2021 First Half Revenues - July 16, 2021
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2021 First Half
Revenues
July 16, 2021
Disclaimer
This presentation does not constitute or form part of and should not be construed as any offer for sale of or solicitation of any offer
to buy any securities of ATEME, nor should it, or any part of it, form the basis of or be relied on in connection with any contract or
commitment whatsoever concerning ATEME’s assets, activities or shares.
All statements other than historical facts included in this presentation, including without limitations, those regarding ATEME’s
position, business strategy, plans and objectives are forward-looking statements.
The forward-looking statements included herein are for illustrative purposes only and are based on management’s current views and
assumptions. Such forward-looking statements involve known and unknown risks. For illustrative purposes only, such risks include
but are not limited to impact of external events on customers and suppliers; the effects of competing technologies competition
generally in main markets; profitability of the expansion strategy; litigation; ability to establish and maintain strategic relationships
in major businesses; and the effect of future acquisitions and investments.
ATEME expressly disclaims any obligation or undertaking to update or revise any projections, forecasts or estimates contained in this
presentation to reflect any change in events, conditions, assumptions or circumstances on which any such statements are based,
unless so required by applicable law. These materials are supplied to you solely for your information and may not be copied or
distributed to any other person (whether in or outside your organization) or published, in whole or in part, for any purpose.
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ATEME © 1991-2021
Presenters
Michel Artières Fabrice Sana
Founder & Chief Executive Officer Chief Financial Officer
Degree in Engineering from Supelec, Paris, with a Degrees from the European Business School and ESSEC
specialization in signal processing and
telecommunications
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ATEME © 1991-2021
1.Two Leaders
Joining Forces
2. Market Trends
3. ATEME H1 2021 Revenues
4. Outlook
4
ATEME © 1991-2021
ATEME + ANEVIA = Two Leaders Joining Forces
Public since 2014 ATEME + ANEVIA help Content Providers and
Service Providers transform their video delivery
71 M€ in 2020, up 7% to enable innovative live and on demand video
services and enhance the quality of experience
MRR
MONTHLY
RECURRING
REVENUE
Up 70% in 2020
490 people in 20 countries
1000+ clients in 100 countries
51 Patents
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ATEME © 1991-2021
A Complete Offer for the Complete Video Flow
Primary Distribution
Contribution Distribution
Event Service Provider Subscriber
Content Provider
TV Network (Satellite, Cable, Telco) CDN
Video Headend
OTT / Multiscreen
Kyrion encoders in the trucks and TITAN is a virtualized Video Headend NEANEA
is a software suitesuite
is a software for the
for OTT
the
decoders at the TV station software covering all Live and File needs delivery
OTT (CDN,
delivery cloud
(CDN, DVR,DVR,
cloud DAI)DAI)
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ATEME © 1991-2021
ANEVIA & ATEME to Win the OTT Market
Service Provider
(Satellite, Cable, Telco)
Direct-to-Consumer CDN
End-user
Content Provider
TV Network
Channel Video OTT
Origination Headend CDN Cloud DVR Analytics
Streaming
High Fidelity Quality Low Latency Network Enhanced Customer Satisfaction
Multi-Cloud Operations Monetizing OTT with Cloud DVR, Catch-up TV Increased ARPU & Ads Revenue
Reduced TCO of 1000’s of channels Customize Ads and Content Reduced Churn Rate
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ATEME © 1991-2021
$2b TAM, Unique Innovative Player with E2E Offering
~$1b TAM ~$1b TAM
D2C Channel Origin
Contribution Distribution File Prod File VOD Cloud DVR DAI CDN Analytics
Distribution Origination Server
x x x x x x x x x x x
x x x x x x x x x (3rd party)
x x x x x x x x
x x x x x x x x
x x x x x x x Cloudfront Analytics
x x x x x
x x x x
x x x x
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ATEME © 1991-2021
Video Headend and CDN Complementary Sales Cycles
Investment ($)
Headend (encoding)
CDN (incl. Origin)
Year 1 Year 2 Year 3 Year 4 Year 5
Video Headend (encoding) business CDN / OTT video delivery business
• Investments driven by the amount of content (live channels, • Investments driven by the growth of the traffic
