Mediaset Roadshow. 18 th 21 st April 2016

Transcription

1 Mediaset Roadshow 18 th 21 st April 2016

2 FY 2015 Broadcasting & Advertising

3 ITALY FY 2015 Economic scenario & advertising market HIGHLIGHTS MACRO ECONOMIC KEY INDICATORS ARE SLIGHTLY BUT CONTINUOUSLY IMPROVING BUSINESS AND CONSUMER CONFIDENCE INDEXES ARE GROWING EVEN BETTER THAN KEY ECONOMIC INDICATORS COMBINATION OF REAL HARD FACTS WITH POSITIVE MARKET SENTIMENT HELP ADVERTISING DYNAMICS: FIRST WEAK POSITIVE SIGNALS AFTER YEARS OF RECESSION GROWTH DRIVER IS VAD DYNAMICS, I.E. VIDEO AUDIO DIGITAL PARADIGM IN ADVERTISERS STRATEGIES 3

4 ITALY FY 2015 Advertising trend & Media dynamics More than 80% of adv expenditure is represented by VAD (Video, Audio & Digital) it TV, RADIO e DIGITAL 3 Other media 16.3 Press TV Radio 27.7 Digital Source: AC Nielsen official audited data + AC Nielsen estimates for Digital non audited segments (social & search) 4

5 ITALY FY 2015 Advertising trend by Medium TOTAL TELEVISION TOTAL RADIO INTERNET PREMIUM PUBLISHER INTERNET REST OF MKT (NON AUDITED) TOTAL INTERNET NEWSPAPERS MAGAZINES OUT OF HOME CINEMA TOTAL MEDIA TOTAL MEDIA W/O DIGITAL N.A , , Note: Press includes all adv typolgies. Out of home includes Out of home + Outdoor Source: AC Nielsen il official i audited d data + AC Nielsen il estimates for Digital ii non audited d segments (social l& search) 5

6 MEDIASET FY 2015 Performance on core business HIGHLIGHTS GOOD COMBINED PERFORMANCE MAINSTREAM VS MULTICHANNEL AUDIENCE CONSOLIDATES LEADERSHIP ON COMMERCIAL TARGET BETTER THAN MARKET PERFORMANCE BOTH FOR REVENUE TREND AND MKT SHARE DYNAMICS BETTER THAN DIRECT COMPETITORS, IN CORE MAINSTREAM TV AND IN PAY TV CONSOLIDATED POWER RATIO (ADVERTISING SHARE VS GRP S SHARE) SECTOR ANALYSIS : EVIDENCE OF INCREASING SHARE PENETRATION & BETTER THAN MARKET PERFORMANCE IN KEY SECTORS (GROWING SECTORS AS RETAIL AND PHARMA AND CORE SECTORS ASFMCG & AUTOMOTIVE) 6

7 ITALY FY 2015 TV-related consumption 2015 vs 2014 AVERAGE DAILY TV RELATED CONSUMPTION FULL DAY LINEAR TV 71,7% OF DAILY TIME BUDGET FOR ADULTS+15 VIEWERS 4 + YEARS (in minutes) % 7.7% 4.5% 16.1% 1% Source: Auditel Source: Tssp Gfk/Eurisko 7

8 ITALY FY 2015 Daily time budget Italian Population Ad. +14 Tot: 311 Ad. 15/64 Tot: 305 Ad. 15/34 Tot: LINEAR TV RADIO NATIONAL ONLY PRESS DIGITALPC PC+MOBILE Source: Tssp Gfk/Eurisko 8

9 ITALY FY 2015 TV-related consumption 2015 vs 2014 AVERAGEDAILYTV RELATED CONSUMPTION CLASSIC LINEAR TV 2014 CLASSIC LINEAR TV 2015 ONLINE TV RELATED VIEWERS 4+ YEARS (in minutes) YEARS (in minutes) YEARS (in minutes) Source: Auditel + elaboration on Audiweb data

10 ITALY FY 2015 TV Audience share Core channels vs Multichannels Commercial Target, 15-64, 24 hours Rai 0.6 Other La ,1 36,2 Mediaset 0,6 CORE CHANNELS Mediaset 27,6 26,9 Rai 25,3 24,7 La7 2,6 2,5 MULTICHANNELS Mediaset DTT (Free+Pay) 9,1 9,2 13 Rai DTT 6,8 6, Discovery** 6,8 7,5 Sky Channels 6,6 7,0 Sky+Fox Fox Channels 2,0 1,8 Discovery La7 D 0,6 0,6 Source: Auditel 10

