Financial Results Presentation For the year ended 31 March 2011 - - PowerPoint PPT Presentation

Financial Results Presentation

For the year ended 31 March 2011

Important information

This presentation contains forward-looking statements as defined in the United States Private Securities Litigation Reform Act of 1995. Words such as “believe”, “anticipate”, “intend”, “seek”, “will”, “plan”, “could”, “may”, “endeavour” and similar expressions are intended to identify such forward-looking statements, but are not the exclusive means of identifying such statements. While these forward-looking statements represent our judgments and future expectations, a number of risks, uncertainties and other important factors could cause actual developments and results to differ materially from our

• expectations. These include key factors that could adversely affect our businesses and

financial performance. We are not under any obligation to (and expressly disclaim any such

• bligation to) update or alter our forward-looking statements whether as a result of new

information, future events or otherwise. Investors are cautioned not to place undue reliance

• n any forward-looking statements contained herein.

2

Group Highlights Key Messages Financial Results Operational performance Outlook Appendix

3

FY11 Group highlights

Financial Operational

• Revenue up 18% and EBITDA up 10%
• EBITDA margin relatively stable at 22%
• Core headline earnings grew 13% to ZAR6bn
• Generated ZAR4bn in free cash flow
• Internet: lively growth
• Pay-TV: sub growth +25%, but competition increased costs
• Print: modest recovery in advertising
• Technology: margin improvement

Strategic

• Investing in future growth, more to come
• Spent ZAR7bn ($1bn) on acquisitions and development

costs in FY11

4

FY11 Financial highlights

Mar 10 Mar 11

6.5 7.1

Revenue (ZARbn) EBITDA (ZARbn)

28.0 33.1

Up 18% Up 10%

2.35 2.70

Core HEPS (ZAR)

14.26 16.12

Up 13% Up 15%

DPS (ZAR)

5

Group Highlights Key Messages Financial Results Operational performance Outlook Appendix

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FY11 Key highlights

Internet revenues grew +47% Mail.ru Group listed: market cap ~US$7bn More finance costs Exceptional pay-TV subscriber growth; costs up Investing in future growth = higher development spend

7

1 2 3 4 5

1,265 2,121 6,470 8,237 12,091 2,000 4,000 6,000 8,000 10,000 12,000 Mar 07 Mar 08 Mar 09 Mar 10 Mar 11

Internet revenues continue to grow strongly

Internet revenue (ZARm)*

* Based on economic interest, i.e. assuming all investments, including Tencent & Mail.ru Group, are proportionately consolidated 8

Exceptional pay-TV subscriber growth

• 100

200 300 400 500 Mar 07 Sept 07 Mar 08 Sept 08 Mar 09 Sept 09 Mar 10 Sept 10 Mar 11

Gross Additions (‘000)

Average = 329

• 1H growth related to campaigns around 2010 Soccer World Cup
• 2H growth, predominantly driven by SSA, attributed to :
• Start of the soccer season
• Strong local content line-up, including Big Brother Africa
• Increased decoder subsidies
• Growth likely to slow in future

9

535 876 1,129 1,211 1,240 1,535 400 800 1,200 1,600 Mar 06 Mar 07 Mar 08 Mar 09 Mar 10 Mar 11

Growth phase: development cost accelerating

Development costs (ZARm) Cost of growth impacting:

• Operating expenses: development costs, decoder subsidies, transponder leases
• Capital expenditure
• Finance costs

10

Debt increased, gearing still low at 10%

1,053 991 10,897 6,594 7,471 11,315 2,000 4,000 6,000 8,000 10,000 12,000 Mar 06 Mar 07 Mar 08 Mar 09 Mar 10 Mar 11

Interest bearing debt (ZARm)*

* Excluding transponder leases and short-term overdrafts 11

Group Highlights Key Messages Financial Results Operational performance Outlook Appendix

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Summary consolidated income statement

