9M07 - Mediaset

G E S T E V I S I Ó N
T E L E C I N C O S. A.
November 2007
Morgan Stanley, TMT-Conference
|1|
Nine months 2007,
Leadership in Audience, Advertising and Profitability
Audience Share, Jan 1st- Nov 12th 07
9M06
9M07
Var. %
700.9
771.0
+10.0%
Total Operating Costs
383.6
EBITDA adj. ( mn)
321.9
EBITDA adj/Net Revenues 45.9%
409.4
+6.7%
366.2
47.5%
+13.7%
262.8
+14.6%
Total Net Revenues ( mn)
Net Profit ( mn)
FCF ( mn)
FCF/Total Net Revenues
Net Cash Positon
229.3
305.5
43.6 %
363.8
20.4
16.7
17.5
17.1
13.3
Commercial Target
PT 20:30
24 h TI
Audience Share, Sept 1st
366.5 + 20.0%
47.5 %
11.7
23.4
20.7
Nov 12th 07
24.2
16.5
16.4
15.0
13.0
n.a
24 h TI
Commercial Target
PT 20:30
GROUP
|2|
G E S T E V I S I Ó N T E L E C I N C O S.A.
BROADCASTING
WIDENING THE GAP
COMPANY PRESENTATION
2007, Widening the Gap, January 1st – November 12th
Audience Prime Time, Total Individuals (%)
Audience 24h, Total Individuals (%)
!
" # $
$
%& '
!
" # $$
%& '
Audience 24h, Commercial Target (%)
!
" #
%&
$
$
$
$
$
'
TL5 increases the gap with its main competitors
BROADCASTING
|4|
2007, Widening the Gap, September 1st – November 12th
20.7
16.5
Audience 24h, Total Individuals
16.4
14.3
4.6
7.5
12.0
2.7
Tem.
22.0
15.2
5.3
Loc
Prime Time (20:30), Total Individuals
16.3
14.4
3.8
7.7
11.4
2.6
Tem.
6.6
Loc.
TL5 begins the new season increasing the gap with competitors
BROADCASTING
|5|
2007, Widening the Gap, September 1st – November 12th
22.8
Audience 24h, Commercial Target*
16.5
12.9
11.3
8.8
14.1
4.4
2.8
Tem.
6.5
Local
24.2
15.0
13.0
Audience Prime Time (20:30), Commercial Target*
11.5
9.3
13.2
3.9
2.4
Tem.
7.8
Local
Strong leadership in Commercial Target
* Commercial target: Audience group comprising individuals from 16 to 59 living in communities of over 10,000 inhabitants
and across medium and upper social classes
BROADCASTING
|6|
2007, Widening the Gap, September 1st – November 12th
Audience 24h, Total Individuals,
TL5+A3TV+TVE1 = 100
)
(
(
(
)
(
(
(
* (
& (
& (
+,
--(
In the new season TL5 further improves its relative
competitive position vs main players
*From September 1st until November 12th
BROADCASTING
|7|
Leadership in all time slots, September 1st - November 12th 2007
Audience, Total Individuals
.
$+
(
!
!
"!
,
(
!
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,
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2
+
$, 3
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,4
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!
Telecinco maintains its outstanding leadership in all time slots
BROADCASTING
|8|
Leadership in Prime Time 2007
Audience Share Total Individuals (2007, September 1st - November 12th)
(Time Slot: 22:00-0:00)
Telecinco s prime time programmes continue to deliver strong audience shares all
throughout the week
BROADCASTING
|9|
The Best Programming line-up, September 1st - November 12th, 2007
Ranking of Programmes
(Audience, share % and thousand)
CHANNEL
$%
&'(
)
*+
,
Telecinco
places 12
programmes in
the top 15
ranking
&$
+
+
,
,
',$
2
3
-*
+
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* ,
.(
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$4,
Ranking of programmes: Only 2 broadcasts or more
'- ,
- *$
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) *
SHARE
"
'* ' * '
$%
THOUSAND
!#
#
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,' . /)0
BROADCASTING
| 10 |
Programming Mix 9M07
In-House Production
In-House Production vs. Library
31%
Library
7 &
5 ! , $8,3$
,5
5
7 4
,
0 5 ! 5
79.6
83.3
50%
19%
$6$.
$
!, !
