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Agenda 1 2 3 4 2016 Half-year Group Business Outlook 2016 2016 highlights financials update 2
Highlights Record interim operating results +3.2 % € 2,878 million € 1.00 87 % Revenue Cash conversion rate Interim dividend 20.2 % 19.4 % +8.6 % EBITA Margin EBITA Margin € 580 million € 341 million Reported EBITA Net profit 3
Highlights Digital continues on its strong growth path VIDEO VIEWS RTL GROUP DIGITAL REVENUE In € million In billion Non-advertising 123.1 Advertising +20.5% 264 219 42.5 113 15.7 HY 2014 HY 2015 HY 2016 HY 2014 HY 2015 HY 2016 4.2% 9.2% % of RTL Group revenue Source: all internal figures 4
Highlights With platform revenue also growing RTL GROUP PLATFORM REVENUE HD SUBSCRIBERS, GERMANY In € million 1) In million HD channels +13.6% +17.5% 6.7 5.7 134 Thematic channels 118 VOD on managed platforms HY 2015 HY 2016 HY 2015 HY 2016 1) Platform revenue defined as revenue generated across all pay platforms (cable, satellite, IPTV) including subscription and re-transmission fees 5
Highlights RTL Group’s revenue mix is well diversified RTL GROUP HY 2016 REVENUE SPLIT DEPENDENCY FROM TV ADVERTISING In % TV advertising Other diversification Other revenue 11.9 TV advertising Digital 51% 9.2 € 2.9bn Content 19.2 50.6 56% 4.6 Platform revenue 4.5 Radio advertising 6
Agenda 1 2 3 4 2016 Half-year Group Business Outlook 2016 2016 highlights financials update 7
Review of results 30 June 2016 Revenue & EBITA up year-on-year Half-year to Half-year to Per cent In € million June 2016 June 2015 change Revenue 2,878 2,788 +3.2 Underlying revenue 2,861 2,780 +2.9 Operating cost base 2,413 2,300 +4.9 Reported EBITA 580 534 +8.6 Reported EBITA margin (%) 20.2 19.2 +1.0pp Reported EBITDA 679 628 +8.1 Reported EBITDA margin (%) 23.6 22.5 +1.1pp ‒ Net debt (958) (1,003) 8
Review of results 30 June 2016 Higher tax charge results in lower net profit Half-year to Half-year to Per cent In € million June 2015 June 2016 change Reported EBITA 580 534 +8.6 Amortisation and impairment of fair value adjustments on acquisitions of (8) 2 subsidiaries Re-measurement of earn-out arrangements, gain/(loss) from sale of subsidiaries, other investments and re-measurement to fair value of pre- - 7 existing interest in acquiree Net financial income/(expense) 1 (10) Income tax expense (183) (145) +26.2 Profit for the period 390 388 +0.5 Attributable to: RTL Group shareholders 341 351 (2.8) 9
Review of results 30 June 2016 Improved cash generation Half-year to Half-year to In € million June 2016 June 2015 Net cash flow from operating activities 403 295 Add: Income tax paid 190 198 Less: Acquisition of assets, net (82) (97) Equals: Reported free cash flow (FCF) 511 396 Acquisition and disposal of subsidiaries and JVs, net of cash acquired (48) (45) Disposal of other subsidiaries, net of cash - 2 Other financial assets, net (30) 27 Net interest (13) (13) Transactions with non controlling interests & treasury shares (1) 5 Income tax paid (190) (198) Dividends paid (521) (597) Cash used (292) (423) Reported EBITA 580 534 EBITA conversion (FCF/EBITA) 88% 74% 10
Agenda 1 2 3 4 2016 Half-year Group Business Outlook 2016 2016 highlights financials update 11
Mediengruppe RTL Deutschland High audience shares and seventh year of improved profitability FAMILY OF CHANNELS MG RTL 28.2% 14 – 59, HY 2016 KEY FINANCIALS In € million REVENUE EBITA Others 12.3% 22.1% 6.6% +4.4% +5.5% 1,039 9.3% 6.9% ARD-III 362 995 343 8.7% ARD 25.2% 8.9% ZDF P7S1 HY 2015 HY 2016 HY 2015 HY 2016 Source: AGF in cooperation with GfK Note: MG RTL De including RTL II and Super RTL 12
Mediengruppe RTL Deutschland With strengthening leadership in key timeslots FAMILY OF CHANNELS MG RTL 28.2% 14 – 59, HY 2016 ACCESS PRIME TIME PRIME TIME (17 – 20h) 14 – 59 (in %) (20 – 23h) 14 – 59 (in %) Others 12.2% 12.3% +4.2 pp +5.2 pp 22.2% 22.1% 6.6% 6.6% 13.0 12.2 9.6% 9.3% 6.9% 7.3% ARD-III 8.0 7.8 7.7% 8.7% ARD 26.7% 25.2% 7.7% 8.9% ZDF P7S1 RTL Sat 1 RTL Sat 1 Source: AGF in cooperation with GfK Note: MG RTL De including RTL II and Super RTL 13