11 ITALY FY 2015 Advertising revenues Progressive and trend Rai 0,6 pts 20.6 L7 La7 0,4 pts 3,9 CORE CHANNELS Mediaset Rai La7 67,9% 26,2% 59% 5,9% 68,7% 25,8% 55% 5,5% MULTICHANNELS FREE Discovery 6.2 Mediaset Mediaset 37,9% 35,1% +1,1 pts + 0,2 pts Rai 15,2% 13,3% Discovery 35,1% 37,2% Sky 11,7% 14,3% Sky+Fox 0,2 pts 11.7 MULTICHANNELS PAY Mediaset Discovery 20,2% 1,8% 22,9% 1,7% Sky 78,0% 75,4% Source:Nielsen 11

12 MEDIASET FY 2015 Total advertising revenues Euro ml ,0% Euro ml

13 ITALY FY 2015 Trade and consumption AdEx Vl Volume 12M15 vs 12M14 FMCG Food Housekeeping Personal care BRANDED FMCG PRIVATE LABEL AUTOMOTIVE CLOTHING TELECOMS SALES +1.2% +1.4% +1.8% +0,8% +1.0% +1.7% +15.7% +0.9% +3.3% ADEX +4.6% +7.3% +8.8% 1.8% +4.6% +0.0% 5,3% 8.3% Source: Nielsen, Confcommercio, UNRAE 13

14 ITALY FY 2015 Advertising Breakdown by Sector Other 13.7% 3.8% MDS TREND better than Total Adv Market MDS SHARE better than Total Adv Market 17.5% Retail +18.7% 24.8% 5.9% Food +10.0% Pharma +9.6% Media 9.2% 7.3% 47% 4.7% 11.5% 9.2% 15.4% No Food 1.6% Auto +5.8% TLC 8.8% Source: Nielsen 14

15 MEDIASET FY 2015 Adv evolution: diversification and development HIGHLIGHTS PROTECTION OF CORE BUSINESS VIA DEVELOPMENT OF A DIVERSIFIED OFFER VIDEO STRATEGY OFFER TV & DIGITAL SINERGY AUDIO VIDEO OFFER TV & RADIO SINERGY ADVERTISING & CONTENT MKTG SINERGY CROSS SELLING OPPORTUNITY TV CORE BUSINESS TV & CROSSMEDIA SINERGY Positive Revenue Growth 2015 Combined Video & Audio Leadership Rev.Share Increase (Free & Pay) Over 90% Combined Audience Reach Monetization i Power Ratio Delivery l vs All Target Audiences TV & DIGITAL SINERGY 17 % Premium Publisher Mkt 75 % Digital Audience Reach Yahoo & Shazam Partnerships ADV & CONTENT MKTG SINERGY CrossMedia Branded Integration 2,5% turnover contribution % y.o.y growth 15

16 FY 2015 Financials

17 MEDIASET GROUP FY 2015 P&L Highlights (Euro ml.) FY 2014 FY 2015 Net Consolidated Revenues Italy Spain 3, , , , EBITDA Italy Spain EBIT Italy Spain 1, , NET PROFIT (adjusted)* NET PROFIT (reported) Group Net Financial Position Italy Spain (861.3) (1,127.0) (859.4) (1,051.8) * 2015 net result has been affected by a one-off of 24.9 millions coming from the remeasurement of deferred tax assets due to the reduction in the tax rate, from 27.7% 7% to 24%, scheduled d from 2017, introduced d by the 2016 Stability Law. (Law of 2015, 28th december n.208). 17

18 MEDIASET ITALIAN BUSINESS FY 2015 Integrated Tv activities (Euro ml.) FY 2014 FY 2015 Total Net Revenues Total Gross advertising revenues Commissions Total Net Advertising Revenues Pay Tv Revenues Other Revenues Total Costs Personel costs Other operating costs Total Operating Costs Rights Amortisation Other Amortisation & Depreciation Intra-company items Integrated Tv Activities Operating profit 2, , , ,002.8 (288.4) (292.9) 1, , (2,390.0) 0) (2,536.8) (388.1) ( ) (1,390.8) (373.3) (1,113.9) (1,487.2) (724.9) (792.3) (97.5) (80.4) (176.8) (176.9) 38.6 (46.9) 18

19 MEDIASET ITALIAN BUSINESS FY 2015 Investments FY 2014 FY 2015 (Euro ml.) TV rights and cinema Technical & immaterial i Sports TV rights 1, ,502.5 Total Investments