13

Mar 10 ZARm Mar 11 ZARm Revenue 27,998 33,085 EBITDA 6,496 7,149 EBITDA margins 23% 22% Trading profit 5,447 5,838 Net finance costs (421) (1,018) Share of equity accounted results 2,058 3,290 Other 82 1,480 Taxation (1,808) (1,861) Net profit 3,952 5,947 Core headline earnings 5,319 6,036 Core headline EPS (ZAR) 14.26 16.12

1 2 3 4

1 2 4

EBITDA +10%; development costs, decoder subsidies and higher programming expenses impacted margins Revenue growth +18% (+22% in constant currency) Once-off dilution gain of ZAR1.5bn due to roll-up of stake into listed Mail.ru Group Net finance costs up mainly due to debt- funded acquisitions

3

Maintained top line growth momentum

• Pay-TV revenues grew 19%, driven by:
• 25% increase in subscribers
• rebound in advertising revenue
• Internet delivered 47% growth YoY
• Tencent’s contribution +48%
• Other internet grew +45%
• Print reported 5% growth as advertising

recovered only modestly Revenue* (ZARm) Revenue* – historic growth (ZARm)

* Based on economic interest, i.e. assuming all investments are proportionately consolidated

17,603 8,237 1,207 10,204 21,025 12,092 1,228 10,758

• 3,000

6,000 9,000 12,000 15,000 18,000 21,000 24,000 Pay-TV Internet Technology Print March 10 March 11 25,305 34,505 37,251 45,103 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 50,000 Mar 08 Mar 09 Mar 10 Mar 11

14

Revenue* (ZARm) Mar 10 Mar 11 % Change Economic interest 37,251 45,103 21%

5,243 7,173 8,537 10,220

• 2,000

4,000 6,000 8,000 10,000 12,000 Mar 08 Mar 09 Mar 10 Mar 11

Trading profit growing

• Pay-TV profit margins affected by growth initiatives:
• more investment in content
• increased decoder subsidies & transmission costs
• ramp-up in development spend
• Internet margin maintained
• increased profitability of Allegro and Tencent
• offset by increased development costs of

e-commerce businesses

• Technology benefitted from efficient management of

products and structure

• Print margins flat

Trading Profit* (ZARm) Trading Profit* – historic growth (ZARm)

* Based on economic interest, i.e. assuming all investments are proportionately consolidated

5,232 2,362 47 896 5,727 3,493 128 872

• 1,000

2,000 3,000 4,000 5,000 6,000 Pay-TV Internet Technology Print Mar 10 Mar 11 47

15

Trading profit (ZARm)1 Mar 10 Mar 11 % Change Economic interest 8,537 10,220 20% Trading margin 23% 23%

1 Before amortisation, other gains/losses and including transponder leases

2 1

Development costs per business division

ZAR452m for e-commerce ZAR92m for ibibo ZAR161m for internet value-added services ZAR289m for mobile TV ZAR318m for new pay-TV technologies

Development costs (ZARm) Development costs split Mar 11

Internet (46%) Pay-TV (40%) Other (14%)

1,093 1,211 1,240 1,535

• 200

200 600 1,000 1,400 1,800 Mar 08 Mar 09 Mar 10 Mar 11

Development cost accelerating

16

Mar 10 ZARm Mar 11 ZARm % Change Internet 511 705 38% Pay-TV 424 607 43% Other 305 223 (27%) Total 1,240 1,535 24%

1 2

Substantial contribution from associates

* Tencent, Mail.ru Group and Abril numbers reflect their financial periods Jan-Dec2010

Associate contribution to core headline earnings

2 1 3

Benefited from expanding online game leadership and increased user focus Increased due to enlarged group and organic growth Disposal of school book business

17

Mar 10 ZARm Mar 11 ZARm % Change Tencent 2,148 3,164 47% Mail.ru 70 152 117% Abril 318 250 (21%) Other (13) 28 +100% TOTAL 2,523 3,594 42%

1 3 2

Free cash flow affected by higher capex and tax

1 2 2

Internet ZAR193m Pay-TV ZAR1,148m Technology ZAR45m Print ZAR169m Increased transponder capacity; now ~US$60m p.a.

