Emirates Integrated Telecommunications Company Pjsc · DFM:DU
Emirates Integrated Telecommunications Company Pjsc — FY2014 Earnings Presentation
21 slides from Emirates Integrated Telecommunications Company Pjsc's earnings presentation, February 2015
Slide 1: FY 2014 Results
FY 2014 Results Emirates Integrated Telecommunications Company PJSC February 2015
Slide 2: Contents
Contents Slide Highlights of the Full Year Results 3 Market Information 8 Financial Summary 10 2
Slide 3: 2014 Year In Review
2014 Year In Review Proud to announce another year of strong performance across all Maximising shareholder value areas of the business • Proposed second dividend payment of AED 0.20 per share, • Positive growth trend for Revenue bringing total annual dividend payment to AED 0.32 per • Achieved 13.3%
Slide 4: Full Year Financial Highlights
Full Year Financial Highlights Total Revenue EBITDA* Net Profit before Free Cash Flow Mobile Customers (AED M) (AED M) Royalty (AED M) (AED M) 90 Day Active Subs (000s) +13.3% +16.8% +22.8% -6.1% +1.4% 12,238 5,030 3,702 7,343 3,014 2,329 7,244 2,188 10,799 4,306 FY 2013 FY 2014 FY 2013 FY 2014 FY 2
Slide 5: Q4 Financial Highlights
Q4 Financial Highlights Total Revenue EBITDA Net Profit before Free Cash Flow Post-paid Customers (AED M) Royalty (AED M) Quarterly (AED M) (000s) (AED M) +12.4% +17.8% +27.8% -16.1% +19.7% 3,225 1,269 916 1,098 800 2,869 922 717 1,078 669 Q4 2013 Q4 2014 Q4 2013 Q4 2014 Q4 2013 Q4 2014 Q4 2013 Q4 2
Slide 6: Progressive Dividend Payment
Progressive Dividend Payment Proposed dividend payment AED per share 2013 2014 Interim Dividend 0.12 0.12 Final Dividend 0.19 0.20 Total Dividend 0.31 0.32 Total Amount (AED) 1.41 billion 1.46 billion Sustained focus on creating shareholder value • Proposed dividend of AED 914 million • Du commenced
Slide 7: Contents
Contents Slide Highlights of the Full Year and Q4 Results 3 Market Information 8 Financial Summary 10 7
Slide 8: Market Overview
Market Overview Market share consolidation – emphasis on growing revenue share UAE Mobile Subscribers - Market share quarterly evolution UAE Telecom Market - Revenue share quarterly evolution 60.0% 80.0% 55.0% 60.0% 69.7% 69.0% 50.0% 52.6% 53.3% 40.0% 45.0% 47.4% 46.7% 20.0% 30.3% 31.0% 40.0% Etisal
Slide 9: Contents
Contents Slide Highlights of the Full Year and Q4 Results 3 Market Information 8 Financial Summary 10 9
Slide 10: Total Revenues
Total Revenues Mobile and fixed business drive revenues up Quarterly Revenue (AED M) Like for Like Revenue Breakdown Quarter Change (AED M) +12.4% 3,225 3,225 2,869 137 8 [VALUE] (31) 3,024 3,034 240 2,955 2,869 67.4% 38.6% 2.4% 0.4% -8.7% Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Full Year Revenue (A
Slide 11: Revenue Drivers – Mobile
Revenue Drivers – Mobile Mobile ARPU increased despite increased competition in mobile market Quarterly Mobile Revenues (AED M) Year on Year Mobile Revenues (AED M) +9.5% +10.9% 2,435 9,161 8,365 2,228 2,263 2,235 7,632 2,195 6,541 5,058 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 FY 2010 FY 2011 FY 201
Slide 12: Revenue Drivers – Mobile Data
