DGAP-News: TeamViewer AG / Key word(s): Annual Results 
TeamViewer AG: TeamViewer with record year 2020 - targeting EUR 1bn billings in 2023 
2021-02-09 / 07:00 
The issuer is solely responsible for the content of this announcement. 
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TeamViewer with record year 2020 - targeting EUR 1bn billings in 2023 
 
  . 2020: Record billings of EUR 460.3m (+44% cc), adjusted EBTDA margin of 57% 
  . Q4: Billings of EUR 128.1m (+32% cc), adjusted EBITDA margin of 56% 
  . Enterprise-Business: With 1,885 enterprise customers billings tripled to EUR 53.0m, representing 12% of total 
    billings 
  . Cash-Flow: Strong increase in 2020 to EUR 224.5m (up 56%) 
  . Net leverage: Reduction to 1.7x adjusted EBITDA at year-end 
  . 2021 Outlook: 29-33% billings growth (cc), 55-57% adjusted EBITDA margin 
  . Mid-term objective: Increasing billings to EUR 1bn in 2023 
Goppingen, 9 February 2021: The past year has uncovered the need for digitalized processes and remote work in companies 
of all sizes and across all industries around the globe in a very particular way. This is also reflected in the 
successful fiscal year of global software provider TeamViewer. With record billings of EUR 460.3m, growth of 44% at 
constant currencies (cc) and an increased adjusted EBITDA margin of 56.8%, TeamViewer concluded the year of its 15^th 
anniversary very successfully and exceeded its previously raised guidance. 
Oliver Steil, TeamViewer's CEO, said: "We serve a global customer base with our software for remote work and remote 
management of devices, machines and industrial equipment. Through recent product launches as well as strategic 
acquisitions, we bring digital transformation into action. Our solutions optimize processes across the entire 
value-chain - both in the space of information technology as well as operational technology. And TeamViewer is 
perfectly positioned to further capitalize on those achievements: We will expand our solution scope across more 
verticals, grow our global enterprise footprint and increase use cases for Augmented Reality and Internet of Things 
broadly." 
Stefan Gaiser, CFO of TeamViewer, said: "With a remarkable Q4, we concluded a record year with billings, our key 
performance indicator growing 44% in 2020. This underlines once more our unique financial profile combining strong 
growth with high profitability and cash flow. Additionally, we heavily focused on our ESG roadmap to become an ESG 
leader in our sector. In this context, we are very proud that a scientific study showed that the use of TeamViewer 
products avoids approximately 37 mega tons of greenhouse gas emissions each year, thereby helping companies all over 
the world to achieve their sustainability goals and contribute to fight global warming." 
Business Update 
In the fourth quarter TeamViewer saw an outstanding sales traction, especially in the enterprise segment. Recently, 
TeamViewer announced that Siemens Healthineers, a leading global medical technology provider, is remotely supporting 
its tens of thousands of imaging and laboratory diagnostic equipment in clinical environments globally and thus 
enabling digitalization in the healthcare sector. Another example is Lely, a Dutch dairy automation company serving 
farmers in more than 45 countries, which uses the enterprise solution Tensor for streamlining its remote support 
processes, taking troubleshooting of agricultural equipment to the next level. 
Based on a significant expansion of its enterprise sales team as well as sales channels for small and medium-sized 
enterprises, TeamViewer has nearly tripled the number of enterprise customers with annual contract values of at least 
EUR 10,000 to 1,885 in 2020 (31 December 2019: 698). The aggregate contribution of this customer segment amounted to 
EUR 53.0m in 2020 (+204% yoy), representing 12% of total billings in 2020. The overall subscriber base has grown to 
584,000 in 2020 (31 December 2019: 464,000), customer loyalty remained very high and successful up- and cross-sell 
activities resulted in a net retention rate of 103%. 
Moreover, TeamViewer made significant progress in enhancing its entire solutions portfolio. The integration of 
TeamViewer's Internet of Things (IoT) and Augmented Reality (AR) solutions with the Frontline Suite, brought by the 
Ubimax acquisition, is running well with successful cross-selling activities in place. TeamViewer's enterprise solution 
Tensor has seen major updates with the addition of a Mobile Software Development Kit (SDK) and a white-label 
co-browsing feature of customer engagement software provider Xaleon, both enabling GDPR-compliant digital customer 
interactions in web sessions or mobile apps. Based on substantial customer interest following the co-browsing 
integration, TeamViewer acquired Xaleon in late January, expanding its footprint in the space of digital customer 
journeys. Additionally, TeamViewer has rebranded its online collaboration and video conferencing solution blizz to 
TeamViewer Meeting and incorporated it for free into the TeamViewer client to make the meeting functionality an 
integral part of TeamViewer. 
TeamViewer was able to realize its strong growth in 2020 thanks to the investments the company made during the last 
years, especially extending the customer segment coverage with dedicated solutions and expanding geographically. During 
2020, TeamViewer continued and accelerated these investments with a focus on R&D and the global sales force. The 
company employed 1,256 full-time employees (FTE) by year-end - 49% more than a year earlier. This includes 75 FTEs from 
Ubimax, which has already been merged into the TeamViewer Group in January 2021. 
Summary Figures 
EUR m                     FY 2020 FY 2019 ? yoy ? cc Q4 2020 Q4 2019 ? yoy ? cc 
Billings                   460.3   324.9   42%  44%   128.1   100.6   27%  32% 
EMEA                       246.4   174.0   42%  42%   73.5    58.0    27%  28% 
AMERICAS                   157.7   109.8   44%  50%   44.5    32.8    36%  48% 
APAC                       56.1    41.2    36%  39%   10.2     9.9    3%    6% 
 
