Empresa Nacional De Telecomunicaciones S.a. · BCS:ENTEL
Empresa Nacional De Telecomunicaciones — Investor Presentation (May 2025)
63 slides from Empresa Nacional De Telecomunicaciones's investor presentation, May 2025
Slide 1: Corporate Presentation
Empresa Nacional de Telecomunicaciones S.A Corporate Presentation May 2025 Contact Information: Paula Raventós, Investor Relations Officer Ignacio Reyes, Investor Relations Sr. Analyst ir@entel.cl
Slide 2: Table of Contents
Table of Contents 1. Strategy 2. Consolidated Results 3. Key Objectives 4. Our commitment to sustainability 5. Results 2
Slide 3: Reasons to Invest
Reasons to Invest 1. Leader in the telecommunications industry 2. Robust infrastructure and network quality 3. Leader in mobile network quality, branding and NPS 4. Solid and stable financial results 5. Respected controlling group and strong corporate governance 6. Commitment to sustainability 3
Slide 4: 2024 unfolded in a complex economic context that affected industry growth
2024 unfolded in a complex economic context that affected industry growth Key Consolidated Financial Metrics for 1Q25 CPI Chile (var. % 12M) GDP Chile (var. % 12 M) Exchange Rate (CLP/USD) Industry Mobile Service Revenue Growth Chile 12.8 +27,2% 2.6 2.2 2.0 2.0 $838 $659 0.5 1,8% 3.9 4.5 -0,5% -1.3%
Slide 5: Snapshot of Entel Financials
Snapshot of Entel Financials Results LTM as of March 2025 Consolidated Revenues Market Cap(3) 2,930 20.8 M Revenue EBITDA CAPEX Million USD Mobile Lines 912 1,914 567 29.6% 324 ∆ % 2.2 16.9% EBITDA of revenues Million USD Consolidated EBITDA Mg. Million USD Million USD Million USD 824 28.1% 10.6 mil
Slide 6: Entel Group 2025 Distribution per Business Unit
Entel Group 2025 Distribution per Business Unit (in US$) Results LTM as of March 2025 Mobile service Fixed B2C B2B Handset Others Mobile Fixed TI + Digital Wholesale +2.2% 2,930 10% 10% 2,868 150 +1.6% 148 501 514 +2.7% 1,914 Mn 65% 23% 35% 37% Chile Revenues Chile 10.6 Mn 673 692 +2.8% Peru 90% 30%
Slide 7: Highlights
Highlights Main Events in Recent Months Mobile Fixed / IT 1st place in mobile revenue share and leader in 5G network implementation Capability development and revenue growth in Entel Digital B2B 1st place in network quality in Chile and Peru according to external evaluation OpenSignal After regulato
Slide 8: Sustained Leadership in Chile and Consolidating 2nd place in Peru
Sustained Leadership in Chile and Consolidating 2nd place in Peru Mobile Services Revenue Share, and Organic Ebitda Margin (Chile and Peru). Chile: Mobile Services Revenue Share (%) EBITDA Margin - Entel Chile and Peru (%) Entel Op. 2 Op. 3 Op. 4 Organic EBITDA margin – Chile Organic EBITDA margin –
Slide 9: Mobile Leadership in Both Countries, Fixed Gaining Momentum
Mobile Leadership in Both Countries, Fixed Gaining Momentum Mobile Postpaid Lines and Fixed FTTH Connections Growth (Chile and Peru). Mobile Postpaid Lines Growth (Ths.) Fixed FTTH Connections Growth (Ths.) Mobile Postpaid Lines Growth (Ths.) Entel Op. 2 Op. 3 Op. 4 Op. 5 Others Entel Op. 3 Op. 5 Op
Slide 10: Leader in the Telecommunications Industry
Leader in the Telecommunications Industry Proven Formula to Create Value 3 ARPU & Churn Reflected in greater average revenue per unit (ARPU) and loyal customers, with a lower churn rate 1 Key Fundamentals 2 Brand Power and Satisfaction A robust network and obsession with Generate a consistent and em
Slide 11: Extensive Mobile Network Infrastructure and Solid Spectrum Position
