BUILDING A DIGITAL MEDIA ECOSYSTEM JP Morgan CEO Conference 29th June 2016 | Udo Müller (CEO)

2

Highlights Q1 / Q2 2016

Quarterly revenue increased

to 226 Million Euro

Organic revenue growth of

11.5 %

Operational EBITDA

increased to 45 Million Euro

Successful placement of the

„debenture“

Schuldscheindarlehens

Aspects EURm Q1 2016 ▲

Revenue

reported 226.2 +39.8%

organic +11.5%

Operational EBITDA 45.3 +72.2%

Op. EBITDA Margin 19.7 % +3.8%pts

EBIT (adjusted) 25.9 > 2times

Net income (adjusted) 20.1 > 4times

31 März 2016

Net debt/Leverage Ratio 314,0 / 1.4x

FY 2015: Adjusted Earnings per Share almost tripled since 2013

3

24.0 36.3

56.3

106.2

0.54 €

0.77€

1.10€

2.10€

0,00

0,50

1,00

1,50

2,00

2,50

0

20

40

60

80

100

120

2012 2013 2014 2015

Adjusted Profit or Loss Adjusted Earnings per Share

Strong underlying operational performance

leads to strong bottom line increase

Value accretive acquisitions for

shareholders

Financial expenses significantly reduced

Adjusted Earnings per Share calculated on

the Weighted Average of Shares

outstanding ~ 50m in 2015

Aspects Net Adjusted Income & Adjusted Earnings per Share (2012-15)

EURm

Strong operational performance translates

into strong earnings growth as well as free

cash flow growth

Free cash flow growth which expands

stronger than net adjusted income

Free Cash Flow:

CAGR 2013-15: ~ 80%

Net Income (adjusted):

CAGR 2013 - 15: ~ 71 %

Cash Flow is the central KPI of the

Management Board

FY 2015: Free Cash Flow more than tripled since 2013

4

After 2013 cash conversion rate of above 1.0

0.51

0.98

1.39

1.07

0

20

40

60

80

100

120

140

0

0,2

0,4

0,6

0,8

1

1,2

1,4

1,6

2012 2013 2014 2015

Free Cash Flow NAI Ratio

12.3

35.4

78.2

114.1

EURm

Aspects

Net debt & Leverage

FY 2015: Financial Leverage 2013 to 2015: From 2.8 to 1.1

5

302.1 326.1

275.0 231.0

2.8 2.8

1.9

1.1

0

0,5

1

1,5

2

2,5

3

0

50

100

150

200

250

300

350

2012 2013 2014 2015

Net debt Leverage

EURm

Since 2013 around 228 EURm Free Cash

Flow generation

Net debt decreased by around 95 EURm

since 2013 despite

~ 73 EURm cash-acquistions

~ 24 EURm dividend distribution to

Ströer SE shareholders

End of 2015: With 231 EURm Net Debt and

leverage ratio of 1.1

Aspects

What has changed from analoge to digital Times

6

Innovative intermediate business can be short-term extremely successful; on the long-run, intermediate businesses are not sustainably successful

Companies with vertically integrated value chains push out intermediate business models

Digitisation reduces entry barriers for many business models across value chains in all industries

Ströer‘s Strategic Answer

7

Focussing on integrating platforms public, mobile and home screens to become a real digital multi-channel company

Focus on extending & integrating vertical value chains

No stand alone intermediate business (e.g. stand alone Adtech companies)

Ströer Multi-Channel & Integrated Monetization Ecosystem

8

Ströer Public Media (OoH) Group

Location based Reach

Ströer Content Media Group

Content based Reach (“all digital”)

Platforms

Monetization

content & interactivity

incremental reach & connection to real world

Data &

Tech

Stack

Ströer GroupS

National Media Sales

Ströer SMB Group

Local Media Sales

Ströer Transaction Group

E-Commerce & Subscription

Out of Home

Digitisation of Out of Home is the basis for integrating public, mobile and home screens.

9

10

Yesterday: 100% of Revenues with

traditional, wet glued OoH Products

Today: <10% Revenues with

traditional wet glued OoH products

On-going, Value-creating Transformation

Over 4,000 Video-Displays reaching appr. 30 Mio. People per Month

1st Step to OoH Digitisation: Shopping Malls & Stations

11

Public Video Station

Public Video Mall Infoscreen

Supermotion

2nd Step in OoH Digitisation: Roadside Screens

12

Content

Moving from traditional Broadcasting Portals to fully integrated & interactive Verticals.

