ROADSHOWS H2 2019 CONFIRMED GROWTH TRAJECTORY IN 2019 - FY19 Results - Mediawan
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
March 24th, 2020
CONFIRMED GROWTH
TRAJECTORY IN 2019
H2 2019
FY19 Results
ROADSHOWS
Remplacer par
Power Players
The Crimson Rivers
The Crimson Rivers
Les Rivières
Les Rivières Pourpres
Pourpres
(8 x 52’)
(8 x 52’)
Delivering our
objectives for 2019
2 | Mediawan FY 2019 Results
BOOMING PRODUCTION VOLUMES
Comforted leadership
The group has significantly increased production volumes, benefiting in France and Italy
from strong demand from both OTT platforms and traditional
broadcasters
+32% delivered hours
(Mediawan Originals) Diversification towards
documentaries and non-scripted
Continued increase in documentaries
137 h production (Apocalypse, Demain est à nous,
Griezmann…)
Acquisition of Black Dynamite
104 h
Launch in premium non-scripted programs
(Il Supplente)
Ecran total,
September 2019
2018 2019
Mediawan - FY 2019 results 3
ACCLAIMED PROGRAMS
2019 was a year of major audience and critical successes for the group productions
Streaming record Record episode on Rai I with Silver Bear for Best Screenplay Best female newcomer at 2020 César Awards
3.5 million orders on myCANAL and 9.3 million people and 39% of at the Berlinale 2019 Best Film Award at the Rome International Film
CANAL+ on demand in two weeks viewers in March 2020 Festival - Alice nella Città Selection
Un Homme Abimé
4th series in the ranking of the most watched 6th series in the ranking of the most watched Best documentary award at Best director award at 2020 Festival
French prime time series in 2019 French prime time series in 2019 the COLCOA festival (French de Luchon 2020 and Best Actor at
Avg 6.03m viewers (30.1% share) on TF1 Avg 5.74m viewers (24.7% share) on TF1 film festival in Hollywood) 2019 Festival de La Rochelle
Mediawan - FY 2019 results 4
DEVELOPMENT OF BLUE-CHIP PROPERTIES
The group capitalizes on strong IPs with global potential in the long term
Global IP Adapted on all formats Unique L&M potential Strong digital presence
#1 kids show in Europe TV series (5 seasons) More than 300 licensees 14 billion views on Youtube
#1 girl show in US Feature film (currently in Premium partnerships 88 million app downloads
production)
Available in more than $500m retail sales 3.2 million subs on Instagram
120 countries New formats in development estimated since 2015
Mediawan - FY 2019 results 5
CLIENT DIVERSIFICATION
WIDENING OUR CLIENT BASE WITH A STRONG CONTRIBUTION FROM OTT PLATFORMS
Continued distribution deals to fuel platforms libraries
Black spot
x 2.5 revenues
with platforms
Call my agent Power Players
Accelerated strategy of originals productions for platforms
• Originals series : new exclusive series in production
• Originals movie : The Life Ahead with Sophia Loren
• Premium documentaries : Anelka, Gims, and more to come…
2018 2019
The Life Ahead
Mediawan - FY 2019 results 6
INTERNATIONAL EXPANSION
Business outside France has significantly increased in 2019 and will further grow
thanks to new initiatives in Italy and other territories
Italy Other territories
% of revenues
generated outside • Acquisition of Palomar, • Europe – continued
of France leading independent ambition to build a
37,3% producer in Italy leading European studio
• Top domestic franchises • Strategic partnership
incl. Montalbano (RAI) with Canal+ for original
and Barlume (Sky) productions in Africa
• Strong expertise in • Joint-venture with
21,0% international production Fantawild for the
development of
• Exciting line-up of “Miraculous” in China
premium projects
incl. “That Dirty
Black Bag” in
production in 2020
2018 2019
Mediawan - FY 2019 results 7
NEW BUSINESS MODELS FOR OUR
TV CHANNELS
The group is developing new business opportunities and business models for
its 17 channels
