United Internet Ag · XETR:UTDI
United Internet — Investor Presentation (November 2024)
38 slides from United Internet's investor presentation, November 2024
Slide 1: United Internet AG Company Presentation (Q3 2024)
UNITED INTERNET AG Company Presentation (Q3 2024) 1 United Internet AG - Company Presentation Q3 2024
Slide 2: KPIs 9M 2024
KPIs 9M 2024 ▪ 28.87 million customer contracts: +420,000 in the first 9 months 2024 Revenues and earnings figures (in € million) 9M 2023 9M 2024 Change Revenues (1) 4,568.3 4,660.7 +2.0% EBITDA (1) 992.7 978.4 -1.4% EBIT (1) 596.3 529.5 -11.2% EPS (1) (in €) 1.22 0.82 -32.8% 6 ▪ EBITDA (1) 9M 2024
Slide 3: Business Areas: Access & Applications
2 BUSINESS AREAS: ACCESS & APPLICATIONS ACCESS APPLICATIONS Consumer Access Consumer Applications Motivated Team ▪ 11,000 employees, of which approx. 4,000 in product management, development and data centers Powerful network infrastructure ▪ 64,500 km of fiber network ▪ 5G mobile network Over 100,00
Slide 4: Group Structure
GROUP STRUCTURE (as of September 30, 2024) 1&1 AG IONOS Group SE <25% >75% 63.8% 36.2% shareholders shareholders Consumer Business Consumer Business Minorities Access Access Applications Applications 100% 100% 100% 100% 31.52% 25.39% 17.58%* 4.49%** 25.10% 20.00% * Held indirectly through the 63.84%
Slide 5: Access
ACCESS* Consumer Access Business Access ▪ Revenues: € 4,096.7 million ▪ Revenues: € 564.0 million ▪ EBITDA: € 653.8 million ▪ EBITDA: € 162.9 million ▪ Profitability: 16.0% EBITDA margin ▪ Profitability: 31.7% EBITDA margin ▪ FTE: ~ 3,300 ▪ FTE: ~ 1,500 ▪ Total contracts: 16.26 million * Figures bas
Slide 6: Consumer Access
“CONSUMER ACCESS” Fixed-line ▪ 1&1 with 3.97 million broadband connections ▪ VDSL and FTTH complete packages including voice and IP -TV via 1&1 Versatel, with last mile via Deutsche Telekom and City Carrier Mobile ▪ 12.38 million mobile contracts ▪ First Open RAN in Europe, fully virtualized ▪ Migra
Slide 7: Consumer Access Segment: Customer Contracts
CONSUMER ACCESS SEGMENT: CUSTOMER CONTRACTS (in million) Mobile Internet Broadband connections 18 16.26 16.35 16 +0.09 ▪ 16.35 million customer contracts (+90,000) 14 ▪ 12.38 million mobile internet contracts (+130,000) 12 12.25 12.38 ▪ 3.97 million broadband connections (-40,000) 10 8 6 4 2 4.01 3.