Revenue Drivers – Mobile Data Data revenues continue its growth trend along with global demand for data Quarterly Mobile Data Revenues (AED M) Yearly Mobile Data Revenues (AED M) +18.5% +18.0% 1,000 50.0% 2,790 3,000 50.0% 768 2,364 800 691 692 40.0% 2,500 40.0% 648 639 2,000 1,767 600 30.0% 30.0% 3
Slide 13: Revenue Drivers – Mobile Postpaid
Revenue Drivers – Mobile Postpaid High-value postpaid segment backs growth Postpaid growth to mobile revenue growth Quarterly Minutes of Use per Subscriber by Customer Segment (excluding inbound roaming and handset revenue) 73.6% 611 625 633 593 584 61.9% 221 207 207 192 193 FY 2013 FY 2014 Q4 2013
Slide 14: Revenue Drivers – Fixed
Revenue Drivers – Fixed Strong performance in fixed business Quarterly Fixed Revenue (AED M) Fixed line subscription Yearly Fixed Line Subscribers (‘000) +6.8% +29.9% 639 598 595 599 541 531 561 511 458 477 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 Full Year Fix
Slide 15: Revenue Drivers – Broadcast & Wholesale
Revenue Drivers – Broadcast & Wholesale Strong growth in wholesale business Quarterly Broadcast Revenues (AED M) Quarterly Wholesale Revenues (AED M) +3.2% +6.0% 41 173 177 40 41 41 155 39 141 149 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Full Year Broadcast Rev
Slide 16: Operating Expenses
Operating Expenses Maintained efficiencies along with continued drive for improved performance Quarterly Operating Expenses (AED M) Year on Year Operating Expenses (AED M) 2,000 1,956 100.0% 8,000 7,208 100.0% 1,792 1,771 1,731 1,751 6,493 80.0% 80.0% 1,500 6,000 60.0% 60.0% 1,000 62.4% 59.9% 60.6%
Slide 17: Profitability
Profitability Strong performance in EBITDA and Net Profit Quarterly EBITDA* (AED M) Quarterly Net Profit before Royalty (AED M) +17.8% +27.8% 1,400 1,184 1,293 1,284 1,269 80.0% 1,200 60.0% 1,200 1,078 949 972 1,000 865 916 50.0% 1,000 60.0% 800 717 40.0% 800 40.0% 600 30.0% 600 42.8% 42.3% 31.4% 32
Slide 18: Royalty Overview
Royalty Overview Net Profit after Royalty Compared (AED M) Royalty Compared (AED M) 3,000 40.0% 2,000 100.0% 2,426 1,592 2,500 2,109 80.0% 1,986 30.0% 1,500 2,000 1,027 60.0% 1,500 20.0% 1,000 17.2% 40.0% 1,000 18.4% 10.0% 500 43.0% 500 34.1% 20.0% - 0.0% - 0.0% 2013 2014 2013 2014 NP based on 2013
Slide 19: Capital Investments
Capital Investments Substantial investments to provide enhanced network experience to users Quarterly CapEx Additions (AED M) Yearly CapEx Additions (AED M) +10.9% +6.1% 2,000 30.0% 760 1,720 1,659 686 1,564 25.0% 1,600 1,291 1,244 20.0% 493 1,200 18.3% 17.5% 15.0% 289 800 15.1% 14.5% 13.6% 10.0% 11
Slide 20: Cash & Debt Overview
Cash & Debt Overview Quarterly Free Cash Flow (AED M) Year on Year Free Cash Flow (AED M) 1,900 1,400 5,000 2,329 2,500 1,098 1,125 2,188 922 1,100 4,000 1,400 1,748 2,000 3,000 800 900 1,377 1,500 484 2,000 500 400 1,000 1,000 200 1,587 2,923 3,018 3,797 3,853 1,523 886 (78) 1,607 1,438 0 (100) (10
Slide 21: Disclaimer
Disclaimer • Emirates Integrated Telecommunications Company PJSC (hereafter ”du”) is a telecommunication services provider in the UAE. • du cautions investors that certain statements contained within this document state management’s intentions, hopes, beliefs, expectations or predictions of the futu
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