11 slides from Singapore Telecommunications's investor day presentation, Aug 24, 2023
Slide 1: Singtel Investor Day 2023: Laying the foundation for growth
Singtel Investor Day 2023 Laying the foundation for growth Yuen Kuan Moon, Group CEO 24 August 2023
Slide 2: Recent trends that have shaped telcos
Recent trends that have shaped telcos Tailwinds Headwinds • Market repair with industry • Some markets still face intense price consolidation in many Asian markets competition Profitability • Post-COVID recovery on roaming • 5G yet to realise full potential • Growth in Enterprise • Mobile penetratio
Slide 3: Riding on the tailwinds
Riding on the tailwinds Price ups from market Positive industry trends Reshape our core business consolidation 4 out of 6 markets we operate in Roaming revenues1 have consolidated up 33% in SG; 65% of Integrate enterprise & pre-COVID levels consumer businesses Raising prepaid Feb 2022 Jun 2021 Jun 2
Slide 4: Leveraging 5G for enterprise transformation
Leveraging 5G for enterprise transformation Commercialisation of 5G services across Driving adoption industries 30 trials & 4 live deployments Manufacturing Security 5G@SENTOSA Meta Factory Integrated Partnerships to drive innovation Command Centre Edge Compute incubator Healthcare Transportation Az
Slide 5: Regional associates gaining momentum after consolidation
Regional associates gaining momentum after consolidation Strong FCF for investments & Leading market repair Focus on profitable growth returns ARPU EBITDA Margin (%) 200 55 Airtel FCF (Latest FY) Airtel 195 54 US$1.4B (INR) 190 53 Jio 185 52 180 Jio 51 0 0 50 Jun-22 Sep-22 Dec-22 Mar-23 Jun-23 Jun-2
Slide 6: Capturing the regional broadband opportunity
Capturing the regional broadband opportunity Sizeable untapped opportunities in Regional Associates’ (RAs) markets .. that RAs are well-positioned to capture (Customer market share1) Peers Peers Peers Peers 25% Penetration 10% 17% 43% 34% 320 56% 71% 69 82% Addressable market1 33 (‘M) 26 75% 21 12 9
Slide 7: Executing our strategic reset
Executing our strategic reset Capitalise on growth Recycle capital to Champion people & Reinvigorate the core trends unlock value sustainability Trusted digital Sustainable growth Best in class returns Employer of choice services provider and value CORE C-O-M-M-I-T VALUES 7
Slide 8: Growth engines executing to plan
Growth engines executing to plan RDC1 Empowering digital economies Continuing strong momentum Building regional scale Executing to its 3-axis strategy +16% to S$2.7B2 Revenue 60MW to 155MW Capacity in FY26 49% to 51%2 Digital business 3 14.5%2 Asset yield 26% to 33%2 Enterprise 3 Exploring opportuni
Slide 9: New digital businesses scaling well
New digital businesses scaling well Exporting Paragon1 globally Creating a differentiated digital offering Live since Aug 22 GXS GXS Telcos in Asia 2 deployed Savings Account FlexiLoan 1 Telco in North America doing trial deployment Target launch by end 23 Telcos in Asia & EU 3 deploying soon EBITDA
Slide 10: Maintain attractive shareholder returns
Maintain attractive shareholder returns Dividend per share Holistic approach to dividends S cents 20 Strategic reset FY23 Total dividends 14.9 cents (▲ 60%) 17.5 15 14.9 Dividend yield 6.4%3 12.3 10.7 5.0 10 9.3 5.5 7.5 Dividend policy 4.8 5.3 2.4 5 Between 60% & 80% of underlying NPAT 6.8 6.8 5.1 4
Slide 11: Singtel
Singtel