Slide 8: Consumer Access Segment: Revenues
CONSUMER ACCESS SEGMENT: REVENUES (acc. to IFRS in € million) Service revenues Other revenues 3,200 3,031.8 3,017.2 -14.6 (-0.5%) ▪ -0.5% revenues to € 3,017.2 million 2,800 2,400 ▪ +2.5% service revenues to € 2.478,7 million 2,000 ▪ -12.1% other revenues (especially smartphones) 2,418.9 2,478.7 1,6
Slide 9: Consumer Access (I): EBITDA
CONSUMER ACCESS (I): EBITDA (acc. to IFRS in € million) 600 ▪ -9.4% EBITDA to € 463.0 million 511.1 500 463.0 -48.1 (-9.4%) ▪ € -167.1 million costs from expenses for the expansion 400 of the 1&1 mobile network (prior year: € -73.8 million), thereof € -14.3 million in out-of-period expenses from 300
Slide 10: Consumer Access (II): EBITDA of the Two Subsegments
CONSUMER ACCESS (II): EBITDA OF THE TWO SUBSEGMENTS (acc. to IFRS in € million) EBITDA “Access” 750 630.1 “Access” 584.9 +45.2 600 (+7.7%) 450 ▪ +7.7% EBITDA to € 630.1 million 300 ▪ 20.9% EBITDA margin (prior year: 19.3%) 150 0 9M 2023 9M 2024 EBITDA “1&1 Mobile Network” 0 “1&1 Mobile Network” ▪ €
Slide 11: Business Access
“BUSINESS ACCESS” ▪ One of the largest German fiber-optic networks ▪ Project business and plug-and-play solutions for medium-sized companies ▪ Fiber-optic network with 65,428 km ▪ In more than 350 German cities, including in the 25 largest cities ▪ 27,292 directly connected locations Fiber optic exp
Slide 12: Business Access Segment: Revenues
BUSINESS ACCESS SEGMENT: REVENUES (acc. to IFRS in € million) 500 ▪ +4.2% revenues to € 430.7 million 430.7 +17.3 413.4 400 (+4.2%) 300 200 100 0 9M 2023 9M 2024 12 United Internet AG - Company Presentation Q3 2024
Slide 13: Business Access Segment: EBITDA
BUSINESS ACCESS SEGMENT: EBITDA (acc. to IFRS in € million) 150 ▪ +2.0% EBITDA to € 120.6 million 120.6 118.2 +2.4 (+2.0%) ▪ € -22.0 million start-up costs in the new business areas 100 “5G” and “expansion of commercial areas” (prior year: € -17.1 million) ▪ 28.0% EBITDA margin (prior year: 28.6%) 5
Slide 14: Applications
APPLICATIONS* Consumer Applications Business Applications ▪ Revenues: € 304.3 million ▪ Revenues: € 1.423 billion ▪ EBITDA: € 109.8 million ▪ EBITDA: € 373.7 million ▪ Profitability: 36.1% EBITDA margin ▪ Profitability: 26.3% EBITDA margin ▪ FTE: ~ 1,050 ▪ FTE: ~ 4,350 ▪ Total contracts: 42.77 milli
Slide 15: Consumer Applications
“CONSUMER APPLICATIONS” ▪ With GMX, WEB.DE and mail.com, one of the leading providers of consumer applications ▪ Broad product portfolio for private customers: Communication Online Office texts, spreadsheets, Personal Information Management (e-mail, and organization presentations E-mail, calendar, c
Slide 16: Consumer Applications Segment: Accounts
CONSUMER APPLICATIONS SEGMENT: ACCOUNTS (in million) Free accounts Pay accounts 50 42.73 ▪ 41.66 million Consumer accounts (-1.07 million), thereof 41.66 -1.07 40 ▪ 38.68 million free accounts (-1.25 million) particularly due to seasonal factors and higher security 30 requirements 39.93 38.68 20 ▪ 2
Slide 17: Consumer Applications Segment: Revenues
CONSUMER APPLICATIONS SEGMENT: REVENUES (acc. to IFRS in € million) 240 217.6 +22.9 200 194.7 (+11.8%) ▪ +11.8% revenues from € 194.7 million to € 217.6 million 160 120 80 40 0 9M 2023 (1) 9M 2024 (1) (1) w/o revenues contributions “Energy” and “De-Mail” (€ 19.9m; prior year: € 20.6m) 17 United Inte
