1. Annual
Results 2011
esu ts 0
Net profit 2011 of CHF 14.6 million;
unchanged dividend of CHF 6
1
2. Overview presentation order
1. Hans-Peter Rohner: Overview of 2011 results & key developments
CEO & Chairman of the Board
2. Andreas Schmidt: Key financials group
Chief Financial Officer
3. Hans-Peter Rohner: Segment results
CEO & Chairman of the Board
4. Andreas Schmidt: Key financials Group under Swiss GAAP FER
Chief Financial Officer Process of changing of reporting standard
g g p g
Update sale real estate portfolio
5. Hans-Peter Rohner: Conclusion & outlook 2012
CEO & Chairman of the Board
Ch i f th B d
6. All Q&A
2
3. Overview 2011 figures
g
Good results in growth
segments; Media Sales
unsatisfactory
Hans-Peter Rohner
CEO & Chairman of the Board
3
4. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
2011 Group results
Lower net profit; stable EBIT
L fi bl
Volume decline in the order of previous Sales and gross margin, in millions of CHF
years: -12% sales; -9% gross margin
12% l 9% i 2010 2011
2'000
(at constant fx -9% and -7%)
1'474
1'500
1'304
EBIT stable vs previous year 1'000
500
345.3
Net profit of CHF 14.6 million 315.6
significantly under the level of the
g y -
previous year (CHF 42.6 million), also Sales Gross margin
due to much lower positive one-off
EBIT and Net profit, in millions of CHF
factors than in 2010
2010 2011
50
42.6
Good results in growth segments 40
32.6 30.5
Search & Find and Digital & Marketing 30
Services; unsatisfactory result in Media 20 14.6
Sales
10
0
EBIT Net
N t profit
fit
4
5. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
2011 segment results
Very good result f S
V d l for Search & Fi d Z
h Find; Zanox not reflected i DMS result
fl d in l
Unsatisfactory result EBIT, in millions of
EBIT, in millions of CHF CHF
Loss impacted by goodwill impairment of 2010 2011 2011
2010
CHF 5.1 m in TV business and one-time
Media Sales
40
means deployed with Publimedia
Incisive measures under way to ensure
y
30 27 7 28.6
27.7
that segment will achieve a level of
sustained profitability corresponding to
the level of capital invested in it 20
Good result; EBIT higher than previous 10.1
10 1
10
rch& Find
year due organisational efficiencies and
strong performance in online & mobile 2.6 2.7 2.7
Turnover of local.ch in the online and 0
Sear
mobile sectors will exceed print media in -0.4
near future -10
-10.9
Good top line development; Zanox with
20% growth in local currency -20
DMS
Media
Media Sales Search
Search & Digital & &
Digital Corporate
Corporate
Very good performance of Zanox and
Sales & Find
Find Marketing
Marketing and others
and others
Namics not fully reflected in DMS under Services
Services
current reporting standard
p g
5
6. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Online revenues with strong growth
Good
G d progress with consolidated and associated online revenue
ih lid d d i d li
Consolidated online revenue grows Online Revenues millions of CHF
Online Revenues, ,inin millions of CHF
by 15.5%; incl.
b 15 5% i l participations growth
ti i ti th PubliGroupe Associated companies
PubliGroupe Associated companies
represents 18% at constant fx
800
Online revenue reaches 40% of total 710
700 657
business revenue; in terms of gross
margin, online represents 50% 600
493
Growth mostly from Zanox and 500
Namics: Zanox CAGR 29% since 548
400 517
creation of the joint venture in 2007;
Namics with 14% of continuous 300 380
organic growth since 2004 200
Media Sales with CHF 50 m online 100
140 162
sales 113
-
2009 2010 2011
Total revenue Total revenue Total revenue
2009: 2010: 2011:
CHF 1’898 m CHF 1’906 m CHF 1’775 m
(
(online 26%)
%) (
(online 34%)
%) (
(online 40%)
%)
6
7. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Update on CEO recruitment
Start planned f 3Q 2012
S l d for
Important strategic decisions with regard to the development of the
organization taken in 2011: end of dual mandate of Chairman of the Board
of Directors and CEO in 2012, which was created for a “limited transitional
limited
period” in April 2009
Recruitment of new CEO search within and outside the Group now in the
p
final phase: announcement planned in April 2012, start expected in Q3
2012
End of double mandate of Hans-Peter Rohner who will continue to serve as
Chairman of the Board of Directors, subject to re-election at the Annual
General Meeting on 25 April 2012
7
8. Key financials Group
y p
Well capitalised;
solid cash flow
lid h fl
Andreas Schmidt
Chief Financial Officer
8
9. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
P&L Group
Lower net result mostly d to l
L l l due lower fi
financial result
i l l
Change %
Ch 2011 2010
