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TeamViewer AG Investor Presentation 2024
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TeamViewer
Q2/H1 2024 Results
Analyst / Investor Presentation
Important Notice / APMs
This presentation as well as any information communicated in connection therewith (the "Presentation") contains information regarding TeamViewer SE (the "Company") and its subsidiaries (the Company, together with its subsidiaries, "TeamViewer"). It is provided for information purposes only and should not be relied on for any purpose and may not be redistributed, reproduced, published, or passed on to any other person or used in whole or in part for any other purpose.
Certain statements in this presentation may constitute forward looking statements. These statements are based on assumptions that are believed to be reasonable at the time they are made, and are subject to significant risks and uncertainties, including, but not limited to, those risks and uncertainties described in TeamViewer's disclosures. You should not rely on these forward-looking statements as predictions of future events, and TeamViewer's actual results may differ materially and adversely from any forward-looking statements discussed in these statements due to several factors, including without limitation, risks from macroeconomic developments, external fraud, lack of innovation capabilities, inadequate data security and changes in competition levels. TeamViewer undertakes no obligation, and does not expect to publicly update, or publicly revise, any forward-looking statement, whether as a result of new information, future events or otherwise. All subsequent written and oral forward-looking statements attributable to it or to persons acting on its behalf are expressly qualified in their entirety by the cautionary statements referred to above and contained elsewhere in this Presentation.
All stated figures are unaudited.
Percentage change data and totals presented in tables throughout this presentation are generally calculated on unrounded numbers. Therefore, numbers in tables may not add up precisely to the totals indicated and percentage change data may not precisely reflect the change data of the rounded figures for the same reason.
This document contains alternative performance measures (APM) that are not defined under IFRS. The APMs (non-IFRS) can be reconciled to the key performance indicators included in the IFRS consolidated financial statements and should not be viewed in isolation, but only as supplementary information for assessing the operating performance. TeamViewer believes that these APMs provide an additional, deeper understanding of the Company's performance.
TeamViewer has defined each of the following APMs as follows:
- Adjusted EBITDA (also referred to as Adjusted (Revenue) EBITDA) is defined as operating income (EBIT) according to IFRS, plus depreciation and amortization of tangible and intangible fixed assets (EBITDA), adjusted for certain business transactions (income and expense) defined by the Management Board in agreement with the Supervisory Board. Business transactions to be adjusted relate to share-based compensation schemes and other material special items of the business that are presented separately to show the underlying operating performance of the business.
- Adjusted EBITDA margin (also referred to as Adjusted (Revenue) EBITDA Margin) means Adjusted EBITDA as a percentage of revenue.
- Billings represent the value (net) of goods and services invoiced to customers within a specific period and which constitute a contract as defined by IFRS 15.
- Retained Billings means recurring Billings (renewals, up- \& cross sell) attributable to retained subscribers who were subscribers in the previous twelve-month period.
- New Billings means recurring Billings attributable to new subscribers.
Important Notice / APMs (continued)
- Non-recurring Billings means Billings that do not recur, such as professional services and hardware reselling.
- Net Retention Rate (NRR) means the Retained Billings of the last twelve months (LTM), divided by the total recurring Billings (Retained Billings + New Billings) of the previous twelve-month period (LTM-1). The total recurring Billings of the LTM-1 period are adjusted for Multi Year Deals (MYD).
- Annual Recurring Revenue (ARR) are annualized recurring Billings for all active subscriptions at the reporting date.
- Number of subscribers means the total number of paying subscribers with a valid subscription at the reporting date.
- SMB customers mean customers with ACV across all products and services of less than EUR 10,000 within the last twelve-month period. If the threshold is exceeded, the customer will be reallocated.
- Enterprise customers mean customers with ACV across all products and services of at least EUR 10,000 within the last twelve-month period. Customers who do not reach this threshold will be reallocated.
- Churn (subscribers) is calculated by dividing the number of retained subscribers at the reporting date by the total number of subscribers at the previous year's reporting date.
- Average Selling Price (ASP) is calculated by dividing the total SMB / Enterprise Billings of the last twelve months (LTM) by the total number of SMB / Enterprise subscribers at the reporting date.
- Annual Contract Value (ACV) is used to distinguish different pricing buckets within SMB and Enterprise. The ACV is defined as the annualized value of one SMB / Enterprise contract.
- Net financial liabilities are defined as financial liabilities (without other financial liabilities) less cash and cash equivalents.
- Net leverage ratio means the ratio of net financial liabilities to Adjusted EBITDA of the last twelve-month period.
- Levered Free Cash Flow (FCFE) means net cash from operating activities less capital expenditure for property, plant and equipment and intangible assets (excl. M\&A), payments for the capital element of lease liabilities and interest paid for borrowings and lease liabilities.
