Dialog Axiata Plc · CSELK:DIAL.N0000
Dialog Axiata — Q4 2020 Earnings Presentation
18 slides from Dialog Axiata's earnings presentation, 2021
Slide 1: Q4 2020 & FY 2020 Results
Dialog Axiata PLC Sri Lanka's Premier Connectivity Provider Q4 2020 & FY 2020 Results an axiata company
Slide 2: Dialog Axiata Group Performance
Dialog Axiata Group Performance Dialog Axiata PLC - Company Performance Subsidiary Performance – Dialog Broadband and Dialog TV 2
Slide 3: Dialog Group Performance Highlights – FY 2020
DIALOG GROUP PERFORMANCE HIGHLIGHTS – FY 2020 The Achievement of Stable Financial Performance Not-withstanding the Exceptional Challenges of the Covid-19 Pandemic was Founded on the Deployment of a Range of Strategic and Operation Levers on the Backdrop of a Supportive Policy Framework and Stable Ma
Slide 4: Dialog Group Response to Covid-19
DIALOG GROUP RESPONSE TO COVID-19 Supporting out Customers, Government and Community Customers Government Community •FREE 7 Day pack (250 D2D, 1GB) • In supporting GoSL efforts in battling Covid-19, the Group contributed a sum of Rs200Mn to uplift critical health •Double Benefits Data & Voice e-Conn
Slide 5: Acquisition of H-One
ACQUISITION OF H-ONE Acquisition of 100% Stake in H-One (Pvt) Ltd from Hirdaramani Investment Holdings Dialog Axiata PLC Hirdaramani Investment Holdings Acquisition of 100% shareholding 100% 90%1 Dialog Broadband H-One (Pvt) Ltd Networks (Pvt) Ltd COMPANY OVERVIEW H-One Operations • Cloud deployment
Slide 6: Group Financial Summary
GROUP FINANCIAL SUMMARY Rs Mn FY 2020 YTD 4Q 2020 QoQ YoY Revenue 120,142 +3% 32,247 +6% +9% EBITDA 50,854 +9% 14,346 +5% +23% PATAMI 12,034 +12% 3,437 -28% +42% OFCF 18,219 +36% (3,237) -159% +24% EBITDA Margin 42.3% +2.4pp 44.5% -0.3pp +5.2pp PAT Margin 10.0% +0.8pp 10.7% -5.1pp +2.5pp ROIC 12.6%
Slide 7: Group Revenue Recovered to Inch Towards Mid Single Digit Growth on YTD Basis
GROUP REVENUE RECOVERED TO INCH TOWARDS MID SINGLE DIGIT GROWTH ON YTD BASIS Positive Revenue Growth Across YTD, YoY and QoQ +9% +3% +6% 116,827 120,142 140 ,000 120 ,000 100 ,000 80, 000 60, 000 29,665 30,471 32,247 40, 000 20, 000 0 FY 2019 FY 2020 Q4 19 Q3 20 Q4 20 Revenue Mobile Revenue recorded
Slide 8: Group EBITDA and PATAMI
GROUP EBITDA AND PATAMI YTD PATAMI Growth Resulting from Improved EBITDA and Contraction EBITDA Growth and Higher Margin Driven by Diligent in Finance Cost. QoQ Decline in PATAMI Owing to One-off Depreciation Overall Cost Management Initiatives Charge of Circa Rs0.9Bn (Rs Mn) (Rs Mn) +12% | Norm +25
Slide 9: Total Cost to Revenue Ratio Decline by 2.3pp in FY 2020 YTD
TOTAL COST TO REVENUE RATIO DECLINE BY 2.3PP IN FY 2020 YTD Total Cost Savings of Rs4.1Bn in FY 2020 from Cost Management Initiatives Q4 20 As % of Q3 20 As % of Q4 19 As % of FY 2020 As % of QoQ YoY YTD revenue revenue revenue revenue Total Cost Rs17,901Mn 55.5% Rs16,830Mn 55.2% Rs18,008Mn 60.7% Rs
Slide 10: Capex Investments Mainly Directed Towards Mobile and Fixed Data Network Upgrades
CAPEX INVESTMENTS MAINLY DIRECTED TOWRADS MOBILE AND FIXED DATA NETWORK UPGRADES Capex Intensity at 24% for FY 2020; OFCF Reach Rs18.2Bn for the Year Up 36% YTD Capex Investments Directed Towards Expanding Data Networks and Digitization; Mobile 4G and Fixed LTE PoP Coverage Reached 94% and 70% (Rs M
Slide 11: Dialog Group Maintains a Strong Balance Sheet with Low Gearing
DIALOG GROUP MAINTAINS A STRONG BALANCE SHEET WITH LOW GEARING (Rs Mn) 31 Dec 20 30 Sep 20 31 Dec 19 Gross Debt 37,852 1 39,053 1 44,876 Net Debt 23,766 25,722 39,986 Cash and Cash Equivalents 14,086 13,331 4,890 Gross Debt / Equity (x) 0.46 0.49 0.60 Gross Debt/ EBITDA (x) 0.74 0.80 0.96 Net Debt/
Slide 12: Proposed Dividend Per Share 74 Cents; Dividend Yield of 6.0% for FY 2020
PROPOSED DIVIDEND PER SHARE 74 CENTS; DIVIDEND YIELD OF 6.0% FOR FY 2020 | DPR 50% Progressively higher DPS maintained with a 39.6% increase from FY 2019 ▪ The Board of Directors of Dialog Axiata PLC resolved to propose a cash dividend to ordinary shareholders of 74 cents (Rs0.74) per share totaling
Slide 13: Dialog Axiata Group Performance
Dialog Axiata Group Performance Dialog Axiata PLC - Company Performance Subsidiary Performance – Dialog Broadband and Dialog TV 13
Slide 14: Dialog Axiata PLC (Company): YTD Revenue Remain Stable
DIALOG AXIATA PLC (COMPANY) : YTD REVENUE REMAIN STABLE; COST MANAGEMENT ENABLING MODEST GROWTH IN PROFITABILITY Revenue Recovered in 2H 2020 to End the Year with a Flat MOU’s Continue to Improve; ARPU Recovering from the Dip in Q2 ‘20 Growth for FY 2020 and Remaining Stable (Rs Mn) -0.2% +6% 500 20
Slide 15: Dialog Axiata Group Performance
Dialog Axiata Group Performance Dialog Axiata PLC - Company Performance Subsidiary Performance – Dialog Broadband and Dialog TV 15
Slide 16: Dialog Television
DIALOG TELEVISION Revenue Recovery in 2H 2020 Resulting in Stable Revenue Performance for FY 2020. Profitability Impacted by Currency and Covid Concessions Revenue Recovered After Covid-19 Impact in Q2 to end the Year QoQ Subscriber Growth Improvement Led by Both Higher with Stable Performance for F
Slide 17: Dialog Broadband Networks
DIALOG BROADBAND NETWORKS Continues to Deliver Growth on both Top and Bottom Line Strong Revenue Growth Driven by Fixed Broadband Owing to Higher Gross Adds, Coupled with Growth in International EBITDA Improve amid Revenue Growth and Cost Management Wholesale Revenue (Rs Mn) +14% | Fixed (+7%) Int.
Slide 18: Thank you
Thank you For further information Contact : Investor relations Team, Dialog Axiata PLC Mobile : +94 777332052 Email : ir@dialog.lk Web site : www.dialog.lk 18