13

Source: TrendOne 14

MEDIA

MODUS

INVOLVEMENT

1.0

LEAN BACK

MEDIA

MODUS

INVOLVEMENT

2.0

MOVE FORWARD

MEDIA

MODUS

INVOLVEMENT

3.0

JUMP IN

… TEMPORARY…

MEDIA

MODUS

INVOLVEMENT

4.0

ALWAYS ON

…PERMANENT…

MEDIA

MODUS

INVOLVEMENT

5.0

PLUG IN

…IMPLANTED…

Entertainment Attention

Profiling Interaction

Creation Participation

Web of things „Always on“

Web of thoughts Extensions

Evolution of Media: The Consumer Perspective

Ströer Value Creation Model for Digital Content Assets

15

Traditional

Broadcasting

Portal

Slowly growing

Ad Revenues;

single Revenue

Stream

Integrating

Interactive Services

Ad Revenue

Optimisation

through

No 1 Saleshouse

on national and

local Level

& Big Data

Impact

Boosting Reach through

Social Traffic & Public Video

Reach

, T

raff

ic &

Sti

ckin

ess

Monetization & Revenue Diversification

2

1

3

Subscription Models

4

Niche E-Commerce

5

Segment “Digital”: Overall Structure & Units

16

Public Video

CO

NT

EN

T &

TR

AF

FIC

MA

NA

GE

ME

NT

TR

AN

SA

CT

ION

&

SU

BS

CR

IPT

ION

News &

Services

Tech &

Games

Entertainment Women &

Lifestyle

AD

VE

RT

SIS

ING

SA

LE

S,

PR

OD

UC

T

& D

ATA

MA

NA

GE

ME

NT

National Digital

Sales House

Local Digital

Products &

Services

Tech

Sta

ck &

DM

P

Women & Lifestyle Vertical: Full Value Chain Integration

17

From Traditional Broadcasting

Portals to Interactive Digital

Communities

1

Our Success Model:

Reach & Data out of one Hand

2

Vertical integration alongside the

digital Value Chain

3

Local Markets

Integration of Platforms and Value Chains to massively expand Business with SMBs.

18

360° Integrated Online Marketing Suite for local SMBs

RegioHelden Product Range

19

Directory

Management

& Google My

Business

+SEO /

Display ads + Marketing

Website

+ Google

AdWords

Invest

€ €€€

€ 29/month/POS € 89/month/POS from € 500/month/POS from € 800/month/POS

Topseller: RegioHelden

Marketing System

Broadening Local Digital Product Portfolio: RegioHelden and Omnea

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Visibility

Active management of shop presence in

directories, local portals, apps, maps

and navigation systems

28 781 627 474 354 105 65

2012 2013 2014 2015 2016 2017 2018

Development of headcount and order book

Out-of-Home only + Digital Mark

etin

g S

erv

ices fo

r SM

Bs

Performance

Creation of marketing websites, Google

adwords, display performance and

SEO services

Branding Campaigns

Active management of locally targeted

display, mobile and video Campaigns via the

number 1 saleshouse inventory

1

2

3 4 6

9

13

40.8

19

59.8

31

90.5

47

133.1

9

16

26

47

Sales Orders

Digital Sales

OOH Sales

In EURm, end of year

Q1 Results 2016, Guidance Statement 2016

Q1 2016 ▲ FY Guidance Specified FY Guidance

Revenue 226 EURm 39.8 % 1.1 - 1.2 EURbn 1.1 - 1.2 EURbn

Operational EBITDA 45.3 EURm 72.2% 270 – 280 EURm More than 280EURm

Organic Revenue

Growth 11.5% (2015: 8.4%)

Mid to high single digit

organic growth

Mid to high single digit

organic growth

21

Questions welcome!

Disclaimer

This presentation contains “forward looking statements” regarding Ströer SE & Co. KGaA (“Ströer”) or the

Ströer Group, including opinions, estimates and projections regarding Ströer’s or the Ströer Group’s

financial position, business strategy, plans and objectives of management and future operations. Such

forward looking statements involve known and unknown risks, uncertainties and other important factors

that could cause the actual results, performance or achievements of Ströer or the Ströer Group to be

materially different from future results, performance or achievements expressed or implied by such

forward looking statements. These forward looking statements speak only as of the date of this press

release and are based on numerous assumptions which may or may not prove to be correct. No

representation or warranty, express or implied, is made by Ströer with respect to the fairness,

completeness, correctness, reasonableness or accuracy of any information and opinions contained

herein. The information in this press release is subject to change without notice, it may be incomplete or

condensed, and it may not contain all material information concerning Ströer or the Ströer Group. Ströer

undertakes no obligation to publicly update or revise any forward looking statements or other information

stated herein, whether as a result of new information, future events or otherwise