Yougov Plc · LSE:YOU
Yougov — H1 FY2019 Earnings Presentation
44 slides from Yougov's earnings presentation, March 2019
Slide 1: Half year results to 31 January 2019
Half year results to 31 January 2019 Strong earnings growth in line with current five-year plan
Slide 2: Summary
Summary Stephan Shakespeare, Chief Executive Officer 2
Slide 3: Summary
Summary Strong Group Revenue growth of 18% (underlying business growth of 10%, well ahead of the market average of approximately 3%) Group Adjusted Operating Profit up by 41%; UK and USA both up 15% Global Data Products & Services continuing to drive growth: now 54% of Group revenue Increase
Slide 4: Financial update
Financial update Alex McIntosh, Chief Financial Officer 4
Slide 5: Financial Highlights
Financial Highlights 6 months to 6 months to Group Revenue growth of 18% 31 Jan 2019 31 Jan 2018 % Change (2018: 10%) – underlying £m £m business growth of 10% Adjusted operating profit up by Revenue 66.5 56.3 18% 41% to £12.5m (2018: £8.8m) – 2% was result of acquisitions in Adjusted Operating
Slide 6: Balance Sheet
31 Jan 2019 31 Jan 2018 Balance Sheet £m £m Assets Goodwill 62.5 42.2 Receivable days down to 48 Other intangible assets 16.5 10.9 days from 49 days Other non-current assets 14.1 11.2 Total 93.1 64.3 Creditor days increased to 36 Current Assets days from 30 days Trade and other receivables 35.2
Slide 7: Cash Flow
Cash Flow 6 months to 6 months to 31 Jan 2019 31 Jan 2018 £m £m Cash flow generated from Cash flows from operating activities operations of £8.7m: 69% of Statutory operating profit 8.4 4.4 adjusted operating profit Non cash movements 5.0 6.1 Net working capital movement (4.7) (3.0) Investing act
Slide 8: Performance by Division: Revenue
Performance by Division: Revenue Continued growth in Data Products & Services 6 months to 6 months to Underlying Change 31 Jan 2019 31 Jan 2018 Change £m £m % % Data Products 19.4 14.4 35% 26% Data Services 17.8 13.4 33% 9% Total Data Products & Services 37.2 27.8 34% 17% Custom Research 30.4 29.1 4
Slide 9: Performance Division: Operating Profit
Performance Division: Operating Profit Continued strategic focus on higher margin services Operating Margin 6 months to 6 months to Change % 31 Jan 2019 31 Jan 2018 % Six months to 31 Six months to 31 £m £m January 2019 January 2018 Data Products 7.3 4.8 53% 38% 33% Data Services 4.4 3.5 25% 25% 26%
Slide 10: Performance by Geography: Revenue
Performance by Geography: Revenue USA remains largest region; growing presence in Asia Pacific 6 months to 31 January 2019 6 months to 6 months to Underlying Revenue Change 31 January 2019 31 January 2018 Change % UK USA £m £m % Mainland Europe Middle East Asia Pacific UK 19.8 14.5 37% 16% USA 27.2
Slide 11: Performance by Geography: Operating Profit
Performance by Geography: Operating Profit Increased Middle East operating profitability following re-structure Operating Margin 6 months to 31 January 2019 6 months to 6 months to Operating % Operating Profit 31 Jan 2019 31 Jan 2018 Profit Operating Operating Growth UK USA Profit Profit % 2019 2018
Slide 12: Performance by Product and Service
Performance by Product and Service Stephan Shakespeare, Chief Executive Officer 12
Slide 13: BrandIndex Revenue
Interim Results to 31 January 2018 Our flagship brand Growth in period: intelligence service 23% Half Year Full Year Global expansion and 25 integration with Profiles 23.7 driving growth 20 19.7 Covers 38 markets Revenue £m worldwide 15 14.5 13.8 US remains largest market 10 10.4 11.2 Incr
Slide 14: Profiles Revenue
Interim Results to 31 January 2018 Our ground-breaking Growth in period: audience planning and 66% Half Year Full Year segmentation tool 7 Now available in 19 markets 6 6.6 across the UK, USA, Europe and Asia Pacific 5 Revenue £m 4.9 Sales driven by increased 4 interoperability between 3.7 Pro
Slide 15: Omnibus Revenue
Growth in Online fast-turnaround period: service Half Year Full Year 35% Attracting more multi- 30 national clients, leading to increased multi-country 25 25.6 projects 20 21.9 Revenue £m 1,000+ clients worldwide 15 16.4 17.1 Market leader in UK and 10 12.6 12.7 growing strongly globally 7.4
Slide 16: Operating Profit Margin
Margin Scope, scale and complexity of Growth in period: custom projects varies: 8% • One-off studies Half Year Full Year • Tracking studies for 30% individual clients • Syndicated studies sold 25% Operating Profit Margin 26% to multiple clients 24% 24% 20% Offering enhanced and 15% differentiate
Slide 17: Success of strategy means change to reporting segments in future
Success of strategy means change to reporting segments in future Consolidation of our products & services into two reporting segments *BrandIndex and Profiles are increasingly being marketed as a combined proposition, ‘Plan & Track’. 17
Slide 18: Our strategy for the next five years: The best data, the best tools
Our strategy for the next five years: “The best data, the best tools” 18
Slide 19: Our current and next five-year growth plans
Our current and next five-year growth plans FY to FY to FY to FY to FY to FY to FY to FY to FY to 31 July 31 July 31 July 31 July 31 July 31 July 31 July 31 July 31 July 2015 2016 2017 2018 2019 2020 2021 2022 2023 Global footprint YouGov Direct USA footprint YouGov Cube YouGov Profiles Crunch YouGo
Slide 20: Three strategic pillars
Three strategic pillars Integration Fully integrating custom research and client service with our data and tools Public Data Expanding YouGov Public Data as a public service, for brand reputation, panel engagement and showcasing our data Activation Enabling activation on our platform 20
Slide 21: Public Data
Public Data YouGov Ratings results now “discoverable” via Google search We are appearing across a range of topics: Brands Fashion Influencers Politicians YouGov data appears in rich search snippets which elevates our brand as a global public data resource 21
