Financial Results Presentation

(1)

Financial Results Presentation

(2)

Important information

This presentation contains forward-looking statements as defined in the United States Private Securities Litigation Reform

Act of 1995. Words such as “believe”, “anticipate”, “intend”, “seek”, “will”, “plan”, “could”, “may”, “endeavour” and similar

expressions are intended to identify such forward-looking statements, but are not the exclusive means of identifying such

statements.

While these forward-looking statements represent our judgments and future expectations, a number of risks, uncertainties

and other important factors could cause actual developments and results to differ materially from our expectations. These

include key factors that could adversely affect our businesses and financial performance.

(3)

Overview

Financials

Internet

(4)

1H FY16 Overview: building platforms to optimise returns

Continue to focus on fast growing segments

2 Leadership in ecommerce

1 Transform further into mobile

4 Target high growth markets

3

(5)

Classifieds leader across growth

markets

+40 countries

>260m monthly active users

#1 ecommerce platform

in India

~50 million

monthly active users

#1 ecommerce

platform in Poland

>50 million

registered users

Classifieds

Etail

Marketplaces

Monthly visits (3Q15)

Mobile app sessions (3Q15)

Monthly visits/internet capita (3Q15)

Allegro Poland eBay UK eBay Germany eBay USA MELI Argentina MELI Brazil *Desktop & mobile web (excl. mobile apps)

Flipkart Snapdeal Amazon Jabong

Source: SimilarWeb, IDC Naspers

*Android (India). Flipkart includes Myntra app *Includes desktop & mobile web (worldwide)

Craigslist Naspers Schibsted eBay

(6)

Online video consumption doubles over past

4 years

Ecommerce

Video entertainment

Source: Ericsson ConsumerLab. Users across 9 countries aged 16-59

2x

174% 103% 89% 89% 74% 49% 33% _30% Lifestyle & shopping Messaging social Health & fitness

Travel Sports News & magazines Music, media & entertainment Games 2013 v s. 2014 Y o Y growth r at e (% )

Mobile commerce growing >2x average

US mobile services

Source: Flurry Analytics

Average = 76%

2011

2015

Streamed TV

Streamed movies

2.9h/week

6h/week

(7)

Etail

PayU #1 in payments

Etail

• ~70% market share in Brazil

• >850k orders per month

• >US$140m GMV run-rate

• 70% of orders from mobile apps

• 2.95m transactions/month, ~2.3x size of any competitor

• Largest online bus ticketing service, 8x size of nearest

competitor – rolled out to Singapore and Malaysia

• Largest player in hotels (350% YoY growth)

• 62% of hotel transactions on mobile

iFood #1 in Brazilian food delivery

Ibibo #1 in Indian travel

• Operations across 16 markets

• Offering PSP services and e-wallets

• >100k merchants and 220+ payment options

• More than US$10bn in annual TPV

LetGo

• Fast-growing, hyper-local marketplace

• Optimized specifically for mobile

• Offers instant chat and geolocation-based

search

(8)

0 50 100

Flipkart Snapdeal Amazon Jabong ShopClues 0

50 100

MakeMyTrip Goibibo Cleartrip Yatra Booking

0 50 100

OLX Quikr Junglee

Strong position in India

Mobile app sessions (indexed, 3Q15, India, Android)

Etail

Travel

Classifieds

Source: SimilarWeb

(9)

Exiting businesses with limited opportunities

* Some transactions still subject to regulatory approval

1H FY15

2H FY15

FY16 YTD*

US$127m

US$300m

US$252m

* Some transactions still subject to regulatory approval

(10)

Overview

Financials

Internet

(11)

Revenue* (ZARbn)

Trading profit* (ZARbn)

Core HEPS (ZAR)

Sep 14

Sep 15

Development spend* (ZARbn)

1H FY16: Synopsis of financials

59.94

74.29 24%

4.37

5.11 17%

11.44

15.35 34%

15.28

21.33 40%

* Based on economic interest, i.e. equity accounted investments are proportionately consolidated

(12)

Revenue growth remains strong

Revenue by business segment*

Internet (64%)

Video entertainment (30%)

Print (6%)

10,038

_1,808

(2,141)

4,635

59,947

Sep 14

Internet

Video entertainment

Print

M&A

Forex

Sep 15

5 8%

28%

9%

24%

Revenue* (ZARm)

56,522 76,776 104,981 132,446 59,947 74,292

Mar 12

Mar 13

Mar 14

Mar 15

Sep 14

Sep 15

CAGR

33%

74,292

Incremental revenue* by segment, YoY (ZARm)

