Bharti Airtel Limited · NSE:BHARTIARTL
Bharti Airtel — Investor Presentation (February 2013)
29 slides from Bharti Airtel's investor presentation, February 2013
Slide 1: Investor Presentation Bharti airtel limited
Investor Presentation Bharti airtel limited February 2013
Slide 2: Disclaimer
Disclaimer The information contained in this presentation is only current as of its date. All actions and statements made herein or otherwise shall be subject to the applicable laws and regulations as amended from time to time. There is no representation that all information relating to the context
Slide 3: The Company...Bharti airtel – A Global Operator
The Company...Bharti airtel – An Global Operator B2C B2B Tower Mobile Telemedia Digital TV Airtel Business Infrastructure Services Services Services Services Cellular mobile Offers fixed Pan India DTH Services to large Bharti Infratel services across telephony and operations enterprises and owns 34,
Slide 4: The Company…Bharti airtel
The Company…Bharti airtel No. of circles (India) Today Countries 1 5 15 22 20 ‘ 1996 2001 2003 2004 2012 Fully integrated telecom player offering end to end solutions and entering new geographies
Slide 5: Growth trajectory reflected in the numbers
Growth trajectory reflected in the numbers 1996 2012 Single Circle Operator Company Profile Largest integrated private telecom operator < 25k Customers ~ 252 mn ~ USD 17 mn Revenue ~ USD 15 bn ~ USD 2.5 mn EBITDA ~ USD 5 bn ~ USD 1.4 mn Cash Profit ~ USD 4 bn ~ USD 16 mn Market Capitalization ~ USD
Slide 6: Financials & Positioning
Financials & Positioning Key financial metrics Positioning in the world & in India 3rd LARGEST in -country wireless operator in the FY 12 (in Mn) world (1) Customers 251.6 LARGEST telecom company in India by number of Revenue $ 14,937 Subscribers EBITDA $ 4,957 4th LARGEST Mobile telecom operator in
Slide 7: Latest Results – 3Q'13
Latest Results – 3Q’13 Key operating and financial metrics Continued Strong Performance Q3 FY 13* Y-on-Y Wireless CMS 21.4% Customers 262.3 mn Wireless RMS 31.0% Total minutes on network carried in Qtr, net of Revenue Rs. 202.4 bn 9.5% eliminations 284 bn EBITDA Rs. 61.8 bn 3.8% Balance sheet streng
Slide 8: Performance dashboard - line graph
Performance dashboard - 3 line graph 210,000 72.2% 75.0% 70.9% 71.1% 70.2% 70.0% 200,000 202,732 202,395 65.0% 190,000 193,501 55.0% 184,767 187,294 180,000 47.4% 46.8% 45.0% 45.4% 46.0% 44.4% 170,000 35.0% Q3 FY12 Q4 FY12 Q1 FY13 Q2 FY13 Q3 FY13 Total Revenue (Rs mn) LHS Opex to Total Rev (RHS) Cap
Slide 9: Wireless Services
Wireless Services
Slide 10: Indian Market
Indian Market Overall Telecom Market Wireless Market Sub Base c.864.7 mn Population 1.2 billion → Relatively large youth population Wireless Penetration c.70.8% Telecom penetration c.73.3% Operational metrics per month (~895.5 mn telecom subs) Usage per user 339 min Sub number should go upto 1 Billi
Slide 11: Rapidly Growing Indian Wireless Market
Rapidly Growing Indian Wireless Market Net Adds in Dec were Negative 25.8 Mn… more than S-curve triggered over last 3 months average run rate of -5.9 Mn 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 1999 2001 2003 2005 2007 2009 2011 2013 2015 2017 2019 India - Fastest Growing Market in the World Note: (1)
Slide 12: Wireless Market Structure in India
Wireless Market Structure in India Subscriber Trends Customer Market Share – CMS (%) • Airtel continuously consolidating its market leadership position despite intense competition • Airtel current monthly net adds are (1.70) million vs. 0.96 million a year ago Airtel Continues to lead on Customer Ma
Slide 13: Airtel…Performance Indicators (Operational)
Airtel…Performance Indicators (Operational) Customers & Market Share Prepaid/Postpaid MoU/Sub/Month & MON ARPU & RPM
