RESULTS PRESENTATION FY 2016 31 July 2017 AGENDA 01 02 03 - - PowerPoint PPT Presentation

RESULTS PRESENTATION

FY 2016

31 July 2017

AGENDA

2

01 02 03

Operational Highlights Financial Highlights Outlook & Strategy Update

2

Andreas Bodczek Heiner Luntz Ziv Elul

3 3

“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 of 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 of 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 opinions contained in this document, and no liability whatsoever is accepted for any such information or

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

DISCLAIMER

Operational Highlights

01

4

FYBER TODAY – GLOBAL ADVERTISING TECHNOLOGY POWERHOUSE

5

DELIVERED ON M&A CENTRIC GROWTH STRATEGY SET OUT IN 2014/2015

› Transformed holding RNTS Media into a deep-stack ad tech infrastructure provider Fyber

MILESTONES ACHIEVED IN 2016 AND 2017YTD

› Closed two further acquisitions › Outgrew the market at +69% in PF gross revenues FY2016 › Q2 2017: adj. EBITDA profit of more than €1.2m › Confirmed guidance for 2017 › Attained financing to fund the Company until cash generation, restructured convertible bonds › Completed renaming to Fyber N.V. › Successful transition to new Management Board

OUTLOOK FOR 2018

› Gross revenues above €360m, further improved profitability

Financial Highlights

02

6

KEY FINANCIALS PRO-FORMA

7

€m 2016 2015 Change Revenue 218.1 129.1 68.9% Gross margin EUR 62.4 40.7 53.3% Adjusted personnel costs

• 37.7
• 31.9

18.2% Adjusted other op. expenses

• 36.2
• 26.0

39.2% Adjusted other op. income 5.7 5.0 14.0% Adjusted EBITDA

• 5.8
• 12.1

52.1% Adjusted D&A

• 4.0
• 1.6

250.0% Net interest

• 9.2
• 6.1

50.8% Tax

• 3.1

4.8

• 164.6%

Adjusted loss after tax

• 22.1
• 14.9
• 48.3%

Adjusted basic loss per share

• 20c
• 13c
• 53.8%

PRO-FORMA QUARTERLY HEADLINE FINANCIALS

8

24.025.9 30.5 48.8 42.5 52.452.3 71.0 49.7 69.9 Q1 '15 Q2 '15 Q3 '15 Q4 '15 Q1 '16 Q2 '16 Q3 '16 Q4 '16 Q1 '17 Q2 '17

Note: Pro-forma numbers as if Heyzap and Inneractive had been acquired on 1 January 2015; 2016, 2017 based on preliminary pre-audit calculations; All numbers in €m

8.4 8.7 9.4 14.2 13.2 15.6 15.0 18.6 14.6 20.3 Q1 '15 Q2 '15 Q3 '15 Q4 '15 Q1 '16 Q2 '16 Q3 '16 Q4 '16 Q1 '17 Q2 '17

• 2.1
• 3.6
• 5.3
• 1.0 -1.4 -0.9
• 3.0
• 0.5
• 5.0

1.2 Q1 '15 Q2 '15 Q3 '15 Q4 '15 Q1 '16 Q2 '16 Q3 '16 Q4 '16 Q1 '17 Q2 '17

• Adj. EBITDA

+52% YoY FY2016 Gross Revenue +69% YoY FY2016 Gross Margin EUR +53% YoY FY2016

REVENUE DETAILS

9

20 40 60 80 100 Millions Fyber Platform Cum. Delta YoY Fyber RTB & INN Cum. Revenue

56% 36% 6% 1%

FY 2016 US EMEA APAC RoW

Gross Revenue by Geography Gross Revenue Variance vs. 2015

Note: Geography split based on reported revenues

WELL-DIVERSIFIED REVENUE BASE IN TERMS OF BUYING TECHNOLOGY AND AD FORMATS

10

Gross Revenue by Segment Gross Revenue by Revenue Source

5 10 15 20 25 30 OW RV INT Fyber RTB INN Other

Note: OW = Offer Wall; RV = Rewarded Video; INT = Interstitial Ads; Fyber RTB = programmatic revenues across ad formats; INN = Inneractive revenues across ad formats; Other = Other revenues

