Q quarterly report

Transcription

1 Q quarterly report

2 The GfK Group at a glance 2 GfK is one of the world s largest research companies, with more than 11,500 experts working to discover new insights into the way people live, think and shop, in over 100 markets, every day. GfK is constantly innovating and using the latest technologies and the most intelligent methodologies to give its clients the clearest understanding of the most important people in the world: their customers. In 2011, GfK s sales amounted to EUR 1.37 billion. in EUR million 1) Earnings situation 1. Quarter Change in % Sales ,373.9 Gross income from sales EBITDA Adjusted operating income Margin in per cent 2) Operating income EBIT Consolidated total income Basic earnings per share in EUR Adjusted earnings per share in EUR 3) Investment and finance Cash flow from operating activity Cash flow from investing activity Cash flow from financing activity Free cash flow after acquisitions, other investments and asset disposals Shares Share price at the end of the period in EUR Number of no-par shares at the end of the period in ,274 36, ,407 Stock market capitalization at the end of the period 1, , , Change as of in % Change as of in % Asset and capital position Total assets 1, , , , Equity Equity ratio Liquidity 4) Net debt 5) Employees No. of employees 11,457 11, ,860 11, Share of employees in the GfK companies outside Germany in per cent ) Rounded 2) Adjusted operating income in relation to sales 3) Consolidated total income attributable to equity holders of the parent plus highlighted items divided by the weighted average number of shares in the reporting period 4) Cash and cash equivalents plus securities and fixed-term deposits 5) Liabilities to banks plus pension obligations, liabilities under leases and other interest-bearing liabilities less cash and cash equivalents and securities and fixed-term deposits

3 Business development at a glance of GfK Group 3 Sales in EUR million Adjusted operating income in EUR million Month Change Month Change % % Earnings per share in EUR Cash flow from operating activity in EUR million Month Change Month Change % % Share of sectors in total sales in percent 1) 61.2 Consumer Experiences 38.4 Consumer Choices 0.5 Other Share of regions in total sales in percent 1) 41.2 Northern Europe 19.0 Southern & Western Europe 7.7 Central & Eastern Europe/META 4.2 Latin America 18.1 North America 9.7 Asia and the Pacific ) Figures from the Management-Information System rounded 1) Figures from the Management-Information System rounded

4 The sectors at a glance 4 Consumer Experiences The Consumer Experiences sector concentrates on consumers attitudes, perceptions and behavior and answers the questions who is buying, why they are buying and how they are buying. These are explored though highly creative, robust and flexible methodologies. GfK is pioneering sophisticated new ways of understanding how people experience brands and services. The former Custom Research business and ad hoc research from the Media sector are included in this new sector. 1. Quarter Change In EUR million in % Sales Adjusted operating income Margin in per cent 1) Figures from the Management-Information System rounded 1) Adjusted operating income in relation to sales Consumer Choices The Consumer Choices sector investigates what s selling when and where. It focuses on the continuous assessment of market segments and trends by analyzing all major sales and information channels and media. The former Retail and Technology sector and the Media sector s TV, radio and print measurement businesses have been folded into the new Consumer Choices sector. 1. Quarter Change In EUR million in % Sales Adjusted operating income Margin in per cent 1) Figures from the Management-Information System rounded 1) Adjusted operating income in relation to sales

5 contents 5 Letter to the shareholders 6 GfK share performance 7 Interim management report 8 1. General economic situation 9 2. Economic and financial development in the GfK Group 9 3. Cash flow and investment Assets and capital structure Trends in the sectors Regional trends Own the Future implementation of new corporate strategy is progressing Number of employees Research and development Organization and administration Changes in participations in the first quarter of Important events after the reporting date of March 31, Opportunity and risk position Outlook 18 Consolidated financial statements 20 Notes to the consolidated financial statements 28 Additional information 30

6 Letter to the shareholders 6 The start of the year has been a success for GfK with many new developments. For us, 2012 marks a year of change. In view of globalization and the fast changing markets, it was time to write the next chapter a new strategy in GfK s history. The implementation phase of our new Own the Future corporate strategy started in January this year. In the first three months of 2012, structural changes were introduced and the first identifiable successes achieved on the road to One GfK. Since the beginning of the year, GfK has been operating its business in the two complementary sectors of Consumer Experiences and Consumer Choices. As part of this restructuring, we have concentrated on our strengths and pooled forces. Market research instruments worldwide are being harmonized and adapted for an increasingly networked digital world. The combination of data from both sectors facilitates new insights and consequently also presents business opportunities. Some global contracts have already been gained as a result. matthias hartmann Chief Executive Officer of GfK se GfK can look back on a successful first quarter, which proves to us that we have set the right course for the future with our new corporate strategy. GfK has started the 2012 financial year with considerable growth in both sales and income. Sales increased by 11.3% to EUR million while adjusted operating income rose 10.2% on the already high figure of the previous year to EUR 33.5 million. At 9.7%, the margin is virtually unchanged from the strong level in the comparative period of The same applies to consolidated total income, which almost matched the prior year s figure of EUR 15.0 million, amounting to EUR 14.4 million for the quarter. Outstandingly positive development continued for those countries that offer great business potential in future. The highest levels of organic growth were recorded in the Central and Eastern Europe/META (Middle East, Turkey and Africa), Latin America and Asia and the Pacific regions. Latin America achieved the greatest organic growth overall of 16.7%. Following a slight downward trend in the preceding quarters, the North America region also increased existing business with organic growth of 2.2 percentage points. It is particularly pleasing and at this point our thanks goes to all our employees that we achieved this growth within the first three months of the year while implementing the new strategy that has required us to pool many forces and much energy. Let me take a look at the future. What do we expect in financial year 2012? Despite the difficult economic conditions, we are confident that its broad regional presence and innovative portfolio will enable the GfK Group to again outperform the market research sector as a whole this year, putting it in a position to gain market shares. For 2012, we expect a sales volume of some EUR 1.5 billion. This would equate to growth of around 9% compared with the previous year. GfK anticipates that 2012 will prove a difficult year for some clients in the Consumer Choices sector, with the volume of specific contracts being reduced this year. With regard to sales, the aim is to counter this development with the award of new contracts. Any impact on results is expected to be absorbed, since the non-recurring costs which reduced income in 2011 are not anticipated to the same degree in the current year. Irrespective of considerable expenses and investment in business development, the company is therefore confident that it will match the 2011 profit margin (adjusted operating income in relation to sales). As part of the new strategy, the GfK Group has also set challenging targets to be achieved in the medium term: by year-end 2015, sales totaling EUR 2.0 billion and a profit margin of 16% are to be achieved. The Consumer Experiences sector and the Consumer Choices sector, which continues to expand at a faster rate, will both contribute to this sales growth. We hope you will continue to place your trust in us and join us on our journey. I look forward to my first GfK Annual General Meeting and to welcoming you to Stadthalle Fürth on May 16, Sincerely yours, Matthias Hartmann

