Company presentation - Axel Springer SE · 2 Company presentation This document, which has been...

Company presentationMarch 2019

Disclaimer

Company presentation2

This document, which has been issued by Axel Springer SE (the "Company"), comprises the written materials/slides for a presentation of the

management.

Whilst all reasonable care has been taken to ensure that the information and facts stated herein are accurate and that the opinions and

expectations contained herein are fair and reasonable no representation or warranty, express or implied, is given by or on behalf of the Company,

any of its directors, or any other person as to the accuracy or completeness of the information or opinions contained in this document and no

liability is accepted for any such information or opinions.

This document contains forward looking statements which involves risks and uncertainties. These forward looking statements speak only as of the

date of this document and are based on numerous assumptions which may or may not prove to be correct. The actual performance and results of

the business of the Company could differ materially from the performance and results discussed in this document.

The Company undertakes no obligation to publicly update or revise any forward looking statements or other information contained herein whether

as a result of new information, future events or otherwise.

This document does not constitute or form any part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe

for, any securities in any jurisdiction, nor shall they or any part of them nor the fact of their distribution form the basis of, or be relied on in

connection with, any contract or investment decision in relation thereto.

Investment highlights


Axel Springer: Digital company with 71% of revenues and 84% of adj. EBITDA

from digital activities

Organic growth in digital revenues at 9.6% in FY/18 – investing into further growth

potential in digital

A leading player in digital classifieds – classifieds contributing 61% to adj. Group EBITDA

A leading digital publisher – attractive reach and strong brands delivering profitable growth

in digital content

Strong alignment of shareholder and management interests: Total shareholder

return-based incentivization and management share ownership of ~3%

High M&A firepower due to strong balance sheet and free cash-flow

High and stable or slightly growing dividend

38%

47%

13%

2%

Axel Springer financials at a glance


61%28%

11%

GuidanceRevenues by segment1

Adj. EBITDA by segment1,2

1) Based on FY/18 figures. 2) Negative EBITDA S/H allocated proportionally to operative segments. 3) Subject to approval by AGM. 4) Adjusted for consolidation and FX effects.

Classifieds Media

Services / Holding

Marketing Media

News Media

2018 Outlook 2019 (reported) Outlook 2019 (organic4)

Revenues in €m 3,180.7 Low single-digit % growthLow to mid single-digit

% growth

EBITDA (adj.) in €m /

margin in %

737.9 /

23.2%On prior-year level

Low to mid single-digit

% growth

EBIT (adj.) in €m /

margin in %

527.9 /

16.6%Low single-digit % decline Low single-digit % growth

EPS (adj.) in € 2.73Stable to low single-digit

% declineSingle-digit % growth

DPS (FY 2018) in €3 2.10 --- ---

2018: Growth in revenues, profits and dividend

5

Revenues €3,180.7m (+4.1% reported, +3.8% organically)

adj. EBITDA €737.9m (+14.3% reported, +8.5% organically)

adj. EBIT €527.9m (+4.7% reported, +6.4% organically)

adj. eps €2.73 (+5.1% reported, +8.3% organically)

Dividend proposal of €2.10 (PY: €2.00)

Company presentation

84% of adj. EBITDA from digital activities – digital

revenues with organic growth of 9.6% in FY/18

6

digital

Revenues adj. EBITDA

digital

71% 84%


We have achieved our goals for 2018

7

Further growthin classifieds

Deliver on stableadj. EBITDA

guidance forNews Media

Explore furtherpotential from

technology & data

Break-even at Insider Inc.


Classifieds 2018: Strong growth and attractive

investments

8

Continued strong organic topline growth of 11.4% – StepStone again the growth

engine with 16.9% organic growth

Classifieds most important profit contributor – 60.5% of adj. EBITDA

Successful integration of Logic-Immo (Real Estate) and Universum (Jobs)

Investments into hybrid real estate agents to tap into additional revenue pools


News Media 2018: Delivering on targets – excellent

progress with digital content

9

Excellent performance at upday and Politico – both on track to profitability in 2019

$

Financial targets achieved

Insider Inc.: Revenue target and profitability achieved in FY/18,

became second-most-read general news brand in the United States

Digital subscriptions at BILD and WELT reach 512k at year-end (+10.9% yoy)


General news category

Insider Inc.: Second most-read general news brand in the US

Business news category

>40%

20%

10

Total digital unique visitors in million Total digital unique visitors in million

Source: Comscore, 12/2018.

134

91 90 87 8473 70 70 64

76 72

60 5647

29 2823

19


Outlook 2019

11

Continue with our successful

path

▪ Focus on classifieds and

content – Further growth of

classifieds, further digitization

of content

▪ Leverage potential from

technology and data

Selectively invest for further top-line growth

▪ Further strengthen and leverage Stepstone‘s marketposition

▪ Expanding product range in Real Estate classifieds

▪ Insider Inc.: Re-investing near-term profits for further growth

+

Create mid- and long-term shareholder value


Outlook 2019 – Group

12

Group

reported organic1

Low single-digit % growth Low to mid single-digit % growth

On prior-year level Low to mid single-digit % growth

Low single-digit % decline Low single-digit % growth

Revenues

Adj. EBITDA

Adj. EBIT

1) Adjusted for consolidation and FX effects.

Stable to low single-digit %

declineSingle-digit % growthAdj. eps


Outlook 2019 – Segments

13

1) Adjusted for consolidation and FX effects. 2) Higher negative EBITDA/EBIT.

reported organic1

Classifieds Media high single-digit to low double-digit % growth high single-digit to low double-digit % growth

News Media low to mid single-digit % decline low single-digit % decline

Marketing Media low single-digit % decline high single-digit % growth

Services/Holding low double-digit % decline low double-digit % decline

Classifieds Media low to mid single-digit % growth mid single-digit % growth

News Media on prior-year level on prior-year level

Marketing Media low to mid single-digit % growth high single-digit to low double-digit % growth

Services/Holding double-digit % decline2

double-digit % decline2

Classifieds Media on prior-year level low to mid single-digit % growth

News Media low single-digit % decline on prior-year level

Marketing Media low single-digit % decline high single-digit % growth

Services/Holding high single-digit to low double-digit % decline2

high single-digit to low double-digit % decline2

Revenues

Adj. EBITDA

Adj. EBIT


Financials 2018

2018 adj. Group EBITDA up 14.3%, organic increase

of 8.5%

15

▪ Strong organic increase of adj. EBITDA in Q4/18 (+13.7%) driven by Jobs Classifieds and News Media

▪ Adj. EBIT of €527.9m in FY/18 up by 4.7% yoy (organically up by 6.4% yoy)

in €m 2018 yoy org.1 Q4/18 yoy org.1

Revenues 3,180.7 4.1% 3.8% 854.7 2.6% 4.4%

Advertising 2,159.4 7.2% 6.3% 590.2 3.4% 5.5%

Circulation 591.7 -6.5% -4.8% 142.6 -4.5% -2.3%

Other 429.6 5.2% 4.7% 121.8 7.4% 8.2%

adj. EBITDA 737.9 14.3% 8.5% 196.5 14.0% 13.7%

Margin 23.2% 2.1pp 23.0% 2.3pp

1) Adjusted for consolidation and FX effects, as well as for IFRS 16 effects for adj. EBITDA.

