Tv Azteca Sab De Cv Unit · BME:XTZA
Tv Azteca Sab De Cv Unit — TV Azteca — Investor Presentation (May 2019)
23 slides from Tv Azteca Sab De Cv Unit's investor presentation, May 2019
Slide 1: May 2019
May 2019
Slide 2: Forward-looking statements disclaimer
The following information contains or may be deemed to contain, “forward-looking statements”. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. The future results of the issue
Slide 3: TV Azteca in Grupo Salinas
TV Azteca in Grupo Salinas Consumer finance Media Telecommunications Energy, Social responsibility and retail and other More than 104,000 direct employees Presence in Mexico, USA, Colombia, Guatemala, Honduras, El Salvador, Panama and Peru 3
Slide 4: TV Azteca
TV Azteca Mexico’s second largest TV broadcaster 93 million viewers per month in Mexico ~93% 25 One of the largest two producers of Spanish language television years 37% OTA households in content in the world national market Mexico broadcasting share in LTM19 Content has been sold in over 10
Slide 5: Broadcasting channels
Broadcasting channels (1) (2) Thrilling live content Productions, co-productions and entertainment programs Generate greater local business opportunities through that are realistic and speak the language of their audience regionalization and community social service Have a differentiated off
Slide 6: Strong market position with strategies for improved momentum
Strong market position with strategies for improved momentum Content broadcast OTA television is the most efficient media to tap mass market Solid underlying business Improved market share (37% share in the Mexican national OTA television market in LTM19) Renewal of the concessions of Azteca u
Slide 7: Rising OTA TV viewership
Rising OTA TV viewership Millions of people monthly Mexico’s Total Viewership TV Azteca’s Total Viewership CAGR: +1.7% CAGR: +3.8% 104.0 103.0 105.9 107.1 101.8 93.9 95.2 91.1 93.0 83.2 1Q15 1Q16 1Q17 1Q18 1Q19 1Q15 1Q16 1Q16 1Q17 1Q18 National analog switch off National analog switch off Source: Ni
Slide 8: Time spent watching OTA TV is also increasing
Time spent watching OTA TV is also increasing Daily Hours per household Mexico TV Azteca +11 minutes +21 minutes 01:29 01:31 01:27 01:41 01:42 04:34 04:44 04:43 04:56 05:05 1Q15 1Q16 1Q17 1Q18 1Q19 1Q15 1Q16 1Q17 1Q18 1Q19 National analog switch off National analog switch off Source: Nielsen IBOPE (
Slide 9: OTA TV advertising market continues to grow
OTA TV advertising market continues to grow Ps. Billion 2018e Total Media Advertising National Advertising Market of Two in Mexico Main Broadcasters Print 8% Other 36.3 34.8 36.5 9% 34.5 33.3 Radio OTA 9% 47% Pay TV 10% Internet 17% Advertising spend in Mexico is ~Ps$ 78 Bn or 0.40% 2015 2016 2017
Slide 10: Gaining market share from main competitor
Gaining market share from main competitor OTA National Television Market Share in Mexico TV Azteca TV Azteca TV Azteca 29% 32% 37% 2007 2012 LTM19 Televisa Televisa Televisa 71% 68% 63% Source: TV Azteca and Televisa Company Reports 10
Slide 11: Successful programming
Successful programming Internally produced hours of content Production of live entertainment hours ~46,000 ~4,300 ~39,000 ~3,000 ~35,000 ~2,700 ~25,000 2015 2016 2017 2018 2017 2018 2019e Complementing its programming with co-productions, alliances and globally recognized brands & TV shows, creating
Slide 12: Broad programming with premium innovative content
Broad programming with premium innovative content 12
Slide 13: Driving diverse, high-quality client base
Driving diverse, high-quality client base Share of Sales by Client (LTM19) Share of Sales by Industry (LTM19) Pharmaceutical Top 10 8% Total 20% 100% Other Retail Top 20 9% 35% 30% Food 9% Top 30 Beverages 36% 12% Top 50 46% Top 40 Goverment Telecom 42% 12% 15% Well diversified client base by econ
Slide 14: New clients reaching the mass market through TV Azteca
New clients reaching the mass market through TV Azteca Recent clients Recent digital clients 14
Slide 15: TV Azteca Digital
TV Azteca Digital Multi-platform marketing strategy is already fully integrated The websites Azteca uno, Azteca 7, adn40, a+, Azteca Deportes and Azteca Noticias are completely redesigned The digital team develops second screen experiences, exclusive coverages before and after major sporting a
Slide 16: Financial overview
Financial overview Ps. Million Net Sales Sales Breakdown National $14,534 $14,355 82% $13,829 $12,921 $12,058 $12,252 $12,408 Local: 6% Golf: 4% Peru: 3% Barter: 3% Exports: 1% Honduras & Guatemala: 1% 2013 2014 2015 2016 2017 2018 UDM19 16
Slide 17: Financial overview
Financial overview Ps. Million Costs & Breakdown SG&A Expenses & Breakdown $1,641 $1,605 $10,316 $10,248 $1,556 $1,552 $8,720 $8,187 $1,520 $7,508 $1,500 $6,368 $6,792 $1,472 2013 2014 2015 2016 2017 2018 LTM19 2013 2014 2015 2016 2017 2018 LTM19 Content Purchases Operating 27% 19% Services 1% Broad
Slide 18: Financial overview
Financial overview Ps. Million EBITDA CAPEX Cashflow1 $1,803 $3,306 $2,975 $2,903 $4,134 $4,098 $4,090 $1,381 $3,771 $1,159 $2,158 $1,994 $2,746 $2,606 $1,969 $2,534 $791 $712 $588 $612 $1,154 2013 2014 2015 2016 2017 2018 LTM19 2013 2014 2015 2016 2017 2018 LTM19 2013 2014 2015 2016 2017 2018 LTM19
Slide 19: Debt profile and structure
Debt profile and structure Ps. Million $7,752 Amount Rate Due date Senior Notes US$4001* $7,752 8.25% 09/08/2024 $4,004 CEBURES2 $4,000 TIIE+2.9% 20/09/2022 $1,711 Banco Azteca $1,709 TIIE+2% 09/03/2020 Private $36 10.50% 04/05/2028 $0 $4 $5 $6 $6 $7 $2 2019 2020 2021 2022 2023 2024 2025 2026 2027 2
Slide 20: ESG
ESG Social Joined the United Nations Global Compact Recognized for the first time as a Socially Responsible Company Human Capital of +6,100 employees, diversified by gender, age, origin, etc. Juguetón: delivered more than 16.8 million toys throughout Mexico Together with Grupo Salinas, con
Slide 21: ESG
ESG Enviromental Corporate Governance 28% of the energy consumed comes from renewable Integration of a new independent team with proven sources experience in its different areas. Among them, all the reconfiguration of the content area, programming, Un Nuevo Bosque: More than 23,000 volunteers
Slide 22: Outlook
Outlook Increase proportion of live entertainment shows Innovative, inspirational and high quality formats, closer to the audience Productions, co-productions and strategic alliances to improve offer and the cost structure Increasing solid balance sheet Focus on free cash flow Creating l
Slide 23: May 2019
May 2019