2009 First Half Financial Results. September 2009

Transcription

1 2009 First Half Financial Results September 2009

2 Agenda Who we are Market trends Efficiency Enhancement Program 2009: 1st Half Results and EEP Update Details by Business Unit 2

3 RCS Positioning ITALY ITALY ITALY BRANDS SYSTEMS ITALY 2 nd Information Web Site in Italy Leader in National and Sport newspapers 2 nd Player in the fiction and non fiction market 12.5% Market share Leader in the education market 12.4% Market share 1 st Sport Information Web Site in Italy 1 st Information Web Site in Europe and 1 Spanish language Web Site worldwide 1 st Sport Informatiion Web Site in Spain 3 National Radios 8 mln listeners RCS stake: 37.2% 1 national private radiophonic group 2 nd Free Press National Title 19% Market share SPAIN 2 nd Player in terms of circulation 18% Market share 2 nd player in the partworks market FRANCE MULTIMEDIA SYSTEMS TV PRESS WEB Thematic TV Channels SPAIN Second national newspapers SPAIN CLASSIFIED Leader in Sport and Financial newspapers 18% Market share 4.9% Market share Note: market shares updated with latest available market data; Newspapers and Magazines in terms of circulation UK ON LINE & MOBILE ENT The leading international provider of web and mobile community and entertainment services in 23 countries Online Gaming 3 National Sport Radio DTT TV

4 Agenda Who we are Market trends Efficiency Enhancement Program 2009: 1st Half Results and EEP Update Details by Business Unit 4

5 Advertising Italy: Trend Advertising Gross Revenues, Million Euro YoY growth 5,397 4, % Cinema Outdoor Internet Radio % +2.0% Internet 904 Magazines % -33.4% Magazines Newspapers * % -24.8% Newspapers * Other 382 2,780 TV 2, % Other 310 * ExcludingFreePress TOTAL MARKET vs RCS Source: Nielsen Media Research 5

6 Advertising Spain: Trend Advertising Gross Revenues, Million Euro , , % YoY growth Cinema 5 Outdoor 179 Internet % Radio % 31 Sundays Magazines % -4.9% -25.9% -37.7% Internet Radio Magazines Newspapers % -37.5% Newspapers TV % TOTAL MARKET vs RCS Source: InfoAdex 6

7 Italian Newspapers Circulation: RCS vs. Market Circulation, copies/000 per day, May 08 Apr 09 YoY growth National Newspapers (1) % -9.7% Sport Newspapers % % MARKET RCS (1) Includes La Repubblica and Corriere della Sera Source: ADS + Internal Estimates 7

8 Spain Newspapers Circulation: RCS vs. Market Circulation, copies/000 per day, June 08 June 09 YoY growth Generalist Newspapers (1) % % 313 Sport Newspapers % % 278 Financial Newspapers % % 46 MARKET RCS (1) Includes newspapers with circulation > 100,000 copies Sources: OJD, Observatorio de Prensa Diaria 8

9 Books: RCS vs. Market MARKET Fiction and non-fiction Italy - Sales down -2.2% (-4.2% in terms of volume) - Revenues decreased by 6.9%, due to a change in publication schedule - Market Share at 12.5% Flammarion France - Market increased (+1.0% 1.0%), largely thanks to the success of Stephenie Meyer s books - Revenues decreased by 4.8% - Market share at 4.9% Partworks Italy and other countries - Number of launches decreased across Italy and mature markets (France, UK) - New launches grew in Eastern Europe and emerging markets (Russia, Ucraina and Japan) - Revenues, due to a decrease in new launches, declined in Italy and abroad by 43.1% Δ %, vs. 9

10 Agenda Who we are Market trends Efficiency Enhancement Program 2009: 1st Half Results and EEP Update Details by Business Unit 10

11 Efficiency Enhancement Program - Timing Million Euro May 14, 2009: Efficiency Enhancement Program launched to preserve profitability against the downturn in adv market. Total Recovery = 200 mln Savings 2009 additional savings estimate 2009 cumulative savings estimate steady state additional savings estimate steady state cumulative savings estimate steady state = aprox. 24 months 11

