Ooredoo Q.p.s.c · QSE:ORDS

Ooredoo Q.p.s.c — Ooredoo — 9M 2019 Earnings Presentation

28 slides from Ooredoo Q.p.s.c's earnings presentation, October 2019

  1. Slide 1: Ooredoo Group 9M 2019 Results

    Ooredoo Group 9M 2019 Results October 2019

  2. Slide 2: Disclaimer

    Disclaimer • Ooredoo (parent company Ooredoo Q.P.S.C.) and the group of companies which it forms part of (“Ooredoo Group”) cautions investors that certain statements contained in this document state Ooredoo Group management's intentions, hopes, beliefs, expectations, or predictions of the future and

  3. Slide 3: Contents

    Contents 1 Results review 2 Operations review 3 Additional information 3

  4. Slide 4: Key Highlights

    Group Results Overview Results review Operations review Additional information Key Highlights Solid financial performance in challenging conditions, during the first 9M of the year Group Revenue QAR 22.0 EBITDA up by 4% yoy (pre Group Net Profit Network expansion Ooredoo Group leads in billion, a de

  5. Slide 5: Revenue and EBITDA

    Group Results Overview Results review Operations review Additional information Revenue and EBITDA Revenue (QARm) EBITDA (QARm) and EBITDA Margin -3% +4% 22,531 21,965 9,664 9,337 +1% +6% 7,409 7,457 3,325 3,125 44% 41% 45% 42% 9M-18 9M-19 Q3-18 Q3-19 9M-18 9M-19 Q3-18 Q3-19 • Positive overall growth

  6. Slide 6: Net Profit

    Group Results Overview Results review Operations review Additional information Net Profit Net Profit Attributable to Ooredoo shareholders (QARm) +16% +5% 1,507 1,270 668 1,265 1,092 Net Profit Net Profit 475 403 424 F/X Impact F/X Impact Pre F/X Net Pre F/X Net Profit Profit (51) (415) (5) (265) Q3-

  7. Slide 7: Free Cash Flow and Capital Expenditure

    Group Results Overview Results review Operations review Additional information Free Cash Flow and Capital Expenditure CAPEX (QARm) & CAPEX/ Revenue (%) Free Cash Flow (QARm) +18% -14% +19% 4,453 3,443 3,824 -12% 2,906 1,323 1,315 1,111 1,157 16% 13% 15% 18% 9M-18 9M-19 Q3-18 Q3-19 9M-18 9M-19 Q3-18

  8. Slide 8: Total customers

    Group Results Overview Results review Operations review Additional information Total customers Total Customers (millions) -20% -3% 119.6 115.9 9M-18 9M-19 • Customer number slightly reduced, lower customer base has higher quality customers with lower likelihood of churn • Indosat Ooredoo continued s

  9. Slide 9: Net debt

    Group Results Overview Results review Operations review Additional information Net debt Net Debt (QARm) and Net Debt / EBITDA +18% 26,905 -12% 22,722 Pre IFRS 16: 2.1 • Net Debt QAR 21,602m (-5%) • Net Debt/EBITDA ratio: 1.8x 1.8 9M-18 9M-19 • Positive trend of Group Net Debt reduction (Pre IFRS-16)

  10. Slide 10: 2019 Q3 performance summary

    Group Results Overview Results review Operations review Additional information 2019 Q3 performance summary % Change 9M 2019 Full Year Group Financials 9M 2019 2019 / 2018 Guidance over 2018 (QAR bn) Actual excl. IFRS 16 impact Excl. IFRS 16 impact Revenue 22.0 -3% -3% to 0% EBITDA 8.9* -5%* -7% to -

  11. Slide 11: Contents

    Contents 1 Results review 2 Operations review 3 Additional information 11

  12. Slide 12: Qatar

    Qatar Overview Results review Operations review Additional information QARm Revenue EBITDA EBITDA Margin • Revenue slightly down predominately due to less devices sale • Healthy EBITDA margin of 56%, supported by digital initiatives and cost saving activities 57% 57% 55% 56% 52% 53% 51% • Pre IFRS 1

  13. Slide 13: Indonesia

    Indonesia Overview Results review Operations review Additional information QARm 1,692 1,571 1,557 1,596 1,418 4,846 • Strong top line yoy growth due to strong cellular revenue increase 4,348 boosted by data revenue growth • Pre IFRS 16 EBITDA QAR 1,960m, EBITDA margin of 40% • Three consecutive quar

  14. Slide 14: Iraq

    Iraq Overview Results review Operations review Additional information QARm Revenue EBITDA EBITDA Margin • Sequential growth in revenue and EBITDA in a price competitive market 49% 45% • Increasing data revenue 48% 46% 46% 42% 44% • Pre IFRS 16 EBITDA QAR 1,439m, EBITDA margin of 43.5% 3,315 3,309 •

