ENIRO Q1 REPORT

2013-04-25

Johan Lindgren, CEO

Mattias Lundqvist, CFO

Cecilia Lannebo, Head of IR

CEO INTRODUCTION & SUMMARY

2

Refinance done with all six banks in consortium - long-term financing in

place, positive for shareholders and Eniro

Increased operational flexibility

More flexible amortization plan

Deliver on EBITDA, cost savings, cash flow and net profit

Online/mobile is doubling pace of growth

A digital media company with 79 percent of ad revenues being digital

the transformation is done

long-tail Print and Voice

Focus 2013 on:

Further increase user attractiveness, traffic and online offering

EBITDA

De-leverage

A STRONG FIRST QUARTER; IMPROVEMENTS ON

MOST PARAMETERS

3

13

-39

156

8889

170

886

959

Revenues

+14

-73

Net Debt

2,539

3,515

Operating

Cash Flow

Net Profit

EBITDA

+75 +128

-976

Q1 2013

Q1 2012

• Currency SEK 14 M

• Divestures/moved publications SEK 8 M

• Gule Sider in Norway SEK 33 M

= total of SEK 55 M

PROS AND CONS IN THE Q1 REPORT

Pros Cons

Refinancing in place with all six banks Top-line development

EBITDA increasing

Online/mobile increasing

Continued cost saving

Net profit increased substantially

Cash flow improving

Net debt continued to be lowered

4

DEVELOPMENT NET DEBT/EBITDA

5

SEK M X

0

1

2

3

4

5

0

2 000

4 000

6 000

8 000

10 000

2006 2007 2008 2009 2010 2011 12 Q1 12 Q2 12 Q3 12 Q4 13 Q1

Net Debt EBITDA 12 months Net Debt/EBITDA

REFINANCING

6

Refinance done with all six banks in consortium (Danske Bank, DNB,

Handelsbanken, Nordea, SEB and Swedbank) - long-term financing in

place, positive for shareholders and Eniro

SEK 3 billion in loan agreement is for three years with a extension to four

years, on the condition that Eniro replaces SEK 800 M of bank loan with a

corporate bond

Increased operational flexibility

More flexible amortization plan

Opportunity for future dividends

Interest rates in line with previous agreement

7

FINANCIAL HIGHLIGHTS, Q1 2013

Revenues SEK 886 M (959), a decline of 8% (-1). Negative currency effects,

divestments and discontinued publication of printed products in Norway accounts

for 5 percent. Organically revenues declined by 7 percent (-8).

Online/mobile organic revenues increased 4% (2)

Cost reductions in Q1 SEK 86 M

EBITDA SEK 170 M (156), EBITDA margin of 19,2% (16,3)

Adjusted EBITDA SEK 183 M (160)

• Restructuring costs SEK 13 M from reorganization of support functions

Net profit increases to SEK 89 M (-39)

Operating cash flow SEK 88 M (13)

Interest bearing net debt SEK 2,539 M (3,515), (Q4 2,704)

Net debt/EBITDA 2.5 (3.2) (Q4 2.8)

Q1 DIVESTURES AND ACQUISITIONS

8

Merger agreement with Norwegian low-price Voice competitor 1888.

60 percent owned by Eniro and 40 percent by Marell Invest AS and TV2

AS

est. to increase revenues by some SEK 50 M and EBITDA of

some SEK 20 M (full year effect) (SEK 10 M in revenues in Q1)

Divesture of Start.no, part of SOL which Eniro owns jointly 50% with DB

Medialab AS (Dagbladet)

no effect on cash flow or balance sheet, low impact on future

revenues and EBITDA

• Consolidating part of the Norwegian Voice market

• Leaner and more focused Eniro operation

• Expanding into social ad market

Acquiring Bloggerfy, one of the largest network for bloggers in the Nordics,

for SEK 0,5M and thereby gets a strong position within social ad market

RESTRUCTURING FOR FUTURE

9

Restructuring costs of SEK 13 M in Q1

• Majority from reorganizations done within HR, Communication & Brand

and Finance support functions

• Recruitment function outsourced to Proffice

Reorganizations done to support a leaner and

more efficient organization 2013

Creates room for further cost savings already in 2013

PRODUCT DEVELOPMENT IN Q1

10

January 2013 – Integration of Swedish Hemnet into Eniro’s iPad service

January 2013 – A new sales concept for print being launched

January 2013 – Use your local Eniro services in the other Nordic countries

March 2013 – Integration of public transportations in the Norwegian local search function

