Astro Malaysia Holdings Bhd. · MYX:ASTRO
Astro Malaysia Holdings Bhd — Q1 FY2018 Earnings Presentation
26 slides from Astro Malaysia Holdings Bhd's earnings presentation, Jun 14, 2017
Slide 1: 1st Quarter FY18 Results
1st Quarter FY18 Results 14th June 2017
Slide 2: Disclaimer
Disclaimer This document contains certain forward-looking statements with respect to Astro Malaysia Holdings Berhad’s (“Astro”) financial condition, results of operations and business, and management’s strategy, plans and objectives for Astro. These statements include, without limitation, those that
Slide 3: Q1FY18 snapshot
Q1FY18 snapshot Highlights 1QFY17 1QFY18 Growth NB TV households (000s)(1) 7,144 7,234 1% (1) TV household data sourced from the TV household penetration(2) 69% 71% 2pp Department of Statistics Malaysia and Media Partners Asia TV customer base (000s) 4,898 5,153 5% (2) Household penetration includes
Slide 4: Key highlights of Q1 FY18 performance
Key highlights of Q1 FY18 performance • 4.9mn to 5.2mn customers GROW • 69% to 71% HH penetration Revenue (3%) • 1.2mn Astro GO registered users RM1.36bn→ RM1.33bn • 1.3mn Tribe registered users Adex (5%) RM150.4mn→ RM142.7mn LEAD • Vernacular content drives viewership • 75% to 76% share of TV viewe
Slide 5: We are making good progress on our digital transformation
We are making good progress on our digital transformation To be a Digital-First, Cloud-First, Mobile-First Entertainment & Lifestyle company that delivers exceptional customer experiences Organisation People Processes Technology Develop a collaborative Inculcate mindset & Design Astro-optimised Adop
Slide 6: Serving 5.2mn households with 572k connected homes and 7.5mn monthly unique visitors
Serving 5.2mn households with 572k connected homes and 7.5mn monthly unique visitors to our digital platforms Households (mn) Connected Boxes (000s) ARPU (RM) Monthly Unique Visitors (1) (mn) Household Penetration 69% 71% 7.5 5,153 572 100.8 4,898 4.1 99.0 351 1QFY17 1QFY18 1QFY17 1QFY18 1QFY17 1QFY
Slide 7: Astro GO driving mobility & individual viewing
Astro GO driving mobility & individual viewing • Personalised content selection #1 Long-form OTT app in Malaysia (1) • • Ease of discovery & consumption of content tool Connecting people through social sharing Take your TV everywhere. For Free. Registered Users (mn) App Downloads (mn) Average Weekly
Slide 8: Introducing NJOI Now – our free video streaming service
Introducing NJOI Now – our free video streaming service On 11th March, we launched NJOI Now, our free video streaming service • Mobile and online platforms • On demand Box sets, live sports, breaking news entertainment • Download feature for Over 2,200 titles of movies, dramas and tutorials offline
Slide 9: Increase in TV viewership share & time spent
Increase in TV viewership share & time spent Pay-TV NJOI 188 72 60 28 channels Astro-branded HD channels channels channels TV Viewership Share Avg. Daily Viewers (mn) Avg. Time Spent/Day -1.9% +2.7% 13.8 13.5 -7.8% 24% +3.2% +1.5pp 8.2 7.6 3:42 3:48 76% 2:04 2:08 (47%) 1QFY17 1QFY18 1QFY17 1QFY18 As
Slide 10: Creating leading vernacular content that resonates
Creating leading vernacular content that resonates PRIME TALK MAHARAJA LAWAK MEGA 2017 251K viewership ANUGERAH EVENING EDITION MELETOP ERA 2017 4.9mil viewership RASIKKA RUSIKA S3 KL TO KARAIKUDI 269K viewership 3.6mil viewership 200K viewership 151K viewership 9 | 1QFY18 results
Slide 11: Growing our 360o signature programmes
Growing our 360o signature programmes Digital Views TV Viewership Social Media Reach 28mn 4.9mn 58mn Website + Facebook + YouTube + Instagram DTAM Kantar Media Vocanic Report 2017 Ticketing Events YouTube Malaysia Twitter Most Popular #MLM Hashtags SOLD OUT Video Trended Live Show Finals 3 consecuti
Slide 12: Expanding our content offering to capture digital natives
Expanding our content offering to capture digital natives Build on Existing IPs Produce New IPs Innovation The House S2 & S3 3 Gadis Manis The Birth of a Mrs. Follows the lives of popular public figures Dato Mini series (6min episodes) First non-Malay content on Astro Seri Vida & Rozita Che Wa
Slide 13: Driving connected homes through on demand viewing
