Impresa

Investor Day 2008
IMPRESA Strategy for 2008
IMPRESA
www.impresa.pt
Lisbon, November 28th, 2007
Agenda
1. Group Structure
2. Advertising Market
3. IMPRESA Digital
4. EDIMPRESA
5. IMPRESA Jornais
6. SIC
7. Financials
8. Objectives
2
Main drivers for 2008
ƒ Improving economic environment in Portugal
ƒ Business expansion, driven by new activities
ƒ Multimedia part II : Internet
ƒ Focus in cost control
3
The Group Structure
100%
Newspapers
50%
100%
Television
Magazines
-Dialectus
- TDN (July 08)
4
100%
Multimedia
-ITL
- InfoPortugal
Advertising Market
IMPRESA Strategy for 2008
5
Advertising Market in Portugal
ƒ Although, the ad market is driven by GDP growth, large
events will play a bigger role in 2008
ƒ The year of 2008 will be marked big events
Œ
Œ
Œ
Œ
European Soccer Championships
Peking Olympics
Winter Olympics
Rock-in-Rio III
6
Ad Market – Estimates for 2008
Jun-07
Dec-07
2008
2,4%
1,7%
2,4%
21,0%
16,1%
4,0%
2,3%
2,4%
1,0%
-2,3%
-2,0%
1,0%
4,5%
4,6%
2,0%
TV
Cable
Press
Radio
Outdoor
Cinema
Internet
-8,4%
-9,0%
0,5%
136,4%
119,7%
90,0%
Total
4,1%
3,7%
3,9%
Source: Media Agencies & IMPRESA
ƒ Internet Advertising will be the fastest growing segment
ƒ By 2009, Internet adverting will represent 6% of the market,
overtaking Radio and Cable.
7
Digital
IMPRESA Strategy for 2008
8
IMPRESA Digital – B2C to B2B
9
2007: aeiou
ƒ January: new logo
ƒ March: new portal
design, new aeiou.pt
ƒ BLá confirmed as the
most popular chat room
10
2007: aeiou
Internal
ƒ January: new logo
ƒ March: new portal
design, new aeiou.pt
ƒ Fine tune of editorial
strategy
ƒ Consolidation of
community sites
ƒ Consolidation of
software solutions
Outside Services
Plataform / Service Ad-Server [Zahir3]
Plataform AEIOU content management / community [Token/d]
11
2008:aeiou
ƒ December: facelift aeiou.pt
ƒ To help integrate the sites
of Group IMPRESA – Blitz,
Visão, Turbo already present
ƒ New features
12
ITL – IMPRESA Turismo e Lazer
ƒ Starting from the Expresso guides, both in paper and Internet
ƒ To become the market leader in the production of multiplataform contents
for the tourism and leisure in Portugal
Supply contents to the group IMPRESA
and other clients
13
MyGames.pt Concept
ƒ
MyGames is a cross-media project, with
presence on Internet, on Press and
Television.
ƒ
Objective is to create a Portuguese
marketplace in the videogames world, from
publishing the best editorial to digital
distribution
ƒ
Mygames
−
−
−
TV show (July)
Games Magazine (Sept)
Games Portal in Oct
14
MyGames in the Internet – since Oct07
15
MyGames on Press and TV
ƒ Multiplatform brand
ƒ For 2008:
− introduction of GOD – Games-onDemand by subscription
− Online store, to distribute of
games from the major platforms
16
ƒ Digital Guest Services
−
Fully digital, interactive, easy customisation and
capacity to cross sell other products
ΠVideo, Internet, Customer Services
ƒ 20,000 rooms, already under contract to roll out
until 2010.
−
−
−
−
−
−
6 Hotel chains
80 Hotels
1º Hotel started in July
8 hotels open by end Oct – 1,800 rooms
4,000 – 14 hotels - by end of 2007
Hotels in Brazil by end of 2008
ƒ In 2008, to install 6,000 rooms
ƒ Objective: To have 40,000 rooms by 2010
17
InfoPortugal
ƒ Background
−
Founded in 2001, at Oporto
− Team of 50 people
− Continuous growth, with profitability from the start
ƒ Main activities
−
Databases of geo referenced digital contents
− Developed of solutions to market the digital contents
ƒ Portfolio
−
Largest cartography database and POI in Portugal
− Digital aerial photo of all territory
− Specialized solutions: portals, 3D modelling,
simulators
18
INFOPORTUGAL
ƒ Cartography 2D of Oporto and Lisbon
−
170.000 Km of roads
ƒ POI – Over 71.000 Points of interest
−
Hotels, Restaurants, Monuments, Museums, Teathers,
Cinemas, Beach’s, Public Services pharmacies ...
