Slide 1: Alma Media's Half-Year Report January–June 2023
Alma Media’s Half-Year Report January–June 2023: Adjusted operating profit in Q2 was on par with the comparison period, while revenue decreased slightly
Slide 2: Q2 2023 Highlights
Q2 2023 Adjusted operating profit in Q2 was on par with the Highlights comparison period, while revenue decreased slightly REVENUE (MEUR)* ADJUSTED OPERATING PROFIT* -1.4 % (MEUR) (% OF REVENUE) 0.7 % 24.3 % 24.8 % 23.2 % 72 79 78 16.6 19.2 19.4 Q2 2021 Q2 2022 Q2 2023 Q2 2021 Q2 2022 Q2 2023 • Soli
Slide 3: No major changes in revenue or operational profitability
No major changes in revenue or operational profitability compared to the comparison period REVENUE Q2 2023 (MEUR) ADJUSTED OPERATING PROFIT Q2 2023 (MEUR) 0.0 -0.8 -0.7 0.4 0.4 -1.1 0.3 0.4 79.3 78.2 19.2 19.4 Q2 2022 Alma Alma Alma Non-allocated Q2 2023 Q2 2022 Alma Alma Alma Shared Q2 2023 Career
Slide 4: Digital business growth on par with the comparison period
Digital business growth on par with the comparison period SHARE OF DIGITAL BUSINESS OF GROUP REVENUE* DIGITAL BUSINESS GROWTH* 81% 82% 77% 69% 57 % 66% 61% 63% 58% 59% 53% ** 41 % 51% 39 % 40 % 16 % 15 % 3% 5% 2% 1% 0% -4 % 82 91 100 125 146 160 165 158 212 250 126 -17 % 2013 2014 2015 2016 2017 201
Slide 5: Development by business segments
DEVELOPMENT BY BUSINESS SEGMENTS
Slide 6: Alma Career: all-time second-best performance in segment's history
Alma Career All-time second-best performance in segment's history REVENUE (MEUR) AND ADJUSTED SHARE OF SEGMENT REVENUE BY COUNTRY OPERATING MARGIN (%) Q2/2023 (REVENUE CHANGE IN BRACKETS) Czech Rep., 57% (+1.5%) 41.5 % 43.1 % 36.9 % 39.9 % Slovakia, 18% (+5.9%) 30.8 % Croatia, 10% (+14.8%) Baltics,
Slide 7: Invoicing & revenue recognition in Alma Career
Invoicing & revenue recognition in Alma Career 18,000 16,000 14,000 12,000 KEUR 10,000 8,000 6,000 4,000 2,000 - 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 2020 2021 2022 2023 Revenue Invoicing KPIs (monthly averages in thousands) 1-6/2023 2022 2021
Slide 8: Alma Consumer: profitability weighed down by decline of advertising
Profitability weighed down by the decline of advertising Alma revenue in media and marketplaces Consumer REVENUE (MEUR) AND ADJUSTED REVENUE SPLIT BY VERTICAL Q2/2023 ADVERTISING SALES REVENUE OPERATING MARGIN (%) (REVENUE CHANGE RATES IN (MEUR)* BRACKETS*) 13.0 12.8 24.4 % 26.9 % Media and ad-finan
Slide 9: Alma Talent: adjusted operating profit increased, driven by Talent Services
Adjusted operating profit increased, driven by the stellar Alma Talent performance in Talent Services REVENUE (MEUR) AND ADJUSTED REVENUE SPLIT BY BUSINESS UNIT Q2/2023 OPERATING MARGIN (%) (REVENUE CHANGE RATES IN BRACKETS*) 21.7 % 20.5 % 20.3 % 17.9 % 20.1 % Alma Talent Media 53% (-7.4%) Alma Tale
Slide 10: Solid financial position
SOLID FINANCIAL POSITION
Slide 11: Financial position balancing and deleveraging continuing in H2
Financial position balancing and deleveraging continuing in H2 NET DEBT (MEUR) AND GEARING (%) Q2/2020–Q2/2023 EQUITY RATIO Q2/2020–Q2/2023 160.0 % 71.0 % 72.7 % 132.0 % 63.1 % 109.2 % 102.4 % 93.7 % 82.4 % 80.8 % 69.3 % 45.8 % 47.6 % 58.7 % 41.6 % 43.0 % 40.5 % 38.8 % 33.3 % 34.7 % 33.0 % MEUR 29.4
Slide 12: Good cash flow enables deleveraging
Good cash flow enables deleveraging Capital expenditure and acquisitions, MEUR OPERATING CASH FLOW 1-6/2023 1–6/2022 2022 88.5 Capex 5.6 4.0 13.2 Acquisitions 4.2 2.4 5.2 65.3 57.0 57.3 Total 9.8 6.4 18.3 MEUR • Cash flow from operating activities in Q2 was MEUR 9.8 (17.0). Cash flow from operating
Slide 13: EPS to 23 cents in Q2
EPS to 23 cents in Q2 0.28 0.23 • Earnings per share were EUR 0.23 (0.28). 0.19 0.20 0.20 0.18 EUR • In Q2/23 Earnings per share were improved by a 0.14 0.14 change of MEUR 4.0 in the fair value of contingent 0.12 consideration liabilities recognized in financial items. • In Q2/22 Earnings per share
Slide 14: Alma Media's long-term financial targets
Alma Media's long-term financial targets* * https://www.almamedia.fi/en/newsroom/ REVENUE GROWTH (%) ADJUSTED OPERATING MARGIN (%) NET DEBT/EBITDA RATIO** 19.6 2.3 23.8 23.7 22.2 12.1 19.8 19.7 1.8 1.6 0.3 -1.8 -1.3 -0.2 -8.0 2019 2020 2021 2022 1-6 2019 2020 2021 2022 1-6 2019 2020 2021 2022 1-6 20
Slide 15: Alma Media has published a Sustainability-Linked Finance Framework
Alma Media has published a Sustainability-Linked Finance Framework • The Framework aligns Alma Media`s sustainability plan with the long-term financing strategy of the company. • The financial characteristics of the Framework are linked to the achievement of two Sustainability Performance Targets: r
