Bertelsmann Interim Results 2009 Investor Conference Call

Transcription

1 Bertelsmann Interim Results 2009 Investor Conference Call August 31, 2009 Dr. Thomas Rabe, Member of the Executive Board and Chief Financial Officer, Bertelsmann AG

2 Highlights HY 2009 Solid performance despite challenging environment Revenue and Operating EBIT down due to economic crisis Net income impacted by special items High cash conversion rate Sound financing profile, adequate liquidity 2

3 Group key figures H Solid performance, high cash conversion in millions H Change H Revenue 7, % 7,198 Operating EBIT ROS 8.9% -2.3% p. 6.6% Proportionate operating BVA Operating BVA Operating free cash flow (adj.) Cash conversion rate (adj.) 111% +4% p. 115% Employees 1) 107,154 2) -3, ,452 1) Heads (end of period) 2) Figures as of December 31,

4 Bertelsmann HY 2009 Well diversified portfolio by region and category Group revenue HY 2009 by region Group revenue HY 2009 by category USA 13% RoW 5% 34% Germany Direct to Customer (D2C) 12% 27% Advertising 37% Rest of Europe 48% 24% Media services (B2B) Content 4

5 Divisions Weak advertising markets impacting RTL Group and Gruner + Jahr 1 st half-year Previous year (H1 2008) Actual (H1 2009) Organic growth -10.1% -9.6% -11.5% -2.1% -7.9% Revenue in billions Operating EBIT in millions RTL Group Random House Gruner + Jahr arvato Direct Group ROS 17% 14% 4% 3% 9% 5% 4% 5% neg. neg. 5

6 Group net income Marked by special items in millions H Change H Operating EBIT divisions Corporate Operating EBIT Special items thereof - Restructuring / Other Impairments Capital gains & losses EBIT Financial result Income taxes Earnings after taxes from disc. operations Net income thereof: share Bertelsmann shareholders thereof: share minority shareholders

7 Special items Restructuring expenses in all divisions, impairments particularly at RTL Group in millions H H Allowances on non-current assets / Restructuring Prinovis RTL Group Gruner + Jahr Other -37 Impairments Five (RTL Group) Alpha Media Group (RTL Group) Gruner + Jahr Other -22 Capital gains and losses Total

8 Cash flow statement High cash generation, reduced investments in millions H H Cash flow from operating activities thereof from discontinued operations 81 - Cash flow from investing activities thereof from discontinued operations CAPEX incl. financial assets Acquisitions (net of acquired cash) Proceeds from disposal, other Cash flow from financing activities thereof from discontinued operations Dividend payments Interest paid Change in financial debt Change in equity Change in cash and cash equivalents Cash conversion rate (adjusted for one-time effects) 111% 115% 8

9 Financial targets and Ratings Development Economic Debt, High Cash Conversion Economic debt (in millions) Rating Net financial debt Profit participation certificates Operating Leases 8,150 4, ,267 Pension provisions 1,676 7,551 6,834 4,488 3, ,131 1,105 1,226 1,415 Cash Conversion Rate 86% BBB Stable outlook Baa1 Negative outlook 111% 115% HY 07 HY 08 HY 09 HY 07 HY 08 HY 09 9

10 Liquidity Comfortable liquidity position and loans secure funding of maturities until 2011 and beyond in billions Term structure capital market financing < 1 year 17% > 5 years 37% EUR 4.4bn 46% 1 to 5 years Liquidity Dec 31, 2008 Bonds, Prom. Notes Redemptions 1HY 2009 Change in cash Liquidity June 30, 2009 Maturities until 2011 Unutilized Credit Facilities 10

11 Outlook Low visibility for FY 2009 Decline in revenue and operating results in FY 2009 No major investments / acquisitions for H Cost structures optimization and alignment with business expectations Prudent financing policy and cash focus 11

12 Q&A-Session August 31, 2009 Dr. Thomas Rabe, Member of the Executive Board and Chief Financial Officer, Bertelsmann AG