Ooredoo Q.p.s.c · QSE:ORDS
Ooredoo Q.p.s.c — Qtel Group — FY2009 Earnings Presentation
39 slides from Ooredoo Q.p.s.c's earnings presentation, 2010
Slide 1: The Qtel Group: Balanced performance, Full Year 2009 Results
The Qtel Group Balanced performance Full Year 2009 Results
Slide 2: Disclaimer
Disclaimer • Qatar Telecom (Qtel) Q.S.C. cautions investors that certain statements contained in this document state management's intentions, hopes, beliefs, expectations, or predictions of the future are forward-looking statements • Management wishes to caution the reader that forward-looking state
Slide 3: Contents
Contents • Results review • Strategy review • Operations review 2
Slide 4: Group results: Key 2009 developments
Group results Key 2009 developments Solid results despite a challenging year • Competitive dynamics in key markets • Global economic climate Performance in existing and new markets demonstrates resilience of market strategies • Qatar – adapting to significant market developments • Indonesia – a retu
Slide 5: Group results: Revenue and EBITDA
Group results1 Revenue and EBITDA Revenue (QARm) EBITDA (QARm) and EBITDA Margin +15% +18% +90% +93% +95% +139% Performance and profitability on track despite a challenging year Note: (1) All Indosat results as reported adhere to IFRS which may in some instances differ from INDOGAAP; 12M‘07 and 12M‘
Slide 6: Group results: Net profit and net debt
Group results Net profit and net debt1 Net profit attributable to Qtel shareholders Net debt1 (QARm) and net debt / EBITDA ((QARm)) +21% +19% +38% +8% -1% 1% Continued focus on delivering returns to our shareholders Note: (1) Net Debt = Total interest bearing loans and borrowings + contingent liabil
Slide 7: Group results: Cash flow from operations and capital expenditure
Group results Cash flow from operations and capital expenditure Cash flow from operations1 (QARm) Capex (QARm) and capex / revenue (%)1 +78% +48% +196% +175% -14% 14% +101% Cash flow growth aligned with targeted investment in our growth markets 6 Note: (1) Post-acquisition results
Slide 8: Group results: Total group debt breakdown
Group results Total group debt breakdown Total group debt breakdown Total group debt1 (QARm) (% as of December 31, 2009) Short-term Short term Long-term 35,683 27,975 21,625 2 648 Flexible debt management and conservative maturity profile Note: (1) Short term debt includes debt with a maturity of le
Slide 9: Qtel Q.S.C. funding sources and debt maturity profile
Group results Qtel Q.S.C. funding sources and debt maturity profile Qtel Q.S.C. debt maturity profile (QARm as of December 31, 2009) Qtel Q.S.C. committed lines and maturity (millions) • US$ 2,000 2011 • US$ 3,000 2012 US$5bn GMTN Program initial issuance1 (millions) • US$ 900 6.500% (coupon) June 2
Slide 10: Group results: Total and proportional customers
Group results Total and proportional customers Total customers1 Proportional customers1 +5% +40% +253% +244 +848% +377% Continuing customer growth Note: (1) As at 31 December 9
Slide 11: Group results: 2009 FY performance summary
Group results 2009 FY performance summary 12 months Change 2009 Qtel Analyst ended FY 2009 / Group Consensus1 QAR Millions December 2009 FY 2008 Guidance Consolidated revenue 24,025 +18% +20-22% +20 22% 24,153 +19% EBITDA 11,309 +15% +18-20% 11,422 +17% Nett profit N fit attributable tt ib t bl to t
Slide 12: Contents
Contents • Results review • Strategy review • Operations review 11
Slide 13: Strategy: Key developments and focus
Strategy Key developments and focus Acquire/Merge Portfolio Development Manage Minorities Carve-outs Operational & Financial Synergies Operational Performance Innovation Management Funding Capital Markets Liquidity q y Our strategy and focus have remained consistent; implementation of the best optio
Slide 14: Contents
Contents • Results review • Strategy review • Operations review 13