€80m €52m €83m €3m

FY 2016 Fyber Platform Fyber RTB Inneractive Other

SEPARATELY DISCLOSED ITEMS PRO-FORMA

11

€m 2016 2015 Discontinued operations (Big Star Global) 3.4

• 14.4

Re-valuation of Heyzap earn-out obligation 8.7

• Transaction costs related to acquisitions
• 4.9
• 1.2

Pre-acquisition financing cost at Inneractive

• 4.0
• Non-cash accounting charges for stock options,

warrants etc.

• 2.4
• 2.6

Amortization of acquisition intangibles

• 7.7
• 2.5

Other

• 0.9
• 1.0

Total

• 7.8
• 21.7

KEY FINANCIALS REPORTED

12

€m 2016 2015 Change Revenue

176.8 81.1 118.0%

Gross margin EUR

48.2 24.3 98.4%

Personnel costs

• 35.4
• 25.6
• 38.3%

Other operating expenses

• 36.1
• 23.0
• 57.0%

Other operating income

14.6 4.9 198.0%

EBITDA

• 8.6
• 19.3

55.4%

Depreciation & Amortization

• 9.3
• 3.9
• 138.5%

Net interest

• 9.3
• 3.4
• 173.5%

Tax

• 2.1

3.1

• 167.7%

Loss after tax from continuing operations

• 29.2
• 23.5
• 24.3%

Loss after tax from discontinued operations

3.4

• 14.4

123.6%

Loss after tax

• 25.9
• 37.9

31.7%

Basic loss per share

• 23c
• 33c

30.3%

CASH FLOW STATEMENT 2016

13

› Net Cash Flow from operating activities was €-22.1m (PY €-12.6m) with the increase being mainly due to higher working capital and interest › Capital Expenditure amounted to €-5.4m (PY €-6.3m) › Acquisition related investment amounted to €-70.1m (PY €-10.5m) for 100% of the shares of Heyzap and Inneractive › Financing activities have generated €48.0m (PY €88.5m) – the proceeds of the Convertible Bonds › Net changes in cash during the year were €-54.4m

EQUITY

14

SHAREHOLDERS’ EQUITY › Decreased to €120.4m (PY €144.8m) due to › €-25.9m Loss after tax › €-5.0m Purchase of treasury shares in the BigStar Global transaction › €4.2m Capital reserve on convertible bonds tap issue › €2.6m Foreign currency translation reserve and

• ther

Outlook & Strategy Update

03

15

THE FYBER FLYWHEEL

Free Publisher Tools & Platforms Publisher Reach

Environment, Size, Vertical, Geo

User Reach

Volume, Global, Data

Advertisers

Number, Size, Share of Wallet

16

THE NEED FOR INTEGRATION – TODAY VS. TOMORROW

17

MULTI-COMPANY MENTALITY

› Currently three sub-companies: Fyber, Fyber RTB (formerly Falk Realtime) and Inneractive › Business is viewed and evaluated based on sub-company vs. product / geo / target audience

UNDER CAPITALIZED REVENUE OPPORTUNITIES

› Current offering is mostly complementary, some similarities and overlap; may require multiple integrations

EFFICIENCY AND COSTS

› Need to eliminate / minimize redundancies, overlap and improve under- performing sections across the different organizations

LACK OF STANDARDS FOR TRACKING AND MEASURING

› Difficulty prioritizing investments due to lack of standardized mechanisms

LONG PERIOD OF TRANSITION

› No unified management structure = no unified leadership › Extended period of uncertainty led to a decrease in productivity