- Cash Conversion means the percentage share of Levered Free Cash Flows (FCFE) in relation to the Adjusted EBITDA.
- Adjusted Net Income is the net income adjusted for certain income and expenses. These adjustments are: share-based compensation, amortization related to business combinations, other non-recurring income and expenses and related tax effects.
- Adjusted basic earnings per share is calculated in line with basic earnings per share, whereby Adjusted Net Income is used as the basis for the calculation instead of the net income.
Business Overview
Oliver Steil (CEO)
Strong Q2 2024 results with sustained Enterprise momentum
Highlights
$\theta$
Revenue growth (+9\% cc yoy) with continued growth across all regions
0
AMERICAS won attractive new logos across the board
Delivered on profitability with a strong Adjusted EBITDA margin of $41 \%$
$\Omega$
Further optimized maturity profile through extension of EUR 450m RCF to FY 2029
$\checkmark$
Enterprise double-digit Revenue growth (21\% cc yoy) and strong increase of NRR to $116 \%$
Continued confidence in achieving FY 2024 guidance
Enterprise delivered significant 60\% growth in highest-value range
SMB Billings by ACV Bucket (LTM)
Continued growth across all regions and customer categories
Regional Development
(\% voy)
New Tensor wins with attractive OT use cases
Frontline vision picking successes across industries
Financial Overview
Michael Wilkens (CFO)
Q2 2024: a strong set of results
Topline KPIs Q2 2024
(\% and pp yoy)
| Revenue | $€ 154.1 \mathrm{~m}^{1}$ |
|---|---|
| $+6 \% /+9 \% \mathrm{CC}$ |
| Billings | €158.3m |
|---|---|
| $+5 \% /+5 \% \mathrm{cc}$ |
| ARR (LTM) | €667.0m |
|---|---|
| $+7 \%$ |
| NRR (LTM) | 102\% |
|---|---|
| -7 pp |
Profitability / Cash Q2 2024
(\% and pp yoy)
| Adjusted EBITDA | $€ 67.5 \mathrm{~m}$ |
|---|---|
| +6\% |
| Adjusted EBITDA | $41 \% \%^{2}$ |
|---|---|
| Margin | +0 pp |
| Free Cash Flow (FCFE) |
€60.8m |
|---|---|
| +29\% |
| Adjusted EPS | €0.24 |
|---|---|
[^0]
[^0]: ${ }^{1}$ Corresponds to $€ 164.0 \mathrm{~m}$ Revenue based on average guided FX rates.
${ }^{2}$ Excluding the negative effect from FX headwinds on revenue from 2023 Billings of -1 pp on the margin, Adj. EBITDA margin would have been $42 \%$.
Growth in both Revenue and Adjusted EBITDA, Margin at 41\%
Quarterly Revenue and Growth Rates
Quarterly Billings and Growth Rates
Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024
Adjusted EBITDA and Margin
New Billings Development
$(€ \mathrm{~m})$
1 Corresponds to $€ 164.0 \mathrm{~m}$ Revenue based on average guided FX rates.
1 Corresponds to €164.0m Revenue based on average guided FX rates.
SMB solid, consistently growing subscriber base
Quarterly SMB Revenue and Growth Rates
Quarterly SMB Billings and Growth Rates
SMB ASP $^{1}$
SMB Subscriber Churn²
(\%; LTM)
1Based on reported Billings; subscribers not adjusted.
${ }^{2} 2023$ adjusted for discontinuation of business in Russia and Belarus.
ENT delivered double-digit Revenue growth with continued increase of NRR
Quarterly ENT Revenue and Growth Rates
Quarterly ENT Billings and Growth Rates
$(€ \mathrm{~m} ; \%)$
Quarterly ENT Billings and Growth Rates
Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024
ENT ASP1
(€k, LTM)
Q2 2023
Q4 2023
Q2 2024
Q3 2024
Q4 2023
Q1 2024
Q2 2024
Q3 2023
Q4 2023
Q1 2024
Q2 2024
Q3 2023
Q4 2023
Q1 2024
Q2 2024
(€k, LTM)
1 Based on reported Billings.
${ }^{2}$ The eligible base (LTM-1) includes Billings from MYD only when they are up-for renewal in the respective LTM period.