24%

% increases = YoY organic for segment

(13)

Incremental development* spend by segment, YoY (ZARm)

*Based on economic interest, i.e. equity accounted investments are proportionately consolidated

369

363

14 (11)

4,374

Sep 14

Internet

Video entertainment

Print

Forex

Sep 15

5,109

8%

10%

2%

7%

17%

Development spend up 17%

1H FY16 Development spend* by segment

Etail (37%)

Classifieds (31%)

Other ecommerce (17%)

Video entertainment (12%)

Print (3%)

4,025

3,513

Sep 14

Sep 15

13%

(14)

M&A activity

Acquisition spend over time (US$m)

260

634

465

421 Mar 12

Mar 13

Mar 14

Mar 15

Sep 15

Other

213 Other

Etail (58%)

Classifieds (31%)

New ventures (4%)

Travel (1%)

Payments (1%)

Other (5%)

1H FY16 M&A by segment

(15)

18.50

22.16 _21.81

27.82

15.28

21.33 Mar 12

Mar 13

Mar 14

Mar 15

Sep 14

Sep 15

Core headline earnings continue to grow

CAGR

+15%

40%

(16)

Summarised consolidated income statement

Sep 14

ZARm

Sep 15

ZARm

Revenue*

59,947

74,292

Less: Associates and joint ventures

(25,584)

(36,531)

Consolidated revenue

34,363

37,761

Trading profit

2,798

2,890

Trading margin

8%

Net finance costs

(1,208)

(1,993)

Share of equity accounted results

9,932

8,029

- excluding net gain resulting from remeasurements**

5,178

6,531

- net gain resulting from remeasurements**

4,754

1,498

Impairments

(172)

(1,952)

Taxation

(1,755)

(1,830)

Net profit

9,269

8,306

Core headline earnings

6,077

8,786

Core headline EPS (ZAR)

15.28

21.33

(17)

FCF benefits from lower capex and higher investment income

Sep 14

ZARm

Sep 15

ZARm

Operating cash flow

2,490

3,420

Capex

(1,435)

(1,304)

Finance leases

(445)

(530)

Tax

(2,086)

(2,047)

Investment income

(1)

_1,048

_1,798

Free cash flow (FCF)

(428)

1,337

(18)

Balance sheet remains solid

Sep 15

ZARm

Debt

(1)

_{: (offshore US$3.1bn)}

_(44,330)

Cash: (South Africa ZAR4.5bn)

13,663

Closing net debt

(30,667)

Gearing

32%

Value of marketable listed securities/Debt*

30x

(19)

Capital raise being considered

Size

• _•

Considering an equity raise of up to US$2.5bn

Expected to be within existing authorities

Rationale and Use

of Proceeds

• Fully refinance the US$1.2bn to be spent on the Avito stake increase

• Provide flexibility to grow our ecommerce businesses in line with our well

developed strategy

• Additional funding would equate to ~2yrs of our average annual M&A run-rate

• Targeting maintenance of current credit ratings

Timing

• TBD

A

B

(20)

Overview

Financials

Internet

(21)

44%

_43%

35%

21%

5%

Travel New ventures Classifieds Etail Payments Marketplaces

Ecommerce: segment overview*

1H FY16 YoY organic revenue growth by type

(1)

Sep 14

ZARm

Sep 15

ZARm

% change

Revenue

12,141

15,327

26%

Trading loss

(2,426)

(3,769)

-55%

Revenue and trading losses (ZARm)

Etail (61%)

Marketplaces (13%)

New ventures (7%)

Classifieds (7%)

Payments (4%)

Travel (3%)

Other (5%)

1H FY16 Revenue split

6,643 12,386 20,355 27,772 12,141 15,327 (1,238) (2,337) (5,329) _(6,093) (2,426) (3,769)

Mar 12

Mar 13

Mar 14

Mar 15

Sep 14

Sep 15

Revenue

Trading losses

(22)

India & SE Asia (56%)

Europe (38%)

Africa & Middle East (6%)

Etail: revenue growth driven by scale

Etail: 1H FY16 GMV by region*

39%

Etail: Revenue (ZARm)*

35%

5,283

10,705

16,501

6,690

9,320

Mar 13

Mar 14

Mar 15

Sep 14

Sep 15

Etail: Value creation over time (indexed)*

Invested to date

Current value of these

investments (1)

2.7x

* Reflecting current etail assets, excluding Netretail and flash sales

(23)

: a profitable and cash generative marketplace

1H FY16 financial summary (PLNm)

511

218 ₂₀₁

Revenue

Trading profit

Free cash flow

GMV* growth rate accelerating

5.0%

9.4%

11.5%

Mar 14

Mar 15

Sep 15

(24)