20 MEDIASET ITALIAN BUSINESS FY 2015 Cash flow statement (Euro ml.) FY 2014 FY 2015 Initial Net Financial Position (01/01) Cash Flow from Core Activities Cash Flow from Operations Investments Disinvestments Change in Net Working Capital (CNWC) Equity (investment)/ disinvestment Free Cash Flow Payed dividends Cashed-in dividends Change in consolidation area Total Net Cash Flow Final Net Financial Position (31/12) (1,552.5) (1,502.5) (16.6) 6) (1,127.0) (1,127.0) (549.3) (203.0) (41.3) 22.5 (85.4) 75.2 (1,051.8) Group Final Net Financial Position (31/12) Proposed Dividends to be confirmed by the AGM (861.3) 22.7 (859.4)

21 Back up

22 MEDIASET ITALIAN BUSINESS FY 2015 P&L results (Euro ml.) FY 2014 FY 2015 Net Consolidated Revenues Personnel Costs Other Operating Costs EBITDA Rights Amortisation Other Amortisation & Depreciation Operating Profit Financial Income (Losses) Associates Pre-Tax Profit Taxes Minorities NET PROFIT (adjusted)** NET PROFIT (reported) 2,483.4 (431.3) (1,082.3) (724.9) (140.5) (70.4) (31.7) (20.3) ,554.2 (415.5) (1,199.9) (792.3) (119.7) 26.8 (49.4) 1.1 (21.4) (33.7) (19.2) (49.5) (74.4) * 2015 net result has been affected by a one-off of 24.9 millions coming from the remeasurement of deferred tax assets due to the reduction in the tax rate, from 27.7% to 24%, scheduled from 2017, introduced by the 2016 Stability Law. (Law of 2015, 28th december n.208). Note: 2014 figures has been restated due to Purchase Price Allocation policy over the value of EI Towers 2014 acquisitions 22

23 MEDIASET ITALIAN BUSINESS FY 2015 EI Towers (Euro ml.) FY 2014 FY 2015 Total Net Revenues Third-Party Revenues Intra-company items Total Costs Personnel Other operating Costs Other Amortisation & Depreciation Intra-company items EI Towers Operating Profit (169.3) (43.3) (79.6) (43.1) (3.4) (170.8) (42.2) (86.0) (39.3) (3.3) 73.7 Note: 2014 Results restated due to Purchase Price Allocation 23

24 MEDIASET ITALIAN BUSINESS FY 2015 Balance Sheet (Euro ml.) FY 2014 FY 2015 Film & Television Rights 2, ,017.9 Goodwill and consolidation differences Other tangible and intangible assets Equity investments & Financial assets 1, ,028.7 Net working capital & other assets/liabilities (805.7) (652.3) Post-employment benefit plans Net Invested Capital Group shareholders equity Minority interests Total Shareholders equity (96.9) 3, , ,446.2 (89.1) 3, , ,468.2 Net financial position (1,127.0) (1,051.8) Note: 2014 Figures restated due to Purchase Price Allocation policy over the value of EI Towers 2014 acquisitions 24

25 MEDIASET SPANISH BUSINESS Back up Slides

26 MEDIASET ESPANA FY 2015 P&L Results (Euro ml.) FY 2014 FY 2015 Net Consolidated Revenues Personnel Costs Other Operating Costs EBITDA Amortisation & Depreciation EBIT Financial Income (Losses) Associates Pre-Tax Profit Taxes Net Profit (106.2) (462.8) (218.3) (59.2) (30.0) (105.0) 0) (439.1) (222.7) (53.2)

27 MEDIASET ESPANA FY 2015 Investments FY 2014 FY 2015 (Euro ml.) Tv rights and cinema Co-production Tangible & Intangible fixed assets Total Investments 27

28 MEDIASET ESPANA FY 2015 Cash Flow Statement (Euro ml.) FY 2014 FY 2015 Initial Net Financial Position Free Cash Flow - Cash Flow from Operations - Investments/Disinvestment t i t t - Change in Net Working Capital (CNWC) Change in Equity Equity (Investments)/Disinvest. Cashed in Dividends Dividends Own stock purchase Total Net Cash Flow Final Net Financial Position (31/12) (203.3) 3) (8.6) (307.5) (193.2) (8.6) 1.1 (9.1) 2.1 (47.5) (238.6) (73.3) 3)

29 MEDIASET ESPANA FY 2015 Balance Sheet (Euro ml.) FY 2014 FY 2015 Film & Television Rights Goodwill and consolidation differences Other tangible and intangible assets Equity investments & Financial assets Net working capital & other assets/liabilities Post-employment benefit plans Net Invested Capital Group shareholders equity Minority interests Total Shareholders equity Net financial position , , , ,