FY2018


16

Classifieds Media: adj. EBITDA up 26.5% in Q4/18,

organic increase of 21.0%

▪ Both revenue and adj. EBITDA increase driven by strong organic growth as well as consolidation

effects from Logic-Immo (Real Estate) and Universum (Jobs). Adj. EBITDA also positively impacted by

effects from adoption of IFRS 16

▪ Margin up slightly in Q4/18 yoy, FY/18 margin down due to investments

▪ Adj. EBIT of €406.7m up by 12.7% yoy (organically up by 10.6% yoy)

1) Adjusted for consolidation and FX effects, as well as

for IFRS 16 effects for adj. EBITDA. in €m 2018 yoy org.

1 Q4/18 yoy org.1

Revenues 1,212.5 20.3% 11.4% 322.3 22.8% 13.3%

Advertising 1,167.4 17.9% 11.8% 306.8 19.0% 13.8%

Other 45.1 >100 % -12.5% 15.5 >100 % -14.9%

adj. EBITDA 487.2 17.9% 11.4% 133.6 26.5% 21.0%

Margin 40.2% -0.8pp 41.5% 1.2pp

FY2018


Jobs classifieds organic revenue growth remains

strong with 16.9% (prior year 17.0%)

1717

34%

▪ Strong finish of the year with organic revenue growth of 18.2% in Q4/18 and significant margin expansion

▪ Organic revenue growth again driven by Continental Europe (+22.3%) and especially StepStone

Germany (+25.0%)


1) Adjusted for consolidation and FX effects, as well as for IFRS 16 effects for adj. EBITDA. 2) Total adj. EBITDA of Classifieds Media subsegments does not equal Classifieds Media

segment adj. EBITDA which includes costs of €10.9m in 2018 and €8.5m in 2017 (thereof business development, M&A and other), not allocated to the three subsegments.

Jobs


Revenues 602.6 21.5% 16.9% 171.0 25.1% 18.2%

adj. EBITDA2 245.5 20.9% 14.0% 79.8 40.6% 33.2%

Margin 40.7% -0.2pp 46.7% 5.2pp

FY2018


Real Estate: Strong revenue and adj. EBITDA growth

due to good operative performance and M&A

1818

▪ Reported revenue growth of 29.4% driven by consolidation effects from Logic-Immo (organic revenue

increase 6.1%) in 2018

▪ Organic increase of adj. EBITDA of 11.7% mainly due to strong margin improvement at Immowelt

(41.9%), decline of reported margin due to full consolidation of Logic-Immo and at-equity consolidation

of Purplebricks (organic margin increase of 2.7pp)


Real Estate


Revenues 375.3 29.4% 6.1% 97.1 30.3% 5.8%

adj. EBITDA2 172.6 18.1% 11.7% 40.0 9.5% 8.4%

Margin 46.0% -4.4pp 41.2% -7.8pp



FY2018


General/Other with strong finish to the year

1919

▪ Strong organic revenue increase of 10.9% in Q4/18 driven by @Leisure

▪ Car&Boat Media with healthy mid single-digit revenue growth in FY/18, Yad2 with negative impact from

changes in the regulatory environment for real estate


General/Other

in €m 2018 yoy org.1 Q4/18 yoy org.

1

Revenues 234.6 5.8% 5.9% 54.2 5.9% 10.9%

adj. EBITDA2 79.9 10.5% 5.2% 16.5 18.2% 10.1%

Margin 34.1% 1.4pp 30.5% 3.2pp



FY2018


News Media delivers on its guidance

20

1) Adjusted for consolidation and FX effects, as well as IFRS 16 effects for adj. EBITDA.

▪ Organic revenue development almost stable (-0.3%)

▪ 38.5% of revenues from digital activities (prior year: 33.9%)

▪ Adj. EBITDA reported up by 4.3%, driven mainly by effects from IFRS 16 (organically down by 3.5%) – in line with mid-

term guidance given in 2017. Significant adj. EBITDA improvement in International driven by operative improvements at

upday, Insider Inc. and Politico

▪ Adj. EBIT of €158.2m down by 13.6% yoy (organically down by 12.5% yoy)

in €m 2018 yoy org.1 Q4/18 yoy org.

1 2018 yoy org.1 2018 yoy org.

1

Revenues 1,496.2 -0.9% -0.3% 406.6 -1.9% -0.7% 1,070.4 -3.5% -4.2% 425.7 6.3% 10.9%

thereof digital 575.7 12.5% 11.8% 174.2 12.1% 11.1% 297.5 11.3% 8.4% 278.1 13.9% 15.5%

digital share of revenues 38.5% 4.6pp 42.9% 5.4pp 27.8% 3.7pp 65.3% 4.4pp

Advertising 678.5 1.9% 1.6% 197.9 -2.9% -2.2% 432.4 -3.5% -5.4% 246.1 13.0% 16.3%

Circulation 592.0 -6.5% -4.8% 142.6 -4.5% -2.3% 474.6 -6.0% -6.0% 117.4 -8.6% 0.1%

Other 225.7 7.2% 7.3% 66.1 7.9% 8.1% 163.4 4.6% 5.0% 62.3 14.6% 13.8%

adj. EBITDA 228.2 4.3% -3.5% 63.1 17.6% 13.6% 161.2 -2.0% -8.9% 67.0 23.5% 14.2%

Margin 15.3% 0.8pp 15.5% 2.6pp 15.1% 0.2pp 15.7% 2.2pp

News Media National News Media InternationalNews Media

FY2018


Marketing Media development impacted by organic

adj. EBITDA decline in Performance Marketing

21

1) Adjusted for consolidation and FX effects, as well as for IFRS 16 effects for adj. EBITDA.2) Total adj. EBITDA includes costs of €8.3 in 2018 and €8.1m in 2017 (thereof business development, M&A and other), not allocated to the two subsegments.

▪ Revenues down yoy due to sale of aufeminin. Organic revenues up 2.1% in 2018 yoy: Reach Based Marketing (org.

revenues -0.1% yoy) impacted by US exit of Bonial in Q4/17, Performance Marketing with organic increase of 5.3%

▪ Adj. EBITDA down 6.3% (-2.5% organically) in FY/18, stronger decrease in Q4/18 due to higher integration costs for the

AWIN/affilinet merger and a strong prior-year quarter at finanzen.net.

▪ Adj. EBIT of €66.0m down by 14.7% yoy (organically on prior-year level (+0.5%))

in €m 2018 yoy org.1 Q4/18 yoy org.1 2018 yoy org.1 2018 yoy org.