Continued to deliver on profitability, whilst investing in Enterprise growth
| Cm (all adjusted non-IRRS figures) | Q2 2024 | Q2 2023 | $\Delta \%$ | H1 2024 | H1 2023 | $\Delta \%$ |
|---|---|---|---|---|---|---|
| Revenue | 164.1 | 154.2 | 6\% | 325.8 | 305.5 | 7\% |
| Cost of Goods Sold (COGS) | (13.6) | (10.7) | $27 \%$ | (26.4) | (21.4) | $23 \%$ |
| Gross profit | 150.6 | 143.5 | 5\% | 299.3 | 284.0 | 5\% |
| \% Margin | 91.7\% | 93.1\% | $-1.3 p p$ | 91.9\% | 93.0\% | $-1.1 p p$ |
| Sales | (24.4) | (21.7) | $13 \%$ | (48.3) | (43.4) | $11 \%$ |
| \% of Revenue | $-14.9 \%$ | $-14.1 \%$ | $-14.8 \%$ | $-14.2 \%$ | ||
| Marketing | (33.5) | (34.1) | $-2 \%$ | (67.6) | (65.9) | $3 \%$ |
| \% of Revenue | $-20.4 \%$ | $-22.1 \%$ | $-20.8 \%$ | $-21.6 \%$ | ||
| R\&D | (15.9) | (15.8) | $1 \%$ | (32.0) | (30.8) | $4 \%$ |
| \% of Revenue | $-9.7 \%$ | $-10.2 \%$ | $-9.8 \%$ | $-10.1 \%$ | ||
| G\&A | (8.4) | (8.4) | $1 \%$ | (16.4) | (16.4) | $0 \%$ |
| \% of Revenue | $-5.1 \%$ | $-5.4 \%$ | $-5.0 \%$ | $-5.4 \%$ | ||
| Other ${ }^{1}$ | (0.9) | 0.2 | n/a | (2.3) | 0.3 | n/a |
| \% of Revenue | $-0.5 \%$ | $0.1 \%$ | $-0.7 \%$ | $0.1 \%$ | ||
| Total Opex | (83.1) | (79.7) | $4 \%$ | (166.7) | (156.2) | $7 \%$ |
| \% of Revenue | $-50.6 \%$ | $-51.7 \%$ | $-51.2 \%$ | $-51.1 \%$ | ||
| Total Costs ${ }^{2}$ | (96.6) | (90.4) | 7\% | (193.1) | (177.6) | 9\% |
| Adjusted EBITDA | 67.5 | 63.8 | 6\% | 132.7 | 127.9 | 4\% |
| \% Margin | 41\% | 41\% | $+0 p p$ | 41\% | 42\% | $-1 p p$ |
Q2 2024 Adjusted EBITDA grew in line with Revenue ( $+6 \%$ yoy on a reported basis)
COGS: Invest in customer platform and higher costs related to deployment of Frontline projects
Sales: additional hires in ENT sales teams
R\&D and G\&A: both broadly in line with last year
Other cost: slightly up on a very low base
[^0]
[^0]: ${ }^{1}$ Incl. other income/expenses and bad debt expenses of EUR 2.5 m in Q2 2024 and EUR 1.6 m in Q2 2023 / EUR 5.2 m in 6 M 2024 and EUR 4.0 m in 6 M 2023.
${ }^{2}$ Total Costs are the sum of Cost of Goods Sold (COGS) and (Total Opex).
High-single digit increase of Adj. EPS
| $\Delta \mathrm{m}$ | Q2 2024 | Q2 2023 | $\Delta \%$ | H1 2024 | H1 2023 | $\Delta \%$ |
|---|---|---|---|---|---|---|
| Adjusted EBITDA | 67.5 | 63.8 | 6\% | 132.7 | 127.9 | 4\% |
| Adjustments for non-recurring1 items | (7.2) | (10.3) | $-30 \%$ | (19.4) | (20.4) | $-5 \%$ |
| EBITDA | 60.2 | 53.4 | 13\% | 113.2 | 107.5 | 5\% |
| D\&A | (14.3) | (14.0) | $2 \%$ | (28.6) | (27.7) | $3 \%$ |
| Operating Profit (EBIT) | 45.9 | 39.4 | 17\% | 84.7 | 79.8 | 6\% |
| Financial/FX result | (5.1) | (4.4) | $18 \%$ | (9.8) | (9.0) | $9 \%$ |
| Share of profit/loss of associates | (1.0) | 0.0 | n/a | (2.1) | 0.0 | n/a |
| Profit before Tax | 39.8 | 35.0 | 14\% | 72.7 | 70.7 | 3\% |
| Income taxes | (13.2) | (1.0) | n/a | (23.8) | (13.5) | 76\% |
| Net Income | 26.5 | 34.0 | $-22 \%$ | 48.9 | 57.2 | $-15 \%$ |
| Basic number of shares outstanding² in $m$ | 161.3 | 173.6 | $-7 \%$ | 162.9 | 175.0 | $-7 \%$ |
| EPS (basic) in € | 0.16 | 0.20 | $-16 \%$ | 0.30 | 0.33 | $-8 \%$ |
| Adjusted EPS (basic) in € | 0.24 | 0.22 | 8\% | 0.46 | 0.44 | 6\% |
[^0]
Net income decreased due to:
- Higher income taxes in Q2 2024 vs. last year due to higher Profit before Tax and a positive $€ 8 \mathrm{~m}$ tax one-off from a change in tax scheme in Q2 2023.
