webcast q2 2016 - enirokoncernen · kista, 2016‐08‐15. agenda 1) q2 highlights 2) traffic and...

Webcast Q2 2016Kista, 2016‐08‐15

Agenda

1) Q2 highlights

2) Traffic and product development

3) Financials

2 Interim report January – June 2016

Revenues are still the problem, efficiency enhancing activities continues to deliver

Operating revenue decreases 22%, reaching 496 MSEK (634)• Q2 2016 compared to Q1 2016 ‐2%

Desktop/Mobile search revenue decreases ‐16%, reaching 339 MSEK (405)• Q2 2016 compared to Q1 2016 ‐5%

Earnings continues to increase• EBITDA increases 137%, reaching 116 MSEK (49)

• EBITDA‐margin 23.4%

Operating costs 201 MSEK lower in Q2 and 374 MSEK for H1 compared to the corresponding period last year.A non‐cash impairment loss of 873 MSEK (1,111)


Management’s focus in Q2 2016

Top priority: actions to stabilize the customer base1. Reduce churn (actions to decrease number of customers not renewing their contracts)

2. Prospect sales (actions to add new customers)

3. Actions addressing both these dimensions

Through a stabilized customer base, we will be able to reverse the negative trend in digital revenue.

Always in focus: improving user and customer experience• Traffic 8.2 million visitors/week

• Leads 3.1 million clicks/week (+12% in Q2, has increased 10 consecutive quarters in a row)

• The nautical app På‐Sjön top‐ranked in App Store,

• Total downloads for På‐Sjön and Navigation since year‐end +23% and +17% respectively

• New features and improvements to our services


Contents

1) Q2 highlights


3) Financials


1 000 0001 100 0001 200 0001 300 0001 400 0001 500 0001 600 000

Jan Feb Mar Apr May Jun Jul Aug Sep Okt Nov Dec1 200 0001 300 0001 400 0001 500 0001 600 0001 700 0001 800 000

Jan Feb Mar Apr May Jun Jul Aug Sep Okt Nov Dec

1 100 000

1 200 000

1 300 000

1 400 000

1 500 000

1 600 000

Jan Feb Mar Apr May Jun Jul Aug Sep Okt Nov Dec2 200 000

2 350 000

2 500 000

2 650 000

2 800 000

2 950 000


Actual 2016Actual 2015Actual 2014

Total UB YTD ‐2%

YTD 2016‐3,5%

YTD 2016‐4,7%

YTD 2016‐0,4%

YTD 2016+0,3%

Interim report January – June 2016

Actual 2015Actual 2014

Leads delivered to our customers increased by 7 % YTD

400 000

500 000

600 000

700 000

800 000

900 000


300 000

400 000

500 000

600 000

700 000

800 000


300 000

400 000

500 000

600 000

700 000

Jan Feb Mar Apr May Jun Jul Aug Sep Okt Nov Dec600 000

700 000

800 000

900 000

1 000 000


Actual 2016

YTD 2016+3%

YTD 2016+9%

YTD 2016+3%

YTD 2016+15%


Mobile usage of our services continues to increase

‐

1 000 000

2 000 000

3 000 000

4 000 000

5 000 000

6 000 000

7 000 000

8 000 000

9 000 000

2013 2014 2015 2016 Q1 2016 Q2

Total desktop UB Total mobile UB

26%

74%

34%

66%

36%

64%

19%

81%

39%

61%


9

The nautical app Eniro På‐Sjön has got many new features, among others, AIS information.

Bicycle routes at krak.dk

User experienceUpdates in Q2

Ratings from TripAdvisor

Real estate boarders at krak.dk

Links to Facebook


10

New display formatBetter presentation of companies on the hit‐list’s firstpage (now with no/fewer unpaying companies).