Extensive Mobile Network Infrastructure and Solid Spectrum Position Mobile Coverage and Spectrum Share (Chile and Peru) Mobile Coverage in Chile (Q) Mobile Coverage in Peru (Q) Northern Area PoP: Metropolitan Lima 1,137 (14.9% total) PoP: Central Area 2,606 (49.2% total) Total Mobile Total Mobile Po
Slide 12: We Lead in Network Quality and Experience
We Lead in Network Quality and Experience Excellent Consistent Quality (ONX) and Mobile Network Experience (OpenSignal). Excellent Consistent Quality (ECQ) 1 (tests %) Excellent Consistent Quality (ECQ) 2 (tests %) Mobile Network Experience 3 (n° dimensions won) Entel Op. 2 Op. 3 Op. 4 Entel Op. 2 O
Slide 13: Leading in Satisfaction in Both Countries With Strong Brand Power
Leading in Satisfaction in Both Countries With Strong Brand Power… Brand Power and Net Promoter Score (NPS). Brand Power 1 (Points) Postpaid NPS 2 (Points) Entel Op. 2 Op. 3 Op. 4 Entel Op. 2 Op. 3 Op. 4 58.0 57.0 56.0 55.0 54.0 53.0 31,0 29,7 30,4 30,5 45.0 40.0 40.0 23,0 21,9 21,8 +9.5 p 36.0 30.0
Slide 14: That Translate Into Financial Sustainability
... That Translate Into Financial Sustainability This is Reflected in Higher ARPU and More Loyal Customers. Mobile Services ARPU 1 (CLP) Mobile Services ARPU 2 (US$) Entel Op. 2 Op. 3 Op. 4 Entel Op. 2 Op. 3 Op. 4 8.528 8.763 8.938 8.187 8.305 7.519 6,72 6,99 7,03 7.011 6.895 6,46 6,53 6.755 6.760 5
Slide 15: Respected Controlling Group and Strong Corporate Governance
Respected Controlling Group and Strong Corporate Governance Important Controlling Group With Solid Experience and Knowledge of the Company and Industry. Entel’s Board of Directors Juan José Luis Felipe Bernardo Richard Hurtado Gazitúa Matte Büchi Vicuña Achondo Larraín Buc Juan José Carla Luz Enriqu
Slide 16: Table of Contents
Table of Contents 1. Strategy 2. Consolidated Results 3. Key Objectives 4. Our commitment to sustainability 18
Slide 17: Strong Revenue Momentum Across Mobile and Fixed Drives Solid Q1 Performance
Strong Revenue Momentum Across Mobile and Fixed Drives Solid Q1 Performance Key Consolidated Financial Metrics in the Last 5 Years Revenues CLP $ Billion EBITDA & EBITDA Margin CLP $ Billion, % Mobile Services Handset Fixed Others Non-Organic Organic EBITDA Non-Organic Organic EBITDA Mg. +2.2% YoY %
Slide 18: Strong Revenue Momentum Across Mobile and Fixed Drives Solid Q1 Performance
Strong Revenue Momentum Across Mobile and Fixed Drives Solid Q1 Performance Key Consolidated Financial Metrics in the Last 5 Years Chile: Revenues CLP $ Billion Chile: EBITDA & EBITDA Margin CLP $ Billion, % Mobile Services Handset Fixed Others Non-Organic Organic Ebitda Non-Organic Organic EBITDA M
Slide 19: Efficiency program with a savings target of US$ 80-120 million
Efficiency program with a savings target of US$ 80-120 million EBITDA components through the quarter Objective Launch of multi-business transformation unit to: Summary of key initiatives and their impact, distribution of impact. • Reinvent our core by incorporating key sustainable innovations into o
Slide 20: Positive Business Performance Offset One-time Costs and Competition Dynamics
Positive Business Performance Offset One-time Costs and Competition Dynamics EBITDA components through the quarter Organic EBITDA 1Q25 vs 1Q24 CLP $ Billions +10.3% 8.9 5.8 6.8 4.6 207.0 27.6 187.8 EBITDA 1Q24 Business One-time costs Inflation effect Other leases and Others (including Organic EBITDA
Slide 21: Business Performance and Efficiencies Offset Most of Macroeconomic Impact
Business Performance and Efficiencies Offset Most of Macroeconomic Impact and Competition Dynamics +4.8% 57.5 26.5 788.7 762.6 14.6 6.4 752.3 26.2 10.2 EBITDA 2023 Extraordinaries Org. EBITDA 2023 Business Efficiency Inflation and Other leases Others (including EBITDA 2024 program exchange and IFRS1