7 GfK share performance GfK share price performance from January 1, 2012, to march 31, ) January February March 1) All values are indexed to the GfK share price, closing prices, in EUR GfK dax 30 Performance sdax Performance Dow Jones Euro Stoxx Media After a weak start to the year at a price of EUR 30.7, GfK shares recovered at the end of February 2012, with the share price returning to around EUR 38. During the reporting period, financial headlines largely featured the eurozone debt crisis and the various elections in Europe, which influenced the stock markets. In light of these developments, the GfK share price was also volatile, but had stabilized at EUR 40.0 by the end of the reporting period. Volatility was also reflected in the volume of shares traded. Although the average of 16,451 shares corresponds to the level recorded in previous years, the period under review also saw trading days on which volumes in the range of 40,000 shares were traded and others with a daily trading volume of 5,000 shares. Compared with the DAX and SDAX, the GfK share price performance was strong in the first quarter of At the GfK Capital Market Day in January this year, which was held for the fifth time in Frankfurt/Main, Germany, over 40 analysts and institutional investors from Germany, France and the UK took the opportunity to meet with the GfK Management Board members. At the end of March, a total of 16 analysts were covering GfK shares. Of these, eleven recommended buy, four hold and only one analyst rated the shares sell. As at the end of March, the proportion of shares in free float was 43.9%. At this time, 0.4% of the shares were held by the GfK Management Board and Supervisory Board, 38.9% by institutional investors and 4.6% by private investors. GfK share performance Quarter 2012 Change in % Full year 2011 Change Q vs. full year 2011 in % Share price at the end of the period in EUR % % High in EUR % % Low in EUR % % Number of no-par shares at the end of the period 36,274,090 36,503, % 36,503, % Stock market capitalization at the end of the period in EUR million 1, , , %

8 8 GfK successfully launches new strategy and achieves significant increase in sales and income Sales up 11.3% to EUR 345 million Rise in adjusted operating income of 10.2% to EUR 33.5 million EBIT up 3.8% to EUR 27.4 million All sectors and regions contribute to sales growth Initial successes with Own the Future strategy Outlook: forecast for the year confirmed The GfK Group has started financial year 2012 with significant growth in sales and income and is on track to achieve the longterm goals of the new strategy Own the Future. Sales increased by 11.3% in the first quarter of 2012 to EUR million (same period in the previous year: EUR million). At 4.9 percentage points, a major share of growth was organic, with acquisitions contributing a further 4.5 percentage points. Both sectors and all regions had a share in this positive trend. Compared with the same quarter in the previous year, adjusted operating income rose by 10.2% to EUR 33.5 million. At 9.7%, the margin almost matched the strong level achieved in the same quarter of the previous year (9.8%). EBIT increased by EUR 1.0 million on the previous year to EUR 27.4 million. At the same time, consolidated total income was marginally down by EUR 0.6 million to EUR 14.4 million given the lower financial result. The order situation in the GfK Group remains satisfactory. At the end of March, a total of 54.7% of sales expected for the whole of 2012 had already been posted or were in the order book. Although this percentage is slightly lower than the previous year s figure of 56.1%, it already takes into account the fact that expectations for 2012 as a whole are higher in light of acquisitions.

9 Interim management report 9 1. General economic situation Following a minor slowdown in economic growth towards the end of the last financial year, this situation did not significantly improve in the first quarter of Although various indicators in the USA suggest that the economy is starting to pick up somewhat, growth in the eurozone has remained modest. Concerns about the structural problems of public sector budgets and their impact on the economy persist. 2. Economic and financial development in the GfK Group In the first three months of 2012, GfK achieved a significant upturn in sales and income year-on-year. Compared with the outstanding first quarter of 2011, sales were up by 11.3% in total to EUR million. Organic growth amounted to 4.9% and has accelerated again considerably after 2.6% in the fourth quarter of GfK has therefore once again outstripped the performance of its major competitors. The acquisition of companies, such as Knowledge Networks in the USA and Bridgehead in the UK, pushed up sales by a total of 4.5 percentage points while currency effects also impacted positively with 1.8 percentage points. Both sectors contributed to the strong organic growth. Growth in the Consumer Experiences sector amounted to 4.5% and Consumer Choices recorded a 5.3% increase. In the Consumer Experiences sector, acquisitions accounted for an additional 7.6 percentage points. Combined with further growth of 1.5 percentage points from currency effects, sales in this sector were up 13.6% overall. GfK Group: key figures in EUR million 1) in % 1. Quarter Quarter 2012 Change Sales EBITDA Adjusted operating income Margin in percent 2) Operating income EBIT Other financial income / expenses Consolidated total income Cash flow from operating activities Earnings per share in EUR Adjusted earnings per share in EUR 3) ) rounded 2) Adjusted operating income in relation to sales 3) Consolidated total income attributable to equity holders of the parent plus highlighted items divided by the weighted average number of shares in the reporting period

10 10 Adjusted operating income 1) In EUR million 1. Quarter Quarter 2012 Operating income Expenses and income in connection with reorganization and business combinations Amortization and impairment of additional assets on acquisitions Personnel expenses for share-based payments and long-term incentives Remaining other operating income Remaining other operating expenses Total highlighted items Adjusted operating income ) rounded Adjusted operating income (hereinafter: income) totaled EUR 33.5 million in the first three months of 2012, which represents an increase of 10.2% on the same period in the previous year. The Group s margin remained nearly constant at 9.7% (same quarter in the previous year: 9.8%). Like its competitors, the GfK Group uses adjusted operating income as a key performance indicator. The explanations regarding business performance using the adjusted operating income facilitate interpretation of the GfK Group s business development and enhance the informative value in comparison with other major companies operating in the market research sector. Adjusted operating income is determined by eliminating expenses and income items of the sectors and the Group that distort the evaluation of operating earnings power from operating income. The balance of these expenses and income, which are referred to as highlighted items, rose slightly compared with the same quarter in the previous year. In the first three months of 2012, highlighted items totaled EUR -6.7 million after EUR -5.6 million in the same period of the previous year. No further expenses were incurred in connection with the BISS restructuring program. The most marked changes in the highlighted items occurred in terms of the balance of remaining other operating income and remaining other operating expenses, which decreased from EUR 0.4 million in the same period of the previous year to EUR -1.5 million. The positive figure in the first quarter of 2011 resulted from the profit made on the deconsolidation of a subsidiary, some of the shares in which were sold. In this year s first quarter, the disposal of a business in the USA produced a charge of EUR 0.6 million. In the period from January to March 2012, EBITDA increased by EUR 2.4 million to EUR 41.2 million. Income from participations declined from EUR 1.5 million to EUR 0.5 million. In the first quarter of 2011, this figure included income of EUR 0.7 million from the revaluation of a shareholding following an increase in the number of shares held. EBIT rose by EUR 1.0 million to EUR 27.4 million. The other financial result, which represents the balance of other financial income and other financial expenses, stood at EUR -4.3 million in the first quarter of 2012 after EUR -0.8 million in the previous year. The US dollar and GBP currency gains on the valuation of the cash pool included in this item in the previous year did not arise in the same amount in the current year. In addition, interest expenses increased following the issue of a bond in the second quarter of 2011, which has significantly improved the maturity profile of financial liabilities and reduced GfK s exposure to financing risks. The tax ratio was down from 41.4% in the previous year to 37.7%. As already explained in 2011, the tax ratio was affected by the fact that certain expenses which were previously deductible are no longer recognized as such. As a result, the US dollar-related measurement of a cross-currency swap produced deferred tax expenses. This swap will run to the end of In the first quarter of 2012, deferred tax expenses arising from this were down on those incurred in the same quarter of the previous year.

