Spark New Zealand Limited · NZX:SPK
Spark New Zealand — NZX Retail Investor Webinar 2021
13 slides from Spark New Zealand's conference presentation, Mar 11, 2021
Slide 1: NZX Retail Investor Webinar
NZX Retail Investor Webinar 11 March 2021 Spark New Zealand Stefan Knight, Finance Director
Slide 2: Results overview
Results overview
Slide 3: H1 FY21 snapshot
H1 FY21 snapshot $1,796m $1,294m $502m REVENUE OPEX EBITDAI (1.5%) decrease from H1 FY20 (2.3%) decrease from H1 FY20 0.4% increase from H1 FY20 Revenues declined (mainly But we reduced our Which meant our earnings due to COVID-19)… costs… were steady. $113m 12.5c FREE CASH FLOW H1 FY21 DIVIDEND 126
Slide 4: H1 FY21 COVID-19 Impacts
H1 FY21 COVID-19 Impacts UPDATED FY21 COVID-19 EBITDAI IMPACT ~$27m ~$50m H1 FY21 EBITDAI IMPACT Est. FY21 EBITDAI IMPACT Impact of COVID-19 in FY21 expected to be less material at $50m, vs. original estimate of $75m. This will be partially offset by non-recurring cumulative wire maintenance provisi
Slide 5: Guidance
Guidance(1) FY20 Actual Previous FY21 FY21 Spectrum Change to FY21 Guidance Renewals(2) Guidance EBITDAI $1,113m $1,090m to $1,130m - $1,100m to $1,130m Capital - expenditure $374m ~$350m $50m Ordinary 25.0cps H1 FY20 Ordinary 23-25cps Ordinary 25.0cps(3) Dividend per share (75% imputed) ( 100% impu
Slide 6: Strategy Update
Strategy Update
Slide 7: Our 3 Year Goals, Strategic Pillars and Values
Our 3 Year Goals • Brand Strength +10pp • +40 Customer Engagement (NPS) • +70 Employee Engagement (eNPS) • Sustainable Free Cash Flow Growth and Top Decile TSR • Best Cost ~31% EBITDAI margin • Lift Digital Equity +25k Our Strategic Pillars • World Class Capabilities and Culture • Grow Established M
Slide 8: Strategic Update: World Class Capabilities and Culture
Strategic Update: World Class Capabilities and Culture Building the foundation to ignite revenue momentum as market conditions improve • Simplification progressing at pace – over 100 legacy plans retired in the half SIMPLE, INTUITIVE • 18% YoY reduction in total customer care interactions driven by
Slide 9: Strategic Update: Future Markets
Strategic Update: Future Markets • IoT connection growth: 65% YoY demonstrating strong demand for service offerings • Growing awareness: Connecting NZ to the things that matter national advertising campaign launched IoT(1) • Sector product development: water metering devices and platform launched •
Slide 10: Technology, ESG and Investment
Technology, ESG and Investment
Slide 11: Role of the digital economy in supporting NZ's recovery from COVID
Role of the digital economy in supporting NZ’s recovery from COVID and transition to a low carbon economy Five focus areas are key enablers of NZ’s future success Smart Digitisation Digital Future Digital Infrastructure for SMEs Equity Workforce . Trust Investment for NZ’s Helping New Zealand Taking
Slide 12: Create a Sustainable Spark; Economic Recovery and Transformation
Create a • Invest in the capabilities of our people, equipping them to thrive in a Sustainable Spark digital future • Reduce our footprint and meet our emissions target of -25% by 2025, Be bold in our business to have a positive investing in our fleet and infrastructure impact on our communities and
Slide 13: Disclaimer
Disclaimer This announcement may include forward-looking statements regarding future events and the future financial performance of Spark New Zealand. Such forward-looking statements are based on the beliefs of and assumptions made by management along with information currently available at the time