Adj. EBITDA                261.4   182.1   44%  49%   72.1    62.6    15%  25% 
Margin                      57%     56%    1pp         56%     62%   (6pp) 
 
Subscribers (thousand)^1)   584     464    26% 
Net Retention Rate^1)      103%    102%    1pp 
Employees^2)               1,256    841    49%

1) LTM, 31 December 2) Full-time equivalents, 31 December 


EUR m                    FY 2020 FY 2019 ? yoy Q4 2020 Q4 2019 ? yoy 
Revenue (IFRS)            455.6   390.2   17%   121.0   106.9   13% 
EMEA                      248.3   219.8   13%   65.1    59.5     9% 
AMERICAS                  149.1   122.9   21%   40.6    34.4    18% 
APAC                      58.2    47.6    22%   15.2    13.0    17% 
 
Operating Profit (EBIT)   164.0   153.0   7%    38.3    44.7    -14% 
Margin                     36%     39%   (3pp)   32%     42%   (10pp) 
 
Levered Free Cash Flow    165.4   77.1   115%   56.1    31.5    78%

Financial Update

Billings in Q4 2020 were up 27% yoy (+32% cc) at EUR 128.1m (FY 2019: EUR 100.6m) resulting in full-year billings of EUR 460.3m, representing 42% growth yoy (+44% cc). In the fourth quarter the AMERICAS showed the highest growth achieving EUR 44.5m in billings due to continuing strong traction across all customer segments as well as benefitting from converting former private users into paying subscribers. EMEA remained the largest of the three regions with Q4 billings of EUR 73.5m and well-balanced growth across customer segments in TeamViewer's key markets including Germany, UK, France and Italy. The EMEA enterprise business had a particularly strong Q4, closing its strongest quarter ever. APAC continued to experience strong underlying demand resulting in high full-year growth, in particular in Japan (+102% yoy) and India (+60% yoy).

Despite significant investments to drive its global growth initiatives, TeamViewer grew its adjusted EBITDA in 2020 by 44% (+49% cc) to EUR 261.4m (2019: EUR 182.1m) and achieved a slightly expanded adjusted EBITDA margin of 56.8%. In Q4 the adjusted EBITDA was up 15% yoy (+25% cc) at EUR 72.1m (Q4 2019: EUR 62.6m).

Revenue growth has still been affected by the transition to the Software-as-a-Service (SaaS) subscription model, which was completed in 2018. During 2020, significantly less deferred revenue from prior years' perpetual license sales were recognised (2020: EUR 46.3m; 2019: EUR 125.5m). Consequently, revenue of EUR 455.6m in 2020 grew at a lower rate (2019: EUR 390.2m) than billings. Because of this accounting effect billings are a better reflection of the company's growth profile and are therefore TeamViewer's primary performance indicator. In addition to lower deferred revenue releases, operating profit (EBIT) was also impacted by IFRS 2 accounting for higher non-cash expenses predominantly related to share-based compensation of the former Ubimax management and the employee incentive plan which was set up and is fully financed by Permira.

TeamViewer's high operating profitability translated into strong net cash from operating activities of EUR 64.2m in the fourth quarter (Q4 2019: EUR 59.9m) and EUR 224.5m for the full year, up 56% compared to EUR 143.6m in 2019. Capital expenditure in 2020 of EUR 26.2m (2019: EUR 16.6m) mainly related to one-off investments in the company's new headquarter and the roll-out of a new ERP system. This amount, however, was overcompensated by substantially lower bank debt interest payable in 2020. During the fourth quarter, TeamViewer used available cash to repay a portion of its term loans resulting in a total repayment of EUR 100.6m during 2020. At the same time, cash and cash equivalents increased to EUR 83.5m in the fourth quarter (30 September 2020: 53.0m) and the company's net leverage further decreased to 1.7 times of adjusted EBITDA (30 September 2020: 2.0x).

2021 Outlook

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February 09, 2021 01:02 ET (06:02 GMT)