- Partially offset by lower non-recurring costs related to lower charges from management bonus and RSU program
- Increase of Adjusted EPS supported by lower shares outstanding due to share buybacks
[^0]: ${ }^{1}$ IFRS 2 and other items.
${ }^{2}$ Period average, without treasury shares.
Very strong cash conversion of 90\% in Q2 2024
| Cm | Q2 2024 | Q2 2023 | $\Delta \%$ | H1 2024 | H1 2023 | $\Delta \%$ |
|---|---|---|---|---|---|---|
| Pre-tax net cash from operating activities (IFRS) | 84.1 | 62.5 | $35 \%$ | 145.5 | 129.3 | $13 \%$ |
| Capital expenditure (excl. M\&A) | (1.1) | (1.8) | $-37 \%$ | (3.0) | (2.9) | $4 \%$ |
| Lease payments | (4.0) | (1.5) | $161 \%$ | (5.3) | (2.9) | $85 \%$ |
| Pre-tax Unlevered Free Cash Flow (pre-tax UFCF) | 79.0 | 59.2 | $33 \%$ | 137.2 | 123.5 | $11 \%$ |
| Cash Conversion (pre-tax UFCF/Adjusted EBITDA) | $117 \%$ | $93 \%$ | $103 \%$ | $97 \%$ | ||
| Interest paid for borrowings and lease liabilities | (3.7) | (1.9) | $90 \%$ | (9.4) | (7.1) | $34 \%$ |
| Pre-tax Levered Free Cash Flow (pre-tax FCFE) | 75.3 | 57.3 | $32 \%$ | 127.8 | 116.5 | $10 \%$ |
| Cash Conversion (pre-tax FCFE/Adjusted EBITDA) | $112 \%$ | $90 \%$ | $96 \%$ | $91 \%$ | ||
| Income tax paid | (14.5) | (9.9) | $46 \%$ | (26.4) | (17.8) | $49 \%$ |
| Levered Free Cash Flow (FCFE) | 60.8 | 47.3 | $29 \%$ | 101.4 | 98.7 | $3 \%$ |
| Cash Conversion (FCFE/Adjusted EBITDA) | $90 \%$ | $74 \%$ | $76 \%$ | $77 \%$ |
Higher cash flow from operating activities reflecting revised scope of Manchester United partnership.
Higher interest paid partially driven by one-off costs for issuance of new debt and increased interest rates.
Income tax increased mainly due to one-off in Q2 2023 from $€ 3 \mathrm{~m}$ tax repayment.
Improved leverage and debt maturity profile
1 Net cash from operating activities (after tax).
${ }^{2}$ Mainly consists of payments capital element of lease liabilities, payments for financial assets and FX effects.
Share Buybacks
- As part of the ongoing $€ 150 \mathrm{~m}$ Share Buyback program 2023/2024, shares equivalent to a total amount of $€ 26.6 \mathrm{~m}$ were bought back in Q2 2024
Debt maturity profile (as of 30 June 2024)
- €100m syndicated loan refinanced through new promissory note that was issued in Q2 2024
- In July 2024, successfully extended the maturity of 2022 Syndicated Revolving Credit Facility of $€ 450 \mathrm{~m}^{6}$ in full by further two years, from 2027 to 2029
$(\mathrm{€m})$
${ }^{3}$ Including lease liabilities.
${ }^{4}$ Calculated on Adj. (Revenue) EBITDA LTM of $€ 265.3 \mathrm{~m}$.
${ }^{5}$ Calculated on Adj. (Billings) EBITDA LTM of $€ 301.8 \mathrm{~m}$.
FY 2024 guidance reiterated
Revenue (IFRS)
Adjusted EBITDA Margin
EUR 660m to 685m ${ }^{1}$ (corresponds to ca. $+7-11 \%$ cc yoy ${ }^{2}$ )
at least $43 \%$
- FY 2024 guidance reiterated
- Topline expectations reflect continued high levels of customer demand despite a challenging macro; additional FX headwinds in reported Revenue from 2023 Billings
- Margin improvement in H2 2024 on the back of $€ 17.5$ Adjusted EBITDA effect from the revised scope of the Manchester United partnership, partially offset by 2pp FX headwinds
- Margin phasing with an investment focus during H1 followed by strong margins in H2 due to partial reinvest of Manchester United savings already in H1
[^0]
[^0]: ${ }^{1}$ Based on the average FX rates of 2023.
${ }^{2}$ Revenue growth rate in constant currency (cc) eliminates foreign currency effects related to Last Twelve Months Billings.
