POWERING DIGITAL ADVERTISING German Equity Forum Fyber N.V. 28 - - PowerPoint PPT Presentation

German Equity Forum

Fyber N.V. 28 November 2017

POWERING DIGITAL ADVERTISING

Tel Aviv | New York | San Francisco London | Berlin | Beijing

6 Offices

THE FYBER GROUP

300+

Employees

40%

• f employees in R&D & Product

€240M

Projected revenue in 2017

Publicly Traded

FBEN Frankfurt

140

BERLIN

80

TEL AVIV

15

BEIJING

15

LONDON

25

NEW YORK

45

SAN FRANCISCO

€129m €218m €240m 2015 2016 2017E

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Gross Revenue

FYBER DEVELOPS A NEXT GENERATION, MOBILE-FIRST PROGRAMMATIC MONETIZATION PLATFORM

Advertisers Publishers

FOCUSED ON ADDRESSING PUBLISHERS’ NEEDS… …OFFERING SUBSTANTIAL VALUE TO OUR DEMAND PARTNERS …THROUGH PROPRIETARY, INNOVATIVE TECHNOLOGY…

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Making global audience of over 1.2bn users buyable for advertisers Comprehensive proprietary software, designed with the publishers’ needs in mind Making fragmented advertising market accessible to publishers, yield optimization

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MARKET OPPORTUNITY

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4

Source: eMarketer, 2017; growth rates calculated as CAGR for 2015-2020 and 2015-2019 respectively

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AD SPEND HAS BEEN STRONGLY SHIFTING TO MOBILE AND IN-APP

Worldwide Digital Ad Spend ($bn) 44% 76% 56% 24%

2015 2020 Mobile Desktop

191 360

+28%

• 2%

US User Time Spent on Mobile (%)

3hrs+ / day

VIDEO IS THE FASTEST GROWING AD FORMAT, ALSO POWERING PROGRAMMATIC

US Digital Display Ad Spend ($bn) 65% 84% 35% 16%

2015 2019 Programmatic Non-Programmatic

27 55

+27%

• 1%

1 8 2 5

3 13

2015 2019 Mobile Desktop

US Programmatic Video Ad Spend ($bn)

+61% +32%

88% 12%

2017 In-app Mobile web

Source: Estimations based on eMarketer 2017 numbers

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25% 75%

$30B

$120B

Global mobile programmatic ad spend 2019 The $30B addressable market will be dominated by 5-7 large independent players

Independent Ad Tech Vendors Ow ned & Operated Platforms

SIGNIFICANT MARKET OPPORTUNITY FOR INDEPENDENT ADVERTISING TECHNOLOGY PUBLISHERS NEED INDEPENDENT PROVIDERS TO COUNTER MARKET IMBALANCE

COMPANY OVERVIEW & LATEST NEWS

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• Leading mediation platform

for gaming developers

• SDK implemented by

thousands of publishers

• Incentivized ad units

(Rewarded video, Offer wall)

• Expanded direct, SDK-

implemented publisher relationships

• Ability to monetize display

and interstitial video units

• In-app mobile exchange
• New app verticals (news,

social, utilities)

• New demand sources

(DSP, brand campaigns)

• Advanced audience

segmentation capabilities

• Cross-screen video

technology (desktop, mobile web, in-app)

• Proprietary video player
• Premium video demand
• In-house Ad server

RTB

COMPLEMENTARY TECHNOLOGY, DEMAND & PUBLISHER VERTICALS

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EXTENSIVE DIRECT PUBLISHER RELATIONSHIPS

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1.2B

MAUs

35

Data parameters/user (directly from SDK)

spread across coming from passing

180

Countries

10K

Apps with code-on-page

Dania – fix formatting of the slide to fit the size of the page

OVER 10,000 DIRECTLY INTEGRATED APPS, ACROSS VERTICALS

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Leading Content Publishers Social & Messaging App Developers Utilities App Developers Gaming App Developers

VIDEO SUITE AUDIENCE VAULT REVENUE DESK

VAMP Video Ad Monetization Platform

Dynamic configuration & reporting with over 40 data parameters Full video support including proprietary formats Robust insights about user engagement & characteristics