11 11 Basic and diluted earnings per share decreased by EUR 0.02 compared with the same period in the previous year and amounted to EUR As at March 31, 2012, the total number of GfK SE shares in circulation was 36,503,896 and unchanged compared with year-end To increase comparability with its peer group, GfK has additionally published adjusted earnings per share since the 2009 annual report. This is the consolidated total income attributable to the shareholders of the parent company plus the highlighted items divided by the average number of shares in the reporting period. In the first quarter of 2012, adjusted earnings per share totaled EUR 0.48 Euro and were therefore exactly at the previous year s level. 3. Cash flow and investment Cash flow from operating activities for the first three months of 2012 of EUR 1.0 million was significantly down on the previous year s level of EUR 9.1 million. This change was mainly attributable to the earlier payment of bonuses. Following the acceleration in preparing the annual financial statements, net income for 2011 was already determined at the beginning of March 2012 and, unlike previous years, employee bonuses were therefore already paid together with the March salary. This resulted in a decline in operating cash flow of EUR 11.1 million. Excluding this effect, operating cash flow was up on the same quarter in the previous year. In the reporting period, important investments were made to boost growth. At EUR 75.1 million, acquisitions accounted for the highest amount (Q1/2011: EUR -0.1 million). In addition, at EUR 6.3 million, the amount invested in tangible assets was EUR 1.4 million up on the same quarter in the previous year. Overall, the cash outflow from investing activities amounted to EUR 88.1 million in the first three months of the current financial year after an unusually low figure of EUR 10.2 million in the first quarter of Accordingly, free cash flow after acquisitions, other investments and asset disposals was considerably down to EUR million (previous year: EUR -1.2 million). In the reporting period, cash inflow from financing activity amounted to EUR 58.1 million after a cash outflow of EUR 7.6 million in the same period of the previous year. At the end of March 2012, GfK had cash and cash equivalents of EUR 76.1 million (March 31, 2011: EUR 44.7 million). A arge share of this liquidity has meanwhile been used to repay a borrower s note loan. The unutilized credit lines amounted to EUR million as at March 31, Assets and capital structure During the first three months of 2012, GfK s total assets were up by EUR 50.5 million to EUR 1,796 million on the figure at year-end This was primarily due to the above-mentioned acquisitions. At the same time, cash and cash equivalents as well as trade payables were reduced. As at March 31, 2012, equity was almost unchanged at EUR 760 million (December 31, 2011: EUR 761 million). The share capital of GfK SE was also constant at EUR 152 million. On March 31, 2012, net debt amounted to EUR million. This represents an increase on year-end 2011 of EUR 91.9 million, which related to the above-mentioned acquisition and investing activities. As at March 31, 2012, the ratio of modified net debt to EBITDA was 1.57 (March 31, 2011: 1.66) and the ratio of EBITDA to modified interest expenses (March 31, 2011: 15.73).

12 12 5. Trends in the sectors Structure of sales growth by sectors 1) Total 1.5% 7.6% 4.5% Consumer Experiences 13.6 % 2.2% 5.3% Consumer Choices 7.5 % 3.8% 27.1% Other 2) 30.9 % 1.8% 4.5% 4.9% Total 11.3 % 1) Figures from the Management-Information System rounded Currency Acquisitions Organic 2) Other division Since January 1, 2012, GfK has conducted its business activities in two sectors, Consumer Experiences and Consumer Choices. The Consumer Experiences sector concentrates on consumers attitudes, perceptions and behavior and answers the questions who is buying, why they are buying and how they are buying. These are explored though highly creative, robust and flexible methodologies. GfK is pioneering sophisticated new ways of understanding how people experience brands and services. The former Custom Research business and ad hoc research from the Media sector are included in this new sector. The Consumer Choices sector investigates what s selling when and where. It focuses on the continuous assessment of market segments and trends by analyzing all major sales and information channels and media. The former Retail and Technology sector and the Media sector s TV, radio and print measurement businesses have been folded into the new Consumer Choices sector. Consumer Experiences 1) in EUR million Quarter 2012 Change in % Sales Adjusted operating income Margin in per cent 2) ) Figures from the Management-Information System rounded 2) Adjusted operating income in relation to sales Consumer experiences: In the first three months of 2012, the Consumer Experiences sector achieved considerable sales growth. The sector increased sales by 13.6% compared with the same period in the previous year to EUR million. Despite the difficult economic environment, the sector generated organic growth of 4.5%, an extraordinarily high figure both in a historical sector comparison and compared with the growth rates of competitors. Acquisitions accounted for a further 7.6 percentage points. Additionally, currency effects contributed 1.5 percentage points. Nearly all regions recorded strong organic growth. In North America, the sector reversed the downward trend in business of earlier quarters. In Turkey and Russia, investments into setting up new household panels started with the aim of sustained expansion of the business.

13 13 The sector s profitability developed positively with income of EUR 7.9 million, representing a rise of 38.4%. Although acquisitions made a substantial contribution in this respect, the major share of the increase in income was achieved on the basis of existing business. The margin in the sector rose from 3.1% to 3.7%. Consumer Choices 1) in EUR million Quarter 2012 Change in % Sales Adjusted operating income Margin in per cent 2) ) Figures from the Management-Information System rounded 2) Adjusted operating income in relation to sales Consumer choices: In the first quarter of 2012, the Consumer Choices sector once again achieved strong sales growth of 7.5% to EUR million. Organic growth accounted for 5.3 percentage points of this growth rate. Currency fluctuations equivalent to 2.2 percentage points also impacted positively. With the exception of the region Central and Eastern Europe/META, where the fact that the TV ratings contract in Romania was not renewed impacted negatively, all regions had a share in sales growth. Northern Europe accounted for the highest share of growth, followed by Asia and the Pacific as well as North America. Various business divisions made a contribution to increasing sales. IT, Major Domestic Appliances and Health/Medical made a positive contribution in several regions. A slightly negative trend only emerged for Consumer Electronics. In Audience Measurement, sales were maintained at the same level as in the comparative period of the previous year. Negative developments, such as the non-renewal of the contract for measuring TV ratings in Romania, as well as delays were compensated by the strong sales trend in the USA and the Benelux countries. The new strategy of internationalizing this business within the new sector was reflected in the submission of tenders in Latin America and the Middle East. Income in the Consumer Choices sector was also increased in the first quarter of Expenses for NIS and investment in the modernization of the StarTrack platform meant that the margin of 20.6% was slightly down on the previous year s figure of 21.8%. Other 1) in EUR million Quarter 2012 Change in % Sales Adjusted operating income ) Figures from the Management-Information System rounded Other: The sectors are complemented by Other, which comprises, in particular, the head office services of GfK for its subsidiaries and other non-market research-related services. In the first three months of 2012, sales generated by the Other division amounted to EUR 1.6 million (previous year: EUR 1.2 million). Of the costs incurred by the segment, EUR 1.6 million were not covered compared with EUR 2.0 million in the same period of the previous year.

14 14 6. Regional trends Structure of sales growth in the regions 1) Total 1.4% 0.8% 5.5% Northern Europe 7.8 % 0.4% Southern & Western Europe 0.4 % 1.5% 8.1% Central & Eastern Europe/META 6.6 % 0.3% 16.7% Latin America 16.3 % 4.8% 21.8% 2.2% North America 28.8 % 6.8% 9.1% 9.0% Asia and the Pacific 25.0 % 1.8% 4.5% 4.9% Total 11.3 % 1) Figures from the Management-Information System rounded Currency Acquisitions Organic The GfK Group s network of subsidiaries covers over 100 countries. In geographic terms, business is divided into six regions: Northern Europe, Southern and Western Europe, Central and Eastern Europe/META, Latin America, North America as well as Asia and the Pacific. All regions made a contribution to organic growth and total growth in the first three months of Regions: sales growth 1) 1. Quarter in EUR million Change in % Northern Europe Southern & Western Europe Central & Eastern Europe/META Latin America North America Asia and the Pacific Total ) Figures from the Management-Information System rounded Northern Europe is the region with the highest sales volume at EUR million. Sales generated by the GfK companies rose by 7.8%. Of this, organic growth accounted for 5.5 percentage points while acquisitions and currency effects of 0.8% and 1.4% respectively had an additional positive effect. In many countries in the region of Southern and Western Europe, including Greece, Portugal and France, the business climate was made difficult by the ongoing debt crisis. Nevertheless, GfK achieved organic sales growth in this region of 0.4% to EUR 65.4 million. Our companies in this region have so far been resilient to the crisis.

