PowerPoint Presentation

2013 Interims

# 1 Turning human understanding into business advantage

John Kearon, Chief Juicer

## 2ENVIRONMENTALSOCIALPERSONALDECISION

Helping to make brandsfamous## 3

The UKs Most Popular ad of 2013

ContemptDisgustAngerFearSadnessNeutralHappinessSurprisethe twinkle in the ponies eye.. prepares you for whats coming.it makes me smile because the pony is dancingDancing ponyCheers me upHa ha! Moonwalking Pony!worried about the pony going over the cliffhappy pony didn't go over edge of cliff!!!its just funny that he stops for the farmer, but continues after.Just loved the whole concept makes me smile and feel happyShowing Sugarlump without KOI# It's 10 days since Pony first strutted his stuff and the level of engagement is breath-taking with over 5 million views on YouTube.You have no idea how proud I am of the Three team & how grateful I am to BrainJuicer for providing the validation for why we should just have faith. It's the best feeling in the world to work in Marketing & do stuff like this.

Margaret BurkeDirector, Brand & CommunicationsThree.co.uk

# 15 Offices in 11 countries Research in 60+ countries, 140+ people, 200+ clientsKey:= Office (New)= Licence Partner= Undertaken Research

ShanghaiSingaporeMelbourne(licence partner)MilanHamburgLausanneParisLondonNew YorkAustinChicagoLos AngelesRotterdamSao PauloNew DelhiMumbai

# 6Revenue (m)Operating Profit (m)H1 2013 increased revenue, reduced headcount, improved profitsH2H1H2H1Revenue grew 4% and gross profit 6%Average headcount down; 143 to 137Overhead costs declined 2%Operating profit grew 81%PBT, PAT, EPS also grew 81%Minimal capex, favourable working capital movement led to 1.64m free cash flow# H1 2012H1 2013GrowthRevenue10.4m10.8m4%Number of projects3874014%Revenue per project27,00027,0000%Revenue from Juicy products6.9m7.1m4%Number of clients2042124%Repeat rate80%76%NAAverage headcount143137-4%Revenue per person73,00079,0008%Staff cost per person34,00038,00012%Fundamentals unchangedSteadily increasing projectsIn the main Juicy productsStable growing client base

Fewer people but still investingNew markets Singapore and India2 new Juicy products now 5# RevenueGross profitOperating profitUK4.3m3.4m+ 17%2.5m+ 31%US3.7m2.9m+ 10%1.6m+ 4%Switzerland | France | Italy1.0m0.8m- 7%0.3m- 41%Germany0.4m0.3m- 34%0m- 76%Holland0.3m0.2m+ 4%0mNMBrazil0.6m0.4m+ 45%0.1m- 9%China | India|Singapore0.5m0.4m- 38%0.1m- 83%Total10.8m8.5m6%4.6m+ 2%Central Costs(3.3)m- 13%Operating profit1.3m+ 81%RevenueOperating profitUSUSUKUKContinental EuropeContinental EuropeRest of worldRest of worldGrowing well in biggest operations UK and US# H1 2012H1 2013Operating cash flow(0.17)m2.35mTax paid(0.42)m(0.37)mInvestment in fixed assets(0.12)m(0.03)mCash flow before financing(0.71)m1.95mShare buy backs and dividends less share options exercised(0.56)m(0.31)mNet cash flow(1.27)m1.64mCash (no debt)2.41m5.46mHigh levels of cashModest Capex requirementsOrganic growth strategyReturning cash to shareholders1.51m special dividend +0.11m interim dividendCash flow# OutlookLong term growth dependent on take-up of Juicy products and mandates + ability to scaleInvited to pitch for significantly more mandates but no new mandate win in H1Juicy products 66% of total and will increase further with 2 new Juicy productsUK margins illustrate scale opportunity core infrastructure has capacity stillOn track to meet market profit expectations .. but as ever limited revenue visibility for the full year#