12 Efficiency Enhancement Program Details Total Recovery = 200 mln Euro 0-5% 10-15% CoGS 40-45% G&A 10-15% Production Costs Additional Revenues Others 25-30% 12

13 Agenda Who we are Market trends Efficiency Enhancement Program 2009: 1st Half Results and EEP Update Details by Business Unit 13

14 2009 1st Half Results - Summary Million Euro FY 2008 Total Revenues (1) 1, % 1, % 2, % EBITDA ex Non Recurring Items (1) % % % Non Recurring Items (26.6) (6.3) (23.3) (1) EBITDA % % % (1) EBIT (54.7) (5.0%) % % Net Profit (65.1) (6.0%) % % NFP (1156.9) (1260.0) (1146.8) 73 mln of SAVINGS related to the Efficiency Enhancement Program (1) The and the FY08 figures are restated: the UE s printing activities, La Coccinella and Economica SGPS are included as discontinued operations. 14

15 Efficiency Enhancement Program Update Update June 2009 Million Euro FY09E Steady State 56% % 100% 56% of total savings expected from the Efficiency Enhancement Program for 2009 already reached in the first half The FY09 target is reasonably expected to be exceeded 15

16 2009 1st Half Results - Profit & Loss Million Euro (1) Circulation % % Advertising % % Other % % TOTAL REVENUES 1, % 1, % Operating costs (805.5) (73.7%) (954.2) (70.9%) Labour costs (ex non recurring costs) (245.3) (22.5%) (260.5) (19.3%) Writedowns (9.8) (0.9%) (5.8) (0.4%) Provisions (3.1) (0.3%) (2.5) (0.2%) EBITDA ex Non Recurring Items % % Non recurring Items (26.6) (2.4%) (6.3) (0.5%) EBITDA % % D&A (48.3) (4.4%) (49.9) (3.7%) Writeoffs (8.6) (0.8%) EBIT (54.7) (5.0%) % Net financial incomes (charges) (15.8) (1.4%) (26.4) (2.0%) Income (charges) from investments (4.2) (0.4%) (4.6) (0.3%) PRE-TAX RESULT (74.7) (6.8%) % Taxes % (14.4) (1.1%) Net result from Discontinuing and Discontinued Operations (5.9) (0.5%) % Minorities % (0.8) (0.1%) NET RESULT (65.1) (6.0%) % (1) The costs and revenues of UE s printing activities, La Coccinella and Economica SGPS are included as discontinued operations. 16

17 2009 1st Half Results Breakdown Revenues & Ebitda Million Euro (1) (1) EX Non Recurring Items EX Non Recurring Items Revenues EBITDA ROS% Revenues EBITDA ROS% Revenues EBITDA ROS% Revenues EBITDA ROS% Newspapers Italy % % % % Newspapers Spain (6.6) (2.5%) % % % Magazines (3.5) (2.9%) (2.3) (1.9%) % % Advertising (4.1) (1.9%) (3.5) (1.6%) % % Books (3.6) (1.4%) (3.6) (1.4%) (6.0) (1.9%) (4.8) (1.5%) Dada % % % % Digicast % % % % Corporate Activities 31.0 (10.8) ns 31.0 (6.8) ns 31.9 (6.7) ns 31.9 (6.5) ns Others and eliminations (210.7) (1.3) ns (210.7) (1.3) ns (298.5) 0.0 ns (298.5) 0.0 ns TOTAL RCS 1, % 1, % 1, % 1, % (1) The costs and revenues of UE s printing activities, La Coccinella and Economica SGPS are included as discontinued operations. 17

18 2009 1st Half Results - Cash Flow Variance Million Euro NFP Acquisitions Disposals CAPEX Dividends Operating Cash Flow Others NFP UE s Printing Activities 39 mln Building Disposal (Madrid) 19 mln June

19 Balance Sheets Million Euro Net fixed assets 2, % 2, % Tangible & Intangible fixed assets 2, % 2, % Financial fixed assets % % Net working capital % % Reserve for risks and charges (221.4) (9.6%) (214.7) (9.1%) Employee termination indemnity (85.2) (3.7%) (88.8) (3.8%) Net invested capital: assets held for sale % % CAPITAL EMPLOYED 2, % 2, % Net financial debt (cash) 1, % 1, % Equity 1, % 1, % EQUITY & NFD 2, % 2, % 19