Driving connected homes through on demand viewing Promoted Content Thematics Malay TV Series & La La Land Didi & Signature Shows Friends Chinese TV Series Superheroes Korean TV Series & Box Sets Box Sets Best of Indian Movies & Series British Premiere first on demand Monthly thematic campaigns p
Slide 14: Tribe continues to scale in Indonesia and the Philippines
Tribe continues to scale in Indonesia and the Philippines, and has just launched in Singapore Registered Users (mn) Average Time Spent (mins/week) 1.3 125 mins 1QFY18 13 | 1QFY18 results
Slide 15: Go Shop continues to grow customer numbers
Go Shop continues to grow customer numbers via a differentiated content and product portfolio 1.04mn registered customers Net revenue of RM62mn 548k mobile downloads • Unveiled our exclusive • Launched our branded locally designed program “Go Pak Muslimah clothing Nil” with Datuk Aznil brand, Hawa N
Slide 16: YoY revenue performance in a challenging operating environment
YoY revenue performance in a challenging operating environment (2) Total revenue (RM mn) YoY growth 1,428 1,424 1,363 1,397 74 62 61 1,326 (3%) 64 186 188 62 (3%) 150 181 143 (5%) Go Shop Adex Subscription/Others (1) (2%) 1,148 1,168 1,174 1,155 1,121 1QFY17 2QFY17 3QFY17 4QFY17 1QFY18 NB (1) Disclo
Slide 17: Advertising income consistently outperforming the industry
Advertising income consistently outperforming the industry (1) (2) (3) Advertising income (RM mn) YoY growth Share of Radex Radio listeners (mn) Total Malaysia TV Radio gross ADEX YoY 76% 188 growth (2)(5) 72% 186 181 15.6 12.8 150 OVERALL ADEX 83 143 (5%) (10%) 87 86 1QFY17 1QFY18 1QFY17 1QFY18 72
Slide 18: Cost optimisation remains a key focus
Cost optimisation remains a key focus Total operating expenditure (RM mn) Content cost as % 33% 39% 37% 35% 34% of TV revenues 1,184 1,136 1,129 1,085 1,029 687 665 695 676 624 497 471 434 409 405 1QFY17 2QFY17 3QFY17 4QFY17 1QFY18 Content costs Other expenses NB (1) Content costs are disclosed as p
Slide 19: Applying ROI discipline in capex spend
Applying ROI discipline in capex spend Cash capex (RM mn) Capitalised capex (RM mn) as % of 2% 2% as % of 2% 4% revenue revenue 24 20 2 1 12 12 54 10 24 7 1QFY17 1QFY18 1QFY17 1QFY18 Revenue Growth Digitalisation Capital Maintenance STBs/ODUs are owned by Astro, and are capitalised Key capex inves
Slide 20: Strong cash generation continues to significantly exceed PATAMI
Strong cash generation continues to significantly exceed PATAMI… Free cash flow (RM mn) as % of PATAMI 152% 204% 109 112 508 417 399 305 (2) (3) (2) (3) Cash from Cash from Free cash flow Cash from Cash from Free cash flow operations investing operations investing 1QFY17 1QFY18 …enabling significant
Slide 21: Quarterly dividend announcement
Quarterly dividend announcement Leveraging on invested capital, AMH continues to be highly cash generative The Board of Directors of AMH has declared a quarterly dividend of 3.00 sen per share for 1QFY18 Quarterly dividend entitlement and payment dates: 4 July 2017 and 14 July 2017, respective
Slide 22: Appendix
Appendix
Slide 23: PAT reconciliation
PAT reconciliation (RM mn) 1QFY17 1QFY18 EBITDA 477 460 Margin % 35% 35% Depreciation and amortisation (1) (195) (160) EBIT 282 301 NB (1) Depreciation and amortisation Margin % 21% 23% excludes the amortisation of film Finance income 57 20 library and programme rights which is expensed as part of c
Slide 24: Group Balance Sheet overview
Group Balance Sheet overview (RM mn) 1QFY17 1QFY18 (RM mn) 1QFY17 1QFY18 Non-current assets 4,591 4,455 Non-current liabilities 3,809 3,315 Property, plant and equipment 2,000 1,751 Payables 533 502 Other non-current assets 2,591 2,703 Borrowings 3,181 2,726 Other non-current liabilities 95 87 Curre
Slide 25: Debt profile
Debt profile Total borrowings (RM mn) Details of borrowings Finance lease RM term loan USD term loan As at 30 April 2017, outstanding principal US dollar term loan stood at US$222.75mn. The eighth principal repayment of USD24.75mn (RM74.72mn) was paid on 8 June 2017 Total borrowings is net of debt
Slide 26: Thank you
Thank you Go Beyond
Astro Malaysia Holdings Berhad — Q1 FY2018 Earnings Presentation on 6ix