March 2015 2014 Annual Results NextRadioTV Group
Contents
1. Introduction 3
4
Key figures EBITDA: Profit from recurring operations after net amortisation of programmes and before other net amortisation and depreciation charges and bonus shares EBIT: Profit from recurring operations before bonus shares Restated net profit: net profit restated for non-recurring items 5
2. 2014 highlights 6
Highlights TV Division The TV division passed the revenue milestone of 100 m in 2014 23% increase in revenue to 100.5 m for the TV division 2014 TV EBITDA of 9.2 m vs. 5.1 m in 2013, an increase of 82% BFMTV, France's n o 1 news channel Record 2.0% annual AS vs. 1.9% in 2013 BFM Business TV, n o 1 business and financial news channel 12% revenue growth in 2014 RMC Découverte, n o 1 HD DTT channel with a 1.2% AS More than doubled its full-year revenue in 2014 Reduced losses < 4 m Sources: Monthly and full-year Médiamétrie Médiamat Mon-Sun 3am/3am 4 + AS: audience share 7
Highlights TV Division Only NextRadioTV recorded growth in the free-to-air TV landscape 2014 annual national audience shares (%) Vs. 2013 (percentage points) +0.6 pp - 0.2 pp - 0.5 pp - 0.6 pp - 0.1 pp - 0.2 pp Source: Full-year Médiamétrie Médiamat Mon-Sun 3am/3am 4 + Excluding independent channels Numéro 23 and L Équipe 21 8
Highlights BFMTV 8 th consecutive year of growth for BFMTV In annual national audience shares (%) All-time audience high of 3.0% in monthly audience share in January 2015 Source: Full-year Médiamétrie Médiamat Mon-Sun 3am/3am 4 + 9
Highlights BFM Business TV BFM Business TV in the Top 5 of premium theme-based channels Thousands of regular premium viewers France's n o 1 business and financial news channel Source: Audipresse Premium 2014 Mon-Sun Premium individuals: high income or strong decision-making powers (managers and executives) 10
Highlights RMC Découverte RMC Découverte reached a 1.2% AS at the end of 2014, a new HD DTT record In annual national audience shares (%) Strongest rise in the 2014 TV landscape Doubling of audience year on year Source: Full-year and monthly Médiamétrie Médiamat Mon-Sun 3am/3am 4 + 11
Highlights Radio Division 34% EBITDA margin in 2014 4% increase in revenue to 77.9 m for the Radio division in 2014 Outperformed a market in decline of 2% to 2.5% Radio EBITDA of 26.7 m in 2014 vs. 27.0 m in 2013 Additional costs of coverage of sporting events by RMC RMC, n o 1 station for under 50 year old men Ahead of Europe 1 for upper socio-economic categories (1) BFM Business Radio, n o 1 station for Premium targets Success of the 10 th BFM Awards Source: Médiamétrie 126,000 Radio / Mon-Fri 5am/12am Initial IREP France Pub 2014 estimates (1) Médiamétrie 126,000 November-December 2014 wave all criteria: Cumulative audience, average quarter of an hour (thousands and structure), individual listening time and share of cumulative audience of upper socio-economic individuals 12
Highlights RMC Radio RMC is bridging the gap with Europe 1 Change in average cumulative audience share per season (%) 4.2 million listeners per day N o 1 general-interest station for under 50 year olds AHEAD OF RTL & EUROPE 1 N o 1 station for 25-49 year-old men N o 2 private station for 25-49 year olds and upper socio-economic categories AHEAD OF EUROPE 1 N o 4 private station in France Source: Médiamétrie 126,000 Radio Mon-Fri 5am/12am 13 + Change by season (cumulative September to June) and Sept-Dec. 2014 Cumulative audience in penetration terms / Cumulative audience in number of listeners and ranking by targets in audience share 13
Highlights RMC Radio RMC ahead of Europe 1 for upper socio-economic categories Cumulative audience in terms of socio-economic categories structure (%) Share of audience of upper socio-economic categories by season (%) Source: Médiamétrie 126,000 Radio Novembre-December 2014 cumulative audience in structure terms Mon-Fri Change by season (cumulative Sept. to June) and Sept-Dec. 2014 Cumulative audience share calculated based on average quarters of an hour in thousands in the environment of the 16 private radio stations Mon-Fri 5am -24am 14
Highlights BFM Business Radio BFM Business Radio, n o 1 news station for premium targets Based on affinity index with managers & executives with income > 65K Based on affinity index with managers & executives by income bracket Total radio Source: Audipresse Premium 2014 Regular audience Managers and executives Annual income by household Mon-Fri 15
Highlights Digital Division Operating loss reduced of 1.2 m 5.8 m unique visitors 3.1 m unique visitors 2.2 m Facebook fans 1.5 m Twitter fans Revenue of 14.6 m for the Digital division, down 3% vs. 2013 Structural change in the digital market Decline in traditional display formats in favour of mobile and video Negative EBITDA of 2.4 m in 2014, up 1.2 m vs. 2013 BFMTV, France's n o 6 news website in February 2015 Acceleration of growth in video and mobile audiences 01net.com, number 1 for high tech news Record 62 million videos viewed for 01netTV in 2014 Source: Annual average number of unique visitors, Médiamétrie // NetRatings Ranking of sites by number of visits, OJD February 2015 16
