[PPT] - Fyber N.V. Deutsches Eigenkapitalforum 2018 Ziv Elul, CEO 26 PowerPoint Presentation

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Fyber N.V.

Deutsches Eigenkapitalforum 2018 Ziv Elul, CEO 26 November 2018

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Agenda

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01

Market Update Fyber at a Glance Financials & Outlook 2

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Growth Strategy & Perspectives

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01

Market Update

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SLIDE 4 4 Mobile ad spend to surpass TV ad spend in 2018 Programmatic in-app video is the fastest growing sub- segment of the digital ad market US users spend 88%

f their time on mobile in apps

Leading app categories by time spent are Gaming, Social, Entertainment, Messaging, Productivity & Utilities Source: AppAnnie 2017, eMarketer 2018

The global app advertising market is expected to grow from $70B in 2016 to >$200B in 2021

$61bn $141bn 2021 – Global App Advertising Market Addressable Market: 30% Google, Facebook etc.: 70%

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This fast growing market faces industry challenges impacting ad tech companies of all sizes:

Source: Digital Capital Advisors, Sept 2018; 1: value based on share price Nov ‘18

vs. Feb ‘18; 2: terms undisclosed 3: TechCrunch Jun 2018, 4: WSJ Jul 2018

Yet, players with distinctive technology & true data-driven value-add report success:

Acquired by AT&T for $1.6B3 Raised $225M, valuation of $1B4 Tripled their value in 20181 5 2 2 < > < > < > < > < >

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ss

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Fyber at a Glance

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1.2B

Monthly active users

10K+

Apps directly integrated

180+

Countries

Fyber is a publisher powerhouse catering to all verticals

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“Old ad tech”

vs.

“New ad tech”

Technology Strategy & business approach Industry positioning

Lead with technology
Create sustainable value for clients
Address fundamental industry issues
Open-source / transparent solutions
Primary area of investment
Drives diversification of revenue

streams

Thought leader, influencing industry

trends

Attractive partner for other industry

leading companies

Ad networks leading with monetization
Short-term, opportunistic
Hidden fees and mark-ups
Black-box solutions, often biased
Underinvestment in proprietary tech
Web players moving into in-app
Limited industry relationships (with

agencies, brands, top tech vendors) 8

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Achievements

Highlights of 9M 2018 on the path to long-term, sustainable growth FairBid was released in September  only started scaling recently ˃ HOWEVER: it is now scaling quickly – Adoption of new SDK is now almost 22% of all impressions, October gross revenue is up 20% compared to avg. Q3 2018 Integration with Facebook Audience Network started slower than anticipated ˃ HOWEVER: we are now working closely with FB to extend the outreach to publishers and advertisers

”

While revenue goals could not be met, Fyber achieved major milestones and recorded an uptick in numbers in October.

Further wins ˃ Release of Offer Wall Edge – redesign and optimization of

ne of the core ad formats

˃ Market introduction of new Fyber brand ˃ Continuous implementation of the product roadmap towards unified product ˃ Full organizational integration of former group companies & significant synergies

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03

Growth Strategy & Perspectives

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Identified Growth Perspectives

Leading through innovation & technology

Growth with new publishers: Onboarded > 50 high-profile publishers in 2018, including Atari, Lucky Day, Zoosk, PicsArt, TheChive, Quidd & strong client pipeline for 2019 11 Securing defensible market position: through proprietary technology which establishes high barriers of entry & a suite of leading ad tech assets, which allows for consistently high net revenue margin, e.g. 36% in Q3 2018 Growth with existing publishers: Sustainable, loyal client base based on SDK integrations with a consistent retention rate of above 85% Growth with new products: Innovations in areas of fastest market growth including Fyber FairBid, which pushed total gross revenue in October +20%

vs. Q3 2018

Growth through existing products: Fyber is one of the market leaders in

rewarded video mediation, yet only a small percentage of the massive

traffic is monetized today – specific initiative to help raise our share of monetization

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The new Fyber’s path to success

Become the primary monetization platform for the in-app environment

Build foundation for sustainable growth At the expense of short-term revenue growth (e.g. aggregators) Consistent profitability is the main goal Net revenue margin consistently above industry standard Entrepreneurial management approach Maximize efficiency & synergies by unifying all companies under a single management and brand Integrate all existing platforms to maximize yield Focused resources on core strengths (e.g. 90% of revenue in in-app in ’18 vs. 70% in ‘17) Clear vision & roadmap towards a differentiated, leading unified platform R&D is the top area of investment 12