30 MEDIASET GROUP FY 2015 P&L results (Euro ml.) FY 2014 FY 2015 Net Consolidated Revenues Personnel Costs Other Operating Costs EBITDA Rights Amortisation Other Amortisation & Depreciation Operating Profit Financial Income (Losses) Associates Pre-Tax Profit Taxes Minorities NET PROFIT (adjusted)** NET PROFIT (reported)* 3,414.4 (537.5) (1,544.5) 1,332.4 (924.1) (159.7) (70.4) (39.8) (61.7) (53.3) ,524.8 (520.5) (1,638.4) 1,365.9 (997.3) (137.2) (49.3) (86.6) (106.6) * 2015 net result has been affected by a one-off of 24.9 millions coming from the remeasurement of deferred tax assets due to the reduction in the tax rate, from 27.7% 7% to 24%, scheduled from 2017, introduced by the 2016 Stability Law. (Law of 2015, 28th december n.208). 30

31 MEDIASET GROUP FY 2015 Consolidated Balance Sheet (Euro ml.) Film & Television Rights Goodwill and consolidation differences Other tangible and intangible assets Equity investments & Financial assets Net working capital & other assets/liabilities Post-employment benefit plans Net Invested Capital Group shareholders equity Minority interests Total Shareholders equity Net financial position FY , , (680.0) (96.9) 3, , ,045.5 (861.3) FY , , (556.8) (89.1) 3, , ,947.8 (859.4) 31

32 Mediaset - Vivendi Strategic Alliance Deal s details

33 MEDIASET VIVENDI Deal structure The strategic nature of the alliance is strengthened by an exchange of shares between Mediaset and Vivendi Groups The deal is articulated in 2 transactions due to be executed simultaneously: 1. Mediaset will transfer 41.3ml treasury shares to Vivendi, corresponding to 3.50% of the company s share capital, based on a price of 3.32 (*) per share. In exchange, Mediaset will receive 7.4 ml existing (treasury) or newly issued Vivendi shares, equal to 0.54% of Vivendi s share capital, based on a price of (*) () per share. At the same time, 2. RTI will transfer to Vivendi 100% of the share capital of Mediaset Premium in exchange of 40.5 ml existing (treasury) or newly issued Vivendi shares, corresponding to 2.96% of Vivendi s share capital, based on a price of (*) per share. Mediaset Premium equity value has been determined assuming a target NFP at the closing date of 120 ml cash. Vivendi, Mediaset and RTI have committed themselves on a three-year lock-up agreement on the respective listed shares. Pursuant to the Shareholders Agreement and the by-laws of Mediaset Premium, Mediaset has a drag-along right over the 11.11% stake owned by Telefonica The agreement between Mediaset and Vivendi is subject to the necessary authorisations of the relevant Antitrust authorities. Closing date is expected by September 30 th (*) () last three months average closing price (Jan 8th 2016 Apr 7th 2016) 33

34 FY 2015 Main P&L Pro-forma data (ex Mediaset Premium SpA) (Euro ml.) Integrated TV Italian Business Group Total Net Revenues Total Gross advertising revenues Commissions Total Net Advertising Revenues Other Revenues Third-Party EI Towers Revenues Total Costs Personel costs Other operating costs TtlO Total Operating Costs Rights Amortisation Other Amortisation & Depreciation Intra-company items Operating profit 2, , , , ,002.8 (292.9) (292.9) 1, , (1,973.0) (1,963.6) 6) (2,729.6) (344.5) (911.1) (1,255.6) (386.7) (997.1) (1,383.8) 8) (491.7) (1,435.6) (1,927.3) (472.8) (472.8) (677.8) (67.7) (107.0) (124.5) (176.9) Pro forma data have been prepared on the basis of the 2015 audited d accounts 34

35 Investor Relations Department: Tel: Fax: WebSite: it/i t Forward-looking Statements Statements contained in this document, particularly the ones regarding any Mediaset Group possible or assumed future performance, are or may be forward looking statements and in this respect they involve some risks and uncertainties. Mediaset Group actual results and developments may differ materially from the ones expressed or implied by the above statements depending on a variety of factors. Any reference to past performance of Mediaset Group shall not be taken as an indication of future performance. This announcement does not constitute an offer to sell or the solicitation of an offer to buy the securities discussed herein. The executive responsible for the preparation of the Mediaset S.p.A. accounts, Luca Marconcini, declares that, as per para. 2 art. 154-bis, of the Testo Unico della Finanza, that the accounting information contained in this document corresponds to that contained in the company s books.