3 209 18,7% 80,7% France 5 117 17,5% 3 224 18,8% 58,7% Canada 7 553 25,8% 3 597 20,9% 110,0% Spain 3 617 12,3% 2 519 14,7% 43,6% The Netherlands 3 205 10,9% 1 957 11,4% 63,8% United States 3 298 11,2% 2 198 12,8%

  17. Slide 17: Revenue by country

    revenue by country Luxembourg 3,0% Switzerland Switzerland Poland Luxembourg Poland USA 0,7% 3,2% USA 1,0% 9,9% Belgium 10,8% 28,7% Belgium 28,5% The Netherlands The Netherlands 11,6% 12,1% € 499,9m € 266,4m Spain 8,3% France France Spain 9,9% 14,5% 13,6% Canada Canada 24,6% 19,8% YE 2022 YE 2021 15

  18. Slide 18: Revenue by activity

    revenue by activity Brightfish 1,5% Brightfish Real Estate Film Distribution Real Estate 2,4% Film Distribution 2,3% 1,0% 3,4% 0,8% B2B * B2B * 12,0% 9,0% € 499,9m € 266,4m Box Office Box Office 53,6% 52,2% In-theatre Sales In-theatre Sales 30,8% 31,0% YE 2022 YE 2021 * Including Cinema Screen Adver

  19. Slide 19: Movies

    Movies Top 5 Movies 2022 3D Visitors (000's) Top 5 Movies 2021 3D Visitors (000's) 1. Top Gun: Maverick 2 133 1. Spider-Man: No Way Home  1 352 2. Avatar: The Way of Water  1 599 2. No Time to Die  1 193 3. Minions: The Rise of Gru  1 410 3. Dune (2021)  704 4. Jurassic World: Dominion  1 194

  20. Slide 20: Line-up 2023

    LINE-UP 2023 18

  21. Slide 21: Line-up 2023

    NO HARD FEELINGS

  22. Slide 22: Line-up 2023

    Q3 THE NUN 2 THE EQUALIZER 3 NEXT GOAL WINS Taika Waititi KINEPOLIS"

  23. Slide 23: Line-up 2023

    aa EXORCIST SEQUEL TROLLS 3 EXPENDABLES 4 MIGRATION GHOSTBUSTERS SEQUEL i KINEPOLIS"

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  25. Slide 25: Financial Review 2022

    Financial Review 2022 CFO, Mr. Jeroen Mouton

  26. Slide 26: Slide 26

  27. Slide 27: Financial highlights

    financial highlights  Revenue of € 499,9 million with 29,3 million visitors  90,6% of revenue 2019  72,7% of visitors 2019  Revenue up by 87,7% with 70,7% more visitors  Increase Box Office (+82,6%)  Increase In-theatre Sales (+89,4%)  Increase B2B (+150,8%)  Increase Sales and Events (+168,

  28. Slide 28: Financial highlights

    FINANCIAL HIGHLIGHTS  NFD excl. lease liabilities decreased from € 474,5 million per 31/12/2021 to € 423,5 million per 31/12/2022 or € -50,9 million, mainly due to:  € +70,1 m free cash flow, of which:  € +105,8 m from operations and payment of lease liabilities  € -16,3 m interests paid  € -13

  29. Slide 29: Revenue by country

    Revenue by country Revenue €m YE 2022 % of Tot YE 2021 % of Tot % ∆ YoY % ∆ Y Vis YE 2019 Belgium 142,3 28,5% 76,4 28,7% 86,3% 80,7% 167,0 France 67,9 13,6% 38,7 14,5% 75,5% 58,7% 81,7 Canada 122,8 24,6% 52,8 19,8% 132,4% 110,0% 137,7 Spain 41,4 8,3% 26,3 9,9% 57,6% 43,6% 61,4 The Netherlands 57,9 1

  30. Slide 30: Evolution Box Office

    Evolution Box OFFICE 52,2% OF REVENUE €m Box Office Box office* / Visitor 10,00 € 275 +7,0% 9,50 € 250 9,00 € 8,90 225 200 8,32 + 82,6% 8,50 € 175 8,00 € 7,55 7,58 150 7,32 260,9 7,50 € 125 100 7,00 € 142,9 75 6,50 € 50 6,00 € 25 5,50 € 0 2021 2022 5,00 € 2018 2019 2020 2021 2022 -14,4% compared to

