Liberty Global Ltd. · NASDAQ:LBTYA
Liberty Global — FY2017 Earnings Presentation
18 slides from Liberty Global's earnings presentation, Feb 15, 2018
Slide 1: Liberty Global plc Investor Call
Liberty Global plc Investor Call FY 2017 | February 15, 2018
Slide 2: Safe Harbor
“Safe Harbor” Forward-Looking Statements + Disclaimer threatened litigation; the ability of our operating companies and affiliates to access cash of their respective subsidiaries; the impact of our operating This presentation contains forward-looking statements within the meaning of companies' and a
Slide 3: Executive Summary
Slide 4: 2017 Operating & Financial Highlights
2017 Operating & Financial Highlights Investing in our customers and delivering sustainable growth STABLE ORGANIC GROWTH LEANING INTO CUSTOMERS STRATEGIC VALUE CREATION • RGU additions of 760k • Network capacity growing • European focus (post and quality improving LatAm split-off) • Rebased revenue
Slide 5: Subscriber Evolution
Subscriber Evolution 760k RGU additions in 2017 LIBERTY GLOBAL UK & IRELAND GERMANY RGUS (000) MEASURED USE OF DISCOUNTS IN H2 CONSISTENT BROADBAND GAINS 354 45,794 100 14,393 236 123 13,068 406 106 45,034 14,057 12,839 YE 2016 H1 2017 H2 2017 YE 2017 YE 2016 H1 2017 H2 2017 YE 2017 YE 2016 H1 2017
Slide 6: Organic Growth Drivers
Organic Growth Drivers Executing our Liberty GO game plan PRICE CABLE ARPU (CUSTOMER) REBASED B2B B2B REVENUE REBASED GROWTH YOY Customer ARPU growth 41.8 Strong B2B performance 41.3 14% below expectations across most markets 13% 13% 1.3% 9% UK & Ireland flat; FY Revenue growth of 12% Switzerland do
Slide 7: Virgin Media Operating Update
Virgin Media Operating Update Ending the year on a positive note REVENUE AND OCF PROGRESSION REBOUND IN MOBILE PERFORMANCE REBASED REVENUE REBASED OCF POSTPAID MOBILE NET ADDS Strong postpaid volumes GROWTH YOY GROWTH YOY (000s) 5.2% supported by 4G and SIMO 63 4.4% 3.9% 4.1% Churn significantly imp
Slide 8: Project Lightning Update
Project Lightning Update Generating long-term sustainable growth OVERVIEW CUMULATIVE PREMISES | U.K. & IRELAND 1.1M HOMES RELEASED SINCE PROGRAM INCEPTION IN 2015 Addressed execution issues faced in early 2017 1050 159 Improved controls over build pace & cost 900 147 Key metrics continue to be indic
Slide 9: Financial Results
Slide 10: Full-Year 2017 Financial Results
(1) Full-Year 2017 Financial Results Executing our levered equity growth strategy REVENUE OCF P&E ADDITIONS USD BN USD BN USD BN 2.3% REBASED GROWTH 4.5% REBASED GROWTH 27.7% 31.7% AS % OF REVENUE $14.6 $15.0 $6.7 $7.1 $4.8 $4.0 2016 2017 2016 2017 2016 2017 (2) ADJUSTED FCF LEVERAGE RATIOS SHARE RE
Slide 11: Results by Segment
(1) Results by Segment Solid growth across all markets except Switzerland LIBERTY U.K. & GERMANY BELGIUM SWITZERLAND CEE CENTRAL & GLOBAL IRELAND & AUSTRIA OTHER COSTS (2) Q4 2017 5.2% 5.6% 4.9% 4.3% 4.4% 4.6% LIBERTY GLOBAL OCF GROWTH 3.4% 2.9% 2.5% 12.3% improvement 0.9% 0.4% Q4 2016 Q4 2017 Reven
Slide 12: P&E Addition Breakdown
P&E Addition Breakdown Investing heavily in New Build and Customer Experience 2017 % of vs $mm Revenue 2016(1) CPE $1,161mm 7.7% +27% Driving next-generation products New Build & $1,158mm 7.7% +24% Pursuing high-return footprint expansion Upgrades Capacity $626mm 4.2% (4%) Investing in first-class n
Slide 13: Conclusions
Conclusions Investing in long-term sustainable growth FOCUSED ON CONTINUED SUBSCRIBER AND ARPU GROWTH 2018 Guidance(1) AROUND 5% REBASED OCF GROWTH NEW BUILD TO DELIVER MEANINGFUL OCF IN 2018 AND BEYOND P&E ADDITIONS $5.1BN, B2B OPPORTUNITY COMPELLING; INCLUDING $1.2BN OF REMAINS KEY GROWTH LEVER NE
Slide 14: Appendix
APPENDIX
Slide 15: Glossary
Glossary Adjusted Free Cash Flow: net cash provided by our financing cash inflows associated with excess tax operating activities, plus (i) cash payments for third- benefits from share-based compensation. The party costs directly associated with successful following table provides the reconciliation
Slide 16: Glossary
Glossary ARPU: Average Revenue Per Unit is the average monthly basis. In other words, a subscriber with multiple outlets in receive services from dial-up connections. subscription revenue (subscription revenue excludes one premises is counted as one RGU and a subscriber with interconnect fees, chann
Slide 17: Glossary
Glossary OCF: As used herein, OCF has the same meaning as substitute for, operating income, net earnings or loss, the term "Adjusted OIBDA" that is referenced in our cash flow from operating activities and other U.S. Form 10-K. OCF is the primary measure used by our GAAP measures of income or cash f
Slide 18: Glossary
Glossary Property and equipment additions: includes capital separately reported postpaid and prepaid mobile expenditures on an accrual basis, amounts financed subscribers. under vendor financing or capital lease arrangements and other non-cash additions. SIM: Subscriber Identification Module RGU: A