Half-Year Figures 2021 Analyst Conference, 31 August 2021 Pietro Supino Chairman & Publisher
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Half-year figures 2021 Analyst Conference, 31 August 2021 Pietro Supino Chairman & Publisher 31 August 2021 Sandro Macciacchini Head of Finances & Human Resources, Member of Group Management 31 August 2021 Results for first half 2021 4 TX Group In CHF Sharp improvement in net income due to economic upturn, growth of millions 2020-6 2021-6 digital offer, and cost discipline Positive impact on Business result buoyed Financial income of Significant recovery of Net liquidity affected by revenue from job by reduction in material CHF 11.7 million year- free cash flow, mainly increased cash flow from market recovery, good and other operating on-year, with no due to an increase in operating activities, from performance of expenses, and by impairments cash flow from dividend waiver for TX marketplaces, and an higher net income from operating activities Group shareholders, and easing of pressure on associated companies from reduced dividends the advertising market and joint ventures for non-controlling interests +22 +5.1% Margin Margin 2.9% 10.6% -25.4% 4.7% 431 453 +82 +36 +49 194 +131 112 48 49 12 21 0 -109 Revenues EBIT (b. PPA)* EAT FCF (b. M&A)** Net liquidity * Operating income before effects of business combinations ** Cash flow after investing activites in property, plant and equipment and intangible assets Results for first half 2021 5 Market environment Significant recovery from Swiss advertising market (gross) in second quarter – stable performance year-on-year (-0.4% YTD) Print Cinema TV Internet* Radio Out-of-home +31% -35% -2% +6% +32% 456 448 -20% 444 434 413 430 392 405 25% 27% 26% 27% 27% 348 30% 29% 314 313 29% 293 28% 27% 28% 26% 26% 35% 38% 25% 32% 40% 40% 33% 1% 2% 30% 32% 0% 2% 36% 36% 0% 2% 1% 2% 3% 0% 3% 4% 32% 4% 2% 3% 0% 23% 0% 29% 3% 3% 18% 17% 27% 18% 17% 30% 26% 23% 34% 13% 14% 11% 13% 14% 15% 15% 9% 9% 10% 7% 9% Jan.-20 Jan.-21 Feb 20 Feb 21 Mar 20 Mar 21 Apr 20 Apr 21 May 20 May 21 June 20 June 21 Swiss advertising market in CHF millions (gross) Source: Media Focus Jan-Jun 2020/2021 *Internet: Does not include advertising revenue from social media, online classifieds, online directories, or strictly performance-related networks Results for first half 2021 6 Market environment Print advertising market (net) increases by 2.7 per cent year-on-year - national dailies stable -2% -1% 2020-6 2021-6 78 76 -2 73 72 -1 +7% +27% 26 28 25 +10% 20 +26% -6% -4% 7 7 6 7 7 6 8 8 Daily press I Daily Press II/III Regional Sunday press Financial and Consumer press Special press Specialised weekly press business press Net revenue for print advertising in CHF millions compared to the previous year Source: WEMF advertisement statistics for the Swiss press Results for first half 2021 7 TX Group Recovery in advertising revenue and in commercialisation and intermediary revenue – lower revenue from classifieds & services, solely due to disposals 17% -1% 34% 0% -7% 15% -28% 5% 453 1 33 9 121 35 144 110 Advertising Revenue from Commercialisation Revenue from Revenue from Other operating Other income Revenues revenue classifieds & and intermediary subscriptions print and logistic revenue services revenue and individual operations sales Types of revenue Results for first half 2021 8 TX Group TX Group delivers 8 per cent organic revenue growth 2020-6 99 2020-6 101 TX Markets +9% +8% 2021-6 108 2021-6 108 +9 +8 2020-6 61 2020-6 61 Goldbach +21% +21% 2021-6 74 2021-6 74 +13 +13 2020-6 40 2020-6 40 20 Minuten +28% +28% 2021-6 51 2021-6 51 +11 +11 2020-6 225 2020-6 225 Tamedia -1% -1% 2021-6 222 2021-6 222 -2 -2 2020-6 93 2020-6 102 -5% -13% Group & Ventures 2021-6 89 2021-6 89 -4 -14 2020-6 420 2020-6 431 TX Group** +8% +5% 2021-6 453 2021-6 453 +33 +22 Organic revenue growth* in CHF millions Consolidated revenue growth in CHF millions * Business units or associated companies that were taken into account in the consolidation during the entire reporting period in both 2020-6 and 2021-6 ** Eliminations and IAS reconciliations were taken into account Results for first half 2021 9 TX Group Digital revenue share climbs to 53 per cent 2020-6 8% Digital non-publishing 2020-6 2020-6 42% Digital publishing Digital 8% Digital 50% Print publishing 28% Print Combined 23.2% 72% 11% 92% 7.7% 41.0% 11% 42% of which 37% publishing per se 63% 47% 8.9% 89% 2021-6 2021-6 2021-6 Publishing advertising market Publishing user market digital revenue digital revenue TX Group digital revenue Results for first half 2021 10 TX Group Normalised net income up CHF 34 million on prior-year period EBIT EAT (adj.) (adj.) margin margin 2020-6 2.6 % 0.9 % 2021-6 10.4 % 8.4 % 12 3 38 33 21 1 0 2 2 4 EAT 2021-6 Other income Costs of materials Other operating Share of net Depreciation and