2 3

Dividends received from associates

1,861 2,189 2,062 2,432 4,123 3,991 1,000 2,000 3,000 4,000 5,000 Mar 06 Mar 07 Mar 08 Mar 09 Mar 10 Mar 11 Free cash flow at 31 March (ZARm)

18

Mar 10 ZARm Mar 11 ZARm Operating cash flow 7,264 7,386 Capex (1,403) (1,555) Finance leases (439) (473) Tax (1,786) (1,983) Investment income 487 616 Free cash flow 4,123 3,991

1 2

Free cash flow from operations

3

Strong balance sheet, group gearing low

1 2

A consequence of debt-funded acquisitions Excludes transponder leases of ZAR2.1bn, considered operating cost RCF facility increased to US$2.0bn at lower rates and extended to 2016

19

Mar 11 ZARm Net debt – offshore (US$1.0bn) 6,971 Minus: Net cash – South Africa 3,023 Closing net debt (3,948) Group gearing (excl. transponder leases) Interest cover 10% 14x

Group net consolidated debt

1 2

Significant acquisitions FY11

20

Company Date Total cost Total cost Percentage FCm ZARm acquired DST/mail.ru Group Aug 10 US$388 2,858 29% OLX Aug & Dec 10 US$181 1,291 72% Multiply Sep 10 US$46 324 75% LevelUp Nov 10 US$51 365 100% Dineromail Feb 11 US$28 206 78% Trendsales Nov 10 DKK122 157 88% Other May - Jul 10 US$38 289 N/A TOTAL 5,490

Mail.ru Group listed in Nov 2010

Return on investment to date

Investment over 4yrs Current market value of stake* 200 400 600 800 1,000 1,200 1,400 1,600 1,800 2,000 US$780m US$1,928m

*Market capitalisation as of 17 June 2011 21

Group Highlights Key Messages Financial Results Operational performance Outlook Appendix

22

Emerging market footprint

23

Payment platforms Portal IM Email SNS MVAS Games E-commerce SNS IM Email MVAS Portal Games Payment platforms E-commerce Community Community MVAS Portal IM Email Games E-commerce Search Payment platforms SNS Community Community Payment platforms Portal IM Email SNS MVAS Games E-commerce

Internet Strategy

Central and Eastern Europe Africa / Middle East / SE Asia China Latam

24

Internet revenue mix

* Based on economic interest, i.e. assuming all investments, including Tencent & Mail.ru Group, are proportionately consolidated

Revenue contribution by type FY11

33% 27% 20% 11% 9% 0% 5% 10% 15% 20% 25% 30% 35% Games e-Commerce IVAS MVAS Advertising

25

Internet: Allegro Group

Revenue mix FY11

• Meaningful contribution from non-Polish operations
• 12 territories being monetized
• Diversification drives revenues
• Economies of scale drove increase in margin
• Development cost of PLN52m reduced trading

margin by 7%

• Continued expansion into the regions

Marketplace (78%) Classifieds (7%) Other (2%) Payments (2%) Price comparison (4%) Advertising (4%) Merchandise (3%)

26

Tracking expectations

* Data reflects 100% of results; FY11 ZAR/Zloty 2.36 (2.61)

PLNm* Mar 10 Mar 11 % Change Revenue 665 859 29% Trading profit 204 277 36% Trading margin 31% 32%

Internet: Tencent

Revenue mix FY11*

• Growth despite increased competition
• Investing in core business
• Focus on user experience
• Open platform to 3rd parties
• Strengthening social-networking
• New initiatives to drive future growth
• Key operational statistics at 31 March 2011:
• 674m active IM accounts (+19% YoY)
• 137m peak concurrent IM accounts
• 8m PCU’s for mini casual games
• 72m IVAS subscriptions
• Contribution to FY11 core headline earnings