15 15 In Central and Eastern Europe/Meta (Middle East, Turkey and Africa), GfK achieved a sales increase of 6.6% to EUR 26.7 million in the first three months of In organic terms, growth amounted to as much as 8.1 percentage points, with currency effects having the only negative impact of 1.5 percentage points. The strongest organic growth of 16.7% was achieved in Latin America, where sales totaling EUR 14.6 million were recorded. Currency effects had a slightly negative impact of 0.3 percentage points, which meant that total growth amounted to 16.3%. In the North America region, a sales increase was generated following a downward trend in earlier quarters. Overall, sales were up by 28.8% to EUR 62.5 million. At 21.8 percentage points, the largest share of this growth was attributable to acquisitions, namely that of Knowledge Networks. At the same time, existing business also recorded growth of 2.2 percentage points in organic terms. As in the preceding periods, the high level of volatility of the euro-us dollar exchange rate resulted in significant currency effects, in this case gains of 4.8 percentage points. The GfK companies in Asia and the Pacific increased sales significantly by 25.0% to EUR 33.6 million. Organic growth amounted to 9.0 percentage points and currency effects accounted for 6.8 percentage points. The trend was particularly favorable in Japan, where the business climate improved again significantly after a subdued previous year of natural disasters, and in China. Here, business with clients in the automotive sector was expanded, in particular. Acquisitions boosted sales by a further 9.1 percentage points. These related to the buying of shares in GfK MarketWise and the takeover of Nippon Media s mystery shopping activities in the second and third quarters of 2011 respectively. 7. Own the Future implementation of new corporate strategy is progressing Since January 1, 2012, GfK has pursued its new strategy Own the Future. The aim of the strategy is to make global use of the numerous strengths existing within GfK for specific client groups and in various regions in the future. For this purpose, products are being harmonized and adapted for an increasingly networked digital world. A new organizational structure with global and regional responsibilities has been created to support shared utilization of existing data and resources as well as the transfer of expertise on various sectors, client groups and regions among GfK experts. For clients, this means working with a more connected global organization that delivers more powerful insights, and having better access to GfK s wealth of experience, global services and knowledge of consumer trends. In the first three months of the current year, structural changes were introduced and the first identifiable successes achieved on the road to One GfK. A new contract worth in excess of one million euros was awarded, as part of which data from the Consumer Choices sector is combined with data from the Consumer Experiences sector to gain new insights into the behavior of smartphone users. The survey is being conducted in several European and Asian countries as well as the USA. The Audience Measurement business, which has been integrated into the new Consumer Choices sector, will benefit from the sector s global set-up in future. This will provide an advantage in terms of large-scale, international tenders. The new structure of the Consumer Experiences sector facilitates the use of global products and therefore responds better to the requirements of global clients. Along with the strategy and structure, the brand messages and corporate design have also been updated. The GfK Management Board also presented long-term sales and income targets in the context of the new Own the Future corporate strategy. By 2015, sales of around EUR 2 billion are to be achieved with 16% margin. The goal is to realize organic growth on a scale that considerably outperforms the sector average.

16 16 8. Number of employees As at March 31, 2012, the GfK Group had 11,821 employees, 364 more than at the end of At 246, employees in companies consolidated for the first time accounted for the major share of this increase. At the end of the first quarter, the Group employed 9,766 staff outside Germany and 2,055 in Germany. In the first three months of the current year, personnel expenses amounted to EUR million (same quarter of the previous year: EUR million). The personnel cost ratio, which expresses the ratio of personnel expenses to sales, increased slightly from 46.2% to 46.6%. The latest employee survey carried out within GfK confirmed the broad acceptance of the strategy and employees commitment to GfK s success. GfK has further enhanced and globalized its employee training program with a view to promoting the integration to become One GfK. Similar to the global harmonization of products, as part of implementing the Own the Future strategy, the best instruments within the GfK network with regard to training and continuing professional development are identified and rolled out at global level. The successful European GfK Academy is set to be replicated in the regions of Asia and the Pacific, Latin America and North America. In future, the e-learning program developed in the Consumer Choices sector will also be available to all employees in the Consumer Experiences sector. The development of new client-focused training programs will be managed at global level in the future. 9. Research and development Innovation, particularly in the digital segment, represents a key element of GfK s new strategy. ConX is a new instrument for analyzing brand awareness. It establishes the influence of, for example, the social media, traditional advertising and retail itself on the image of brands. This data enables clients to take targeted measures for brand development and management. Based on an innovative user interface, where respondents drag & drop icons, ConX delivers more reliable data than traditional systems. The tool is currently being used in pilot projects with GfK clients and its global roll-out is scheduled from fall 2012 onwards. The project is an innovation for the GfK Group as a whole. In collaboration with the GfK Verein and the Fraunhofer Gesellschaft GfK developed a tool using facial coding for measuring emotional reactions and linking them to any stimuli. EMO Scan can be used in combination with the EMO Sensor already in use to deliver precise data on emotional reactions to advertisement campaigns. 10. Organization and administration The Group has embraced the challenges associated with globalization and set up an organizational structure that enables the local GfK companies to respond to market opportunities quickly and efficiently. GfK SE simultaneously acts as a holding company and operating unit. In Germany, the GfK Group network comprises the parent company, 13 consolidated associates and another associate as well as five non-consolidated affiliated companies. Worldwide, GfK has 151 consolidated associates and 16 other associates, three participations and 37 non-consolidated affiliated companies. The Group headquarters is located in Nuremberg. The implementation of the Own the Future strategy in the period since January 1, 2012 has created a matrix organization built on two global sectors with product responsibility and six regions, which manage local business operations. To this end, a large number of new roles were developed. Employees from within the global GfK network have been appointed for more than 90% of these new jobs. The new structure facilitates roll-out of global products and consequently enhances support for clients with global activities. In addition, it increases exploitation of the potential that exists in regional markets by both sectors.

17 Changes in participations in the first quarter of 2012 In the first quarter of the year, GfK acquired 100% of the shares in two companies. Knowledge Networks Inc., a leader in digital research in the USA, specializes in the segments consumer goods, pharmaceuticals, retail, media, government offices and universities. As part of this takeover, GfK acquired the KnowledgePanel, the only online panel based on an absolute, representative sample of the entire US population. Furthermore, Knowledge Networks Physician s Consulting Network (PCN ) delivers insights to clients collected from thousands of people employed in the healthcare sector. The combination of the PCN panel and the US Healthcare Panel of GfK provides clients with high-quality knowledge obtained from healthcare experts, a group that is generally difficult to reach. This forms an important element of the ongoing reorganization of GfK s US healthcare business. Changes in the GfK Network during the first quarter of 2012 Company Reason for investment Shareholding in % Sector Region Knowledge Networks Acquisition 100 Consumer Experiences North America Bridgehead Acquisition 100 Consumer Experiences Northern Europe / North America GfK Chart Track Increase from 55 to 100 Consumer Choices Northern Europe The integration of Knowledge Networks into the GfK network was rapid. Additional sales totaling EUR 0.8 million were already posted in the first quarter of 2012, which were generated on the basis of joint projects of Knowledge Networks and existing GfK companies. GfK Bridgehead is a consultancy firm specializing in pharmaceuticals, medical devices and diagnostics. It offers clients in the United States and Europe support on pricing, reimbursement and healthcare-related financial questions as well as with entry into established and emerging markets. This acquisition is a strategic investment in the expansion of the Group s global healthcare business and has already seen a return in the award of a first project, for which Bridgehead s expertise was decisive. Knowledge Networks has been consolidated since January 1, 2012 and Bridgehead since March 1, In addition, the participation in GfK Chart-Track was increased to 100%. The London-based company is one of the leading providers in the UK and Denmark of retail data on gaming software and among the major companies in Ireland for tracking music and video sales charts. GfK had already held 55% of the shares since 2008.