1

Revenues 418.3 -12.4% 2.1% 111.4 -20.7% 4.2% 235.2 -26.0% -0.1% 183.1 14.7% 5.3%

Advertising 313.4 -12.3% -1.0% 85.5 -21.6% -1.3% 205.0 -22.5% -2.2% 108.4 16.7% 1.8%

Other 104.8 -12.5% 12.5% 25.9 -17.5% 28.9% 30.2 -43.1% 19.3% 74.6 11.9% 10.2%

adj. EBITDA2 89.6 -6.3% -2.5% 26.9 -31.5% -19.9% 66.7 -6.3% 14.7% 31.2 -3.8% -29.5%

Margin 21.4% 1.4pp 24.1% -3.8pp 28.4% 6.0pp 17.0% -3.3pp

Marketing Media Reach Based Marketing Performance Marketing

FY2018


Adjusted eps increase in line with guidance (+5.1%)

22

in €m 2018 2017 Q4/18 Q4/17

adj. EBITDA 737.9 645.8 196.5 172.4

yoy change (reported / organic)

Depreciation / amortization (excl. PPA) -210.1 -141.9 -56.5 -41.8

adj. EBIT 527.9 504.0 140.0 130.6

Financial result -21.1 -18.4 -6.3 -10.7

Taxes -171.0 -158.0 -54.7 -36.8

adj. net income 335.7 327.5 79.0 83.1

thereof attributable to non-controlling interests 41.0 47.1 8.6 16.3

adj. eps1 2.73 2.60 0.65 0.62

yoy change (reported / organic)

Non-recurring effects -12.5 117.0 -66.2 148.3

Depreciation / amortization, and impairments of PPA -137.8 -94.2 -61.6 -20.5

Taxes attributable to these effects 23.1 27.8 9.7 3.7

Net income 208.4 378.0 -39.0 214.6

14.3% / 8.5% 14.0% / 13.7%

5.1% / 8.3% 5.4% / 13.9%

1) Based on weighted average number of shares outstanding in 2018: 107.9m (2017: 107.9m).


Net financial debt higher because of IFRS 16 –

FCF above expectations due to effects from phasing

23

▪Net financial debt includes leasing liabilities of €379.6m (PY: €0.3m), thereof

€153.6m due to lease of Axel-Springer-Passage and high-rise headquarter in

Berlin since January 1, 2018

▪Net financial debt less effects from leasing liabilities €869.6m

Free cash flow (FCF) in €m Impact of leasing liabilities on net financial debt

1) Excl. pension liabilities. 2) Based on adj. EBITDA 2018. 3) Expected in Q4/19 or Q1/20.

Net financial debt of €1,249.2m1

in December 2018 (leverage 1.7x2)

497.4

341.1346.9

419.6

2017 20172018 2018

FCF FCF excl. effects from headquarter real estate transactions

▪Positive effects from phasing and one-off of ~€50m

▪Net positive cash inflow of ~€240m until 2020 from sale of new Berlin building

(purchase price of €425m3)

and tax payments of ~€30m expected and capex

and sale related costs of ~€155m in 2019-2020)

Effects on cash flow


Classifieds Media

Classifieds Media: Leading digital classifieds operator

Classifieds Media25

▪ Leading digital classifieds

operator

▪ Portfolio of market leading

classifieds: 79%1 of revenues

from #1 market positions

▪ Digital classifieds clear

beneficiary of structural shift

from offline to online

▪ Strong market positions

yielding high margins

Overview

Financials

Real Estate

▪ #1 in France

▪ #2 in Germany

▪ #1 in Belgium

Jobs

▪ #1 in Germany, Belgium

▪ #1 in UK

▪ #1 in Ireland, South Africa

Cars

▪ #1/2 in France

Generalist

▪ #1 in Israel

Vacation Rental

▪ #1 in Netherlands &

Belgium

Classifieds Media


Revenues in €m 1,212.5High single-digit to

low double-digit % growth

High single-digit to



margin in %

487.2 /

40.2%Low to mid single-digit % growth Mid single-digit % growth


margin in %

406.7 /

33.5%On prior-year level


% growth1) Based on FY/18 figures. 2) Adjusted for consolidation

and FX effects.

▪ Clear market leader in the UK in the new segment of

transactional digital real estate platforms, also active

in Australia, the USA and Canada

▪ April 2018: Purchase of 11.5 percent in Purplebricks

through capital increase and purchase of secondary

shares from existing holders; purchase price amounts

to a total of GBP 125m, corresponding to a price per

share of GBP 3.60

▪ July 2018: Increase to 12.5 percent paying GBP 3.07

per each additional secondary share (total of GBP 9m)

▪ December 2018: Impairment to year-end market value

of EUR 62.3m following share price decline

▪ Listed on the London stock exchange since Dec. 2015

▪ Board seat for Axel Springer

Minority investments in hybrid agent models

Classifieds Media26

▪ 50/50 holding company with UK market leader

Purplebricks

▪ Acquisition of 22% stake in Homeday in October 2018

(on top of close to 5% owned by Axel Springer already)

▪ Commission based business model

▪ Potential from additional revenue pool

▪ Participation in innovative business model in German

real estate market

HMD

26.81% (nicht 26%).

Verwässerung auf

25.88% kurzfristig

möglich.

In FY/18, digital classifieds contributed 61% to

adj. Group EBITDA

27

Adj. EBITDA1 in €m

57%

Long-term adj. Group EBITDA development driven by classifieds

Axel Springer Group

Axel Springer Classifieds

Share of Group EBITDA (negative EBITDA S/H allocated proportionally to operative segments)X%

Classifieds Media

1) excl. discontinued operations.

392448

499454

507559

595646

738

1765

134 164218

305355

413487

2010 2011 2012 2013 2014 2015 2016 2017 2018

61%

+18%

Classifieds with strong organic growth and high

underlying margins

Classifieds Media28

Revenues EBITDA margin, adj.

Margin 2015 2016 2017 2018

Jobs 43.7% 42.9% 41.7% 40.7%

Real Estate 46.4% 44.9% 50.4% 46.0%

General/Other 30.7% 32.7% 32.0% 34.1%

Total classifieds 40.5% 40.3% 41.0% 40.2%

Organic growth

yoy 2015 2016 2017 2018

Jobs +21.2% +17.6% +17.0% +16.9%

Real Estate +4.8% +6.3% +10.8% +6.1%

General/Other +4.0% +9.7% +6.3% +5.9%

Total classifieds +12.9% +12.5% +12.7% +11.4%

Note: Figures for 2018 include meinestadt.de which was allocated to Jobs from General/Other in 2018.

StepStone: Continued high organic revenue growth

2018 Financials

▪ Swedish employer branding specialist

Universum acquired in Q2/18

▪ UK: Start of the ‘The Partnership’ (Totaljobs and

Jobsite) with joint offer in Q2/18

▪ Candidate delivery ahead of competition in

nearly all areas

▪ Main market Continental Europe with customer

number up 6% yoy, retention rate remains on a

high level at 88% (+1pp yoy)

Operational update 2018

29

1) Minor revenues recorded centrally and attributable to few operational entities (mainly Universum) are not presented

since those are not recorded in operational subgroups. 2) Combined EBITDA of subgroups does not equal sub-

segment as central costs (mainly non-licensed product development costs) and a few entities (mainly Universum) are

not recorded in operational subgroups. 3) Including meinestadt.de which was allocated to Jobs from General/Other in

2018 4) Adjusted for consolidation and FX effects, as well as IFRS 16 effects for (adj.) EBITDA.

in €m 2018 20173) yoy org.

