Vodafone Qatar Qsc · QSE:VFQS

Vodafone Qatar Qsc — Vodafone Qatar P.Q.S.C. — H1 2018 Earnings Presentation

19 slides from Vodafone Qatar Qsc's earnings presentation, Jul 25, 2018

  1. Slide 1: Financial results: Half year ended 30 June 2018

    Vodafone Qatar P.Q.S.C. Financial results: Half year ended 30 June 2018 25 July 2018

  2. Slide 2: Disclaimer

    Disclaimer • The following presentation is made only to, and is directed only at, persons to whom such a presentation may lawfully be communicated (“relevant persons”). Any person who is not a relevant person should not act or rely on this presentation or any of its contents. • This presentation con

  3. Slide 3: Strategic review

    Sheikh Hamad Al Thani Chief Executive Officer Strategic review

  4. Slide 4: Key Messages

    Key Messages Service Revenue Growth Fixed Infrastructure Network Momentum Access Agreements Modernization First YoY Quarterly service revenue Access agreements secured to Network modernization in growth in 5 Quarters improve time to market and progress in preparation for 5G deployment costs Number 1

  5. Slide 5: Financial review

    Brett Goschen Financial review Chief Financial Officer

  6. Slide 6: Quarterly Financial Performance (Year on Year)

    Quarterly Financial Performance (Year on Year) CY18 Q2 v CY17 Q2 Total revenue (QR m) Expenses (QR m) EBITDA (QR m) Net (loss) / profit (QR m) +0.7% -1.8% +7.5% +88m 516 519 377 370 149 31 139 195 180 182 191 (57) CY17 Q2 CY18 Q2 CY17 Q2 CY18 Q2 CY17 Q2 CY18 Q2 CY17 Q2 CY18 Q2 Direct costs OPEX • To

  7. Slide 7: Service Revenue (QR m)

    Service Revenue (QR m) CY18 Q2 v CY17 Q2 Postpaid Revenue Prepaid Revenue Total Service Revenue +19.0% +0.6% -13.8% 212 262 484 487 200 201 5.5% 472 473 3.0% 178 13 217 227 223 226 1.4% 13 153 415 186 459 CY17 Q2 CY17 Q3 CY17 Q4 CY18 Q1 CY18 Q2 CY17 Q2 CY17 Q3 CY17 Q4 CY18 Q1 CY18 Q2 CY17 Q2 CY17 Q3

  8. Slide 8: Total Revenue & ARPU

    Total Revenue & ARPU CY18 Q2 v CY17 Q2 Total Revenue (QR m) ARPU (QR) +0.7% +6.2% 536 532 105 105 108 13 519 101 516 91 429 522 CY17 Q2 CY17 Q3 CY17 Q4 CY18 Q1 CY18 Q2 CY17 Q2 CY17 Q3 CY17 Q4 CY18 Q1 CY18 Q2 Total 20.5% 19.1% 21.7% 21.2% N/A RMS • Total revenue increased 0.7% due to postpaid subscri

  9. Slide 9: EBITDA & Underlying EBITDA margin

    EBITDA & Underlying EBITDA margin CY18 Q2 v CY17 Q2 EBITDA (QR m) EBITDA margin % +7.5% 171 31.9% 149 38 139 135 14 28.7% 28.3% 25.4% 27.5% 27.5% 98 26.9% 133 135 25.4% 25.3% 22.8% CY17 Q2 CY17 Q3 CY17 Q4 CY18 Q1 CY18 Q2 CY17 Q2 CY17 Q3 CY17 Q4 CY18 Q1 CY18 Q2 External EBITDA One-off’s Reported EBIT

  10. Slide 10: CAPEX (QR m)

    CAPEX (QR m) CY18 Q2 v CY17 Q2 Total CAPEX Quarterly CAPEX Mix +40.3% Other CAPEX Capacity run and maintenance 140 4 Capabilities & IT 8 Transformation 74 56 30 21 2 CY17 Q2 CY17 Q3 CY17 Q4 CY18 Q1 CY18 Q2 16 CAPEX 4.1% 13.1% 26.1% 14.0% 5.7% Coverage & capacity Intensity expansion CAPEX investment

  11. Slide 11: Half year ended: Financial performance (Year on Year)

    Half year ended: Financial performance (Year on Year) CY18 H1 v CY17 H1 Total revenue (QR m) Expenses (QR m) EBITDA (QR m) Net (loss) / profit (QR m) +1.7% +0.5% +180m +5.2% 1,033 1,051 764 768 49 284 270 403 368 361 400 (131) Jun-17 Jun-18 Jun-17 Jun-18 Jun-17 Jun-18 Jun-17 Jun-18 Direct costs OPEX

  12. Slide 12: Financial Summary

    Financial Summary For Six Months ended 30 June 2018 QR m 6m to 6m to YoY (unless otherwise stated) Jun-18 Jun-17 Growth (%) Mobile Customers (000) 1,390 1,464 (5.0%) • Customer Base lower, largely impacted by prior year network outage and reduction in market sim duality Total Revenue 1,051 1,033 1.7

  13. Slide 13: FY18 Guidance

    FY18 Guidance Year ended Guidance Qatari Riyals 31 Dec 2017 Year ending (unaudited) 31 Dec 2018 Total Revenue 1,998m 2,070m – 2,110m EBITDA Margin % 26.9% 27.0% – 28.0% Capex intensity % 16.0% ~ 22% Disclaimer: The above table contains forward-looking statements that are subject to risks and uncerta

  14. Slide 14: Questions?

    Questions ?

  15. Slide 15: Appendix

    Appendix

  16. Slide 16: Mobile Customers ('000s)

    Mobile Customers (‘000s) CY18 Q2 v CY17 Q2 Postpaid Prepaid Total Mobile Customers +22.3% -11.6% -5.0% 340 349 1,178 1,464 1,389 1,390 1,410 1,390 319 1,096 1,071 1,070 1,042 285 293 CY17 Q2 CY17 Q3 CY17 Q4 CY18 Q1 CY18 Q2 CY17 Q2 CY17 Q3 CY17 Q4 CY18 Q1 CY18 Q2 CY17 Q2 CY17 Q3 CY17 Q4 CY18 Q1 CY18

  17. Slide 17: Net Profit / (Loss) & Distributable Profit (QR m)

    Net Profit / (Loss) & Distributable Profit (QR m) CY18 Q2 v CY17 Q2 Net profit / (loss) Distributable profit +88m +20.0% 31 72 17 52 44 38 (29) (57) 4 (96) CY17 Q2 CY17 Q3 CY17 Q4 CY18 Q1 CY18 Q2 CY17 Q2 CY17 Q3 CY17 Q4 CY18 Q1 CY18 Q2 • Net Profit of QR 31m, QR 88m higher driven by mobile license a

  18. Slide 18: Free Cash Flow & Net Debt (QR m)

    Free Cash Flow & Net Debt (QR m) CY18 Q2 v CY17 Q2 Free Cash Flow Net Debt (QR m) -47m -18.6% 96 680 626 620 603 554 54 49 17 7 CY17 Q2 CY17 Q3 CY17 Q4 CY18 Q1 CY18 Q2 CY17 Q2 CY17 Q3 CY17 Q4 CY18 Q1 CY18 Q2 • Free Cash Flow decreased QR 47m YoY due to timing of vendor payments • Lower Net Debt due

  19. Slide 19: Thank you!

    Thank you ! For more information visit our website: www.vodafone.qa/en/investor-relations Or email us: InvestorRelationsQatar@vodafone.com 19

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