18 Important events after the reporting date of March 31, 2012 The credit line which will end in October 2012 has been replaced with a new syndicated credit line amounting to EUR 200 million and USD 30 million with a term until Moreover, GfK has taken advantage of the current favorable 3-year interest rate level to raise additional bilateral bank loans totaling EUR 74 million. The terms are more favorable than those of the borrower s note loans from 2008 and 2009, which were repaid in November 2011 and April 2012 respectively. 13. Opportunity and risk position The risk position and opportunities of the GfK Group are described in the Group Management Report as at December 31, No material changes have occurred compared with the description and no risks have been identified that could jeopardize the continued existence of the Group. Despite the significant increase in sales and income figures for the first quarter of 2012, the GfK Group s risk position remains affected by the ongoing uncertainties relating to the economic environment. If the global economic situation should worsen significantly and severely affect the business of GfK clients, this could also impact on GfK. The GfK business model is subject to seasonally related fluctuations. Traditionally, sales and income trends are significantly better in the fourth quarter than the other quarters, given that the year-end business is highly relevant to GfK clients operations. No reliable forecast can be made as to extent to which the seasonally related trend in financial year 2012 will mirror that of previous years. Thanks to its global network as a full-service provider, the GfK Group is well-positioned. GfK meets new challenges in the market research industry with an innovative portfolio of products and services tailored to client requirements. 14. Outlook In its report of April 2012, the International Monetary Fund (IMF) assumed a decline in global economic growth from 4% in 2011 to 3.5% in The key risk to the global economy named in the report is the debt crisis in the European Monetary Union. Concerns in this respect have widened following the latest elections in France and Greece. Consumer attitudes reflect this, according to the latest European GfK Consumer Climate survey in April. Although consumers in some countries, including Germany, expect their situation to improve, the emerging overall trend indicates a rather more pessimistic assessment. GfK s Management Board is nonetheless confident that, based on its new structure and strategy, the GfK Group will once again outperform the market research sector this year and be in a position to gain market shares. For 2012, GfK expects a sales volume of some EUR 1.5 billion. This would equate to growth of around 9% compared with the previous year. GfK anticipates that 2012 will be a difficult year for some clients in the Consumer Choices sector, with the volume of specific contracts being reduced this year, or their implementation postponed. To counter this, acquisitions will be stepped up and product groups expanded. Any impact on results is expected to be absorbed, since the non-recurring costs which reduced income in 2011 are not anticipated to the same degree in the current year. Irrespective of considerable expenses and investment in business development, the company is therefore confident that it will achieve an increase in income and match the 2011 profit margin (adjusted operating income in relation to sales). It has been a promising start in At the end of March, a total of 54.7% of sales expected for the whole of 2012 had already been posted or were in the order book. Although this percentage is slightly lower than the previous year s figure of 56.1%, it already takes into account the fact that expectations for 2012 as a whole are higher in light of acquisitions. As Bridgehead has only been consolidated since March 1, 2012, no substantial contribution to this sales volume has been noted to date.

19 19 As part of the new strategy, the GfK Group has also set challenging targets to be achieved in the medium term: by year-end 2015, sales totaling EUR 2.0 billion and a profit margin of 16% are to be achieved. The Consumer Experiences sector and the Consumer Choices sector, which continues to expand at a faster rate, will both contribute to this sales growth. Strong emphasis will be placed on increasing sales and market share in the BRIC countries. *The outlook contains predictive statements on future developments, which are based on current management assessments. Words such as anticipate, assume, believe, estimate, expect, intend, could/might, planned, projected, should, likely and other such terms are statements of a predictive nature. Such predictive statements contain comments on the anticipated development sales proceeds and income for Such statements are subject to risks and uncertainties, for example, economic effects such as exchange rate fluctuations and changes in interest rates. Some uncertainties and other unforeseen factors which might affect ability to achieve targets are described under risk position in the Management Report. If these or other uncertainties and unforeseen factors arise or the assumptions on which the statements are based prove to be incorrect, actual results could materially differ from the results indicated or implied in these statements. We do not guarantee that our predictive statements will prove to be correct. The predictive statements contained herein are based on the current Group structure and are made on the basis of the facts on the day of publication of the present document. We do not intend nor accept any obligation to update predictive statements on an ongoing basis.

20 Consolidated income statement of GfK Group from January 1 to March 31, 2012 in EUR 000 (according to IFRS, not audited) 20 Q % of sales Q % of Change sales abs. % Sales 310, % 345, % 34, % Cost of sales 218, % 239, % 20, % Gross income from sales 91, % 105, % 14, % Selling and general administrative expenses 66, % 77, % 10, % Other operating income 4, % 4, % % Other operating expenses 3, % 5, % 1, % Operating income 1) 24, % 26, % 2, % Income from associates % % % Other income from participations % 0 0.0% % ebit 26, % 27, % % Other financial income 6, % 7, % % Other financial expenses 7, % 11, % 3, % Income from ongoing business activity 25, % 23, % 2, % Tax on income from ongoing business activity 10,576 8,719 1, % Consolidated total income 14, % 14, % % Attributable to equity holders of the parent: 11, % 10, % % Attributable to minority interests: 3, % 3, % % Consolidated total income 14, % 14, % % Basic earnings per share (eur) % Diluted earnings per share (eur) % Adjusted earnings per share (eur) % For information: Personnel expenses 143, % 160, % 17, % Depreciation/amortization 12, % 13, % 1, % ebitda 38, % 41, % 2, % 1) Reconciliation to internal management indicator adjusted operating income amounting to EUR 33,5 million (2011: EUR 30,5 million) as indicated on page 10.