Slide 18: Consumer Applications Segment: EBITDA
CONSUMER APPLICATIONS SEGMENT: EBITDA (acc. to IFRS in € million) 80 78.9 +8.3 70.6 (+11.8%) 70 ▪ +11.8% EBITDA from € 70.6 million to € 78.9 million 60 ▪ 36.3% EBITDA margin (prior year: 36.3%) 50 40 Continued good revenue growth expected; the associated 30 profitability growth is to be invested in
Slide 19: Business Applications
“BUSINESS APPLICATIONS” ▪ IONOS as Europe's leading digitization partner for freelancers and small/medium-sized enterprises and reliable cloud enabler ▪ Active in 18 European countries as well as in the USA, Canada and Mexico ▪ Broad product portfolio from Web Presence & Productivity to Cloud Soluti
Slide 20: Business Applications Segment: Customer Contracts
BUSINESS APPLICATIONS SEGMENT: CUSTOMER CONTRACTS (in million) In Germany Abroad 10 9.54 9.39 +0.15 8 ▪ 9.54 million customer contracts (+150,000) 4.59 4.62 6 ▪ 4.92 million abroad (+120,000) ▪ 4.62 million in Germany (+30,000) 4 4.80 4.92 2 0 31.12.2023 30.09.2024 20 United Internet AG - Company Pr
Slide 21: Business Applications Segment: Revenues
BUSINESS APPLICATIONS SEGMENT: REVENUES (acc. to IFRS in € million) 1,200 1,141.6 +82.9 1,058.7 (+7.8%) ▪ +7.8% revenues to € 1,141.6 million 1,000 ▪ Customer growth 800 ▪ Increased up- and cross-selling 600 400 +11.4% revenues growth in Q3/2024 (yoy) 200 0 9M 2023 9M 2024 21 United Internet AG - Co
Slide 22: Business Applications Segment: EBITDA
BUSINESS APPLICATIONS SEGMENT: EBITDA (acc. to IFRS in € million) 360 320.3 +26.6 300 293.7 (+9.1%) ▪ +9.1% EBITDA to € 320.3 million 240 ▪ 28.1% EBITDA margin (prior year: 27.7%) 180 120 60 0 9M 2023 (1) 9M 2024 (1) Excluding IPO costs (EBITDA and EBIT effect: € +11.7m net) 22 United Internet AG -
Slide 23: IONOS Leading Partner for SMB Digitalization in Europe
IONOS IS THE LEADING PARTNER FOR SMB DIGITALIZATION IN EUROPE WI TH A BROAD STRATEGIC FOOTPRINT AND LEADING LOCAL BRANDS IONOS footprint in 18 markets & local brand champions Webhosting market share in Europe (%)1 1 Sweden Germany 1 Europe overall 1 >2x UK Spain 1 Netherlands Poland Canada Germany A
Slide 24: Large and Fast-Growing Market Driven by Secular Trends
LARGE AND FAST-GROWING MARKET DRIVEN BY SECULAR TRENDS Large and untapped IONOS addressable market 15-26***, €bn SMB core target group* >90mm 89 19% CAGR SMBs in North America and Europe 15% CAGR 55 38 15 ~58mm 16 3 22 34 SMBs across Europe 14 2015A 2021A 2026F ~6.2mm CAGR 15–21 21–26 IONOS customer
Slide 25: Comprehensive Product Portfolio, Customer Care and Infrastructure
COMPREHENSIVE PRODUCT PORTFOLIO, FIRST CLASS CUSTOMER CARE AND INFRASTRUCTURE Strong customer support organisation (Personal Service Agent & 24/7 multi-channel support) WEB PRESENCE & PRODUCTIVITY CLOUD SOLUTIONS One-stop-shop for all digitalization needs of SMBs Trusted European cloud provider for
Slide 26: IONOS One-Stop-Shop Portfolio Enables End-to-End Digitisation Journey
THE IONOS ONE-STOP-SHOP PORTFOLIO ENABLES AN END-TO-END DIGITISATION JOURNEY FOR OUR CUSTOMERS 1 3 5 7 MyWebsite Now Digitize your business and Leverage cloud For domains Set up your processes with computing, scalable that have website and a trusted partner infrastructure and already been present yo