April 2013 – New product launch – Eniro is offering its customer Facebook homepage

2013 FOCUS ON STRENGTHENING ONLINE OFFERING

11

Future product development done with the business model as

backbone and focus on:

User experience

Quality

Service offering

Harmonized and modern “same look and feel” on

all platforms

Product development to fit current search

behavior were searches are done with a

multi-channel approach

MOBILE – FASTEST GROWING SEARCH SEGMENT

12

Eniro strong market position within mobile advertising

25 percent of searches via mobile devices – selling on par with traffic

Mobile revenues increasing by 96 percent in Q1

Mobile revenues to double 2013 to some SEK 300 M

POSITIONED TOWARDS GROWING

MEDIA SEGMENTS

13 Note: Estimated growth from IRM

579

347 Printed catalogue

Mobile

Online catalogue

2.291

Banners 2.275

Search words 3.482

Development, estimate 2013

(Percentage growth compared with 2012)

Swedish media market value, estimate 2013

(SEK M)

-30%

+52%

+2%

+2%

+20%

Total value: ~SEK 9Bn Total growth: 9%

Estimated growth for Eniro’s markets for equivalents media segments 6-10 percent 2013

TRAFFIC DEVELOPMENT

14

Eniro.se

Panoramafirm.pl Krak.dk

Company searches, monthly average

Gulesider.no

2 000 000

6 000 000

10 000 000

14 000 000Jan

Feb

Ma

r

Ap

r

Ma

y

Ju

n

Ju

l

Au

g

Se

p

Oc

t

No

v

De

c

2013 2012 2011

4 000 000

6 000 000

8 000 000

10 000 000

12 000 000

14 000 000

Ja

n

Feb

Ma

r

Ap

r

Ma

y

Ju

n

Ju

l

Au

g

Sep

Oc

t

No

v

Dec

2013 2012 2011

2 000 000

4 000 000

6 000 000

8 000 000

10 000 000

Jan

Fe

b

Ma

r

Ap

r M…

Ju

n

Ju

l A…

Se

p

Oc

t N…

De

c

2013 2012 20112 000 000

4 000 000

6 000 000

8 000 000

10 000 000

Jan

Feb

Ma

r

Ap

r

Ma

y

Ju

n

Ju

l

Au

g

Se

p

Oc

t

No

v

De

c

2013 2012 2011

REVENUE BRIDGE Q1 2013

15

Currency

effects

Divested

business

Reported

revenues

2012

Reported Acq. Adj.

revenues Voice Other Media Print Online Organic

baseline

Moved

publications

-3 -6 4 -43 8

Revenue effect from divested operations, currency and moved publications, totaled SEK -22 M

Revenues decreased by 7% organically

Digital revenues 79% of total advertisement incomes

-8%

10

74

10 1

875

959

18 937

2 14

10

886 4

-7%

COST SAVINGS

16

Reported

costs 2013

YTD

Acquired Adj

operating

costs

2013 YTD

Net Savings

Q1

Currency

effect

Divested

Including acquisitions

Note: vs FY 2011 restate

Operating

cost 2012

YTD

Organic

baseline

2012

Total savings in Q1 2013 SEK 85 M

Of which Staff SEK 37 M, Print and Paper SEK 7 M and Outsourced services SEK 8 M

23

9

86

8 9

771

16

718 708

94

786

13 4 803

23

684

-79

85

Cost ex 3rd party

3’rd party cost

REFINANCING, TERMS AND CONDITIONS

17

Loan facility

SEK 3Bn, were of SEK 250 M in RCF. Three years with an extension to four

years, on the condition that Eniro replaces SEK 800 M of bank loan with a

corporate bond

Amortizations

Bank loan expected to decrease with some SEK 375 M during 2013.

