Vend Marketplaces ASA

Quarterly Report • Jul 16, 2021

Q2 2021 Results

16 July 2021

Kristin Skogen Lund, CEO Ragnar Kårhus, CFO

Q&A

Visit: sli.do Event code: 051602

Disclaimer

This presentation (hereinafter referred to as the "presentation") has been prepared by Schibsted ASA ("Schibsted" or the "Company") exclusively for information purposes and does not constitute an offer to sell or the solicitation of an offer to buy any financial instruments.

Reasonable care has been taken to ensure that the information and facts stated herein are accurate and that the opinions contained herein are fair and reasonable, however no representation or warranty, express or implied, is given by or on behalf of the Company, any of its directors, or any other person as to the accuracy or completeness of the information or opinions contained in this document and no liability is accepted for any such information or opinions.

This presentation includes and is based on, among other things, forward-looking information and statements. Such forward-looking information and statements are based on the current expectations, estimates and projections of the Company or assumptions based on information available to the Company. Such forward-looking information and statements reflect current views with respect to future events and are subject to risks, uncertainties and assumptions. The Company cannot give any assurance as to the correctness of such information and statements. Several factors could cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements that may be expressed or implied by statements and information in this presentation.

There may have been changes in matters which affect the Company subsequent to the date of this presentation. Neither the issue nor delivery of this presentation shall under any circumstance create any implication that the information contained herein is correct as of any time subsequent to the date hereof or that the affairs of the Company have not since changed.

The Company does not intend, and does not assume any obligation, to update or correct any information included in this presentation.

Alternative performance measures (APM) used in this presentation are described and presented in the section Definitions and reconciliations in the quarterly report.

Highlights Q2 2021

Strong financial results

• Accelerated underlying* revenue growth of 18% YoY
• Quarterly EBITDA of NOK 743m, up 49% YoY and 33% vs. 2019

Adevinta's acquisition of eCG completed**, creating the world's largest online classifieds platform - Reducing Schibsted's ownership share to 33%

Accounting gain of NOK 60 billion based on current share price - further increasing value creation to shareholders

Closing of eBay Classifieds' Danish operations - Strengthening our position as the Nordic online classifieds champion

3 * Foreign exchange neutral basis and including pro-forma Oikotie revenues in Q2 2020

Solid growth vs. pre COVID-19 levels in all segments; Strong margins in Nordic Marketplaces and News Media

Nordic Marketplaces	News Media	Financial Services	Schibsted Growth
Underlying* revenue growth of 32% YoY, and solid growth compared to pre COVID-19 levels	Continued strong performance with underlying** YoY revenue growth of 10% and cost savings	Underlying** revenues in Lendo returned to growth vs. somewhat weak comparables Solid EBITDA margin in	Continued strong revenue growth in Distribution on top of an amplified quarter last year
Strong EBITDA margin of 55% in Norway and 43% in Sweden	Re-bounce in digital advertising revenues driving	Lendo, increasing slightly YoY	Mixed performance in rest of Growth portfolio
Synergies between Tori and Oikotie getting traction in Finland	topline growth Strong EBITDA margin of 14%		EBITDA decline YoY driven by Prisjakt investments in product development
Closing of eBay Classifieds' Danish operations

4 * Foreign exchange neutral basis and including pro-forma Oikotie revenues in Q2 2020

** Foreign exchange neutral basis

Schibsted sharpens growth focus

ESG highlights Q2 2021

Environmental

Acquisition of the Danish circular marketplaces completed

Committed to perform and publish a TCFD risk analysis

Hired Head of Diversity, Inclusion and Belonging

Employee satisfaction score above ambitious target

Governance

Applied the sustainability checklist in the acquisition of PodMe first time for a Group acquisition

Nordic Marketplaces

Nordic Marketplaces

Continued recovery in Job listing trends in all markets, with record high volumes in Q2

Jobs: New approved ads per quarter, Q2 YoY change (absolute numbers, %)