ƒ Synergies with Expresso BCBM and Actual
ƒ Photos (10.000+)
ƒ Total coverage of mainland Portugal and
Islands by end of 2007
ƒ Began POI coverage of Spain
19
Launch of Impresa.com
ƒ Internet Sales House
20
Magazines
IMPRESA Strategy for 2008
21
Magazines Top 10
22
Performance main Magazines
Circulation Numbers
180.000
Circulation Numbers
2007
100.000
160.000
+9.8%
+9.8%
140.000
2007
90.000
+2.4%
+2.4%
80.000
70.000
120.000
2006
60.000
2006
100.000
50.000
80.000
40.000
60.000
J an
F ev
M ar
Abr
M ai
Jun
J ul
Ago
S et
O ut
Nov
Jan Fe v M ar Abr M ai Jun Jul Ago Se t Out Nov De z
D ez
Circulation Numbers
Circulation Numbers
2007
120.000
29.000
110.000
100.000
2007
2006
27.000
-0.4%
-0.4%
25.000
90.000
23.000
80.000
21.000
70.000
19.000
2006
17.000
60.000
Jan Fe v M ar Abr M ai Jun Jul Ago Se t Out Nov De z
15.000
Jan Fe v M ar Abr M ai Jun Jul Ago Se t Out Nov De z
23
+9.6%
+9.6%
Re-launch of Visão
Circulação paga Jan 06-Out 2007
160.000
140.000
120.000
Visão
100.000
Sábado
80.000
60.000
24
Ju
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7
Se
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7
7
ai
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M
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-0
7
M
Ja
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No
v06
Ju
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6
Se
t-0
6
6
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-0
M
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6
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Ja
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40.000
Internet Presence
Brand
2006
Launching year
Business Model
Advertising
Advertising
Advertising
25
Print and Digital
Associated products
Subscriptions selling
selling
-
-
The Contents for the Digital Offensive
Women
Women
Brands
People
People
Men
Men
Home
Travel
General Interest
Food & Home and Health & Parenting
Auto
Business
Computer/Gadget
Media Guide
Information
Information
Culture
Auto
Kids
Computer
Business
Tennager
Transaction
Travel
26
27
Netjovens.pt
ƒ Community Site developed for teenagers
ƒ 15 millions of monthly page views
ƒ 243.000 registered users
ƒ Portal with web 2.0 characteristics : Blogs, chat’s, Photo Albuns,
message board, Smiles, Friend’s list (like hi5) e some targeted
contents
ƒ Today uses Google Adsense to capture advertising (8.000€/m)
ƒ Objectives for 2008:
−
−
−
More Users
More contents – SIC news , Visão and Caras
New functionalities - UGC, “Espaço Emprego”
28
29
Main drivers of 2008
ƒ Focus is Multimedia – read Internet – launches
happening right now!
− Revenue model driven by advertising, transaction’s and
Mobile content
ƒ 5 New Websites, bringing the total to 8 editorial websites
ƒ Maintain circulation of principal magazines with restyling
ƒ Cost evolution favourable.
30
Newspapers
IMPRESA Strategy for 2008
31
Evolution in 2007 – Main trends
ƒ EXPRESSO renovation is a success
−
Maintain overall circulation
− Expands the advertising share
− Multiplatform newspaper
ƒ AutoSport and Blitz turnaround’s
ƒ Courrier with small improvement’s
ƒ First full year of IMPRESA Classificados
ƒ Costs, after the re-launches, are under control
32
Expresso Re-launch
Expresso Circulation Num bers
230.000
2007
210.000
190.000
170.000
150.000
2006
130.000
110.000
90.000
70.000
50.000
1
33
2
3
4
5
6
7
8
9
10
11
12
Expresso Re-launch
Average Paid Circulation
Sept06 to Sept07
Sol
Expresso
0
20.000
40.000
60.000
80.000
Copies per edition
34
100.000
120.000
140.000
New www.expresso.pt
ƒ 134 Videos
ƒ 452 SlideShows
35
AutoSport & Blitz
Autosport Circulation Numbers
15000
Site AutoSport :
pageviews
grows 365% to
1.6 M
13000
2006
2007
11000
9000
7000
5000
1
2
3
4
5
6
7
8
9
10
11
12
Blitz Circulation Numbers
2006
19000
2007