Planned amortizations for 2014-2016 approx. SEK 375 M annually

Interest rates

Base rate Stibor plus 375bp (lowered to 300bp at net debt/EBITDA below

2x)

Timing

Loan facility comes into effect end of Q2 2013

CHANGE IN NET DEBT

18

Operating cash flow in Q1 increased with SEK 75 M to SEK 88 M (13)

Adjusted net debt/EBITDA 2.5 (3.2) Q4 2.8

Analysis of interest bearing net debt

- 3 months - - 12 months-

2013 2012 * 2012/13 * 2012*

SEK M Jan-Mar Jan-Mar Apr-Mar Jan-Dec

Opening balance -2 704 -3 535 -3 515 -3 535

Operating cash flow 88 13 374 299

Acquisitions and divestments 41 26 85 70

Share issue - -1 377 376

Translation difference and other changes 36 -18 140 86

Closing balance -2 539 -3 515 -2 539 -2 704

Net debt /adjusted EBITDA, times 2,5 3,2 2,5 2,8

COMMENTS ON FINANCIALS

19

Amortizations

Depreciable intangible assets that arose in connection with the

acquisition of Findexa 2005 was fully amortized by December 2012.

Lowering amortizations 2013 by SEK 283 M 2013 vs. 2012.

In the income statement, this is recognized in marketing cost

(impacting reported Q1 marketing cost with SEK 75 M)

Taxes

Eniro's tax payments are primarily in the first half. Paid tax will thus

be low in the second half of 2013

Working capital

The assessment is that working capital will continue to be slightly

negative for 2013

20

OUTLOOK & FOCUS FOR 2013

BOTTOM-LINE PROFITABILITY AND EBITIDA

To report an EBITDA in line with outcome 2012

To drive net income

CASH-FLOW AND CONTINUED DELEVERAGE

Strong cash-flow generation

Lowered debts

REVENUES

Digital media, 2/3 of operations, to grow

Print and Voice, 1/3 of operations, to decline

ENIRO Q4 REPORT

Appendix

ONLINE/MOBILE

• Total revenues increases +2 percent

• Organic development +4 percent

22

PRINT

23

• Total and organic revenues decreased -43 percent

MEDIA PRODUCTS

24

• Total revenues increased by 6 percent. Organic revenues increased by 8%

• A continued ramp up in growth is expected

VOICE

25

• Total revenues decreased 1 percent. Organic revenues decreased 6 percent

• Q1 EBITDA SEK 57 M (57), an EBITDA margin of 31,5 percent (31,1)

• Merger agreement with 1888 in Norway

REVENUE OVERVIEW

26

Revenues by category2013 2012 * 2012/13 * 2012*

SEK M Jan-Mar Jan-Mar % Apr-Mar Jan-Dec

Total revenues 886 959 -8 3 926 3 999

Directories 705 776 -9 3 159 3 230

Online/mobile 524 513 2 2 135 2 124

Print 98 172 -43 666 740

Media products 57 54 6 237 234

Other products 26 37 -30 121 132

Voice 181 183 -1 767 769

Revenues by country2013 2012 * 2012/13 * 2012

SEK M Jan-Mar Jan-Mar % Apr-Mar Jan-Dec

Total revenues 886 959 -8 3 926 3 999

Sw eden 410 450 -9 1 839 1 879

Norw ay 265 310 -15 1 101 1 146

Denmark 109 104 5 530 525

Finland 53 58 -9 244 249

Poland 49 37 32 212 200

27

EBITDA OVERVIEW

EBITDA by revenue area2013 2012 * 2012/13 * 2012

SEK M Jan-Mar Jan-Mar % Apr-Mar Jan-Dec

Total EBITDA 170 156 9 990 976

Directories 126 126 0 777 777

Voice 57 57 0 279 279

Other -13 -27 -66 -80

Items affecting comparability

Restructuring costs 13 4 57 48

Other items affecting comparability - - -48 -48

Total adjusted EBITDA 183 160 14 999 976

* Restated comparison year in accordance w ith new accounting principle regarding pensions