8 * The calculation method for listings in Finland has changed from previous presentations to ensure consistent methodology across all years and that all listings are included. Numbers only include Oikotie

Nordic Marketplaces

Strong revenue growth across markets, primarily driven by Jobs

Nordic Marketplaces** Revenues (NOKm), EBITDA margin (%)

* Foreign exchange neutral basis and including pro-forma Oikotie revenues in Q2 2019 and Q2 2020 (revenue effect of NOK 64m in Q2 2019 and NOK 56m in Q2 2020)

** Please note that Denmark numbers are not included in Schibsted's results until 1 July 2021, due to closing of the transaction on 25 June 2021 ⁹

Revenue split Nordic Marketplaces

Revenues Q2 2021 (NOKm, share in %)

Accelerated revenue growth; strong EBITDA margin

Marketplaces Norway

Revenues (NOKm), EBITDA margin (%) Highlights

• Strong revenue growth in Jobs (124%) driven by volume, supported by ARPA
• Solid development in Motor and Real estate. Continued high demand in Real estate resulting in less need for republishments, while Motor saw a shift towards more upsell again
• Solid growth in advertising revenues, driven by both direct and programmatic
• The high revenue growth combined with unfilled demand for tech resources led to a strong EBITDA margin

Marketplaces Sweden

Revenue growth in all main verticals including advertising

Marketplaces Sweden

Revenues (SEKm), EBITDA margin (%)

Highlights

• Solid revenue growth in Motor driven by higher professional volumes and premium product "Bump"
• Accelerated revenue growth in Jobs driven by volume recovery combined with increased ARPA
• Advertising slowly returning to pre COVID-19 levels, growing YoY
• EBITDA margin slightly above last year driven by revenues, partly offset by investments in marketing and product development
• Robin Suwe appointed new CEO

Good volume growth in Jobs and Real estate

Marketplaces Finland

Revenues (EURm), EBITDA margin (%)

Highlights

• Synergies between Tori and Oikotie getting traction through content integrations
• Good volume growth in primarily Jobs but also Real estate listings
• Adjusting Q2 2020 figures with pro-forma numbers, underlying* revenues increased double digit in all main verticals, including advertising
• EBITDA affected by investments in marketing, product and technology

Preview: robust development in 2020, lagged market impact in 2021

Marketplaces Denmark**

Revenues (DKKm)*

Highlights

• Robust 2020 performance driven by shipping product combined with record activity in DBA during the pandemic
• Bilbasen started 2020 strongly, but high demand led to inventory shortage in second half of 2020, a challenge continuing also in 2021
• DBA continued healthy growth in first half 2021, with further gains in traffic and shipping adoption
• Advertising slightly behind in 2021, driven by motors advertisers holding back spend, and an overall market slowdown

13 * Revenue figures according to local Danish GAAP

** Denmark numbers will be consolidated from 1 July 2021, due to closing of the transaction on 25 June 2021

News Media

News Media

Continued strong EBITDA margin driven by revenue growth

News Media

Revenues (NOKm), EBITDA margin (%)

Highlights

• Underlying* revenue growth fourth quarter in a row
• Strong digital revenue growth, also compared to 2019, primarily driven by re-bounce in advertising
• Cost reduction program progressing according to plan
• Diminishing effect of temporary cost savings related to remote work
• Strong EBITDA margin of 14%

** Foreign exchange neutral basis and adjusted for certain regional and local newspapers that were sold at the end of 2019 (NOK 77m in Q2 2019) ¹⁵

Strong growth in digital revenues

Continued growth in digital subscription revenues

Strong YoY growth in digital advertising, above 2019 levels

Subscription revenues (NOKm) Advertising revenues (NOKm)**

16 * Foreign exchange neutral basis

** Norway and Sweden not including eliminations

Next

Financial Services & Growth

Financial Services

Revenues returned to growth; stable margins

Lendo Group

Revenues (NOKm), EBITDA margin (%)

