Telefonica Deutschland Holding AG · LS:A1J5RX

Telefonica Deutschland — FY2020 Earnings Presentation

19 slides from Telefonica Deutschland's earnings presentation, Feb 24, 2021

  1. Slide 1: Q4/FY20 results

    aya Telefe ric: | Deutsch a “Brelenat (Q4/FY20 results — 24 February 2021 Markus Haas Markus Rolle CEO (dze) (©) @Markus Haas () @Markus Rolle

  2. Slide 2: Disclaimer

    Disclaimer This document contains statements that constitute forward-looking statements and expectations about Telefénica Deutschland Holding AG (in the following “the Company” or “Telefénica Deutschland”) that reflect the current views and assumptions of Telefénica Deutschland's management with res

  3. Slide 3: Achieved FY20 outlook on back of strong operational & financial performance

    Achieved FY 20 outlook on back of strong operational & financial performance Fully absorbing C-19 impacts Mobile Growth . gaining rural share & reinforcement in urban Revenue YoY OIBDA! YoY Capex/Sales +1.8% +0.2% 14.5% +2.8%" Q Smart Bundling (incl. FMS) capturing value & reducing churn : FY20 outl

  4. Slide 4: Recovery trends

    Recovery Recovery 2020 2020 Historic low-levels 2019 2020 Limited due to travel restrictions 2020 2020

  5. Slide 5: Network quality equalisation achieved

    Network quality equalisation achieved Boost Rural Coverage Equalisation of Network Quality 5 | S00 |) ER core Evolution of ‘connect’ Test Results /] 99% a 950 Extraordinary 4G/5G cov r. Full 850 Very Good Accelerate Urban Capacity 2020 2021 2022 ap 2025 7 ; Satisfactory 4G capacit 3G Sunsetocleted}

  6. Slide 6: Leveraging network sharing opportunities and co-operations

    Leveraging network sharing opportunities and co-operations Passive g Equal contribution to total of ~6k sites Grey spot sh Active Bilateral agree ombined >1.2k sites Mobile pact Germany digital transformation agenda imum of ~1.4k sites 0. Boom MIG Government fund for mobile infrastructure | Selectiv

  7. Slide 7: Driving commercial momentum to generate sustainable growth

    Driving commercial momentum to generate sustainable growth Sustained focus on own customers base . FY21—key operational activities Mobile Growth Business : Consumer Gaining rural share & ; - reinforcement in urban Improve products and services along key NPS drivers ‘Felefinica : Mass-market & Focus

  8. Slide 8: FY21 — building on operational momentum and network equalisation

    FY21 — building on operational momentum and network equalisation FY20 outlook Flat to slightly positive Actuals FY20 FY21 outlook? +1.8% +2.8%! Flat to slightly positive Revenues (incl, reg, impacts of -EUR 20-30m) HE ently p 2019 2020 _ +0.2% |+2.7%1) OIBDA2 Broadly stable to slightly positive Broa

  9. Slide 9: Telefonica Deutschland establishes long-term partnership with 1&1 Drillisch

    Telefonica Deutschland establishes long-term pa rship with 1&1 Drillisch National roaming agreement (NRA) secures valuable long-term revenue streams + Initial 5-year contract period: Jul-20—Jun-25 + NRA commercial terms also apply to MBA MVNO services * 2x extension option for 1&1 Drillisch up-to 20

  10. Slide 10: Markus Rolle, CFO

    Markus Rolle CFO

  11. Slide 11: Growth momentum across all revenue lines

    Growth momentum across all revenue lines Revenue growth +2.8%! yoy +2.7% 1,970 2,023 total Q419 Q4 20 Telefonica Deutschland Accelerating revenue trends Hi mse yoy +2.4% -3.3% +0.0% +1.3% Pion | = 120 Q220 Q320 Q4 20 HM Handset yoy +7.7% +14.4% -2.1% +4.4% EZ Es fw 41 Qi20 Q220 Q320 Q4 20 Hl Fixed y

  12. Slide 12: Strong own brand momentum

    Strong own brand momentum Mobile Net Adds (k) Fixed Net Adds (k) 0, Postpaid churn Churn 1.3% 1.1% 1.0% 1.0% 1.1% 0.9% 0.8% 0.9% 0.9% 0.9% 490 Customer Base 308 2.3m 227 236 [ea 78 47 | s | Ql 20 Q220 Q320 Q4 20 FY20 Ql 20 Q220 Q320 Q4 20 FY20 HM Postpaid (exM2M) Ml M2M Mobile Postpaid ARPU (EUR) Fi

  13. Slide 13: Continued OIBDA growth momentum

    Continued OIBDA growth momentum a4 y-0-y OBIDA margin 43.2%! 31.6% /+0.2pp. -672 . [15]... a 2,023 -619 11 Revenue Other Income Supplies Personnel expenses Other Exceptional effects® OIBDA adj. expenses" for exceptional effects FY20 141 -2,435 -611 7,532 Revenue Other Income? Supplies Personnel expe

  14. Slide 14: Solid financial position

    Solid financial position Telefonica Deutschland WC movements: EUR 11 m OIBDA Net Debt. 31.12.2019 94 29 9 766 re a —_ Th 1,896 Neteffect from CapExex CapEx Prepayments Restructuring Otherworking Purchase Others FCF pre Lease sale of assets spectrum! payables! capital price infra- dividends & payment

  15. Slide 15: Confident FY21 outlook and mid-term guidance

    Confident FY21 outlook and mid-term guidance Revenues OIBDA2 c/s Telefonica acluding regul Deutschland FY21 outlook! Flat to slightly positive Broadly stable to slightly positive 17-18% Mid-term guidance 2020 - 2022 Cumulated growth of min. 5% Ongoing margin improvement? Investment programme C/S of

  16. Slide 16: Summary

    Summary Confident FY21 outlook on back of strong operational & financial FY20 performance Achieved FY20 outlook fully absorbing C-19 impacts Strong operational & financial performance as well as mobile network equalisation Core business momentum fully intact - growth across all revenue lines Interna

  17. Slide 17: Management Q&A

    Telefonica Deutschland Management Q&A B. F Markus Haas Markus Rolle CEO CFO ff @Markus Haas ff) @Markus Rolle

  18. Slide 18: Any questions?

    g? © _ Any question We look forward to hearing from you! & +49 89 2442 1010 © ir-deutschland@telefonica.com Christian Kern Marion Polzer, CIRO Eugen Albrecht Director Investor Relations Head of Investor Relations Senior Investor Relations Officer +49 179 900 0208 (3) +49 176 7290 1221 +49 176 3147 5

  19. Slide 19: Jelefontca

    Jelefontca Deutschland

Telefónica Deutschland Holding — FY2020 Earnings Presentation on 6ix