Slide 1: Taiwan Mobile Co., Ltd. 1Q16 Results Summary
Taiwan Mobile Co., Ltd. 1Q16 Results Summary April 28, 2016 1
Slide 2: Disclaimer
Disclaimer The information contained in this presentation, including all forward- looking information, is subject to change without notice, whether as a result of new information, future events or otherwise, and Taiwan Mobile Co., Ltd. (the “Company”) undertakes no obligation to update or revise the
Slide 3: Business Overview
Business Overview 3
Slide 4: Mobile Growth Leading the Pack
Mobile Growth Leading the Pack YoY Growth Rates for 1Q16 via Different Metrics Total Subscribers Blended ARPU1 1.6% 1.2% 0.9% CHT FET TWM CHT FET TWM ‐0.2% ‐1.5% ‐1.5% Mobile Service Revenue1 Telecom EBITDA 1.7% 12% 1.0% 8% 5% CHT FET TWM ‐1.2% CHT FET TWM 1. Based on IFRS – Residual Value Method, i
Slide 5: Margin Expansion in Retail Business
Margin Expansion in Retail Business (Unit: NT$bn) momo 1Q16 QoQ YoY Total Revenue 7.01 2% 12% - Online Shopping 4.99 5% 23% - TV Home Shopping & Others 2.01 -4% -8% EBITDA 0.40 42% 20% EBITDA Margin 5.6% +1.6ppts +0.4ppts 5
Slide 6: Financial Overview
Financial Overview 6
Slide 7: Results Summary
Results Summary 1Q16 NT$mn % of 1Q16 Amount YoY QoQ Forecast Revenue 29,199 -2% -4% 100% Cost (19,682) -6% -9% 97% Operating expense (4,513) 3% -3% 98% Operating income 5,005 15% 15% 113% Net non-oper. items (235) 21% 19% 64% Income before tax 4,769 15% 15% 117% Net income 3,773 -1% 0% 115% EPS (NT$
Slide 8: Performance by Business
Performance by Business Revenue EBITDA NT$bn Telecom CATV momo Total Telecom CATV momo Total 1Q16 20.50 1.64 7.01 29.20 7.06 0.90 0.40 8.42 % of 70% 6% 24% 100% 84% 11% 5% 100% total 1Q16 -6% 1% 12% -2% 12% 1% 20% 11% YoY 4Q15 -1% 4% 8% 1% 10% 4% -28% 8% YoY Note: The combined total of telecom, CATV
Slide 9: Balance Sheet Analysis
Balance Sheet Analysis NT$bn 1Q16 4Q15 1Q15 1Q16 4Q15 1Q15 Total Assets 153.75 156.09 157.23 Liabilities 84.09 90.79 87.10 Current Assets 32.96 34.16 33.29 Current Liabilities 49.84 59.23 56.12 - Cash & Cash Equivalents 8.70 8.58 8.22 - ST Debts 25.53 35.28 30.99 - Accounts Receivable 15.70 15.70 15
Slide 10: Cash Flow Analysis
Cash Flow Analysis NT$bn 1Q16 4Q15 1Q15 Operating Cash Flow 10.03 7.74 5.38 Investing Cash Flow (2.91) (1.76) (6.68) Financing Cash Flow (7.00) (4.68) 1.62 NT$bn 1Q16 4Q15 1Q15 Cash CAPEX (2.75) (2.80) (3.29) Free Cash Flow 7.29 4.94 2.09 10
Slide 11: Event Updates
Event Updates 11
Slide 12: Event Updates
Event Updates 2015 Earnings Distribution TWM’s board meeting today (April 28, 2016) approved a proposal to distribute NT$15.2bn in cash dividends, translating into a 97% payout to shareholders. Dividend per share is NT$5.6 on 2.72bn shares, excluding treasury shares held by 100%-owned subsidiaries.
Slide 13: TWM’s Latest 4G Rate Plans
TWM’s Latest 4G Rate Plans Effective May 1, 2016 Monthly Fee 4G Rate Plans $199 $399 $599 $799 $999 $1,199 $1,399 $1,599 $1,899 $2,599 Monthly Usage Cap 200MB 3GB 6GB 9GB 16GB 26GB 6 Months / 12 Months / Data Months of Unlimited Unlimited Data 3 Months / 24 Months 24 Months Data Usage / - 30 Months
Slide 14: Key Message
Key Message The mobile industry’s rational moves on 4G rate plans set the tone for a healthier growth path for the industry. Taiwan Mobile is expected to benefit from better operating leverage and stronger free cash flow generation going forward. 14
Slide 15: Q&A
Q&A 15