x2 paying
subscribers
Development of business with platforms Increased international activity in only 2 months
between January and
M a r c h 2 0 2 0 [1]
Launch of Amazon channels Need for new premium channels to
in October 2019 respond to the rise of the
international pay-tv market
Continued business with
existing platforms (Molotov…) Distribution in Africa: Development
of the African market is a source of
Need for new services might
market opportunities: signature in
emerge from the launch of
2019 of a long-term deal with
Apple TV in France
Canal+ International
[1] +107% increase in paying subscribers for Mediawan channels on Amazon Prime Video Channels between January 4th and March 7th
Mediawan - FY 2019 results 8
IMPLEMENTATION OF SYNERGIES
MULTIPLE CO-PRODUCTION INITIATIVES ACROSS THE GROUP
In only a few months of activity, productions labels across the group
have initiated multiple projects in co-development focused on
premium and international projects
Le comte de Monte-Cristo Constance aux enfers
/ /
in development in development
Pinocchio & the
enchanted village
Envole-moi Mia & Charlie Call my agent (Italy)
/ / /
in production in development in development
in production
Mediawan - FY 2019 results 9
ORGANIZING AN INTEGRATED MEDIA GROUP
Strengthening of the management team
➢ Recruitment of Delphine Cazaux as Chief Operating Officer
➢ Other new arrivals incl. in top management functions incl. IT, HR, Digital/Marketing and
Communications
Reunion of all entities under one roof
➢ All teams gathered in a single location in central Paris
➢ Intended to become a real talent incubator dedicated to the production and the innovation of
audiovisual and digital contents
Centralization of corporate functions and services
➢ Group reorganization with clear responsibilities for each service
➢ Internal mobility enabling people to enlarge scope of action across the group
Reshaped group identity and brand
➢ In progress
Mediawan - FY 2019 results 10MAINTAINED GROWTH TRAJECTORY
Revenues have more than doubled between 2017 and 2019
Entering the TOP 10
+31% reported
of independent TV
+13.9% organic growth
producers in the
+58% reported
+13.0% organic growth 338,0 world, after less
321,9
258,6
than 3 years
202,4 of existence
LTM
163,8
reported
revenues
(2017 FY
contribution)
Dec. 2017 June 2018 Dec. 2018 June 2019 Dec. 2019
Mediawan - FY 2019 results 11Inspector Montalbano
Commissaire Montelbano
(12x34’)
Solid financial
results
12 | Mediawan FY 2019 ResultsFY19 REVENUES :
ALL UNITS CONTRIBUTING TO ORGANIC GROWTH
➢ Originals: progression in line
In €m 2018 A 2018 PF 2019 A yoy growth o/w organic
with increase of production
volumes
88.4 113.7 124.1 +40% +9%
➢ Animation: significant growth
supported by delivery of the
Playmobil movie for approx.
26.8 42.4 68.7 +156% +62%
€32m in Q2 2019
➢ Rights: record year in
35.9 33.5 37.2 +4% +11%
distribution thanks to
significant sales in H2 2019
107.1 107.1 107.9 +1% +1% ➢ Thematics: back to growth
thanks to advertising (+18%)
and contribution of new
TOTAL 258.6 296.6 338.0 +30.7% +13.9% initiatives
Mediawan - FY 2019 results 13CONSOLIDATED P&L
Key points of attention Consolidated P&L
EBITDA of €53.2m or 15.7% margin In €m 2019 2018
➢ Driven my mix effect and significant increase in
production volumes Revenues 338.0 258.6
➢ Would be approx. 17.4% excl. revenue impact of
EBITDA (1) 53.2 49.1
the Playmobil movie
D&A (excl. audiovisual rights) (10.8) (5.2)
Reported net income affected by significant Adjusted EBIT (2) 42.3 43.9
non-operating items
➢ Cf. adjusted net income on next page Other income / (expense) (10.0) (10.2)
Amort. of assets recognized through business combination (25.6) (30.1)
Financial income of €(9.2)m Financial income / (expense) and affiliates (9.2) (3.2)
➢ Mainly corresponds to the cost of the €230m bank Earning before tax (EBT) (2.5) 0.4
