2005 Interim Results. Milan, 13 th September 2005

Transcription

1 2005 Interim Results Milan, 13 th September 2005

2 Broadcasting 2005 Interim Results

3 MEDIASET H 24Hours Audience Share 42.6% INDIVIDUALS 43.1% 39.3% COMMERCIAL TARGET (15-64 Years) 45.1% Source: Auditel 3 3

4 MEDIASET H PRIME TIME Audience Share % INDIVIDUALS 43.9% 41.5% COMMERCIAL TARGET (15-64 Years) 45.6% Source: Auditel 4 4

5 MEDIASET H 24Hours Channel Ranking yrs yrs yrs yrs CANALE 5 RAI1 ITALIA 1 RAI 2 RAI 3 RETE CANALE 5 ITALIA 1 RAI 1 RAI 2 RAI 3 RETE CANALE 5 RAI 1 ITALIA 1 RAI 2 RAI 3 RETE CANALE 5 RAI 1 ITALIA 1 RAI 2 RAI 3 RETE yrs yrs 65+ yrs 4-14 yrs CANALE RAI RAI ITALIA RAI CANALE CANALE CANALE RAI RAI RETE RAI ITALIA RAI RAI RAI RAI RETE RAI RAI RETE ITALIA ITALIA RETE Source: Auditel 5 5

6 MEDIASET 8M Hours Audience Share 42.3% INDIVIDUALS 42.9% 38.9% COMMERCIAL TARGET (15-64 Years) 45.0% Source: Auditel 6 6

7 MEDIASET 8M 2005 PRIME TIME Audience Share % INDIVIDUALS 43.8% 41.0% COMMERCIAL TARGET (15-64 Years) 45.7% Source: Auditel 7 7

8 Advertising 2005 Interim Results

9 1H 2005 Italian Advertising Market Total Market Press +2,2% +2.7% -3.2% Radio -1.7% Outdoor TV +2,6% +3,9% -2.0% Source: Nielsen AdEx estimates 9 9

10 MEDIASET H Publitalia Advertising Revenues +3.7% 1, ,598.2 ( ml.) 1H2004 1H

11 MEDIASET H Advertising by Sector 1H2005 (ml ) 2005 vs 2004 TELECOM % AUTOMOTIVE % FINANCE/INSURANCE % RETAIL % FOOD % NON FOOD % 11 11

12 MEDIASET H Breakdown by Sector 1H H ,7% Automotive 12.2% Automotive 29.5% Other Sectors 45.9% Grocery 30.3% Other Sectors 41.9% Grocery 3.1% Finance 9.8% Telecom 4.7% Finance 10.9% Telecom 12 12

13 MEDIASET H New Clients Acquisition Policy Active Clients New Clients in New Clients Revenues 41 ml 13 13

14 MEDIASET M Publitalia Advertising Revenues +3.5% 1, ,831.3 ( ml.) 8M2004 8M

15 MEDIASET M Advertising by Sector 8M2005 (ml ) Var. % TELECOM % AUTOMOTIVE % FINANCE/INSURANCE % RETAIL % FOOD % NON FOOD % 15 15

16 Update on DTT Milan, 13 th September 2005

17 DTT In Italy Multiplexes, Channels and Coverage MULTIPLEX NATIONAL CHANNELS COVERAGE 2 RAI UNO RAI DUE RAI TRE RAI DOC RAI UTILE RAI NEWS 24 RAI SPORT RAI EDU SAT 2000 > 70% 2 CANALE 5 BBC WORLD 24 ORE TV BOING CLASS NEWS COMING SOON TV 80%-65% 2 La 7 MTV TELEMARKET RETE CAPRI La 7 SPORT MUSIC BOX 70%-65% 1 RETE 4 ITALIA 1 LA CHAINE INFO SPORT ITALIA SPORT ITALIA LIVE 24 68% Source: Company Informations MEDIASET CHANNELS Digital Terrestrial TV 17 17

