OVH Groupe : OVHcloud - Présentation du S1 FY2024 (Anglais)

Half-year FY24 Results

April 23 rd, 2024

Forward looking statement

Important notice - You must read the following before continuing

The following applies to this document, the oral presentation of the information contained in this document made by OVHcloud (the "Company") or any person on behalf of the Company and any question-and-answer session that follows the oral presentation.

This document contains forward-looking statements that involve risks and uncertainties, including references, concerning the Group's expected growth and profitability in the future which may significantly impact the expected performance indicated in the forward-looking statements. These risks and uncertainties are linked to factors out of the control of the Company and not precisely estimated, such as market conditions or competitors' behaviors. Any forward-looking statements made in this document are statements about OVHcloud's beliefs and expectations as of the date of this presentation and should be evaluated as such.

Forward-looking statements include statements that may relate to OVHcloud's plans, objectives, strategies, goals, future events, future revenues or performance, and other information that is not historical information. Actual events or results may differ from those presented in this document due to a number of risks and uncertainties, including those described in the 2023 Universal Registration Document, filed with the French Financial Markets Authority (Autorité des marchés financiers - AMF) on November 20, 2023 under the number D.23-0818 and/or in any future updates, amendments thereof or future Universal Registration Document.

All amounts are presented in € million. This may in certain circumstances lead to non-material differences between the sum of the figures and the

subtotals that appear in the tables.

OVHcloud does not undertake, and specifically disclaims, any obligation or responsibility to update or amend any of the information above except as otherwise required by law.

This document is disseminated for information purposes only and does not constitute an offer to purchase or sell, or a solicitation of an offer to sell or to purchase, any securities in any jurisdiction.

H1 FY24 Results

2

• High revenue retention rate
• High profitability with strong operating leverage
• Successful Capex optimisation
• Positive unlevered FCF

H1 FY24 - Key highlights

€486m

Total Revenue

110%	+10.8%
Revenue Retention Rate	H1 LFL revenue growth

€184m	37.9%
Adj. EBITDA	Adj. EBITDA margin

+€14m	1.9x
Unlevered FCF	Leverage

H1 FY24 Results

3

ShapingStrate icthegoalsFutureto Shape the Future

Be the	Innovate	Deliver	Maximise cash
data sovereignty	for next tech	sustainable &	generation
reference	revolutions	profitable growth

H1 FY24 Results

4

Q2 FY24 - Business resilience despite softer momentum than expected in Europe

High customer loyalty with			Surprisingly mild growth in
	Recent customer wins		Europe in Q2
ARPAC growth and limited churn
			Rebound in the US mid-Q2

€246m	+9.6%
Q2 FY24 Revenue	Q2 FY24 LFL
Revenue growth
108%
~2%
Q2 FY24 LFL Net RRR1	H1 FY24 Revenue
churn

• Continued workload optimisation in Europe leading to some project delays and contract renegotiations
• Improved demand in the US in the last months of Q2
• Reduced contribution from price increase since dec. FY23
• Good Webcloud performance

H1 FY24 Results

5

H1 FY24 - Confirmation of OVHcloud demand-based and cash generative model

Deliver profitable growth

37.9%	+2.5pts
Adj. EBITDA margin	vs H1 FY23

H1 FY24 figures

Maximise cash generation

21% 12% €14m

Growth Capex Recurring Capex Unlevered FCF

H1 FY24 figures

H1 FY24 Results

Strong execution improving profitability

and cash generation

Confirmed operating leverage

• Mostly fixed costs base, driving operating leverage thanks to careful cost-control

Reduced capital intensity

• Confirmed trends for high-end servers with better pricing power and lower capital intensity
• Phasing of Infrastructure Capex between H1/H2, with continued work on optimising occupation
• Demand-basedmodel for Servers capex and improvement on Demand Planning

6

H1 FY24 Business update

7

Public Cloud

H1 FY24 Performance

€88.4m		+15.8%
Public Cloud		Public Cloud
Revenue		LFL growth

+2pts contribution from AI in H1 FY24

Resilient performance in Digital channel

Ease of price increase contribution since Dec. 2023

Lagging demand from Corporate, especially in Europe with prolonged decision-makingprocesses and slower-than-expectedramp-up

H1 FY24 Results

H2 FY24 initiatives and outlook

• Improving customer acquisition with Freemium strategy and Postpaid process

x3 number of new Public Cloud projects

in March 2024 vs H1 average

• Reaping the fruits of marketing efforts in H2 with reinforced Tech lead generation

x3 number of "Events" leads in March 2024 vs H1 average

• Beta of 3-AZ Public Cloud offering in Q4 FY24

8

Private Cloud

H1 FY24 Performance

€302.5m		+12.0%
Private Cloud		Private Cloud
Revenue		LFL growth

Consistent & solid growth for the SecNumCloud segment

Reduced digital lead generation, yet unchanged conversion rate

Longer ramp-up of Corporates in Europe, still resizing their existing workloads, while first signs of rebound observed in USA mid-Q2

H1 FY24 Results

H2 FY24 initiatives and outlook

• Enhancing partners channel with new incentive plans to reward top performing partners
• Refreshing Baremetal offering with a new entry-range generation

Launch in Q4 FY24

• Adapting Hosted Private Cloud offerings to navigate through the opportunities and challenges linked to VMware's acquisition by Broadcom

Selected as one of Broadcom's top partners

Launch of new VMware offerings

9

Webcloud & Others

H1 FY24 Performance

€95.1m		+2.9%
Webcloud & Others		Webcloud & Others
Revenue		LFL growth

Strong Domain names with high level of multi-yearrenewals thanks to successful implementation of new User Experience features

Success of webhosting offerings with refreshed

hardware, launched in Q1

Stabilisation in Telephony business thanks to an

upgrade of product offering

H1 FY24 Results

H2 FY24 initiatives and outlook

• Favourable market trends in Domain names, with slightly higher comparison basis in H2
• On-goingdevelopment of new website builder features for individuals and self-employed
• Updated Telephony offering and new Fiber partnership with Bouygues Telecom

10