Slide 27: Results Q3 2024
RESULTS Q3 2024 27 United Internet AG - Company Presentation Q3 2024
Slide 28: Group: KPIs as of September 30, 2024
GROUP: KPIs AS OF SEPTEMBER 30, 2024 P&L ratios acc. to IFRS in € million 9M 2023 (1) 9M 2024 (2) Change Fee-based customer contracts 28.15 28.87 ▪ +0.72 million Advertising financed free accounts 39.77 38.68 ▪ -1.09 milllion (pay accounts: +0.18 million) Revenues 4,568.3 4,660.7 ▪ +2.0% ▪ -1.4% des
Slide 29: Group: EBITDA / Free Cash Flow Bridge
GROUP: EBITDA / FREE CASH FLOW BRIDGE AS OF SEPTEMBER 30, 2024 (acc. to IFRS in € million) 978.2 -436.1 -262.9 -104.3 -204.0 38.6 67.7 -102.4 -63.8 EBITDA Capex Contingent Phasing effects Tax Working Capital Free Cashflow Leasing Free Cashflow 9M 2024(1) (net) payment from Q4 2023 & others 9M 2024 a
Slide 30: Group: Balance Sheet as of September 30, 2024 (I)
GROUP: BALANCE SHEET AS OF SEPTEMBER 30, 2024 (I) (acc. to IFRS in € millions) Assets 31.12.2023 30.09.2024 Comments ▪ Increase due to investments made in 9M 2024 (primarily Property, plant and equipment / intangible assets 4,406.9 4.784,9 in the fiber optic/mobile network) Goodwill 3,628.8 3,632.2
Slide 31: Group: Balance Sheet as of September 30, 2024 (II)
GROUP: BALANCE SHEET AS OF SEPTEMBER 30, 2024 (II) (acc. to IFRS in € millions) Liabilities and equity 31.12.2023 30.09.2024 Comments Equity 5,555.1 5,510,0 ▪ Equity ratio: 47.5% ▪ Increase in liabilities to banks driven by utilization of long- Liabalities to banks 2,464.3 2,742.0 term credit lines
Slide 32: Outlook 2024
OUTLOOK 2024 32 United Internet AG - Company Presentation Q3 2024
Slide 33: Outlook 2024
OUTLOOK 2024 Full year guidance for revenues specified, for EBITDA and Cash-CAPEX confirmed (1) ▪ Revenues: approx. € 6.35 billion (previously expected: € 6.40 billion; 2023: € 6.21 billion) ▪ EBITDA (operative): approx. € 1.38 billion (2023: € 1.30 billion) ▪ Cash-CAPEX: 15 - 25% above the previous
Slide 34: Share and Dividend
SHARE AND DIVIDEND 34 United Internet AG - Company Presentation Q3 2024
Slide 35: Share Price Development and Shareholder Structure
SHARE PRICE DEVELOPMENT AND SHAREHOLDER STRUCTURE 60 € € 59.80 (ATH: 09.01.2018) Key Share Facts & Figures: 50 € € 19.04 (23.08.2024) ▪ ISIN: DE0005089031 40 € ▪ WKN: 508903 € 1.02 (23.3.98) ▪ Stock Exchange: Xetra 30 € 2008: Financial crisis ▪ Index: MDAX, TecDAX 20 € 2020: COVID-19 ▪ Shares: 192.0
Slide 36: Shareholder Return
SHAREHOLDER RETURN Dividend payments Share buy backs Share capital (cumulative in € million) (cumulative in € million) (in € million) 1600 270 1.400 1400 250 1.200 1200 1.000 230 1000 800 800 210 600 600 190 400 400 200 170 200 0 0 150 ▪ Dividend payment for fiscal year 2024: ▪ Total of more than €
Slide 37: Investor Relations Contact
INVESTOR RELATIONS CONTACT DOMINIC GROSSMANN VOTING RIGHTS* Head of Investor Relations United Interent AG Phone: +49 2602 / 96-1671 Elgendorfer Straße 57 E-Mail: dgrossmann@united-internet.de D-56410 Montabaur E-Mail: voting-rights@united-internet.de * Please use the provided email address for share
Slide 38: United Internet AG: Our success story continues!
UNITED INTERNET AG Our success story continues! 38 United Internet AG - Company Presentation Q3 2024
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