7 &
5 !,
8,3$ ,
!,
5
7 4
,
Endemol
20.4
16.7
9M06
9M07
La fábrica de la tele
Mandarina
Alba Adriatica
In 9M07 Telecinco increases in-house production
BROADCASTING
| 11 |
Co-productions with participated companies
Company
Telecinco s
stake
(I)
Main contents produced for TL5
Average
audience
share
17.5%
28.2%
25%
28.2%
19.2%
21.4%
30%
21.6%
BROADCASTING
| 12 |
Co-productions with participated companies
Company
Telecinco s
stake
(II)
Main contents produced for TL5
Average
audience
share
21.7%
30%
21.6%
19.0%
21.5%
15%
26.1%
BROADCASTING
| 13 |
G e s t e v i s i ó n
T e l e c i n c o
S. A.
ADVERTISING
COMPANY PRESENTATION
Advertising Revenues, 9M07
Telecinco
Gross Advertising Revenues
(million )
+ 9.3%
739.9
15.3 %
Special Initiatives
(million )
676.7
+ 13.9%
84.7 %
9M07
113.2
99.3
9M06
9M07
9M06
9M07
Record advertising revenues have been reached in 9M07, with Special
Initiatives growing at a high rate, making 15.3% of total revenues
ADVERTISING
| 15 |
Commercial Strategy, 9M07
20.3%
- 4.7%
+0.4%
- 0.3%
739.9
9.3%
Prices increases allow further revenue expansion
Source: TNS and Publiespaña
ADVERTISING
+9.6%
TV gross Adv.
Revenues
C/GRP’s (20”)
GRP’s (20”)
SECONDS
Audience SHARE
| 16 |
Advertising Spanish TV Market
Sector Breakdown
Sector Growth
(% on total Adv sales)
(9M07 vs. 9M06)
Food
Other
20,0%
6,6%
9M07
9
16,3%
15,9%
Automotive
;
24,0%
Retail
,
8,2%
Telecom
9,1%
* ( :
3$6$<
* ( :
4
* ( :
,
#
,
5
Health&Beauty
Finance
!
:
* ( :
* ( :
3
.
* (
! $6$$/
& ( :
Source: Publiespana
ADVERTISING
| 17 |
G e s t e v i s i ó n
T e l e c i n c o
S. A.
FINANCIALS
COMPANY PRESENTATION
Margin Expansion
NET PROFIT (in million )
NET PROFIT/NET REVENUES (in %)
EBIT (in million )
EBIT/ NET REVENUES (in %)
361.5
317.3
212.6
305.2
45.3 %
46.9%
34.1%
,
32.7%
,
31.7%
45.5%
9M05
262.8
229.3
9M06
9M07
9M05
9M06
9M07
Operating margins continue growing
EBIT + 44.2 million (+ 13.9%) and Net Profit + 33.5 million (+14.6%)
FINANCIALS
| 19 |
Cash Flow Generation and Cash Conversion
FREE CASH FLOW
( million)
300,7
44,8%
305,5
366,5
+20,0%
43,6%
47,5%
9M06
9M07
FCF/ NET REVENUES
(in %)
9M05
Strong cash generation with high cash conversion
FCF increased by 61.0 million in 9M07 (+ 20.0%)
FINANCIALS
| 20 |
Net Investments
107.01 million
132.65 million
15.11
3.75
10.36
3.25
43.69
9M07
48.48
65.31
9M06
49.71
TV Rights
TV Rights
Co-production
Tangible &
non-Fiction
Fiction
Distribution
Intangible Fixed Assets
FINANCIALS
| 21 |
G e s t e v i s i ó n
T e l e c i n c o
S. A.
Multimedia platform
and DTT developement
COMPANY PRESENTATION
Developing a Multimedia Platform
Analog
Broadcasting
and Teletext
News web page
(Atlas) for the
Sale of content
Internet
ADSL
Podcasting
Agreement with ONO
to deliver content for
VOD and the Big
Brother and
Operacion Triunfo
24h channel and also
Sale of advertising
DTT
MPEG-2
MHP
Digital
Platform
Cable
Development of
interactive
applications
Mobil
UMTS (3G)
WAP
DVB-H
TV via
ADSL
Satellite
Thematic channel:
Big Brother
WAP telecinco.es
in Telefónica and
agreement for
content delivery
to Orange and
Vodafone.