Slide 15: Group operations: Qatar and Iraq
Group operations Revenue & EBITDA Margin Qtel - Qatar Qtel – Qatar • Q4 was first quarter of real competitive impact: (QARm) - Very aggressive price competition +4% - Value retained in post-paid segment • Segmented pricing efforts continued • Corporate segment performing well as new solutions introd
Slide 16: Group operations: Indonesia and Oman
Group operations Revenue & EBITDA Margin Indosat - Indonesia Indosat – Indonesia (pro-forma for 12M 2008) • Subscriber growth continuing following Q3 QARm IDRbn turnaround • Results are a balance of the value strategy and -2% -8% the need to maintain a suitable leadership image • EBITDA increase dri
Slide 17: Group operations: Kuwait and Algeria
Group operations Revenue & EBITDA Margin Wataniya - Kuwait Wataniya – Kuwait • Successfully maintaining market share with QARm KWDm continued subscriber and top top-line line growth -17% • Customer retention efforts paying off; segmented -12% programs and unique to market promotions taking -20% trac
Slide 18: Group operations: Tunisia and Palestine
Group operations Revenue & EBITDA Margin Tunisiana – Tunisia • Revenue growth continuing to outpace market growth • Strong improvement in profitability YoY • Competitive entranced delayed until Q2 2010 Tunisiana - Tunisia QARm TNDm -3% Wataniya – Palestine +8% • Successful network and commercial lau
Slide 19: Group results: Key 2009 developments summary
Group results Key 2009 developments summary Solid results despite a challenging year • Adjusting to competitive dynamics • Proactive financial management Key and new market performance demonstrating resilience of market strategies • Delivering growth in mature markets • Gaining market share in growt
Slide 20: Any further questions?
Q Group Qtel p Investor Relations Department p Qtel Headquarters Building – PO Box 217 Any further West Bay, Doha questions? Tel: +974 440 4446 IR@qtel.com.qa @q q Upcoming Q1 2010 Financial Highlights – TBD events 19
Slide 21: Thank-you
Thank-you
Slide 22: Contents
Contents • The Qtel Group • Results review • Operations review • Additional information 21
Slide 23: Qtel - Qatar
Additional information Qtel - Qatar Key developments Operator importance to group • Q4 was first quarter of real competitive impact: Customers: 4.0%; Revenue: 23.7%; EBITDA: 29.5%; Capex: 11.2% • Very aggressive price competition • Value retained in post-paid segment Pop : 1.6M • Segmented pricing e
Slide 24: Indosat - Indonesia
Additional information Indosat - Indonesia Key developments Operator importance to group • Continued stabilization of market dynamics Customers: 55.7%; Revenue: 27.4%; EBITDA: 28.4% • Subscriber growth continuing following Q3 turnaround Pop : 243M esia • Results are a balance of the value strategy a
Slide 25: Asiacell - Iraq
Additional information Asiacell - Iraq Key developments Operator importance to group • Strong revenue and EBITDA growth continues Customers: 12.1%; Revenue: 16.6%; EBITDA: 19.5%; Capex: 14.6% • VAS and roaming contributing to steady ARPU growth Pop : 31.3M • Net income down due to non-operational Po
Slide 26: Nawras - Oman
Additional information Nawras - Oman Key developments Operator importance to group • Continued solid growth in revenue and EBITDA Customers: 3.1%; Revenue: 6.8%; EBITDA: 7.3%; Capex: 3.5% • Launch of MVNOs being felt in specific segments but market share and ARPU levels maintained Pop: 3.09M • Succe
Slide 27: Wataniya - Kuwait
Additional information Wataniya - Kuwait Key developments Operator importance to group • Successfully maintaining market share with Customers: 2.5%; Revenue: 10.6%; EBITDA: 10.7%; Capex: 4.8% continued subscriber and top-line growth • Customer retention efforts paying off; segmented Pop : 3.6M progr
Slide 28: Tunisiana - Tunisia