Q\&A
Appendix
Overview sales KPIs
| Q2'24 | Q1'24 | Q4'23 | Q3'23 | Q2'23 | Q1'23 | Q4'22 | Q3'22 | Q2'22 | |
|---|---|---|---|---|---|---|---|---|---|
| SMB | |||||||||
| Billings p.q. in $€ \mathrm{~m}$ | 121.3 | 141.8 | 148.6 | 122.8 | 121.9 | 142.8 | 147.3 | 117.9 | 109.3 |
| Billings LTM in $€ \mathrm{~m}$ | 534.5 | 535.0 | 536.0 | 534.7 | 529.9 | 517.3 | 502.8 | 479.8 | 469.5 |
| Number of subscribers ${ }^{1}$ | 637,571 | 635,962 | 627,362 | 622,188 | 629,302 | 627,436 | 622,410 | 615,650 | 615,531 |
| ASP (LTM) in $€$ | 838 | 841 | 852 | 857 | 840 | 822 | 804 | 773 | 753 |
| Enterprise | |||||||||
| Billings p.q. in $€ \mathrm{~m}$ | 37.0 | 32.7 | 52.2 | 27.1 | 28.7 | 34.0 | 43.3 | 26.7 | 26.9 |
| Billings LTM in $€ \mathrm{~m}$ | 149.0 | 140.7 | 141.9 | 133.0 | 132.6 | 130.8 | 132.0 | 118.1 | 109.5 |
| Number of subscribers | 4,342 | 4,199 | 4,164 | 4,034 | 3,956 | 3,777 | 3,666 | 3,296 | 3,062 |
| ASP (LTM) in $€$ | 34,309 | 33,509 | 34,089 | 32,971 | 33,517 | 34,619 | 36,000 | 35,826 | 35,775 |
| Total | |||||||||
| Billings p.q. in $€ \mathrm{~m}$ | 158.3 | 174.5 | 200.8 | 149.8 | 150.6 | 176.8 | 190.6 | 144.6 | 136.1 |
| - Retained p.q. in $€ \mathrm{~m}$ | 139.2 | 155.2 | 179.6 | 135.4 | 135.9 | 161.4 | 174.8 | 129.4 | 118.1 |
| - New p.q. in $€ \mathrm{~m}$ | 17.5 | 18.5 | 19.4 | 14.2 | 13.9 | 14.7 | 14.3 | 14.9 | 17.0 |
| - Non-subscribers p.q. in $€ \mathrm{~m}$ | 1.6 | 0.9 | 1.8 | 0.3 | 0.8 | 0.6 | 1.5 | 0.3 | 1.1 |
| MYD with full upfront payment p.q. in $€ \mathrm{~m}$ | 17.4 | 9.4 | 20.9 | 15.9 | 14.7 | 16.2 | 20.9 | 10.9 | 7.0 |
| Billings LTM in $€ \mathrm{~m}$ | 683.5 | 675.7 | 678.0 | 667.7 | 662.5 | 648.1 | 634.8 | 597.9 | 579.1 |
| ARR in $€ \mathrm{~m}$ | 667.0 | 656.9 | 649.5 | 632.5 | 626.2 | 613.6 | 602.5 | 574.1 | 555.1 |
| Number of subscribers ${ }^{1}$ | 641,913 | 640,161 | 631,526 | 626,222 | 633,258 | 631,213 | 626,076 | 618,946 | 618,593 |
[^0]
[^0]: ${ }^{1}$ 2022-2023 adjusted for discontinuation of business in Russia and Belarus.
Q2 2024: Reconciliation management metrics to IFRS
| Cm | Management view adjusted P\&L ${ }^{1}$ | Change in deferred revenue ${ }^{2}$ | Management view Revenue adj. P\&L | D\&A | Other non-IFRS adjustments | Accounting view IFRS P\&L |
|---|---|---|---|---|---|---|
| Billings / Revenue | 158.3 | 5.8 | 164.1 | 164.1 | ||
| Cost of Goods Sold (COGS) | (13.6) | (13.6) | (9.4) | (0.4) | (23.4) | |
| Gross profit contribution | 144.7 | 150.6 | 140.7 | |||
| \% of Billings / Revenue | 91.4\% | 91.7\% | 85.7\% | |||
| Sales | (24.4) | (24.4) | (1.7) | (1.6) | (27.8) | |
| Marketing | (33.5) | (33.5) | (0.8) | (0.1) | (34.4) | |
| R\&D | (15.9) | (15.9) | (1.8) | (1.3) | (18.9) | |
| G\&A | (8.4) | (8.4) | (0.6) | (1.0) | (10.0) | |
| Other ${ }^{3}$ | (0.9) | (0.9) | 0.0 | (2.7) | (3.6) | |
| Adj. EBITDA | 61.6 | 67.5 | ||||
| \% of Billings / Revenue | 38.9\% | 41.1\% | ||||
| D\&A (ordinary only) ${ }^{4}$ | (6.9) | (6.9) | ||||
| Adj. EBIT / Operating profit (EBIT) | 54.8 | 5.8 | 60.6 | $-7.4^{6}$ | (7.2) | 45.9 |
| \% of Billings / Revenue | 34.6\% | 36.9\% | 28.0\% | |||
| D\&A (total) ${ }^{4+5}$ | 14.3 | |||||
| EBITDA | 60.2 | |||||
| \% of Billings / Revenue | 36.7\% |
[^0]
[^0]: ${ }^{1}$ Margins and percentages of billings in adjusted view and IFRS revenue.