in millions of CHF
Revenue -12% 1'304.0 1'474.2
Gross margin -9% 315.6 345.3
Expenses -7% -278.2 -300.5
EBITDA -17%
17% 37.4
37 4 44.8
44 8
EBIT -6% 30.5 32.6
Financial result - -3.5 23.9
Taxes -35% -4.7 -7.2
Non-controlling interests 15% -7.7 -6.7
Net Result -66% 14.6 42.6
9
10. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Extraordinary items 2011
Important gains on divestments
I i di
in millions of CHF
Net Result 2011 - Nominal 14.6
Divestment 15.4
Impairments -7.7
Restructuring -0.7
-0 7
Others -1.1
Total non recurring elements 5.9
59
Net Result 2011 - Comparable 8.7
10
11. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Net result – causes of change
Significantly lower comparable result
NET RESULT 2010 42.6
42 6
One Time Events 2010 16.0
COMPARABLE 2010 26.6
Gross margin 29.7
Expenses 10.9
p
Depreciation 2.1
Associated 3.6
Financial result 8.2
Taxes 2.9
Minority interests 0.5
COMPARABLE 2011 8.7
One Time Events 2011 5.9
NET RESULT 2011 14.6
CHF mio -10 -5 0 5 10 15 20 25 30 35 40 45 50
11
12. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Net financial result
Last year’s financial result affected by sale of Edipresse
in millions of CHF 2011 2010
Result on loans and receivables 1.3 1.4
Result on marketable securities -0.4 7.7
Result on available-for-sale securities 0.9 17.0
Result on uncommited net assets of employer's foundations -0.5 -
Changes in fair value of contingent consideration 1.1 1.6
Interest expenses
I t t -2.6
26 -3.7
37
Net currency exchange differences -3.3 -0.1
Total -3.5
35 23.9
23 9
12
13. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Cash flow statement
Strong cash position at year end d
S h ii d despite reduction of b k d b
i d i f bank debt
Change 2011 2010
in millions of CHF
Cash and cash equivalents as of 1 January 77% 102.6 58.0
Cash flows from operating activities -53% 13.8 29.6
Cash flows from investing activities -48% 50.3 97.0
Cash flows from financing activities -25% -58.9 -78.7
Effect f
Eff t of exchange rates
h t - 1.5
15 -3.3
33
Cash and cash equivalents as of December 31 7% 109.3 102.6
13
14. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Group balance sheet
Solid balance sheet secures strategic f d
S lid b l h i freedom
in millions of CHF Change as of 31 december 2011 as of 31 december 2010
Currents assets 3% 428.5 416.7
Non-current assets -21% 351.1 444.2
Total assets -9% 779.6 860.9
Current liabilities -11% 263.8 297.9
Non-current liabilities -40% 71.5 118.8
Equity, shareholders of PubliGroupe Ltd. - 409.3 410.8
Non controlling
Non-controlling interests 5% 35.0
35 0 33.4
33 4
Total liabilities and equity -9% 779.6 860.9
Equity in % of assets 53% 48%
Net h t t
N t short-term group li idit
liquidity 124 118
Bank debt 50 93
Equity ratio improved by 5% vs 2010
Bank debt strongly reduced
14
15. Key segment results
y g
Two out of three
segments with
t ith
good results
Hans-Peter Rohner
CEO & Chairman of the Board
15
17. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Media Sales
Unsatisfactory result; measures underway to strengthen segment
U i f l d h
Sales volume down 13%, strongly Sales, in millions of CHF
Sales, millions of CHF
affected by abandonment of TV 2010
2010 2011
2011
1500
business amounting to CHF 61 m 1181
1026
EBIT result impacted by CHF 5.1 m;
y 1000
impairment on TV business; pioneering,
future-oriented measures employed for 500
the online platform “AdMarket” led to
0
significantly higher one off operating
one-off
Sales
expenditures with Publimedia
Gross margin and and EBIT, of CHF
Gross margin EBIT, in millions
Solid results in the local & regional in millions of CHF
2010
2010 2011
2011
business in CH where turnaround is
250
confirmed; somewhat lower international 188.6
200
volumes mostly due to fx effects 161.3
150
100
In 2012 for Media Sales d
I 2012, f M di S l and DMS
50
(SVBmedia), the revenue disclosed will 0 -0.4
be only the commission earned instead -50
-10.9
of the total billing of ad space Gross margin EBIT
17
18. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Media Sales
Economic and i d t f t
E i d industry factors affecting 2011
ff ti
Unchanged Media Sales revenue split by geographic External factors:
scope, contracts & media over the last 5 years despite
significant changes in overall volume 1 Economic slowdown in 2nd semester
affected print ads
Media Sales ~20% ~20%
International
I t ti l
Negative development in job ads
segment (print & online)
Local Price pressure for large accounts across
& ~30% ~30% all media & market segments
g
Regional
Internal factors:
Media Sales ~80% ~80%
Switzerland Full-year effect of lost of „regie“ contracts
( p
