Gruppo24 ORE: Small Cap Conference

Transcription

1 Gruppo24 ORE: Small Cap Conference 29 November 2012

2 Disclaimer This presentation contains statements that constitute forward-looking statements based on Il Sole 24 ORE S.p.A. s current expectations and projections about future events and does not constitute an offer or solicitation for the sale, purchase or acquisition of securities of any of the companies mentioned and is directed to professionals of the financial community. These statements appear in a number of places in this presentation and include statements regarding the intent, belief or current expectations of the customer base, estimates regarding future growth in the different business lines and the global business, market share, financial results and other aspects of the activities and situations relating to the Company. Such forward looking statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ materially from those expressed in or implied by these forward looking statements asaresultsofvariousfactors,manyofwhicharebeyondtheabilityofilsole24ores.p.a.tocontrolorestimate precisely. Consequently it is recommended that they be viewed as indicative only. Analysts are cautioned not to place undue reliance on those forward looking statements, which speak only as of the date of this presentation. Il Sole 24 ORE S.p.A. undertakes no obligation to release publicity the results of any revisions to these forward looking statements which may be made to reflect events and circumstances after the date of this presentation, including, without limitations, changes in Il Sole 24 ORE S.p.A. business or acquisition strategy or to reflect the occurrence of unanticipated events. STATEMENT The Manager mandated to draft corporate accounting documents of Il Sole 24 ORE S.p.A. Massimo Luca Arioli, attests as per art.154-bis comma 2 of the Testo Unico della Finanza (dlgs.58/1998) that all the accounting information contained in this presentation correspond to the documented results, books and accounting of the Company. 2

3 Agenda Gruppo 24 ORE Overview Key Financial Data Financial data by divisions Appendix 3

4 Gruppo 24 ORE Overview A UNIQUELY DIVERSIFIED PROFESSIONAL PUBLISHER An unrivalled, strong and authoritative brand synonymous of trusted and high quality content with a top quality customer base our products are a must have for professionals and business people A multi-platform publisher with a leading position in core markets Listed in Milan (FTSE Italia All Share Index) Market Capitalization (*) of approximately 69m FY2011 consolidated revenues totalled 467.6m Approximately 1,858 employees (**) (*) As at 26 November It includes 90m ordinary shares owned by Confindustria the leading organization of Italian enterpreneurs with 149,288 member companies of all sizes (**) As at 30 September

5 Gruppo 24 ORE Overview 5

6 Gruppo 24 ORE Overview Newspaper Publishing System (Advertising) Digital Professional Publishing Radio Culture Daily Newspaper Magazines Books Databases Add-ons Software Education & Training Radio Add-ons Press agency Cultural products & events Third parties products & services Web, Mobile & Video Third-party media E-Shop 6

7 Gruppo 24 ORE: Structure as at 30 September 2012 Il Sole 24 ORE S.p.A. 24 ORE Cultura S.r.l. 100% Alinari24 ORE S.p.A. in liquidation 55% Shopping 24 S.r.l. 100% Business Media Web S.r.l. in liquidation 60% Diamante S.p.A. 75,02% Nuova Radio S.p.A. 100% Il Sole 24 ORE UK Ltd 100% Newton Management Innovation S.p.A. 60% Newton Lab S.r.l. 51% Italia News S.r.l. in liquidation 20% Innovare24 S.p.A. 100% Fabbrica24 S.r.l. 100% Signet S.r.l. 70% Lambdago S.r.l. 70% 30% Esa Software S.p.A. 70% Cesaco S.r.l. 48% MondoesaMilano Nordovest S.r.l 49% Mondoesa Lazio S.r.l. 35% Mondoesa Laghi S.r.l. 33,7% Aldebra S.p.A 19,39% Mondoesa Emilia S.r.l. 40% Source: Interim Management Statement as at 30 September 2012 Companiesincludedin the scope of consolidation 7

