IONOS Group (IOS) Corporate Presentation summary

Key financial and operational highlights

• Achieved €1.42bn total revenue in FY 2023, representing 10% year-over-year growth, with ~80% recurring revenues and a 27.4% adjusted EBITDA margin, and a ~90% cash conversion rate.

• 9M 2024 revenue reached €1,142mn, with Web Presence & Productivity accounting for €767mn (69%), Cloud Solutions €122mn (11%), and Aftermarket €219mn (20%).

• Q3 2024 revenue grew 11.4% year-over-year to €390mn, with an adjusted EBITDA margin of 29.9%.

• Net debt reduced to €917mn by Q3 2024, with leverage at 2.2x and no refinancing risk due to fixed interest rates.

• Free cash flow remains strong and predictable, with 9M 2024 adjusted EBITDA of €335mn translating to €158mn in free cash flow after adjustments.

Market position and growth drivers

• Holds #1 webhosting market share in Europe, with a footprint in 18 markets and strong positions in Germany, Spain, Austria, UK, Poland, and France.

• Serves ~6.2mn customers, primarily European SMBs, and is expanding in North America with ~€120mn annual revenue.

• Addressable market includes over 90mn SMBs in North America and Europe, with significant growth potential as only ~50% of micro SMBs have a website.

• Web Presence & Productivity revenue grew 12.3% in Q3 2024 and 11.7% in 9M 2024; Cloud Solutions revenue up 7.6% in Q3 and 11% in 9M 2024.

Product portfolio and innovation

• Offers a comprehensive suite for SMB digitalization: domains, web hosting, e-commerce, email, office, and cloud solutions.

• Cloud portfolio recognized as a leader in Germany for hyperscale infrastructure and platform services, with GDPR-compliant sovereign cloud offerings.

• AI-powered tools launched, including website builder, newsletter tool, domain search, and a digital assistant resolving over 60% of customer queries.

• AI Model Hub enables SMBs to use open-source LLMs securely in European data centers, supporting data privacy and compliance.