New Work SE

Investor Presentation • Nov 12, 2013

XING – #1 Professional Social Network In German Speaking Europe

Q3 results

November 6, 2013

Strongest member growth during last 18 months Lot of scope still available for further growth in D-A-CH

Paying subscriber base growing

Paying member base & net adds in D-A-CH [thousands]

Top-line growth acceleration continues in Q3/13

Introduction of XTM 2.0 New frontend & new features - launched Sep 2013

		My projects $\rightarrow$ Key account manager $\rightarrow$ Candidates Edit project details Find new candidates
Francisco $-\sigma-$	Key account Manager - XING AG Hamburg, Germany $\vert \blacksquare$ In progress $\blacktriangleright$	< SHARED PROJECT
Projects		Candidates	Recommendations Details	Newest first $\sqrt{*}$ All statuses $\blacktriangledown$
$\bowtie$ Messages	Mathew Reynolds Key account manager Netizer Ltd	Janusz Kowalski Account Manager Boss, GmbH	Daniel McHunt Sales manager Quill AG	Klaus Schmidt Manager Key Account L3BAS S.A
	Hamburg, Germany	9 Berlin, Germany	Hannover, Germany	Wünchen , Germany
Search	§ 3 years, 1 month of experience	§ 1 years, 2 months of experience +1 months of experience		₫ 1 year, 1 month of experience
	$\blacksquare$ Initial contact $\mathbf{v}$	Offer sent $\mathbf{v}$	Initial contact $\overline{\mathbf{v}}$	Phone interview $\overline{\mathbf{v}}$
ministration	R 5 幸2 $\times$ 1	$\mathbb{R}1$ 畫2 $\times 2$	$\mathbb{R}$ 1 音3 $\times$ 1	全2 R 2 $\times$ 5
	Added by Francisco Sisah 21 May, 2013, 14:30	Added by Francisco Sisah 21 May, 2013, 14:28	Added by Francisco Sisah 21 May, 2013, 14:00	Added by Francisco Sisah 21 May, 2013, 13:35
	Hannah Müller K.A. Manager Dondalations	Jonas Petersson Sales manager Trama Deutschland Gm	Rachel Schultz Sales consultant Linton, Ltd	Lotte Arendt Sales Manager Sanfra AG
	Hamburg, Germany	9 Köln, Germany		9 Bremen, Germany
	$\delta$ 6 years, 2 months of experience	$\delta$ 13 years, 2 months of experience	$\ddot{O}$ 3 years, 5 month of experience	$\ddot{\text{O}}$ 11 months of experience

Introduction of XTM 2.0 Showcase with Deutsche Telekom AG

• DTAG is using XTM since launch in September 2012
• XTM creates value
• Time to hire down by >70%
• Cost per hire down by >80%

Marc Stefan Brodbeck Vice President Recruiting & Talent Acquisition Deutsche Telekom AG

"We can no longer imagine working without the XTM. I would't want to stop using it. And in particularly in the German speaking countries you just can't ignore XING."

Launch of "Das Neue Premium" Strong communication of online benefits

Profile Visitors (Statistics) Premium HUB Offline Benefits

				Mitgliedschaft
	Profilbesucher
Ergebnisse 1-10 von 28			Erstbesucher & Wiederkehrer
	Aldivität: Nur Profibiosch Kontakt-Grad:	Alle Mitglieder	29	21 Erstbesucher
	Florian Abel-Kraus > Dipl.-Ing. Nachrichtentechnik romato AG	01.10.2013 Denver		8 Wiederkehrer
	Klick in eigenen Kontakten/gemeikten Personen		Recruiter & andere Besucher
	v Verbindungsdetails			Recruiter 3
	Marc Cacqueux > Senior Frontend Engineer XING AG	01.10.2013		Andere 26 Besucher
	Klick in "Netzwerk enveltern"		So fand man Sie bei XING
	v Verbindungsdetails		David Brown 1
			Marketing Manager $\overline{2}$
	Laura-Marie Altenborg	29.09.2013	Online Marketing $\overline{\mathbf{3}}$
	Team Manager Planning & Concept 2pink - Agentur für Digital Commerce & Brand		4 SEM 5	Search Engine Marketing
	Communication		6	Senior Marketing Manager
	Suche nach Land/Region		7 David
			8	Online Marketing Manager
	A Verbindungsdetsils		Brown ġ
	Gemeinsame Kontakte		Online Advertising 10
	2 人名		Branchen Ihrer Besucher
	Klaus Thulmann	24.09.2013	22% Internet
	Künstler & Autor		15% Informationstechnologie & -die
	Dichter / Sänger / Buchautor	Benatil	7% Coaching
	Klick in "Natzweik erweitern"		7% Dianstleistungen
	v Verbindungsdetails		7% Andere 41% Sonstige
		25.09.2013
	Christian Muckmann > An agile guy
	XING AG		Unternehmen Ihrer Besucher
	Suche nach Stichworten: User Experience		22% omato AC
			4% XING AG