ZAR3.2bn (FY10 ZAR2.1bn)

IVAS gaming (51%) IVAS other (29%) MVAS (13%) Advertising & other (7%)

27 * Data for FY11 reflects 100% of results Jan-Dec 2010 available on www.Tencent.com; FY11 ZAR/Rmnb 1.07 (1.13)

Strong operations and financials

RMBm* Dec 09 Dec 10 % Change Revenue 12,440 19,646 58% Operating profit 6,020 9,838 63% Operating margin 48% 50%

Internet: Mail.ru Group

Revenue mix FY11*

• Increased market share
• Growth in online advertising revenue:
• cyclical recovery
• acquisition of ICQ
• shift to online advertising
• Rise in other revenues show:
• strength of monetisation model
• growing internet population
• Operating leverage and economies of scale

drove margin expansion

• Key operational statistics at Mar 20112
• portal: 28m (+15% YoY)
• email: 23m (+13% YoY)
• reach: ~80% of Russian-speaking internet

users1

• Contribution to FY11 core headline earnings

ZAR152m (FY10 R70m)

MMO Games (31%) Community IVAS (20%) Other IVAS (2%) Display advertising (29%) Context advertising (10%) Other (8%)

Sources: 1ComScore data reflecting monthly users; 2TNS statistics for Russia only reflecting average monthly unique users 28 *Data reflects 100% of Mail.ru Group’s FY10 aggregate segment performance as reported. For IFRS results with full disclosure and recon refer to www.corp.mail.ru; FY11 ZAR/US$ 7.16 (7.71)

Online advertising rebound underpins growth

US$m* Dec 09 Dec 10 % Change Revenue 198 325 64% EBITDA 67 119 78% EBITDA margin 34% 37%

Other Internet

• Buscape
• Revenue increased 52% YoY
• Marginally loss-making mainly due to growth initiatives
• Payments: acquired Pagos Online (Columbia) and Dinero Mail (Argentina, Mexico)
• ibibo
• Good growth in social media and micropayments
• Successfully launched marketplace trading platform
• Established largest domestic online travel website
• Created payment platform and integrated major banks, credit card companies and mobile
• perators
• OLX
• Leading online classifieds platform in Latin America
• Operating in more than 90 countries globally
• Revenues still low, but growing
• Accelerating investments in key target markets
• MIH Internet Africa
• Includes various e-commerce platforms: kalahari.net, Mocality, Dealfish and PriceCheck
• Acquired 25% of Dubizzle.com, a leading online classifieds and community website in MENA

29

Pay-TV: Re-investing for future growth

Agents Subsidiaries Franchises

Togo Guinea Ghana Benin Mali Burkina Faso Ivory Coast Nigeria Niger Sudan Eritrea Ethiopia Central African Rep. Cameroon Equatorial Guinea Gabon Democratic

• Rep. of

Congo Rwanda Burundi Uganda Kenya Angola Namibia Zambia Tanzania Malawi Zimbabwe Botswana Mozambique Madagascar Swaziland Lesotho South Africa

1,651 1,948 2,401 2,852 3,489 543 686 916 1,099 1,439 – 1,000 2,000 3,000 4,000 5,000 Mar 07 Mar 08 Mar 09 Mar 10 Mar 11 South Africa Sub-Saharan Africa

Gross Subscribers (000’s)

• TV viewing habits changing in developed markets
• Africa not yet impacted, but
• preparing for this shift
• Ongoing strategy to broaden and deepen subscriber base;
• investment in premium content (sport and local)
• increased decoder subsidies to lower the cost of entry
• New initiatives to embrace changes in technology:
• online, digital terrestrial television, mobile TV

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Pay-TV: Cost of growth

Programming costs (ZARm) Decoder Subsidies (ZARm) vs. Subscribers (m)

