Taiwan Mobile Co., Ltd. · TWSE:3045

Taiwan Mobile — Q1 2014 Earnings Presentation

18 slides from Taiwan Mobile's earnings presentation, Apr 29, 2014

  1. Slide 1: Taiwan Mobile Co., Ltd. 1Q14 Results Summary

    Taiwan Mobile Co., Ltd. 1Q14 Results Summary April 29, 2014 1

  2. Slide 2: Disclaimer

    Disclaimer The information contained in this presentation, including all forward- looking information, is subject to change without notice, whether as a result of new information, future events or otherwise, and Taiwan Mobile Co., Ltd. (the “Company”) undertakes no obligation to update or revise the

  3. Slide 3: Business Overview

    Business Overview 3

  4. Slide 4: Healthy Mobile Revenue Growth

    Healthy Mobile Revenue Growth TWM’s Peer Comparison Mobile Service Revenue Unit: NT$ ARPU 749 762 750 725 737 TWM Unit: NT$mn 5% YoY 724 731 735 728 714 FET 612 623 609 601 588 CHT 1Q13 2Q13 3Q13 4Q13 1Q14 TWM FET CHT 1Q14 YoY TWM FET CHT Mobile Service Revenue 5% 2% 1% Voice Revenue -5% -8% -10% VA

  5. Slide 5: Our Smartphone Strategy

    Our Smartphone Strategy Smartphone as % of total TWM’s own-brand handsets sold smartphones Amazing Street Features Series Price 3.5’’ screen A3S NT$1,990 Dual-core 2M pixels 4’’ screen A4C NT$2,990 Dual-core 5M pixels Mobile data adoption rate 4.5’’ screen A5C NT$3,690 Dual-core 5M pixels 4.7’’ scre

  6. Slide 6: Steady CATV Operation

    Steady CATV Operation Sub base 1Q14 ARPU YoY growth Analogue TV 1% $495 Cable Internet 5% $543 DTV 64% $137 Blended ARPU * $791 +2% YoY * Calculation based on total cable TV revenue excluding content agency revenue

  7. Slide 7: Growing Online Shopping Business

    Growing Online Shopping Business momo 1Q14 1Q13 YoY (Unit: NT$bn) Total Revenue 5.66 4.94 15% - Online Shopping 3.35 2.65 27% - TV Home Shopping & Other 2.31 2.29 1% EBITDA 0.32 0.23 35% EBITDA margin 5.6% 4.8% Note: momo announced the sale of its cosmetics stores and department store operations on

  8. Slide 8: Financial Overview

    Financial Overview 8

  9. Slide 9: Performance by Business

    Performance by Business Revenue EBITDA NT$bn Telecom CATV momo Total Telecom CATV momo Total 1Q14 20.53 1.58 5.66 27.73 6.57 0.86 0.32 7.77 % of 74% 6% 20% 100% 85% 11% 4% 100% total 1Q14 3% 3% 15% 5% 2% 5% 35% 3% YoY 4Q13 7% 3% 15% 8% -2% -1% 31% 1% YoY Note: The combined total of telecom, CATV and

  10. Slide 10: Results Summary

    Results Summary 1Q14 NT$mn % of Amount YoY Forecast Revenue 27,726 5% 99% Cost (17,991) 7% 96% Operating expense (4,625) 3% 103% Operating income 5,111 1% 106% Net non-oper. items (32) -89% 43% Income before tax 5,079 6% 107% Net income 4,084 7% 104% EPS (NT$) 1.52 7% 105% EBITDA 7,772 3% 104% EBITD

  11. Slide 11: Balance Sheet Analysis

    Balance Sheet Analysis NT$bn 1Q14 4Q13 1Q13 1Q14 4Q13 1Q13 Total Assets 142.93 138.35 104.34 Liabilities 78.51 79.83 42.69 Current Assets 28.54 29.49 25.19 Current Liabilities 49.62 58.61 29.60 - Cash & Cash Equivalents 8.18 7.95 6.08 - ST Debts 25.55 34.00 7.42 - Accounts Receivable 14.15 14.27 12.

  12. Slide 12: Cash Flow Analysis

    Cash Flow Analysis NT$bn 1Q14 4Q13 1Q13 Operating Cash Flow 6.84 7.58 3.95 Investing Cash Flow (0.99) (30.40) (4.32) Financing Cash Flow (5.63) 22.98 0.25 NT$bn 1Q14 4Q13 1Q13 Cash CAPEX (2.27) (2.67) (3.99) Free Cash Flow 4.57 4.91 (0.04) 12

  13. Slide 13: 2Q14 Guidance & Board Resolutions

    2Q14 Guidance & Board Resolutions 13

  14. Slide 14: 2Q14 Guidance

    2Q14 Guidance NT$bn 2Q14F 2Q13 YoY Revenue 28.28 26.56 6% EBITDA 7.74 7.83 -1% Operating Income 4.83 5.38 -10% Non-operating expense 0.44 0.46 -5% Net Income 3.57 3.96 -10% EPS (NT$) 1.33 1.47 -10% 14

  15. Slide 15: Board Resolution

    Board Resolution 2013 Earnings Distribution TWM’s board meeting today (April 29, 2014) approved a proposal to distribute NT$15.1bn in cash dividends, comprised of 90% of 2013 earnings and NT$1.0bn of un-appropriated earnings, translating into a 97% payout to shareholders. Dividend per share is NT$5.

  16. Slide 16: Event Updates

    Event Updates Regulatory Update TWM has obtained the system technology validation approval for the roll-out of 4G base stations from NCC and has also filed an application for the 4G commercial launch. 16

  17. Slide 17: Key Message

    Key Message The LTE network deployment, expected service offerings and handset availabilities have been very promising. TWM is aiming to maintain operating stability in the near term and as always to ensure shareholders’ returns. 17

  18. Slide 18: Q&A

    Q&A 18

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