Slide 22: Driving Future Growth: CLP $588 Billion Strategic Capex Plan for 2025
Driving Future Growth: CLP $588 Billion Strategic Capex Plan for 2025 Investment Focused on Network Leadership (5G/4G), Fiber Expansion (Chile), and Accelerated Growth in Peru Chile CAPEX by business CLP $ Billion Peru CAPEX by business CLP $ Billion Entel Consolidated CAPEX CLP $ Billion Mobile Hom
Slide 23: Entel Group Investments Evolution Through the Years
Entel Group Investments Evolution Through the Years Capex Over Revenues, in each business (Chile and Peru). CAPEX Business/Total Revenue for Each Country (%) Mobile Chile Home Chile Mobile Peru 18,7% 15,2% 14,2% 13,1% 11,4% 11,7% 11,4% 11,0% 12,6% 11,6% 8,0% 9,5% 6,5% Fiber (FTTx) lease agreement 5,
Slide 24: Technology Transition Cycles in the Mobile Business
Technology Transition Cycles in the Mobile Business Evolution of the main investments by Entel Chile and Entel Peru EBITDA Mg - CAPEX in Chile, excluding Home Internet business (%) Initial 5G deployment 21,9% 4G deployment 19,1% 18,5% 18,9% 19,2% 4 years of extra effort 16,4% 16,0% 14,7% 14,0% 13,1%
Slide 25: Positive Free Cash Flow from Operations
Positive Free Cash Flow from Operations Entel Group Net Cash Flow 1Q2024 vs 1Q2025 Cash at the beginning of the period 658,850 273,778 1Q25: Cash Flow 1Q24 1Q25 EBITDA: 2025 positively impacted by mobile services and Ebitda 187,770 193,565 the terminals business. % over Revenues 7.7% 6.8% IFRS16 (40
Slide 26: Sound Financial Indicators Maintains Investment Grade
Sound Financial Indicators Maintains Investment Grade Financial Indicators Net financial debt CLP $ Billion NFD / LTM EBITDA N° of times Including IFRS16 1,598 3.00 1,300 1,323 1,363 1,148 2.52 2.45 2.53 2.56 YoY % 2.17 YoY % +3.1% 1.73 1.61 1.67 1.71 +1.0% 2021 2022 2023 2024 LTM +2.4% Gross 2,127
Slide 27: Healthy Debt Maturity Profile and Full Currency Hedging
Healthy Debt Maturity Profile and Full Currency Hedging Entel Group Debt Amortization. Amortization profile US$ Millions 400 400 358 37 40 281 285 244 281 144A Bonds Local Bonds 56 Bank Loans Chile 40 16 16 16 16 Bank Loans Peru 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2
Slide 28: Table of Contents
Table of Contents 1. Strategy 2. Consolidated Results 3. Key Objectives 4. Our commitment to sustainability 30
Slide 29: Entel Purpose and Key Objectives
Entel Purpose and Key Objectives Strategic Objectives of Entel Group for 4-5 year Horizon Mobile Mobile Fiber Connectivity Digital Maintain leadership in Grow Peru's mobile business Grow in FTTH both in Chile Increase profitability in B2B Take Digital Business Mobile Business in Chile to achieve sca
Slide 30: Entel Purpose and Key Objectives
Entel Purpose and Key Objectives Strategic Objectives of Entel Group for 4-5 year Horizon We exist to bring closer the infinite possibilities of technology, and thus, responsibly transform society Mobile Mobile Fiber Connectivity Digital Maintain Grow Peru's Grow in FTTH both Increase Take Digital l
Slide 31: Entel Purpose and Key Objectives
Entel Purpose and Key Objectives Strategic Objectives of Entel Group for 4-5 year Horizon We exist to bring closer the infinite possibilities of technology, and thus, responsibly transform society Mobile Mobile Fiber Connectivity Digital Maintain Grow Peru's Grow in FTTH both Increase Take Digital l
Slide 32: Entel Purpose and Key Objectives
Entel Purpose and Key Objectives Strategic Objectives of Entel Group for 4-5 year Horizon We exist to bring closer the infinite possibilities of technology, and thus, responsibly transform society Mobile Mobile Fiber Connectivity Digital Objective: Grow Peru's Grow in FTTH both Increase Take Digital