2,555 3,280 4,365 5,161 5,515

• 1,000

2,000 3,000 4,000 5,000 6,000 2007 2008 2009 2010 2011 1.5 2.0 2.5 3.0 3.5 4.0 4.5

• 200

400 600 800 1,000 1,200 2007 2008 2009 2010 2011 Decoder Subsidy Total Subscribers (RHS) 260 169 195 424 607

• 100

200 300 400 500 600 700 2007 2008 2009 2010 2011 191 590 486 607 1,148

• 200

400 600 800 1,000 1,200 1,400 2007 2008 2009 2010 2011

Development spend (ZARm) Capital expenditure (ZARm)

31

Pay-TV: South Africa

Digital subscriber mix

22% 25% 26% 32% 52% 43% Mar 10 Mar 11 Premium Compact Other

• 100

200 300 400 Sept 08 Mar 09 Sept 09 Mar 10 Sept 10 Mar 11

SA Gross Additions(‘000)

Average = 257

• 637,000 total gross additions
• Premium +4%
• Compact +53%
• Select +159%
• PVR +32%
• Advertising revenue robust
• Slight margin decline due to:
• investment in decoder subsidies
• new technologies
• MWeb investment in bandwidth
• Mobile TV launched
• BoxOffice (TVOD) launching shortly

32

Mar 10 Mar 11 % Change Gross subscribers (‘000) 2,852 3,489 22% ZARm ZARm Revenue 13,255 15,980 21% Trading profit 4,364 5,075 16% Trading margin 33% 32%

Sub growth drives performance

Pay-TV: Sub-Saharan Africa

Digital subscriber mix

9% 13% 41% 42% 50% 45% Mar 10 Mar 11 Premium Family & Compact Other

• 50

100 150 200 250 Sept 08 Mar 09 Sept 09 Mar 10 Sept 10 Mar 11

SSA Gross Additions (‘000)

Average = 125

• 340,000 total gross additions YoY
• Premium +16%
• Compact & Family +35%
• Incremental increase in costs:
• investment in content
• higher decoder subsidies
• additional satellite capacity
• start-up costs of new operations
• Competition and regulations increasing

33

Mar 10 Mar 11 % Change Gross subscribers (‘000) 1,099 1,439 31% US$m US$m Revenue 566 703 24% Trading profit 139 108

• 23%

Trading margin 25% 15%

Growth strategy leads to higher costs

Technology: Irdeto

• Shipped 18m units, up 17% YoY
• Non-group sales accounted for 70% of revenue
• Added new clients in all product categories
• Further expansion of facilities and teams in Asia
• Margin benefited from:
• efficient management of products and

structure

• revenue growth in areas under development
• Development cycles of new products/services to

impact future results Units shipped (m)

9.4 10.6 15.1 16.0 18.0

• 5.0

10.0 15.0 20.0 Mar 07 Mar 08 Mar 09 Mar 10 Mar 11

34

Increase in profitability

* Reflect 100% of operations before any inter-company adjustments FY11 ZAR/US$ 7.16 (7.71)

US$m Mar 10 Mar 11 % Change Revenue 212 247 17% Trading profit 6 18 +100% Trading margin 3% 7%

Print: Media24 SA

Revenue mix FY11

• Advertising revenue up 8% YoY
• Circulation revenue up 2% YoY
• Margin affected by cost of new enterprise

resource system

• Launched digital magazines in tablet format

Capex continue to trend lower

Advertising (37%) Circulation (20%) Printing (20%) Other (9%) Distribution (5%) Books (9%)

489 419 397 336

• 100

200 300 400 500 600 Mar 08 Mar 09 Mar 10 Mar 11

35

ZARm Mar 10 Mar 11 % Change Revenue 6,148 6,697 9% Trading profit 490 417

• 15%

Trading margin 8% 6%

Modest performance

Group Highlights Key Messages Financial Results Operational performance Outlook Appendix

