25 slides from Telecom Argentina Sa Class B's earnings presentation, November 2018
Slide 1: Telecom Argentina Earnings Release
TELECOM a TELECOM ARGENTINA Earnings Release November 2018
Slide 2: Disclaimer
DISCLAIMER This presentation may include statements that could constitute forward-looking statements, including, but not limited to, the Company's and it’s management expectations for the Company’s future performance, revenues, income, earnings per share, capital expenditures, dividends, liquidity a
Slide 3: Disclaimer
DISCLAIMER The merger between Telecom and Cablevision was considered an inverse acquisition under IFRS 3 (Business Combinations], with Cablevisidn being the surviving entity for accounting purposes. Thus, for the purposes of preparing the consolidated financial statements of Telecom Argentina as of
Slide 4: Agenda
AGENDA MACRO OVERVIEW INDUSTRY TRENDS & STRATEGY BUSINESS HIGHLIGHTS FINANCIALS Q&A
Slide 5: Agenda: Macro Overview
AGENDA []facroovervew INDUSTRY TRENDS & STRATEGY BUSINESS HIGHLIGHTS FINANCIALS Q&A
Slide 6: Overview of Argentina's current macro environment
55] 39,3 256 CENTRAL BANK RESERVES [Billion USS} EXTERNAL FRONT DOMESTIC ACTIVITY & INFLATION HOUSEHOLD CONSUMPTION LEBACsreduction& Revised official figures as of 3Q18 stronginterventionin 37% 35% 43% al? a9 FX Markets 49,0, IMF stand-by disbursement=U$S. I5BN 2015 2016 2017 OVERVIEW OF ARGENTINA'S
Slide 7: 0,25 0,2 0,15 0,1 0,05
0,25 250 0,2 200 0,15 150 0,1 100 0,05 50 0 0
Slide 8: 40% 35% 30% 25% 20% 15% 10% 5% 0%
40% 35% 280 30% 230 25% 180 20% 15% 130 10% 80 5% 30 0%
Slide 9: Agenda: Industry Trends & Strategy
AGENDA | MACRO OVERVIEW T[prousrevteenosastearcy BUSINESS HIGHLIGHTS FINANCIALS Q&A
Slide 10: Industry Trends & Market Evolution
INDUSTRY TRENDS & MARKET EVOLUTION BUNDLING IS THE KEY Percentage of Households with quad-play services: 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% 2014 2015 2016 2017 Belgium -*-Portugal -®-Netherlands -e-Spain Mobile Internetis the future : (2025 Percentage of global population) ao = Use of intemeton m
Slide 11: Positioning & Strategic Avenues
POSITIONING & STRATEGIC AVENUES OUR NEXT CHALLENGES: We aspire to have . the bot fixed- ©O To consolidate the bil ki Company as the first mobile networkin To be N°l in NPS option of value for the the country; in customer quality and coverage Flow transformation Personal Store e@ Transform Flow in an
Slide 12: Agenda: Business Highlights
AGENDA MACRO OVERVIEW INDUSTRY TRENDS & STRATEGY BUSINESS HIGHLIGHTS FINANCIALS Q&A al}
Slide 13: Business highlights: revenues, EBITDA, subscribers
° +29.3% YOY Rava P$OO5 Onl” een EBITDA P$35.2bn Margin:35.4% Fixed Voice ARBU: $237 Broadband ARPU: $605 ARPU Pay TV ARPU: $675 (permonth] Mobile ARPU: $170 Mobile subs in Argentina: 18.9mm y S Y SUBSCRIBERS fidggeenaema 1.7mm Fixed Voice: 3.6 mm 5) [ 4G CLIENTS Pay TV:3.5mm J CORPO R ATE > OnSepte
Slide 14: Consolidated proforma figures
In P$ Million * Consolidated Proforma figures Figures may not sum up due to rounding
Slide 15: ,00 20% ,00 18% ,00 16% ,00 14% ,00 12% 150 ,00 10% 140
200 ,00 20% 190 ,00 18% 180 ,00 16% 170 ,00 14% 160 ,00 12% 150 ,00 10% 140 ,00 08% 130 ,00 06% 120 ,00 04% 110 ,00 02% 100 ,00 00%
Slide 16: In Million In Million In Thousand
In Million In Million In Thousand 15% 780 13% 730 11% 680 09% 630 07% 580 05% 530 03% 480 01% 430 -01% 380
Slide 17: Million of P$ consolidated proforma figures
Million of P$ * Consolidated Proforma figures
Slide 18: Agenda: Financials
AGENDA MACRO OVERVIEW INDUSTRY TRENDS & STRATEGY BUSINESS HIGHLIGHTS 11 SS ||]Oaa 7
Slide 19: Consolidated proforma figures
40000 35% 35000 30000 33% 25000 31% 20000 15000 29% 10000 27% 5000 0 25% *Consolidated Proforma figures
Slide 20: Consolidated proforma figures
Consolidated Proforma figures
Slide 21: Consolidated proforma figures
∆ ∆ ∆ *Consolidated Proforma figures
Slide 22: 2017 figures sum of Cablevision and Telecom
2017 figures correspond to sum of the parts of Cablevisión and Telecom
Slide 23: Debt in USD million
In USD Million (*) On October 17, 2018 the Company refinanced U$S 500mn through a new Syndicated Loan due 2022 and cancelled U$S 100mn in cash from the Syndicated Loan due 2019 . (**) On November 8, 2018, the Company was notified of the acceptance of a loan offer by Deutsche Ba
Slide 24: Agenda: Q&A
AGENDA MACRO OVERVIEW INDUSTRY TRENDS & STRATEGY BUSINESS HIGHLIGHTS FINANCIALS a
Slide 25: Investor Relations Contact
TELECOM Investor Relations Contact Telephone: (541I] 4968 3628 E-mail: relinver@teco.com.ar