(Edipresse & Mittellandzeitung after 1 yr
g y
of transition period)
National ~50% ~50%
Significant one-time cost for re-
engineering and process standardization
projects
Publimedia continues to lose market
2007 2011
share due to attractive financial incentive
Note:
Note
1) Split approximate and illustrative, results not being reported by
for di t b ki
f direct bookings
18local/regional/national scope;
19. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Media Sales (1)
Update status of measures announced d i I
U d f d during Investors’ D
’ Day
1st PILLAR
Optimization measures being launched:
Become yet leaner and more adapted to
STRENGTHEN Leaner and
market (more sales driven)
the traditional more
print business Intervention and enrichment of print flexible cost
offerings along three areas: Switzerland, structure
international, central functions
2nd PILLAR
Grow digital footprint:
ACCELERATE Further investments in digital initiatives
Higher
the digital agenda
& explore new
p share of
Develop new digital products to drive
opportunities digital
di it l
growth
turnover
19
20. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Media Sales 1st PILLAR
Strengthen traditional b i
S h di i l business
Improvement Project Objectives
areas
Swiss Process Harmonization of sales and back office processes across all branches in
business harmonization order to realize efficiency gains
Realization of cost savings by consolidating the sales back office
Centralization of
functions of branches physically and virtually within three regional
sales back office
centers
Sales Improving the effectiveness of the sales force by introducing a value-
effectiveness oriented segmentation and go-to-market model
Realization f
R li ti of cost savings th
t i through consolidation of international
h lid ti fi t ti l
International International sales
operations and regional structures. Deepening focus on industry
business network
segments in order to offer increased specialization to clients
Central cost General& Optimization of administrative efficiency and external spend in all areas,
Administrative centralizing corporate functions
Reduction of IT cost and complexity through simplification of the IT
IT
landscape and optimization of the IT delivery model
20
21. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Media Sales 1st PILLAR
Sales force and b k office optimization shows good progress
S l f d back ffi i i i h d
Project Progress Achievements Next steps
• New processes for order • New processes in use in all
entry and processing branches by April 1st 2012
Process designed
harmonization • Trainings for sales force
have started
• Physical consolidation of first • Mobile office concept will be
back-office sales functions in rolled out in waves and will
branches leverage existing models
Centralization • Development of an inter- within the organization
branch collaboration model
to realize efficiency gains
Sales Project start:
effectiveness March 2012
21
22. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Media Sales 1st PILLAR
Further
F h cost optimization with fi achievements
i i i i h first hi
Project
P j t Progress
P Achievements
A hi t Next t
N t steps
• Sale of P-Australia • Strategic and structural
• New management in growing adjustments in the Americas
International APAC region region
i
sales network • Strategic adjustments in • Overall strategy development
European operations focusing on industry
segments
• Savings potential in several • Implementation of spend
areas detailed reduction and new allocation
General &
• Spend allocation optimized
Administrative with regards to effectiveness
and efficiency
• Target IT landscape and • Finalize core-system
underlying IT delivery model selection process
developed
IT
• Clear roadmap defined
22
23. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Media Sales 2nd PILLAR
Grow digital agenda
G di i l d
Initiatives Achievements Next steps
• ad4quality: Strengthened relationships with key Swiss
market players
p y
• ad4max: New inventory secured from Bluewin and • Continue and expand
Digital portfolio Microsoft initiatives to increase digital
competence in all branches
• Strong local digital sales growth
• passengerTV: further partnerships secured
• Select technology partner
• Short list of technology providers defined
Sell Side • Coordination with DMS
• Head of operations on board
Platform SSP demand side platform
• Recruitment process under way for key account
(RTB enabled) • Publisher acquisition
managers
program begins March
23
25. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Search & Find
Successful migration to online & mobile, i