  31. Slide 31: Evolution ITS

    EVOLUTION ITS 31% OF REVENUE In-theatre Sales ITS* / Visitor €m 6,00 € +13,0% 175 5,20 5,50 € 150 5,00 € 4,60 4,50 € 125 + 89,4% 3,86 3,81 4,00 € 3,67 100 3,50 € 155,2 75 3,00 € 50 2,50 € 82,0 2,00 € 25 1,50 € 0 1,00 € 2021 2022 2018 2019 2020 2021 2022 -0,4% compared to 2019 * Excl. ITS Delivery sa

  32. Slide 32: B2B revenue

    B2B revenuE* 12% OF REVENUE €m Sales & Events (9,9%) €m Screen Advertising (2,1%) 50 11 45 10 40 9 8 35 + 168,3% 7 +91,3% 30 10,4 49,8 6 25 5 20 4 15 3 5,5 10 18,6 2 5 1 0 0 YE 2021 YE 2022 YE 2021 YE 2022 +3,4% compared to 2019 -18,2% compared to 2019 * Excluding Brightfish 28

  33. Slide 33: Real estate at flat fx

    Real estate at flat fx 2,3% OF REVENUE €m 12 10 +26,3% 8 9,0 11,4 6 4 2 0 YE 2021 YE 2022 -17,7% compared to 2019 29

  34. Slide 34: Brightfish

    Brightfish 1,5% OF REVENUE €m 8 7,4 7 +16,3% 6,4 6 3,9 3,3 -42,7% compared to 2019 5 • Screen Advertising: -36,8% 4 • Sales & Events: -48,7% 3 2 2,5 4,1 1 0 YE 2021 YE 2022 Screen Advertising Sales & Events 30

  35. Slide 35: Film distribution

    Film distribution 1% OF REVENUE €m 5 4 +127,5% 3 4,8 2 2,1 1 0 YE 2021 YE 2022 +49,7% compared to 2019 # releases 20 24 31

  36. Slide 36: Operating costs

    operating costs €m YE 2022 YE 2021 % Better / -Worse YE 2019 Marketing and selling expenses -23,5 -14,3 -64,5% -27,9 Administrative expenses -28,1 -22,4 -25,7% -30,3 Other operating income / cost 5,1 23,7 -78,3% 1,6 Operating Costs -46,5 -12,9 -259,7% -56,6 32

  37. Slide 37: EBITDA(L) by country

    Ebitda(L) by country EBITDA - €m YE 2022 % of Total YE 2021 % of Total % Better / -Worse % ∆ Y Vis Belgium 37,9 25,3% 9,4 12,9% 305,5% 80,7% France 25,5 17,0% 19,0 26,2% 33,9% 58,7% Canada 33,1 22,0% 16,5 22,7% 100,5% 110,0% Spain 11,7 7,8% 7,8 10,7% 50,5% 43,6% The Netherlands 21,5 14,3% 11,6 15,9%

  38. Slide 38: Depreciation, amortisation, provisions

    Depreciation, amortisation, provisions €m YE 2022 YE 2021 % Better / -Worse Depreciation, amortisation and provisions -53,6 -52,0 -3,1% Depreciations on right-of-use assets -28,7 -27,2 -5,4% Total depreciation, amortization and provisions -82,3 -79,2 -3,9% €m 0 -10 -20 -30 -40 -50 -60 -70 -80 -79,2

  39. Slide 39: Financial result

    Financial result €m YE 2022 YE 2021 % Better / -Worse Interest expense -15,23 -15,41 1,2% Financial charges IFRS 16 -10,37 -10,32 -0,4% FX -0,08 0,12 -165,4% Other (CNC, bank charges,...) -4,61 -2,75 -68,0% Financial (Cost) / Income -30,29 -28,36 -6,8% €m 0 -5 -10 -15 -20 -25 0,18 -30 -28,36 -0,05 -

  40. Slide 40: Taxes

    taxes €m YE 2022 YE 2021 % Better / -Worse Result before taxes 37,7 -34,9 208,0% Taxes -10,2 9,4 -208,1% Result 27,5 -25,5 208,0% Effective Tax Rate ('ETR') 27,0% 26,9% 2 bps €m 15 9,4 10 ETR 5 26,9% 0 ETR -5 27% -10 -18,0 -0,8 -10,2 -0,8 -15 YE 2021 Higher pre-tax result Tax-exempt grants Other YE

