Magyar Telekom Telecommunications Plc · BET:MTELEKOM
Magyar Telekom Telecommunications — Magyar Telekom — Q1 2014 Earnings Presentation
14 slides from Magyar Telekom Telecommunications's earnings presentation, May 8, 2014
Slide 1: Magyar Telekom Group Q1 2014 Results Presentation
MAGYAR TELEKOM GROUP Q1 2014 RESULTS PRESENTATION MAY 8, 2014
Slide 2: Q1 2014 Highlights
Q1 2014 HIGHLIGHTS Revenues decreased by 3.0% to HUF 151.9 billion REVENUE Lower fixed and mobile voice revenues, coupled with lower revenues from SI/IT and energy services EBITDA increased by 3.8% to HUF 40.5 billion REPORTED Improvement in gross margins across all areas coupled with reduct
Slide 3: Q1 2014 Results and Public Targets for 2014
Q1 2014 RESULTS AND PUBLIC TARGETS FOR 2014 Q1 2014 RESULTS 2014 TARGETS REVENUE -3.0% Flat to 3% decline Lower energy revenues due to November 2013 cut in regulated retail energy prices and the mild winter Decline in equipment sales and SI/IT revenues REPORTED +3.8% 3%-6% decline EBITDA Stron
Slide 4: Q1 2014 Group Results – Revenues and EBITDA
Q1 2014 GROUP RESULTS – REVENUES AND EBITDA GROUP REVENUES GROUP EBITDA HUF bn HUF bn -3.0% 3.8% 158 42 156.6 -1.2 1.7 -1.1 156 -1.8 0.8 -1.3 154 -0.7 41 -1.1 40.5 -0.8 1.1 151.9 1.5 152 -1.8 0.9 0.6 40 150 148 39.0 39 2 0 0 Q1 Mobile Fixed Fixed Equip. SI/IT Energy M. non- TV Other Q1 Q1 2013 Energ
Slide 5: Q1 2014 Segment Results – Revenues and EBITDA
Q1 2014 SEGMENT RESULTS – REVENUES AND EBITDA SEGMENTS’ REVENUE DEVELOPMENTS SEGMENTS’ EBITDA DEVELOPMENT HUF bn HUF bn 160 42 3.8% 158 -3.0% 1.9 -0.3 41 -0.1 0.0 156.6 -2.9 40.5 156 40 154 -0.8 39.0 -1.5 39 0.1 0.3 151.9 152 0 35 Q1 2013 T-HU T-Systems Maced. Monten. Elim. Q1 2014 Q1 2013 T-HU T-Sy
Slide 6: Hungary – Fixed Voice Market
HUNGARY – FIXED VOICE MARKET TELEKOM HUNGARY FIXED VOICE SUBSCRIBERS Significant reduction in fixed voice churn due to the Subscribers 2,000,000 retention effect of: -2% – Hoppá package 1,500,000 1,449,349 1,425,855 – 2Play/3Play offers – Retail energy bundling 1,000,000 VoCa Decline in 1Play cu
Slide 7: Hungary – Energy Retail
HUNGARY – ENERGY RETAIL GAS AND ELECTRICITY POINTS OF DELIVERY (POD) RETAIL ENERGY BUSINESS PODs (thousand) 200 Soft launch in 2010, nationwide since April 2012 Gas Electricity Residential customers receive a 3-8% discount to 150 regulated universal service prices on their energy 68.7 67.6 67.6
Slide 8: Telekom Hungary -- Broadband and TV Market
TELEKOM HUNGARY -- BROADBAND AND TV MARKET FIXED BROADBAND SUBSCRIBER BREAKDOWN Subscribers +6% 1,000,000 935,962 884,043 6% 5% Growth in broadband market driven by cable 750,000 29% 30% and fiber Significant ARPU pressure from multiplay 500,000 Fiber Cable BB migration and local pricing 57% 56%
Slide 9: Telekom Hungary – Mobile Market
TELEKOM HUNGARY – MOBILE MARKET TELEKOM SMARTPHONE PENETRATION % of total handsets Improving customer mix: y-o-y increase in 50 % postpaid ratio from 47.5% to 48.7% 43.9 % 41.1 % 40 % Smartphone sales reached 92% of postpaid 31.3 % handsets 30 % Broadband subscription attach rate at ca. 90% 20
Slide 10: Macedonia and Montenegro
MACEDONIA AND MONTENEGRO MACEDONIAN MOBILE VOICE MARKET One (T. Slovenia) MONTENEGRIN MOBILE VOICE MARKET Telenor VIP (TKA) Subscribers m:tel (T. Serbia) Subscribers T-Mobile +4% T-Mobile -8% 0% -1% 1,500,000 2,500,000 -6% -14% 24% 22% 1,200,000 0% 2,000,000 24% 24% 25% -5% 40% 20% 26% 900,000 41% 1
Slide 11: Magyar Telekom – Consolidated Income Statement
MAGYAR TELEKOM – CONSOLIDATED INCOME STATEMENT HUF million Q1 2013 Q1 2014 Change Mobile revenues 73,213 73,382 0.2% Fixed line revenues 54,047 51,813 -4.1% System Integration/Information Technology revenues 14,012 13,189 -5.9% Revenue from Energy Services 15,337 13,509 -11.9% Revenues 156,609 151,8
Slide 12: Magyar Telekom - Consolidated Balance Sheet
MAGYAR TELEKOM - CONSOLIDATED BALANCE SHEET HUF million Mar 31, 2013 Mar 31, 2014 Change Current assets 231,042 202,910 -12.2% Cash and cash equivalents 34,799 13,748 -60.5% Other current financial assets 42,560 33,916 -20.3% Non current assets 845,670 893,699 5.7% Property, plant and equipment - ne
Slide 13: Magyar Telekom - Consolidated Cash Flow Statement
MAGYAR TELEKOM - CONSOLIDATED CASH FLOW STATEMENT HUF million Mar 31, 2013 Mar 31, 2014 Change Net cash generated from operating activities 13,003 25,263 94.3% Investments in tangible and intangible assets (16,712) (17,292) 3.5% Adjustments to cash purchases (3,875) (8,031) 107.3% Purchase of subsid
Slide 14: For further questions please contact the IR department
For further questions please contact the IR department: Investor Relations Phone: +36 1 458-0424 Fax : +36 1 458-0443 e-mail: investor.relations@telekom.hu Abbreviations: 3G: third generation, 4G: fourth generation, ARPU: average revenue per user, BB: broadband, CUG: closed user group, HQ: headquart