${ }^{2}$ Included change in undue billings.
${ }^{3}$ Incl. other income/expenses and bad debt expenses of $€ 2.5 \mathrm{~m}$.
${ }^{4}$ D\&A excl. amortization intangible assets from PPA.
${ }^{5}$ Amortization intangible assets from PPA.
H1 2024: Reconciliation management metrics to IFRS
| Cm | Management view adjusted P\&L ${ }^{1}$ | Change in deferred revenue ${ }^{2}$ | Management view Revenue adj. P\&L | D\&A | Other non-IFRS adjustments | Accounting view IFRS P\&L |
|---|---|---|---|---|---|---|
| Billings / Revenue | 332.8 | (7.0) | 325.8 | 325.8 | ||
| Cost of Goods Sold (COGS) | (26.4) | (26.4) | (18.1) | (0.9) | (45.5) | |
| Gross profit contribution | 306.4 | 299.3 | 280.3 | |||
| \% of Billings / Revenue | 92.1\% | 91.9\% | 86.0\% | |||
| Sales | (48.3) | (48.3) | (3.7) | (4.0) | (56.0) | |
| Marketing | (67.6) | (67.6) | (1.6) | (0.7) | (69.9) | |
| R\&D | (32.0) | (32.0) | (3.8) | (2.9) | (38.7) | |
| G\&A | (16.4) | (16.4) | (1.3) | (3.6) | (21.3) | |
| Other ${ }^{3}$ | (2.3) | (2.3) | 0.0 | (7.4) | (9.7) | |
| Adj. EBITDA | 139.7 | 132.7 | ||||
| \% of Billings / Revenue | 42.0\% | 40.7\% | ||||
| D\&A (ordinary only) ${ }^{4}$ | (13.7) | (13.7) | ||||
| Adj. EBIT / Operating profit (EBIT) | 126.0 | (7.0) | 119.0 | $-14.9^{5}$ | (19.4) | 84.7 |
| \% of Billings / Revenue | 37.9\% | 36.5\% | 26.0\% | |||
| D\&A (total) ${ }^{4+5}$ | 28.6 | |||||
| EBITDA | 113.2 | |||||
| \% of Billings / Revenue | 34.8\% |
[^0]
[^0]: ${ }^{1}$ Margins and percentages of billings in adjusted view and IFRS revenue.
${ }^{2}$ Included change in undue billings.
${ }^{3}$ Incl. other income/expenses and bad debt expenses of $€ 5.2 \mathrm{~m}$.
${ }^{4}$ D\&A excl. amortization intangible assets from PPA.
${ }^{5}$ Amortization intangible assets from PPA.
Non-IFRS adjustments in EBITDA
| $\mathbf{C m}$ | Q2 2024 | Q2 2023 | H1 2024 | H1 2023 |
|---|---|---|---|---|
| Total IFRS 2 charges | $(3.5)$ | $(7.4)$ | $(10.0)$ | $(16.6)$ |
| TeamViewer LTIP | 1.4 | $(0.1)$ | 1.1 | $(0.7)$ |
| RSU/PSU1 | $(3.1)$ | $(3.8)$ | $(7.5)$ | $(7.6)$ |
| M\&A related share-based compensation | 0.0 | $(1.3)$ | 0.0 | $(2.6)$ |
| Share-based compensation by TLO2 | $(1.8)$ | $(2.1)$ | $(3.5)$ | $(5.7)$ |
| Other material items | $(1.2)$ | $(1.3)$ | $(2.2)$ | $(2.8)$ |
| Financing, M\&A, transaction-related | 0.1 | $(0.2)$ | 0.1 | $(0.2)$ |
| ReMax | 0.0 | 0.0 | 0.0 | $(0.1)$ |
| Other | $(1.3)$ | $(1.0)$ | $(2.3)$ | $(2.5)$ |
| Valuation effects | $(2.6)$ | $(1.7)$ | $(7.2)$ | $(0.9)$ |
| Total | $(7.2)$ | $(10.3)$ | $(19.4)$ | $(20.4)$ |
IFRS 2 charges decreased due to:
- Expired M\&A-related vesting
- Lower costs related to the employee share program Negative Valuation effects due to fair valuation changes related to FX hedges (future periods in non-recurring items)
[^0]
[^0]: ${ }^{1}$ Refers to the Restricted Stock Unit Plan (RSU) und Phantom Stock Unit Plan (PSU) introduced by TeamViewer in 2022.