4)

Revenues1) 602.6 495.9 21.5% 16.9%

Continental 420.8 342.7 22.8% 22.3%

UK 123.7 118.2 4.7% 5.7%

SAON Group 40.2 37.5 7.2% 8.9%

EBITDA2) 245.5 203.1 20.9% 14.0%

Continental 224.3 185.6 20.8% 17.8%

UK 16.7 15.8 5.8% -12.5%

SAON Group 13.1 12.4 5.3% 3.1%

Margin 40.7% 41.0% -0.2pp

Continental 53.3% 54.2% -0.9pp

UK 13.5% 13.3% 0.1pp

SAON Group 32.4% 33.0% -0.6pp

30

496

603

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

CAGR

+29%

17% 17%

organic growth

StepStone Group Revenue (in €m)

1 Including meinestadt.de which was allocated to Jobs from General/Other in 2018.

Continued double-digit organic growth in 2018

1

Goal to become a comprehensive E-Recruiting

companyCareer

guidance

Search jobs

Browse jobs / be found

Research employer

Research salary

Application

Interview

Hire / Sign contract

Career

development

Orientation

Check cultural fitFollow-up

Applications

Job seeker journey

31

JOB SEEKER JOURNEY

Revenue share

Revenue split in FY/18

Employer Branding

99% <1%

32

69% 27%

Highly scalable with low total

cost per hire for recruiter

Job Listings

Effective process to fill highly specific

positions, but high cost per hire and

difficult to scale for recruiter

Direct Search

Note: Employer branding and other related products account for 4% of revenue share in UK and <1% in Germany; figures do not include Universum (acquired in Q2/18).

Job listings and direct search main revenue sources

159202

257

343

421

2014 2015 2016 2017 2018

StepStone Continental: Continued strong

organic growth

Revenue

StepStone

Continental

92117

151186

224

58% 58% 59% 54% 53%

-50%

-40%

-30%

-20%

-10%

0%

10%

20%

30%

40%

50%

60%

70%

80%

40

90

140

190

240

290

2014 2015 2016 2017 2018

+33%

+27%

+24%+27%

+26%

EBITDA

Financial development by subgroup¹ (in €m)

Organic growth EBITDA Margin

33

+23%

+22%

+27%

1) All subgroups adjusted to current company structure, minor revenue recorded centrally is not presented, non-licensed product

development costs are not recorded in operational subgroups, Universum (among others) is not allocated to one of the operational

subgroups. 2) Including meinestadt.de which was allocated to Jobs from General/Other in 2018.

2 2

StepStone Continental: #1 positions in candidate

delivery in most core markets Candidate Delivery¹ - StepStone Continental

Germany AustriaBelgium

34

1) Average # of applications per job ad. Source: TNS, figures are corrected for outliers.

3.0

3.5

3.7

3.9

4.9

5.5

5.9

14.9

Xing

Meinestadt

Indeed

Jobware

Monster

Linkedin

Stellenanzeigen

StepStone DE

3.5

4.1

5.7

6.9

7.6

7.8

13.3

Monster

Vacature

Linkedin

Jobat

Regiojobs

Indeed

StepStone BE

1.7

3.9

6.6

13.1

16.3

17.4

19.7

Linkedin

Indeed

Monster

kurier.at

StepStone AT

Karriere.at

derStandard

StepStone Continental: Increasing customer

numbers and high retention rates

StepStone Continental

Customer number (k)1

1) Customer count based on active contracts in a year except StepStone Germany, meinestadt.de and TJG where end customer (listing owners)

are counted. 1st time inclusion: iciformation (Q3/17), meinestadt.de and Turijobs (both Q1/18). 2) All subgroups reported based on pro forma development; based on invoiced sales.

35

57.764.4

92.0 97.2

2015 2016 2017 2018

+12%

Customer Retention Rate (%)2


Overall RetentionLarge customers

86% 88% 87% 88%

96% 97% 98% 98%

2015 2016 2017 2018

StepStone

Continental

Pro forma 2017 figure including meinestadt.de,

Turijobs and iciformation

+6%

78

130119 118 124

2014 2015 2016 2017 2018

StepStone UK: Upside potential from

‘The Partnership’

1938

24 16 17

24%29%

20%13% 13%

-35%

-20%

-5%

10%

25%

40%

0

80

2014 2015 2016 2017 2018

+/-0%

+67%

+7%+3%

+8%

▪ Totaljobs acquired early 2012, Jobsite late 2014

▪ Introduction of ‘The Partnership’ creates upside

potential from more attractive offer to customers and

also from synergy effects on the cost side

(e.g., integrated platforms and overhead functions)

-8%

StepStone

UK

Revenue EBITDA


1) All subgroups adjusted to current company structure, minor revenue recorded centrally is not presented, non-licensed product development

costs are not recorded in operational subgroups, Universum (among others) is not allocated to one of the operational subgroups.

36

+5%

+6%

Organic growth EBITDA Margin

‘The Partnership’: From separate companies, brands and cultures to one unified organization

37

Market facing effects

▪ One company, one platform, one sales force

▪ More compelling business proposition

▪ One CV-database

▪ Best-in-class candidate delivery

Internal effects

▪ Efficient traffic sourcing

▪ Cost efficiencies

▪ Improved IT development effectiveness

Resulting in

▪ Improved retention and share of wallet

▪ Accelerated new business

▪ Wider market coverage

KPI Jobsite Totaljobs Partnership1

# Applications /

month1.5m 3.8m 6.3m

Conversion rate

(appl./ visit)0.22 0.25 0.26

CV database 3.8m 11.8m 18.3m

LinkedIn2: ~25m

CV-

Library2:~13m

Reed2: ~11m

Oct. 2017 Oct. 2018

1) Incl. StepStone UK verticals.2) Linkedin: number of registered users

per Oct 2018 (source: Statista); CV-

Library and Reed numbers as stated

on respective websites per Nov 2018.

Customer number (k)2

1) Average # of applications per job ad. Source: TNS, figures are corrected

for outliers. 2) Customer count based on active contracts in a year.

38


StepStone

UK

Candidate delivery1

2.8

4.2

10.7

11.6

14.7

17.0

23.1

Linkedin

Monster

CV Library

Reed

Jobsite

Indeed

TotalJobs

‘The Partnership’ with negative technical impact in

2018 due to deduplication of customers.

41.3

36.9

43.8

40.6

2015 2016 2017 2018

CAGR-1%


80% 82% 81% 80%

95% 95% 93% 93%

2015 2016 2017 2018

StepStone UK: High values in relevant KPIs

3) Changed business focus of Jobsite after acquisition, removed low value contracts. 4) Retention rates 2018 temporarily affected by launch

of ‘The Partnership‘ which caused phasing of contract renewals from customers of both TotalJobs and Jobsite who decided to renew after

expiry of both former contracts; all subgroups reported based on pro forma development; based on invoiced sales.