facilities and related swap instruments
➢ Includes €0.1m losses from equity affiliates Tax income 1.5 5.5
Minority interests 1.5 0.9
Positive CIT impact of +€1.5m
Net Income group share 0.5 5.0
➢ Effective tax of €(8.6)m compensated by variation
of deferred tax by +€10.1m
[1] After amortization of audiovisual rights (other than recognized through business combinations)
[2] Before amortization of assets recognized through business combinations
Mediawan - FY 2019 results 14ADJUSTED NET INCOME AND EPS
Key points of attention 2019 2018
Net Net
In €m EBT Tax Minorities
€25.6m amortization of assets recognized Income Income
through business combination
➢ Net impact of €14.6m (vs. €15.9m in 2018)
Reported net income (2.5) 1.5 1.5 0.5 5.0
Other expenses include €6.4m non-recurring
costs and €3.6m non-cash remuneration Amort. of assets recognized
25.6 (7.5) (3.5) 14.6 15.9
through business combination
➢ Net impact of €8.0m (vs. €9.4m in 2018)
Non-recurring costs (incl. M&A
6.4 (0.4) (1.4) 4.6 4.8
and other exceptional expenses)
Depreciation of deferred tax assets for 1.8m
➢ Related to internal reorganization and tax Non-cash remuneration expense
3.6 (0.1) (0.1) 3.4 4.6
integration effect (incl. IFRS3 and free shares)
Diluted nosh of 32.6m shares on average Exceptional tax / financial result - 1.8 (0.8) 1.0 (2.9)
➢ 31.6m average share capital over the period
(31.9m as of 31/12/19) Net Income group share 33.1 (4.7) (4.4) 24.0 27.4
➢ 22.1m warrants outstanding as of 31/12/2019
(ratio 2:1) calculated with “treasury method”
Adjusted EPS € 0.76 € 0.94
Adjusted EPS – diluted € 0.74 € 0.89
Mediawan - FY 2019 results 15CASH FLOW GENERATION AND NET FINANCIAL DEBT
Conversion to Operating Cash Flow has reached 71% (vs. 60% in 2018).
Net cash generation of +€15m over the period (adjusted for M&A and relocation) resulting in a
net financial debt of €142m at year end.
Implied leverage of 2.7x EBITDA.
71% conversion
EBITDA to
operating cash flow
Includes c.€5m of
lease payments
(IFRS16)
Includes a 10M€
CIT compensation Mainly composed of
non recurring items
Mediawan - FY 2019 results 16Les Sauvages
(6x52’)
2020
and beyond
Mediawan FY 2019 ResultsMANAGING THE IMPACT OF THE COVID-19 SITUATION
ENSURING THE SAFETY MONITORING IMPACT ON PRESERVING POTENTIAL
OF OUR EMPLOYEES GROUP ACTIVITY FOR 2020 FOR FUTURE GROWTH
AND OUR PARTNERS
Gl obal appl i cat i on of Del ays i n product i on C ont i nue devel opi ng new
prot ect i on i ni t i at i ves schedul es project s/ product i ons
Measur es faci l i t at i ng Dow nt urn i n t heat ri cal Prepari ng condi t i ons for
remot e w ork movi e rel ease i nt errupt ed product i ons
I ndi rect i mpact t o be t o resume shoot i ng as
Speci fi c i ni t i at i ves
assessed soon as pr act i cabl e
ensuri ng busi ness
cont i nui t y i n post -
pr oduct i on and
broadcast i ng
Mediawan - FY 2019 results 18PURSUING EFFORTS IN NEW PRODUCTION
Selection of new projects for delivery in 2020 (1)
New
That Dirty La Flamme Luther War is Over returning Divorce Club Il Supplente Produced by
Black Bag (Canal+) (TF1) (Rai) series (SND) (Discovery)
Gilles de Maistre
(FTV)
New feature film to be
3615 New original The life Brutus
Maroni Barlume released in 2020
Monique series ahead (Orange …
(Arte) (Sky Italy)
(OCS) (Warner TV) (Netflix) Studio)
From a new franchise of
animal fiction movies,
after the international
success of Mia & the
Developments for the long-term strategy White Lion
➢ Focus on international projects – e.g. Castro, Foreign Legion, Big Five,…
➢ Launch of new recurring series for longer-term visibility
[1] Subject to changes in production and delivery schedules
Mediawan - FY 2019 results 19DELIVERING A SOLID LINE-UP IN ANIMATION
2020 will be a record year for production of new animation programs at Mediawan.
