Capital Markets Day 06: ProSiebenSat. Again Increases Grow Targets for 08

Capital Markets Day 2016: ProSiebenSat.1 Again Increases Growth Targets for 2018

Growth targets 2018

Group revenue target for 2018 raised by EUR 300 million to EUR 4.5 billion

Group increases recurring EBITDA target by EUR 50 million to EUR 1.15 billion

Increased targets reflect growth contributions from acquisitions

More than 50 % of revenues outside traditional TV advertising business by 2018

Total digital business with revenues of more than EUR 1.7 billion by 2018

Dividend policy and financial leverage target range confirmed

Financial year 2016

FY 2016: ProSiebenSat.1 increases revenue growth forecast for 2016 from at least 10 % to at least 15 %

TV advertising market growth in 2016 expected to be slightly above 2 %

Q3 2016: Significant increase in revenues (around 15 %) and recurring EBITDA (more than 10 %)

Q4 2016: Group expects further earnings and revenue growth

Munich, October 13, 2016. ProSiebenSat.1 Group is pursuing its successful strategy and is again increasing its financial targets for 2018. The revenue growth target compared to 2012 has been raised by EUR 300 million from EUR 1.85 billion to EUR 2.15 billion. At the end of 2018, Group revenues are set to reach EUR 4.5 billion (previously: EUR 4.2 billion), of which over 50 % will be realised outside traditional TV advertising business. ProSiebenSat.1 Group is increasing its recurring EBITDA growth target compared to 2012 by EUR 50 million to EUR 400 million. Thus, the Company is aiming to achieve recurring EBITDA of EUR 1.15 billion in 2018. In the digital business, acquisitions including etraveli, Verivox, Parship Elite Group and CDS will make a contribution to further growth. The Content Production & Global Sales segment is also developing dynamically. At the same time, the Broadcasting German-speaking TV segment continues to grow solidly.

Thomas Ebeling, CEO of ProSiebenSat.1 Media SE: We have a strong basis for further growth and a clear strategy. We are consistently pushing the intelligent combination of our high-reach TV stations with the digital offerings. Our new investments are developing very well, therefore we are once again raising our growth targets for 2018. Our customers - viewers, users and advertising customers - are clearly the focus of everything we do. We offer them first-class entertainment and strong e-commerce services on all our platforms. With online transactions and internet-based TV use, we will acquire data which will benefit both target groups. For our advertising customers, we are developing innovative 360-degree concepts that are tailored even more precisely to their consumers. Thus, advertising will be even more relevant for viewers and users alike. ProSiebenSat.1 is the first media group to consistently implement the combination of TV, content, e-commerce, digital entertainment and production.

Broadcasting German-speaking segment

In the Broadcasting German-speaking segment, ProSiebenSat.1 will increase its external revenues according to plan by EUR 375 million to EUR 2.301 billion compared to 2012. ProSiebenSat.1 continues to target a segment recurring EBITDA margin of more than 30 %. It anticipates stable growth rates of on average 2 % to 3 % for the German net TV advertising market in the coming years.

Group implements announced segment change in digital business

For the digital business as a whole, the revenue target for 2018 has been raised by EUR 200 million from EUR 1.535 billion to EUR 1.735 billion. As announced, ProSiebenSat.1 will separate its former Digital & Adjacent segment into two segments from Q3 2016 onwards - Digital Entertainment and Digital Ventures & Commerce. On today's Capital Markets Day, ProSiebenSat.1 is already presenting its growth targets for the two new segments.

Digital Entertainment segment

The new Digital Entertainment segment includes the online video business with the PayVoD portal maxdome, the multi-channel network Studio71, as well as AdVoD, ad tech, data and Adjacent. The Group plans to continue its dynamic growth with its digital entertainment activities in the future. Revenues are targeted to increase by EUR 336 million from EUR 227 million in 2012 to EUR 563 million in 2018. At the same time, the recurring EBITDA margin in the Digital Entertainment segment is planned to improve to between 10 % and 15 % in 2018.

Digital Ventures & Commerce segment

The Digital Ventures & Commerce segment includes among others successful e-commerce verticals in travel (weg.de, etraveli), online price comparison (Verivox) and online dating (Parship Elite Group). Starting from revenues of EUR 108 million in 2012, ProSiebenSat.1 anticipates a rise in revenues by EUR 1.064 billion to EUR 1.172 billion by 2018 in the Digital Ventures & Commerce segment. The recurring EBITDA margin is expected to be between 20 % and 25 % in 2018

Content Production & Global Sales segment

In the Content Production & Global Sales segment, ProSiebenSat.1 is raising its medium-term revenue growth target by EUR 100 million to EUR 375 million. External revenues are thus expected to be EUR 470 million in 2018. In 2012, ProSiebenSat.1 Group achieved revenues of EUR 95 million in this segment. The recurring EBITDA margin is planned to be at least 10 %.

Acquisitions drive profitable growth

The successful M&A strategy, which relies on synergies between TV and digital assets, has strengthened the Group's profit growth sustainably. E-commerce investments made in the past five years have increased their revenue level by around 80 % on average since their integration into the Group. At the same time, the earnings contribution of these acquisitions to the Group's recurring EBITDA went up by around 120 %. This means that in particular recent acquisitions, such as the online air travel agency etraveli, the comparison site Verivox, or the online dating platforms Parship and E

LINK:	http://en.prosiebensat1.com/en/press/capital-markets-day-2016-prosiebe...
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