18 MEDIASET Acquisition of 2 nd Digital Multiplex HSE ml Euro (EV 103.8) 100 ml Euro 12.7 ml Euro Terrestrial Frequency Home Shopping 63% Italian population covered (over 36ml people) 1 st operator authorized to start DTT experimentation in January employed people Production and post Production Facilities Retailing and Marketing Customer Service Delivery and Logistics 120 employed people 20 ml Euro invested to Digitalize Mediaset 2 nd Multiplex (40% of the new transmission capacity will host 3 rd party channels) Mediaset will launch a new DTT Home Shopping Channel in October 05 Digital Terrestrial TV

19 DDT in Italy SET-TOP-BOX Penetration Around 2ml MHP Decoders sold with State subsidies Estimates of around 3ml Decoders at 12 th September 2005 Only subsidies left to be reserved to Valle d Aosta and Sardegna Number of decoders sold through State subsidies % MHP STBs sold without subsidy Profile of DTT STBs sold 56% MHP STBs sold with subsidy 4% Zapper March 2004 September 2005 Source: Ministero Comunicazioni Source: Estimate by GfK Marketing Services Italia, May 2005 Digital Terrestrial TV 19 19

20 MEDIASET PREMIUM Pay-per-View Offer New Mediaset Premium Card Cards No subscription required 2-size Mediaset Premium card: - 30 Euro (o/w 5 Euro plastic card) - 10 Euro (o/w 5 Euro plastic card), bundled with Set-Top-Box offer Mediaset Premium Club, for Commercial Premises (Pubs & Clubs) Mediaset Premium is available in consumer electronic stores Mediaset Premium Cards will expire 30 th June 2007 Credit Recharge 6 Credit size from 10 Euro to 100 Euro, Recharge fee from 10% to 0%, respectively Credits can be recharged through: - Credit Card calling Mediaset Premium Call Centre or connecting to Mediaset Premium Website - Scratch Cards, available in more than 800 point of sales: - Consumer electronics stores -Kiosk - In Lottomatica and Sisal sale points; recharge codes will be printed directly from terminals Credits have to be activated via a dedicated Call Centre or Website. Digital Terrestrial TV

21 MEDIASET PREMIUM Live Serie A Offer SERIE A 05/ 06 - Mediaset Premium Offer 10 Teams 190 matches in a season 100 Tier 1 matches (4 top Clubs) 90 Tier 2 matches 38 DIRETTA PREMIUM SERIE A season started 28 th August 2005 Juventus Messina Milan Livorno Inter Siena Roma Lazio Sampdoria Treviso Pricing 5 Euro per match 79 Euro, Team Seasonal Ticket + Diretta Premium 99 Euro, All Matches + Diretta Premium 760 Euro Mediaset Premium Club, All Matches + Diretta Premium Digital Terrestrial TV 21 21

22 MEDIASET PREMIUM Movie Offer Movies - Mediaset Premium Offer 4 Movies per day (Monday Friday) Titles in 05/ 06 season Movies are available with: Original Language Subtitles 5.1 Dolby Digital Audio PPV From 2 Euro (library) to 4 Euro (1 st run on TV) Movie Offer started 28 th August 2005 First window available on TV Box Office months DVD Sale DVD Rental PAY per VIEW PAY TV FTA TV Digital Terrestrial TV 22 22

23 MEDIASET PREMIUM First Hints on PPV Take off From 15 July to 31 Aug Mediaset Premium Cards Sold to Retailers N recharges sold to Retailers 5000 Cashed in 34.2 ml Euro Digital Terrestrial TV

24 Financials 2005 Interim Results

25 MEDIASET GROUP P&L Consolidated Results (IAS/IFRS) ( ml.) Net Consolidated Revenues Operating Costs EBITDA Amortisation & Depreciation EBIT Pre-Tax Profit and Minorities Group Net Profit 1H2004 1,809.1 (727.3) 1,081.8 (414.9) H2005 1,984.3 (831.3) 1,153.0 (398.6)

26 MEDIASET GROUP P&L Consolidated Results (IAS/IFRS) ( ml.) 1H2005 Consolidated 1H2005 Mediaset 1H2005 Telecinco Consolidation Effects Net Consolidated Revenues 1, , EBITDA 1, margin 58.1% 55.6% 65.3% Operating Profit margin % 33.8% 50.4% EBIT margin % 36.5% 50.4% 2.1 Net Profit Minorities (87.9) Group Net Profit