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04

Financials & Outlook

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Key Financials Q3 2018

Uptick in growth in October 2018 Recap of the responsible one-off effects

‘Keeping it Clean’-Initiative
Ban of charging screen ads
Integration of group companies & investment in training
Roll-out of new products & ramp-up of new agreements

Key Financials Q3 2018

Gross revenue of €31m, -46% YoY
Net revenue of €11m, -34% YoY
OPEX of €13m, reduced by 20% YoY
Adj. EBITDA of €-2m

10 10.5 11 11.5 12 12.5 Jul 18 Aug 18 Sep 18 Oct 18 Millions October Highlight Q3 Highlight Gross revenue in €m

SLIDE 15 15 EBITDA* in €m Starting from lower revenue base, but core business is forecasted to

grow ~20%

from ‘18E to ‘19E Gross revenue in €m Note: Pro-forma gross revenue 2013-2016; EBITDA* = Adjusted EBITDA to eliminate one-off impacts such as impairment of goodwill, acquisition related costs and option plans. 43.3 64.0 129.1 218.1 229.8 2013 2014 2015 2016 2017 2018E 2019E Estimate Revenue growth at +52% CAGR ‘13-’17 155.0

175.0

0.3

0.5
12.1
4.3
1.2

2013 2014 2015 2016 2017 2018E 2019E Estimate Steady adj. EBITDA improvement since ‘15 130.0

135.0
5.0
7.0

+5.0

0.0

Updated Guidance & Outlook 2019

One-off effects lower revenue base, but core business on stable foundations and returning to growth in 2019E One-off effects Core business Stable margins and fixed cost base will allow to turn break-even at ~€170 million of gross revenues

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Intended Bonds Restructuring

Reducing interest burden to support ongoing investment strategy Existing convertible bonds

€150 million principal
3% coupon p.a., payable biannually
Maturity date July 2020
Strike price €3.00

Intended restructuring – Bondholder meeting on 4 December 2018

Defer remaining interest payments until July 2020

 All interest accrued shall be paid out in whole at final redemption date together with the repayment of the principal in July 2020

In turn, the interest rate shall be increased from currently 3.0% to then 3.5% p.a.

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Thank You!

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SLIDE 18 18 Contact ir@fyber.com +49 30 609 855 555 Office Address Johannisstraße 20, 10117 Berlin, Germany About Fyber N.V. Fyber is a leading advertising technology company, developing a next generation platform for the programmatic trading of ads, in a data-driven

environment. Our mission is to fuel the creation of quality content by empowering digital publishers and app developers to unlock the true value of their

advertising properties through advanced technologies, innovative ad formats and data-driven decision-making. Fyber’s technology platform provides an

pen-access platform for both digital advertisers and publishers with a global reach of more than 1.2 billion unique monthly users. Fyber has offices in

Berlin, Tel Aviv, New York, San Francisco, London, Beijing and Seoul. The Company employs more than 300 people globally and is listed on the Prime Standard of Frankfurt Stock Exchange under the symbol ‘FBEN’ and the ISIN NL0012377394.

Fyber N.V.

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SLIDE 19 “These materials may contain forward-looking statements based on current assumptions and forecasts made by Fyber N.V.’s management and other information currently available to Fyber N.V. By their nature, forward-looking statements involve a number

f

risks, uncertainties and assumptions that could cause actual results, performance or events to differ materially from those expressed or implied by the forward-looking statements. Statements contained in these materials regarding past trends or events should not be taken as a representation that such trends or events will continue in the future. Neither Fyber N.V. nor any other party is under any duty to update or inform you of any changes, whether as a result

f new information, future events or otherwise, to the information in these materials.

Certain market data and financial and other figures (including percentages) in these materials were rounded in accordance with commercial principles. Figures rounded may not in all cases add up to the stated totals or the statements made in the underlying sources. For the calculation of percentages used in the text, the actual figures, rather than the commercially rounded figures, were used. Accordingly, in some cases, the percentages provided in the text may deviate from percentages based on rounded figures. The financial information relating to the Group contained in this document has not been audited or reviewed. No reliance may be placed for any purposes whatsoever on the information contained in this document or on its completeness. No representation or warranty, expressed or implied, is given by or on behalf of Fyber N.V. or any of its affiliates, directors, officers or employees, advisors or any other person as to the accuracy or completeness of the information or

pinions contained in this document, and no liability whatsoever is accepted for any such

information or opinions or any use which may be made of them. This document does not constitute an offer to sell, or a solicitation of an offer to buy, any securities.” 19

Disclaimer