Telefonica Deutschland Holding AG · LS:A1J5RX
Telefonica Deutschland — FY2023 Earnings Presentation
21 slides from Telefonica Deutschland's earnings presentation, February 2024
Slide 1: Telefónica Deutschland Investor Presentation February 2024
Telefénica Deutschland Telefonica Deutschiand Investor Presentation February 2024 GPS
Slide 2: Disclaimer
Disclaimer Ee This document contains statements that constitute forward-looking statements and expectations about Telefonica Deutschland Holding AG (in the following “the Company” or “Telefonica Deutschland’) that reflect the current views and assumptions of Telefonica Deutschland’s management with
Slide 3: Telefónica Deutschland at a glance
Telefonica Deutschland at a glance ESTABLISHED OPERATIONAL VALUE C GERMANY +) C PLAYER +) C EXCELLENCE +) ( proposition ) Attractive & dynamic Leveraging Driving Strong telecoms market economies of scale digitalisation fundamentals * Strong macro + Largest + All-infrastructure * Clear growth path .
Slide 4: Solid German macro-outlook - Telefónica Deutschland single-country play
Solid German macro-outlook - Telefénica Deutschland single-country play GDP +) Telefonica Deutschland C INFLATION ) C % AD ees 2021 2.8” Easing Inflation 5.9% 2022 2023 2024e 2025e 0. 3% GDP back to growth 2021 2022 2023 2024e 2025e
Slide 5: Competitive Environment
Competitive Environment C MARKET DEVELOPMENT? +) C RATIONAL & BALANCED MARKET' +) Mobile service revenues? (€bn) 42.8% Y 22.1 42.4% 34% I vl 21.0 215 2021 2022 2023e Fixed BB retail revenues? (€bn) MB vst Milcable Fiber Telefénica Deutscif +6.1% + +0.8% " 0. * Rational market * Tiered mobile portfol
Slide 6: Strategic framework 'Accelerated Growth & Efficiency Plan'
Strategic framework ‘Accelerated Growth & Efficiency Plan’ - fundament for amore resilient business model ACCELERATED GROWTH & EFFICIENCY PLAN 2024 - 2026 ) GROW MARKET SHARE Re-balance revenue mix <] ae Sustainability AS GOOD NETWORK Improve network capacity & coverage GPS ACCELERATED TRANSFORMATIO
Slide 7: ESG highlights — #1 Telco worldwide in Sustainalytics ESG risk-score
ESG highlights — #1 Telco worldwide in Sustainalytics ESG risk-score EMPLOYEE INFLATION NET-ZERO CRISIS DIGITALIZATION SATISFACTION Supporting our EMISSIONS SUPPORT Enabling a All-time high in : employees Inmanaging —_ Green electricity and Providing free digital society employee satisfaction _ infl
Slide 8: Successfully over-achieved FY23 outlook — driven by robust commercial traction
Successfully over-achieved FY23 outlook — driven by robust commercial traction OPERATIONAL C HIGHLIGHTS ) C FY23 RESULTS +) >1.37 +4, 7” Postpaid Net Adds Revenues 90k +2.7% 45.3% +13.3% Fixed Net Adds MSR Fixed BB Handsets 95% +3.1% 5G coverage OIBDA' Accelerated +13.2”% transformation & digitalisa
Slide 9: OIBDA growth reflecting commercial success — FCFaL improved +23% yoy
OIBDA growth reflecting commercial success — FCFaL improved +23% yoy OIBDA FY23 ) C FCF FY23 +) €m OIBDA GED 2,601 +3. 1” yoy Capex qap -1133 OIBDA' Opcr 1468 Capex payables 1 43 Wea Operational ! 12 -55 WC movements €2,617" “ - OIBDA' FCP? @@®> 1,304 Lease payments -747 FCFaL @ 557 30.4” in! Margin
Slide 10: Confident FY24 outlook based on good business momentum
Confident FY24 outlook based on good business momentum — supported by ‘Accelerated Growth & Efficiency Plan’ GPs’ Revenues EBITDA! Capex/Sales Telefonica Deutschland C FY23 RESULTS +) C FY24 OUTLOOK +) €8,614" +4,7% yo €2,61™ +3.T voy +13.2” Dividend proposal €0.18/share for FY23 Slightly positive i