Ecommerce: promising progress in Online to Offline (020)

Etail

#1 in mobile food orders

#1 in kids segment

#1 in live event ticket sales

Promising growth in other O2O categories

• Leading grossing app worldwide in kids category

• Over 160k subscribers

• Highlighted in Apple TV launch and keynote

Truckpad

• #1 truck loads marketplace in Brazil

• ~70% market share in Brazil

• >850k orders per month

• >US$140m GMV run-rate

• 70% of orders from mobile apps

• #1 Live events marketplace in Latam*

• GMV +25% growth YoY

• >4m tickets sold year to date

* Based on # of tickets

Maplink

• #1 SAAS real time routing platform in Brazil

(25)

Classifieds: attractive business model, great returns at maturity

Winning = large market share + healthy margins

121 153 184 195 283 394 Blocket Trademe Leboncoin Finn Scout24 Autotrader

Market leaders generate substantial revenues

2014 Revenues in $ millions

…. at high EBITDA margins

(26)

Classifieds: massive footprint for the OLX brand

Note: numbers include OLX brand only

+260m

MONTHLY

ACTIVE USERS

+19b

MONTHLY

PAGE VIEWS

Scale

+4.3

APP RATING

#1 app

17 COUNTRIES

(1)

Mobile leadership

1) Google play store; shopping/lifestyle categories

(27)

Classifieds: building momentum toward monetisation

16

2

12

2

5

21

6

3

24

8

1

5

25

9 Entering

Fighting

Leading

Leading and monetising

2014

1H FY15

2H FY15

1H FY16

Naspers positions (number of countries)

Daily page views (m)*

27

36 Sep 14

Sep 15

33%

Daily visits (m)*

*Reflects associates on a proportionate basis

456

739 Sep 14

Sep 15

(28)

Classifieds: gaining upper-hand in key markets

App engagement

Apr 15 Sep 15

OLX

Quikr

1.9x 1.3x

Source: SimilarWeb, Android active app users

Brand awareness

India

Source: Google Trends

Argentina

Source: SimilarWeb, Android active app users

App engagement

Source: Google Trends

Apr 15

Sep 15

OLX

Alamaula

2.7x 2.3x

OLX

Quikr OLXAlamaula

4.5x

1.3x 1.4x 1.7x

(29)

Classifieds Brazil : Cutting spending and driving growth

Q3 14

Q3 15

82%

Marketing spend (indexed)

170

265 Q3 14

Q3 15

56%

Daily net new listings (‘000)

85

115 Q3 14

Q3 15

35%

Daily page views (m)

*

* *

(30)

Leading classifieds site in Russia

Solidifying classifieds leadership: 67.9%

121 153 184 195 283 394 76 Blocket Trademe Leboncoin Finn Scout24 Autotrader Avito

Avito: generating strong revenue growth at attractive margins

2014 Revenues in $ millions

2014 EBITDA margins

52% 72% 67% 44% 52% 59% 51% Blocket Trademe Leboncoin Finn Scout24 Autotrader Avito 8% 11% 21% 3% 16% 8% 79% Blocket Trademe Leboncoin Finn Scout24 Autotrader Avito

2014 Revenue growth YoY

Source: Annual reports and Scout24 IPO prospectus; YoY growth rates in reporting currencies

1

2

3

4 Large-scale market

High growth

Early monetisation

Talented management team

(31)

12,254

15,479

19,194

30,542

15,633

19,408 *

2011

2012

2013

2014

1H FY14 1H FY15

Listed internet:

24%

CAGR

+36%

Tencent operating profit (RMBm)

*Reflects 100% of Jan-Jun 2015 (1H FY15) results available on www.tencent.com

Effective from Mar 11 2014, Tencent has divested its B2C and C2C ecommerce marketplaces and deconsolidated such revenues 1H FY16 ZAR/RMB2.025(1.732)

Value-added services (81%)

Online advertising (15%)

Other (4%)

Revenue mix 1H FY15*

Monthly active users(m): Weixin & WeChat

468

650 3Q14

3Q15

(32)

8,381

11,535

16,122

18,297

8,047 9,130 *

2011

2012

2013

2014

1H FY14 1H FY15

Listed internet:

13%

CAGR

+30%

Mail.ru EBITDA (RUBm)

Online advertising (35%)

Community IVAS (35%)

MMO Games (22%)

Other (8%)

Revenue mix 1H FY15*

*Reflects 100% of 1H FY15 aggregate segment performance as reported For IFRS results with full disclosure refer to www.corp.mail.ru