21 Consolidated cash flow statement from January 1 to March 31, 2012 in EUR 000 (according to IFRS, not audited) 21 Consolidated total income 14,991 14,384 Q Q Write-downs/write-ups of intangible assets 6,473 7,490 Write-downs/write-ups of tangible assets 5,922 6,304 Write-downs/write-ups of other financial assets 0 0 Total write-downs/write-ups 12,395 13,794 Increase/decrease in inventories and trade receivables 13,901 26,213 Increase/decrease in trade payables and liabilities on orders in progress 10,968 24,007 Changes in other assets not attributable to investing or financing activity 9,549 6,074 Changes in other liabilities not attributable to investing or financing activity 14,026 24,962 Profit/loss from the disposal of non-current assets 1, Non-cash income from associates Increase/decrease in long-term provisions 3,069 2,943 Other non-cash income/expenses 4,780 2,717 Net interest income 3,576 4,958 Change in deferred taxes 1,137 9 Current income tax expense 9,504 8,710 Taxes paid 8,481 12,112 a) Cash flow from operating activity 9,060 1,035 Cash outflows for investments in intangible assets 6,359 6,683 Cash outflows for investments in tangible assets 4,941 6,291 Cash out-/inflows for acquisition of consolidated companies and other business units, net of cash acquired 95 75,096 Cash outflows for other financial assets Cash inflows from disposal of intangible assets 0 93 Cash inflows from disposal of tangible assets Cash inflows from the sales of consolidated companies and other business units, net of cash disposed of Cash inflows from disposal of other financial assets b) Cash flow from investing activity 10,211 88,074 Cash inflows from equity contributions 0 0 Dividend payments to equity holders of parent 0 0 Dividend payments to minority interests and other equity transactions 10,057 2,406 Cash inflows from loans raised 30,596 64,782 Cash outflows for repayment of loans 25,751 2,691 Interest received Interest paid 2,690 1,870 c) Cash flow from financing activity 7,632 58,083 Changes in cash and cash equivalents (total of a), b) and c)) 8,783 28,956 Changes in cash and cash equivalents owing to exchange gains/losses and valuation 1, Cash and cash equivalents at the beginning of the period 54, ,869 Cash and cash equivalents at the end of the period 44,683 76,074

22 Calculation of net debt and free cash flow in EUR 000 (according to IFRS, not audited) 22 Calculation of net debt Liquid funds 105,869 76,074 Short-term securities and time deposits 1,546 1,950 Liquid funds, short-term securities and time deposits 107,415 78,024 Liabilities to banks 134, ,930 Pension obligations 55,255 55,560 Liabilities from finance leases 9,417 9,061 Other interest-bearing liabilities 271, ,283 Interest-bearing liabilities 471, ,834 Net debt 363, ,810 Calculation of free cash flow Consolidated total income 14,991 14,384 Write-downs/write-ups of intangible assets 6,473 7,490 Write-downs/write-ups of tangible assets 5,922 6,304 Write-downs/write-ups of other financial assets 0 0 Others 18,326 27,143 Cash flow from operating activity 9,060 1,035 Capital expenditure 11,300 12,975 Free cash flow before acquisitions, other investments and asset disposals 2,240 11,940 Acquisitions 95 75,096 Other financial investments Asset disposals 1, Free cash flow after acquisitions, other investments and asset disposals 1,151 87,039

23 Consolidated balance sheet as of March 31, 2012 in EUR 000 (according to IFRS, not audited) 23 Assets Goodwill 874, ,619 Other intangible assets 200, ,683 Tangible assets 107, ,112 Investments in associates 16,298 16,154 Other financial assets 6,247 6,486 Deferred tax assets 43,643 63,418 Non-current other assets and deferred items 7,424 7,688 Non-current assets 1,255,708 1,342,160 Trade receivables 330, ,575 Current income tax assets 15,751 17,464 Securities and fixed-term deposits 1,546 1,950 Cash and cash equivalents 105,869 76,074 Current other assets and deferred items 36,069 39,858 Current assets 489, ,921 Assets 1,745,602 1,796,081

24 Consolidated balance sheet as of March 31, 2012 in EUR 000 (according to IFRS, not audited) 24 Equity and liabilities Subscribed capital 152, ,159 Capital reserve 213, ,560 Retained earnings 382, ,792 Other reserves 26,901 37,625 Equity attributable to equity holders of the parent 721, ,886 Minority interests 39,733 39,364 Equity 760, ,250 Long-term provisions 82,944 85,051 Non-current interest-bearing financial liabilities 318, ,079 Deferred tax liabilities 72,985 95,732 Non-current other liabilities and deferred items 4,165 3,795 Non-current liabilities 478, ,657 Short-term provisions 20,112 9,702 Current income tax liabilities 26,260 24,472 Current interest-bearing financial liabilities 98, ,195 Trade payables 69,363 60,781 Liabilities on orders in progress 139, ,840 Current other liabilities and deferred items 153, ,184 Current liabilities 506, ,174 Liabilities 984,766 1,035,831 Equity and liabilities 1,745,602 1,796,081 Equity ratio 43.6% 42.3%

25 Consolidated statement of comprehensive income from January 1 to March 31, 2012 in EUR 000 (according to IFRS, not audited) 25 Pre-tax amount Q Tax effect Post-tax amount Pre-tax amount Q Tax effect Post-tax amount Consolidated total income 25,567 10,576 14,991 23,103 8,719 14,384 Currency translation differences 36, ,549 11, ,144 Valuation of net investment hedges for foreign subsidiaries 1, , Changes in fair value of cash flow hedges (effective portion) Changes in fair value of securities available-for-sale Actuarial gains/losses on defined benefit plans Other comprehensive income 33, ,346 11, ,334 Total comprehensive income 7,927 11,428 19,355 11,720 8,670 3,050 Attributable to: Equity holders of the parent 21, Minority interests 2,266 2,998 Total comprehensive income 19,355 3,050

26 Consolidated equity change statement of GfK Group from January 1 to March 31, 2012 in EUR 000 (according to IFRS, not audited) 26 Attributable to equity holders of the parent Subscribed capital Capital reserve Balance at January 1, , ,868 Total comprehensive income for the period Consolidated total income Other comprehensive income Foreign currency translation differences Net gain/loss on hedge of net investment in foreign operation Effective portion of changes in fair value of cash flow hedges, net of tax Net change in fair value of available-for-sale financial assets, net of tax Defined benefit plan actuarial gains and losses, net of tax Total other comprehensive income 0 0 Total comprehensive income for the period 0 0 Transactions with owners, recorded directly in equity Contributions by and distributions to owners Dividends to shareholders Issuing of ordinary shares (stockoptions) Changes in ownership interest in subsidiaries that do not result in a change of control Acquisition of non-controlling interest Other changes Total transactions with owners, recorded directly in equity 0 0 Balance at March 31, , ,868 Balance at April 1, , ,868 Total comprehensive income for the period Consolidated total income Other comprehensive income Foreign currency translation differences Net gain/loss on hedge of net investment in foreign operation Effective portion of changes in fair value of cash flow hedges, net of tax Net change in fair value of available-for-sale financial assets, net of tax Defined benefit plan actuarial gains and losses, net of tax Total other comprehensive income 0 0 Total comprehensive income for the period 0 0 Transactions with owners, recorded directly in equity Contributions by and distributions to owners Dividends to shareholders Issuing of ordinary shares (stockoptions) 1,002 6,692 Changes in ownership interest in subsidiaries that do not result in a change of control Acquisition of non-controlling interest Other changes Total transactions with owners, recorded directly in equity 1,002 6,692 Balance at December 31, , ,560 Balance at January 1, , ,560 Total comprehensive income for the period Consolidated total income Other comprehensive income Foreign currency translation differences Net gain/loss on hedge of net investment in foreign operation Effective portion of changes in fair value of cash flow hedges, net of tax Net change in fair value of available-for-sale financial assets, net of tax Defined benefit plan actuarial gains and losses, net of tax Total other comprehensive income 0 0 Total comprehensive income for the period 0 0 Transactions with owners, recorded directly in equity Contributions by and distributions to owners Dividends to shareholders Issuing of ordinary shares (stockoptions) Changes in ownership interest in subsidiaries that do not result in a change of control Acquisition of non-controlling interest Other changes Total transactions with owners, recorded directly in equity 0 0 Balance at March 31, , ,560

