31 slides from Hellenic Telecommunications Organization Sa's earnings presentation, November 2024
Slide 1: OTE Group Q3 2024 Results
OTE Group Q3 2024 Results GROUP OF COMPANIES.
Slide 2: Disclaimer
2 Disclaimer This presentation is provided to persons who are entitled to receive it in accordance with the laws and In addition to figures prepared in accordance with IFRS, OTE also presents alternative performance measures, regulations of appropriate jurisdictions. This presentation is provided for
Slide 3: OTE 2030 Vision
OTE 2030 Vision Become one of Europe's top Digital Telcos, elevating Greece to the forefront of digitalization in Europe, connecting people to enjoy better lives and empowering businesses to grow while fostering an inspiring workplace where our people thrive BASED ON OUR COMMITMENTS TO 01 02 03 Deli
Slide 4: OTE 2030 Strategic Priorities
OTE 2030 – 10 Strategic Priorities Growth Transformation Differentiation 1. Fiber: Lead in Fixed broadband fiberisation 6. Load Reduction & Digital Deflection: 8. Customer Experience: Secure best position shifting our BB base to best in-home / office Radically reduce physical non-sales in the Greek marke
Slide 5: Financial Review
praygineeettt: 28888: Financial Review OTE Group Q3 2024Results
Slide 6: Key Developments
6 Key Developments FTTH OTE - NOVA FTTH Gigabit Voucher TV Agreement Wholesale • Approved by EC • Cross-supply of sports channels • Volume discounts in the FTTH • Enhanced Pay-TV services to Greek wholesale market in place • Approved by GR Government in Q4 2024 consumers • Promote the transition tow
Slide 7: OTE FTTH Rollout and 5G+ Investment Plan
7 OTE FTTH Rollout and 5G+ > Investment Plan > € 3bn FTTH Footprint (Homes Passed) >70% end of Q3 2024 by the end of 2024 by the end of 2027 1.49m >1.7m ~ 3m
Slide 8: Mobile Network Superiority in Greece
8 Mobile Network Superiority in Greece OOKLA: Umlaut Best in Test certification, for 10th consecutive year, COSMOTE Fastest Mobile Network for 8th consecutive year for its mobile internet and voice services in Greece 150.53 67.89 76.39 MEDIAN DOWNLOAD SPEED (MBPS) MEDIAN UPLOAD SPEED (MBPS) MEDIAN LA
Slide 9: Highlights
Highlights GROUP GREECE Key developments to drive growth/Positive momentum in Greece Steady progress Group Revenues up, Adjusted EBITDA (AL) up slightly excluding Romania one-offs +1.8% €350.1m +2.5% +2.9% +1.5% 42.4% REVENUES MOBILE SERVICE ADJ. EBITDA (AL) MARGIN REVENUES ADJ. EBITDA (AL) REVENUES
Slide 10: Group Overview
10 Group Overview Q3 2024 9M 2024 OTE Group is the largest telecommunications ROMANIA €897.2m €2,685.5m provider in the Greek market with presence REVENUES (YOY +1.8%) REVENUES (YOY +5.8%) also in Romania. OTE is among the largest listed €159.4m €433.0m companies in the Athens ADJ. CAPEX (YOY -13.0%
Slide 11: Revenues & Adj. EBITDA (AL)
11 Revenues & Adj. EBITDA (AL) 930 Total Revenues (€m) 911 897 881 878 3,469 3,455 5.1% 9.2% 6.6% -2.6% 1.8% Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 FY 2022 FY 2023 yoy change % Adj. EBITDA (AL) (€m) 40.0% 39.0% 36.7% 37.1% 35.9% 39.0% 38.7% 353 341 350 1,348 326 327 1,343 2.8% 1.2% -0.7% 0.0% -1.5% FY 2022 F
Slide 12: Capex & Cashflow
12 Capex & Cashflow Adjusted Capex (€m) 183 192 638 159 621 156 Q3 2024 600-610 118 18.5% €152m GREECE 17.9% 20.8% 20.6% 13.4% 17.1% 17.8% €7m ROMANIA FY 2022 FY 2023 FY 2024 Guidance Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 As % of sales As % of sales Reported FCF (€m) Q3’24: +68.2m Organic: ~470 597 Expected
Slide 13: Shareholder Remuneration Policy
13 Shareholder Remuneration Policy Shareholder Remuneration Policy Dividend at Total Shareholders payout up +23% €0.71 at €450m up +5% 70%-100% FCF distribution through a combination of dividends and share buybacks Starting from 2023, the cash dividend will account for at least 50% of total sharehol
Slide 14: Debt and Liquidity Profile
14 Debt and Liquidity Profile 0.5x 0.5x 0.4x 0.4x 0.5x 1,146 1,191 1,099 1,089 1,143 684 Net Debt/Adj.EBITDA (AL) 672 635 521 457 Net Debt Net Debt/Adj.EBITDA (AL) (519) (464) (568) (462) at €684m at 0.5x (686) Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Gross Debt* Cash Net Debt Debt Maturity Profile (€m) (Nominal
Slide 15: Greece
OTE Group Q3 2024Results Greece
Slide 16: Greece – Financial Overview
16 Greece – Financial Overview Total Revenues (€m) Adj. EBITDA (AL) (€m) 855 42.9% 42.4% 39.4% 39.8% 38.6% 3, 340 3,189 30. 0% 846 3,155 25. 0% 812 812 833 41.5% 41.6% 2, 840 20. 0% 10.3% 1,326 348 353 15. 0% 7.6% 1,310 337 323 327 2, 340 5.0% 10. 0% 1, 840 5. 0% 2.5% 0. 0% -2.2% 1.6% 1.5% 1.5% 1, 3