  41. Slide 41: EBITDA(L) to net result

    Ebitda(L) to net result €m 160 36,3 150,2 140 114,0 120 100 80 68,0 60 -82,3 40 -30,3 27,5 20 -10,2 0 EBITDAL Costs related to EBITDA Depr, Amort, Prov EBIT Financial result Taxes Result YE 2022 lease contracts YE 2022 YE 2022 YE 2022 37

  42. Slide 42: Investments

    investments €m YE 2022 YE 2021 YE 2019 €m €m Belgium 5,6YE 2022 2,2 YE 2021 14,4 16 13,2 14,1 France Belgium 2,4 5,6 0,9 2,2 6,7 14 Canada France 5,6 2,4 1,8 0,9 11,5 12 10,0 SpainCanada 1,7 5,6 0,3 1,8 2,7 10 8,3 The Netherlands Spain 1,7 1,7 0,7 0,3 5,3 8 United TheStates Netherlands 3,7 1,7 0,3 0

  43. Slide 43: Free cash flow

    FREE CASH FLOW €m 160 142,2 7,7 140 120 -13,9 -13,2 100 -16,3 80 70,1 60 -36,4 40 20 0 Cash flow before WC Income Working Capex - Interest Payment of lease FCF YE 2022 movements and Tax Taxes Capital Maintenance Paid liabilities paid 39

  44. Slide 44: Free cash flow evolution

    Free CASH FLOW evolution H1 2022 Q3 2022 Q4 2022 H2 2022 YE 2022 YE 2019 OCF after lease payments 45 387 23 311 37 066 60 377 105 765 140 949 Working capital -10 709 -13 522 31 980 18 458 7 749 8 776 Income taxes paid -563 -9 666 -3 651 -13 317 -13 880 -25 718 Capital exp – maintenance -3 842 -4 892

  45. Slide 45: Net financial debt evolution

    Net financial debt evolution €m YE 2022 YE 2021 Better/-Worse NFD Evolution Net Financial Debt (NFD) excl. lease liabilities 423,5 474,5 50,9 10,7% Net Financial Debt (NFD) incl. lease liabilities 793,9 865,0 71,1 8,2% Leverage ratio*: NFD / EBITDA 5,28 11,90 Leverage ratio*: NFD excl. lease liabili

  46. Slide 46: Maturity profile financial debt

    Maturity profile financial debt ** € 250.000.000 Priv. Plac. 7,5Y 225.000.000 225.000.000 200.000.000 175.000.000 150.000.000 RCF * 120.000.000 125.000.000 Priv. Plac. 8Y (Dec) Bullet loan 60.000.000 100.000.000 80.000.000 Priv Plac. 10Y 75.000.000 65.000.000 50.000.000 Bond 8Y 25.000.000 Priv Plac.

  47. Slide 47: Balance sheet

    Balance sheet €m 31/12/2022 % of Total 31/12/2021 % of Total €m 31/12/2022 % of Total 31/12/2021 % of Total Intangible assets 11,4 1,0% 11,1 0,9% Share capital & share premium 20,1 1,7% 20,1 1,7% Goodwill 174,9 15,0% 169,5 14,2% Consolidated reserves 130,0 11,1% 100,7 8,4% Property, plant & equipmen

  48. Slide 48: Shareholders

    shareholders 13/02/2023 25/10/2022 # Shares % # Shares % Total shares outstanding 27 365 197 100% 27 365 197 100% Reference Shareholders & Free Float # Shares % # Shares % Kinehold Bis, Pentascoop and Mr. Joost Bert 13 092 268 47,84% 13 092 268 47,84% Treasury shares 397 396 1,45% 397 396 1,45% Free

  49. Slide 49: Financial calendar

    Financial calendar Thursday 27/04/2023 Business update Q1 2023 Wednesday 10/05/2023 Annual Shareholders’ Meeting Kinepolis Group Thursday 17/08/2023 Semestrial results 2023 Press & Analyst Meeting Thursday 26/10/2023 Business update Q3 2023 45

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