Netgem Sa · EURONEXT:ALNTG
Netgem Sa — Investor Presentation (November 2021)
35 slides from Netgem Sa's investor presentation, Nov 18, 2021
Slide 1: Investor Presentation
Investor Presentation November 18th, 2021 Mathias Hautefort, CEO
Slide 2: Agenda
Agenda ➢ Netgem: B2B player in Digital Entertainment ➢ H1 2021, Q3 2021 and Outlook ➢ Corporate and listing information ➢ Q&A
Slide 3: Netgem: B2B player in digital entertainment
Netgem: B2B player in digital entertainment
Slide 4: Who we are
Who we are ✓ We have been present for 25 years in the worldwide Digital Entertainment market. ✓ Our customers are telecommunications operators and digital content editors who rely on us to create (or boost) their TV entertainment offers. ✓ NetgemTV, our software platform, is deployed mainly in Europ
Slide 5: Our job: to simplify the lives of our customers
Our job: to simplify the lives of our customers ... Complexity of new TV Multiplication of & SVOD offers Streaming OTT offers Managed SVOD/TVOD/AVOD Managed OTT services for TV & Streaming OTT Media & Content services operated for owners Telcos To simplify the lives of service operators through inno
Slide 6: An "end-to-end" platform
An “end-to-end” platform NETGEM TV NETGEM CDN NETGEM NETGEM NETGEM CUSTOMER STREAMING STUDIO PLATFORM APPLICATIONS MANAGEMENT MS Azure CDN ROADMAP PRODUCTS & SERVICES OPERATIONS & MAINTENANCE EDITORIAL ANIMATION SALES & MARKETING SUPPORT
Slide 7: Our business model "as-a-service"
Our business model “as-a-service” ✓ We market our B2B (2C) platform “as-a-service”: ✓ software platform as-a-service (SaaS) ✓ additional content ✓ optional hardware and maintenance as-a-service ✓ Most of our revenues: ✓ are recurring ✓ are indexed to the number of active subscribers of our customers
Slide 8: Our competitive edge: We earned the confidence of Telcos and Studios
Our competitive edge: We earned the confidence of Telcos... …and Studios Viihde Elamus
Slide 9: Our reference markets... the UK
Our 3 reference markets... the UK ✓ A booming fibre market fully open to cord-cutting ✓ NetgemTV is a reference platform in the UK for new streaming services (BT Sport, Britbox, 80x Fast channels) ✓ Already 15 partners + TalkTalk contract signed in October 2021, advanced discussions with other major
Slide 10: New TalkTalk contract
New TalkTalk contract ✓ “Tier 1” contract with the “British Free”, announced on October 12, 2021. Strong impact on the UK market. ✓ Coming launch of the next-gen TalkTalk TV 4K service “powered by Netgem TV”. ✓ Additional validation of: ✓ our B2B (2C) positioning and geographic priorities ✓ our “Con
Slide 11: ... the Nordic countries
... the Nordic countries ✓ Focused on major long-term partner Elisa, leading Tier 1 operator in Finland and beyond ✓ Elisa Viihde Premium service rolled out in replacement of older generation TV offers + Direct distribution to subscribers of other access providers in “cord-cutting” mode. ✓ A success
Slide 12: ....French-speaking markets
….French-speaking markets ✓ Continuing deployment of the NetgemTV software platform ✓ With direct-to-consumer distribution through partners operators in France and other French-speaking markets ✓ Coupled with the resale of fibre access in French regional areas (under the Videofutur brand)
Slide 13: Complementary SuperStream offer
Complementary SuperStream offer ✓ SuperStream - MESH Wifi coupled with Netgem’s management platform - complement to NetgemTV improving end-users’ experience ✓ Designed to help operators improve customers satisfaction (+18 NPS points at Videofutur) and reduce their CAPEX
Slide 14: New deals in 2021 (extract)
New deals in 2021 (extract) Netgem TV Superstream Content as a Service Netgem TV January April July August October October Fully managed Fully turnkey Launch of a Launch of a fully Enrichment of our Signature of a NetgemTV managed WiFi TVOD services operated SVOD content offer for NetgemTV service s
Slide 15: H1 2021, Q3 2021 and Outlook
H1 2021, Q3 2021 and Outlook
Slide 16: H1 2021: Growth and profitability
H1 2021: Growth and profitability ➢ Relevance of our strategy: ✓ capture the convergence of OTT services and fibre operators ✓ with the right aggregation offer ✓ and a virtuous economic model ➢ Confirmed by growth: ✓ gross margin: + 11% in Q1 2021, + 20% in H1 2021 ✓ 320,000 subscribers to our offers:
Slide 17: Cash Flows H1 2021 in € m
Cash Flows H1 2021 (*) in € m + € 2.5m (*) excluding IFRS 16 effects Significant improvement in net cash (unaudited)