Slide 11: Confident FY24 outlook based on 'Accelerated Growth & Efficiency Plan'
Confident FY24 outlook based on ‘Accelerated Growth & Efficiency Plan’ TOP-LINE GROWTH Driven by MSR momentum & record handset sales #1 TELCO WORLDWIDE Sustainalytics ESG Risk-Score Rating Telefonica Deutschland ACCELERATED GROWTH & EFFICIENCY PLAN EBIDTA GROWTH Enhanced cash conversion OUTLOOK FY24
Slide 12: Thank You
Thank You We look forward to your feedback Telefonica Deutschland Christian Kern Director Investor Relations +49 179 9000 208 christian.kern@telefonica.com Marion Polzer Head of Investor Relations +49 176 7290 1221 marion.polzer@telefonica.com Eugen Albrecht Senior Investor Relations Officer +49 176
Slide 13: Appendix
> Appendix Telefonica Deutschland ove
Slide 14: Mobile KPIs
Mobile KPls C Postpaid net adds! (k) )¢ Prepaid net adds! (k) D) Q4 22 Q123 Q2 23 Q3 23 Q4 23 FY22 FY23 Q123 Q223 Q3 23 Q4 23 — FY23 C Mobile customer base (m) D) Hl Postpay exM2M_ Ill Prepay ex M2M M2M 444 446 45,0 45.1 443 45.1 17: 19 Bs, hd 158 267 274 Q4 22 Q123 Q2 23 Q3 23 Q4 23 FY22 FY23 Telef
Slide 15: Mobile KPIs
Mobile KPls C Postpaid ARPU ex M2M (€) pine Prepaid ARPU (€) D) Q4 22 Q123 Q2 23 Q3 23 Q4 23 FY22 FY23 Q422 Q123 Q223 Q3 23 Q4 23 FY22 FY23 C u/I Postpaid 0, ARPU (yoy %) pine Churn rate (%) D) ee a — 0, postpaid — Total postpaid (ex M2M) -0.8% 10% 10% 10% 7 2" “11% - ae 1.2% ey 415% 13% - Q4 22 Q12
Slide 16: Fixed KPIs
Fixed KPls C Retail broadband net adds (k) Fixed retail ARPU (€)' MM Cable ME Fibre ME VOSL © DSL ) ¢ °5 31 32 18 22 8 Hull a | El . Q4 22 Q123 Q2 23 Q3 23 Q4 23 FY22 FY23 < Fixed accesses (k) Hl Retail DSL [Ml VoSL 2,294 2.319 2340 2371 2,384 2.294 2,384 Q4 22 Q123 Q2 23 Q3 23 Q4 23 FY22 FY23 Telef
Slide 17: P&L
P&L C Revenue structure (€m) D) C OIBDA' (€m) D) Fixed [| Handset Il MSR [lll Other revenues aon, (BM OIBDA Margin 9190 2291 304% 29.1% += 30.9% += 312% += 303% 30.9% 30.4% : 2101 2.091 2131 462 395 612 646 665 1,516 a a422 123. 2233238 FY22.FY23 0422 Q123 2233238428 Fag FY23 C OpEx split? (€m) ) ¢
Slide 18: Continuing strong financing profile
Continuing strong financing profile’ C Financing & Interest mix (€m) ») C Net Financial Debt (€m) : * Committed to maintain Fitch BBB investment grade rating Promissory Notes i 385, Sydicated Loan 1.3x Leverege i vnder Bond 54% Xn . 0% . 2022 3.212 600 Undrawn Telfisa Overdraft 1.2x facility Bilater
Slide 19: Future-proof spectrum set-up to enable best customer experience
Future-proof spectrum set-up to enable best customer experience C Spectrum ownership Total spectrum holding Telefonica Deutschland 1&1 Telefonica Deutschland Vodafone Deutsche Telekom Frequencies Utilisation today AG/5G 4G 2G/4G 2G/4G/5G 4G 4G private 5G Total availability 2x30 2x30 2x35 1x40 2x75 2
Slide 20: Excellent results in relevant ESG ratings / indices
Excellent results in relevant ESG ratings / indices due to active rating analysis and management! Wi suSTAINALYTICS i p (Medium) | Management Score: Rating: 64 of 100 pts (88 Percentile) Rating: AA | ‘SG Grade: Prime B- (Good) Successfully listed (4.2 of 5 pts) r Successfully listed (62 of 100 score
Slide 21: Telefónica Deutschland
Telefonica Deutschland
Telefónica Deutschland Holding — FY2023 Earnings Presentation on 6ix