8 Gruppo 24 ORE Top Management 8

9 Agenda Gruppo 24 ORE Overview Key Financial Data Financial data by divisions Appendix 9

10 Highlights Consolidated revenue million euro, down 6.7% due mainly to the advertising market trend Gross Operating Profit (EBITDA) million euro, affected by the drop in advertising revenue, by higher charges from increased postage rates (+15.2% normal rate and +24% Saturday rate), by production costs from the rise in raw materials, and by costs for the organization of exhibitions and trade fairs, generating a decrease of 25.7 million euro versus 30 September 2011 Result attributable to the owners of the parent-22.7 million euro, down 10.2 million euro versus the same period of 2011 Positive net financial position of 28 million euro Positive performance of newspaper circulation revenue bucking the market trend(+0.9 million euro) Growth of print media circulation: +2.2% in first nine months of 2012 (in-house measurement based on new ADS data). PDF and ipad subscriptions on the rise: +95%. Paid digital subscriptions over 37,000 The website in the nine months grows by +49.5% in average daily unique browsers and by +74.5% in average daily page views. The mobile version of the website in the first nine months of 2012 grows by 125.3% in average daily unique browsers and by % in average daily page views(nielsen Site Census) Ebitda approximately 29% of Tax&legal revenue, in line with the same period last year, thanks to the remarkable performance of digital revenue, up from 42% to 51% of total, despite the crisis affecting relevant markets Group digital revenue contributes 25.3% of total revenue, rising versus the 23.8% of the first nine months of 2011 System advertising sales lose 12.6% versus the market s -10.5% (Nielsen). System outperforms the market with IlSole24ore.com net of funds at +15.3% versus the market s +14.7% display typology (FCP AssoInternet) and with Radio(-3.5% versus-7.4%) Radio 24 remains one of the Top Ten most popular national radio stations with 1,872,000 listeners. Its market shareinsecondsmovesupfrom8.2%of2011to8.3%at30september2012(euriskoradiomonitorsurvey) Good performance of software products branded Il Sole 24 ORE(revenue +0.6%) Investor Relations 10

11 Key Financial Data 11

12 Revenues & EBITDA Breakdown 12

13 Agenda Gruppo 24 ORE Overview Key Financial Data Financial data by divisions Appendix 13

14 Newspaper Publishing Newspaper Circulation: +2.2% vs. 9M11 (in-house measurement based on new ADS data) Ipad and pdfsubscribers still increasing: +95.0% vs. December 2011 More than paying digital subscribers Highlights 9M12 revenues and ebitda strongly affected by still deteriorating advertising market conditions Positive trend in newspaper circulation revenue (+ 0.9m), boosted by new publishing ventures, has partially offset decline in advertising revenues Declining trend for add-ons (-6.9%) and monthly magazines (-30.4%) affected also by the closing of Ventiquattro Newspaper offer reshaping with launch of Impresa & Territori, Moda 24 and Rapporti 24 and L estate roventeconiltuoamicosole,aseriesofadd-onsaimedathelpingthepublictobetterunderstandandcope with the economic turmoil Continued success in the organization of big professional events(telefisco, Tuttopensioni, Forum lavoro, i.e.) 14

15 System (Advertising) Advertising yoy by Area vs Market* G. 24 ORE Radio: -3.5% Online: +13.5% (**). Newspaper % (*) Source Nielsen Media Research Jan Aug 2012 for market data (**) Internet revenues net of funds Highlights. VS. Market -7.4% +11.0% -13.9% Decrease in revenues(-12.5%) affected by the strong reduction in legal, financial and funds advertising Positive performance in the revenues from the web site advertising collection: +15.3% vs. display advertising market at +14.7% Advertising collection on Radio 24, although declining, still outperforms the reference market:-3.5% vs.-7.4% 15

16 Digital Increase in advertising collection and digital subscriptionshave positively affected revenues: +7.0% yoy Overall applications download > 690K(newspaper app > 408k) Rising trend for all users KPIs and social network presence (150k Facebook fans and more than 470k Twitter followers) Highlights Average daily unique browser % and average daily page views +74.5% vs. 9M11 on the site.com (source Nielsen Site Census) Web site mobile version % average daily unique browsers and % average daily page views (source Nielsen Site Census) E-commerce platform revenues increase by +17% in first nine months 2012 Fabbrica24, incubator of new advertising and e-commerce initiatives active since April 2012, after the launch of Sugarbox (subscribe commerce) and the acquisition in the month of June of 70% of Inner Design (Interior Design community with e-commerce), in September has acquired 70% of the software house LambdaGo (owner of Twistargram) Launch of specialized web area ( collecting Group s digital offer related to guides and instant books Development and launch of new applications: Viaggi di Gusto, I Misteri dell Arte, inorme24, Cook_inc 16