S f l i i li bil increased profitability
d fi bili
Sales, in millions CHF
Sales, in millions ofof CHF
2010
2010 2011
2011
Sales volume grows marginally by 3%; 160
136.8 141.0
online and mobile sales grow by 36%, 140
120
almost outweighing 14% loss in traditional 100
business
b siness 80
60
40
EBIT result up for the first time since 2007 20
due to operational efficiencies achieved 0
after restructuring and positive one brand
ft t t i d iti b d Sales
strategy (local.ch)
EBIT, in millions of CHF
Gross margin and EBIT, in millionsof CHF
In 2011 order intake for the first time 2010
2010 2011
2011
larger (51%) for online and mobile than 120
98.0 95.5
for print 100
80
Local.ch most prominent search app in 60
Switzerland after Google Maps according 40 27.7 28.6
to Nielsen Net Ratings, allowing it to 20
consolidate leadership position 0
Gross margin EBIT
25
26. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Search & Find
Established
E bli h d #2 position after G
ii f Google i search market
l in h k
Nielsen Unique audience1 20112
3.5
3.0
2.5
2.0
1.5
1.0
0.5
0.0
ocal.ch
uide.ch
ocal.ch
help.ch
Bluewin
ATE24
arch.ch
arch.ch
arch.ch
Gelbe Seiten
Google Maps
ctories
Google
onbuch
QYPE
GA
G
Direc
lo
map.lo
swissgu
h
e
sea
Telefo
tel.sea
map.sea
N t ti
Netmetrix
Unique clients3 2011 / 2012
50%
11% 9% 7% 8% 4% 5% 7% 8% 4%
2% 1% 3%
0%
-50%
Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan
1 Nielsen/ Netratings
26 2 Average unique audience throughout 2011
3 Source: Netmetrix / Unique clients
27. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Search & Find
Solid
S lid usership that k
hi h keeps growing i i
i in importance
Mobile app performance 2011/2012
U
Users use app 10
times a month on
7.0 12
avg.2
6.0
10
5.0
8
1.4
14m
4.0
downloads3
6
3.0
600k 4
2.0
apps in use1
2
1.0
0.0 0
Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb
1 On all platforms (iOS,Android,Blackberry,W7,Nokia) . Source: amount of searches by mobile devices to our server
2 Average usage per device = usage of mobiles app1 / mobile unique users1
27 3 Source: Apple / amount of searches by mobile devices to our server
28. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Search & Find
New i i i i
N initiatives planned across all platforms
l d ll l f
Total Swiss local advertising market Zoom on online business models (excl. online press)
CHF m, 2010 CHF m, 2010
625 85 260 90 890 110 100 290 110 100 290
gate24.ch
Others 14 15
Others
80
Others 320 green search ch
search.ch
ti li ti
verticalisation
CCO 19
Others 45 book 16 Booking 3
Groupon 10
Couponing
Deindeal 15
Google
Others 205 16 Renovero 14 Lead
Generation
Blick 140
Directories”
“SC Di t i ”
110
video Maturity
PG exc. local UX
10
NZZ 190 design 360°
Website creation² & content
120
Energy 10 local Online
APG 52 content
welcome Local.ch
54 website
PG exc. local 10
new mobile
Various
SF1, SF2, Sat1, ProSieben 15
Goldbach Minuten etc. 240
20 offering immoscout24.ch 10
jobscout24.ch 10
Media 25 swissfriends.ch 10 Classifieds
Various Goldbach media 30
home.ch
homegate.ch 20
Press Online
Direct TV, radio, Printed
Search &
Marketing1 outdoor (Print&Online) Directories Find
Local.ch Tamedia Ringier Publigroupe Other Source : Publisuisse Mediaguide, Swisscom, OC&C analysis
1. We assumed that half of the direct marketing is local
28 2. Website creation market sizing assumptions: 15% of SME not owning a website create one,
15% of those with website rebuild it in a given year, average annual spend: CHF 3.500;
3. Emerging segment in 2010, estimated at CHF 1m
30. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Digital & Marketing Services
Good operational results not reflected in results
G f
Sales, in millions of CHF
Sales, in millions of CHF
2010 2011
Contraction of Sales volume by 9% (by 2010 2011
160 139.6
1% without currency impact), due to 140 127.7
lower sales at SVBmedia, linked to 120
100
traditional business (Zanox sales not
( 80
consolidated) 60
40
20
0
Above market growth at Zanox
Sales
(+20%), fuelled by the
( 20%) f ll d b th acquisition of
i iti f
M4N in the Netherlands and
geographic expansions, sales Gross Profit and EBIT, in millions of CHF
2010 2011
reaching CHF 543 5 m
543.5 EBIT Pro Forma
Namics 11% growth: CHF 44.8 m 60.0 50.7 52.5
50.0
40.0
Pro-forma EBIT grew by 7% vs. 2010,
g y 30.0
30 0
from CHF 14.8 m to CHF 15.8 m, and 20.0 14.8 15.8
by 19% without currency impact 10.0
2.6 2.7
0.0
All DMS units are cash fl
it h flow positive
iti Gross Profit
G P fit EBIT
30
31. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Digital & Marketing Services
PG two largest digital companies capturing double digits market growth
