Adevinta — Investor Presentation 2020

Oct 27, 2020

Q3 2020 Results

CEO CFO

27 October 2020

Creating perfect matches on the world's most trusted marketplaces

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Q3 Highlights

Rolv Erik Ryssdal CEO

Key highlights of the quarter

• Agreement for the acquisition of eCG
• ● Further execution of the GM portfolio optimization strategy
• Expansion in Brazil to support long-term development
• Q3 performance confirms recovery trajectory across markets and shows exceptionally high profitability
• Catch-up and accelerated investment in P&T and marketing expected in Q4 to support roll out of new features and solutions
• Macro environment remains uncertain in the short term

Creating the world's largest online classifieds group

Profitable growth, enhanced by organic and consolidation opportunities Resilient business model Diversified classifieds platform across geographies and verticals with highly complementary portfolio of assets Globally scaled pure-play online classifieds leader, with leading market positions ¹

Substantial synergy potential of estimated €134-165mn run-rate annual EBITDA(1)

Strong cultural alignment and common DNA

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Progress on key milestones ahead of eCG acquisition

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Operations: further recovery in the quarter

Source: Adevinta estimates

Strategic moves in the existing portfolio to increase focus on highest potential markets

Q3 Business Review

Rolv Erik Ryssdal CEO

Improving market trends despite worsening of social and economic environment

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further signs of recovery but tough macro environment and increased restrictions

• Spanish economy is the hardest impact among our main countries
• Traffic back to yoy growth in the summer
• Housing and used car transactions back to last year's level in summer time

• Jobs segment affected by increasing level of unemployment

• Strong client outreach to maintain strong relationships

• Hybrid listing combining grid and map view and unique back-office tool in real estate
• Improved features in motors such as ad insertion facilitation for private sellers
• Progressive roll-out of payment and delivery solutions

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improved macro picture and outlook

• Traffic and liquidity remain high, growing at double digit
• Recovery in housing and motor transaction volumes

• Stronger impact of the crisis on small clients, especially in motor but overall increasing number of real estate agents

• National roll-out of OLX Pay in Android and mobile site

• Value added services: new partnership for real estate and C2C financing for cars
• Improved real estate product for developers with a significant impact on organic leads
• Onboarding cells (welcome professional clients during the first two months) to contain churn

encouraging developments across markets

Italy

Continued portfolio management: exit of Morocco, Tunisia and Colombia

Financials

Uvashni Raman CFO

Q3 financial performance

Efficient cost management and positive one-offs

positive organic growth and favorable phasing of expenses

Revenues

• up 17% 8% excluding L'Argus
• ● Classifieds 24%
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EBITDA margin

• ● Dilutive
• Further Investment Marketing
• ● Partially offset cost control

further top-line improvement, margins protected

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• ● Motor and programmatic advertising up yoy
• ● Jobs and real estate still down yoy but strongly recovering from Q2

EBITDA margin

• ● Stable yoy, despite the revenue decline
• cost saving measures
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positive organic growth and improving profitability

Revenues

• ● Local currency revenue up 4% yoy with acceleration in September
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• value added services
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EBITDA margin

• one-off impact of tax credits
• ● Underlying EBITDA grew yoy

Grupo ZAP acquisition process

strong rebound in Q3 with performance improving in major markets

Revenues

• 7%
• ● Classified revenues
• ● Good recovery ongoing in Italy,
• ● Strong performance in Ireland and Willhaben
• ● Progressive improvement in advertising

EBITDA margin

• investment in Shpock
• Italy, Willhaben, Ireland and Hungary all up compared to LY
• ● Strong cost reduction
• ● positive one-off

Other P&L items

• HQ & other
• ● acquisition-related costs
• one-off non cash hedging
• Update on DST
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Financial position

• ● Cash & cash equivalents of € 327m
• €400m
• Debt placement completed
• ● € 2,386m
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• Ba3 BB+ BB-
• Target leverage ratio² :

1 Adevinta has entered into a cross currency interest rate swap, effectively converting the \$506 million USD TLB into EUR 427 million with an all-in fixed margin of 3.169%.

2 Leverage ratio quoted according to the definition of the information memorandum released on October 19

Outlook

Rolv Erik Ryssdal CEO

• ● Acceleration of consumer behavior evolution
• ● Continued innovation strengthening our positions
• ● Combination with eCG expected to foster further innovation and efficiency over the long run - estimated €134-165m run-rate annual EBITDA impact in year 3
• ● Macro environment remains uncertain in the short-term
• ● Acceleration in marketing and product & tech investment is expected as from Q4 to drive future growth, secure our positions and seize opportunities that will arise from the crisis, leading to a decrease in EBITDA margin
• ● CMD on combined entity and perspectives to be held in H2 2021

Appendices

Rank	Name	Shares	%
1	Schibsted ASA	406,050,523	59.3 %
2	Blommenholm Industrier AS	43,313,297	6.3 %
3	Baillie Gifford & Co.	25,644,234	3.7 %
4	Folketrygdfondet	23,203,775	3.4 %
5	Fidelity Management & Research Company LLC	19,622,888	2.9 %
6	Capital World Investors	11,169,317	1.6 %
7	The Vanguard Group, Inc.	7,392,526	1.1 %
8	BlackRock Institutional Trust Company, N.A.	6,604,143	1.0 %
9	Alecta pensionsförsäkring, ömsesidigt	6,185,326	0.9 %
10	Capital Guardian Trust Company	5,861,165	0.9 %
11	Pelham Capital Ltd	5,613,212	0.8 %
12	Alfred Berg Kapitalforvaltning AS	4,835,735	0.7 %
13	Adelphi Capital LLP	4,698,166	0.7 %
14	Mitsubishi UFJ Trust and Banking Corporation	4,299,110	0.6 %
15	Premier Miton Investors	4,053,592	0.6 %
16	DNB Asset Management AS	4,044,818	0.6 %
17	KLP Forsikring	4,004,036	0.6 %
18	Citigroup Global Markets	4,000,000	0.6 %
19	Storebrand Kapitalforvaltning AS	3,814,279	0.6 %
20	Vor Capital LLP.	3,411,392	0.5 %

Source: Nasdaq OMX. Data as of 30 September 2020

Updated information and VPS register at: https://adevinta.com/ir/shareholders/

The shareholder ID data are provided by Nasdaq OMX. The data are obtained through the analysis of beneficial ownership and fund manager information provided in replies to disclosure of ownership notices issued to all custodians on the Adevinta share register. Whilst every reasonable effort is made to verify all data, neither Nasdaq OMX or Adevinta can guarantee the accuracy of the analysis.

Ticker
Oslo Stock Exchange:	ADE
Reuters:	ADE.OL
Bloomberg:	ADE:NO
Number of shares	684,948,502
Treasury shares (October 23, 2020)	52,227
Number of shares outstanding	684,896,275
Free float*	40.7%
Share price (October 23, 2020)	NOK 159.70
Average daily trading volume (shares)**	728,139
Market Cap total (October 23, 2020)	NOK 109bn (USD 11.8bn)

* Total number of shares excluding treasury shares and shares owned by Schibsted ASA | ** Last hundred days on the Oslo Stock Exchange

Investor information

Visit Adevinta's website www.adevinta.com

Adevinta ASA Akersgata 55, P.O. Box 490 Sentrum, E-mail: ir@adevinta.com

Marie de Scorbiac

ir@adevinta.com +336 1465 7740