36

Outlook: investing now for long-term growth

Pay-TV re-investment

• Media landscape keeps evolving
• New technologies bring opportunities and competition
• Developing several new initiatives

Organic growth in internet

• Internet acquisition prices are inflated
• Emphasis on organic growth
• Some bolt-on acquisitions planned

Lower profit growth

• Expect top-line growth
• Cost of organic growth expensed through P&L, thus
• Anticipate lower profit growth over the short-term

Stronger long-term business

• Strategy aimed at:
• being useful to the communities we serve
• building out platforms and services
• ensuring future growth by innovation

37

Group Highlights Key Messages Financial Results Operational performance Outlook Appendix

38

Summary of Pay-TV subscribers

39

Gross subscribers Mar 10 Mar 11 South Africa 2,851,426 3,488,599

Analogue 113,237 84,690 Premium, Compact and Other 2,372,752 2,899,884 Easyview 365,437 504,025

Rest of Sub-Saharan Africa 1,098,748 1,438,681

Premium, Compact and Other 1,087,816 1,433,406 Easyview 10,932 5,275

Total 3,950,174 4,927,280 Equated subscribers Mar 10 Mar 11 South Africa 1,924,890 2,133,423

Analogue 104,299 76,919 Premium, Compact and Other 1,812,437 2,048,488 Easyview 8,154 8,016

Rest of Sub-Saharan Africa 761,178 938,998

Premium, Compact and Other 760,934 938,998 Easyview 244

• Total

2,686,068 3,072,421 PVR subscribers

South Africa 363,833 480,343 Rest of Sub-Saharan Africa 65,564 80,892

Total 429,397 561,235

Consolidated income statement – US$

40

Mar 10 ZARm Mar 11 ZARm Mar 10 US$m Mar 11 US$m Revenue 27,998 33,085 3,630 4,624 Operating profit 4,041 4,056 524 567 Finance costs (421) (1,019) (55) (142) Share of equity accounted results 2,058 3,290 267 460 Acquisitions and disposals 144 42 19 6 Dilution profits

• 1,461
• 204

Impairment of equity accounted investments (62) (23) (8) (3) Profit before taxation 5,760 7,808 747 1,091 Taxation (1,808) (1,861) (234) (260) Net profit 3,952 5,947 512 831 Attributable to: Naspers 3,257 5,260 422 735 Minorities 695 687 90 96

*FY11 ZAR/US$7.16 (FY10 7.71)

Core headline earnings

41

Mar 10 ZARm Mar 11 ZARm Headline earnings 3,297 4,213 Treasury-settled share scheme charges 418 488 Deferred tax assets 253 13 Amortisation of intangible assets 922 1,052 Welkom Yizani refinancing 330

• Acquisition-related costs
• 124

Prior year withholding taxes 121

• RCF – accelerated amortisation of costs
• 128

Fair value adjustments & currency translations (22) 18 Core headline earnings 5,319 6,036

2 1

Includes ZAR227m relating to equity- settled share schemes of associates Relates to newly adopted IFRS3, which requires all expenses related to acquisitions to be expensed as opposed to being capitalised 3

2 3

Costs incurred due to re-financing of RCF facility; no cash effect 2 1

42

Net finance costs

Mar 09 Mar 10 Mar 11 ZARm ZARm ZARm Interest (paid) (878) (883) (1,388) Loans and overdrafts (675) (600) (883) Transponder leases (109) (93) 144) RCF costs write-off

• -

(128) Other (94) (190) (233) Interest received 572 348 402 Loans and call accounts 522 314 308 Other 50 34 94 Other finance costs, net 3 114 (32) FX translation adjustments (374) (154) (249) BEE preference dividends 377 268 217 Total finance (costs)/income (303) (421) (1,018)

Debt include:

• US$700m 7-year bond issued Jul10:
• 6.375% coupon
• 5-year US$2bn RCF arranged Mar11:
• US$900m drawn at 31 March 2011
• US$800m fixed at 4.3% all-in for 5 years
• floating interest of ~2.1% on rest (1.75%

+ 3month LIBOR + other costs)

• Cost of transponder leases (depreciation

and finance costs) included in trading profit

• SSA: new 15-yr lease effective Dec09
• Total cost ~US$44m p.a. (incl. DTT)
• SA: new agreement effective Sep12

–

Current cost ~ US$24m p.a.

