New Work SE

Investor Presentation • Nov 5, 2015

XING AG Q3 2015 Executing our growth strategy

November 5, 2015

EXECUTING GROWTH STRATEGY

XING CONTINUES TO GROW, EBITDA MARGIN 31%

Q3 MEMBER GROWTH +42%, PAYER NET ADDS +115%

LAUNCH OF XJM – THE #1 JOBS MARKETPLACE IN D-A-CH

LAUNCH OF "KLARTEXT" – CONTENT MADE BY XING

Q3 WITH SOLID GROWTH MOMENTUM REVENUES UP 17%, EBITDA MARGIN 31%

XING MEMBER AND USER GROWTH D-A-CH

In 000s and in m

Paying member base D-A-CH [thousands]

BUILDING #1 JOBS MARKETPLACE IN D-A-CH

• 1 million white collar jobs = #1 job portal in D-A-CH
• Strong user focus
• "New work" search filters
• kununu ratings
• Mobile
• New XING Jobmanager for Corporates
• Performance measurement tool for job ads
• Job ad clicks up by 70%

XING LAUNCHING OWN EDITORIAL CONTENT "KLARTEXT"

FINANCIAL HIGHLIGHTS

MEMBER GROWTH SIGNIFICANTLY UP YOY AND QOQ

SOLID REVENUE GROWTH; ESPECIALLY IN NETWORK / PREMIUM, XO EFFECTS IN E-RECRUITING

EBITDA OF €9.3M ACCORDING TO PLAN

STRONG OPERATING CASH-FLOW OF €8.9M

Q3/15: SOLID TOP-LINE GROWTH, EBITDA IMPACTED BY TV-CAMPAIGN IN Q3 2015 – MARGIN AT 31%

	Q3/15	Q3/14	Q3/15 vs. Q3/14	Q2/15	Q3/15 vs. Q2/15
	Abs.	Abs.	%	Abs.	%
Total revenue1	30.5	26.0	17%	30.2	1%
Costs	(21.1)	(16.1)		(20.7)
EBITDA w/o kununu earn-out	9.3	9.9	(5%)	9.5	(2%)
Margin w/o kununu earn-out	31%	38%	(7%pts)	31%	(0%pts)
Non-operating costs from kununu earn-out	0.0	(0.8)	N/A	0.0	N/A
EBITDA incl. kununu earn-out	9.3	9.1	2%	9.5	(2%)
Depreciation (incl. PPA)	(2.4)	(1.9)	23%	(2.3)	5%
Financial result	(0.1)	0.0	N/A	(0.0)	231%
Taxes	(2.2)	(2.5)	(12%)	(2.6)	(13%)
Adjusted net result incl. kununu earn-out2	4.6	4.7	0%	4.7	(1%)
Adjusted net result w/o kununu earn-out2	4.6	5.4	(14%)	4.7	(1%)

1 Including other operating income

² Excl. write-down of XING Events of €7.5m (-€0.5m tax effect)

Rounding differences are possible

Q3/15: SEGMENT-EBITDA DEVELOPMENT

	Segment EBITDA	Margin
Network/Premium	€11.8m	64%1
E-Recruiting1	€5.1m	50%2
Events	(€0.2m)	N/A
Tech, Central Services & Other	(7.4m)	N/A
Group EBITDA	€ 9.3m	31%

¹ Q3/2014: 68%

² Q3/2014: 57% (w/o kununu earn-out)

Q3 TV CAMPAIGN OF ~€1M INCLUDED IN CENTRAL SERVICES

Q3/15: E-RECRUITING GROWTH TEMPORARILY IMPACTED BY DISCONTINUATION OF OLD CPs

Rounding differences are possible

E-RECRUITING BUSINESS IMPACTED BY DISCONTINUATION OF OLD XING COMPANY PROFILE BUSINESS

E-RECRUITING YOY GROWTH RATES IN SUB SEGMENTS (Q3) In %

OLD XING COMPANY PROFILES BUSINESS TO FADE OUT BY END 2015. RE-ACCELERATION OF SEGMENT GROWTH EXPECTED STARTING Q1 2016.

Q3/15: COST DEVELOPMENT

Personnel in €m in % of total revenue

Marketing in €m in % of total revenue

Other expenses in €m in % of total revenue

• Including non-operating costs from kununu earn-out
• +25 FTEs in Q3 15
• +79 FTEs vs. Q3 14

Online display & social media adv. Search engine marketing (SEM) Q3/14 Q2/15 Q3/15

1.3

Offline marketing expenditure

2.1

3.0

(conferences & events, print, sponsoring) Affiliate marketing

136% 30%

• External services, legal, audit & consulting
• Payment processing, server hosting
• Rent & other costs

1) Impact from kununu earn-out

2) Chg based on growth of personel expenses excl. Kununu earn-out - 13 -

Rounding differences are possible

STRONG OPERATING CASH-FLOW OF €8.9M

	Q3/15	Q3/14	Q3/15 vs. Q3/14	Q2/15	Q3/15 vs. Q2/15
	Abs.	Abs.	Abs.	Abs.	Abs.
EBITDA	9.3	9.1	0.2	9.5	(0,2)
Interest / Tax	(2,0)	(0.3)	(1.7)	(1.0)	(1.0)
Change net working capital	1.6	1.6	(0.0)	(4.6)	6.2
Operating cash flow excl. organizer cash	8.9	10.5	(1.6)	3.9	5.0
Investment – operating	(4.0)	(3.2)	(0.7)	(3.4)	(0.5)
Investment – acquisitions	(0.8)	(0.3)	(0.5)	0.0	(0.8)
Financing incl. transaction of own shares	2.1	0.0	2.1	2.5	(0.4)
Free cash flow excl. organizer cash & dividends	6.1	6.9	(0.8)	3.0	3.2
Regular Dividends	0.0	0.0	0.0	(5.1)	5.1
Special Dividends	0.0	0.0	0.0	0.0	0.0
Free cash flow excl. event organizer cash & incl. dividends	6.1	6.9	(0.8)	(2.2)	8.3
Effects organizer cash	1.7	0.5	1.2	(0.9)	3.6
Free cash flow incl. event organizer cash & dividends	7.8	7.4	0.4	(3.1)	10.9

Pls note: Q2/15 - IFRS accounting of cash-out for kununu earn-out distorts cash-flow from NWC, operating cash-flow, and cash-flow from investment activities

• Cash-flow from change in NWC reported -€4.6m; adjusted by cash-out for kununu earn-out of €4.0m leads to CF NWC of -€0.6m
• Op. Cash-flow reported €3.9m; adjusted by cash-out for kununu earn-out of €4.0m leads to op. Cash-flow of €7.9m
• Cash-flow from investing activities reported -€3.4m; adjusted by by cash-out for kununu earn-out of €4.0m leads to -€7.4m

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