Highlights

• Revenue growth vs. somewhat weak comparables, driven by higher demand across markets
• Conversion from application to loans slightly improved from last year, while significantly below pre COVID-19 levels
• Profitability improved YoY due to lower geographical expansion investments and cost savings, partly offset by higher prices in performance marketing channels due to increased competition
• EBITDA investment target for expansion maintained in the range of NOK 70-80 million in 2021

Schibsted Growth

Continued solid revenue growth in Distribution, while Prisjakt investments drive down EBITDA YoY

Schibsted Growth

Revenues (NOKm), EBITDA margin (%)

Highlights

• Continued strong revenue growth in Distribution (24%) on top of an amplified quarter last year, driven by New Business (52%)
• Prisjakt revenues declined slightly (-2%*) compared to strong comparables last year
• Mixed performance in Other growth portfolio, with stable underlying* revenues YoY
• EBITDA decline YoY driven by Prisjakt investments in product development
• In the venture portfolio, Rocker and Albert are exploring IPOs for 2H 2021

Finance

Financial effects of Adevinta/eBay transaction

Schibsted ceased to consolidate Adevinta's results from the time of the closing Consolidation of Adevinta ceases

At the time of closing the retained interest of Adevinta was recognized at fair value, implying recognition of a gain of NOK 60 billion Gain on loss of control is recognized

The retained interest of Adevinta will be accounted for as an associate

The retained interest in Adevinta will be accounted for as an associate using the equity method of accounting. Share of profit (loss) recognized will reflect Schibsted's share of profit (loss) as reported by Adevinta with appropriate adjustments for depreciation and amortisation of non-current assets based on their fair values when equity accounting commences.

Share of profit (loss) of Adevinta will be reported with a one quarter lag. In effect, the recognition of share of profit (loss) of Adevinta will commence in Q4 2021 with the amounts for Q3 2021.

Very strong quarterly EBITDA, driven by Nordic Marketplaces and News Media

Schibsted Group

Revenues, EBITDA (NOKm)

Schibsted Group

EBITDA development YoY per segment (NOKm)

Q2 income statement Schibsted Group

Income statement	Second quarter
(NOK million)	2020	2021
Operating revenues	3,073	3,619
Operating expenses	(2,575)	(2,875)
Gross operating profit (loss) - EBITDA	498	743
Depreciation and amortisation	(199)	(233)	Impairment of goodwill in Compricer
Share of profit (loss) of joint ventures and associates	(4)	(22)
Impairment loss	(13)	(91)
Other income	63	64	Mainly related to gain from remeasurement of previously held equity interests in PodMe
Other expenses	(59)	(45)
Operating profit (loss)	285	415
			Mainly explained by transaction-related cost in
Net financial items	(46)	(53)	connection with the acquisition of eBay
Profit (loss) before taxes from continuing operations	239	362	Denmark and restructuring cost related to headcount reductions
Taxes	264	(57)
Profit (loss) from continuing operations	503	305
Profit (loss) from discontinued operations	(34)	60,471	Includes a NOK 60 billion gain related to loss of control of Adevinta
Profit (loss)	469	60,776
Non-controlling interests	(1)	(135)
Owners of the parent	471	60,911
Earnings per share (NOK)
EPS - basic (NOK)	2.01	260.36
EPS - basic adjusted (NOK)	2.03	3.50

The strong EBITDA main driver for growth in operating cashflow

EBITDA (NOKm)

Operating cash flow (NOKm)

Continuing operations

Financial gearing well within target range - including acquisition in Denmark

Debt maturity profile* (NOKm)

Targeting financial gearing in the range of 1-3 (NIBD/EBITDA according to bank definition)

Financial targets and policies

Nordic Marketplaces	Nordic Marketplaces revenues Targeting annual revenue growth of 8-12% for the segment in the medium- to long-term
News Media	Medium-term targets for the segment Annual revenue growth: low single-digit EBITDA margin: 10-12%
Capital allocation	M&A M&A activities targeted primarily to strengthen market positions and bolt-on adjacent businesses Dividend policy Stable to increasing dividend over time
Capital structure	Leverage policy Targeting NIBD/EBITDA in the range of 1-3, making it possible to lever up if a particularly attractive investment becomes available Any over-capitalization to be addressed through (extraordinary) dividend or share buyback

