While continuing to invest across the sales, marketing and R&D organisations, adjusted EBITDA grew 22% year-over-year to EUR 90.0m. With 61.4%, the adjusted EBITDA margin remained virtually unchanged compared to Q1 2020. This high operating profitability continues to translate into very strong cash conversion. Levered Free Cash Flow amounted to EUR 25.0m (Q1 2020: EUR 35.2m) which already included prepayments related to the landmark sports partnerships. The company benefited from significantly lower interest paid for borrowings and lease liabilities of EUR 4.0m (Q1 2020: EUR 13.4m) as a result of fast deleveraging and the debt optimisation program which commenced last year. In Q1 2021 TeamViewer continued its financing activities with a EUR 300m promissory loan note linked to the ESG management score compiled by Sustainalytics and has thereby started to embed sustainability in its capital structure, too. In addition, a further reduction of funding costs and extension of maturities was achieved with a EUR 100m bilateral loan. The net proceeds were used to repay the drawn portion of the revolving credit facility RCF (EUR 52.7m) and will provide ample financial flexibility to execute on the company's comprehensive growth initiatives. At the end of the first quarter, net leverage ratio stood at 1.6x with cash and cash equivalents of EUR 437.3m, providing TeamViewer with a strong liquidity position.

Additional information

This Quarterly Statement and all information therein is unaudited.

Webcast

Senior management will host an analyst and investor conference call at 9:00 CEST on 4 May 2021 to discuss the results. It will be webcast live at www.webcast-eqs.com/teamviewer20210504. A replay will be available on the Investor Relations website under ir.teamviewer.com. The accompanying presentation can also be downloaded there. ###

About TeamViewer

TeamViewer is a leading global technology company that provides a connectivity platform to remotely access, control, manage, monitor, and repair devices of any kind - from laptops and mobile phones to industrial machines and robots. Although TeamViewer is free of charge for private use, it has more than 600,000 subscribers and enables companies of all sizes and from all industries to digitalize their business-critical processes through seamless connectivity. Against the backdrop of global megatrends like device proliferation, automation and new work, TeamViewer proactively shapes digital transformation and continuously innovates in the fields of Augmented Reality, Internet of Things or Artificial Intelligence. Since the company's foundation in 2005, TeamViewer's software has been installed on more than 2.5 billion devices around the world. The company is headquartered in Goppingen, Germany, and employs more than 1,300 people globally. In 2020, TeamViewer achieved billings of EUR 460m. TeamViewer AG (TMV) is listed at Frankfurt Stock Exchange and belongs to the MDAX. Further information can be found at www.teamviewer.com. Contact 


Press Contact TeamViewer     Investor Relations TeamViewer 
Martina Dier                 Carsten Keller 
Director, Communications     Head of Investor Relations and Capital Markets 
Phone: +49 (0)7161 97200 10  Phone: +49 (0)151 1941 7780 
E-Mail: press@teamviewer.com E-Mail: ir@teamviewer.com

Financial Calendar 


Annual General Meeting                   15 June 2021 
Q2 2021 Results / Half-Year Report 2021  3 August 2021 
Q3 2021 Results                          9 November 2021

IMPORTANT NOTICE

Certain statements in this communication 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 we undertake no obligation to update or revise these statements. Our 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. All stated figures are unaudited. Alternative performance measures (APMs)

This document contains certain alternative performance measures (collectively, "APMs") including billings and Adjusted EBITDA that are not required by, or presented in accordance with, IFRS, German GAAP or any other generally accepted accounting principles. TeamViewer presents APMs because they are used by management in monitoring, evaluating and managing its business and management believes these measures provide an enhanced understanding of TeamViewer's underlying results and related trends. The definitions of the APMs may not be comparable to other similarly titled measures of other companies and have limitations as analytical tools and should, therefore, not be considered in isolation or as a substitute for analysis of TeamViewer's operating results as reported under IFRS or German GAAP. APMs such as billings and Adjusted EBITDA are not measurements of TeamViewer's performance or liquidity under IFRS or German GAAP and should not be considered as alternatives to results for the period or any other performance measures derived in accordance with IFRS, German GAAP or any other generally accepted accounting principles or as alternatives to cash flow from operating, investing or financing activities.

TeamViewer has defined each of the following APMs as follows:

"Billings" represent the (net) value of goods and services invoiced to customers in a given period if realization is probable - it is defined as revenue adjusted for change in deferred revenue P&L-effective;

"Adjusted EBITDA" means EBITDA, adjusted for P&L-effective changes in deferred revenue as well as for certain special items relating to share-based compensations and other material items that are not reflective of the operating performance of the business.

"Adjusted EBITDA margin" means adjusted EBITDA as a percentage of billings.

Operational metrics and other financial measures for information purposes

This document also includes further certain operational metrics, such as Net Retention Rate, and additional financial measures that are not required by, or presented in accordance with IFRS, German GAAP or any other generally accepted accounting principles (collectively, "other financial measures"). TeamViewer presents these operational metrics and other financial measures for information purposes and because they are used by the management for monitoring, evaluating and managing its business. The definitions of these operational metrics and other financial metrics may not be comparable to other similarly titled measures of other companies and have limitations as analytical tools and should, therefore, not be considered in isolation or as a substitute for analysis of TeamViewer's operating results, performance or liquidity as reported under IFRS or German GAAP.

TeamViewer has defined these operational metrics and other financial measures for information purposes as follows:

"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; and

"Net leverage" means the ratio of net financial debt (sum of interest-bearing loans and borrowings, current and non-current, less cash and cash equivalents) to Adjusted EBITDA.

"Net retention rate (NRR)" means annual recurring billings (renewals, up- & cross sell) attributable to retained subscribers (subscribers which had been subscribers in the previous 12-month period) of the last 12-month period divided by all annual recurring billings of the previous 12-month period.

TeamViewer amended the NRR definition with the beginning of FY 2021 to facilitate a direct derivation from reported annual recuring billings. If calculated according to this new definition, the NRRs for FY 2020 and FY 2019 would be 104% and 105% compared to previously disclosed NRRs of 103% and 102% for FY 2020 and FY 2019, respectively.

The use by TeamViewer of any MSCI ESG research llc or its affiliates ("MSCI") data, and the use of MSCI logos, trademarks, service marks or index names herein, do not constitute a sponsorship, endorsement, recommendation, or promotion of TeamViewer by MSCI. MSCI services and data are the property of MSCI or its information providers and are provided "as-is" and without warranty. MSCI names and logos are trademarks or service marks of MSCI. In 2020, TeamViewer received a rating of "AA" (on a scale of AAA-CCC) in the MSCI ESG ratings assessment.

Copyright(c) 2020 Systainalytics. All rights reserved. This publications contains information developed by Systainalytics (www.systainalytics.com). Such information and data are proprietary of Systainalytics and/or its third-party suppliers (Third Party Data) and are provided for informational purposes only. They do not constitute an endorsement of any product or project, nor investment advice and are not warranted to be complete, timely, accurate or suitable for a particular purpose. Their use is subject to conditions available at https://www.systainalytics.com/ legal-disclaimers. In December 2020, TeamViewer received an ESG Risk Rating of 15.6 and was assessed by Systainalytics to be at "Low Risk" of experiencing material financial impacts from ESG factors.

ISS ESG: In February 2020, TeamViewer has been awarded "Prime" status with the ISS ESG Corporate Rating.

In April 2020 TeamViewer has received an ESG rating score from Vigeo Eiris.

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