1H FY16 ZAR/RUR0.217 (0.297)

Monthly active users (m)

58

76 3Q14

3Q15

(33)

Overview

Financials

Internet

(34)

Scale: operations in 50 countries across Africa

1

2

3

4

5 Leader in Africa

Significant expertise

Best content

Substantial scale

Multiple technologies

Key competitive advantages

Video entertainment subscriber homes (‘000)

3,698

4,168

4,699

5,174

5,563

1,499

1,686

2,019

2,355

2,243

151

541

873 2,428

Sep 11

Sep 12

Sep 13

Sep 14

Sep 15

SA DTH

SSA DTH

SSA DTT

22%

CAGR

(35)

1,288

2,030

3,720

2,398

1,008 882

Mar12 Mar13 Mar14 Mar15 Sep14 Sep15

25 ,25

9

30 ,25

7

36 ,27

1

42 ,41

9

20 ,18

6

22 ,58

4 6,3

79

7 ,5

5

9 8,5

20 8,0

09 4,9

69 5,0

17 Mar 12

Mar 13

Mar 14

Mar 15

Sep 14

Sep 15

Revenue

Trading profit

Financials: navigating economic realities

Video entertainment financials (ZARm)

1%

12%

Development spend (ZARm)

Programming and production costs (ZARm)

Capital expenditure (ZARm)

607 730

1,812

2,389

642 644

6,685 8,046 9,956 12,607 4,682 5,843

(36)

DTH: operations strong in SA, headwinds in SSA

SA: solid performance

SSA: economic headwinds

187

283

248

309

166

232

156 1H13

2H13

1H14

2H14

1H15

2H15

1H16

SA net additions (‘000)

78

225

108

215

121

208 (321)

1H13

2H13

1H14

2H14

1H15

2H15

1H16

SSA net additions (‘000)

317

356 Sep 14

Sep 15

SA ARPU (ZAR)

29 ₂₈

Sep 14

Sep 15

-22%

-38%

-93%

-18%

Nigeria Angola Zambia Kenya

39

33 Sep 14

Sep 15

SA ARPU (US$)

YoY currency declines (%)

SSA ARPU (US$)

*Weighted average decline YoY -31%

*Avg new price increases +25%

Avg

(37)

DTT: good growth in absence of ASOs

23 151

377 541

817 873

2,256 2,428

Mar 12 Sep 12 Mar 13 Sep 13 Mar 14 Sep 14 Mar 15 Sep 15

DTT Subscribers (‘000)

Jun 15

11

countries

162

sites

Total DTT spend (ZARm)

185 416 1,305 2,110 465 382 383 329 1,714 798 388 ₄₇₇

Mar 12 Mar 13 Mar 14 Mar 15 Sep 14 Sep 15

(38)

Focus on retention

Best quality entertainment

Managing costs

• Increasing local content further

‒

The Voice Angola, Glam

Guru, Top Shayela etc.

• Renewed EPL rights

• Added 24 new HD channels

• New products

‒

DStv Now

‒

ShowMax

• Growing value-added services

• Driving PVR penetration

‒

20% SA

‒

10% SSA

• Connecting PVRs to internet

• Improving customer satisfaction

• Managing churn

• Increasing subscription rates

• Saving on content

• Reducing SG&A

Positioning the business for the long-term

(39)

Overview

Financials

Internet

(40)

Vision going forward: building platforms to optimise returns

Continue to focus on fast growing segments

2 Leadership in ecommerce

1 Transform further into mobile

4 Target high growth markets

3

(41)

Overview

Financials

Internet

(42)

Ecommerce: expansive global footprint

(43)

Group structure

(44)

Glossary of terms

ARPU:

Average Revenue Per User

ASO:

Analogue Switch Offs

B2C:

Business to Consumer

C2C:

Consumer to Consumer

CAGR:

Cumulative Annual Growth Rate

DTH:

Direct-to-Home

DTT:

Digital Terrestrial Television

EPL:

English Premier League

EPS:

Earnings per Share

FCF:

Free Cash Flow

FEC:

Forward Exchange Contract

GMV:

Gross Merchandise Value

HD:

High Definition

IVAS:

Internet Value-Added Service

M&A:

Mergers and Acquisitions

MAU:

Monthly Active Users

MMO:

Massively Multiplayer Online

OCS:

Online Comparison Shopping

O2O:

Online to Offline

PSP:

Payment Service Provider

PV:

Page Views

PVR:

Personal Video Recorder

SSA:

Sub-Saharan Africa

STB:

Set-top box

SVOD:

Subscription Video-On-Demand

(45)