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DIRECT PUBLISHER INTEGRATIONS CREATING MAXIMUM VALUE FOR PUBLISHERS & ADVERTISERS

‘KEEPING IT CLEAN’ INITIATIVE

• Moving away from aggregated supply - closing down specific partners
• Focusing primarily on further expanding direct publisher integrations

by offering advanced trading tools, ad formats and user data capabilities to publishers

• Short-term revenue impact – prerequisite for long-term growth

PROVIDING A QUALITY MARKETPLACE

• Direct publisher inventory – reliable, brand-safe, data-rich
• Transparent pricing, increased ROI by cutting intermediaries
• Advanced programmatic environment supporting all ad formats

VALUE OF DIRECT PUBLISHER INTEGRATIONS

• Optimized monetization through more, higher quality data
• Meeting advertisers’ requests for direct supply & unique inventory
• Transparent, clean marketplace creating pull on both advertisers and

publishers-side

FINANCIALS OVERVIEW

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KEY FINANCIALS

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PRO-FORMA FINANCIALS Q3 2017 YTD

In €m Q1-Q3 2017 Q1-Q3 2016 Q3 2017 Q3 2016 Year 2016 Revenues 177.2 147.1 57.5 52.3 218.1 Revenue share to third parties (125.0) (103.3) (40.3) (37.3) (155.7) Gross Margin 52.2 43.8 17.2 15.0 62.4 Gross Margin % 29.5% 29.8% 29.9% 28.7% 28.6% Personnel costs (32.9) (29.7) (10.9) (10.6) (41.0) IT Cost (13.9) (7.4) (4.7) (3.0) (11.6) Other operating expenses, net (12.7) (17.8) (3.7) (7.2) (13.8) EBITDA (Adj) (3.4) (3.7) 0.4 (1.6) (4.6) EBITDA Margin (1.9%) (2.5%) 0.8% (3.0%) (2.1%)

€43.3m €64.0m €129.1m €218.1m €240.0m 2013 2014 2015 2016 2017E

GROSS REVENUE DEVELOPMENT

• Stable topline development through strong market

positioning

• At an average gross margin of 30% from 2017E-

2020E

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TARGET 2020

• Gross revenue run rate of

€600 million

• EBITDA margin between 8%

and 10%

• €12.1m
• €5.8m

€15.0m 2015 2016 2017E 2018E

• €1.9m to €0.1m

CLEAR ROAD TO PROFITABILITY

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67% of revenues from programmatic

45%+ growth in Q1-Q3 2017 YoY

73% of revenues from mobile

14%+ growth in Q1-Q3 2017 YoY 34% 60% 56% 67% 66% 40% 44% 33%

FY2015 FY2016 Q1-Q3 2016 Q1-Q3 2017 Programmatic Non-Programmatic

89% 77% 77% 73% 11% 23% 23% 27%

FY2015 FY2016 Q1-Q3 2016 Q1-Q3 2017 Mobile Desktop

PROGRAMMATIC MOBILE

FY2015

FOCUSING ON THE AREAS OF FASTEST MARKET GROWTH

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VIDEO APAC

43% of revenues from video

20% growth in Q1-Q3 2017 YoY 26% 43% 43% 43% 74% 57% 57% 57%

FY2015 FY2016 Q1-Q3 2016 Q1-Q3 2017 Video Display

27% of revenues from APAC

30% growth in Q3 2017 QoQ 48% 45% 43% 37% 30% 28% 11% 21% 27% 5% 4% 2%

Q1 2017 Q2 2017 Q3 2017 NA EMEA APAC RoW

Q1 2017

FOCUSING ON THE AREAS OF FASTEST MARKET GROWTH

OUTLOOK

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NEW, UNIFIED FYBER BRAND WILL BE LAUNCHED IN Q1 2018

RTB

19

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POINTS OF FOCUS AND DIFFERENTIATION

• EXTENSIVE DIRECT PUBLISHER

RELATIONSHIPS

Our technology is trusted by more than 10,000 app- developers who integrated our code into their apps

