Kuwait Telecommunications Co. · KSE:STC
Kuwait Telecommunications — Kuwait Telecommunications Company K.S.C.P (VIVA) — 9M 2019 Earnings Presentation
18 slides from Kuwait Telecommunications's earnings presentation, 2019
Slide 1: Investors Presentation 9M-2019
Investors Presentation Kuwait Telecommunications Company K.S.C.P 9M-2019 1 Investor Relations
Slide 2: Table of content
Table of content VIVA’s History in Brief 3 Key Milestones 4 Vision and Values 5 Shareholders' Structure 6 Population & Penetration 7 Competitive Strengths 8 Market Share 9 Financial Results 11 Financial Highlights 13 Stock Performance 14 Appendix – Balance Sheet & Income Statement 15 2 Investor Rela
Slide 3: VIVA's History in Brief
VIVA’s History in Brief 2007 2008 2008 2008 2014 Feb Jun Sep Dec Dec VIVA Stock was listed on Boursa Kuwait Commercial Launch of VIVA Operations in Kuwait Public placement of VIVA shares which was 2.4x oversubscribed. distributed among c. 1 million Kuwaiti shareholders The incorporation contract and
Slide 4: Key Milestones
Key Milestones 2008 2010 2012 2014 2016 2018 Launches Partnership with Real Best Network Development Award at Expand retail VIVA launches Elite Best Telecom Company by commercially Madrid. 5G MENA network and launch Program for loyal, VIP Arabian Business. joint promotions and high value
Slide 5: Vision and Values
Vision and Values Our vision is to provide unique services and products that satisfy the aspirations of our clients and accommodate their needs, which in turn will earn us their trust. This is through presenting our customers with numerous telecommunications opportunities with the goal of boosting o
Slide 6: Shareholders' Structure
Shareholders' Structure Kuwaiti Governmental Saudi Telecom 52% 24% Public Shareholders 24% Entities STC, the leading regional telecom The Kuwaiti government holds 24% Public Share holders consists of operator, won the bid for third mobile of VIVA through different companies, portfolios, funds
Slide 7: Population & Penetration
Population & Penetration Kuwait population since 2010 is growing at the same level of 2.8% yearly and the growth is forecasted by IMF at 2.8% over the next 5 years compared to almost 1% for the global population growth. This growth coupled with rising income levels will propel growth in consumer spe
Slide 8: Competitive Strengths
Competitive Strengths STC (the largest telecom company in the region) will continue to be a major shareholder and VIVA will continue to benefit from being a member of the STC group. Through this relationship, VIVA has access to technical support, industry best practice for provision of telecom servi
Slide 9: Market Share
Market Share Total Subscriber Base in Kuwait (Mn) 10 Total Subscirbers in kuwait (Mn) VIVA Subscribers (Mn) 7.6 7.7 7.7 8 7.1 7.1 7.3 6.41 5.9 6 5.2 4.5 4 2 2.2 2.4 2.5 2.4 2.2 2.2 2.0 0.8 1.1 1.6 0 2010 2011 2012 2013 2014 2015 2016 2017 2018 Sep-19 Telecom Sector Revenues in Kuwait (KWD Mn) Total
Slide 10: Market Share vs. peer group
Market Share vs. peer group Subscriber Market Share – Sep-2019 Revenue Market Share – 9M 2019 VIVA 27% Ooredoo VIVA Ooredoo 27% 34% 36% Zain Zain 37% 39% EBITDA Market Share – 9M 2019 Net Profit Market Share – 9M 2019 Ooredoo VIVA 8% VIVA Ooredoo 28% 25% 30% Zain Zain 47% 62% 10 Investor Relations *
Slide 11: Financial Results
Financial Results VIVA’s revenue reached to KD 215.6 million Key Figures & Ratios 9M-2018 9M-2019 Change during 9M-2019 as compared to KD 214.8 Subscribers (Mn) 2.20 2.01 -8.8% million recorded during 9M-2018 . Revenue (KD Mn) 214.8 215.6 0.4% On quarterly basis, VIVA’s revenues EBITDA 53.4 59.5 +11
Slide 12: Financial Highlights
Financial Highlights 350 Revenue (KD Million) EBITDA (KD Million) 279 288 288 EBITDA (KWD Million) EBITDA Margin (%) 300 277 150.0 50% 239 47% 47% 47% 250 216 215 45% 40% 200 112.6 100.0 35% 150 30% 27% 28% 25% 25% 25% 131.0 131.9 100 20% 50.0 15% 71.1 77.8 50 53.4 59.5 10% 5% 0 0.0 0% 2014 2015 201
Slide 13: Financial Highlights
Financial Highlights Total Assets (KD Million) Total Debt / Equity (KD Million) Total Debt (KWD Million) 6.9 86 500 90 8.00 388 80 72 400 66 70 6.00 305 60 300 263 267 273 47 50 214 4.00 200 179 40 30 1.7 20 2.00 20 0.8 9 0 100 0.4 0.1 10 0.0 0.1 0 0 - 2013 2014 2015 2016 2017 2018 Sep-19 2013 2014
Slide 14: Stock Performance
Stock Performance Closing Price (KD) 0.737 PE (X) 8.3 Paid up Capital (KD Million) 49.9 PB (X) 1.81 Market Cap (KD Million) 368 Dividend Yield (%) 5.4% Data as of 30 September 2019 Rebased Index Since VIVA’s Listing Date 14 Dec 2014 – Stock Performance vs. KSE and Telecom weighted Indices VIVA's Sto
Slide 15: Appendix
Appendix Balance Sheet (2016 – September 2019) Income Statement (2016 – 9M 2019) 15 Investor Relations
Slide 16: Balance Sheet (2016 – September 2019)
Balance Sheet (2016 – September 2019) (restated) Balance Sheet 2016 *2017 *2018 September 2019 KD Mn KD Mn KD Mn KD Mn ASSETS 145 Property and equipment 137.7 145.0 150.5 180.7 Intangible assets 47.5 - - 0.5 Other non-current assets - - - - Goodwill - - - 26.5 Non-current assets 185.2 145.0 150.5 20
Slide 17: Income Statement (2016–9M 2019)
Income Statement (2016–9M 2019) (Restated) Income Statement 2016 *2017 *2018 9M -2018 9M -2019 KD Mn KD Mn KD Mn KD Mn KD Mn Revenue 279.1 287.7 287.9 214.8 215.6 Operating expenses (80.9) (145.5) (139.3) (104.9) (110.2) Staff costs (18.0) (20.4) (21.7) (16.1) (17.7) Expected credit losses on trade
Slide 18: Thank you
Thank you Investor Relations Department: E-mail: Investor.relations@viva.com.kw Tel : +965 5000 1911 www.viva.com.kw 18 Investor Relations
Kuwait Telecommunications Company K.S.C.P (VIVA) — 9M 2019 Earnings Presentation on 6ix