Slide 14: Current positioning and way forward…
Current positioning and way forward… Leadership Positioning Growth strategy and plans Revenue New Revenue Streams Revenue size Changing face of growth (>$ 12Bn) through M-Com, M- Revenue Market Share entertainment & 3G Cost Net Adds Improving cost efficiencies Non financial Maximizing Driven by rura
Slide 15: Telemedia Services
Telemedia Services
Slide 16: A Snapshot
A Snapshot Largest private operator having presence in the voice , broadband , IPTV and data. Focus on SMB segment & Broadband at Homes Key Performance Indicators 1. Voice (wire-line) and Data (DSL) Presence in 87 top cities of India. 2. Target Segment : Retail and Small and Medium Enterprises. 3. C
Slide 17: Digital Services
Digital Services
Slide 18: A Snapshot – Currently offer a total of 324 channels including 15 HD channels
A Snapshot Launched “Airtel Digital TV” service in October 2008 as fifth operator providing Direct-to-Home (DTH) services in India Current subscriber base of ~7.9 million customers – Currently offer a total of 324 channels including 15 HD channels and 6 interactive services – First Company in India
Slide 19: Airtel Business
Airtel Business
Slide 20: A Snapshot
A Snapshot Airtel Business provides a broad portfolio of services to large Enterprise and Carrier customers Corporates: Single point of contact for all telecommunication needs for Top 2500 corporate customers, providing full suite of voice, data, and managed communications solutions Carriers: Wholes
Slide 21: Emerging Growth Engines: Tower Infra, Africa
Emerging Growth Engines Tower Infra Africa
Slide 22: Financial Performance – Tower Infra
Financial Performance – Tower Infra Revenue (USD Mln) EBITDA (USD Mln) Focus on tenancy enhancement…driving Revenue & Profitability The above nos for Revenue & EBITDA are in IFRS as per Quarterly Report & includes proportionate share (42%) in Indus .
Slide 23: Operational Performance – Tower Infra
Operational Performance – Tower Infra Infratel Indus Towers (nos) & Sharing Factor Towers (nos) & Sharing Factor Sharing Revenue per Sharing Operator per Month (Rs) Sharing Revenue per Sharing Operator per Month (Rs) Aims to enhance the tenancy ratio & be the preferred choice of vendor for all exist
Slide 24: Transaction Rationale
Transaction Rationale Shareholding and 100% Cash Transaction Management Control Focus on Core Brand – ‘Airtel’ Global Middle East Stature Operators Clean / Emerging Market certainty Characteristics of transaction Strong Platform for Future Expansion Low Competitive Manageable Intensity Deal Size Div
Slide 25: Differences between the two markets
Differences between the two markets India Africa(1) Mobile Penetration ~71% ~46% Average Number of 10-12 3-5 Competitors Business Model High usage, low pricing model Low usage, high pricing model Minutes of Usage ~435 ~144 ARPU (US$) ~$3.4 ~$6.2 ARPM (US cents ¢) 0.8¢ 4.3¢ And therefore huge opportu
Slide 26: Another Growth Engine - Africa
Another Growth Engine - Africa Customer Base : 61.7 Mn Performance Indicators (CY 2012): Revenue: $ 4,137 Mn EBITDA: $ 1,097 Mn Prepaid Base: 99.3% →one of the highest in the world Usage per sub per month: 144 Minutes →one of the lowest ARPU: ~ US$ 6.2 Rate per minute: ~ US¢ 4.3 → one of the highest
Slide 27: Recent Honors
Recent Honors
Slide 28: Bharti Airtel – Leadership in business
Bharti Airtel – Leadership in business Recent Honours Ranked #71 in top 100 list of Sunil Bharti Mittal, Bharti Airtel was placed among the top Executive Chairman 200 brands globally in the annual Global Brands by Millward Brown Optimer, published in Financial • Honorary Degree awarded by survey und
Slide 29: thank you
thank you D airtel
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