G
Performance Marketing - Zanox
Zanox Revenue 2004 - 2011 (in EURm)
500 CAGR - Above market growth achieved both
07-11:
400 29%
organically and via acquisitions
(Digital Window in 2009, Buy.at in
300
2010,
2010 M4N in 2011)
200
- CAGR 29% since creation of the
100 joint venture
0 - Approaching the EUR 500 m mark of
2004 2005 2006 2007 2008 2009 2010 2011 transaction commissions
Namics Revenue 2004 - 2011 (in CHFm) Digital solutions - Namics
50
CAGR 14% - 14% of continuous organic growth
40 since 2004
30 - Blue chip clients in CH, DE
20
- Resilient to the last market downturn
10
2004 2005 2006 2007 2008 2009 2010 2011
31
32. Key Financials Group:
y p
Update on accounting
change; real estate
Andreas Schmidt
Chief Financial Officer
32
33. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Reporting standard change to Swiss GAAP/ FER
Overview
O i
As from 2012 onwards, PubliGroupe will change its financial reporting from IFRS to
the Swiss GAAP/ FER standard. This change will have several important
consequences:
Proportional consolidation
Revenue presentation
p
Goodwill accounting
Other changes
No changes planned in terms of transparency level
With the standard change to Swiss GAAP/ FER, PubliGroupe's financial
FER PubliGroupe s
reports will more accurately describe the value creation, the performance
and the development of the Group's three operating segments
33
34. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Reporting standard change to Swiss GAAP/ FER
Important consequences
I
Proportional consolidation
The application of the proportional consolidation for the local.ch partnership with Swisscom and
the Zanox joint venture with Axel Springer will allow a higher transparency for the performance
and development of these two core businesses
Revenue presentation
The net revenue presentation (commission earned instead of total billing of ad space) from 2012
onwards reflects the shift of the Media Sales business away from a predominantly exclusive
representation business towards a simple sales representation. In addition, the net presentation better
reflects the weight of a decreased Media Sales within PubliGroupe
Goodwill accounting
Goodwill of acquisitions will be offset at acquisition date resulting in a lower equity in the
balance sheet and no further write-offs of acquired intangibles in the profit & loss statement
Other changes
The standard change will impact the employer foundations presentation, sales expenses
activation, and some other, but less material positions
34
35. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Reporting standard change to Swiss GAAP/ FER
Balance sheet i
B l h impact (i di i
(indicative, not audited)
di d)
CHF Mio IFRS Swiss GAAP/ FER Major Changes 2)
2011 2011 1)
Current assets 429 487 + proportional zanox/ Swisscom Directories/ local
- proportional LTV
Non-current assets - goodwill/ intangibles off-set at acquisition date
351 118 - p
non-activation of sales expense
+ proportional zanox/ Swisscom Directories/ local
- proportional LTV
- employer foundation not on balance sheet
- non-activation tax credits
Total assets 780 605
Current liabilities 264 347 + proportional zanox/ Swisscom Directories/ local
- proportional LTV
Non-current liabilities 72 95 + proportional zanox/ Swisscom Directories/ local
- proportional LTV
Equity, PG shareholders 409 160
Non-controlling interest 35 3 - minority share of LTV to Swisscom
Total liabilities and equity 780 605
1) indicative restatement 2011, not audited
2) major changes, minor impacts not mentioned
35
36. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Reporting standard change to Swiss GAAP/ FER
Profit l
P fi & loss statement i
impact (i di i
(indicative, not audited)
di d)
CHF Mio IFRS Swiss GAAP/ FER Major Changes 2)
2011 2011 1)
Revenue - net revenue presentation Publicitas/ SvBMedia
1304 606 + proportional zanox/ Swisscom Directories/ local
- proportional LTV
+ proportional zanox/ Swisscom Directories/ local
Gross margin 316 372 - proportional LTV
Expenses
E - proportional zanox/ Swisscom Di t i / l
ti l /S i Directories/ local
l
-278
2 8 -319
319 + proportional LTV
- non-activation of sales expense
EBITDA 37 53
Depreciation & amortisation + non-activation of sales expense
-24 -12 + amortisation of intangibles from acquisitions
- proportional zanox/ Swisscom Directories/ local
+ proportional LTV
Impairment loss + no annual impairment checks in Swiss GAAP
-7 0
Share in associates - share of zanox/ Swiscom Directories/local
23 - share of associated press participations
EBIT 31 41
Financial result + share of associated press participations