Highlights BFMTV.com BFMTV.com, France's leading online video news brand New record of 21.1 m videos viewed 41% audience share vs. 11.7% for the next competitor Number of videos viewed 2014 annual average Audience share (%) of total hours of video 2014 annual average Source: Médiamétrie // NetRatings 17
Highlights 01net.com 01net.com, number 1 for high tech news THE LEADING HIGH TECH NEWS BRAND 1 st dedicated high tech newsroom Independent testing agency 5.8 m UVs (desktop) Ahead of and THE 01NET.COM VIDEO CHANNEL 62 m videos viewed in 2014 (up 83%) > 1 m videos viewed in 1 week during the Las Vegas CES in January 2015 > 170,000 subscribers NUMBER 1 FOR DOWNLOADING 165 m downloads in 2015 65,000 free applications classified by topic Source: Médiamétrie // NetRatings, publishers' data 18
3. Presentation of results 19
Key figures by division 20
TV division since 2007 NextRadioTV, an organic growth model First full year RMC Découverte +23% First full-year for BFM Business TV +33% +19% +50% +95% +61% +36% Revenue m EBITDA m Note: Data published without reallocating the rental charges and structure costs of the Print division sold on 1 October 2013 in financial years prior to 2012 21
Radio division since 2007 NextRadioTV, an organic growth model +5% +4% +10% +4% +8% +2% +4% Revenue m EBITDA m EBITDA margin % Note: Data published without reallocating the rental charges and structure costs of the Print division sold on 1 October 2013 in financial years prior to 2012 22
Consolidated income statement EBITDA: Profit from recurring operations after net amortisation of programmes, presented in other expenses, and before other net amortisation and depreciation charges and bonus shares IFRS EBITDA: Profit from recurring operations before net amortisation and depreciation charges and bonus shares 23
Consolidated balance sheet Note: Restatement of documentaries to operating WCR 24
Sound financial position at 31 December 2014 ( millions) Analysis of financial debt Total debt: 38.8 m Net debt: 17.7 m Total available cash: 53.4 m Other debt Finance leases Bank facilities and revolving credit 2015 Bank borrowings (revolving facilities) Cash and cash equivalents 25
Financial debt, share buyback and dividends Sound financial position at 31 December 2014 Net debt and cash and cash equivalents at 31 Dec. m Share buyback and cash dividends m 55.6 55.3 59.3 Total over 7 years: 34.7 m 44.7 44.3 44.8 38.8 0.1 26
Dividends Continued increase in dividends Dividends per share Dividends m 46% of 2014 net profit * +20% In shares In cash +20% +21% +16% +25% +10% +20% +15% * +20% +20% Dividend proposed to the Shareholders' General Meeting 27
Cash flow statement Note: Restatement of purchases of documentaries to WCR 28
4. Outlook 29
Outlook TV Division Make the TV Division the Group s leading contributor Ramp up the synergies between the 3 channels LT goal: TV margin > 25% Market share gains due to the premium audience structure Continue the TV-Radio-Digital-Events growth strategy Break-even point by 2016 for RMC Découverte Targeting 1.5% audience share by the end of 2015 Reduction of losses in 2015 before achieving profitability in 2016 Expected growth in TV revenue in Q1 2015 > 20% 30
Outlook TV Division Accelerate the conversion of audience shares into revenues In average annual audience share and market share for 2014 (%) Power ratio 1.0% AS Other Other 0.6% MS 2.0% AS 2.4% MS Other Source: Médiamétrie, Estimated net spending / UDA / IREP 2014 31
Outlook BFMTV BFMTV, n o 1 for exclusive and active advertisers Number of exclusive advertisers in 2014 Number of active advertisers in 2014 Source: Kantar Média 32
2015 major events Outlook BFM Business TV 01BUSINESS FORUM 1 ST EDITION 4 February 2015 Support the digital transformation More than 400 CEOs to attend GRANDS PRIX DE LA 1 ST EDITION BOURSE 9 February 2015 The key stock exchange event 250 CEOs and industry specialists GRANDS PRIX DE 1 ST EDITION L EXPORT 23 March 2015 Rewarding export success 250 CEOs and industry specialists BFM ACADÉMIE 1 st half of 2015 Leading radio-tv competition for business creators More than 550 entrepreneur participants in 9 years 10 TH EDITION 11 TH EDITION BFM AWARDS November 2015 Distinguishing success and innovative spirit With more than 1,500 participants 33
Outlook RMC Découverte Capitalise on the success of Top Gear with the launch of Top Gear France International success The most-watched factual TV programme in the world (1) 22 seasons and 350 million viewers in 214 countries 1 st adaptation in Europe Season 1: 10 episodes of 60 mins Sets and topics shot in France (1) Guinness Book of Records 2013, "factual" category 34
Outlook Radio Division Consolidation of Radio business profitability (34% margin) Continued deployment of RMC's audience No frequency in 18 of the 55 cities with a population > 100,000 Develop multimedia audiences Successfully cover the 2015 Rugby World Cup Capitalise on the upper socio-economic categories to recruit new advertisers Continue the TV-Radio-Digital-Events growth strategy Decline in Radio revenue in Q1 2015 but return to growth in March 35
