Thomas Ebeling
Chief Executive Officer
| Page 35
| May 3, 2016 | | Page 35
| May 3, 2016 |
Positive development in Q1 2016
1) Source: Nielsen Media Research; Note: gross figures excl. YouTube and Facebook.
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
Continued positive pricing development
✔
Growing number of addressable TV campaigns
✔
P7S1 German-speaking TV net advertising revenue growth of +4%
✔
Continued increase of TV share in media mix1)
✔
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| May 3, 2016 |
Advertising share in German-speaking markets
Basis: Q1 2016; Source: Nielsen Media Research / Media Focus. | Page 36
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
| Page 36
Switzerland Austria
Germany
ProSiebenSat.1 gross TV ad market share [in %]
Q1 2015
29.0%
43.6%
35.7%
Q1 2016
28.0%
42.4%
36.3%
| Page 37
| May 3, 2016 | | Page 37
| May 3, 2016 | Basis: Q1 2016; Source: Nielsen Media Research. Online excl. search, affiliate and others not reporting their bookings to Nielsen (e.g. YouTube, Facebook).
TV continues to benefit at the expense of other media
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
Gross ad spendings, Germany [Q1 2016 vs. Q1 2015; in % and %pts]
Outdoor, Cinema Magazines
Share of segment Change in media mix
+0.6%pts +0.1%pts
| Page 38
| May 3, 2016 | | Page 38
| May 3, 2016 | Basis: Q1 2016; Source: Nielsen Media Research (excl. Media & Publishing and Other Advertising).
8 out of 10 biggest industries increased TV budgets
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
Gross TV ad spendings of top 10 TV industries, Germany [Q1 2016 vs. Q1 2015; in EUR m; % and %pts]
100.0% +10.4% +1.5%pts
in EUR m Share Δ Δ TV in media mix Cosmetics & Toiletries
Motor Vehicles Pharmacy Business Services Trade & Shipment Total
| Page 39
| May 3, 2016 | | Page 39
| May 3, 2016 |
Online businesses further shift ad spendings to TV
TV share in media mix of eCommerce and online services [in %]
Online businesses value the power of TV
61 73 74
2011 2015
+13pts%
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
Q1 2016
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| May 3, 2016 | | Page 40
| May 3, 2016 |
CPT increase of all ProSiebenSat.1 core channels in Q1
CPT = Cost Per Thousand; Basis: all TV households in Germany (GER+EU/German-speaking); A 14-49, Mon-Sun, 3-3 h;
Source: AGF in cooperation with GfK / TV Scope / SevenOne Media / Pricing & Media Strategy.
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
4.5
1.2
3.7
-1.2
2.9
Gross CPT growth
[Q1 2016 vs. Q1 2015; in %]
| Page 41
| May 3, 2016 | | Page 41
| May 3, 2016 |
Innovation leader in HbbTV-enabled addressable TV ad business
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
Walt Disney Opel Lexus
Canon Electronic Arts Tirol
Ferrero Eurowings
E WIE EINFACH
campaigns20
12 clients in Q1
SwitchIn XXL
SwitchIn
Spot overlay
| Page 42
| May 3, 2016 | | Page 42
| May 3, 2016 |
Relaunch of non-linear HbbTV platform in H2 2016
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
Possible HbbTV product features
EPG
Commerce Trailer
Catch Up
Studio71 Content Gaming
Live Votings Timeshift
| Page 43
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| May 3, 2016 |
Launch of channel apps to strengthen TV brands
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
• Strengthening the ProSiebenSat.1 TV brands and
complementing 7TV
• Serving the
increasing demand of our audiences for their favorite channels
• Providing brand related content any time and place
| Page 44
| May 3, 2016 | | Page 44
| May 3, 2016 |
TV benefits from increasing awareness of digital ad weak points
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
10-20% of digital reach fraudulent by robot traffic 63% of digital advertising not viewable
51% of digital videos not started by consumer
15% of digital advertising in environments with risks to brands Digital advertising not effective due to ad clutter
25% ad block usage in Germany Ad Fraud
Viewability Autoplay Quality Ad Clutter Ad Blocker
Sources: Integral Ad Science, “Bericht zur Mediaqualität 2015“; Adobe AdBlocking Report August 2015.