3

23

3034

3840

2014 2015 2016 2017 2018

+30%

+14%

+11%

+15%

▪ Saongroup acquired in late 2013,

CareerJunction (South Africa) in 2015

▪ Growth in almost all countries around the world

Saongroup

EBITDA


1) All subgroups adjusted to current company structure, minor revenue recorded centrally is not

presented, non-licensed product development costs are not recorded in operational subgroups,

Universum (among others) is not allocated to one of the operational subgroups. Organic growth EBITDA Margin

39

+10%

+11%

8

10 10

1213

37%

34% 30% 33% 32%

-50%

-40%

-30%

-20%

-10%

0%

10%

20%

30%

40%

7

8

9

10

11

12

13

14

2014 2015 2016 2017 2018

+9%

+7%

Saongroup: Strong organic growth rates

Revenue

4.1

8.7

9.5

17.1

17.5

22.3

Facebook

Linkedin

NIJobs

Indeed

Irishjobs

Jobs.ie

South Africa3Ireland

Candidate Delivery¹ - Saongroup

40

13.4

33.7

48.7

65.5

153.9

Linkedin

Careers24

Indeed

CJ

Pnet

1) Average # of applications per job ad. Source: TNS, figures are corrected for outliers.2) NIJobs is the leading player in Northern Ireland. 3) Results of competitors may be unstable across the surveys due to low sample sizes.

Saongroup: Best in class in candidate delivery

2

72% 73% 74% 74%

82%88% 86% 86%

2015 2016 2017 2018

Saongroup: Stable customer numbers and high

customer retention


Customer number (k)1,2

1) Customer count based on active contracts in a year. 2) Restated figures. Tecoloco companies now included in complete history.

Figures subject to adjusted counting methodology. 3) All subgroups reported based on pro forma development; based on invoiced sales.

41




Saongroup13.2

14.1

14.6 14.7

2015 2016 2017 2018

CAGR+4%

+26% candidate delivery YoY, +130% increase in

sales efficiency (e.g. call activities in telesales)2

+98% candidate delivery YoY, +25% increase in

sales efficiency (e.g. call activities in telesales)2

Investments in sales (headcount, tooling) and marketing

(traffic acquisition & branding)

Investments in same areas as in Austria: Focus on

sales and traffic

pre-investment enhanced invests

20152012 2013 2014 2016 2017 2018

CAGR

8%

35%

Invoiced sales

20152012 20162013 2014 20182017

CAGR

1%

CAGR

28%

Invoiced sales

Austria: From #4 in 2014 to clear #21 France: #6 at start of growth initiatives -

first payoff from investments1

1) Market positions in terms of revenue (12/2017). 2) 06/2018.

Source: Company reports and management estimates.

pre-investment enhanced (ongoing) investments

Growth cases in Austria and France progress

42

Additional sales headcount¹

Improved sales efficiency via tech and tooling

Customer retention

Customer development

Target long tail of the market to gain market share

Smart and predictive lead generation

Hyper-care for key customers

Increased frequency of sales activities

Closer, more intense customer approach (field & inside sales)

Growing support and analytics for sales force

Hire

▪ 1-3 months: Onboarding

▪ 4-6 months: Small targets & first deals

▪ 6-9 months: Being profitable

▪ +9 months: Contributing to StepStone growth

Exemplary Sales Professional journey

1) Attrition of existing sales heads to be decreased through improved training, compensation and benefit packages; Improvement in HR and branding to attract new talent.

Increased sales headcount and improved efficiency

Customer acquisition

43

0

25

50

75

Sources: TNS; Google trends.

0.9%

2018201720162013 2014 2015

+6.6%+6.8% 0.0%

Web search for keyword ‘jobs’ in DE

16.62

Mar 2016 Mar 2017

17.19

14.92

Mar 2018

2.482.24

2.52-10% +13%

Contradicting trends show

shortage of candidates

Candidate Delivery (CD)

Candidate DeliveryRelative CD vs next competitor

Customer focus: More listings require StepStone to acquire even more candidates in a flat market

44

SEA

Partner

Other Paid

JobAgent

SEO

Direct

Other Organic Paid

(~53%)

Organic

(~47%)

Strategic traffic network

▪ StepStone has in total >500 traffic partners

▪ Top partners include well known brands such as

Bild, Handelsblatt, T-Online, Kimeta, Gehalt.de

and Experteer

▪ The network is characterised by portals that

provide a large / national reach. StepStone’s

network is by far the largest in the market

Source: Adobe Analytics; other Paid includes Banner and Retargeting; Other Organic includes Mailings, Newsletter, Referrers and Social Media.

StepStone has a diversified traffic mix

StepStone traffic sources (exemplary, FY/18)

45

▪ A third of clicks following all job related

searches @Google lead to StepStone

▪ For IT job related searches almost half of

all clicks lead to StepStone

▪ Google searches related to engineering

jobs result in a click for StepStone in 68%

of cases

SEA

Relates to /

optimises

SEA traffic

46%

Global Clickshare IT

68%

Engineering

clicks following Google searches

for all job related keywords

clicks following

Google searches for

keywords related to

engineering jobs

clicks following

Google searches for

keywords related to

IT jobs

33%

Google Clickshare for paid

Source: Google data Q3/18, comparison for top-5 competitors for paid clicks.

For IT and Engineering StepStone already takes highest click share on Google Paid Ads

46

United Kingdom (G4J live since July 2018): StepStone UK is fully integrated with Google for Jobs

▪ Fragmented market situation – all major competitors (except Indeed) are integrated

▪ StepStone UK participates for now, but invests in parallel in unique content and branding

▪ Measurable effects so far: Net gains in applications from Google SEO traffic (organic blue links plus Google for Jobs)

South Africa (G4J live since March 2018): Pnet and Careerjunction do not participate

▪ StepStone assets are in a leading position and own a large share of unique content (jobs)

▪ There is no benefit to provide content to Google for free

▪ No negative effects so far for Pnet and CareerJunction

Spain (G4J live since June 2018): Turijobs does not participate

▪ Turijobs is a leading niche player in hospitality with a high brand recognition and unique content

▪ No negative effects so far for Turijobs

Participation in Google for Jobs is decided individually, market by market

47

Group

GTO

Group

COO

Ma

na

ge

ment B

oa

rd

1

Decrease time to market

▪ Reuse newly built components to test ideas

▪ Share AI algorithms

▪ Share product & technical designs

Increase efficiency

▪ Align IT platforms

▪ Mutualize training, consulting and IT investments

Frame joint long-term strategy and support

execution

▪ From classifieds to transactional marketplaces

▪ (Early-stage) investments into value chain extension

Steer strategic group projects

▪ Joint business initiatives (e.g. seller leads)

▪ Initiatives to “grow together” in group

1) Among others; minority investments.

Classifieds Media

Introducing the AVIV group: Our goal - to capturethe full potential of the next period of growth

48

Mortgage

~1.63 €bn1

Moving

~250 €m3

Home insurance

~160 €m2

Seller

leads

1

Hybrid

models

2

Adja-

cencies

3

Providing the agent with additional core

services1

Satisfying even more consumer needs

with our hybrid agent models2

Capturing adjacent markets with

transaction-triggered services3

Our three priorities

Online Classifieds

~350 €m

Marketing spending

~650 €m

Agent commission

pool

~6 €bn

Total addressable adjacent

markets

~2 €bn

1) 2) 1% of total market. 3) 5% of total market. Sources: OC&C (05/2017), McKinsey. Notes: Marketing spending includes spending of agents, property developers and private sellers in online and offline channels. Figures apply to German RE market.