27 2005 INTERIM RESULTS Italian Business 27 27

28 MEDIASET ITALIAN BUSINESS P&L Results (IAS/IFRS) ( ml.) Net Consolidated Revenues Personnel Costs Other Operating Costs EBITDA Amortisation & Depreciation Operating Profit Gain (Losses) from Equity disinvest. EBIT Financial Income (Losses) Associates Pre-Tax Profit Taxes NET PROFIT 1H2004 1,405.0 (170.1) (392.4) (336.5) (9.1) (208.5) H2005 1,475.3 (183.6) (471.2) (322.7) (8.8) (2.7) (190.8)

29 MEDIASET ITALIAN BUSINESS H Operations Breakdown (IAS/IFRS) ( ml.) FTA TV Operations Analog Commercial TV Digital Multichannel Digital Broadcasting Pay TV Operations Other non TV Operations TOTAL Total Net Revenues 1, , ,475.3 Operating Profit (1.3) (19.0) (8.1)

30 MEDIASET ITALIAN BUSINESS FTA, Commercial TV ( ml.) 1H2004 1H2005 Total Net TV Revenues TV Advertising Revenues Commissions Other TV Revenues Total TV Costs Personnel TV Operating Costs TV Rights Amortisations Other Amortisation & Depreciation Infra Segment Adjustament Commercial TV Operating Profit margin 1, ,541.9 (229.2) 38.5 (825.9) (159.6) (346.5) (289.9) (34.1) % 1, ,598.2 (237.6) 41.0 (877.2) (170.3) (406.8) (278.6) (30.6) % 30 30

31 MEDIASET ITALIAN BUSINESS FTA, Multichannel ( ml.) 1H2004 1H2005 Total Net Revenues Advertising Revenues Commission Total Multichannel Costs Personnel Other Operating Costs Amortisation & Depreciation Infra Segment Adjustament Multichannel Operating Profit (0.1) (3.4) (0.5) (1.1) (1.7) (1.3) 31 31

32 MEDIASET ITALIAN BUSINESS FTA, Broadcasting ( ml.) 1H2004 1H2005 Total Net Revenues Total Broadcasting Costs Personnel Other Operating Costs Amortisation & Depreciation Infra Segment Adjustament Broadcasting Operating Profit 7.8 (26.8) (3.7) (15.6) (7.1) (0.3) (18.9) 11.0 (3) (5.0) (24.2) (5.7) 5.0 (19.0) 32 32

33 MEDIASET ITALIAN BUSINESS Pay-per-View ( ml.) 1H2004 1H2005 Total Net PPV Revenues PPV Revenues Other Revenues Advertising Revenues Commissions Total PPV Costs Personnel Other Operating Costs Rights Amortisations Other Amortisation & Depreciation Infra Segment Adjustament PPV Operating Profit (0.3) (29.6) (0.6) (17.9) (3.6) (0.1) (7.3) (8.1) 33 33

34 MEDIASET ITALIAN BUSINESS Other non TV Operations ( ml.) 1H2004 1H2005 Total Net Other Revenues Thematic Channels Multimedia Other Non-TV Revenues Total Other Costs Personnel Non-TV Operating Cost Amortisations & Depreciations Infra Segment Adjustament Other non-tv Operating Profit (46.3) (6.7) (30.1) (5.4) (4.0) (0.3) (37.2) (7.0) (21.0) (4.2) (4.9)

35 MEDIASET ITALIAN BUSINESS Investments (IAS/IFRS) ml ml H2004 1H TV Rights DTT Technical & Immaterial 35 35

36 MEDIASET ITALIAN BUSINESS Cash Flow Statement (IAS/IFRS) ( ml.) Initial Net Financial Position Free Cash Flow from Core Activities - Cash Flow from Operations - Investments - Disinvestments - Change in Net Working Capital (CNWC) Equity (Investments)/Disinvest. Cashed-in Dividends from Tele5/Others Free Cash Flow Dividends Total Net Cash Flow Final Net Financial Position Final GROUP Net Financial Position 1H2004 (451.4) (359.7) (271.3) (215.5) (81.7) 1H2005 (182.3) (376.6) 2.8 (64.6) (448.8) (126.5) (308.8) (45.6) 36 36