Slide 33: 41% of mobile service revenue share maintaining consistent market leadership
41% of mobile service revenue share maintaining consistent market leadership Mobile Service Revenue Share 1 (%) EBITDA Margin (%) Entel Op. 2 Op. 3 Op. 4 Entel Op. 2 41,5 39,1 39,7 40,3 40,7 38,4 37,1 33.8 35,5 35,1 31.7 29.5 28.2 25,7 25,2 25,3 24,9 23,9 18,7 19,9 18.7 18.7 17,4 17,5 21.0 20.2 20.6
Slide 34: We Keep Our Growth Trend in Postpaid despite industry challenges
We Keep Our Growth Trend in Postpaid despite industry challenges Voice Connections in Mobile postpaid Industry, Chile. Net share growth mobile postpaid Voice Connection Industry Chile 1 Ths. Entel Op. 2 Op. 3 Op. 4 Op. 5 Others 132 151 212 171 90 78 + 53 ths. in 19 95 117 52 1 1Q 2025 33 57 37 122 1
Slide 35: Trend in Entry Price Reflecting Changes in the Cost Structure
Trend in Entry Price Reflecting Changes in the Cost Structure Chile Industry Entry Prices Fixed Mobile Entry Offer per Operator in Chile CLP Entel Op. 4 Op. 2 Op. 3 12.990 12.990 12.990 12.990 12.990 11.990 11.990 11.990 11.990 11.990 11.990 11.990 11.990 11.990 10.990 10.990 10.990 10.990 10.990 10
Slide 36: Leaders in 5G presence and connections with 47,5% market share
Leaders in 5G presence and connections with 47,5% market share Mobile Technologies Distribution and Share in 3G, 4G and 5G Connections. Industry: Share of Mobile Technologies (%) Share of 3G-5G connections % 3G 4G 5G Entel Op. 2 Op. 3 Op. 4 0% 5% 34,7 34,7 34,6 35,2 +9,6 pp 14% 22% (-0.1pp 25,4 25,7
Slide 37: Sound and Balanced Growth Across Mobile Service and Equipment Revenues
Sound and Balanced Growth Across Mobile Service and Equipment Revenues Breakdown of Chilean Mobile Revenue Performance: Service vs. Equipment Revenues by business CLP $ Billion Mobile Business CLP $ Billion Mobile Fixed Others Services Handset Accesories & Others +2.0% % over revenues 1,304 1,330 CA
Slide 38: Entel Purpose and Key Objectives
Entel Purpose and Key Objectives Strategic Objectives of Entel Group for 4-5 year Horizon We exist to bring closer the infinite possibilities of technology, and thus, responsibly transform society Mobile Mobile Fiber Connectivity Digital Maintain Grow Peru's Grow in FTTH both Increase Take Digital l
Slide 39: Entel Purpose and Key Objectives
Entel Purpose and Key Objectives Strategic Objectives of Entel Group for 4-5 year Horizon We exist to bring closer the infinite possibilities of technology, and thus, responsibly transform society Mobile Mobile Fiber Connectivity Digital Maintain Objective: Grow in FTTH both Increase Take Digital •
Slide 40: 3x in Mobile Service Revenue Share since 2014, reaching 2nd place in 2024
3x in Mobile Service Revenue Share since 2014, reaching 2nd place in 2024 Mobile Service Revenue Share and Ebitda Margin in Peru Mobile Service Revenue Share 1 (%) EBITDA Margin (%) Entel Op. 2 Op. 3 Op. 4 Entel Op. 2 Op. 3 45.6 40.1 39.1 38.6 37.9 38.4 37.8 36.5 36.4 37.0 37.3 36.2 36.2 39.6 35.0 3
Slide 41: Achieving Continuous Growth in Postpaid Despite High Competition
Achieving Continuous Growth in Postpaid Despite High Competition Voice Connections in Mobile postpaid Industry, Peru. Net share growth mobile postpaid Voice Connection Industry Peru Ths. Entel Op. 2 Op. 3 Op. 4 428 477 138 162 353 60 + 105 ths. in 156 14 1Q 2025 261 40 217 100 167 54 177 102 108 73
Slide 42: Higher Mobile Revenues in Both Services and Handset
