Sky Network Television Ltd · NZX:SKT
Sky Network Television — Shareholder Meeting (November 2022)
49 slides from Sky Network Television's shareholder meeting presentation, Nov 2, 2022
Slide 1: Sky Annual Shareholders' Meeting: Chairman's and Chief Executive's Address
2 November 2022 Sky New Zealand PO Box 9059 Newmarket Auckland 1149 New Zealand 10 Panorama Road Mt Wellington For personal use only Auckland 1060 New Zealand T. +64 9 579 9999 sky.co.nz Sky Annual Shareholders’ Meeting Chairman’s and Chief Executive’s Address and Presentation 2 November 2022 The 20
Slide 2: Announcement continued: guidance and meeting participation
• The next steps to take advantage of the significant opportunity that exists in the advertising space; • Sky’s focus on its data strategy to deliver deeper actionable insights; and • Sky’s ongoing delivery of cost control, in both programming and non-programming For personal use only costs. Sky rem
Slide 3: Amended Chairman's Address
Amended Chairman’s Address Sky Network Television Limited Annual Shareholder Meeting - 2 November 2022 Fellow shareholders, welcome to this hybrid Annual Shareholder Meeting of Sky Network Television For personal use only Limited. I’m Philip Bowman, your Chairman. It is good to see a number of you h
Slide 4: Chairman's Address: technology, advertising, cost base
- New Technology. An immediate focus is the successful delivery of the new Sky Box and Sky Pod that will provide customers with a significantly enhanced experience. We rightly see this as a crucial, transformational moment that will unlock new opportunities for Sky, and the team is determined to del
Slide 5: Chairman's Address: capital return rationale
understood the appeal to some shareholders of a share buy-back, this was ruled out given the quantum of funds to be returned relative to the Company’s market capitalisation, and the lack of liquidity in Sky stock. By comparison, a special dividend would have been relatively easy to execute but would
Slide 6: Chairman's Address: buy-back and conclusion
With this in mind - and consistent with the Board’s stated capital allocation strategy and focus on value creation, the Board is currently minded to initiate an on-market buy-back programme following the announcement of the interim results, noting that the size of any programme would be determined b
Slide 7: Chief Executive Address
Chief Executive Address Sky Network Television Limited Annual Shareholder Meeting – 2 November 2022 Slide - Title - Thank you, Philip, and kia ora Sky Investor e te whānau, nau mai haere mai, ko Sophie tōku ingoa, tēnā koutou, tēnā koutou, tēnā koutou katoa. For personal use only - Hello everyone, I
Slide 8: Chief Executive Address: content and rights
- And from this rich data set, we can see that it isn’t just sport that connects and engages our customer segments whether they be native streamers or heartland champions: it can also be shows such as Love Island that connect them! - Our content variety means there really is something for everyone,
Slide 9: Chief Executive Address: competitive advantage
- And last, but certainly not least, our streaming services Neon and Sky Sport Now, that have gone from strength to strength in the last financial year by serving the needs of those customers who simply want standalone entertainment and sport streaming services. Slide – Our competitive advantage For
Slide 10: Chief Executive Address: delivery and advertising
- While we will start rolling out the new Sky Box and the Pod as soon as possible , we’re mindful that the Christmas period is a busy time for many kiwis, and this gives everyone more time to make the move to our new Sky products in the New Year. - As we have said from the outset, our core priority
Slide 11: Chief Executive Address: programming and non-programming costs
- This data confirms what content is valuable to customers, and therefore of value to us and, ultimately, to you as shareholders, as it allows us to assess the return on investment over the life of each rights negotiation. - These advantages give us the confidence to be clear about what we need to h
Slide 12: Chief Executive Address: dividend guidance and Sky Crew
the time of our full year results. As you can see, the dividend range has been increased following today’s announced change to Sky’s Dividend Policy. Slide – Sky Crew - Delivering on these results takes enormous effort from our talented Sky Crew. For personal use only - We are very mindful of the ec
Slide 13: Strategy on a Page
Slide –Strategy on a Page - In closing, I want to join Philip in thanking you for your continued support as the owners of this business. My team and I remain focused on continuing to not only turnaround Sky but to transform it, all the while meeting customer needs and achieving the desired financial
Slide 14: For personal use only
For personal use only
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For personal use only
Slide 16: Asking questions online
Questions may be submitted by selecting the Q&A icon on the right side of the screen Type your question in the space provided and then press ‘send’. Your question will be submitted immediately Help: The same process can be used if you need help at any stage. A Computershare representative will respo
Slide 17: Voting online
When voting is opened, the resolutions will be accessible by selecting the voting icon To vote simply select your voting direction from the options shown on the screen Your vote has been cast when the tick appears. To change your vote, select ‘Change Your Vote’ at any time until the voting closes
Slide 18: Board and Executives
Board and Executives Philip Bowman Sophie Moloney Keith Smith Joan Withers Independent Chair Chief Executive Officer Independent Director Independent Director \ vm z $ — a Mike Darcey Geraldine McBride Mark Buckman Tom Gordon James Bishop Independent Director Independent Director Independent Directo
Slide 19: Agenda
Agenda > Chair's Address > Chief Executive's Address > Formal Business - resolutions > General Business - shareholder questions = e (©) @ 7) =) © = e) D) — ® roe = ) LL,
Slide 20: Chair's Address