17000
Site Blitz :
pageviews
grows 523% to
0.9 M
15000
13000
11000
9000
7000
5000
1
36
2
3
4
5
6
7
8
9
10
11
12
www.autosport.pt & www.blitz.pt
37
What to expect from 2008
ƒ Re-launch of Courrier as a magazine
ƒ Cover prices
ƒ Advertising online – strong growth over 2007 figures
ƒ Focus on Events
ƒ Cost environment is favourable
38
Television
IMPRESA Strategy for 2008
39
SIC Universe
40
SIC Diversification Drive
SIC Revenues Mix 2000
Subscription
0,7%
M e rchandising
1,3%
Othe rs
3,3%
Adv e rtising
94,7%
SIC Revenue Mix Sept 2007
Multimedia
10,2%
Others
1,4%
Subscription
18,3%
Advertising
62,8%
GMTS
1,8%
Merchandising
2,0%
41
Audience Performance
Morning Audiences- Quarterly average
27,1%
26,7%
25,6%
26,6%
Afternoon Audiences - Quarterly average
27,3%
26,8%
27,5%
27,5%
25,8%
25,2%
25,2%
24,8%
25,3%
24,1%
22,6%
1ºQt 06
2ºQt 06
3ºQt 06
4ºQt 06
1ºQt 07
2ºQt 07
3ºQt 07
1º Qt 06
Oct/Nov
2º Qt 06
3º Qt 06
4º Qt 06
1º Qt 07
2º Qt 07
3º Qt 07
22,2%
Oct/Nov
Late Night Audiences- Quarterly average
Prime-Time Audiences - Quarterly average
29,2%
29,9%
26,7%
30,6%
29,1%
27,2%
27,9%
25,9%
26,8%
25,0%
24,7%
23,2%
1ºQt 06
30,4%
2ºQt 06
3ºQt 06
4ºQt 06
1ºQt 07
2ºQt 07
3ºQt 07
25,3%
23,8%
24,2%
Oct/Nov
1ºQt 06 2ºQt 06 3ºQt 06 4ºQt 06 1ºQt 07 2ºQt 07 3ºQt 07 Oct/Nov
42
Thematic channels
Cable Audiences up to Oct 2007 (%)
11,7
10,6
AXN
Panda
8,2
5,3
FOX
Hollywood
4,9
RPTN
4,9
ƒ SIC Noticias is already in
Angola, Moçambique,
Cabo Verde and USA
3,8
SportTV
ƒ SIC Internacional
maintains growth rate,
with over 140,000
subscribers.
3,5
3,3
Odisseia
ƒ SIC Notícias kept number
one spot
3,1
43
Multimedia becomes a strong revenue driver
ƒ Internet portal –
downloads, video’s,
advertising
ƒ Mobile TV started in April
2007, with Vodafone
ƒ 1st generation IVR –
“Domino” and “Arvore
das Patacas”- started in
2006
ƒ 2nd generation IVR – Call
TV
44
Turn TV hits into merchandising success
ƒ Sold over 300,000
CD’s in 2007
ƒ Five platinum CD’s in
2007
ƒ Over 200 lines of
products
ƒ Pc & Mobile Games
45
GMTS & DIALECTUS
ƒ Market leader in TV services –
translactions, dubbing and
subtitling.
ƒ Over 6500 titles
ƒ Expanding to Websites
ƒ GMTS no1 in TV production
services
ƒ New business - Bloom
ƒ For 2008, the objective is to
increase its international
presence - Spain
46
TDN - Terra Do Nunca Produções
ƒ Partnership between SIC and TG, to produce fiction. SIC holds 30%,
which will increase to 60% by July 2008.
ƒ In 2007, it produced “Chiquititas” and “Resistirei”
ƒ 3 Studios with an area 3,300 sqm
ƒ Currently up to 350 people working.
ƒ In 2008, aims to produce up to 800 hours of soap’s
ƒ It will start to be consolidate from the 3rd quarter 2008
47
Financials
IMPRESA Strategy for 2008
IMPRESA
48
Investments
ƒ Capex rises on investment on:
−
IMPRESA Digital
ΠDGS
11 M€
9.5 M€
4.5 M€
2005
−
4.5 M€
2006
ΠDigitalisation + HD
−
7 M€
Sept 07
SIC
2008e
Internet
ƒ Newspaper and magazines is
now more maintenance capex,
after the pick-up in internet
investment in 2007
ƒ WC stabilizes, as fiction
production goes into cruise
49
IMPRESA Revenues
Revenues Evolution 2008e (M€)
12
4,3
300,0
34,3
55,4
202,2
Television
Newspapers
Magazines
IMPRESA Digital
50
Inter-segments
Revenues 2008e
EBITDA Evolution
EBITDA Evolution 2008e (M€)
1,1
3,0
2,6
11,5
55,0
42
Television
New spapers
Magazines
IMPRESA Digital
51
Holding Costs
EBITDA 2008e
IMPRESA Net Profits
Net profits 2008e (M€)
9,5
12,5
55,0
9,2
1,6
22,2
EBITDA 08
Depreciation
Financials
Taxes
52
Minorities
Net Profit 08
Conclusions
ƒ Growing revenues, new business
ƒ Multimedia, with more focus on the Internet
ƒ Improve profitability
ƒ Reduce Debt
Objectives for 2008
Turnover
300 M€
EBITDA
55 M€
Net Profit
22 M€
53
Investor Day 2008
IMPRESA Strategy for 2008
IMPRESA
Lisbon, November 28th, 2007
www.impresa.pt
54