Higher Mobile Revenues in Both Services and Handset Entel Peru Financial Results – Mobile revenues Revenues by business US $ Million Mobile Business US $ Million Mobile Fixed Others Mobile Service Mobile Handset 1,040 953 967 981 % over revenues CAGR % YoY % 1.174 +1,6% 401 306 294 297 103 Mobile 94
Slide 43: Gaining scale and profitability in Peru´s mobile business
Gaining scale and profitability in Peru´s mobile business and we aim for more with ambitious goals… Service revenue share Mg EBITDA P R O F I T A B I L I T Y B A S E D P R O F I T A B I L I T Y B A S E D O N E F F I C I E N C I E S O N S C A L E 26,0 ~30,0 23,8 24,2 24,5 22,6 23,2 23,7 24,2 19,1 (1)
Slide 44: Connecting people is in our DNA: Starlink
Connecting people is in our DNA, that's why we go further and further to bring our commitment… everywhere! 2025 STARLINK • Soon, millions of smartphones in Chile and Peru will be able to access direct to cell (D2C) satellite coverage, provided by the commercial alliance signed between Entel and Spac
Slide 45: Complement to Terrestrial Networks
Complement to Terrestrial Networks Satellite Terrestrial LEO GEO FIBER 5G Speed 100 mbps <25 mbps 1-10 Gbps Up to 1 Gbps 1GB Movie 13,5 min 54 min 1,3 min- 8 sgds 1,3 min <30 ms >500 ms <15 ms <30 ms Streaming, People talking over Shooter Streaming, Latency videocalls, videocalls, only watch games v
Slide 46: Entel Purpose and Key Objectives
Entel Purpose and Key Objectives Strategic Objectives of Entel Group for 4-5 year Horizon We exist to bring closer the infinite possibilities of technology, and thus, responsibly transform society Mobile Mobile Fiber Connectivity Digital Maintain Grow Peru's Grow in FTTH both Increase Take Digital l
Slide 47: Entel Purpose and Key Objectives
Entel Purpose and Key Objectives Strategic Objectives of Entel Group for 4-5 year Horizon We exist to bring closer the infinite possibilities of technology, and thus, responsibly transform society Mobile Mobile Fiber Connectivity Digital Maintain Grow Peru's Objective: Increase Take Digital • 20-25%
Slide 48: Higher Fixed Revenues Driven By Fiber
Higher Fixed Revenues Driven By Fiber Entel Chile Financial Results – Fixed revenues Revenues by business CLP $ Billion Fixed Business CLP $ Billion Mobile Fixed Others IT, Data & Internet Fiber Digital Solutions Wireless Others +2.0% % over revenues 511 521 2,151 CAGR % YoY % +2.0% 443 456 82 80 Mo
Slide 49: FTTH Business Gaining Momentum Towards Required Scale
FTTH Business Gaining Momentum Towards Required Scale FTTH market share and FTTx evolution FTTH connections market share 1 % FTTx Revenue Generated Units (RGU) Thousands Entel Op. 2 Op. 3 Op. 4 Op. 5 Op. 6 Op. 7 1Q24: initiated mass commercial offering of FTTx with OnNet 45,4% 45,5% 44,9% +74.1% +49
Slide 50: Entel leads internet growth in a concentrated slow-growing industry
Entel leads internet growth in a concentrated slow-growing industry Fiber-to-the-home (FTTH) FTTH-industry connection growth in Chile, by operator 1 Thousands Entel Op. 2 Op. 3 Op. 4 Op. 5 Op. 6 Op. 7 Others 110 89 103 15 102 14 44 41 49 51 1 0 42 0 15 40 26 28 39 17 7 1 26 59 17 9 5 6 9 1 0 4 9 15
Slide 51: Growing in Fiber by protecting the mobile base
Growing in Fiber by protecting the mobile base Fiber-to-the-home (FTTH) The value of an integrated journey Protect our mobile base in an industry with multi-service 1 mobile line 1 mobile line fiber operators. Mobile Churn 1.88% Churn 1.46% The Home business generates synergies with the fiber fiber
Slide 52: Neutral network allow to focus on our core: Customer service excellence
Neutral network allow to focus on our core: Customer service excellence Entel Group FTTH Structure Core network Access network Drop to customer FiberCo Transport & IP Core Central Ducts Pole Cabinets Drop Home Enterprise 2.8% of total service failures (1) 23.3% of total service failures (1) occur 73
