FY 2019 Results Rolv Erik Ryssdal, CEO Uvashni Raman, CFO Gianpaolo Santorsola, EVP, Spain & Brazil 12 February 2020 Creating perfect matches on the world’s most trusted marketplaces
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Overview Rolv Erik Ryssdal CEO
FY financial performance reflecting successful execution Strong growth in the main market verticals and investment to support future growth areas Verticals revenues Total revenues EBITDA Cash flow 18 % 15 % 32 % 82 % Including L’Argus to €740 million to €206 million to €134 million France up 19% Driven by most mature EBITDA margin up 4pts Operating profit markets to 28% driving cash flow Spain up 17% Despite soft advertising, notably in Italy 4 All numbers on a proportionate basis incl JVs
FY 2019 achievements: structure & organisation Strengthening of Structuring a stand-alone Successful IPO Management team organisation Adevinta CEO Rolv Erik Ryssdal Global Markets Finance & Strategy Ovidiu Solomonov Uvashni Raman Spain & Brazil* People & Comms Gianpaolo Nicki Dexter Santorsola Product & Tech France Antoine Jouteau Renaud Bruyeron 5
FY 2019 achievements: external investment Strategic acquisition Bolt-on acquisitions Investment in new models Buy-out of minority stake in Adevinta Spain 6
FY 2019 achievements: CSR Second-hand effect People engagement Estimated annual savings* 1st Great place to work for position (companies from 150 to 19 million tons greenhouse gas 499 employees) 4th Great place to work for position (companies from 500 to 5,000 employees) 22.1 million return flights Emissions from Paris - New York 2 million Europeans 9th Great place to work for position (companies from 150 to 499 employees) *2018 figures 7 Participating sites: Avito, Jófogás, Leboncoin, Subito, Milanuncios, OLX Brasil, Segundamano
Q4 2019 financial performance Good quarter following a very strong Q3 Verticals revenues Total revenues EBITDA Cash flow 20 % 16 % 16 % x2.8 Including L’Argus to €200 million to €52 million to €26 million France up 28% Slight sequential Stable EBITDA margin Operating profit deceleration in organic at 26% driving cash flow Spain up 14% growth following strong Q3 Despite strong Strong contribution investment in product from working capital More than offset by and marketing contribution from bolt- on acquisitions All numbers on a proportionate basis incl JVs 8 The effect of IFRS 16 implementation on EBITDA was €4 million in Q4 2019. Excluding the IFRS 16 effect EBITDA margin is 24 pe rcent in Q4 2019 IFRS
France Sustained performance driven by verticals Operations continue to deliver France ● 5bn visits reached in the year Revenues and EBITDA margin (€ millions) ● Acceleration of product development, notably on transactions Revenues up 25% (or 13% excl. L’Argus)) +25% ● Negative impact of strikes in Q4 ● Verticals revenue up 28% yoy - including contribution from l’Argus - driven by cars and real estate, despite softness in jobs ● Continuing advertising softness, but trend improving EBITDA margin down to 49.0% ● Strong core* margins (54%) ● Impact of marketing campaigns delayed from Q3 to Q4 ● Integration and rationalisation of l’Argus in progress The effect of IFRS 16 implementation on Operating expenses and EBITDA for France is €1.4 million 9 in Q4 2019. Excluding the IFRS 16 effect EBITDA margin for France is 48% in Q4 2019 * Includes LBC, AVAL, Kudoz and Vide Dressing
France Increasing the total addressable market to create more value Profitability profile Growth opportunity Enabler Enlarging the offering Continue to expand Core verticals ++++ and increasing added market position c.60% of actual revenue currently value for customers Increasing Ramp-up of Consumer goods ++ monetization of private transactional model Including advertising content Capitalise on Adjacent markets ++ Expand in new markets leadership in existing (holidays/travel, services, e-commerce) markets 10
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