Classifieds Media

Our three priorities allow us to tap into large markets beyond listings

49

SeLoger margin decline due to consolidation of

Logic-Immo

2018 Financials

▪ Closing of Logic-Immo acquisition in Q1/18

▪ Joint product offering of SeLoger and

Logic-Immo started in September 2018

▪ ARPA (incl. verticals) increased by 6% yoy

to €765

▪ # of professional listings1) on Seloger.com: 993k

(Logic-Immo: 719k, pre-deduplication)

▪ Unique users2) of seloger.com up 4% to 5.6m,

unique user of logic-immo -1% to 2.8m


50

3) Adjusted for consolidation and FX effects, as well as IFRS 16 effects for EBITDA.

1) Source: autobiz; monthly listings, Jan-Dec 2018 average.2) Source: Médiametrie (Jan-Dec 2018 vs Jan-Dec 2017).

in €m 2018 2017 yoy org.3)

Revenues 215.8 140.0 54.2% 6.1%

EBITDA 98.8 81.8 20.7% 6.9%

Margin 45.8% 58.5% -12.7pp

382 406 440 483544 594 632 662424 456 496

549615

676 724 765

0

250

500

750

1.000

2011 2012 2013 2014 2015 2016 2017 2018

1) Excl. effects of Poliris business, deconsolidated in 2016.2) Logic-Immo consolidated since February 2018.

Constant roll-out of new products has been valued

by customers

SeLoger with another strong year reconfirming its

leading position

Average monthly SeLoger ARPA made with professional

customers, in €

Historical Revenue and EBITDA performance

Revenues and EBITDA in €m1,2

8091 98 106 116

128140

216

43 53 58 62 71 76 8299

0

50

100

150

200

250

2011 2012 2013 2014 2015 2016 2017 2018

+8%

+9%

CAGR

2011-2018

SeLoger excl. verticals

SeLoger incl. verticals

CAGR

+10%

51

EBITDARevenues

org.

+6%

# Visits

SeLoger – Traffic SeLoger + Logic-Immo – Traffic

Low

High

The merger helps SeLoger and Logic-Immo to close

gaps in previously underserved areas

52

Background: Leboncoin and AVendreALouer.fr introduced bundled offer in early 2018;

bundled offer of SeLoger and Logic-Immo to be introduced in H2/19. Number of unique

listings higher at Logic-Immo than at AVendreALouer.fr according to internal analysis.

Based on unique professional listings SeLoger

maintains its strong positionAverage of monthly listings FY/18 in k (pre-deduplication)

514 548719 794

993

private listings

53

995

Listings post-deduplication

Source: autobiz; internal analysis based on a panel of major real estate agent networks.

1,302

+900 customerswith an add-on1

+50k listings on SeLoger or

Logic-Immo1

+▪ Add-on enables agentsto extend their listingspublication to the othersite

▪ Preparing the new„Full Duo“ offerin 2019

SeLoger and Logic-Immo are commercially tapping

the potential through DUO offer

54

1) Figures as of November 2018.

≈900

SL Customers1

▪ Launched at SeLoger in January 2018,

visibility and lead generation product

▪ Dedicated organization as a

new market

▪ Logic-Immo seller product was launched

in January 2019

▪ SeLoger will extend to premium qualified

leads and luxury market by 2019

▪ AVIV Group strategic initiative with

synergies among assets: shared price

estimate engine with Immoweb,

based on AI

“Seller lead” strategic initiative has already

demonstrated high performance at SeLoger

55

1) Figure as of November 2018.

Immowelt: Margin significantly up at 41.9%

2018 Financials

▪ ARPU increases by 13% yoy to €332

▪ # of DUO≥ 51) customers increased by 4%

to 16.0k

▪ Visits2) at 42.2m (+/-0% yoy)

▪ # of residential listings2) at 170k (-11% yoy)


56


1) “DUO x” contract allows the simultaneous listing of x properties during the contract time

(x slots), DUO ≥ 5 refers to any DUO contract with at least 5 slots.2) Source: company information; monthly visits/listings, FY/18 average.

in €m 2018 2017 yoy org.3)

Revenues 117.7 111.3 5.7% 5.7%

EBITDA 49.4 37.4 31.9% 27.9%

Margin 41.9% 33.6% 8.3pp

9.111.9 13.8 14.8 15.5 15.4 15.1 15.3 14.9 15.0 15.7 16.0

22.1 22.3 22.6 22.8 22.6 22.4 22.0 22.0 21.7 21.019.9 19.1

18.5 17.6 17.4 17.4 17.4 17.0 17.2 17.5

Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Sep-17 Dec-17 Mar-18 Jun-18 Sep-18 Dec-18

DUO migration completed and focus on customers with higher volumes

57

Single/Double DEDUO ≥ 5 DUO 1-2

DUO ≥ 51 customer base with high ARPU achieved significant growth since March 2016

Number of agents in Germany2 (in thousands)

1) DUO: 1 contract, 2 portals / Single: 1 contract, 1 portal / Double: 2 contracts, 2 portals / GER only; the “DUO x” contract allows the simultaneous listing of x properties during the contract time (x slots),DUO ≥ 5 refers to any DUO contract with at least 5 slots. 2) Real estate professionals with a term contract (term usually 12 months).

IS24 core agents

Decline due to increasingly overall stagnating offer

The German listings market is contracting

Comments

▪ Listings in Germany have been under pressure over the past years

▪ Decrease driven by an overall stagnating offer in the German housing market

▪ In order to mitigate the decline in listings Immowelt actively takes counteractions:

▪ Increasing product and price differentiation to activate further potential listings

▪ Individual and temporary flat-options for agents based on their DUO contracts

Listings in German housing market1 (average per month in k)

0

50

100

150

200

250

300

0

50

100

150

200

250

300

FY/17 FY/18

-6%

1) Houses, apartments for sale and rent in Germany; direct comparison with IS24 only partly possible due to different package models.Source: IW management estimate and internal data collection.

-11%

58

ARPU with strong growth over the last years –increased value creation for agents drives growth

59

1) ARPU = Average Revenue Per User: monthly revenues, divided by the number of agents (Immowelt Group DUO and non-DUO agents in Germany with a term contract).