${ }^{2}$ Pre-IPO management incentive program provided by Tiger LuxOne S.à r.l.
Financial Statements
Profit \& Loss Statement
| C thousand | Q2 2024 | Q2 2023 | A\% | H1 2024 | H1 2023 | A\% |
|---|---|---|---|---|---|---|
| Revenue | 164,116 | 154,152 | 6\% | 325,770 | 305,462 | 7\% |
| Cost of Goods Sold (COGS) | (23,410) | (19,343) | $21 \%$ | (45,498) | (38,829) | $17 \%$ |
| Gross profit | 140,705 | 134,809 | 4\% | 280,272 | 266,632 | 5\% |
| Research and development | (18,948) | (19,905) | $-5 \%$ | (38,690) | (38,805) | $0 \%$ |
| Marketing | (34,407) | (35,240) | $-2 \%$ | (69,912) | (68,324) | $2 \%$ |
| Sales | (27,776) | (26,775) | $4 \%$ | (56,035) | (54,664) | $3 \%$ |
| General and administrative | (10,048) | (11,624) | $-14 \%$ | (21,285) | (24,051) | $-12 \%$ |
| Bad debt expenses | (2,501) | (1,596) | $57 \%$ | (5,199) | (3,951) | $32 \%$ |
| Other income | 736 | 443 | $66 \%$ | 1,121 | 3,846 | $-71 \%$ |
| Other expenses | (1,829) | (747) | $145 \%$ | (5,608) | (924) | n/a |
| Operating profit | 45,933 | 39,366 | 17\% | 84,664 | 79,759 | 6\% |
| Finance income | 422 | 589 | $-28 \%$ | 597 | 1,244 | $-52 \%$ |
| Finance costs | (4,773) | (4,291) | $11 \%$ | (9,186) | (8,669) | $6 \%$ |
| Share of profit/(loss) of associates | (987) | 0 | n/a | (2,095) | 0 | n/a |
| Foreign currency result | (799) | (668) | $20 \%$ | (1,257) | (1,610) | $-22 \%$ |
| Profit before tax | 39,796 | 34,996 | 14\% | 72,723 | 70,725 | 3\% |
| Income taxes | (13,248) | (950) | n/a | (23,835) | (13,530) | $76 \%$ |
| Net income | 26,548 | 34,046 | $-22 \%$ | 48,888 | 57,195 | $-15 \%$ |
| Basic number of shares issued and outstanding | 161,287,689 | 173,605,406 | 162,878,461 | 175,018,768 | ||
| Earnings per share (in € per share) | 0.16 | 0.20 | $-16 \%$ | 0.30 | 0.33 | $-8 \%$ |
| Diluted number of shares issued and outstanding | 162,253,120 | 174,376,404 | 164,047,119 | 175,800,283 | ||
| Diluted earnings per share (in € per share) | 0.16 | 0.20 | $-16 \%$ | 0.30 | 0.33 | $-8 \%$ |
Balance Sheet - Assets
| C thousand | 30 June 2024 | 31 December 2023 |
|---|---|---|
| Non-current assets | ||
| Goodwill | 667,943 | 667,662 |
| Intangible assets | 157,016 | 175,736 |
| Property, plant and equipment | 46,306 | 43,261 |
| Financial assets | 7,697 | 11,866 |
| Investments in associates ${ }^{1}$ | 17,574 | 15,414 |
| Other assets | 20,972 | 19,530 |
| Deferred tax assets | 23,826 | 18,596 |
| Total non-current assets | 941,334 | 952,065 |
| Current assets | ||
| Trade receivables | 15,912 | 21,966 |
| Other assets | 39,267 | 52,366 |
| Tax assets | 5,088 | 2,892 |
| Financial assets | 4,930 | 9,423 |
| Cash and cash equivalents | 45,892 | 72,822 |
| Total current assets | 111,088 | 159,468 |
| Total assets | 1,052,423 | 1,111,533 |
[^0]
[^0]: ${ }^{1}$ Previously shown under financial assets.
