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Powering the Next Generation of Digital Advertising Results Presentation September 2015 CONFIDENTIAL Disclaimer The information contained in these slides and communicated verbally to you, including the speech(es) of the presenter(s) and any


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Powering the Next Generation of Digital Advertising

Results Presentation – September 2015

CONFIDENTIAL

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Disclaimer

The information contained in these slides and communicated verbally to you, including the speech(es) of the presenter(s) and any materials distributed at or in connection therewith (together, the "Presentation") is confidential. Reliance upon the Presentation for the purpose of engaging in any investment activity may expose an individual to a significant risk of losing all of the property or other assets invested. If any person is in any doubt as to the contents of the Presentation, they should seek independent advice from a person who is authorized for the purposes of the Financial Services and Markets Act 2000 (“FSMA") and who specializes in advising on investments of this kind. The Presentation is being supplied to you solely for your information. The Presentation has been prepared by, and is the sole responsibility of Crossrider plc. (the "Company"). The directors of the Company have taken all reasonable care to ensure that the facts stated herein are true to the best

  • f their knowledge, information and belief. No undertaking, representation,

warranty or other assurance, expressed or implied, is made or given by or on behalf of the Company or any of its respective directors, officers, partners, employees or advisers or any other person as to the fairness, accuracy or the completeness of the information or opinions contained herein and to the extent permitted by law no responsibility or liability is accepted by any of them for any such information or opinions. Notwithstanding the aforesaid, nothing in this paragraph shall limit

  • r

exclude liability for any representation or warranty made fraudulently. The Presentation has not been approved by the Financial Conduct Authority, AIM or any other regulatory authority and does not constitute, or form part

  • f, an admission document, listing particulars, a prospectus or a circular

relating to the Company, nor does it constitute, or form part of, any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for any ordinary shares in the Company. Further, neither the Presentation nor any part of it, or the fact of its distribution, shall form the basis of, or be relied upon in connection with, or act as any inducement to enter into any contract for purchase or acquisition of the ordinary shares in the Company. The Presentation may not be copied, reproduced or further distributed, in whole or in part, to any other person, or published, in whole or in part, for any purpose without the prior written consent of the Company. The Presentation is being distributed only to, and is directed at, authorized persons or exempt persons within the meaning of the FSMA or any order made thereunder or to those persons falling within the following articles of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (S.I. 2005 (No 1529)) (as amended) (the "Financial Promotion Order") made pursuant to section 21(5) of the FSMA: Investment Professionals (as defined in Article 19(5)); and High Net Worth Companies (as defined in Article 49(2)). Persons who do not fall within either of these definitions should not rely on the Presentation nor take any action based upon it but should instead return it immediately to the Company. The Presentation is exempt from the general restriction in section 21 of the FSMA relating to the communication of invitations or inducements to engage in investment activity on the grounds that it is made only to certain categories of persons. The distribution of this document in jurisdictions other than the United Kingdom may be restricted by law and persons into whose possession this document comes should inform themselves about and observe any such

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3

Positioned across the value chain Building technology Diversified business models Unique monthly users up 70m since IPO to 220m Video Programmatic RTB for Mobile

Introduction

Revenue growth of $14m to $41m Big Data Analytics

INVESTING IN MOBI OBILE: E:PROGRESS AND STRATEGY ADTECH PLATFORMS EXTENDED REACH

Results Presentation – September 2015

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SLIDE 4

Financial Highlights

4

Strong financial discipline Adjusted EBITDA $5.5m (H1/14: $7.6m) Organic revenue growth Revenue up by $14.2m to $40.8m Organic revenue growth of $11.4m Cash generative Cash flow from

  • perations

$4.1m (H1/14: $4.8m) Strong balance sheet $78m of cash balances at the period end No debt

Results Presentation – September 2015

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Interim Revenue Analysis

5 Results Presentation – September 2015

4.2 6.8

25.1 34.0 H1/14 H1/15

Pro-forma Revenue(1) by Channel $million

Mobile Web

St Statut atutor

  • ry

$mi mill llio ion 2015 2015 H1 H1 2014 2014 H1 % % Ch Chang nge Mobile 6.8 1.5 333% Web 34.0 25.1 35% To Total talrevenu nue 40.8 26.6 53% 53% Pr Pro-forma(1) $mi mill llio ion 2015 2015 H1 H1 2014 2014 H1 H1 % Ch Change Mobile 6.8 4.2 62% Web 34.0 25.1 35% To Total talrevenu nue 40.8 29.3 39% 39%

(1) *The H1 /14 revenue presented above includes the results of Ajillion and DefinitiMedia, acquired in May 2014, as if the companies had been part of the group for H1/14 as a whole.