Customer experienceUpdates in Q2

Improved display format, new take‐over format for start page, allows videos

Free logotype for all customers New product launch: gulesiderinnsikt.no New effect report Norway


Contents

1) Q2 highlights


3) Financials


Apr-Jun Apr-Jun Jan-DecSEK M 2016 2015 % 2015

Desktop/Mobile search 339 405 -16 1 546Complementary digital marketing products 34 60 -43 222 Digital search 373 465 -20 1 768Print 25 46 -46 210Local search 398 511 -22 1 978Voice 98 123 -20 460

Total revenue 496 634 -22 2 438

Focus on reversing the trend in Digital revenues

12

Operating revenue by category and operating segments Comments

Excluding currency effects ‐14% In Q1 2015, a decision was made to

stop selling less profitable products within the segment which also affects comparison in Q2

Improved performance in sales teams but customer churn remains a problem

Focus areas: Stabilize customer base through:

Win‐back activites Increase number of prospects

through cheaper introduction packages


Revenue by category (%) Q2 2016


Revenue Q2 2016 vs Q2 2015, decrease of 22%

14

66

26

2521

Revenue Q2 2016

496

VoicePrint productsCompl. Dig. Mkt. Prod.

Desktop/MobileRevenue Q2 2015

634CommentsRevenue bridge

Currency effects of ‐15 MSEK included, primarily due to a weaker NOK


Apr-Jun Apr-Jun Jan-DecSEK M 2016 2015 % 2015

Sw eden 209 274 -24 1 038Norw ay 126 172 -27 641Denmark 68 87 -22 366Finland 41 45 -9 178Poland 52 56 -7 215

Total revenue 496 634 -22 2 438

Declining digital revenues remains a challenge

15

Revenue by country Comments

Comparison of revenue in Norway year by year is affected by a currency effect of ‐12MSEK, excluding the currency effect the decline was ‐20%


Cost during Q2 2016 was 201 MSEK lower than Q2 2015

16

in 2015 ”Other items affecting comp.” included a severance package.

EBITDA by operating segments CommentsApr-Jun Apr-Jun Jan-Dec

SEK M 2016 2015 % 2015Total EBITDA 116 49 137 383

Whereof Local search 98 44 123 273Whereof Voice 31 48 -35 189Whereof Other -13 -43 70 -79

EBITDA margin % 23,4 7,7 15,7Items affecting comparabilityRestructuring costs 2 35 73Other items affecting comparability 0 12 -2Total adjusted EBITDA 118 96 23 454

Adjusted EBITDA margin % 23,8 15,1 18,6


Key financials: Q/Q comparison

17

59

-35-32-2

118116

496468

-56-22

-90

-13

9649

634

564

CapEx Operating cash flow

Net financial items

Change in working capital

Adj. EBITDAEBITDARevenuePrepaid revenue

Q2 2016Q2 2015

1) Cash flow from operating activities according to Q2 report

1


1 210

493

3,2

2,5

0,0

0,5

1,0

1,5

2,0

2,5

3,0

3,5

4,0

4,5

5,0

0

500

1 000

1 500

2 000

2 500

3 000

3 500

4 000

2012 2013 2014 2015 Q2 2016

Net debt* EBITDA Net debt/EBITDA

Development net debt/EBITDA R12

18

*Net debt is equal to net senior debt, i.e excl. convertibles

336239

336

300

Q1 2016Q4 2015Q3 2015 Q2 2016 Remaining convertibles

Q2 2015

Convertibles converted to shares

Q2 2015 438 779 366Q3 2015 460 317 825Q4 2015 477 240 899Q1 2016 477 240 899Q2 2016 492 625 513

Total number of shares


19

Goodwill

Lokal Valuta MSEKGoodwill impairment Goodwill Goodwill post

201606 Impairment Impairment Impairment

Sweden, Local search 1062,0 0 1062,0 0Sverige, Voice 66,1 ‐8,7 57,5 ‐9

Norway, Local search 921,9 ‐630,5 291,4 ‐622Norge, Voice 30,5 ‐10,9 19,6 ‐11

Denmark, Local search 517,2 ‐183,3 333,9 ‐229

Finland, Voice 15,3 ‐0,2 15,1 ‐2

Poland, Local search 0,0 0 0 0

Total ‐873Totalt GW MSEK excl. 2 868 ‐873 1 995exchange rate differences ‐60Totalt GW SEK 2 808


Q&A


webcast q2 2016 - enirokoncernen · kista, 2016‐08‐15. agenda 1) q2 highlights 2) traffic and...

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