-4 2 + proportional zanox/ Swisscom Directories/ local
- proportional LTV
- proportional zanox/ Swisscom Directories/ local
Taxes -5 -13 + proportional LTV
- non-activation of tax credits
ti ti ft dit
- deferred taxes on intangibles amortisation
Non-controlling interests + minority share of LTV to Swisscom
-8 -1
Net result of PG shareholders 15 29
1) indicative restatement 2011, not audited
) ,
2) major changes, minor impacts not mentioned (expressed as impact on net result)
36
37. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Reporting standard change to Swiss GAAP/ FER
Timing
Ti i
PubliGroupe intends to implement segment and standard change
in 1st semester 2012:
Announcement of intended change: 1st Dec
Presentation of new accounting details: March 2012
Planned change of SIX segment:
g g May 2012
First financial report in Swiss GAAP/FER: August 2012
37
38. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
PubliGroupe’s real estate assets
4 assets l
located i S i
d in Switzerland currently f sale
l d l for l
Bern Lausanne - Mon-Repos Lausanne - Mousquines Lausanne - Toises
1971 | 4'551m2 1974 | 3'089m2 1980 | 4'266m2 1962 | 2'345m2
Total rentable area
14'251 m2
Note: Year of construction | Rentable surface area
38
39. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Real estate
Timing
Ti i
PubliGroupe p
p plans to divest 4 assets in 2012:
− 3 buildings in Lausanne: Mon-Repos, Mousquines, Toises
− 1 building in Bern
PubliGroupe intends to distribute a large portion of the proceeds from the sale of the
properties to its shareholders
One main objective is to execute the sales and the return of proceeds to shareholders
in the most tax-efficient manner
The sale process has already been initiated
A frame for a share buy-back via put-options will be proposed to the general assembly
on April 25 2012
25,
39
41. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Status quo key decisions on Group level
CEO search almost concluded, start planned f S
h l l d d l d for Summer 2012
PubliGroupe execution of its strategic cornerstones
Corporate New CEO search near completion; start planned for Q3 2012
Governance HP Rohner to serve until new CEO is in post; will remain as Chairman of the Board
Board,
subject to re-election at the Annual General Meeting on 25 April 2012.
Sale real estate PubliGroupe plans to divest 4 assets in 2012: 3 Lausanne buildings, 1 in Bern
Sale proceeds used as return for shareholders and partly for debt reduction
Balance sheet to remain very solid
Change accounting By means of a pro rata consolidation and by switching from IFRS to Swiss GAAP
standard FER accounting standards, PubliGroupe able to p
g , p present most important holdings
p g
more clearly in financial reporting
In 2012, for Media Sales and DMS (SVBmedia), the revenue disclosed will be only
the commission earned instead of the total billing of ad space
Dividend The Board of Directors will propose to the next General Meeting of Shareholders on 25
April 2012 in Lausanne the distribution of the amount of CHF 6 per share, composed of
a dividend of CHF 3.80 and of CHF 2.20 that will be distributed tax-free from reserves
from paid-in capital. This dividend corresponds to around 40% of the net proceeds
made in the year under review from sales of property and participations and
demonstrates the solidity of the Group.
41
42. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
PubliGroupe profile under new standard
“A different animal”
diff i l”
„Old“ PG under IFRS „New“ PG under Swiss GAAP FER
(Revenue: CHF 1‘304 m)
1 304 (Revenue: CHF 606 m)
IFRS standard Swiss GAAP FER standard
World World
22% 56%
CH
44%
CH
78%
Swiss Gaap standard
IFRS standard (estimation)
Online Online
12% 57%
Print
Print 43%
88%
42 Note: Swiss GAAP FER with quota consolidation & revenue disclosed according to commissions
earned instead of the total billing of ad space for Media Sales and DMS (SVBmedia)
43. 1. Overview 2011 I 2. Key financials I 3. Segment update I 4. Update finance projects I 5. Conclusion & outlook
Outlook
Solid
S lid prospects f growth segments; optimization of print b i
for h i i i f i business
1. Media Sales to focus on growing online 3. Search & Find will continue its double
sales in Switzerland & abroad, reducing migration from print to online & mobile;
administrative costs, harmonizing solid perspectives to consolidate strong
processes and IT systems market position and increase profitability
2. DMS will further capitalize on growth 4. PubliGroupe under new operational
engine Zanox with its double-digit growth leadership as of 3rd quarter 2012, further
developing Group motto “Marketing. More.
Effective.”