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Web 83%

Mobile 17% Revenue by Channel

Revenue Analysis

6 Results Presentation – September 2015 37% 26% 9% 7% 6% 5% 4% 3% 3%

Revenue by Geography

Rest of the world United States Germany France United Kingdom Australia Italy Brazil Spain

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Interim Margin Analysis

7 Results Presentation – September 2015

Web $million 2015 H1 2014 H1 % Change Revenue 34.0 25.1 35% Direct costs (1) (22.5) (13.5) 67% Segment margin 11.5 11.6 (1)% Margin % 34% 46% (12)% Mobile (1) $million 2015 H1 2014 H1 % Change Revenue 6.8 1.5 353% Direct costs (1) (5.4) (1.3) 315% Segment margin 1.4 0.2 600% Margin % 22% 16% +6%

(1) Direct costs comprise cost of sales plus traffic acquisition costs included within sales and marketing

0.2 1.4

11.6 11.5 H1/14 H1/15

Margin by Channel $million

Mobile Web

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Interim Income Statement

8 Results Presentation – September 2015

$mi mill llio ion 2015 2015 H1 H1 2014 2014 H1 H1 Ch Chang ange Mobile 6.8 1.5 353% Web 34.0 25.1 35% Revenu nue 40.8 26.6 53% 53% Direct costs (27.9) (14.7) 90% Se Segment nt ma margin in 12.9 11.9 8% Segment margin % 32% 45% (13%) Opex (7.4) (4.3) 72% Adjus justed EBITDA 5.5 7.6 (28)% )% EBITDA % 4% 29% (25)%

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Interim Cash Flow Summary

9 Results Presentation – September 2015

$million 2015 2015 H1 H1 2014 2014 H1 H1 Ch Chan ange Ca Cash sh gene nerate ated from

  • m ope

perat atio ions ns 4.1 4.7 (0.6) Purchase of fixed assets (0.2) (0.2)

  • Capitalised development costs

(1.0) (0.3) (0.7) Net cash paid for acquisitions (0.6) (8.9) 8.3 Other

  • 0.1

(0.1) Net t ca cash sh used investin ing act ctiv ivit itie ies (1.8) (9.3) 7.5 Proceeds from borrowings

  • 6.6

(6.6) Ne Net t ca cash sh generat ated from financin cing activ ctiviti ties

  • 6.6

(6.6) Net t ca cash sh inflo flow for the pe perio iod 2.3 2.0 0.3 Cl Closi

  • sing

ng Ca Cash sh 78.3 4.1 74.2

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SLIDE 10

Operational Review

Koby Menachemi, CEO Ran Goldi, VP Mobile

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SLIDE 11

150+

Powered Mobile Ad Networks

Crossrider Key Stats

11

7.5bn

daily AVAILABLE ad spaces

1.4bn

daily MONETISED ad spaces

Crossrider Platform

Results Presentation – September 2015

220m

MONTHLY UNIQUE USERS exposed to Crossrider’s advertising content 6bn via Mobile

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Execution of Mobile Strategy

12 Results Presentation – September 2015

Merged Data Q2 2014 Q3 2014 Q4 2014 Acquired Ajillion & DefinitiMedia Launched Ajillion‘s RTB Bidder Q2 2015 Q1 2015 DefinitiMedia Focusing on margins Extending reach - Connecting to Google & Twitter

  • Extended reach - increased the number of customers and available

ad spaces

  • Organic revenue growth of 62% in H1 2015
  • DefinitiMedia - driving efficiencies and margins through the use of

technology (Ajillion)

Progress

  • Investment in additional Programmatic

Buying capabilities

  • Doubled the size of the mobile

development team

Investing for the future

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SLIDE 13

8.8 17.8 32.7 49.7 69.1 88.6 108.9 104.6 120.1 140.2 160.2 178.5 196.1 213.9

2012A 2013A 2014E 2015E 2016E 2017E 2018E Digi gital Video Adve vertising Val alue Mobile

Focusing on Video

13 Results Presentation – September 2015 *Source: Google's Rich Media Gallery, February 2015

  • Video is growing in Mobile as a format
  • Video ads perform x18 than standard display ad

units*

  • Crossrider’s focus:
  • Business: helping brands achieve performance

using existing capabilities (Ajillion Platform)

  • Technology: developing our additional solutions

via Investment in Clearvelvet Trading Ltd

*Source: eMarketer 2014

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SLIDE 14

M&A Strategy

14

Criteria

  • Relevant and unique or disruptive technologies;
  • Demonstrable track record of sustainable growth and

profitability; and

  • High quality teams

Business

  • Focus on mobile
  • Acquire specialised ad networks
  • Acquire tech-media aggregators (SSPs/DSPs)

Technology

  • Acquire tech platform providers e.g. Video/RTB/Data

Results Presentation – September 2015

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15

Outlook

Well positioned for M&A Extended reach + investment in technology to drive growth and efficiency Current trading strong, good visibility for H2

Results Presentation – September 2015