Altice Europe — Altice International — Q2 2023 Earnings Presentation
16 slides from Altice Europe's earnings presentation, Aug 7, 2023
Slide 1: Altice International Q2 2023 results
Altice International Q2 2023 results August 7, 2023
Slide 2: Disclaimer
Disclaimer FORWARD-LOOKING STATEMENTS Certain statements in this presentation constitute forward-looking statements. These forward-looking statements include, but are not limited to, all statements other than statements of historical facts contained in this presentation, including, without limitatio
Slide 3: Update on the Ongoing Investigation in Portugal
Update on the Ongoing Investigation in Portugal • As part of an ongoing investigation, the Portuguese authorities are investigating allegations of harmful practices and misconduct, notably private corruption, by certain individuals and entities related to Altice Portugal - a subsidiary of Altice Int
Slide 4: Altice International Current Organisational Set-up
Altice International Current Organisational Set-up Simplified legal organisational chart Full local operating teams Expert corporate overlay Patrick Drahi – Controlling shareholder Operating teams Corporate team Next Alt - Consolidation & public reporting 90% Ana Figueiredo (48 years old) MEO CEO Al
Slide 5: Q2 2023 Summary
Q2 2023 Summary Revenue growth across all assets supporting total revenue, EBITDA and OpFCF growth in Q2 2023: • Total revenue grew by +4.6% YoY on a reported basis (+7.5% constant currency) • Total EBITDA grew by +4.3% YoY on a reported basis (+7.2% constant currency) • Total OpFCF grew by +21% YoY
Slide 6: Altice International Revenue Trends
Altice International Revenue Trends Q2 2023 revenue trends YoY +4.6% (CC +7.5%) (€m) • Total: +4.6% (CC +7.5%) 1,277 1,221 • Portugal: +11.8% 146 142 • Israel: -7.7% (CC +3.1%) 148 • Dominican Republic: -1.1% (CC +0.3%) 150 • Teads: +2.8% (CC +4.0%) 269 292 Revenue growth evolution YoY (CC) +12.3% +
Slide 7: Altice International Financials
Altice International Financials €m Q2-22 Q2-23 Growth YoY Reported Growth YoY Constant FX Portugal 642 718 +11.8% +11.8% Israel 292 269 -7.7% +3.1% Dominican Republic 150 148 -1.1% +0.3% Teads 142 146 +2.8% +4.0% Eliminations & other -4 -4 n.m. n.m. Revenue 1,221 1,277 +4.6% +7.5% Portugal 232 254 +
Slide 8: Q2 2023 Free Cash Flow
Q2 2023 Free Cash Flow (€m) 456 (215) 241 (65) (23) (65) (41) (70) (23) Adjusted Accrued OpFCF Interest Pension Taxes Dividends to Change in WC & FCF EBITDA Capex paid paydown minorities other For footnotes see slide 16 8
Slide 9: Capital Structure and Debt Maturity
Capital Structure and Debt Maturity Altice International Net debt €8,552m (€bn) WAL 4.6 years 0.01 0.02 0.79 0.19 2.13 2.87 2.68 WACD 5.1% Fixed interest 85% Net leverage 4.8x Liquidity €0.6bn Unsecured Net debt €675m WAL 4.5 years WACD 4.8% Secured Net debt €7,877m WAL 4.6 years 2023 2024 2025 2026
Slide 10: Guidance Narrowed
Guidance Narrowed 2023 Growth YoY (constant currency) Q1-23 Q2-23 YTD-23 Revenue +8.0% +7.5% +7.7% EBITDA +6.6% +7.2% +6.9% OpFCF +3.2% +23.3% +13.4% FY 2023 Revenue, EBITDA and OpFCF growth YoY EBITDA & OpFCF FY growth YoY at CC expected to be broadly in line with YTD performance Mid-term Guidance
Slide 11: Q&A
Q&A 11 alti
Slide 12: Appendix
Appendix 12
Slide 13: Reconciliation to Swap Adjusted Debt as of June 30, 2023
Reconciliation to Swap Adjusted Debt as of June 30, 2023 €m Actual Total Debenture and Loans from Financial Institutions 8,628 Value of debenture and loans from financial Institutions in foreign currency converted at closing FX rate -6,608 Value of debenture and loans from financial institutions in
Slide 14: Leverage Reconciliation
Leverage Reconciliation €m Actual Gross Debt Consolidated 8,825 Cash and restricted cash -273 Net Debt Consolidated 8,552 LTM EBITDA Consolidated 1,835 Net Leverage 4.7x Net Leverage adjusted for Altice UK investment 4.3x L2QA EBITDA Consolidated 1,772 Net Leverage 4.8x Net leverage adjusted for Alt
Slide 15: Non-GAAP Reconciliation to Unaudited GAAP Measures
Non-GAAP Reconciliation to Unaudited GAAP Measures €m Q1-23 Q2-23 Revenue - Financial Statements 1,234 1,277 Purchasing and subcontracting costs -333 -341 Other operating expenses -245 -255 Staff costs and employee benefits -184 -183 Total 472 498 Rental expense operating lease -41 -42 Adjusted EBIT
Slide 16: Footnotes
Footnotes €0.6 billion liquidity includes €0.3 billion of undrawn revolvers and €0.3 billion of cash. Total cash of €273 million includes restricted cash for an Slides 5, 9 amount of €42 million Accrued Capex for Israel excludes accruals related to the acquisition of an additional tranche of the ind