INTEGRATION GOAL: ONE, PROFITABLE COMPANY WITH A STRONG, DIFFERENTIATED BRAND

18

SYNERGIES & OPTIMIZATION › Leverage knowledge, assets, people and best practices to generate differentiation › Identify and leverage synergies, optimize structure, processes and platforms to improve efficiency and reduce costs › Steer the re-organization into one company with functional design to focus on high growth opportunities › Enable all moving parts of the company to work in sync towards the new corporate goals

IMMEDIATE FOCUS AND QUICK WINS

19

BUSINESS SYNERGIES

› Heyzap and Inneractive integration › Fyber and Inneractive integration › Unified Direct Sales team

UNIFIED SHARED SERVICES

› One unified global management team › Integration across general functions: HR, Finance, Marketing, IT › Product and R&D organizations aligning towards unified product vision and roadmap

SHARED INFRASTRUCTURE AND SERVICES

› Joint office space in San Francisco, London, Beijing and New York › Combined memberships for various services, platforms, tools › Unified marketing sponsorships, events and campaigns

20

NEW FYBER MANAGEMENT BOARD

Ziv Elul CEO

Founder of Inneractive; Focused on sales operation, R&D and finance aspects; 15+ years of industry & management experience, MB member of YPO; Lieutenant Colonel in Israel’s Reserves Corps

Crid Yu COO

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

Yaron Zaltsman CFO

Extensive CFO experience within public companies, worldwide, and

• n Frankfurt Stock Exchange; MBA, CPA; Previously: ADO Group,

Deloitte, Arthur Andersen

Dani Sztern Deputy CEO

20+ years of diverse, international experience at large public and private companies, mainly in the software industry, as both COO and CFO; Previously: Nextcom, Adgar, Rabinetex, Identify Software

21

EXPERIENCED CORPORATE MANAGEMENT TEAM

Henrik Basten CTO Erwin Plomp CBO Fyber RTB Welby Chen CBO Inneractive Jim Schinella CBO Fyber Offer Yehudai President, Co-Founder Inneractive Tzurit Golan VP HR Tina Kasten General Counsel Markus Gehrmann SVP Operations Gal Aviv VP Engineering Yoni Argaman SVP Marketing & Corporate Strategy

INTEGRATION OUTLOOK

22

SHORT TERM H2 2017 › Business synergies and ‘quick wins’ › Management structure › Vision › Unified product planning › Shared services › Overhead (office space, IT vendors) MID-TERM H1 2018 › One brand › Product roadmap › Product offering › Business Units / Cross-selling LONGER-TERM H2 2018 › Technology and data infrastructure

POSITIVE OUTLOOK ON ABOVE-MARKET ORGANIC GROWTH

23 €43.3m €64.0m €129.1m €218.1m €280.0m €360.0m 2013 2014 2015 2016 2017E 2018E

• €0.7m
• €0.7m
• €12.1m
• €5.8m

€3.0m 2013 2014 2015 2016 2017E 2018E

+ 29 % IN GROSS REVENUES FOR 2018E IMPROVED PROFITABILITY

FURTHER IMPROVEMENT, TO BE SPECIFIED

+ + +

THANK YOU

FYBER N.V.

25 Contact ir@fyber.com +49 30 609 855 555 Office Address Johannisstraße 20, 10117 Berlin, Germany About Fyber N.V. (formerly RNTS Media N.V.) Fyber is a leading advertising technology company. It empowers app developers and digital publishers to generate business-critical revenue streams with targeted advertising, enabling them to optimize the yield they generate from advertising. Fyber’s technology is channel-neutral and provides an open- access platform for advertisers and publishers. Its platforms enable cross-device advertising with a global reach of more than one billion monthly active users and a strong focus on video. Fyber was founded in 2010 as RNTS Media and is headquartered in Berlin, Germany. The Company employs more than 400 talented people globally and is listed on the Prime Standard of Frankfurt Stock Exchange under the symbol ‘FBE.’ In 2016 the fast-growing Group companies won a number of awards 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.