252294

332

FY/16 FY/17 FY/18

Contract migration and price increases drive ARPU1 growth

ARPU (€/month)

763711

CAGR

+15%

Revenue CAGR of 9% from FY/16 to FY/18

2018: Successful year for Immowelt – margin of 40% reached one year earlier than targeted

Revenue (€m) EBITDA (€m, % of revenue)

EBITDA margin at 42% in FY/18

98

111118

2016 2017 2018

CAGR+9%

>40%

20%19

37

49

2016 2017 2018

20% 34%

60

42%

CAGR+60%

Immoweb margin continuously on a high level

2018 Financials

▪ ARPA increased by 5% yoy to €541

▪ # of listings1) up by 6% yoy to 153k

▪ Real visitors2) down by 5% with a monthly

average of 1.5m in 2018


61

1) Source: company information.2) Source: CIM.

in €m 2018 2017 yoy org.3)

Revenues 42.5 39.5 7.5% 7.3%

EBITDA 28.4 26.5 7.2% 6.9%

Margin 66.7% 66.9% -0.2pp


Immoweb: THE reference for property search

“Belgians have a brick in their stomach…”

Home ownership rate by country in 2017

…and when it comes to real estate, 8 out of 10 Belgians

think of Immoweb

Unaided awareness questionnaire with 7.2k respondents in 09/2016

Sources: Produpress study, Eurostat.

70%

78%

2%6%

x12.4

62

+22pp

51%

64%

73%

Germany France Belgium

58%

21%

21%

77%

11%

12%

Immoweb attracts almost twice as many visitors than

#2 competitor…

Average of monthly real visitors in FY/181

…leading to strong and highly engaged traffic on

Immoweb

Average of monthly audience statistics on Top3 RE portals in FY/181

Source: CIM, Statistics Belgium. 1) Selected players (excl. app traffic).

1.9x 2.0x

Visits

15m 139m minutes

Time spent

63

Immoweb outraces Belgian competition

in market reach

2731

3336

4043

1620

2225 26 28

2013 2014 2015 2016 2017 2018

350 385 410 460 514 541

2013 2014 2015 2016 2017 2018

CAGR

+9%

Immoweb: Consistent revenue and EBITDA growth

Successful growth of ARPA over the

last years...

Weighted average monthly ARPA from professional

customers, in €

...results in strong revenue growth at leading EBITDA margins

in €m

61% 64% 67% 70%

EBITDA EBITDA margin

CAGR

+10%

Revenues

64

67% 67%

Car&Boat Media: Organic growth driven by ARPU

increase, EBITDA margin up to 47.5%

2018 Financials

▪ ARPU up by 11% yoy to €454

▪ # of professional customers1) below prior year

(-2%) at 8.4k

▪ # of professional listings1) up by 1% yoy to 276k

▪ Unique visitors2) up by 12% to 4.4m


65

1) Source: company information; monthly, FY/18 average.2) Source: Mediametrie (Jan-Dec/18 vs Jan-Dec/17); limited comparability of Jan-Dec/18

figures to prior-year period due to new methodology regarding the measurement of mobile

traffic introduced by Mediametrie in 2018.

in €m 2018 2017 yoy org.3)

Revenues 62.7 59.4 5.5% 5.5%

EBITDA 29.8 27.0 10.3% 7.1%

Margin 47.5% 45.4% 2.1pp


21

33455

276

LaCentrale works with professionals

that have a significant used car activity

Sources: Company Information.1) Professional ads divided by # of professionals on platform.

Professional listings Listings per professional1

-39% +57%

(in k, monthly average FY/18) (in k, monthly average FY/18)

66

1) Listings are based on FY/18 figures.

455276

447

27

303

901

Stable traffic and listings development versus

next competitor

Sources: Company information.

Total listings

(in k, monthly average)1

Traffic development since Apr. ’15

(Index = 100)

Listings development since Apr. ’15

(Index = 100)

Private

Professional

20162015 2018

4.4m11.5mTraffic

FY/2018

67

201720162015 20182017

Car&Boat Media has benefited from constantly

growing monetization

Monthly customers

Monthly ARPU (in €)

68

* CAGR 01/14-12/18.

Source: Company Information.

240

290

340

390

440

490

1.000

2.000

3.000

4.000

5.000

6.000

7.000

8.000

9.000

Avg. ARPU

growth 6%*

Monthly customers: 8,301

€465

Jan 2009 Sept 2018Sept 2013

CAGR+13%

Car&Boat Media developed its EBITDA positively

since AS acquisitionRevenues & EBITDA (in €m)

2012

20.8

48.2

2011

18.7

45.2

2016

24.3

55.2

2015

20.9

52.1

2014

20.9

50.5

2013

20.3

48.5

Revenues

EBITDA

CAGR+4%

AS acquisition: July 2014

2017

69

59.4

27.0

2018

29.8

62.7

Yad2 organic growth impacted by regulatory

changes in real estate market

2018 Financials

▪ 2018 revenue development negatively impacted

by FX effects

▪ # of listings: 406k (-5% yoy)

▪ Unique visitors down by 18% to 2.3m

▪ Visits down by 13% to 10.6m


70

Source: company information; monthly listings/UVs/visits.

in €m 2018 2017 yoy org.1)

Revenues 38.8 40.0 -2.9% 1.5%

1) Adjusted for consolidation and FX effects.

Israel’s #1 Generalist

#1

Real Estate#1

Second Hand

#2

Jobs

#1

Cars

1

1 Organic Growth

Getting closer to the transaction

Explore adjacent opportunities

2

3

Comission-based

business models

New car &

tire sales

Commercial &

luxury real estate

Financing, loans,

insurance products

71

Strong market position in several relevant verticals

Strong network effects provide Yad2‘s customers

with significant liquidity and reach

Sources: 1) Company Information, 2) Similarweb, desktop & mobile traffic

(in k, monthly average FY/18)1

Visits(in m, monthly average FY/18)2

7.5

>~3x

>9x

406181 142 74 8

2nd Hand Real Estate Cars Jobs

72

>22x

>24x

10.6

Listings

18.4

26.9

34.940.0 38.8

2014 2015 2016 2017 2018

28% 25% 13%

Yad2 revenues with strong growth post acquistion

Revenue Development

Revenues in €m

Organic YoY growth

Sources: Company Information, Drushim acquisition closed in Sept. 2015.1) 2014 represents FY as AS acquisition closed in May.

Leading revenue stream impacted by

regulatory changes

Second largest revenue stream. Since 2013

paid classifieds product for car dealers

Gaining importance since Drushim acquisition

in 2015

73

9% 2%

1

@Leisure with strong finish to the year

2018 Financials

▪ Full service (Belvilla, Land & Leisure):

Pro forma booking value up by 12% yoy to

€282m

▪ Self service (Traum-Ferienwohnungen):

Total listings in Europe up by 7% yoy to 83k

▪ Disposal of casamundo in Q4/18


74

Source: company information.

in €m 2018 2017 yoy org.1)

Revenues 133.2 124.5 7.0% 5.6%

EBITDA 24.8 19.5 27.5% 7.8%

Margin 18.6% 15.6% 3.0pp


Homeowner

Secondary

homes

Primary

homes

@Leisure focuses on the supply/homeowner side of

the market

Guest

Full-service

Self-service

75

Aggregator

& OTA

News Media

News Media segment at a glance

News Media77

▪ Focus on market-leading media

brands with clear path to digitization

▪ National News Media dominated by

unique asset BILD

▪ Presence in English-speaking media

market with Insider Inc. and

eMarketer

▪ Innovative mobile news service for

Samsung devices (upday)

Overview

▪ BILD group

▪ WELT group(formerly: WELTN24 group)

▪ Ringier Axel

Springer Media

(Poland, Hungary,

Serbia, Slovakia)1

▪ Ringier Axel

Springer Schweiz2

National International

News Media

(Main activities)

Financials


Revenues in €m 1,496.2Low to mid single-digit

% declineLow single-digit % decline


margin in %

228.2 /

15.3%On prior-year level On prior-year level


margin in %

158.2 /

10.6%Low single-digit % decline On prior-year level

1) Fully consolidated (50% stake). 2) Consolidated at

equity. 3) Adjusted for consolidation and FX effects.