Chair's Address AjuO SSn jeuosiegiaios
Slide 21: FY2022 at a Glance
-Y2022 at a Glance = < Oo REVENUE (excl Other Income ) FREE CASH FLOW' @) w $736.1m $42.8m =) (FY21: $711.2m) (FY21: $18.6m) @ < - NET PROFIT AFTER TAX FINAL DIVIDEND — $62.2m 7.3cps _ (FY21: $44.2m, restated) (60% of Free Cash Flow!) (©) LL
Slide 22: Refreshed dividend policy
Refreshed dividend policy To distribute between 60% and 90% of Free Cash Flow! (excluding one-off items) Refreshed P Targeting increased dividend distributions based on growth in free cash flow Di idend > Our policy is to pay out the majority of Free Cash Flow, excluding one off items, within the vl
Slide 23: Chief Executive's Address
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Slide 24: Recap on progress
Recap on progress SECURED SECURED WORLD RUGBY LAUNCHED SECURED PREMIER LEAGUE SKY BROADBAND —_NRL PROPERTY sky SALE GUIDANCE [NRU GUIDANCE Premier ANNOUNCED UPGRADE | BROADBAND WY UPGRADE League CAPITAL RETURN REPAID eaves LAUNCHED LAUNCHED WARNERMEDIA SECURED BOND SKY REWARDS PAID FINAL DISCOVERY H
Slide 25: For personal use only
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Slide 26: For personal use only
For personal use only © Kevin & Content Ltd 13
Slide 27: Our competitive advantage
Our competitive advantage 3 Our ability to 5 Understanding deliver to all of e< what customers New Zealand A value based on rich viewership data 2 Our ultimate 4 aggregator ‘power Our significant of the bundle’ high ARPU Sky Box content offering customer base Our multi product and platform play, inc
Slide 28: FY2022 at a Glance
-Y2022 at a Glance = ©, Customer Financial @® or owen cueoMns GROWTH! REVENUE (excl Other Income) FREE CASH FLOW? S $736.1 $42.8 = 990,761 #11 %s0y elm “om 2 @y2: 957098) (1804 excl, RugbyPase) (FY21: $711.2m) (FY21: $18.6m) = - SKY BOX CUSTOMERS NET PROFIT AFTER TAX FINAL DIVIDEND ae i) 529,521 $62
Slide 29: For personal use only
For personal use only • • • • • • • • • • • • • • • • • • • • 16
Slide 30: A focus on delivery
A focus on delivery Accelerate digital delivery Accelerate rollout of the new Sky Box Increase speed to market for products and services For personal use only
Slide 31: A focus on delivery
A focus on delivery Accelerate Unlock digital advertising delivery opportunities Accelerate rollout of Pursue digital the new Sky Box revenue opportunities Increase speed to market for products Invest in ad tech and services For personal use only
Slide 32: A focus on delivery
A focus on delivery Accelerate Unlock digital advertising delivery opportunities epopility Accelerate rollout of Pursue digital Enhance data strategy the new Sky Box revenue to deliver deeper opportunities actionable insights Increase speed to market for products Invest in ad tech Partner for experi
Slide 33: Programming cost discipline
Programming cost discipline = $17m permanent savings delivered in FY22 with additional savings planned Phase #1 Delivered Phase #2 Initiatives Programming Y Rationalised rights portfolio focusing on — Continue to leverage customer data to ensure Coste content that customers’ value improved ROI from
Slide 34: For personal use only
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Slide 36: Sky crew
Sky crew Supporting our people to do their best work P Recognise the importance of attracting and retaining talented Sky crew P Encouraging a flexible, hybrid ‘anywhere works' approach to create options that work for our crew » Refreshed workspaces providing an environment that encourages and facili
Slide 37: Playing our part for New Zealanders
Playing our part for New Zealanders Committed to making a positive contribution » Sky understands the need to reflect the people . and cultures we represent by supporting and SEE THE promoting diversity Sr - POSSIBLE > Sky and its customers contribute to supporting New Zealand's creative and sportin
Slide 38: Our Customers
Our Customers For personal use only We connect New Zealanders with the sport and entertainment they love, in ways that work for them, right across the country. Nurture and Create and secure Be a place Develop or grow our the best sport and where our crew partner for the customer entertainment for ca
Slide 39: For personal use only
For personal use only
Slide 40: For personal use only
For personal use only
Slide 41: 1. Auditor's remuneration
1. Auditor's remuneration > That the Board be authorised to fix the auditor's remuneration for the ensuing year = e (©) @ 7) =) © = e) D) — ® roe = ) LL,
Slide 42: 2. Director Re-election
2. Director Re-election > That Philip Bowman, who retires at the Annual Meeting and is eligible for re-election, be re-elected as a director of the Company
Slide 43: 3. Director Re-election
3. Director Re-election > That Joan Withers, who retires at the Annual Meeting and is eligible for re-election, be re-elected as a director of the Company
Slide 44: 4. Director Re-election
4. Director Re-election > That Mark Buckman, who was appointed by the Board on 21 March 2022 and retires at the Annual Meeting, be re-elected as a director of the Company
Slide 45: 5. Capital Return
5. Capital Return > That the scheme of arrangement relating to the return of capital to shareholders, as set out in the explanatory notes accompanying the Notice of Meeting, be and is approved
Slide 46: For personal use only
For personal use only
Slide 47: For personal use only
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Slide 48: Disclaimer
Disclaimer This presentation has been prepared by Sky Network Television Limited and its group of companies ("the Company") for informational purposes. This disclaimer applies to this document and the verbal or written comments of any person presenting it. Information in this presentation has been p
Slide 49: How to participate in virtual/hybrid meetings
HOW TO PARTICIPATE IN VIRTUAL/HYBRID MEETINGS Attending the meeting online For personal use only Our online meeting provides you the opportunity to participate online using your smartphone, tablet or computer. If you choose to attend online you will be able to view a live webcast of the meeting, ask
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