Dialog Axiata PLC · CSELK:DIAL.N0000
Dialog Axiata — Q4 2016 Earnings Presentation
17 slides from Dialog Axiata's earnings presentation, Feb 13, 2017
Slide 1: Dialog Axiata PLC Q4 2016 Results
Dialog Axiata PLC Sri Lanka's Premier Connectivity Provider Q4 2016 Results 13th February 2017 an axiata company
Slide 2: Group Performance, Company Performance, Subsidiary Performance
Dialog Group Performance Dialog Axiata Company Performance Subsidiary Performance 2
Slide 3: Dialog Group Performance Highlights – FY 2016
Dialog Group Performance Highlights – FY 2016 Delivered Strong YTD Performance Despite Challenging Operating Environment; Q4 Performance Impacted by the Introduction of VAT in November 2016 Group concluded FY 2016 delivering growth across all key parameters fuelled by aggressive market capture & cos
Slide 4: Group Financial Summary
Group Financial Summary Strong Performance in FY 2016 Driven by Revenue Growth and Cost Efficiencies Rs Mn FY 2016 YTD Q4 16 QoQ Revenue 86,745 17% 22,775 5% EBITDA 29,212 23% 7,422 -4% PAT 9,041 74% 1,251 -56% EBITDA Margin 33.7% 1.5pp 32.6% -2.9pp PAT Margin 10.4% 3.4pp 5.5% -7.5pp ROIC 15.4% 3.1p
Slide 5: FY 2016 Group Revenue Grew 17% YTD
FY 2016 Group Revenue Grew 17% YTD Mobile, Fixed and Television Businesses Driving YTD and QoQ Growth Group Revenue (Rs Mn) +14% +17% +5% 86,745 73,930 20,039 21,157 21,065 21,748 22,775 Q4 15 Q1 16 Q2 16 Q3 16 Q4 16 FY 16 FY 15 Mobile Data Revenue grew 52% YTD and 8% QoQ driven by increased smartph
Slide 6: FY 2016 Ended with PAT of Rs.9.0Bn
FY 2016 Ended with PAT of Rs.9.0Bn; Profitability Improvement Underpinned by Growth in Revenue, Cost Efficiencies and Lower Forex Losses (Translational) Group EBITDA and PAT (Rs Mn) +32% +23% -4% 29,212 23,824 9,041 7,019 7,057 7,714 7,422 EBITDA (Rs Mn) 5,613 5,188 PAT (Rs Mn) 2,670 2,287 2,833 1,2
Slide 7: Dialog Contributed Rs.31.7Bn to Government Revenue in FY 2016
Dialog Contributed Rs.31.7Bn to Government Revenue in FY 2016; up 15% Dialog Group remitted a total of Rs31.7Bn to GoSL during the year ended 31st December 2016. Total remittances included direct taxes and levies as well as consumption taxes collected on behalf of the GoSL Payments to GoSL - Composi
Slide 8: Focused Capex Investments to Strengthen Position in Broadband Sector
Focused Capex Investments to Further Strengthen the Group’s Position in Sri Lanka’s Broadband Sector : Rs23.2Bn Invested in FY 2016 – Up 18% Capex (Rs Mn) / Capex Intensity (%) -3% +18% +85% 23,173 19,577 200 % 180 % 20,0 00 160 % 140 % 15,0 00 10,618 10,431 120 % 100 % 10,0 00 5,651 80% 53% 4,148 4
Slide 9: Structurally Strong Balance Sheet with Net Debt to EBITDA Below 1.0x
Dialog’s Structurally Strong Balance Sheet Demonstrates the Group’s Financial Strength with Net Debt to EBITDA Maintained Below 1.0x (Rs Mn) 31 Dec 16 30 Sep 16 31 Dec 15 Gross Debt 32,562 31,916 22,910 Net Debt 26,152 26,845 18,481 OFCF 83 4,874 -864 Gross Debt / Equity (x) 0.60 0.61 0.48 Gross Deb
Slide 10: Proposed Dividend – Rs.0.39 per share
Proposed Dividend – Rs.0.39 per share, Translates to a Payout of 35% and a Dividend Yield of 3.7% The Board of Directors of Dialog Axiata PLC resolved to propose a cash dividend to ordinary shareholders of Thirty Nine Cents (Rs0.39) per share totaling to Rs3.2Bn for approval by the Shareholders
Slide 11: Dialog Axiata Company Performance
Dialog Group Performance Dialog Axiata Company Performance Subsidiary Performance 11
Slide 12: Dialog Axiata PLC (Company)
Dialog Axiata PLC (Company) FY 2016; 16% Growth in Revenue and Positive Cost Performance Driving 78% Growth in YTD Profitability; QoQ Performance Impacted by Re-Introduction of VAT +12% +16% +4% 72,951 62,943 70,0 00 60,0 00 50,0 00 40,0 00 30,0 00 25,016 18,305 19,007 20,344 Revenue (Rs Mn) 17,007
Slide 13: Mobile Subscriber Base Reaches 11.8Mn
Mobile Subscriber Base Reach 11.8Mn as Growth Continues; Up 5% QoQ and 9% YoY Growth in Prepaid Segment Underpins the QoQ ARPU and MOUs Declined Post Re- Subscriber Growth Implementation of VAT No of Mobile Subscribers’000 Blended ARPU (Rs) & MOU Total subs growth +5% QoQ; +9% YoY 1,600 Postpaid sub
Slide 14: Subsidiary Performance
Dialog Group Performance Dialog Axiata Company Performance Subsidiary Performance 14
Slide 15: Dialog Television
Dialog Television Revenue and Subscriber Growth Momentum Continues Despite Aggressive Competition -1% +5% +5% 6,085 5,780 3,80 0 5,80 0 3,30 0 4,80 0 2,80 0 2,30 0 Revenue (Rs Mn) 3,80 0 1,80 0 EBITDA (Rs Mn) 2,80 0 1,30 0 PAT (Rs Mn) 1,516 1,577 1,563 1,508 609 1,80 0 1,437 383 800 23 31 183 96 73
Slide 16: Dialog Broadband Networks – Fixed Business
Dialog Broadband Networks – Fixed Business Revenue Growth Underpinned by LTE Home Broadband on the back of Network Coverage Enhancements and Aggressive Subscriber Acquisition +30% +28% +7% 9,323 9,40 0 8,80 0 7,80 0 7,309 7,40 0 6,80 0 5,80 0 5,40 0 4,80 0 3,986 3,80 0 2,871 Revenue (Rs Mn) 2,406 2,
Slide 17: Thank You
Dialog Thank You 17