Slide 53: Grow in home and SME, protecting mobile customer
Grow in home and SME, protecting mobile customer Entel Group FTTH Structure Drop to customer Dimensions Explaining Home Fiber Churn 6,3% Others 9,7% Price & value for money 36,0% Failure repairs +80% 28,0% TV performance 20,7% Internet performance Drop Home Enterprise 2024 73,8% of total service fai
Slide 54: Peru: FTTH Business Opportunity Remains
Peru: FTTH Business Opportunity Remains Entel Peru FTTH Market Share 1 (%) Home Fiber Penetration in Lima (%) Entel Op. 2 Op. 3 Op. 4 Op. 5 Others Connections (ths): 1.720 1.944 2.170 2.402 2.693 +57% 35,1 44% 48% 37% 40% 32,2 29% 33% 31,4 31,4 30,6 22% 26% 30,0 30,1 29,3 13% 16% 18% 24,6 25,4 25,0
Slide 55: Entel Purpose and Key Objectives
Entel Purpose and Key Objectives Strategic Objectives of Entel Group for 4-5 year Horizon We exist to bring closer the infinite possibilities of technology, and thus, responsibly transform society Mobile Mobile Fiber Connectivity Digital Maintain Grow Peru's Grow in FTTH both Increase Take Digital l
Slide 56: Entel Purpose and Key Objectives
Entel Purpose and Key Objectives Strategic Objectives of Entel Group for 4-5 year Horizon We exist to bring closer the infinite possibilities of technology, and thus, responsibly transform society Mobile Mobile Fiber Connectivity Digital Maintain Grow Peru's Grow in FTTH both Objectives: Objectives:
Slide 57: Capturing opportunity in the digital B2B business
Capturing opportunity in the digital B2B business TRADITIONAL B2B TELCO B2B TECHCO Digital Services & IT Advanced Connectivity Cloud Fixed voice Roaming Analytics 5G Mobile 5G Services Networks Service Mobile voice Enterprise networks Fixed Network Service Mobile Network Fixed broadband Wholesale ma
Slide 58: B2B Digital Business Opportunity
B2B Digital Business Opportunity digital Entel Digital, a specialized digital/IT business unit focused on growth and creating cutting-edge digital solutions We strategically divest from datacenter infrastructure, to focus on new growing digital services (cybersecurity, video analytics solutions, hyb
Slide 59: Expanding Portfolio With High Growth Potential Solutions
Expanding Portfolio With High Growth Potential Solutions Entel Digital Business Opportunity IoT - Analytics IoT – Advanced Analytics - NBIoT Monitor fleets in real time and Intelligently monitor, control and consolidate high-value metrics in one optimize natural resources. place • Comply with DGA re
Slide 60: Table of Contents
Table of Contents 1. Strategy 2. Consolidated Results 3. Key Objectives 4. Our commitment to sustainability 62
Slide 61: Our commitment to Sustainability
Our commitment to Sustainability, aligned with our purpose and embedded in our business strategy
Slide 62: Commitment to Sustainability
Commitment to Sustainability Sound ESG Strategy Positive performance in the S&P Corporate Sustainability Assessment (CSA) ESG Recognitions Points Top 15% in 2024 CSA 67 69 71 67 Selected for the Chile and Pacific 64 65 64 65 66 62 58 Alliance MILA versions of the Dow 57 50 53 52 55 51 54 Jones Susta
Slide 63: Entel Purpose and Key Objectives
Entel Purpose and Key Objectives Strategic Objectives of Entel Group for 4-5 year Horizon Mobile Mobile Fiber Connectivity Digital Maintain leadership in Grow Peru's mobile business Grow in FTTH both in Chile Increase profitability in B2B Take Digital Business Mobile Business in Chile to achieve sca
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