Good further growth is expected in all online business
f rther gro th e pected b siness
across all segments where further investments are
envisioned. Traditional lines of business – especially the
print business of Media Sales – is undergoing further
restructuring that will improve profitability but affect
immediate prospects because of restructuring costs
43
45. Comparable expenses by segment Backup
in millions of CHF Change 2011 2010
Search & Find 7% -65.9 -61.6
Media Sales -8%
8% -162.8
162.8 -177.7
177.7
Digital & Marketing Services 4% -51.8 -49.9
1)
Corporate & Others -16% -21.2 -25.3
Eliminations -18% 8.3 10.2
Comparable expenses -4% -293.4 -304.3
Non recurring elements - 15.2
15 2 3.8
38
Total expenses -7% -278.2 -300.5
1) includes Custom Publishing
45
46. Consolidated income statement Backup
in millions of CHF Change 2011 2010
Revenue -12% 1304.0 1474.2
Purchases -12% -933.3 -1056.6
Sales reductions -24% -55.1 -72.3
Gross margin -9% 315.6 345.3
Personnel expenses -8% -221.9 -241.2
General and administrative expenses -2% -79.0 -80.3
Other income and expenses 8% 22.7 21.0
EBITDA -17% 37.4 44.8
Depreciation and amortisation -10% -23.6 -26.1
Impairment loss -6.6 -2.0
Share in result of associates 47% 23.3 15.9
Operating result (EBIT) -6%
6% 30.5 32.6
Financial result - -3.5 23.9
Result before income tax -52% 27.0 56.5
Income tax expense -35% -4.7 -7.2
Result -55%
55% 22.3
22 3 49.3
49 3
Result attributable to:
- Non-controlling interests 15% 7.7 6.7
- Sh h ld
Shareholders of P bliG
f PubliGroupe Ltd -66%
66% 14.6
14 6 42.6
42 6
46
47. Consolidated balance sheet Backup
Assets
as of as of
31 december 31 december
in millions of CHF Change 2011 2010
Cash and cash equivalents 7% 109.3 102.6
Marketable and available-for-sale securities -6% 14.4 15.3
Receivables, accruals and taxes receivables -8% 274.5 298.8
Assets held f sale
A t h ld for l - 30.3
30 3 -
Current assets 3% 428.5 416.7
Land and buildings -54% 34.9 75.6
Other tangible and intangible assets
g g -23% 56.4 72.9
Investments in associates 2% 236.3 232.7
Financial assets and deferred tax assets -63% 23.5 63.0
Non-current assets -21% 351.1 444.2
Total assets -9% 779.6 860.9
47
48. Consolidated balance sheet Backup
Liabilities
as of as of
31 december 31 december
in millions of CHF Change 2011 2010
Current debts - 0.2 -
Payables, accruals and taxes payables -12% 255.1 289.7
Long and short term provisions, deferred taxes -9% 27.8 30.4
Non-current debts
N t d bt -46%
46% 52.2
52 2 96.6
96 6
Total liabilities -20% 335.3 416.7
Share capital - 2.5 2.5
Treasury s a es
easu y shares -17%
% -43.9
39 -52.6
5 6
Reserves -2% 450.7 460.9
Equity, shareholders of PubliGroupe Ltd - 409.3 410.8
Non-controlling interests 5% 35.0 33.4
Total equity - 444.3 444.2
Total liabilities and equity -9% 779.6 860.9
48
49. Cash flow from operating activities Backup
in millions of CHF 2011 2010
Result 22.3 49.3
Adjustments for non-cash items 2.5 -14.1
Dividends paid to non-controlling interests by Group companies -6.0 -9.1
Dividends received 16.1 15.0
Interest received 1.3 1.4
Interest paid -3.1 -4.2
Taxes paid -5.6 -8.3
Use of provisions -4.4 -7.2
Working capital changes -9.3 6.8
Cash flows from operating activities 13.8 29.6
49
50. Backup
Cash flow from investing activities
in millions of CHF 2011 2010
Acquisitions of tangible assets -2.4 -3.6
Disposals of tangible assets 14.3 24.1
Acquisitions of intangible assets -11.6 -14.3
Disposals of marketable securities 0.4 4.4
Acquisitions of subsidiaries, net of cash acquired -2.3 -3.4
Acquisitions of associates - -2.0
Disposals of subsidiaries, net of cash disposed of 11.5 0.1
Disposals of associates 0.3
03 22.7
22 7
Investments in financial assets -1.0 -7.0
Divestments of financial assets 41.1 76.6
Taxes paid - -0.6
Cash flows from investing activities 50.3 97.0
50
51. Backup
Cash flow from financing activities
in millions of CHF 2011 2010
Increase /(decrease) in bank debts - -65.0
Increase in long-term debt 0.2 -
Decrease in long-term debt -43.0 -7.0
Capital contribution from non-controlling interests - 0.1
Purchase of treasury shares -4.7 -1.5
Sale of treasury shares (Share-based payments) 5.2 0.2
Acquisition of non-controlling interests -2.6 -5.6
Increase in additional paid-in capital 0.1
01 0.1
01
Dividend paid to shareholders of PubliGroupe Ltd -14.1 -
Cash flows from financing activities -58.9 -78.7
51
52. Standard change - Main accounting changes Backup
IFRS P/L versus S i GAAP FER P/L
Swiss
Company IFRS P/L Swiss GAAP P/L
with proportional method
LTV Gelbe Seiten AG 1) All P/L lines presented at 100% 1) All P/L lines presented at 51%
2) Minus one line "non-controlling 2) NO line "non-controlling interests"
interests" at - 49%
Swisscom Directories One line at 49 % in the EBIT All P/L lines presented at 49%
AG (share in result of associates)
and local ch AG
local.ch
Zanox AG One line at 47.5 % in the EBIT All P/L lines presented at 47.5%
(share in result of associates)
52
53. Standard change - Main accounting changes Backup
Goodwill
G d ill accounting + C i li i of sales f
i Capitalisation f l force costs
Goodwill IFRS Swiss GAAP FER
Accounting
Balance Sheet Purchase price allocation process to No PPA process for intangibles.
