Deutsche Telekom AG · XETR:DTE
Deutsche Telekom — Q1 2009 Earnings Presentation
15 slides from Deutsche Telekom's earnings presentation, Apr 21, 2009
Slide 1: Q1/09 Preliminary Results
Q1/09 Preliminary Results. Deutsche Telekom.
Slide 2: Disclaimer
Disclaimer. This presentation contains forward-looking statements that reflect the current views of Deutsche Telekom management with respect to future events. They include, among others, statements as to market potential and financial guidance statements, as well as our dividend outlook. They are ge
Slide 3: Deutsche Telekom – Q1/09 Results
Deutsche Telekom – Q1/09 Results. German business on track – changes in currency, economy and operations predominantly in the US, UK, and Poland. Positive Q1/09 with 6% revenue growth and 3% adj. EBITDA growth (incl. OTE) Good progress in German and CEE fixed business, retail net add market shar
Slide 4: Group results
Group results. Positive results in BBFN and system solutions. Revenue growth of 6% Revenue Q1 09 9.2 € billion +9% +6% Q1 08 8.4 Mobile 15.9 Adj. EBITDA Q1 09 2.6 +0.2 -0.3 -2% Q1 08 2.7 15.0 Currency Organic +1.1 Acquisitions Revenue Q1 09 5.9 Q1 08 5.7 +4% Q1/08 Q1/09 BBFN Adj. EBITDA growth of 3%
Slide 5: Deutsche Telekom – Q1/09 free cash flow
Deutsche Telekom – Q1/09 free cash flow. Different seasonality of capex payments drives change. Free cash flow Q1 2009 € billion Cash capex increase due to front- loading in volume (€0.3 billion) 1.6 and shift in payment schedule -0.25 (€0.4 billion) -0.7 Main reasons for increase: Change adj.
Slide 6: Broadband/Fixed Network
Broadband/Fixed Network. Fixed business meeting expectations – German business improved. BBFN Revenue Domestic Revenue Positive € billion € billion Total revenues up 4% 4% -6% (incl. OTE). +0.6 0.0 -0.3 5.7 Currency 5.9 5.1 4.8 Increasing Broadband Acquisitions Organic Fixed Network adj. EBITDA
Slide 7: Broadband Fixed Network summary
Broadband Fixed Network summary. Best retail net add market share since 2005 in Q1 with 53%. Domestic broadband lines in million Domestic broadband net add share* by competitor 23.8 22.3 23.1 2.0 in percent 21.6 1.6 1.8 Alternative infrastructure operators2 20.8 1.4 Cable 1.3 x.x T-Home 8.2 Cable op
Slide 8: Mobile Germany
Mobile Germany. Stabilization of service revenues and adj. EBITDA. Revenue development € million Positive +91 +19 0.6% slight service revenue growth. 1.885 +2 1.874 -58 -13 Adj. EBITDA stabilization. -52 Increased contract customer base yoy Strong iPhone and G1 sales Usage above last year
Slide 9: Systems Solutions
Systems Solutions. Adj. EBIT more than doubled. Positive Adj. EBIT more than doubled to Total revenue International revenue €34 million € billion -4% € million +6% External revenues stable International revenue with 2.2 2.1 634 0.7 Internal revenues 0.6 597 growth of 6% Adj. EBITDA margin in
Slide 10: Mobile
Mobile. Currency, economy and operational impact predominantly in the US, UK and Poland. Revenue Mobile Revenue Mobile Europe € billion € billion +9% +2% 9.2 0.0 5.1 8.4 +0.2 Organic 5.0 -0.3 -0.1 +0.6 Currency +0.5 Currency Organic Acquisitions Acquisitions (thereof 69% less visitor and Q1/08 Q1/09
Slide 11: TMUS
TMUS. 3G rollout and market invest Positive increase opex. Sequential contract churn reduction from 2.4% in Q4/08 to 2.3% in Q1/09 1 million G1 phones sold so far Revenue development 1.5 million 3G converged devices on our network vs. zero € million +238 going into Q4 2008 +15 4.142 +103 +524
Slide 12: TMUK
TMUK. TM UK with 100 million organic EBITDA decrease. Revenue development Positive € million 1.058 Contract net adds +53k in Q1/09 vs -19k in Q1/08 +26 -168 836 Frontloading of customer acquisition SACs/SRCs €19 million -56 -9 -15 (SRCs +17%), thereof €16 million due to handset purchases in € Ne
Slide 13: PTC
PTC. Currency drives 100% of revenue decline. Positive Revenue development 198k contract net adds in Q1/09 vs. 190k in Q1/08 524 Voice usage and non voice revenues slightly higher € million +53 Contract churn stable at 0.6% in Q1/09 from 0.7% in Q1/08 416 -108 -31 -19 -4 Negative Revenue -20
Slide 14: Initiatives
Initiatives. Initiatives taken with focus on the US, UK and Poland. €1billion Capex freeze decided today USA UK Poland Roll-out of 3G network: around 200 New management team with strict Reduce SACs/SRCs expenses million covered POPs end of 2009 focus on repositioning of our Cluster cost
Slide 15: Deutsche Telekom – Key messages
Deutsche Telekom – Key messages. Deutsche Telekom’s management remains committed to free cash flow generation and attractive dividend policy. Measures to improve operational situation in US, UK, and Poland taken Focus on: Improving operations in the US, the UK, and Poland Execution on OTE in