Slide 1: Interim Results
Interim Results For the six months ended 27 September 2015 13th November 2015
Slide 2: Disclaimer
Disclaimer 2 Disclaimer By attending the meeting where this presentation is made, or by reading this document, you agree to be bound by the limitations set out below. This presentation is being communicated only to and is only directed at those persons in the United Kingdom that are (i) investment p
Slide 3: Financial Highlights
Overview 3 Financial Highlights Revenue: up 8% to £138.2 million (H1 2015: £127.5 million) Underlying operating profit: up 17% to £83.0 million (H1 2015: £70.8 million) Underlying operating profit margin: up 4% points to 60% (H1 2015: 56%) Operating cash flow: up 46% to £86.0 million (H1 2015: £58.8
Slide 4: Key Drivers
Overview 4 Key Drivers Cross platform visits: 43.0 million on average each month: 5 times larger than our nearest competitor Advert Views: up 9% to 240 million (H1 2015: 220 million) generating more response for our customers Customers: retailer forecourts up 0.3% to 13,503 (H1 2015: 13,456) ARPR: u
Slide 5: Revenue
Financial Statements – September Interim 5 Revenue Number of Retailer Forecourts (1) Revenue (£m) Growth 0.3% Six months ended September 2015 is shown as H1 2016 % Growth 8% % 23% Average Revenue Per Retailer (ARPR) (£) (1) 2% Growth 8.9% % 9% Retailer Revenue (£m) Growth 9.2% % Trade revenue compri
Slide 6: Profit
Financial Statements – September Interim 6 Profit Adjusted underlying EBITDA Underlying operating profit Six months ended September 2015 is shown as H1 2016 Six months ended September 2015 is shown as H1 2016 Margin 61% 64% Margin 56% 60% Growth 15% Growth 17% % % (£m) Underlying operating profit re
Slide 7: Costs
Financial statements – September Interim 7 Costs Costs(1)(£m) FTEs & Contractors (Average) Six months ended September 2015 is shown as H1 2016 Growth (6%) % Growth (3%) % (13%) Marketing % of Revenue 1% (10%) (0%) Continuing Capital Expenditure (£m) (1) 2015: Administrative Expenses (£55.3m) before
Slide 8: Income statement
Financial statements – September Interim 8 Income statement
Slide 9: Cash Flow & Net External Debt
Financial Statements – September Interim 9 Cash Flow & Net External Debt Operating Cash Flow Reconciliation of Net External Debt(1) Six months ended September 2015 As at period ending March 2015 & September 2015 Cash Conversion (Operating cash flow as % of 97% 3.4x Leverage 2.7x Adjusted Underlying
Slide 10: Key Drivers
= Autolrader What drives us is you
Slide 11: Market
Key Drivers 11 Market New Car Registrations (1) Used Car Transactions (2) (1) Source: Society of Motor Manufacturers & Traders (SMMT) - 12 month (2) Source: DVLA transaction data - 12 month rolling total rolling total
Slide 12: Audience & Value
Key Drivers 12 Audience & Value Visits (1) Full Page Advert Views (FPAVs) (2) (million) (average pcm - million) 5x 6x 18x 22x Growth 9% % Device Engagement c.70% >80% from a Share of ALL mobile device classified minutes (2) Company measure of the number of inspections of (1) Per Comscore – average f
Slide 13: Enhancing Consumer Experience
Key Drivers 13 Enhancing Consumer Experience Discovery Search with manufacturer native ad Retailer Native Ad
Slide 14: Enhancing Consumer Experience
Key Drivers 14 Enhancing Consumer Experience Landing Pages
Slide 15: Enhancing Consumer Experience
Key Drivers 15 Enhancing Consumer Experience Valuation Vehicle Check Quick Quote
Slide 16: Retailer YoY Growth
Key Drivers 16 Retailer ARPR Levers Car stock on site ARPR growth (£) £93 £71 £110 440 25% (%) 8.5% 6.0% 8.9% 420 20% 43 Stock on Site - Cars ('000) 400 15% 380 YoY Growth 31 30 28 28 10% 360 22 20 5% 16 15 340 14 13 14 0% 320 300 (5%) May May Mar Nov May Mar Nov Mar Jan Jul Jan Jul Jan Jul Sep Sep
Slide 17: Cross Sell
Key Drivers 17 Cross Sell RETAILING SOLUTIONS = BUYING + MARKETING + MANAGING Retailing Solutions Revenue (£m) Managing Pillar Forecourts (#) Six months ended September 2015 is shown as H1 2016 Average number in the month of September Penetration (1) Growth % 12% 2% 12% (1) Based on the average numb
Slide 18: Display advertising
Key Drivers 18 Display advertising High relevance for manufacturers(1) 64% of new car shoppers visit (1) (1) Source: Kantar media research
Slide 19: Display revenue
Key Drivers 19 Display revenue Display advertising revenue (£m) Share of impressions Six months ended September 2015 is shown as H1 2016 Six months ended September 2015 is shown as H1 2016 Growth % 23% H1 2015 Number of Home Page Takeovers (#) Six months ended September 2015 is shown as H1 2016 Grow
Slide 20: Outlook
Summary 20 Outlook Underlying economy and automotive trends remain positive but growing disparity between those retailers who are winning in the market and those that are struggling Retailer forecourt numbers likely to remain flat overall for H2 Full year ARPR growth expected to be broadly in
Slide 21: Questions
Questions
Slide 22: Appendices
Appendices
Slide 23: Cash Flow Statement
Appendix 23 Cash Flow Statement Six months ended Six months ended September 2015 September 2014 Movement in Working Capital: due to the timing of the September 2015 period end, payments totaling (unaudited) (unaudited) £m £m c.£4 million that would normally be made in the first Adjusted underlying
Slide 24: Four Year Record
Four Year Record Six months to September Year to March 2015 2014 2015 2014 2013 2012 £m £m £m £m £m £m Revenue 138.2 127.5 255.9 237.7 218.9 209.1 Administrative expenses (55.3) (60.0) (1228) (139.0) (109.8) (101.4) (Operating profit before share based payments, management incentive plans, 83.0 70.8
Slide 25: Notes
Appendix 25 Notes
Slide 26: Notes
Appendix 26 Notes
Slide 27: Notes
Appendix 27 Notes