Financial Data and Key Metrics Changes - In H1 2025, organic revenue grew by 0.9%, reaching nearly EUR 3.1 billion, confirming expectations for organic growth in 2025 [4][34] - EBITDA for H1 2025 was EUR 246 million before exceptional items, with expectations for a stronger second half [4][34] - Cash flow from operations (CFFO) reached EUR 416 million in H1, with a full-year guidance of over EUR 500 million [4][35] - Free cash flow for H1 was EUR 370 million, a significant increase compared to EUR 29 million for the full year 2024 [10][35] Business Line Data and Key Metrics Changes - The European segment is focused on cost reductions to improve profitability, with the end of the Disney contract and Ligue One contract impacting revenue [6][34] - The content production and distribution segment saw a decrease in revenue in H1 2025 due to the timing of international sales and a strong H1 2024 [41][42] - Dailymotion experienced double-digit growth, driven by strategic investments and advertising deals [43] Market Data and Key Metrics Changes - The subscriber base slightly decreased overall, with a focus on retail subscribers leading to growth in France, while wholesale subscribers declined due to the end of certain deals [36][37] - In Africa, subscriber growth slowed, influenced by content availability and renewal rates, but acquisition rates showed a 19% increase compared to 2024 [38][39] - The Vietnamese market is under assessment due to declining performance, while Myanmar is performing better with new content offerings [37][91] Company Strategy and Development Direction - The company aims to generate profitable growth and cash flow by focusing on profitable contracts and customer segments, alongside cost reduction initiatives [5][6] - Strategic partnerships and content value propositions are key focuses, with plans to enhance in-house production capabilities and develop strategic content partnerships [11][12] - The company is pursuing growth through acquisitions, particularly with MultiChoice, to expand its market presence in Africa [26][30] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about achieving full-year guidance despite challenges from contract terminations and market conditions [34][35] - The company anticipates improved content availability in H2 2025, which is expected to positively impact subscriber renewal rates [39] - Management is focused on resolving tax issues and improving cash generation, with a proactive approach to legacy tax items [8][50] Other Important Information - The company has implemented a new organizational structure to enhance financial reporting and cash flow management [10] - A significant reduction in net debt from EUR 355 million to EUR 24 million was reported, providing financial flexibility for future acquisitions [35][53] - The company is committed to an ambitious ESG strategy, focusing on reducing carbon footprint and enhancing digital accessibility [55][56] Q&A Session Summary Question: Subscriber trends and initiatives - Management noted a slight decrease in overall subscribers, attributing it to content renewal rates and market dynamics, with strong gross adds in new customers [65][66] Question: Underlying advertising trends - Positive underlying trends in advertising revenue were reported, with double-digit growth at Dailymotion and significant revenue growth at Canal Plus [68][69] Question: Macro trends in content segment - No major shifts in content demand were observed, with a focus on leveraging intellectual property across various content types [70] Question: Free cash flow guidance - Management clarified that free cash flow for H2 is expected to be lower due to seasonal payment patterns, despite strong CFFO in H1 [72][74] Question: MultiChoice acquisition timeline - Financial and strategic guidance regarding MultiChoice will be provided post-acquisition, with immediate actions planned to generate synergies [76][77] Question: Content costs outlook - Content costs are expected to decrease in Europe, with continued investment in local content in Africa [80] Question: Tax issues and guidance - The expected group income tax charge is projected to be between 35-40%, significantly lower than the previous year [92]

Financial Data and Key Metrics Changes - In H1 2025, organic revenue grew by 0.9%, reaching nearly EUR 3.1 billion, confirming expectations for organic growth in 2025 [4][41] - EBITDA for H1 2025 was EUR 246 million before exceptional items, with expectations for a stronger second half [4][34] - Cash flow from operations (CFFO) reached EUR 416 million in H1, with a full-year guidance of over EUR 500 million [4][35] - Free cash flow increased by nearly 200%, reaching EUR 370 million, with expectations for the full year to exceed this figure [10][35] Business Line Data and Key Metrics Changes - The European segment is focused on cost reductions to improve profitability, with the end of the Disney contract and Ligue One impacting revenue [6][41] - The content production and distribution segment saw a decrease in revenue in H1 2025 due to delivery phasing and a strong H1 2024 [42] - Dailymotion experienced double-digit growth, driven by strategic investments and advertising deals [44] Market Data and Key Metrics Changes - Subscriber base slightly decreased overall, with retail subscribers growing in France but wholesale subscribers declining due to the end of certain deals [36][37] - In Africa, subscriber growth slowed, influenced by content availability and renewal rates, but acquisition rates improved significantly [38][39] - The Vietnamese market is under assessment due to declining performance [37][89] Company Strategy and Development Direction - The company aims to generate profitable growth and cash flow by focusing on profitable contracts and customer segments [4][5] - Strategic partnerships and content value propositions are key focuses, including enhancing in-house production capabilities and developing strategic content partnerships [11][12] - The company is pursuing a growth ambition to reach 50 to 100 million subscribers, with significant investments in platforms like Viaplay and Vue [25][26] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving full-year guidance and highlighted the importance of cash generation initiatives [33][61] - The company anticipates improved content availability in H2 2025, with a strong slate of local series and major sports events [39][41] - Management remains cautious about the immediate potential of the Netflix partnership in French-speaking Africa due to low broadband penetration [67] Other Important Information - The company has reached an agreement with the French National Centre of Cinema to avoid a negative cash outlay of nearly EUR 100 million [8] - A new ESG strategy has been implemented, focusing on reducing carbon footprint and enhancing digital accessibility [56][58] Q&A Session Summary Question: Subscriber trends and initiatives - The company noted a slight decrease in overall subscribers, with Europe performing better than Africa and Asia, driven by content renewal rates [65][66] Question: Underlying advertising trends - Positive underlying trends in advertising revenue growth were reported, particularly for Dailymotion, with double-digit growth noted [68][69] Question: Macro trends in content demand - No major shifts in content demand were observed, with a continued focus on a diverse content offering [70][72] Question: Free cash flow expectations - The company confirmed expectations for free cash flow to be above EUR 370 million for H2, with typical seasonal cash generation patterns noted [73][74] Question: MultiChoice acquisition guidance - Financial and strategic guidance regarding the MultiChoice acquisition will be provided post-closing, with synergies expected to be identified early next year [77][78] Question: Content costs outlook - Content costs are expected to decrease in Europe, with ongoing investments in local content in Africa [81][82] Question: Tax issues and VAT - The company is focused on resolving tax issues, particularly VAT, with an expected effective tax rate of 35-40% for the full year [84][92]