VOD catalogue) • Successful OTT services face a X2 traffic every year
• Typically generating flat repeat business
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ATEME © 1991-2021
ATEME Engaged in Corporate Social Responsibility
People Environment
Titan and Nea innovations saved 65% of the video delivery
Ateme and our people energetic impact in 3 years while improving viewers’ experience
• Focus on talent development
• Equal treatment for men and women
• Non-discrimination in hiring
• Ethic management
Ateme and the world
• Ethic business relationship with shareholders, clients, Targeting 50%+ additional savings in the next 3 years
partners and suppliers
• Donations to charity organizations (humanitarian,
education) Ateme committed to reduce our own impact by 50% in 3 years
• Reduction of business trips and attendance on trade shows
• 50% telework approved for R&D and HQ as the new normal
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ATEME © 1991-20211. Two Leaders Joining Forces
2.Market Trends
3. ATEME Q1 2021 Revenues
4. Outlook
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ATEME © 1991-2021Evolution of the Media Landscape
Content Providers Service Providers
Create/Produce/License Content Aggregate/Distribute Content
SVOD or Ad-Supported VOD Service Virtual Service Providers (vMVPDs)
New Impose Binge Watching as the Way to consume video New content or Skinny cost-effective bundles
Entrants
Digital
Native
Studios/Broadcasters/Networks Service Providers (MVPDs)
Traditional Created string brands in the 80’s-90’s Historically, got the broader access to customer
Players
TV/STB
native
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ATEME © 1991-2021Subscribers Move to New Services, TV Viewing is Shifting
SVOD & OTT services subscribers
The AVOD- SVOD continuum excluding traditional linear TV
experience the highest growth rate
The switch to online video is global
Pay TV and SVOD subscribers
Europe, million subscribers, 2014-20
Source: Dataxis
Source: The State on the Online Video 2020, Limelight
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ATEME © 1991-2021Enhancing Analytics Offering Higher QoE
Top challenges for scaling the number of viewers
Source: Survey conducted by Dan Rayburn, Q2, 2020 with 300 respondent
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ATEME © 1991-2021Accompanying the Migration to Private CDN / Multi CDN
Service CDN • Pay as you go
25% • Global reach
CDN Selection
Build your own CDN • CAPEX investment
Interconnect CDN Enabled • QoS control
• Analytics
75%
• ISP partnerships
75% of video traffic in North America delivered through private CDN
Source: Rethink Research, CDN Forecast to 2024, September 2019
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ATEME © 1991-20215G Broadcast – When Over-The-Air Meets Over-The-Top
Leveraging Ateme’s expertise
and involvement in standardisation
• Convergence of OTT and Over-the-Air
• Pro-active standardizations activities:
DVB-I, MABR, CMAF
• Strong parentship with ecosystem
players
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ATEME © 1991-2021Enabling Personalization for Boosting Engagement
Netflix is testing a TV-like channel based on their The Wheather Channel has launched
recommendation engine a local OTT version
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ATEME © 1991-2021The Power of Personalization
Boosting Viewership Engagement Customers are Looking for It
Source: Tivo
Increase Ads Revenue
Source: Google Source: Deloitte Insights
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ATEME © 1991-2021How We Help
Lower Cost of Delivery and Sustainable & Green High QoE on any screen
Customer Acquisition Video Services boosting subscription
Generate New Next Gen Distribution: Personalization
Revenue Streams 5G, Services Aggregation
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ATEME © 1991-20211. Two Leaders Joining Forces
2. Market Trends
3.ATEME H1 2021
Revenues
4. Outlook
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ATEME © 1991-2021Revenues Evolution by Quarter
€70.7m
+12%
Growth
€66.3m 5.3 In Q1 2021
€56.5m
-4%
€48.6m at constant
exch. Rate &
perimeter
€37.5m
€32.4m
€28.6m
€24.8m
Q2 up by only 1% due
16.9 to delays in booking
16.7 and shipping 3 large
orders
15.5
12.4
2014 2015 2016 2017 2018 2019 2020 2021
IPO Q1 Q2 Q3 Q4
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ATEME © 1991-2021H1 2021 Revenue Split and Growth by Region
H1 2021 REVENUE SPLIT BY REGION H1 2021 REVENUE GROWTH BY REGION
APAC
4.4 -16%
+xx%
USA/CAN
14% -17%
(at
atconstant
exch.