Financial result Income taxes EAT (adj.) 2021-6 EAT (adj.) 2020-6 and services expenses income / (loss) amortisation from of associates / business joint ventures combinations Normalised net income in 2021-6 in CHF millions Results for first half 2021 11 TX Group Capex almost CHF 5 million down on previous year – free cash flow before acquisitions up to CHF 49 million 2020-6 in CHF millions 15 8 8 1 0 0 2021-6 in CHF millions 61 7 49 5 0 0 ‒ Cash flow from Investment in Investments in Sale of property, Sale of intangible FCF (b. M&A) (used in) property, plant intangible assets plant and assets operating and equipment equipment activities Results for first half 2021 12 Equity ratio up to 75 per cent 10% Current assets 10% Net liquidity, 30 17% Non-current assets 16% June 2021: CHF Current liabilities 194.2 million 73% Non-current liabilities 75% Equity 606 481 577 437 274 266 Excluding minority holdings, the equity 2,146 1,996 2,200 2,073 ratio is 65 per cent 2020 2020 2021-6 2021-6 In CHF millions Results for first half 2021 13 TX Group TX Markets margin rises again over 40 % - all companies with positive result TX Markets Goldbach 20 Minuten Tamedia Group & Ventures EBIT (adj.)-Margin EBIT (adj.)-Margin EBIT (adj.)-Margin EBIT (adj.)-Margin EBIT (adj.)-Margin 2020-6 35.5 % 2020-6 -5.4 % 2020-6 -17.6 % -2 2020-6 -2.4 % 2020-6 -4.5 % +8 2021-6 40.1 % 2021-6 12.8 % 2021-6 2.6 % 2021-6 3.4 % 2021-6 -10.2 % 225 222 -13 +13 Third parties 102 101 108 102 89 +8 +11 89 Inter- 40 33 74 segment 63 55 61 +13 47 +8 +12 2020-6 2021-6 39 36 43 51 40 -4 15 11 7 9 0 1 10 7 Revenues EBITDA EBIT 0 -3 -7 -7 -4 -5 -5 -9 (adj.) Revenues EBITDA EBIT Revenues EBITDA EBIT Revenues EBITDA EBIT Reveneus EBITDA EBIT (adj.) (adj.) (adj.) (adj.) Number of 562 Number of 622 Number of 316 Number of 1’384 Number of 784 employees employees employees employees employees Segment statement 2021-6 in CHF million 2020-6 2021-6 * The values of the previous period were adjusted as a result of a restatement 14 TX Markets Olivier Rihs CEO Results for first half 2021 15 Operational reporting – TX Markets - Overview EBIT (adj.) margin of over 40 per cent 2020-6 2021-6 EBITDA EBIT TX Markets comprises the JobCloud job portal, the margin (adj.) margin Homegate property platform, the Ricardo and Tutti online marketplaces, and the Car For You auto +8% 2020-6 38.5 % 35.5 % marketplace 108 2021-6 43.4 % 40.1 % 101 − JobCloud: Significant revenue growth and good net income – back to pre-Covid levels +21% − Homegate: Number of listed properties fell again (by 7 per cent), reflecting reduced availability on the Swiss property market 43 36 − Ricardo and Tutti: Strong growth thanks to continued trend in second-hand − Car For You: New sales-dependent offer attracting both dealers and buyers Revenue EBIT (adj.) TX Markets overview in CHF millions Number of 562 employees Results for first half 2021 16 Operational reporting – TX Markets Essentially a strong performance from classified advertising and marketplaces 2020-6 2020-6 2020-6 2020-6 -11% +7% +19% +2% 2021-6 2021-6 2021-6 2021-6 Sessions per month Sessions per month Sessions per month Sessions per month 2020-6 2020-6 2020-6 2020-6 2.2 +7% -7% +20% +14% 2021-6 2021-6 2021-6 2021-6 2.3 Number of listed jobs per month Average number of listed Average number of Number of listed properties per month transactions by private items per month individuals per month Results for first half 2021 17 Operational reporting – TX Markets - Outlook Strengthen internal collaboration to exploit synergies Strengthen internal collaboration and synergies 1 − Strengthen cross-platform collaboration − Promote knowledge sharing and best practice and extend leading positions JobCloud 2 − JobCloud continued to extend its leading position in Switzerland − Well equiped for the future, thanks to continual enhancements to its innovative recruitment technology Intensify start-up investment and M&A activities 3 − Invest in marketplace business models and associated technologies − Focus on early-stage as well as market leaders 18 Goldbach Michi Frank CEO Results for first half 2021 19 Operational reporting – Goldbach - Overview Goldbach back in the black 2020-6 2021-6 EBITDA EBIT Marketing company Goldbach includes the following margin (adj.) margin Swiss entities: 20 Minuten Advertising, +21% Admanufaktur, Dreifive, Goldbach Audience, Goldbach 74 2020-6 -0.2 % -5.4 % Media, Goldbach neXT, Goldbach Publishing, Neo 2021-6 19.6 % 12.8 % Advertising, Swiss Radioworld; Goldbach is also 61 active in Germany and Austria − Marked recovery in television advertising and Paid Media print advertising − Growth returned to the Germany and Austria markets, 9 particularly in terms of programmatic revenue − Out-of-home hit by protracted Covid restrictions -3 Revenue EBIT (adj.) Goldbach overview in CHF millions Number of 622 employees Results