| Page 45
| May 3, 2016 | | Page 45
| May 3, 2016 |
Our digital quality management suite
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
ProSiebenSat.1 digital quality management suite
Focus on exclusive BigAds forms to avoid ad clutterand reduction of ad intensity
Ad Intensity Steering
Proprietaryanti-ad blockersolution
Portfolio screening of all managed
inventory to prevent robot traffic
SevenOneMedia
Anti Ad Blocker Integral Ad Science
| Page 46
| May 3, 2016 | | Page 46
| May 3, 2016 | Source: ZAW (2010-2014); ProSiebenSat.1 estimate, 2015E, 2016E.
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
Sports effects with limited impact on annual TV ad spend …
German net TV ad market growth
4.0
2.2 1.4
0.7
2013 2014 2015E
2012 2016E
2011
+2-3%
Net TV ad market growth rate
+
| Page 47
| May 3, 2016 | | Page 47
| May 3, 2016 | Source: ProSiebenSat.1 estimate, 2016E.
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
… however deviating seasonality within sports year
2016E German net TV ad market growth
• Q1 2016 stronger due to earlier Easter
• Sports events to trigger pull-forward effects to April and May
• June likely to be weaker, H1 performance therefore strongly depends on June
• H2 not significantly
affected by sports events Market comments Estimated net TV ad market growth rate
[in %]
Ø
Q1 Q2 Q3 Q4
| Page 48
| May 3, 2016 | | Page 48
| May 3, 2016 |
Solid single-digit net TV ad market growth forecast
Source: Warc International Ad Forecast 2015/2016 (Dec. 2015); ZenithOptimedia Advertising Expenditure Forecasts (Mar. 2016); Magna Global (Broadcast TV, Dec. 2015); SevenOne Media own estimate.
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
+2-3%
German net TV ad market estimates 2016
+4.3% +2.5%
ProSiebenSat.1 internal market estimate
+4.3%
| Page 49
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| May 3, 2016 |
Sales outlook 2016
1 2 3 4 Broadcasting German-speaking / Ad Market Performance
3 1 2
4
German net TV ad market growth of +2-3%
P7S1 to grow in line with positive net TV ad market
Further increase of CPTs
Continued increase of TV share in media mix
| Page 50
| February 25, 2016 |
May 3, 2016
Broadcasting German-speaking
Distribution
Thomas Ebeling
Chief Executive Officer
| Page 51
| May 3, 2016 | | Page 51
| May 3, 2016 |
Strong revenue growth continued
1 2 3 4 Broadcasting German-speaking / Distribution
External revenues [in EUR m]
+14%
Q1 2015
26 29
Q1 2016
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| May 3, 2016 |
Dynamic increase of HD subscriptions in Q1 2016
Note: HD Free-to-air subscribers shown; paying subscriber figures as reported by platform partners (EoP; subject to subsequent adjustments by platform partners).
1 2 3 4 Broadcasting German-speaking / Distribution
HD subscriber development [in m]
2014Q1
2013Q1 Q1
Q1 2015 2012
+0.9m
Q1 2015vs.
+17%
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| May 3, 2016 |
1) Complementary to cable, satellite, terrestrial and IPTV distribution; 2) Deep tariff integration on Unitymedia and TeleColumbus; 3) Astra Monitor report 2015 published 03/2016 (adjusted data base on new official population statistics), Telekom publications and P7S1 assumptions; 4) Unique users per month, company publications, AGOF figures and P7S1 assumptions; 5) SNL Kagan and P7S1 assumptions; 6) Digitalisierungsbericht, SNL Kagan and P7S1 assumptions.
Continued strong Distribution presence
1 2 3 4 Broadcasting German-speaking / Distribution
Cable Satellite IPTV Terrestrial
Mobile1) Phones/
tablets Connected
Smart TVs Streaming
devices unique users4)
Reach
>70m devices5)
>10m devices6)
>2m devices6)
• Profitable long-term deals
• Addressing all linear and non-linear TV for content consumption
• Strong presence for reach and ad-revenue monetization
FTA via platformsFTA via P7S1 app (live and/or catch-up) and mobile aggregator Maxdome placement
| Page 54
| February 25, 2016 |
May 3, 2016