Q&A 16 July 2021

Kristin Skogen Lund, CEO Ragnar Kårhus, CFO Christian Pritzell Halvorsen, EVP Nordic Marketplaces

Appendices

Spreadsheet containing detailed Q2 2021 and historical information can be downloaded at schibsted.com/ir

Listing trends per main verticals

New approved ads

(monthly growth YoY, %)

Country	Vertical	Jan-20	Feb-20	Mar-20	Apr-20	May-20	Jun-20	Jul-20	Aug-20	Sep-20	Oct-20	Nov-20	Dec-20	Jan-21	Feb-21	Mar-21	Apr-21	May-21	Jun-21
Norway	Jobs	-8%	-4%	-31%	-45%	-38%	-17%	-22%	-23%	-9%	-12%	0%	5%	-8%	6%	79%	118%	83%	75%
	Motor	4%	6%	-7%	-5%	2%	10%	6%	-3%	-3%	-6%	3%	8%	-11%	-7%	16%	16%	-1%	5%
	Real estate	3%	6%	-13%	-10%	-17%	4%	13%	-4%	1%	-2%	-3%	4%	-9%	-6%	17%	19%	3%	2%
Sweden	Jobs	-17%	-6%	-28%	-51%	-52%	-27%	-44%	-42%	-22%	-21%	-18%	-13%	-18%	-13%	26%	84%	106%	61%
	Motor	-1%	2%	-9%	-14%	-7%	16%	8%	-1%	4%	-2%	4%	10%	-13%	-9%	12%	7%	0%	-10%
Finland*	Jobs	1%	-6%	-17%	-45%	-40%	-17%	-14%	-25%	-4%	-18%	-12%	5%	-10%	9%	29%	116%	105%	82%
	Real estate	12%	23%	19%	18%	4%	-23%	15%	-5%	18%	7%	2%	33%	0%	1%	13%	14%	13%	6%

* The calculation method regarding Job and Real estate listings in Finland has changed from previous presentations to ensure consistent methodology across all

29 years and that all listings are included. Numbers only include Oikotie

Continuing operations

Q2 cash flow

Cash flow	Second quarter
(NOK million)	2020	2021
Profit (loss) before taxes from continuing operations	239	362
Depreciation, amortisation and impairment losses	213	326
Net effect pension liabilities	-	(29)
Share of loss (profit) of joint ventures and associates, net of dividends received	4	22
Taxes paid	(32)	(54)
Sales losses (gains) non-current assets and other non-cash losses (gains)	(50)	(57)
Non-cash items and change in working capital and provisions	(54)	108
Net cash flow from operating activities	320	678
Development and purchase of intangible assets, and property, plant and equipment	(170)	(158)
Acquisition of subsidiaries, net of cash acquired	-	(2,944)	Mainly related to the acquisition of eBay
Proceeds from sale of intangible assets, and property, plant and equipment	115	7	Denmark
Proceeds from sale of subsidiaries, net of cash sold	12	-
Net sale of (investment in) other shares	(29)	(60)
Net change in other investments	(111)	45
Net cash flow from investing activities	(183)	(3,110)
Net cash flow from financing activities	(164)	2,155
Effects of exchange rate changes on cash and cash equivalents	(2)	2
Net increase (decrease) in cash and cash equivalents	(29)	(275)