Additional information Tunisiana - Tunisia Key developments Operator importance to group (Revenue and EBITDA @ 50%) • Revenue growth continuing to outpace market growth Customers: 8.6%; Revenue: 5.4%; EBITDA: 6.2%; Capex: 1.8% • Strong improvement in profitability YoY • Competitive entranced delayed
Slide 29: Nedjma - Algeria
Additional information Nedjma - Algeria Key developments Operator importance to group • Large investment as Q4 opened a window of Customers: 13.3%; Revenue: 7.5%; EBITDA: 5.2%; Capex: 6.2% opportunity • Revenue and EBITDA results impacted by customer Pop : 35.9M push Pop growth: 2% Algerria • Steady
Slide 30: Wataniya - Palestine
Additional information Wataniya - Palestine Key developments Operator importance to group • Successful network and commercial launch in Customers: 0.2%; Revenue: N/A; EBITDA: N/A; Capex: 2.5% November • Focus on gaining subscribers that use service as Pop1 : 4.04M stine their primary SIM Pop growth:
Slide 31: wi-tribe - Jordan and Pakistan
Additional information wi-tribe - Jordan Key developments Operator importance to group • WiMAX-based service with commercial launch June Customers: N/A; Revenue: 0.06%; EBITDA: N/A; Capex: 0.4% 2008 • Maintaining consistent customer growth Pop : 6.4M ordan • Fixed wireless customer base at the end o
Slide 32: Wataniya - Maldives
Additional information Wataniya - Maldives Key developments Operator importance to group • Expanded resort coverage strategy continuing Customers: 0.2%; Revenue: 0.4%; EBITDA: 0.04%; Capex: 0.4% • Revenue increase due to seasonality impacts • 28% growth in revenue over same period in 2008 Pop : 0.39
Slide 33: Bravo - KSA
Additional information Bravo - KSA Key developments Operator importance to group • Bravo customer increase of 24% from same period Customers: 0.3%; Revenue: 1.3%; EBITDA: N/A; Capex: 0.4% last year • Positive performance a result of ongoing customer Pop : 26.2M additions via targeted campaigns and w
Slide 34: Blended ARPU development (QAR)
Additional information Blended ARPU development (QAR) Qtel – Qatar Asiacell - Iraq Nawras - Oman Wataniya - Maldives Bravo – KSA Indosat - Indonesia Wataniya - Kuwait Tunisiana - Tunisia Nedjma - Algeria IDR KWD TND DZD 33
Slide 35: Key operating country statistics
Additional information Key operating country statistics Algeria Indonesia Iraq Kuwait Maldives1 Oman Palestine Qatar KSA Tunisia 2010 GDP real growth % 4.6 5.5 6.2 3.7 -4.0 3.9 N/A 23.3 3.2 2.7 (2009) (2.6) (4.6) (5.0) (-1.7) (x.x) (2.7) (-2.3) (9.5) (0.1) (1.3) Consumer prices % 5.3 6.7 6.1 3.6 N/A
Slide 36: Foreign exchange
Additional information Foreign exchange Local Currency (vs. $US) – Average Monthly Rates Fluctuation of Average Quarterly Rates (vs. $US) 20% Kuwait 20% 15% (KWD) 15% 10% Algeria (DZD) Loccal Currency Per USD ‐ Averrage Monthly Rates 5% 10% Tunisia 0% (TND) 5% ‐5% 5% IIndonesia d i 0% (IDR) ‐10% Ira
Slide 37: Consolidated Income Statement - Year Ended December 2009
Additional information Consolidated Income Statement – 1 Year Ended 31 December 2009 2009 2008 QR’000 QR’000 (Restated) Revenue 24,025,256 20,318,927 Other income 1,198,054 543,408 G General l and d administrative d i i t ti expenses (12 639 901) (12,639,901) (9 251 246) (9,251,246) Other operating
Slide 38: Consolidated Statement of Financial Position - At December 2009
Additional information Consolidated Statement of Financial Position - At 31 December 2009 2009 2008 2009 2008 QR’000 QR’000 QR’000 QR’000 (Restated) (Restated) EQUITY AND LIABILITIES ASSETS Attributable to shareholders of the parent Non-current assets Share capital 1,466,667 1,466,667 Property, plan
Slide 39: Consolidated Statement of Cash Flows - Year Ended December 2009
Additional information Consolidated Statement of Cash Flows – 1 Year Ended 31 December 2009 2009 2008 2009 2008 QR 000 QR’000 QR 000 QR’000 QR’000 QR’000 (Restated) (Restated) OPERATING ACTIVITIES FINANCING ACTIVITIES Profit before tax 4,498,227 3,119,038 Proceeds from rights issue - 5,860,804 Adjus