20 Agenda Who we are Market trends Efficiency Enhancement Program 2009: 1st Half Results and EEP Update Details by Business Unit 20

21 Newspapers Italy P&L Circ. 584,000 avg. daily copies Read. 2,907,000 per day Circ. 367,000 avg. daily copies Read. 3,706,000 per day Circ. 850,000 avg. daily copies Read. 1,986,000 per day 539 mln page views 14.7 mln unique users 176 mln page views 8.2 mln unique users Nielsen Online, SiteCensus, ADS + Internal Estimates, Audipress Million Euro YoY Circulation % % (7.3%) Advertising % % (21.0%) Other % % (3.8%) TOTAL REVENUES % % (13.6%) O/W Add-ons % % (4.7%) EBITDA ex NR Items % % (54.4%) Non Recurring Items (10.5) - EBITDA % % (71.6%) 21

22 Newspapers Spain - P&L Circ. 313,000 avg. daily copies Read. 1,342,000 per day Circ. 278,000 avg. daily copies Read. 2,767,000 per day Circ. 46,000 avg. daily copies Read. 188,000 per day mln page views 21.6 mln unique users 451 mln page views 19.2 mln unique users OJD, Infoadex, EGM Million Euro (1) YoY Circulation % % (9.1%) Advertising % % (35.3%) Other % % (30.9%) TOTAL REVENUES % % (23.1%) O/W Add-ons % % (44.7%) EBITDA ex NR Items % % (94.3%) Non Recurring Items (9.0) (2.5) EBITDA (6.6) (2.5%) % ns (1) The costs and revenues of UE s printing activities and Economica SGPS are included as discontinued operations. 22

23 Magazines - P&L (100%) (100%) (100%) (100%) 8 weekly magazines 22 monthly magazines New Media Million Euro YoY Circulation % % (9.9%) Advertising % % (30.0%) Other % % (3.4%) TOTAL REVENUES % % (20.2%) EBITDA ex NR Items (2.3) (1.9%) % ns Non Recurring Items (1.2) (0.6) EBITDA (3.5) (2.9%) % ns (1) 23

24 Books - P&L Million Euro YoY Fiction & non-fic. Italy % % (6.9%) Education % % (4.6%) Flammarion % % (4.8%) Partworks % % (43.1%) Rizzoli International % % (21.9%) Other % % 0.0% TOTAL REVENUES % % (19.9%) EBITDA ex NR Items (3.6) (1.4%) (4.8) -1.5% (25.0%) Non Recurring Items 0.0 (1.2) EBITDA (3.6) (1.4%) (6.0) -1.9% (40.0%) 24

25 Digicast TV Activities - P&L Million Euro YoY Advertising % % 30.8% Other % % (0.8%) TOTAL REVENUES % % 2.2% EBITDA ex NR Items % % (12.3%) Non Recurring Items (0.3) 0.0 EBITDA % % (16.9%) 25

26 Disclaimer Investor Relations Department Federica De Medici Salvatore Del Vecchio Forward-looking Statements Statements contained in this document, particularly the ones regarding any RCS MediaGroup possible or assumed future performance, are or may be forward looking statements and in this respect they involve some risks and uncertainties. RCS MediaGroup actual results and developments may differ materially from the ones expressed or implied by the following statements depending on a variety of factors. Any reference to past performance of RCS MediaGroup shall not be taken as an indication of future performance. This communication does not constitute an offer or solicitation for the sale, purchase or acquisition of securities of any of the companies mentioned in any jurisdiction and is directed to professionals of the financial community. Riccardo Stilli, the Manager responsible for drawing up the company s accounting statements, hereby declares, pursuant to article 154-bis, paragraph 2 of the Testo Unico della Finanza (Legislative Decree n. 58/1998), that the information contained in this presentation corresponds to those one contained in the group s documents and books accounting records. 26