News Media Subsegments Q4/18

78

1) Adjusted for consolidation and FX effects, as well as for IFRS 16 effects for adj. EBITDA.

in €m Q4/18 yoy org.1 Q4/18 yoy org.

1

Revenues 288.7 -3.7% -4.2% 117.9 2.9% 9.2%

thereof digital 92.9 11.5% 9.8% 81.3 12.8% 12.7%

digital share of revenues 32.2% 4.4pp 69.0% 6.1pp

Advertising 125.2 -8.4% -9.5% 72.7 8.2% 13.5%

Circulation 114.7 -3.2% -3.2% 27.9 -9.7% 1.6%

Other 48.8 9.0% 9.0% 17.3 4.8% 5.7%

adj. EBITDA 45.3 31.0% 22.8% 17.8 -6.6% -6.1%

Margin 15.7% 4.2pp 15.1% -1.5pp

News Media National News Media International

News Media

79

Total net reach 2018:

>300m monthly UU1

Axel Springer Digital/Print

1) Figures as of May of the respective year; for Switzerland, France and Germany the most recent data of the respective year are used.Source: Various national sources for net reach, overlap of print and digital readership estimated based on selected country data.

Total net reach 2013:

>85m monthly UU1

Axel Springer Digital/Print

Print 2013

69mDigital 2013

49m

Print 2018

53m

Digital 2018 (including upday and

Insider Inc.):

290m

Global reach: More than 300 million monthly unique

users worldwide

News Media

0

100.000

200.000

300.000

400.000

500.000

600.000

May-14 Jan-15 Sep-15 May-16 Jan-17 Sep-17 May-18 Jan-19

Ongoing monetization of digital content: Milestone

reached with >500k subscribers in October 2018

News Media80

Digital subscribers

Source: IVW.

+10.9% January 2019

vs.

January 2018

91,033

423,758

52,672

200,571

81

40% 49% 53% 35% 37% 42

%

▪ Revenue CAGR 2015-18 of 33%

▪ Profitable in 2018

▪ Re-invest near-term profits in growth opportunities; subscriptions, commerce, editorial, original programming

▪ Long-term EBITDA margin of >20%

▪ Leading digital brand for business journalism

▪ Strengthened market leadership in 2018

Source: Comscore.

0

10

20

30

40

50

60

70

80

90

Jan16

May16

Sep16

Jan17

May17

Sep17

Jan18

May18

Sep18

Insider Inc.: Market leader in the US

4356

81100

2015 2016 2017 2018

Revenue development in $m

+30%+46%

CAGR2015-18

+33%

Traffic comparison (unique visitors, m)

News Media

+23%

700

1000

1300

Jan14

Jul14

Jan15

Jul15

Jan16

Jul16

Jan17

Jul17

Jan18

Jul18

eMarketer – leading provider of high-quality research

and digital market data for companies and institutions

82

▪ Founded in 1996; based in New York City

▪ ~1,300 corporate subscribers (2/3 of Fortune 500 and

2/3 of US top national advertisers)

▪ ~10,000 citations in worldwide media per month

▪ Highly profitable business model with margin of ~40%

Company profile Corporate subscribers

News Media

Source: company information; based on number of contracts active

on the last day of each month.

Dec

18

upday: Key player in the news aggregator space and

continued growth – break-even expected in 2019

News Media83

Monthly active users (in millions)

12.9 2.1 N/A

8.2 1.6 11.1

7.9 2.1 N/A

updayGoogle

News

Apple

News

Source: company information; Comscore, December 2018.

12

3

68

11

15

20

23

2527

28

Q1/16 Q2/16 Q3/16 Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 Q2/18 Q3/18 Q4/18

Monthly unique users (in millions)

Marketing Media

Marketing Media segment at a glance

Marketing Media85

▪ #1 positions in all major

marketing business models

▪ European market leader Awin

in performance marketing

merged with affilinet in

October 2017 (holding

structure: 80% Axel Springer,

20% United Internet), IPO

envisaged after period of

integration

Overview

Financials

▪ Idealo

▪ Bonial

▪ Finanzen.net

▪ Awin

Reach Based Marketing Performance Marketing

Marketing Media

(Main activities)


Revenues in €m 418.3 Low single-digit % decline High single-digit % growth


margin in %

89.6 /

21.4%


% growth

High single-digit to



margin in %

66.0 /

15.8%Low single-digit % decline High single-digit % growth

1) Adjusted for consolidation (aufeminin sale in April 2018) and FX effects.

Marketing Media Subsegments Q4/18

86

1) Adjusted for consolidation and FX effects, as well as for IFRS 16 effects for adj. EBITDA.2) Total adj. EBITDA includes costs of €2.1m in Q4/18 and €1.5m in Q4/17 not allocated to the two subsegments.

in €m Q4/18 yoy org.1 Q4/18 yoy org.

1

Revenues 58.9 -35.4% 2.2% 52.5 6.7% 6.6%

Advertising 54.4 -29.5% -0.7% 31.2 -2.3% -2.4%

Other 4.5 -67.8% 75.8% 21.4 23.2% 23.1%

adj. EBITDA2 20.4 -26.1% 0.7% 8.5 -35.0% -43.2%

Margin 34.7% 4.4pp 16.3% -10.4pp

Reach Based Marketing Performance Marketing

Marketing Media

Further information

▪ Sustainability Report is published every two years

(available on corporate website)

▪ Comprehensive information on corporate governance

as well as responsibility and sustainability are

available on corporate website

▪ Participation in relevant ESG / SRI ratings

Axel Springer delivers constantly and successfully

on ESG issues


Overview

Rating / evaluation Last review

CDP D- (from A to D-) 2018

FTSE4Good 3.8 out of 5 2018

ISS Environment

QualityScore

3 out of 10

(the lower, the better)03/2019

ISS Governance

QualityScore

3 out of 10


ISS Social

QualityScore

2 out of 10


ISS-oekom C+ (from A+ to D-) 2019

MSCI1 A (from AAA to CCC) 2018

Sustainalytics 66 out of 100 20191) In 2018, Axel Springer SE received a rating of A (on a

scale of AAA-CCC) in the MSCI ESG Ratings assessment.

High transparency regarding ESG issues

Investor Relations contacts


Claudia Thomé

Co-Head of Investor Relations

Phone: +49 30 2591 77421

Mobile: +49 160 90445035

[email protected]

Axel Springer SE: Axel-Springer-Str. 65, 10888 Berlin, Germany, Fax: +49 30 2591 77422

Daniel Fard-Yazdani

Co-Head of Investor Relations

Phone: +49 30 2591 77425

Mobile: +49 151 52844459

[email protected]

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