Q2 cash flow Schibsted Group

Cash flow	Second quarter
(NOK million)	2020	2021
Profit (loss) before taxes from continuing operations	239	362
Profit (loss) before taxes from discontinued operations	61	205
Depreciation, amortisation and impairment losses	374	326
Net effect pension liabilities	4	(24)
Share of loss (profit) of joint ventures and associates, net of dividends received	(18)	24
Taxes paid	(174)	(198)
Sales losses (gains) non-current assets and other non-cash losses (gains)	(58)	(31)
Non-cash items and change in working capital and provisions	39	(61)
Net cash flow from operating activities	467	602
Net cash flow from investing activities	(342)	(4,510)
Net cash flow from financing activities	2,322	2,034
Effects of exchange rate changes on cash and cash equivalents	(142)	31
Net increase (decrease) in cash and cash equivalents	2,305	(1,842)
Cash and cash equivalents at start of period	3,977	2,569
Cash and cash equivalents at end of period	6,282	727

Continuing operations

Income taxes

The relationship between tax (expense) income and accounting profit (loss) before taxes is as follows:

Income tax	Second quarter
(NOK million)	2020	2021
Profit (loss) before taxes	239	362
Tax (expense) income based on weighted average tax rates*	(53)	(79)
Prior period adjustments	-	2
Tax effect of share of profit (loss) from joint ventures and associates	(1)	(5)
Tax effect of impairment loss on goodwill, joint ventures and associates	(2)	(19)
Tax effect of other permanent differences	10	50
Current period unrecognised deferred tax assets	(11)	(7)
Re-assessment of previously unrecognised deferred tax assets	320	-
Tax (expense) income recognised in profit or loss	264	(57)
* Weighted average tax rates	22.1%	21.8%

Shareholders analysis

Rank	Name	A-shares	B-Shares	Total	% of S/O
1	Blommenholm Industrier AS	28,541,262	30,013,354	58,554,616	25.0%
2	Folketrygdfondet	9,101,454	10,778,564	19,880,018	8.5%
3	Baillie Gifford & Co.	7,324,634	8,351,447	15,676,081	6.7%
4	Fidelity Management & Research Company LLC	8,822,440	3,901,155	12,723,595	5.4%
5	Adelphi Capital LLP	2,489,793	4,452,499	6,942,292	3.0%
6	The Vanguard Group, Inc.	3,119,965	2,915,499	6,035,464	2.6%
7	Pelham Capital Ltd	0	5,235,434	5,235,434	2.2%
8	Alecta pensionsförsäkring, ömsesidigt	0	5,193,000	5,193,000	2.2%
9	NYA WERMLANDS-TIDNINGENS AB	2,592,000	2,592,000	5,184,000	2.2%
10	BlackRock Institutional Trust Company, N.A.	2,075,114	2,737,528	4,812,642	2.1%
11	DNB Asset Management AS	1,233,211	3,074,649	4,307,860	1.8%
12	UBS AG London	1,110,639	2,619,399	3,730,038	1.6%
13	Storebrand Kapitalforvaltning AS	1,436,916	1,887,672	3,324,588	1.4%
14	KLP Forsikring	446,462	2,755,336	3,201,798	1.4%
15	Mitsubishi UFJ Trust and Banking Corporation	1,393,680	1,136,919	2,530,599	1.1%
16	Marathon Asset Management LLP	1,559,132	906,829	2,465,961	1.1%
17	Fidelity Institutional Asset Management	1,771,090	631,273	2,402,363	1.0%
18	Alfred Berg Kapitalforvaltning AS	714,917	1,550,234	2,265,151	1.0%
19	Premier Miton Investors	1,965,998	0	1,965,998	0.8%
20	Handelsbanken Asset Management	395,620	1,561,072	1,956,692	0.8%

The shareholder ID data is provided by Nasdaq OMX. The data is 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 Schibsted share register. Whilst every reasonable effort is made to verify all data, neither Nasdaq OMX nor Schibsted can guarantee the accuracy of the analysis.

Source: Nasdaq OMX, VPS; Data as of 17 June 2021

Investor contact

Visit Schibsted's website schibsted.com

E-mail: ir@schibsted.com

Jann-Boje Meinecke VP, Head of IR +47 941 00 835 (on paternity leave)

Malin Langtvet IR Officer +47 916 86 710

Schibsted ASA Akersgata 55 / P.O. Box 490 Sentrum NO-0105 Oslo