Agreement with
Imagenio to deliver
content for VOD and
the Big Brother and
Operación Triunfo
24h channels. And
also Past sale of
content.
| 23 |
DTT, Audience Share January 1st – November 12th 2007
Technical Coverage: 85.38%
Household Penetration: 22.1%
Equipment: 6,111,859 units sold
,
! $
73
ene- 0 7
f eb - 0 7
$,
4
mar - 0 7
!
ab r - 0 7
Audience 24h, Total Individuals (%)
/=!
may- 0 7
,
# $
+..$
73
j un- 0 7
j ul - 0 7
+..$ 5, ! $3
ag o - 0 7
sep - 0 7
o ct - 0 7
N o v ( 1- 12 )
| 24 |
DTT Audience share in Spain
November 12th 2007: DTT audience 24h,
Total Individuals reaches 9.1%
Exclusive DTT
Channels account
an audience of
29%
2.6% with 14
channels
71%
The Analogical
Channels (6) in
simulcast on DTT
have an audience
of 6.5%
| 25 |
TELECINCO | Back up Slides
Consolidated Financial Statements
Balance Sheet
FINANCIALS
| 26 |
Consolidated Financial Results
( million)
9M07
9M06
Var. %
Total Net Revenues
771.0
700.9
10.0 %
(409.4)
(383.6)
6.7 %
(59.3)
(56.7)
4.6 %
Operating Costs
(229.6)
(210.7)
9.0 %
Amortisation & Depreciation
(120.5)
(116.1)
3.8%
EBIT
361.5
317.3
13.9 %
Pre-tax Profit
371.0
324.6
14.3 %
NET PROFIT after Minorities
262.8
229.3
14.6 %
EBITDA (1)
366.2
321.9
13.7 %
EBITDA/NET REVENUES
47.5 %
EBIT/NET REVENUES
46.9 %
NET PROFIT/NET REVENUES
34.1 %
45.9 %
45.3 %
32.7 %
Total Costs
Personnel
(1) Post-rights amortisation
FINANCIALS
| 27 |
Consolidated Cash Flow Statement
Diff. In
million
9M07
9M06
Initial Cash Position
396.1
355.8
40.3
Free Cash Flow
366.5
305.5
61.0
402.3
351.6
50.7
(132.6)
(107.0)
(25.6)
96.9
60.9
36.0
26.6
3.3
23.3
(464.5)
(11.6)
(452.9)
Dividends received
1.2
1.2
0.1
Dividend payments
(314.3)
(290.3)
(23.9)
Total Net Cash Flow
(384.4)
8.0
(392.5)
Final Cash Position
11.7
363.8
(352.1)
47.5%
43.6%
( million)
Cash Flow from Operations
Net Investments
Change in Net Working Capital
Change in Equity
Financial Investments
Free Cash Flow/Total Net Revenues
FINANCIALS
| 28 |
Consolidated Profit & Loss Account (I)
( million)
9M07
9M06
%07/06
Gross Adv. Revenues
-Telecinco
-Other
Discounts
Net Advertising Revenues
Other revenues
750.54
739.89
10.65
(32.62)
717.92
53.03
685.08
676.70
8.38
(29.38)
655.69
45.18
9.6%
9.3%
27.1%
11.0%
9.5%
17.4%
TOTAL NET REVENUES
770.95
700.87
10.0%
(59.35)
(115.85)
(229.60)
(404.80)
(56.73)
(111.46)
(210.72)
(378.91)
4.6%
3.9%
9.0%
6.8%
366.16
321.96
13.7%
Personnel
Rights Amortisation
Other Operating Costs
Total Costs
EBITDA adj *
* Post-rights amortisation
FINANCIALS
| 29 |
Consolidated Profit & Loss Account (II)
( million)
9M07
9M06
%07/06
366.16
321.96
13.7%
(4.61)
(4.64)
(0.8%)
361.55
317.31
13.9%
Equity Consolidated Results
2.56
0.49
n.a.
Financial Results
6.86
6.82
(0.5%)
370.97
324.62
14.3%
(108.74)
(95.07)
14.4%
0.59
(0.25)
n.a.