Q3/2013 figures

The professional network www.xing.com

Executive summary – Financials

Accelerating member growth w/ 214k net adds

Accelerating revenue growth w/ 18% yoy

EBITDA increasing to €6.2m

Operating Cash-Flow amounts to € 4.4m

Fully on track to meet full year objectives and long-term plan

Q3/13: €21.6m revenues, €6.2m EBITDA

	Q2/13	Q2/13	Q3/13 vs. Q2/13	Q3/12	Q3/13 vs. Q3/12
	Abs.	Abs.	%	Abs.	%
Total revenue1	21.6	20.9	3%	18.3	18%
Costs	(15.4)	(15.0)	(2%)	(12.8)	(20%)
EBITDA	6.2	5.9	6%	5.5	12%
Margin	29%	28%	1%pt	30%	(1%pt)
Depreciation (incl. PPA)	(2.1)	(1.9)	(7%)	(2.1)	3%
Financial result	0.0	0.0	38%	0.1	(44%)
Taxes	(1.5)	(1.3)	(16%)	(1.3)	(16%)
Net result	2.7	2.7	1%	2.2	23%

(1) Including other operating income

Member growth accelerating against seasonality

E-Recruiting and Events with continuing strong growth

Overall revenue growth accelerating to 18% in Q3/13 (15% in Q2 & 11% in Q1)

Personnel main investment area to further drive company growth

Personnel

in €m in % of total revenue

• Investment in product/technology organization & sales/marketing
• 10 new FTEs in Q3/13
• 41 new FTEs since Sep '12, thereof 27 from kununu

Marketing

in €m in % of total revenue

• Q3/12 Q2/13 Q3/13
• Online display & social media adv.
• Search engine marketing (SEM)
• Offline marketing expenditure (conferences & events, print, sponsoring)
• Affiliate marketing

Other expenses

in €m in % of total revenue

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

YoY cost development reflects first-time consolidation of kununu

Q3/2013: Operating cash flow: €4.4m

	Q3/13	Q2/13	Q3/13 vs. Q2/13	Q3/12	Q3/13 vs. Q2/12
	Abs.	Abs.	Abs.	Abs.	Abs.
EBITDA	6.2	5.9	0.3	5.5	0.7
Interest/tax/ESOP	(0.9)	(1.2)	0.3	(0.9)	(0.1)
Net working capital	(0.9)	2.3	(3.2)	0.1	(1.0)
Operating cash flow excl. organizer cash	4.4	6.9	(2.5)	4.7	(0.3)
Investment – operating	(2.9)	(2.7)	(0.1)	(1.6)	(1.3)
Investment – acquisitions	0	(0.1)	0.1	0.0	0
Financing incl. transaction of own shares	0.4	1.7	(1.3)	0.1	0.2
Free cash flow excl. organizer cash & dividends	1.9	5.9	(4.0)	3.3	(1.4)
Regular dividends	0.0	(3.1)	3.1	0.0	0
Free cash flow excl. event organizer cash & incl. dividends	1.9	2.8	(0.9)	3.3	(1.4)
Effects organizer cash	1.6	0.0	1.6	1.8	(0.2)
Free cash flow incl. organizer cash & dividends	3.5	2.8	0.7	5.2	(1.6)

Cash-Flow from net working capital negative due to xo fluctuations in Q3

Thank you for your kind attention!

The professional network www.xing.com

Negative invested capital from shareholders' perspective

in €m [Excl. event organizer cash and NWC]

	As of Sep 2013
	Abs.
Assets	107.1	Operating assets	€26.9m
Operating assets	26.9	Deferred income	(€30.2m)
Acquisitions / international	16.3
TAX A/R	1.3	Liabilities	(€15.1m)
Cash	62.6	Invested capital	(€18.4m)
Equity/Liabilities	107.1	w/o cash
Equity	58.3
Deferred income	30.2
Liabilities	15.1
Tax liabilities	3.5
Other	0.0

Investor information & contact

The professional network www.xing.com

XING AG IR stats Market cap: ~€440m / >€60m cash / no debt

	Consensus from 9 brokers	2013e	2014e	2015e	Average trading volume per day (XETRA)
3)	Total revenues	82.7	93.2	102.1	21		[in thousand]
mber, 201	EBITDA	23.9	29.9	35.5			20
s u	Margin	29%	32%	35%		15
s n	Depreciation	-8.4	-8.6	-8.5		12		12
mates as of Nove e s	EBIT	15.5	21.3	27.0	10		9
n o	Margin	19%	23%	26%	7 7 6	7
Analyst esti C	Net income	10.9	15.0	19.3	4		3
	EPS in €	1.98	2.72	3.48
(	DPS in €	0.70	0.87	1.33	Oct-12 Dec - 12 Feb-13	Apr-13 Jun-13	Aug-13	Oct-13
Analyst coverage			Berenberg	Bank, Commerzbank, Close Brothers, Deutsche Bank, Hauck & Aufhäuser, JP Morgan Cazenove, MM Warburg, Montega	Burda Digital GmbH Deutsche Asset & Wealth Management	2,922,244 358,800	52.26% 6.42%
Shares				5,592,137	Ennismore	277,848	4.97%
					Schroders	282,421	5.05%
TecDax ranking end of Oct 2013				Treasury Shares	37,832	0.68%
Market Cap.				27	Sonstige	1,712,992	30.63%
Turnover			30	Numbers based on last filing – actual shareholdings can differ

XING share price development since IPO in Dec 06

as of November 5, 2013

Investor Relations

Contact details & social media channels

Patrick Moeller

Director Investor Relations

XING AG Dammtorstraße 29-32 20354 Hamburg Germany

Tel.: +49 (0)40 419 131-793 Fax.: +49 (0)40 419 131-44 (Please use this number to submit "WpHG notifications")

Email.: patrick.moeller@xing.com

IR website: http://corporate.xing.com/english/investor-relations/