Slide 22: YouGov Direct: launches within this financial year
YouGov Direct: launches within this financial year 1 Dashboard for 2 Dashboard for Clients Members Clients define required Members manage their target groups from data for sharing (through aggregated characteristics surveys and dashboard on offer editing) 4 Member gets 3 Client sends message / task
Slide 23: All brought together on a universal platform
The YouGov Platform Vast, Syndicated Data continuous, All brought single-source Data Services together on a data collection universal platform MRP Crunch The success of this vision is underpinned by our three strategic pillars Direct YouGov Cube Customisation Targeting & Activation Integration Publi
Slide 24: Centres for Excellence
Centres for Excellence Continuing to enhance our scalability by investing in Centres for Excellence Initial focus on operations and client services across the globe 24/7 Over the last five years, this model has reduced our spend on data operations overheads as a percentage of global revenue fr
Slide 25: Expanding into new markets and sectors
Expanding into new markets and sectors Two strategic acquisitions USA-based firm which helps clients in the film and television industry to optimise marketing, discover who their audiences are, forecast revenues throughout the movie lifecycle, and increase catalog revenues. Portent.io has been rebra
Slide 26: New long-term targets
New long-term targets 26
Slide 27: Our ambition for growth is undiminished
Our ambition for growth is undiminished Our ambition is to be: the world’s leading supplier of proprietary panel data used by every public-facing company and organisation used by hundreds of millions of people as a daily public resource the world’s largest and most engaged research panel 27
Slide 28: New growth plan - long-term targets
New growth plan - long-term targets Three long-term targets define our next growth plan These are the ambitious LTIP targets we will use to incentivise senior management through to 2023 1 2 3 Double Double Achieve an Adjusted* Group Revenue Group Adjusted* Earnings Per Share Operating Profit Mar
Slide 29: Outlook
Outlook Strong pipeline of sales opportunities for our syndicated data products Opportunities for growth in custom research aligned with our core connected-data offering Second-half trading continues positively Continued investment in our technology platforms and geographic expansion Signi
Slide 30: The best data, the best tools
The best data, the best tools 30
Slide 31: Appendix – About YouGov
Appendix – About YouGov 31
Slide 32: YouGov is a global research data and analytics group
YouGov is a global research data and analytics group 32
Slide 33: YouGov has one of the world's largest international research networks
YouGov has one of the world’s largest international research networks Over 7m panellists across 42 countries Over 900 employees across 22 countries Panellists Office Location EMPLOYEE HEADCOUNT BY REGION Mainland Middle East & Asia UK USA Europe India Pacific 330 200 220 120 80 33
Slide 34: YouGov is the most quoted market research source in the UK
YouGov 28,859 Ipsos 7,756 Survation 6,710 YouGov is the most Kantar Worldpanel Opinium 3,560 5,330 quoted market IDC Populus 3,120 2,668 research source in Nielsen ComRes 2,193 2,175 the UK OnePoll Gartner 2,019 1,687 Dalia 1,466 Euromonitor 1,441 Panelbase 1,421 Forrester 1,257 GfK 1,249 Survey Mon
Slide 35: Our core offering of opinion data is derived from our online panel
Our core offering of opinion data is derived from our highly participative online panel of over 7 million people worldwide 35
Slide 36: Divisions, Products & Services
We leverage this data to Divisions provide a Data Products Data Services Custom Research complementary suite of data products and services… BrandIndex* Omnibus Quantitative Products & Services Profiles* Re-Contacts Qualitative Data Applications Field & Tab Trackers SportIndex Sample Only Political /
Slide 37: Support all stages of the marketing workflow
… which can support all stages of the Profile Target marketing workflow Evaluate Our complementary suite of data products and services Measure supports clients with all stages of the marketing workflow Track Plan 37
Slide 38: Over 2,000 clients
Our customer base is diverse – mainly focused on marketing activities Media Owners Over 2,000 clients Media Brands Agencies 38
Slide 39: Our clients include some of the world's most recognisable brands
Our clients include some of the world’s most recognisable brands 39
Slide 40: YouGov at a glance
YouGov at a glance 35 offices worldwide including: YouGov has one of the world’s Proprietary panel of over New York | San Francisco | London | largest international research 7 million members spanning Berlin | Milan | Dubai | Mumbai | networks 42 countries. Last year, YouGov Hong Kong | Singapore |
Slide 41: The best data, the best tools
Our strategy Our strategy for the next five years is defined by this 6-word mantra: “the best data, the best tools” 41
Slide 42: The best data
The best data COLLECT STORE & CONNECT RESULTS Large engaged longitudinal panels UK General Election 2017 We used MRP to construe outcomes for each in all key global markets of the UK’s 632 parliamentary constituencies, polling 7,000 UK voters each day in the lead up to the election Our results indic
Slide 43: The best tools
The best tools Our unique and user-friendly data analytics and Our blockchain-based platform for panellist visualisation tool permissioning and effective ad targeting Crunch makes data processing faster, more accurate YouGov Direct harnesses blockchain technology to and gives users control over data
Slide 44: The best data, the best tools
The best data, the best tools 44