262.82
229.30
14.6%
EBITDA*
Other Amortisation & Depreciation
EBIT
EBT
Income Taxes
Minority Interests
Net Profit
* Post-rights amortisation
FINANCIALS
| 30 |
Consolidated Balance Sheet
( million)
9M07
9M06
2006
531.03
214.03
132.93
27.85
53.26
71.71
224.59
153.52
16.91
54.15
74.95
201.78
133.91
20.67
47.21
16.13
17.50
17.95
TOTAL NON-CURRENT ASSETS
761.19
313.81
294.68
Current assets
Financial investments and cash
TOTAL CURRENT ASSETS
174.79
72.51
247.31
164.25
366.83
531.07
237.68
399.18
636.87
1,008.49
844.88
931.55
574.13
89.80
0.80
59.72
150.32
282.96
1.09
284.05
513.44
73.26
1.50
1.97
76.73
253.69
1.02
254.71
598.98
79.07
1.40
1.98
82.46
249.05
1.06
250.12
1,008.49
844.88
931.55
Tangible assets
Audiovisual Rights and Pre-payments
- TV, Third Party Rights
- TV, Spanish Fiction Rights
- Co-production / distribution
Pre-paId taxes
TOTAL ASSETS
Shareholders’ equity
Non-current provisions
Non-current payables
Non-current financial liabilities
TOTAL NON-CURRENT LIABILITIES
Current payables
Current financial liabilities
TOTAL CURRENT LIABILITIES
TOTAL LIABILITIES
FINANCIALS
| 31 |
Endemol NV 9M2007, P&L Highlights
( million)
9M 2006*
9M 2007
%07/06
Net Consolidated Revenues
877.08
915.85
4.4%
EBITDA
157.32
168.77
7.3%
EBITDA incl. LTIP EN-SOP
149.04
142.00
-4.7%
EBIT
137.51
116.36
-15.4%
75.33
67.52
-10.4%
Net Profit
*Pro forma including France
FINANCIALS
| 32 |
TELECINCO | Back up Slides
Audience Share January November 2007
BROADCASTING
| 33 |
2007, Widening the Gap, January 1st – November 12th
20.4
17.5 17.1
Audience 24h, Total Individuals
14.4
4.7
7.6
11.3
3.0
Tem.
20.8
16.9
16.7
15.0
3.8
Loc
Prime Time (20:30), Total Individuals
4.2
8.0
10.8
2.9
Tem.
4.5
Loc.
TL5 maintains audience above 20% in spite of fragmentation
BROADCASTING
| 34 |
2007, Widening the Gap, January 1st – November 12th
22.7
Audience 24h, Commercial Target*
17.5
13.4
11.5
9.2
13.5
4.5
3.1
Tem.
4.6
Local
23.4
16.7
13.3
Audience Prime Time (20:30), Commercial Target*
12.0
9.7
12.7
4.3
2.6
Tem.
5.1
Local
Strong leadership in Commercial Target
* Commercial target: Audience group comprising individuals from 16 to 59 living in communities of over 10,000 inhabitants
and across medium and upper social classes
BROADCASTING
| 35 |
TELECINCO | Back up Slides
Internet Share January September 2007
BROADCASTING
| 36 |
Internet, TL5’s web leader betwen the broadcasters
Monthly evolution of unique users*
*Source: Nielsen
BROADCASTING
| 37 |
Internet, TL5’s web leader betwen the Spanish media
September 2007 figures*
WEB
elmundo.es
elpais.com
marca.com
20minutos.es
Telecinco
Antena 3
portalmix.com
La Sexta
Cuatro
Univision.com
rtve.es
Vocento TV Network
BBC
Televisió de Catalunya
Plus.es
Unic Users Pages visited Average pages
/000
/000
visited per user
5,166
277,577
53.72
3,697
130,791
35.38
3,612
195,854
54.22
2,758
91,864
33.31
2,529
71,834
28.40
1,200
10,938
9.12
1,110
27,632
24.89
1,104
11,501
10.42
1,069
37,149
34.75
885
12,359
13.97
774
5,994
7.74
679
13,060
19.23
Newspapers
667
4,369
6.55
Broadcasters
646
19,587
30.32
Others
630
12,309
19.54
Telecinco s web is the n 1 Spanish broadcasting web
for unique users and total pages visited
*Source: Nielsen
BROADCASTING
| 38 |
TELECINCO | Back up Slides
4. Spain, Outlook for GDP Growth
| 39 |
Spain, Outlook for GDP Growth and Inflation
EUROPE AND SPAIN
Summary of relevant macroeconomic indicators & projections (% Variations)
In 2008 Spanish economy is expected to grow more than Euroland but
with higher inflation.
*Source: European Union
ECONOMICS
| 40 |
Investor Relations Department
Phone: +34 91 395 67 83
Fax: + 34 91 396 66 92
Email: [email protected]
WEB: http://www.inversores.telecinco.es/en/home.htm
DISCLAIMER
Statements contained in this document, particularly the ones
regarding any Telecinco possible or assumed future
performance, are or may be forward looking statements and
in this respect they involve some risks and uncertainties.
Telecinco 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 Telecinco shall not be
taken as an indication of future performance.
The content of this document is not, and shall not be
considered as, an offer document or an offer or solicitation to
buy or sell any stock.
| 41 |
G e s t e v i s i ó n
T e l e c i n c o
S. A.
November 2007
Morgan Stanley, TMT-Conference
www.inversores.telecinco.es