Inmarsat — Investor Day (September 2014)
11 slides from Inmarsat's investor day presentation, September 2014
Slide 1: Maritime
Maritime Frank Coles President
Slide 2: Maritime business at a glance
Maritime business at a glance Mission: To serve the world’s Maritime markets Inmarsat Maritime is a $600m business that enables solutions for safety, efficiency and crew welfare Primarily indirect channel to market, with focused direct channel to drive GX adoption and new market access Well position
Slide 3: Maritime business at a glance
Maritime business at a glance Building strategic partnerships with the Maritime industry Strategy: Provide and enable solutions that help our customers • Comply with regulatory requirements • Realise savings through efficiency in operations Implementation: • Safety Solutions • IMO Mandated GMDSS pro
Slide 4: Market trends
Market trends “Smart Shipping” will drive need for high speed, reliable communications More data is coming ashore today Industry is automating data gathering, to power real-time decision making from shore Concept testing of fully automated drone ships underway 2010 2013 2016 2020 Traditional shippin
Slide 5: Growth opportunities
Growth opportunities Increase ARPU and expand into new markets Commercial Maritime • Strong, well established customer base • Primary objective to grow ARPU from existing base • New product introduction (i.e. Fleet Media, iFUSION, GSM) • Plan upgrades to support additional functionality and services
Slide 6: Safety – key part of our strategy
Safety – key part of our strategy Capitalise and expand safety services Mariner safety is central to Inmarsat’s position in Commercial Maritime • Mandated by the IMO as the provider of GMDSS (Global Maritime Distress and Safety Service) New opportunities in Safety • “Safety as a Service” • Migration
Slide 7: Overview of route to market
Overview of route to market Expanding traditional channel to add “Smart Shipping” enablers Inmarsat Maritime Traditional Channel “Smart Shipping” Channel Direct Indirect Integrators Support indirect channel Maritime Service Engine manufacturers Meet competitive threats Providers Vessel equipment Add
Slide 8: Core market growth
Core market growth Continued subscriber and ARPU growth User base growth • Continued growth in FB user base (45,000+ users), despite highly competitive saturated market ARPU growth through value • Base ARPU continues to grow across customer base (c.$600+ pm) • Increased usage out-weighing technology
Slide 9: New market growth
New market growth Rapid adoption of services in new target markets Fleet One • New product launched in Q2 to drive growth in adjacent markets of fisheries and leisure • Good subscriber uptake in first 3 months of service Leisure Users • Growth driven by Safety and Crew Welfare/Entertainment • Safety
Slide 10: Future markets/pathway to GX
Future markets/pathway to GX Steady growth of high volume data users in XpressLink leads to GX User base growth • Leading market share in VSAT installations in deep sea ships (now 1,900+ users) • Average 2% growth month-on-month Future foundations • Solid customer base committed to future migration
Slide 11: Maritime growth strategy
Maritime growth strategy Drive high-end user development and market expansion GX is the solution for high volume users • Expanded bandwidth and capacity • Global coverage • Advanced platform for billing and service enablement XL is upgrade pathway to GX • Assures continued revenue growth and custome