Balance Sheet - Liabilities
| Cthousand | 30 June 2024 | 31 December 2023 |
|---|---|---|
| Equity | ||
| Issued capital | 174,000 | 174,000 |
| Capital reserve | 108,936 | 105,234 |
| Accumulated losses | $(46,300)$ | $(95,188)$ |
| Hedge reserve | 798 | 929 |
| Foreign currency translation reserve | 3,092 | 1,614 |
| Treasury share reserve | $(189,163)$ | $(102,929)$ |
| Total equity attributable to shareholders of TeamViewer SE | 51,365 | 83,660 |
| Non-current liabilities | ||
| Provisions | 473 | 389 |
| Financial liabilities | 332,115 | 432,149 |
| Deferred revenue | 42,031 | 41,367 |
| Deferred and other liabilities | 1,372 | 2,486 |
| Other financial liabilities | 0 | 13 |
| Deferred tax liabilities | 43,551 | 39,693 |
| Total non-current liabilities | 419,541 | 516,098 |
| Current liabilities | ||
| Provisions | 9,718 | 9,503 |
| Financial liabilities | 171,384 | 97,274 |
| Trade payables | 9,559 | 8,016 |
| Deferred revenue | 330,807 | 314,797 |
| Deferred and other liabilities | 52,132 | 73,067 |
| Other financial liabilities | 5,981 | 8,125 |
| Tax liabilities | 1,935 | 993 |
| Total current liabilities | 581,517 | 511,775 |
| Total liabilities | 1,001,058 | 1,027,873 |
| Total equity and liabilities | 1,052,423 | 1,111,533 |
Cash Flow Statement
| C thousand | Q2 2024 | Q2 2023 | $\Delta \%$ | H3 2024 | H3 2023 | $\Delta \%$ |
|---|---|---|---|---|---|---|
| Profit before tax | 39,796 | 34,996 | $14 \%$ | 72,723 | 70,725 | $3 \%$ |
| Depreciation, amortization and impairment of non-current assets | 14,315 | 14,045 | $2 \%$ | 28,583 | 27,744 | $3 \%$ |
| Increase/(decrease) in provisions | (42) | 61 | $-169 \%$ | 299 | 23 | n/a |
| Non-operational foreign exchange (gains)/losses | (133) | 94 | $-242 \%$ | (128) | 250 | $-151 \%$ |
| Expenses for equity settled share-based compensation | 4,827 | 6,873 | $-30 \%$ | 10,613 | 15,399 | $-31 \%$ |
| Net financial costs | 5,338 | 3,702 | $44 \%$ | 10,684 | 7,425 | $44 \%$ |
| Change in deferred revenue | (338) | 7,821 | $-104 \%$ | 16,674 | 31,081 | $-46 \%$ |
| Changes in other net working capital and other | 20,314 | (5,120) | n/a | 6,082 | (23,341) | $-126 \%$ |
| Income taxes paid | (14,484) | (9,921) | $46 \%$ | (26,407) | (17,777) | $49 \%$ |
| Cash flows from operating activities | 69,591 | 52,551 | $32 \%$ | 119,124 | 111,529 | 7\% |
| Payments for tangible and intangible assets | (1,103) | (1,760) | $-37 \%$ | (2,975) | (2,868) | $4 \%$ |
| Payments for financial assets | (4,047) | (2,038) | $99 \%$ | (4,047) | (2,038) | $99 \%$ |
| Payments for acquisitions | 0 | 0 | n/a | 0 | (7,823) | $-100 \%$ |
| Cash flows from investing activities | (5,150) | (3,798) | $36 \%$ | (7,022) | (12,729) | $-45 \%$ |
Cash Flow Statement (continued)
| C thousand | Q2 2024 | Q2 2023 | $\Delta \%$ | H1 2024 | H1 2023 | $\Delta \%$ |
|---|---|---|---|---|---|---|
| Repayments of borrowings | $(120,000)$ | 0 | n/a | $(220,000)$ | $(100,000)$ | $120 \%$ |
| Proceeds from borrowings | 100,000 | 0 | n/a | 190,000 | 0 | n/a |
| Payments for the capital element of lease liabilities | $(3,984)$ | $(1,524)$ | $161 \%$ | $(5,345)$ | $(2,892)$ | $85 \%$ |
| Interest paid for borrowings and lease liabilities | $(3,662)$ | $(1,924)$ | $90 \%$ | $(9,433)$ | $(7,060)$ | $34 \%$ |
| Purchase of treasury shares | $(26,609)$ | $(51,853)$ | $-49 \%$ | $(94,307)$ | $(77,437)$ | $22 \%$ |
| Cash flows from financing activities | $(54,255)$ | $(55,301)$ | $-2 \%$ | $(139,084)$ | $(187,390)$ | $-26 \%$ |
| Net change in cash and cash equivalents | 10,186 | $(6,549)$ | $-256 \%$ | $(26,983)$ | $(88,590)$ | $-70 \%$ |
| Net foreign exchange rate difference | $(81)$ | $(196)$ | $-59 \%$ | 53 | $(516)$ | $-110 \%$ |
| Net change from cash risk provisioning | 0 | 0 | n/a | 0 | 0 | n/a |
| Cash and cash equivalents at beginning of period | 35,787 | 78,637 | $-54 \%$ | 72,822 | 160,997 | $-55 \%$ |
| Cash and cash equivalents at end of period | 45,892 | 71,892 | $-36 \%$ | 45,892 | 71,892 | $-36 \%$ |
TeamViewer