17 Professional Publishing: Breakdown 17

18 Professional Publishing: Tax & Legal Decrease in revenues (-7.8% vs. 9M11) due to the decline in sales of paper products Steady profitability despite market transition Strong increase for online products and services revenues: +60.2% vs. 9M11 Highlights Increase in business area digital revenues +10.5% (electronic publishing and IT services). Digital Revenues on totalbusinessunitrevenues shiftfrom42%in9m11to51%in9m12 Strong focus on shift from paper to digital products still ongoing: digitization, both magazines online and single shot and subscription books launch of Professioni24, Ipad application which collects Riviste24 s magazines and database sale of digital magazines on Apple store and e-commerce channel and development of new sales channels as 24ore on demand launch of Ipad application for all Area databases and a specific one which provides a correlation betweencontentsofnormeetributi(newspaper)andthoseoftax&legal commercial network strengthening and specialization 18

19 Professional Publishing: Software Solutions Italian software market willclose 2012 with a decline of 4.4% (-4.1% in 2011, source Assinform estimates) Contraction of the Italian public administration market due to spending review measures Construction market still slowing down negatively affects STR business Highlights ILSOLE24ORESOFTWARE: Tax & Labour products revenues in line with 9M11(+0.6%) Increase in revenues for legal products: +13.3% STR: Revenues:-14.1% Delay in commercial negotiations due to the further slow down in the construction market ESA SOFTWARE: Revenues: -6.1% mainly due to SME crisis and launch of a one shot product (Com 3000) in 2011 that could not be replicated in 2012 DATA UFFICIO: Revenues: -38.4% due to Inpdap and INPS contracts expiration 19

20 Professional Publishing: Training & Events Business school: 67 masters and 3 executive masters managed Annual & Events: >10k participants at September 30 th 2012 Highlights Increase in revenues (+1.1% vs. 9M11) mainly due to Part Time Masters (+18.5% vs. 9M11), SME professionals education(+28.6% vs. 9M11) and Annual Education& Events(+26.0% yoy) E-learning: online courses sold and 97 online masters launched Good performance in revenues for Newton Management Innovation (+13.5% yoy) despite adverse market conditions, while Newton Lab suffers a decline of 11.9% yoy due to lower revenues from events 20

21 Radio Better than market performance for advertising revenues (-3.6% yoyvs. -7.4% yoyfor the market) affected by the drop of advertising collection in August Podcast downloadsgrowth at +67%vs. 9M11 reaching more than 8 millions downloads Highlights Increase in marketing revenues(+29.4%) supported by the ongoing projects with the European Community started in 2011 and the development of new initiatives and events 1, average daily listeners confirm Radio 24 to the tenth place in the ranking of Italian radio broadcasters(source Eurisko Radio Monitor research) Very good performance for the radio web site: increase both in average page views (>5Mn/mth, +7.6% yoy) and average unique users(270k users/mth, +21.0% yoy) 21

22 Culture Art Exhibitions launched: Pixar (Mantova) Joan Mirò(Roma) Marina Abramovic (Milano) Gustav Klimt (Venezia) Picasso (Milano) Highlights Strong increase in revenues(+72%) mainly due to the launch of successful exhibitions Multi-channel projects and synergies with newspaper still going on Launch of Minimum Design application, based on the series of books Maestri del design Since August, Alinari S.p.A. is in liquidation 22

23 Agenda Gruppo 24 ORE Overview Key Financial Data Financial data by divisions Appendix 23

24 Consolidated Balance Sheet 24

25 Consolidated Cash Flow 25

26 Consolidated Net Financial Position 26