Elisa Oyj Class A · OMXHEX:ELISA
Elisa Oyj Class A — Investor Day (2018)
18 slides from Elisa Oyj Class A's investor day presentation, 2018
Slide 1: Corporate Customers business
Corporate Customers business Timo Katajisto Executive Vice President
Slide 2: Elisa's unique strategy generates profit and growth
1 Performance update 2 Market environment 3 Profit and growth generation 4 Management priorities Elisa’s unique strategy generates profit and growth
Slide 3: Elisa's unique strategy generates profit and growth in B2B business
Performance update Elisa’s unique strategy generates profit and growth in B2B business Revenue, EURm EBITDA1), EURm 250 75 CAGR +7.2% CAGR +4.5% +7% -4% 200 60 +6% +10% +10% +7% +10% +14% +2% +2% +4% +8% +2% +6% 150 45 100 30 50 15 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2016 2017 2018 2016 2017 2018 1) Compara
Slide 4: We continuously develop customer satisfaction
Performance update We continuously develop customer satisfaction Corporate customers NPS in Finland, 2016-present 16.9 11.7 NPS = Net Promoter Score Sources: IRO Research, Elisa analysis 4
Slide 5: We are operating in two markets
Market environment We are operating in two markets Corporate telecom services market 2017 IT services addressable market 20171) €1.3bn €1.4bn YoY growth -1% YoY growth +4% 1) Finland only, IT Outsourcing & Cloud services Sources: Gartner, Elisa analysis 5
Slide 6: Strategic priorities remain intact
Profit and growth generation Strategic priorities remain intact Increase mobile and fixed service revenues Grow digital service businesses Improve efficiency and quality 6
Slide 7: We build value on data growth…
Profit and growth generation We build value on data growth… Steady growth in telecom revenue Organic growth in mobile service revenue 551 528 485 CAGR +5.3% CAGR +4.7% 2016 2017 LTM 2016 2017 LTM Devices, interconnection, visitor roaming, EURm Telecom services, EURm Mobile service revenue, EURm 7
Slide 8: …and have good pace in 4G upgrades with a growing subscription base…
Profit and growth generation …and have good pace in 4G upgrades with a growing subscription base… Mobile handset subscriptions ≥100 Mbps mobile handset Mobile handset average billing per subscriptions user1), EUR per subscription CAGR +6.2% CAGR +88% +20% +55% 3Q16 3Q17 3Q18 3Q16 3Q17 3Q18 ≤21 Mbps
Slide 9: …with further potential in 4G and 5G
Profit and growth generation …with further potential in 4G and 5G Mobile handset subscriptions upgrade 5G opportunities potential MOBILE BROADBAND • Full mobilisation of workforce with data intensive solutions • Redundancy for fixed networks HIGH RELIABILITY AND MASSIVE IOT LOW LATENCY ≤21 50 100 20
Slide 10: Our fixed network business is growing with a high single-digit growth
Profit and growth generation Our fixed network business is growing with a high single-digit growth Fixed service revenue1), Fixed service revenue breakdown Professional services revenue2), EURm 2017 EURm 2% 7% 250 16 CAGR +8.2% 14 % CAGR +25.4% 40 % 200 12 150 15 % 8 22 % 100 4 Managed WAN and fixed
Slide 11: We have expanded to the IT business…
Profit and growth generation We have expanded to the IT business… IT revenue1,2), EURm Emphasis on recurring revenue services2) IT revenue breakdown 2017 110 CAGR +11.4% 11 % 16 % 38 % 90 17 % 70 18 % IT continuous services and IT support Cloud services 50 Professional services 2016 2017 LTM Digital
Slide 12: …and converging IT and Communication services…
Profit and growth generation …and converging IT and Communication services… We have created a new category for Customer case: large industrial company the Finnish market: Integrated IT and Communication Digitalisation solutions services Smart factory IoT for predictive maintenance for 20k devices Pr
Slide 13: …which has positioned us as the most interesting IT service provider in the market
Profit and growth generation …which has positioned us as the most interesting IT service provider in the market Q: Elisa 18% Which IT service provider is the most positively CGI 6% distinguishable regarding services such as service Fujitsu 5% innovation, excellent customer care and continuous servic
Slide 14: Automation is our spearhead in improving performance…
Profit and growth generation Automation is our spearhead in improving performance… High growth in RPA transactions Advanced use cases Declining call centre queue time Index: 2017 = 100 125 Artificial intelligence (AI) -13% Virtual production manager 100 Allocating service requests directly to the be
Slide 15: …and is contributing to our continuous improvement of productivity and service quality
Profit and growth generation …and is contributing to our continuous improvement of productivity and service quality Fewer customer contacts concerning Fewer incidents per customer Declining delivery project billing workstation lead time Index: 1Q17 = 100 Index: 1Q17 = 100 Index: 1Q17 = 100 125 125 1
Slide 16: Elisa's unique strategy generates profit and growth
Management priorities Elisa’s unique strategy generates profit and growth Elisa’s strategy Profit and growth generation Increase mobile and • Continue upgrading 4G mobile and build on 5G fixed service revenues • Grow managed and professional services Grow digital • Leverage Elisa’s IT momentum servi
Slide 17: Thank you
elise CMD2018 THANK YOU.
Slide 18: Forward-looking statements
Statements made in this document relating to the future, including future performance and other trend projections, are forward-looking statements. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that will occur in