intangibles and residual goodwill Offset of acquired goodwill with
equity at the date of the acquisition,
with a theoretical calculation of
amortization over 5 years in the notes
Profit and Losses Depreciation of intangibles
p g No yearly amortisation, but goodwill
y y , g
No straight line amortisation of goodwill considered in the profit and losses at
the time of the exit from the
consolidation scope
Capitalisation of sales
IFRS Swiss GAAP FER
force costs
Search & Find Sales commissions incremental to the Sales commissions are recognised
contacts acquisition are recognised as directly through the P/L
intangible assets and depreciated when
revenue is realised (over three years)
53
54. Swiss GAAP/ FER
Revenue and gross margin, in millions of CHF
For ll
F all representation b i
t ti business
IFRS FER Estimation
(mainly Media Sales and SvBMedia) 2'000
only commission instead of billings are 1'304
1'500
reported as revenues
1'000
606
The proportional consolidation will 500 372.5
impact all lines of the P&L and 315.6
increase revenues, gross margin and -
EBIT (and taxes) Revenue Gross margin
EBIT and Net profit, in millions of CHF
The results (EBIT and Net profit) will 60
IFRS FER Estimation
increase because of the elimination of 50 47.0
the PPA amortisation 40
30.5 28.9
30
20 14.6
10
0
EBIT Net profit
54
55. Swiss GAAP/ FER Backup
Consolidated i
C lid d income statement
2011 2011
IFRS FER
in millions of CHF estimate
Revenue 1304.0 606.0
Purchases -933.3 -233.5
Sales reductions -55.1
55 1 -
Gross margin 315.6 372.5
Personnel expenses -221.9 -256.0
General and administrative expenses -79.0 -89.3
Other income and expenses 22.7
22 7 25.8
25 8
EBITDA 37.4 53.0
Depreciation and amortisation -23.6 -12.4
Impairment loss -6.6 -
Share in result of associates 23.3
23 3
Operating result (EBIT) 30.5 40.6
Financial result -3.5 2.2
Result before income tax 27.0 42.8
Income tax expense -4.7
4.7 -13.3
13.3
Result 22.3 29.5
Result attributable to:
- Non-controlling interests
Non controlling 7.7 0.6
- Shareholders of PubliGroupe Ltd 14.6 28.9
55
56. Swiss GAAP/ FER Backup
Consolidated b l
C lid d balance sheet
h
Assets
2011 2011
IFRS FER
in millions of CHF estimate
Cash and cash equivalents 109.3 127.5
Marketable and available-for-sale securities 14.4 14.4
Receivables, accruals and taxes receivables 274.5 314.4
Assets held for sale 30.3 30.3
Current assets 428.5 486.6
Land and buildings 34.9 34.9
Other tangible and intangible assets 56.4 23.9
Investments in associates 236.3 49.5
Financial assets and deferred tax assets 23.5 10.1
Non-current assets
N t t 351.1
351 1 118.4
118 4
Total assets 779.6 605.0
56
57. Swiss GAAP/ FER Backup
Consolidated b l
C lid d balance sheet
h
Liabilities
2011 2011
IFRS FER
in millions of CHF estimate
Current debts 0.2 0.3
Payables, accruals and taxes payables 255.1 335.9
Long and short term provisions, deferred taxes 27.8 22.3
Non-current debts 52.2 83.6
Total liabilities 335.3 442.1
Share capital 2.5 2.5
Treasury shares -43.9 -43.9
Reserves 450.7 201.8
Equity, shareholders of PubliGroupe Ltd 409.3 160.4
Non-controlling i t
N t lli interests
t 35.0
35 0 2.5
25
Total equity 444.3 162.9
Total liabilities and equity 779.6 605.0
57