–

To increase to US$33m p.a. 1

2 1

2 1

Taxation analysis

43

Mar 10 ZARm Mar 11 ZARm Profit before tax 5,760 7,808 Add back: Development spend 1,240 1,535 Equity results (2,058) (3,290) Other gains and losses 220 (623) Associate impairments 62 23 FX gains and losses 154 248 BEE preference dividends (268) (217) Adjusted profit before tax 5,110 5,484 Tax charge (1,808) (1,861) Effective rate 35% 34%

Capital expenditure

44

Mar 10 ZARm Mar 11 ZARm Land, buildings & plant 338 327 Transmission equipment 343 506 Computer, software & office equipment 590 663 Other (including vehicles, furniture) 132 59 Capital expenditure 1,403 1,555 Capex/Revenue 5% 5%

Strong ZAR affects translation of offshore earnings

Revenue growth YoY Trading Profit growth YoY

Contribution by offshore operations affected by rand strength upon translation

Average Closing rate Currency (ZAR = 1FC) Mar 10 Mar 11 % change Mar 10 Mar 11 % change US dollar 7.71 7.16 +8 7.33 6.77 +8 Euro 10.91 9.49 +15 9.92 9.60 +3 Chinese Yuan/Renminbi 1.13 1.07 +6 1.07 1.04 +4 Brazilian Real 4.15 4.17

• 1

4.11 4.16

• 1

Polish Zloty 2.61 2.36 +11 2.57 2.38 +8 Nigerian Naira 0.05 0.04 +11 0.05 0.04 +11

33,084 34,259 20,000 25,000 30,000 35,000 Reported Constant Currency +18% +22% 5,837 6,180 3,500 4,500 5,500 6,500 Reported Constant Currency +7% +13%

45

FX - Hedging to manage risk

• Hedging strategy:
• Pay-TV: long-term commitments, cover up to 100%
• f rolling 12 -24 month net inputs
• Print: short-term commitments; cover maximum

12 months rolling input costs

• Bond/RCF: hedge interest liability to a maximum of

24 months

• Annualised net foreign input costs:
• Pay-TV: US$275m (programming rights and

leases)

• Print: EUR50m (paper and ink)
• Almost all FEC’s qualify for hedge accounting

46

US$ Forward Exchange Cover EUR Forward Exchange Cover

US$m US$ rate FY12 376 8.21 FY13 284 7.96 EURm EUR rate FY12 51 9.98 FY13

Print: Abril

Strong top line growth

• Prior year restated for schoolbook operations

sold

• Revenues driven by recovery in adspend
• Contribution to core headline earnings

ZAR250m (ZAR318m)

• Dividends of ZAR301m received

47

BRLm Dec 09 Dec 10 % Change Revenue 2,665 3,028 14% Operating profit 289 327 13% Operating margin 11% 11%

*Data reflects 100% of results Jan – Dec 2010; FY11 ZAR/BRL 4.17 (4.15)

48

Internet Print

100% Eastern Europe 97% 30% Russia 29% 100% 52% India 80% South Africa 85% China Brazil 30% China 34% Western Europe 100% Africa 30% 51% 100% 100%

Technology Pay-TV

80% Sub-Sahara Africa 100% South Africa 50% Southeast Asia 36% 34% 49% 76% 30% 68% 95% 84% 80% Middle East 25% 100% 100% 75% Latam

Meloy Horn Office: +27 11 289 3320 Mobile: +27 82 7727 123 E-mail: meloy.horn@naspers.com Website: www.naspers.com

Investor Relations contact details

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