• DATA POWERHOUSE

Extensive and robust data covering 1B+ user-base, enabling both buyers and sellers to automate and

• ptimize transactions
• MOBILE-FIRST PROGRAMMATIC

PLATFORM

Introducing leading-edge programmatic (data-driven, automated) tools for the in-app environment while providing advanced capabilities in the web environment (mobile & desktop)

• ADVANCED DIGITAL VIDEO CAPABILITIES

Extensive video tools that support industry standard formats while offering proprietary, innovative video ad-units and technology

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OUR GAME PLAN

• POWERFUL EXCHANGE

First to successfully combine Programmatic and Direct Sales (User Acquisition, Direct Response & Brand campaigns)

• UNIFIED AUCTION

Auctioning multiple types of demand partners in real time (Ad Networks, Private Deals, Programmatic)

• SEE THROUGH PLATFORM

All transactions carried out via fair auction - Visible to all partners on our transparent, granular reporting interface

• DATA-DRIVEN AUDIENCE SEGMENTATION

Enable both publishers and demand partners to package & target audiences based on the parameters they care about

• INVENTORY MANAGEMENT TOOLS THAT

OPTIMIZE REVENUE & USER EXPERIENCE

Empower publishers to engage with users based on their tolerance to ads and monetization potential

TECHNOLOGY THAT ADDRESSES THE INDUSTRY’S MOST BURNING NEEDS

THANK YOU!

APPENDIX

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WE ARE A LEADING PROGRAMMATIC MONETIZATION PLATFORM FOR MOBILE & VIDEO

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KEY METRICS

Monthly Unique Users 1.2bn Gross Revenues H2 2017E €120m+ EBITDA H2 2017E €2m - €4m EBITDA 2018E €15m+ % Revenues from Programmatic* 67% % Revenues from Video* 43% % Revenues from Mobile* 73%

INVESTMENT HIGHLIGHTS COMPREHENSIVE PUBLISHER SOLUTION

Including ad exchanges, ad serving, mediation, publisher yield optimization tools; Supporting all ad formats incl. innovative video ad units; Serving all publisher verticals from gaming app developers to ‘Comscore200’ publishers

NEUTRAL ADVERTISING TECHNOLOGY

A true one-stop-shop alternative for publishers, who are loosing ad spend share to the internet giants; and are reluctant to share their valuable data with those giants

MASSIVE GLOBAL REACH AND DATA CAPABILITIES

Reaching 1.2 billion monthly unique users, integrated with many of the world’s leading publishers; Leveraging various sources of data, including

• ur own proprietary data to optimize monetization and user experience

MOBILE IN-APP FIRST, YET CROSS-SCREEN

Focusing on the fastest growing markets of mobile, video and programmatic advertising; yet offering full stack across in-app, mobile web and desktop

1 2 3 4

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FYBER MANAGEMENT BOARD

Ziv Elul CEO

Founder and CEO of Inneractive; 15+ years of industry & management experience, MB member of Young Presidents’ Organization

Crid Yu COO

Brings 15+ years experience in digital media, with a focus on mobile advertising, with companies such as Google and InMobi, and previously McKinsey & Company

Yaron Zaltsman CFO

Brings extensive knowledge of working within public companies, worldwide, and specifically on the Frankfurt Stock Exchange; CFO of Ado Properties, previously Deloitte, Arthur Andersen

Dani Sztern Deputy CEO

Brings over 20 years of diverse experience at large public and private companies, mainly in the software industry, as both COO and CFO, including Adgar, Rabintex, Identify Software

FINANCIALS PRO-FORMA INTERIM STATEMENT OF PROFIT OR LOSS

26 In €m

Q1-Q3 2017 Q1-Q3 2016 Q3 2017 Q3 2016 Year 2016

Revenue 177.2 147.1 57.5 52.3 218.1 Revenue Share to Third Parties (125.0) (103.3) (40.3) (37.3) (155.7) Gross Margin (€) 52.2 43.8 17.2 15.0 62.4 Other Operating Income 0.5 0.2 0.3