  15. Slide 15: Oman

    Oman Overview Results review Operations review Additional information QARm Revenue EBITDA EBITDA Margin 56% • Sequential improvements in revenue driven by double digits’ growth in 55% 55% 57% 55% 57% 54% fixed revenue • Pre IFRS 16 EBITDA QAR 1,086m, EBITDA margin of 54% 690 679 682 • Customer numbe

  16. Slide 16: Kuwait

    Kuwait Overview Results review Operations review Additional information QARm 710 694 650 673 666 2,195 2,033 • EBITDA and EBITDA margins improved in 9M due to favorable product mix. Fewer handset sales led to a decrease in revenue but a substantial improvement in margins. Margins were also supported

  17. Slide 17: Algeria

    Algeria Overview Results review Operations review Additional information QARm 695 663 644 628 613 2,096 1,885 • Unstable political situation with a transitional government slowing down overall market and regulatory decisions, economic slowdown continues while inflation goes up, new elections schedul

  18. Slide 18: Tunisia

    Tunisia Overview Results review Operations review Additional information QARm 407 380 374 360 329 1,152 1,097 183 118 142 179 202 477 523 • OT recorded a good performance in revenue and EBITDA in L/C terms yoy supported by data and fixed revenue as well as stabilized voice 9M-18 9M-19 revenue Q3-18

  19. Slide 19: Myanmar

    Myanmar Overview Results review Operations review Additional information QARm 296 1,001 275 273 261 260 807 • 9M revenue declined due to aggressive pricing in the market and launch of the fourth operator 92 75 226 • EBITDA increase supported by IFRS 16 impact 44 59 173 24 • Pre IFRS 16 EBITDA QAR 8m

  20. Slide 20: Contents

    Contents 1 Results review 2 Operations review 3 Additional information 20

  21. Slide 21: Additional Information: Key Operations Importance to Group

    Additional Information Overview Results review Operations review Additional information Key Operations Importance to Group Revenue (QARm) EBITDA (QARm) 10,156 10,459 9,337 9,664 24,266 24,476 22,531 21,965 % % 9M-16 9M-17 9M-18 9M-19 9M-16 9M-17 9M-18 9M-19 delta delta Qatar 5,982 5,861 5,822 5,420

  22. Slide 22: Operations Breakdown: CAPEX & Customers

    Group Operations Breakdown Overview Results review Operations review Additional information CAPEX & Customers CAPEX Breakdown (%) Customer Breakdown (%) Others, 2% Others, 1% Myanmar, Myanmar, 9% Qatar , 3% Qatar , 10% 5% Tunisia, 4% Tunisia, 8% Algeria, 12% Algeria, 11% Kuwait, 6% Kuwait, 2% Indone

  23. Slide 23: Total Group Debt Breakdown

    Group Operations Breakdown Overview Results review Operations review Additional information Total Group Debt Breakdown Total Group Debt (QARm) Total Group Debt Breakdown Long Term Short Term Others 45,346 6% 40,251 6,884 37,482 2,455 31,828 11,693 5,591 Indonesia 20% 38,462 37,796 25,789 26,237 Qata

  24. Slide 24: Debt Profile - Ooredoo Q.P.S.C. level

    Group Results Overview Results review Operations review Additional information Debt Profile –2,000 Ooredoo Q.P.S.C. level 1,500 510 Undrawn RCF 1,000 40 520 20 690 20 20 500 1,000 1,000 750 530 500 500 320 500 20 20 0 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2043 Issue Loans (in USD m) Amou

  25. Slide 25: Blended ARPU

    Blended ARPU Overview Results review Operations review Additional information Qatar (QAR) Iraq (QAR) Oman (QAR) Maldives (QAR) Palestine (QAR) 22.7 22.8 22.8 52.9 54.0 52.3 50.8 55.4 52.8 117 116 114 109 112 108 27.2 28.9 26.8 25.4 25.3 27.1 58.3 61.0 60.1 56.1 53.7 54.4 21.5 20.9 20.4 Indonesia (QA

  26. Slide 26: Statutory Corporate Tax Rates

    Statutory Corporate Tax Rates Overview Results review Operations review Additional information Statutory Statutory Losses LossesC/Fwd C/Fwd Markets Markets Notes Tax TaxRate Rate Allowed Allowed Algeria 26% 4 years Indonesia 25% 5 years Iraq 15% 5 years GCC companies (including NMTC)are exempted and

  27. Slide 27: OPCOs Licence General Information

    OPCOs Licence General Information Overview Results review Operations review Additional information Fixed Licence Mobile Licence Country Issuance Date Expiry Date Issuance Date Expiry Date Qatar 7 October 2007 6 October 2032 7 October 2007 6 October 2027 13 October 1997 Kuwait -- -- Indefinite Emiri

  28. Slide 28: Thank You

    Thank You

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