37 Share Buyback Program Milan, 13 th September 2005

38 MEDIASET Share Buyback Program Transaction Size limits Timing a Price limit Open Market Stock Repurchase Program a maximum of 41,37 million Mediaset Ordinary Shares (3.5% Share Capital), or a maximum of 400 million (total repurchase countervalue) From 14 th September 2005 to the earliest between: the size limit achievement date and 23 rd December Price cannot exceed (be higher than) the lowest between: 12,294 per Share (12 th September 2005 Reference Price +20%) Reference Price (set in the Milan Stock Exchange session prior to each daily purchase) + 20% Daily Volume limit Maximum 25% of the daily traded volume and no more than shares daily 38 38

39 MEDIASET Share Buyback Program/2 Commitments a Daily communication to the market: N of repurchased shares, average price paid per share, Cumulated N of repurchased shares, Total Countervalue up to date, Main terms of the announced Share Repurchased Program Repurchased shares will not be devoted to present or future Management Stock Options plan No disposal of any repurchased share by any reason until next AGM Other Info Mediaset appointed an independent Broker (Mediobanca) to fully execute the daily Repurchase Program, within the limits set Treasury Shares at 13 th September 2005 are fully dedicated to the implementation of the 02/ 03 Management Stock Option Plan Mediaset Share Buyback Program is under the Authorization given by the AGM, held on 29 th April 2005, to the Board of Directors to purchase own shares up to a maximum of 7000 ordinary shares (5,92% Share Capital) 39 39

40 Back Up Slides 2005 Interim Results Milan, 13 th September 2005

41 MEDIASET GROUP Consolidated Cash Flow Statement (IAS/IFRS) ( ml.) Initial GROUP Net Financial Position Free Cash Flow from Core Activities - Cash Flow from Operations - Investments - Disinvestments - Change in Net Working Capital (CNWC) Equity (Investments)/Disinvest. Cashed-in Dividends from Tele5 Free Cash Flow Dividends Total Net Cash Flow Final GROUP Net Financial Position 1H2004 (199.3) (452.8) (391.3) (81.7) 1H (476.6) 4.3 (30.4) (534.8) (107.6) (45.6) 41 41

42 2005 INTERIM RESULTS Spanish Business BACK UP SLIDES 42 42

43 TELECINCO P&L Results (IAS/IFRS) ( ml.) Net Consolidated Revenues Personnel Costs Other Operating Costs EBITDA Amortisation & Depreciation EBIT Financial Income (Losses) Associates Pre-Tax Profit Taxes NET PROFIT 1H (34.4) (131.0) (78.4) (52.9) H (36.1) (140.4) (75.9) (83.6)

44 TELECINCO Investments (IAS/IFRS) 93.1 ml. 10 ml H H TV Rights Tangible & Intangible Fixed Assets 44 44

45 TELECINCO Cash Flow Statement (IAS/IFRS) ( ml.) 1H2004 1H2005 Initial Net Financial Position Free Cash Flow Cash Flow from Operations Investments Disinvestments Change in Net Working Capital (CNWC) Equity (Investments)/Disinvest. Cashed in Dividends Dividends Total Net Cash Flow Final Net Financial Position (93.1) (0.5) 0.9 (25) (118.3) (10) (0.4) 1.1 (172.6)

46 Investor Relations Department: Tel: Fax: WebSite: Forward-looking Statements Statements contained in this document, particularly the ones regarding any Mediaset Group possible or assumed future performance, are or may be forward looking statements and in this respect they involve some risks and uncertainties. Mediaset Group actual results and developments may differ materially from the ones expressed or implied by the above statements depending on a variety of factors. Any reference to past performance of Mediaset Group shall not be taken as an indication of future performance. This announcement does not constitute an offer to sell or the solicitation of an offer to buy the securities discussed herein. 46