Slide 16: Operating environment
OPERATING ENVIRONMENT
Slide 17: Challenging operating environment
Challenging operating environment Slowing Changing Increasing Geopolitical economic growth consumer behaviour regulation turbulence Growth decelerates in all Digitalisation continues to Digital legislation increases. Geopolitical tensions are operating countries. High change consumer behaviour. Grow
Slide 18: European Commission financial forecast for Alma's operating countries
European Commission financial forecast for Alma's operating countries Forecasts given on 15 May, 2023 GDP change (%) Inflation (%) Unemployment (%) 2022 2023 2022 2023 2022 2023 Croatia 6.2 1.6 10.7 6.9 7.0 6.6 Czechia 2.5 0.2 14.8 11.9 2.2 2.8 Estonia -1.3 -0.4 19.4 9.2 5.6 6.2 Finland 2.1 0.2 7.2
Slide 19: The Finnish advertising market update
The Finnish advertising market update MONTHLY CHANGE IN MEDIA ADVERTISING 6/2022–6/2023 ONLINE ADVERTISING BY MEDIA COMPANIES IN FINLAND 1-6/2023 Source: Kantar TNS (1-6/2022)* Source: Kantar TNS 15% A-LEHDET Other 1% (1%) 10% 15% (16%) 5% Keskisuomalainen 0% 3% (3%) ALMA MEDIA 36% (38%) -5% Appr. -
Slide 20: The Finnish housing market update
The Finnish housing market update: In Q2, a total of 12,041 apartments sold — 35.7% below the five-year average Trade volumes Q2 1-12/ Etuovi.com Q2 1-12/ Vuokraovi.com Q2 2023 2023 2022 (Housing marketplace) 2023 2022 (Rental housing) Used apartments Active listings Active listings -31.7% -17.5% 10
Slide 21: The Finnish mobility update
The Finnish mobility update: Easening component shortages – registrations still behind the long-term averages Cars & mobility Q2 1-12/ Nettiauto Q2 2023 1-12/ market 2023 2022 2022 New cars Sold cars, total 19.0% -17% 4.5% -10% Used cars Gross Market 4.0% -11% 2.6% -1% value of sales Source: AKL=Aut
Slide 22: Strategy and outlook
STRATEGY AND OUTLOOK
Slide 23: Strong market position and leading brands in key areas
Strong market position and leading brands in key areas RECRUITING #1 Czech Republic prace.cz, jobs.cz #1 Slovakia profesia.sk 1 #1 Croatia mojposao.net #3 Finland jobly.fi 1 #1 Estonia, Latvia, cvonline.com 1 Lithuania #1 Serbia, Bosnia and Poslovi.infostud.com, Herzegovina, kolektiv.ba, Macedonia v
Slide 24: Alma Media strategy
Alma Media strategy TRANSFORM THE CORE 1. • Continue to diversify from media to marketplaces and digital services • Develop marketplaces towards advanced digital platforms • Maximise group synergies through efficient co-operation GROW IN DIGITAL 2. • Diversify and develop new revenue streams in curr
Slide 25: Alma Media Strategy: synergy creation
Alma Media Strategy Synergy creation Alma Media concentrates on recruitment, housing and commercial property, mobility, media and information services with synergies: • By utilising the reach of media platforms, directing user Shared traffic and commercialising the user data for growing high AUDIENC
Slide 26: From classified advertising to transactions
From classified advertising to transactions Entering larger potential market and enabling new revenue sources B U Y E R S SEARCH EVALUATE NEGOATIATE OWNERSHIP & & & Close & PROVIDE MARKET CLOSE CRM S E L L E R S , B 2 B PA R T N E R S ADVERTISING TRANSACTIONS We further develop and We help to stream
Slide 27: Q2 in brief
Q2 in brief Alma Media becomes the Alma Media acquires ownership Slovak based Profesia Lab focus majority shareholder (51%) of of North Macedonia’s leading on inclusion in employment. the Suomen Tunnistetieto’s online recruitment service The project aims to raise the DOKS service. Vrabotuvanje Onlin
Slide 28: Otava Ltd announced a mandatory public tender offer for all shares in Alma Media
Otava Ltd announced a mandatory public tender offer for all shares in Alma Media Corporation • On 16 June 2023, Alma Media Corporation announced that it had received information that Otava Ltd’s portion of all shares and voting rights in Alma Media had exceeded 30% as a result of the share transacti
Slide 29: Outlook for 2023
Outlook For 2023 Announced on 16 February, 2023 • Alma Media expects its full-year revenue and adjusted operating profit of 2023 to remain at the 2022 level or to decrease from 2022 level. • The full-year revenue for 2022 was MEUR 308.8 and the adjusted operating profit was MEUR 73.4. • The outlook
Slide 30: Thank You!
Thank You! Questions? • Upcoming events in the investor calendar: • Interim report for January–September 2023 on Thursday, 19 October 2023 32
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