27 Attributable to equity holders of the parent 27 Other reserves Retained Translation Hedging Fair value Minority Total earnings reserve reserve reserve Total interests equity 329,357 62,076 16, ,756 35, ,458 11,761 11,761 3,230 14,991 35,585 35, ,549 1,334 1,334 1, ,585 1, , ,346 12,292 35,585 1, ,621 2,266 19, ,443 4,443 4,921 4,921 1,752 6, , ,812 6,184 10, ,837 97,661 18, ,323 31, , ,837 97,661 18, ,323 31, ,107 63,365 63,365 9,735 73,100 51,888 51,888 1,105 52, , ,231 1,092 53,323 62,958 51, ,596 10, ,423 17,412 17,412 2,763 20,175 7,694 7, , ,816 2,878 12, ,285 45,773 18, ,103 39, , ,285 45,773 18, ,103 39, ,836 10,906 10,906 3,478 14,384 10,669 10, , , , ,334 10,776 10, ,998 3, ,332 3, ,367 3, ,792 56,442 18, ,886 39, ,250

28 Notes to the consolidated financial statements of GfK SE as at March 31, General information The consolidated financial statements of GfK SE include the company itself and all consolidated subsidiaries. The GfK SE interim consolidated financial statements as at March 31, 2012 have been prepared on the basis of IAS 34 in accordance with the International Financial Reporting Standards (IFRS) and the relevant interpretations of the International Accounting Standards Board (IASB), as applicable under Regulation No. 1606/2002 of the European Parliament and Council, which relates to the application of international accounting standards within the EU. The interim financial statements do not include all explanations and details required for annual financial statements, and readers should therefore refer to the annual financial statements as at December 31, 2011 ( The requirements of the applicable standards have been fully complied with, resulting in a true and fair view of the net assets, financial position and results of operations of the GfK Group. No voluntary audit in accordance with Article 317 HGB (German Commercial Code) or review of the quarterly financial statements and interim management report as at March 31, 2012 has been performed by auditors. Principles of consolidation and accounting policies The consolidated financial statements of GfK SE as at March 31, 2012 are based on the same IFRS principles of consolidation and accounting policies as the consolidated financial statements as at December 31, Estimates The estimates and assumptions in the consolidated financial statements as at March 31, 2012 have been prepared using the same methods as in the financial statements as at December 31, Scope of consolidation and major acquisitions As at March 31, 2012, the scope of consolidation comprised 151 subsidiaries in addition to the parent company (December 31, 2011: 149). Following the acquisition as at January 3, 2012 of 100% of the shares in Knowledge Networks Inc, Menlo Park, California, USA, and thus also in its subsidiary, KN Dimestore Media, LLC, Wilmington, Delaware, USA, this company was consolidated for the first time. As at March 1, 2012, 100% of the shares in BIL Holdco Limited, Lincoln, UK, were acquired. It is the holding company of a group of companies whose wholly-owned subsidiaries were consolidated for the first time as at March 1, 2012, along with the holding company itself. The consolidated subsidiaries are Bridgehead International Limited, Lincoln, UK, and Bridgehead USA Inc, Dover, Delaware, USA. The activities of all of the companies mentioned above are based in the Consumer Experiences sector. The purchase price of these acquisitions totaled EUR 77,274 thousand in the reporting year and was paid in full and in cash. Goodwill amounting to EUR 17,734 thousand resulted from these acquisitions, which relates to the Consumer Experiences sector. The goodwill primarily represents the expertise of these companies employees, which cannot be capitalized separately. As part of the above-mentioned acquisitions, off-balance sheet intangible assets and the relevant deferred taxes totaling EUR 32,832 thousand in net terms were disclosed. They mainly include capitalized panels and key accounts. The assets and liabilities taken over in the context of acquiring these consolidated companies are listed in the table below. Pre-merger As at acquisition date Non-current assets 21,872 77,174 Current assets 17,235 17,386 Cash and cash equivalents 11,556 11,556 Liabilities and provisions 23,971 46,592 The accumulated income of these companies since joining the GfK Group amounted to EUR 329 thousand. These companies have made a contribution totaling EUR 12,131 thousand to the GfK Group s consolidated sales for In the Consumer Choices sector, the following companies were merged as at January 1, 2012: Encodex Japan K.K., Osaka, Japan, was merged with GfK Marketing Services Japan K.K., Tokyo, Japan, IFR France S.A., Rueil-Malmaison, France, was merged with Institut Français de Recherche-I.F.R. S.A., Rueil-Malmaison, France, and GfK Music SARL, Rueil-Malmaison, France, was merged with Gfk Retail and Technology France SAS, Rueil-Malmaison, France. These intra-group mergers were solely for the purpose of simplifying the Group structure and have no immediate financial impact. Diluted earnings per share The earnings per share for the period from January 1 to March 31, 2012 were EUR 0.30 (January 1 to March 31, 2011: EUR 0.32). The diluted earnings per share also amounted to EUR 0.30 (January 1 to March 31, 2011: EUR 0.32). The last unexercised options issued in tranche 7 expired on December 31, Consequently, there is no dilutive effect.

29 Related parties Related parties are persons or groups which could be influenced by the GfK Group or could have an influence on the GfK Group. The following significant transactions with related parties are reported in the consolidated financial statements as at March 31, 2012: Liabilities relating to as yet unpaid profit shares of EUR 2,315 thousand (December 31, 2011: EUR 1,389 thousand) arose vis-à-vis The NPD Group Inc., Port Washington, New York, USA. 29 Loan obligations amounting to EUR 4,276 thousand (December 31, 2011: EUR 5,506 thousand) were due to GfK-Nürnberg, Gesellschaft für Konsum-, Markt- und Absatzforschung e.v., Nuremberg, the majority shareholder of GfK SE. In addition, there were loan obligations of EUR 3,121 thousand (December 31, 2011: EUR 3,088 thousand) to joint partners of SirValUse Consulting GmbH, Hamburg, with a remaining term of more than one year. The provisions for the Long-Term Incentive Programs (EUR 14,535 thousand; December 31, 2011: EUR 21,510 thousand) represent an obligation to selected members of the management of the GfK Group. Of this, EUR 14,535 thousand (December 31, 2011: EUR 11,974 thousand) have a remaining term of more than one year. Unless stated otherwise, receivables and liabilities in respect of related parties have a remaining term of up to one year. Contingent liabilities and other financial commitments There were no significant changes in contingent liabilities and other financial obligations compared with December 31, Unusual circumstances Circumstances which affect the assets, liabilities, equity, profit or loss for the period or cash flow and which are of an extraordinary nature, extent or frequency are dealt with in the introduction to this quarterly report and in the section of the interim management report on the risk and opportunity position. Segment reporting With the launch of the new corporate strategy on January 1, 2012, the three sectors, Custom Research, Retail and Technology and Media, were reorganized into two new sectors, Consumer Experiences and Consumer Choices. As a result, the GfK Group s organizational structure now comprises the above-mentioned new sectors and Other. The previous year s figures have been adjusted in line with the new structure. The Consumer Experiences sector concentrates on consumers attitudes, perceptions and behavior. These are explored through highly creative, robust and flexible methodologies. The former Custom Research business and ad hoc research from the Media sector are included in this new sector. The Consumer Choices sector investigates market dimensions, market currencies, media convergence and sales channels. This involves detailed, accurate and fast data, which reflects consumer decisions and behavior. The former Retail and Technology sector and the Media sector s TV, radio and print measurement businesses have been folded into the new Consumer Choices sector. Income from third parties comprises sales established in accordance with IFRS. Income with other sectors is earned only in the Other division. This is eliminated in the reconciliation to consolidated sales. In principle, intra-group transactions are recorded under the same conditions as for third parties. The Group measures the success of its sectors by reference to the adjusted operating income according to internal reporting. Adjusted operating income of a sector is determined from operating income before interest and taxes by eliminating the following expenses and income items: expenses and income in connection with reorganization and business combinations, write-downs of additional assets identified on acquisitions, personnel expenses for share-based remuneration systems and long-term incentives and remaining other operating income and expenses. The table below shows the information relating to the individual sectors for the first quarter of 2011 and in EUR 000 Income from third parties Inter-sector income Adjusted operating income Q Q Q Q Q Q Consumer Experiences 185, , ,678 7,858 Consumer Choices 123, , ,810 27,263 Other 1,240 1,623 13,847 15,443 2,033 1,574 Reconciliation ,847 15, Group 310, , ,455 33,547 Statement by the legal representatives To the best of our knowledge and in accordance with the applicable accounting principles for interim reporting, we confirm that the interim consolidated financial statements give a true and fair view of the assets, liabilities, financial position and profit or loss of the Group, and the interim Group management report includes a fair review of the development and performance of the business and the position of the Group, together with a description of the principal opportunities and risks associated with the expected development of the Group throughout the remaining months of the financial year.