Apart from the delivery of last episodes of ‘Power Players’ (Cartoon Network, Netflix) and the launch of
the production of the feature film ‘Miraculous’ (to be delivered in 2021), the group will have up to 5
series simultaneously in production.
Most significant volumes to be delivered in 2021 (with modest impact on 2020).
launched in launched in to be launched in
2019 2019 2020
to be launched in
launched in launched in 2020
2018 2019
Season 2
Seasons 4 & 5 Season 1 52x11’ episodes
52x26’ episodes 76x7’ episodes
4-12 yo 3-6 yo
Season 1
Feature Film Season 3 76x7’ episodes
52x13’ episodes 3-6 yo
Mediawan - FY 2019 results 20ADAPTING OUR BUSINESS MODELS
MORE UPSTREAM POSITIONING NEW FORMS OF MONETIZATION
C o - product i on rol e w i t h 3 rd part i es Launch of new pl at forms w i l l
creat e addi t i onal
Associ at i on t o new project s from
opport uni t i es for dedi cat ed
i ncept i on
SVOD offers
More i nt ernat i onal cont ent
Leverage on brand and dept h
of dedi cat ed ni che cont ent t o
creat e t hemat i c cont ent
offers
Mediawan - FY 2019 results 21STRENGTHENING OUR DIGITAL STRATEGY
Youtube Snapchat TikTok App
More than 6 billion views for 3 new Snapshows Almost 5M views for the 88M downloads on the
the Group content launched in 2019 first Mediawan Group Miraculous app
challenge dedicated
• On Entertainment: - 105 episodes to Esport:
- Total views:5.6 Bn (+28%) - Total views: 342M
- Followers: +10M - Followers: 750k #EpicGamerThings
• Mediawan Thematics : Esport Zone :
- Total views: 710 M (+180%) 1st Snapshow in eSport
- Followers: 2.5M (+250%)
Mon Science & Vie
Junior: leader in science
Facebook Mediawan
• New anti-piracy unit for content
• Focus 2020 with new strategy: launch protection (fingerprinting)
broadcasting of the catalog library content
• Coming developments:
• Successful strategy: - Podcast regarding the Group’s IP assets
in only 2 months in 2020, already same level of - New digital studio creation
earnings than FY 2019 - Original digital content production
Mediawan - FY 2019 results 22MAINTAINING MID-TERM GROWTH TRAJECTORY
MID-TERM ORGANIC GROWTH TARGETS STILL ON TRACK DESPITE
PRESSURE ANTICIPATED IN 2020
➢ Average organic growth above 10% in the mid-term
INTACT OBJECTIVE TO ESTABLISH EUROPEAN LEADERSHIP
➢ Acquisitions in strategic geographies or segments
Mediawan - FY 2019 results 23Appendices Mediawan FY 2019 Results
SUMMARY BALANCE SHEET
Key points of attention Consolidated balance sheet
In €m 2019 2018
Increase in intangible assets to €377m due to consolidation of
acquired business libraries and investments in new content Intangible assets 377.4 361.3
(productions and distribution rights)
Goodwill 189.9 164.7
Increase in other assets is mainly due to IFRS16 rights-of-use
Other assets 75.8 19.6
Net financial debt of €142m
Total assets 643.1 545.6
➢ Consolidated cash position of €37m
➢ Gross debt mainly relates to €171m credit facility Shareholders’ equity 229.2 221.6
➢ Exclude €80m of production credits associated to ongoing
Net financial debt 142.2 120.9
productions
Production credits 79.7 41.7
Increase in other liabilities at €134m due to :
Other liabilities 134.4 79.5
➢ The additional “put options” recognized for Palomar, Radar Films,
Carte Blanche and Black Dynamite Net Working capital 57.6 81.9
➢ The capitalized leases under IFRS16
Total liabilities 643.1 545.6
Negative working capital of €(58)m consistent with industry
practice in content production and distribution
Mediawan - FY 2019 results 25La Flamme
Bientôt sur Canal+
Merci.
Mediawan - FY 2019 resultsYou can also read