Slide 18: Q3 2021: on-going conquest
Q3 2021: on-going conquest ✓ Signing with TalkTalk in the UK. ✓ Continuing growth of Elisa subscribers in Finland. ✓ Commercial launch of new content platforms in France, in particular VIVA by VIDEOFUTUR, FRANCE CHANNEL and the announcement of the PREMIERE MAX by VIDEOFUTUR partnership. ✓ Growth in
Slide 19: Outlook
Outlook In 2021, we are demonstrating our ability to seize the opportunity created by the Digital Entertainment market. We expect NetgemTV’s subscribers base to continue growing in the second half of the year in line with the first half, leading to: ✓ continued growth in gross margin ✓ continued impr
Slide 20: Corporate and listing information
Corporate and listing information
Slide 21: Shareholding
Shareholding ✓ Stable shareholders: 55% ✓ 2 founders - reference shareholders: • Joseph Haddad & family (25%) - Chairman of the Board • Olivier Guillaumin & family (9%) - Director ✓ 1 long-term institutional investor: Mousse Partners (9%) ✓ managers, employees and FCPE (6%) ✓ Treasury shares and liq
Slide 22: Governance
Governance Founders : Independents: Joseph haddad Olivier Guillaumin (FF) Isabelle Bordry Vincent Grivet Virginie banet Chairman of the Board Director Director Director Director Other Board Members: Netgem adheres to the Middlenext governance code Catherine Haddad (J2H) Christophe Aulnette Marc Tess
Slide 23: Management
Management Mathias Hautefort Sandrine Alexandre Caroline Gauthier Jean-Francois Galtier Sylvain Thevenot Group CEO and CFO Legal and HR Director CTO C3O Chairman and Founder of the Vitis subsidiary. Joined Netgem since its Confirmed lawyer in business SQL, Simulog, Aucland, Founded one of the first cr
Slide 24: Our CSR strategy
Our CSR strategy Social ✓ Promotion of gender parity at Board of Directors, Comex, managers and among teams. ✓ Promotion of diversity within a multicultural team. ✓ Actions in favor of people with disabilities. Environment ✓ Systematic renovation of Videofutur boxes and routers ✓ Switching of TV box
Slide 25: Market data
Market data ✓ Ticker: ALNTG ✓ ISIN: FR0004154060 ✓ Reuters: ETGM.PA ✓ Bloomberg: ALNTG FP ✓ www.netgem.com ✓ listing sponsor: Gilbert Dupont ✓ analysts: Gilbert Dupont and Oddo BHF ✓ 52 weeks: € 0.94 - € 1.69 ✓ 30,721,059 ordinary shares ✓ Market cap> 45 M € ✓ Liquidity 52 weeks> 71k / day
Slide 26: Transfer to Euronext Growth
Transfer to Euronext Growth ✓ Listed on Euronext for 21 years. ✓ In March 2021 Netgem transferred its listing to EURONEXT GROWTH, a market dedicated to growth companies and consistent with Netgem's profile. ✓ EURONET GROWTH brings Netgem its dynamics and visibility, together with additional control o
Slide 27: Exec Sum
Exec Sum ✓ Present for 25 years, on the growing digital entertainment market • growth drivers: fibre, OTT, cord-cutting, etc. ✓ A virtuous business model : B2B software & content as-a-service ✓ Competitive edge: • Long-term confidence of leading telcos, • Deal-making know-how with the largest right ow
Slide 28: 25 years in 2021
25 years in 2021 E w i=
Slide 29: Q&A
Q&A
Slide 30: IR contact & social networks
IR contact & social networks Investors & Analysts Relations: Bertrand SOLEIL +33 6 23 31 06 53 DOUBLE ∙ DIGIT bertrand.soleil@double-digit.com @netgem #netgem www.netgem.com
Slide 31: Thank you!
NETHEM enjoy your connected life
Slide 32: Our positioning
Our positioning ✓ Present for 25 years in the Digital Entertainment market, Netgem develops, markets and operates the software and content platform NetgemTV ✓ NetgemTV allows its customers, telecommunications operators and digital content editors, to create or boost their entertainment offers in str
Slide 33: ... Thanks to the NetgemTV software platform
… Thanks to the NetgemTV software platform Un guide et une recherche Un modèle d’abonnement universelle familial mensuel Offrant un accès direct aux Générant un revenu garanti contenus des Apps pour les opérateurs de service Renforcé par un moteur de Offrant un partage de revenu recommandation multi
Slide 34: Our competitive edge
Our competitive edge ✓ From the outset, we earned the trust of leading telcos (including Elisa historically and also TalkTalk in the UK very recently), ✓ We have the know-how necessary for concluding agreements with the largest studios and content partners (OTT services), ✓ We have accumulated the r
Slide 35: NETGEM in the press and on social networks
NETGEM in the press and on social networks @netgem #netgem www.netgem.com