constant
rate and
exchange rate EMEA +12%
perimeter)
EMEA +68% (at constant
exch. rate and
LATAM 13.3
perimeter)
4.3 41%
13%
APAC +xx%
-16%
at constant
(at constant
-19% exchange
exch. rate rate
and
LATAM -1%
-xx% perimeter)
(at constant
at constant
+42% exch. raterate
exchange and
perimeter)
USA/Canada
10.5
32%
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ATEME © 1991-2021Continued Growth in MRR in H1 2021
+8%
Multi-Year MRR, in € thousands +4% 1,685
Subscription 1,500 1,560
investment Support +70%
Contracts
Contracts
+55%
880
570
300
Monthly Recurring Revenue
January 2018 January 2019 January 2020 January 2021 April 2021 July 2021
✓ Increased visibility with secured
revenues
✓ Higher resilience in crisis Monthly recurring revenues amounts to almost €1.7m in July 2021, with a high
✓ Increased profitability with ratio of renewal of existing support contracts in all regions.
optimization of S&M costs
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ATEME © 1991-20211. Two Leaders Joining Forces
2. Market Trends
3. ATEME H1 2021 Revenues
4.Outlook
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ATEME © 1991-2021Outlook for the Full Year
Impact of the pandemic
and global
semiconductor shortage
Improvement could trigger a 10-15% revenue
rebound in Fourth Quarter
sales growth target on a Continued investments
Expected reported basis in R&D & negative
Strong Q3 contribution from
Aim to deliver 0-5% growth on
a like-for-like basis
Anevia will negatively
High backlog and strong impact H1 results
pipeline
acceleration of Anevia’s NEA
software sales
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ATEME © 1991-2021Emerging Technologies and Growth Opportunities
5G opportunity
Ateme uniquely
positioned to address Transforming the product
range and contributing to
the Dynamic Ad the 3GPP definition of
‘Open Caching’
Insertion (DAI) global standards for 5G initiative Growing interest of
market segment Launch of ‘Pilot’ streaming.
Facilitating inter- Ateme’s Tier1 video
a new solution to operability of CDNs, distributors for
Recurring revenues
opportunity address workflow enabling ISPs to monetize
automation and their CDN with Content Anevia’s
Providers.
analytics Flamingo product
line, addressing the
Adding business decision
hospitality sector
tools to ATEME value
proposition
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ATEME © 1991-2021Boosting future profitability with the ramp-up of MRR
Strongly growing MRR
EBITDA
Doubling NEA revenues
€30m
EBITDA
over 2 years > €10m
EBITDA
EBITDA
target €5-10m
Revenues CAGR
10-15%
€4m
MRR €3m MRR MRR
covering covering
€1.5m MRR
50% 60%
MRR of cost base of cost base
2021 2022 2023 2024 2026
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ATEME © 1991-2021Investor Relations
Volumes
Stock price (€) (nb of shares)
Shareholder structure 20 € 500 000 Market data
Number of shares : 11,164,527
450 000
Potential dilution : 397,485 ISIN: FR0011992700 - Ticker: ATEME
18 €
Concert 400 000
NJJ Capital Stock price: €15.96 (as of July 15, 2021)
Others < 5% Artières
65% (Xavier Niel) 350 000
11% 16 € Market cap: €177.7m (as of July 15, 2021)
5%
300 000
Keren Finance 14 € 250 000
5%
200 000
Axa IM
12 € Next investor dates
5% 150 000
September 28, 2021 2021 Half-Year Results
Otus 100 000
10 € November 5, 2021 2021 Third Quarter Revenues
Capital
50 000
9%
Source : Company, as of April 30,2021 8€ 0
Liquidity contract: Kepler Cheuvreux
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