Slide 17: Greece – Financial Overview
17 Greece – Financial Overview Retail Fixed Revenues (€m) Retail fixed service revenues nearly unchanged: 933 915 228 230 229 228 228 • Positive momentum in Broadband and TV • Retail fixes services will be supported by: 1.2% 0.0% 0.0% -0.3% ◦ OTE – NOVA agreement on sport content sharing -0.9% ◦ Gigab
Slide 18: OTE – Fixed & Broadband KPIs
18 OTE – Fixed & Broadband KPIs OTE Fixed Lines Evolution (000) OTE Broadband lines Evolution (000) 2,392 2,405 2,406 2,407 2,400 2,615 2,617 2,611 2,602 2,587 13 4 1 1 2 -7 -8 -6 -9 -15 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Additions Additions OTE BB Penetration on Fixed FMC B
Slide 19: OTE – FTTH
19 OTE – FTTH FTTH Homes passed (000) Utilization on homes passed by OTE’s infrastructure (%) 1,490 1,331 1,375 1,460 26% 1,148 22% 24% 19% 19% 183 86 97 44 30 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Additions 85% on OTE’s infrastructure FTTH Retail Subscribers (000) Total market
Slide 20: OTE – COSMOTE TV
20 OTE – COSMOTE TV Q3’24: +6.9% yoy TV Subscribers (000) Q3’24: +24k 710 • OTE-NOVA: AGREEMENT FOR THE CROSS-SUPPLY OF THEIR 664 677 687 687 SPORTS CHANNELS • Renewal of UEFA Champions League, Europa League and 24 Conference 17 13 10 0 • League TV rights for 2024-2027 • UEFA TV rights for 2021-2024
Slide 21: OTE – Mobile KPIs
21 OTE – Mobile KPIs Total Subscribers (000) Q3’24: Post Paid +7.0% yoy 7,317 7,119 7,107 7,189 7,185 4,678 4,436 4,375 4,405 4,361 Pre-Paid Post-Paid 2,732 2,784 2,823 61% 39% 2,638 2,682 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Postpaid Prepaid Avg.Data usage* (GB) 16.0 Q3'24: +13% yoy 14.2 Another positive
Slide 22: OTE – Digitalization
22 OTE – Digitalization Smartphone penetration (%) 82% 82% 81% 81% 81% Mobile data bundle Remote Wi-Fi router subscription renewal, bill management, parental control payment, and ordering features and management of +1pp functionality for additional short-digit premium OTE services value-added servic
Slide 23: Sustainability
OTE Group Q3 2024Results
Slide 24: 2023 Sustainability Commitments - Performance
24 2023 Sustainability Commitments - Performance CLIMATE NEUTRALITY 2023 PERFORMANCE OTE Group contributes to DT Group Climate Targets: • Climate neutral in terms of own emissions (Scope 1&2) by 2025, including up to 95% reduction by 2025, compared to 2017 • 100% Renewable electricity, from 2021 onw
Slide 25: Sustainability Strategic Priorities: Commitments 2024 onwards
25 Sustainability Strategic Priorities: Commitments 2024 onwards CLIMATE NEUTRALITY OTE Group1 contributes to DT Group Climate Targets: • Climate neutral in terms of own emissions (Scope 1&2) by 2025, including up to 95% reduction by 2025, compared to 2017 • 100% Renewable electricity, from 2021 onw
Slide 26: Sustainability & ESG Indices, Rankings and Ratings
26 Sustainability & ESG Indices, Rankings and Ratings The OTE Group responds to sustainability & ESG analysts’ questions and assessments. OTE is included in several national and international sustainability/ESG indices, rankings and ratings. OTE, since 2008, meets the requirements and is Since 2018,
Slide 27: Romania
OTE Group Q3 2024Results
Slide 28: Telekom Romania Mobile – Financial Overview
Telekom Romania Mobile – Financial Overview Total Revenues (€m) Adj. EBITDA (AL) (€m) 306 12.4% 287 5.9% 78 38 6.5% 5.3% 4.2% 71 -0.1% -4.5% 66 67 66 17 5 4 3 0 -3* FY 2022 FY 2023 FY 2022 FY 2023 Q3'23 Q4'23 Q1'24 Q2'24 Q4'24 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 *Excluding tax related items at ~€1m Adjust
Slide 29: Telekom Romania Mobile – Financial Overview
29 Telekom Romania Mobile – Financial Overview Mobile Service Revenues (€m) 203 185 48 43 39 38 40 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 FY 2022 FY 2023 • Ongoing impact by: ◦ Mobile termination rate (MTR) cuts: an additional 50% reduction has been in place since the beginning of 2024 ◦ Challenging competit
Slide 30: Telekom Romania Mobile – KPIs
Telekom Romania Mobile – KPIs Q3'24: Post Paid +4.1% yoy Data Revenues (€m) Total Subscribers (000) 3,899 3,798 3,661 3,601 3,547 21 21 22 20 20 1,587 2,016 1,882 1,729 1,650 1,883 1,916 1,932 1,951 1,960 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q3’23 Q4’23 Q1’24 Q2’24 Q3’24 &# Postpaid Prepaid Data Revenues a
Slide 31: Thank you.
Thank you.