Outlook Radio Division RMC & BFM Business in the Top 5 for exclusive and active advertisers Number of exclusive advertisers in 2014 Number of active advertisers in 2014 Source: Kantar Média 36
Outlook Digital Division Assert BFMTV as THE leading online news brand New BFMTV.com portal in March 2015 4 times more content every day Launch of new editorial verticals Double BFMTV.com's desktop, mobile and video audience Technical and editorial overhaul of 01net.com Digital revenue expected to decrease in Q1 2015 Targeting a reduced loss in 2015 and breaking even in 2016 New business strategy and return of investment 37
Outlook Digital Division The transformation of display is accelerating due to video and mobile Analysis of display by formats ( m and % display) Analysis of display by device ( m and % display) 65% GROWTH IN VIDEO Video 224 m 28% Mobile & Tablets 142 m 17% 80% GROWTH IN MOBILE IPTV 16 m 2% FORMATS DEVICES OPS 77 m 9% Traditional 512 m 63% Desktop 655 m 81% French display market: 813 m in 2014 Source: Obsepub 2014 Report 13 th edition January 2015 French advertising market 38
5. Appendices 39
FY key figures TV EBITDA: Profit from recurring operations after net amortisation of programmes, presented in other expenses, and before other net amortisation and depreciation charges and bonus shares IFRS EBITDA: Profit from recurring operations before net amortisation and depreciation charges and bonus shares 40
Highlights RMC Découverte RMC Découverte, the HD DTT leader for its core target audience Leader across 4+, under 50, upper socio-economic categories and all male targets TOP GEAR 11 Feb. 2015 at prime time 480,000 viewers N o 2 DTT channel in France for 25-49 year-old men ENCHERES A TOUT PRIX on 8 March 2015 during day time 437,000 viewers Leading DTT channel for upper socio-economic categories NAZI MÉGASTRUCTURES on 5 Sept. 2014 at prime time 411,000 viewers incl. almost 1/3 upper socio-economic categories LES CONSTRUCTEURS DE L EXTRÊME on 11 Jan. 2015 at prime time 387,000 viewers incl. more than half 25-49 year-old viewers Source: Médiamétrie Médiamat Extrapolated average ratings 2014-2015 to date 4 + 41
Outlook RMC Découverte Becoming the leader for documentary VOD in France Acquisition of VODEO in Q1 2015 VOD / SVOD platform More than 5,000 programmes 3,000 SVOD subscribers Selling via the Internet, itunes and ISPs Launch of RMC Découverte as VOD To enhance the current TV offering Technical synergies with Digital VOD: Video on demand SVOD: Subscription video on demand 42
FY key figures Radio 43
FY key figures Digital 44
Highlights BFMTV.com BFMTV.com in the Top 10 mobile news applications Number of unique visitors February 2015 Mobile ranking March 2015 Tablet ranking March 2015 Source: OJD ranking of mobile news applications itunes store ranking of mobile and tablet applications in the news category 45
Shareholding structure at 27 February 2015 Total number of shares: 16,095,978 Total number of exercisable voting rights (1) : 24,293,879 Market capitalisation: 428 m NextRadioTV share price: 26.55 Total number of share warrants: 2,420,000 Number of shares per warrant: 1,183 Exercise price 21.23 Number of underlying shares (2) : 2,862,860 (1) Number of voting rights at 27 February 2015 excluding treasury shares and shares held as part of the liquidity contract (2) The plan to exchange the share warrants against new shares is expected to be submitted for approval to the Board of Directors in April 2014 and to the AGM scheduled for 21 May 2015 46
Share price performance The share outperformed the market At 27 February 2015 Restated 26.55 23.23 19.53 19.10 16.98 15.04 47
Major aggregates EBITDA: Profit from recurring operations after net amortisation of programmes, presented in other expenses, and before other net amortisation and depreciation charges and bonus shares IFRS EBITDA: Profit from recurring operations before net amortisation and depreciation charges and bonus shares EBIT: Profit from recurring operations before bonus shares Restated net profit: net profit restated for non-recurring items 48
Financial communication agenda 2015 Q1 revenue Thursday 16 April 2015 Annual General Meeting Thursday 21 May 2015 2015 HY1 revenue and results Wednesday 29 July 2015 2015 Q3 revenue Thursday 15 October 2015 49
Disclaimer Statements contained in this document, particularly those concerning forecasts on future NextRadioTV Group performance, are potentially subject to various risks and uncertainties. Any reference to NextRadioTV Group s past performance should not be interpreted as an indicator of future performance. Audit procedures on the consolidated and parent company financial statements have been completed. The auditors report will be issued once the necessary procedures for the publication of the annual financial report have been finalised. The Board of Directors, at the meeting of 18 March 2015, also reviewed and approved the parent company and consolidated financial statements for the financial year ended 31 December 2014. 50
Notes 51