• 9.4

Personnel Costs (32.9) (29.7) (10.9) (10.6) (41.0) Other Operating Expenses (27.2) (25.4) (8.7) (10.3) (34.7) EBITDA (7.3) (11.1) (2.1) (5.8) (3.9) Depreciation, Amortization & Impairment (8.4) (8.1) (2.3) (2.7) (11.8) EBIT (15.7) (19.2) (4.3) (8.5) (15.7) Finance Income 2.9 0.1

• 0.2

Finance Expenses (9.3) (10.5) (3.5) (2.9) (13.5) Foreign Exchange Gains (Losses) 0.6 (1.6)

• (1.5)

(1.2) Loss for the Year before Tax (21.5) (31.1) (7.8) (12.8) (30.2) Income Tax Gain (Expense) 2.4 (1.4) 0.4 (0.8) (3.1) Loss for the Year from Continuing Operations (19.1) (32.6) (7.4) (13.5) (33.3) Profit for the Year from Dis. Operations after Tax

• 1.6
• 3.4

Loss for the Year after Tax (19.1) (31.0) (7.4) (13.5) (29.9)

(19.1) (31.0) (7.4) (13.5) (29.9)

FINANCIALS PRO-FORMA INTERIM STATEMENT OF FINANCIAL POSITION

In €k

30 SEP 2017 31 DEC 2016

Non-current Assets 247,125 259,434 Goodwill 211,391 216,951 Other Intangible Assets 33,691 40,039 Property and Equipment 1,333 1,940 Non-current Financial Assets 710 504 Current Assets 96,958 106,193 Inventories 152 271 Trade and other Receivables 70,186 63,539 Other Current Fin. Assets 10,654 16,292 Other Current Assets 1,510 1,109 Cash and Cash Equivalents 14,456 24,982 Total Assets 344,083 365,627 In €k

30 SEP 2017 31 DEC 2016

Equity 99,940 120,444 Issued Capital 11,453 11,453 Share Premium 184,812 184,812 Treasury Shares (4,745) (5,049) Other Capital Reserves 23,908 17,518 Legal Reserve 4,259 4,259 Accumulated Deficit (115,228) (96,093) Other Components of Equity (4,519) 3,544 Equity attributable to Shareholders 99,940 120,444 Non-current Liabilities 144,196 150,550 Long-term Employee Benefits Liabilities 407 429 Long-term Borrowings 131,558 136,642 Deferred Tax Liabilities 4,166 4,054 Other non-current Liabilities 8,065 9,425 Current Liabilities 99,947 94,633 Trade and other Payables 65,512 78,059 Short-term Employee Benefits Liabilities 14,207 14,001 Short-term Borrowings 18,812 1,429 Other Current Liabilities 484 479 Income Tax Payables 926 570 Short term Provisions 6 95 Total Liabilities 244,143 245,183 Total Equity and Liabilities 344,083 365,627

Share Structure

Issuer Fyber N.V. Ticker Symbol FBEN ISIN NL0012377394 Market Frankfurt Stock Exchange, Prime Standard Currency Euro Number of shares 114,533,333 52 weeks high / -low 2.65 / 0.57 Shareholder registered above 3% % Voting Rights Former Fyber Shareholders (P+P Pöllath und Partners) 20% Abu Dhabi Securities 18% Altera Absolute Global Master Fund 6% FIL Limited (FIL Investments International, FIL Pension Management) 3%

Key Share Data

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FYBER N.V.

29 Contact ir@fyber.com +49 30 609 855 555 Office Address Johannisstraße 20, 10117 Berlin, Germany About Fyber N.V. Fyber is a global 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 open-access platform for both digital advertisers and publishers, enabling cross-device advertising with a global reach of more than 1.2 billion unique monthly users. Fyber was founded in 2010 as RNTS Media and has offices in Berlin, Tel Aviv, New York, San Francisco, London and Beijing. The Company employs more than 300 people globally and is listed on the Prime Standard of Frankfurt Stock Exchange under the symbol ‘FBEN’. he fast-growing companies which comprise Fyber Group received recognition and awards in 2016, including: Deloitte Technology Fast 500™ 2016 EMEA company; was placed in Gruenderszene’s Top 50 growth ranking 2016, and won the Golden Bridge Gold Award 2016.