Mediengruppe RTL Deutschland Acquisition of Smartclip adds European scale and technology Advanced multi-screen video Supply Side Platform (SSP), ad server & ad exchange Strong publisher base (in Germany, Nordics, Italy and the Netherlands) 150+ 120 FTEs, headquartered in Hamburg with offices across the EU publishers in Sophisticated booking and reporting Germany alone tools, highly complementary to SpotX Competitive edge with addressable TV solutions for connected TVs and HbbTV Strong sales platform and tech capabilities 14
Groupe M6 Gaining audience share FAMILY OF CHANNELS GROUPE M6 21.7% KEY FINANCIALS Women < 50 responsible In € million for purchases (in %), HY 2016 REVENUE EBITA 15.8% +2.5% Others 34.6% 5.9% 648 632 +32.4% 139 105 3.7% France 3 31.4% 8.6% France 2 Groupe TF1 HY 2015 HY 2016 HY 2015 HY 2016 Source: Médiamétrie Groupe M6: M6, W9 and 6ter; TF1 Group: TF1, TMC, NT1 and HD1 15
RTL Nederland Stable audience share with slight decrease in EBITA FAMILY OF CHANNELS RTL Nederland 32.8% 20 – 49, Primetime KEY FINANCIALS (in € million) (in %), HY 2016 REVENUE EBITA 19.1% 21.7% +4.4% Others 236 -3.7% 226 13.7% 27 26 25.3% 20.2% Pubcaster SBS HY 2015 HY 2016 HY 2015 HY 2016 Source: SKO 16
Other markets Varied performance across rest of operations BELGIUM HUNGARY 104 45 Clear market leader EBITA down following one-offs last year Stable revenue in weak 22 5 ad market FRENCH RADIO CROATIA 84 19 #1 Radio in France Revenue growth out-performed market Revenue and EBITA up 11 0 SPAIN RTL CBS 544 Asia Entertainment Network Strong performance Available in 19 countries and recently 119 launched in South Korea EBITDA EBITA, in € million Revenue 17
FremantleMedia Revenue impacted by lower growth in the US REVENUE BRIDGE HY2015 – HY2016 EBITA In € million In € million +10 (19) +21 (20) (11) 637 +7.1% 618 30 FX Effect of Production & Production & Phasing & other timing of acquisitions volume changes in volume changes in changes 28 North America and start-ups other territories HY 2015 HY 2016 HY 2015 HY 2016 5,761 hours of content aired in first six months of 2016 18
FremantleMedia Strategic talent and M&A deals agreed over last 12 months Strategic priorities Deals already contributing IP DATE HOLDING # of IP 2 Shows in funded development Jan 2015 25% SCRIPTED Developing the pipeline 3 Shows in production or funded development Sep 2015 51% SCRIPTED Shows in production or funded development 5 Sep 2015 25% Strengthening in UK and US ENTS of new genres: drama and local productions Shows in production or funded development 4 Dec 2015 25% ENTS Dec 2015 25% 1 Show in funded development ENTS Maximising the global network May 2016 25% Wild Blue Media 2 2 & June 2016 25% ENTS new new Dancing Ledge 19
Multi-channel networks Strong video view and revenue growth continues #1 #1 #1 Global MCN Fashion MCN European MCN VIDEO VIEWS VIDEO VIEWS VIDEO VIEWS In billion In billion In billion +289% +63% +122% 90.6 11.6 10.0 7.1 4.5 23.3 HY 2015 HY 2016 HY 2015 HY 2016 HY 2015 HY 2016 Source: Internal figures, consolidated view for BroadbandTV, StyleHaul and Divimove. Divimove as from March 2015 20
Ad-tech Offering publishers ‘Total Video’ monetisation capabilities at scale Demand-side Ad- Supply Side Advertiser Publisher platform (DSP) server platform (SSP) Multi-screen delivery / ad-serving SSP / Yield optimisation Booking, reporting and forecasting tools 1,300 Addressable TV (Connected TV / HbbTV) PUBLISHERS Cross-screen optimisation GLOBALLY Programmatic ad sales for linear TV Expansion and roll-out in Europe and Asia Strategic Grow premium private market places goals Building fully integrated ad stack 21
Agenda 1 2 3 4 2016 Half-year Group Business Outlook 2016 2016 highlights financials update 22
RTL Group Outlook for 2016: raising EBITA guidance Revenue expected to grow 1 moderately , in line with previous guidance Reported EBITA now expected to show slight growth – raised 2 guidance following strong H1 2016 23
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