30 5-year overview 2007 to 2011 according to ifrs 30 KEY INDICATORS INCOME STATEMENT Unit ) Sales eur million 1, , , , ,373.9 Change on prior year % Personnel expenses eur million Change on prior year % Depreciation/amortization 1) eur million Change on prior year % Adjusted operating income eur million , Change on prior year % Margin % ebitda eur million Change on prior year % Margin % Operating income eur million Change on prior year % Margin % Income from participations eur million Change on prior year % ebit eur million Change on prior year % Margin % Income from ongoing business activity eur million Change on prior year % Consolidated total income eur million Change on prior year % Tax ratio % ) Tangible and intangible assets 2) Adjusted by the effects of the settlement with ubm

31 5-year overview 2007 to 2011 according to ifrs 31 Key indicators balance sheet Unit Non-current assets eur million 1, , , , ,255.7 Change on prior year % Current assets eur million Change on prior year % Asset structure % Investments eur million Change on prior year % thereof in tangible assets 1) eur million Change on prior year % thereof in financial assets eur million Change on prior year % Equity eur million Change on prior year % Borrowing eur million Change on prior year % Total assets eur million 1, , , , ,745.6 Change on prior year % Net debt eur million Change on prior year % ) Tangible and intangible assets KEY INDICATORS cash flow STATEMENT Unit Cash flow from ongoing business activity eur million Change on prior year % Cash flow from investing activity eur million Change on prior year % Cash flow from financing activity eur million Change on prior year % Free cash flow eur million Change on prior year %

32 5-year overview 2007 to 2011 according to ifrs 32 key Indicator profitability Unit ) roce % Key indicators Company valuation Unit Earnings per share 1) eur Adjusted earnings per share 1) eur Free cash flow per share 1) eur Net debt in relation to equity (gearing) % ebit % ebitda % free cash flow % Dividend per share eur Total dividend eur million Dividend yield % Year-end share price 1) eur Weighted number of shares in thousands 35,682 35,884 35,947 35,967 36,407 1) Adjusted for capital increase 2) Adjusted by the effects of the settlement with ubm

33 5-year overview 2007 to 2011 according to ifrs 33 Sales by sectors and regions New structure Unit Sectors Sectors Custom Research eur million Consumer Experiences Change on prior year % Retail and Technology eur million Consumer Choices Change on prior year % Media eur million Change on prior year % Regions Regions Germany eur million Northern Europe Change on prior year % Western Europe / Middle East / Africa eur million Southern & Western Europe Change on prior year % Central and Eastern Europe eur million CEE/META Change on prior year % North America eur million Change on prior year % Latin America eur million no change Change on prior year % Asia and the Pacific eur million Change on prior year % Number of employees Unit At year-end Employees 9,070 9,692 10,058 10,546 11,457 Change on prior year %

34 Glossary of financial terminology 34 A adjusted operating income Adjusted operating income does not take into account highlighted items. The management uses this financial indicator in the Group-wide management of GfK s operating business. Affiliated companies Companies which are controlled by the parent. As a rule, the parent holds the majority of the voting rights and capital of the company. Associated companies Minority participations in companies on whose business or company policy a decisive, but not controlling influence is exercised. Associated companies are in principle valued at equity. C Cash flow Balance of funds inflow and outflow affecting payment. Cost of sales Total of all types of operating costs which can be directly allocated to clients orders. These include in particular costs for external data procurement, costs for interviewees and interviewers. D Deferred taxes Tax assets or liabilities reported in the balance sheet to equalize the difference between the tax debt actually assessed and the commercial tax burden based on the financial reporting in accordance with ifrs for the commercial balance sheet. The basis for determining deferred taxes is the difference between the value of the assets and liabilities reported in the balance sheet in accordance with ifrs and the local tax balance sheet. Dividend yield Dividend per share in relation to the annual closing price. E ebit Abbreviation for earnings before interest and taxes calculated as Operating income plus income from associates plus other income from participations. ebitda Earnings before interest, taxes, depreciation and amortization, calculated as ebit plus depreciation and amortization charges. Equity ratio Balance sheet equity in relation to total assets. The higher the indicator, the lower the level of indebtedness. F Free cash flow Cash flow from operating activity less capex. Sales less G Gross income from sales Cost of sales. ifrs The International Financial Reporting Standards (ifrs) are accounting principles developed and published by the iasb. In addition to the actual ifrs, the ias that are still valid and the interpretations of the ifric and sic are grouped under the ifrs. Income Adjusted operating income. Income from ongoing business activity ebit plus financial income less financial expenses. I M Minority participations Generic term for Associated companies and other participations. The participation quota is below 50%. N Net debt Liquid funds and securities less pension liabilities and financial liabilities. O Operating income Gross income from sales less selling and general administrative expenses plus other operating income less Other operating expenses. Other operating expenses Expenses in connection with ongoing business activity, excluding financial expenses, not attributable to Cost of sales or selling and general administrative expenses. Examples are impairments, losses from the disposal of fixed assets and exchange losses. P Pay-out ratio Total dividend in relation to consolidated total income. R Ratio of net debt to cash flow Net debt in relation to Free cash flow. Return on capital employed ebit in relation to average total assets. Return on equity Consolidated total income in relation to average shareholders equity. T Tax ratio Tax on income from ongoing business activity in relation to Income from ongoing business activity.

35 Provisional key dates in the financial calendar 35 dates 2012 dates MAY 2012 Annual General Meeting Fürth 14 AUGUST 2012 Interim report as at 30 June 1) 14 NOVEMBER 2012 Quarterly report as at 30 September 1) 12 March 2013 Annual Accounts Press Conference Nuremberg 15 MAy 2013 Quarterly report as at 31 march 16 MAy 2013 Annual General Meeting Fürth 14 AUGUST 2013 Interim report as at 30 June 1) 1) Publication is scheduled for before the start of the trading session in Germany 14 NOVEMBER 2013 Quarterly report as at 30 September 1) contacts Global Head of Corporate Communications Bernhard Wolf Tel Fax Publisher GfK SE Nordwestring Nuremberg This quarter report is available in German and English. Both versions and supplementary press information are available for download online from Date: March 15, 2012

36 Q quarterly report