Cellnex Telecom S.a. · BME:CLNX
Cellnex Telecom — Cellnex Telecom Sa Ord — H1 2023 Earnings Presentation
23 slides from Cellnex Telecom's earnings presentation, Jul 27, 2023
Slide 1: Results Presentation January – June 2023
Other Relevant Information in compliance with article 227 of Law 6/2023 on the Spanish Securities Market and Investment Services, notified to the Spanish National Securities Market Commission 2023 Results Presentation January – June 2023 27th July
Slide 2: Disclaimer
Disclaimer This presentation contains a brief summary of the information disclosed in the Interim Condensed Consolidated Financial Statements and Consolidated Interim Directors’ Report for the 6-month period ended on 30 June 2022 (prepared in accordance with IAS 34 “Interim financial reporting”). Th
Slide 3: An unconditional commitment to our “Next Chapter” objectives
An unconditional commitment to our “Next Chapter” objectives Fully committed to the achievement of our short and medium-term targets All targets confirmed and 1 CEO Marco Patuano knowledgeable of the European tower sector and Cellnex’s equity story 2025 outlook reiterated Executive compensation alig
Slide 4: Business Performance
Business Performance
Slide 5: Key Highlights
Key Highlights 1 2 3 4 5 6 New Sites New Organic Growth Site Actions RLFCF Growth FCF Co-locations 2,220 2,741 €138Mn 1,546 +16% -€130Mn Mainly due to Remarkable Strong organic Cumulative savings Solid control on Break even France (Iliad) and performance in revenues growth of €44Mn Opex and leases e
Slide 6: H1 2023 performance: New PoPs
H1 2023 performance New PoPs – Another solid quarter New Total PoPs (including BTS) +7.1% New co-locations +4.1% YoY YoY 3,100 2,594 1,774 2,367 2,076 1,486 1,218 1,255 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2022 Q4 2022 Q1 2023 Q2 2023 PoPs from co-location and BTS in the quarter New BTS +3.0% YoY 1,32
Slide 7: H1 2023 performance: Free Cash Flow
H1 2023 performance Free Cash Flow Organic RLFCF Growth +19% +16% +95 -114 +123 741 -674 637 BTS programs (1) €42Mn Escalators/inflation €34Mn Efficiencies/synergies €10Mn +19% New co-locations and associated revenues €37Mn (4) -197 -130 €Mn RLFCF Organic growth Change of Other cash RLFCF FCF BTS Ca
Slide 8: 2021-2025 efficiencies plan - Optimization of ground leases
H1 2023 performance 2021-2025 efficiencies plan - Optimization of ground leases on track Expected to generate c.€90Mn-€100Mn efficiencies by 2025 Site actions Efficiencies/synergies c.€90Mn-€100Mn 1,546 c.€52Mn-€55Mn c.€44Mn 776 Q1 H1 9M FY Cumulative as of Cumulative as of Cumulative as of 2023 202
Slide 9: Financial structure as of June 2023
H1 2023 performance Financial structure as of June 2023 – excluding leases Total available and fully contracted liquidity of c.€3.7Bn Roll- over CHF 550(2) 150 280 153 700 Instrument under negotiation 800 500 102 850 Liquidity of c.€3.7Bn: c.€0.3Bn cash and 90 80 189 61 c.€3.4Bn undrawn credit lines
Slide 10: Frequently Asked Questions
Frequently Asked Questions
Slide 11: Can you describe your asset rotation process?
Frequently Asked Questions Can you describe your asset rotation process? New industrial and synergetic agreement with SFR in France Reinforcing our existing partnership by meeting SFR’s need to deploy new PoPs on existing and new sites Contract length 20 years from the starting date of each new PoP
Slide 12: Protection against CK Hutchinson / Vodafone consolidation in the UK
Frequently Asked Questions How is Cellnex protected against the potential CK Hutchinson / Vodafone consolidation process in the UK? Our contract terms protect Cellnex against consolidation while offering upside € thousand Key features of our contract 40 UK Minimum 15 years secured One of the highest
Slide 13: Payment profile of leases and interests throughout the year
Frequently Asked Questions What is the payment profile of leases and interests throughout the year? Lease and interest payments are more intense in H1 Some lease contracts require payment for the whole period at the beginning of the year Cash-out profiles expected in 2023 to follow a pattern similar
Slide 14: Status of our integration processes
Frequently Asked Questions What is the status of our integration processes? Cellnex to successfully conclude all integration processes Project CKH DK CKH SW Play T-Mobile CKH IT Cyfrowy Polsat SFR CKH UK Remedies Remedies Closing On track Pre-closing Integration Assessment Transition (3 months) Take
Slide 15: ESG – Evolution of main KPIs
Frequently Asked Questions ESG – Evolution of main KPIs Environment (1) Social Governance (5) E S S 2025 2025 2025 100% 30% 40% Sourcing of renewable Women in management Women directors electricity(2) positions(4) 28% 54% 77% 2025 2025 40% 90% Reduction of scope 1 and 2 2030 -70% Career advancement
Slide 16: ESG – Highlights
Frequently Asked Questions ESG – Highlights Project CRETA, promoting sustainable mobility The consortium of companies made up of Másmovil Group, Abertis, Cellnex, Indra, Opus RSE, Vinces and Alpha Syltec Ingenieria has launched CRETA, an innovative project to promote sustainable mobility and the red
Slide 17: Annex – I: Free Cash Flow
Annex – I Free Cash Flow (€Mn) Jan-Jun Jan-Jun 2022 2023 Key metrics growing strongly Telecom Infrastructure Services 1,529 1,824 Broadcasting Infrastructure 112 115 Other Network Services 50 62 (1) Revenues 1,690 2,001 +c.17% Revenues Staff costs -122 -138 Repair and maintenance -44 -53 Telecom Inf
Slide 18: Annex – II: Balance Sheet
Annex – II Balance Sheet (€Mn) Dec Jun 2022 2023 Non Current Assets 41,997 42,310 Goodwill 6,718 6,786 Fixed Assets 30,818 31,098 Right of Use 3,438 3,421 a Financial Investments & Other Fin. Assets 1,023 1,005 Current Assets 2,209 1,504 Prudent PPA (1) process leads to maximization of the allocatio
Slide 19: Annex – III: Income Statement
Annex – III Income Statement (€Mn) Jan-Jun Jan-Jun 2022 2023 Revenues 1,690 2,001 Operating Expenses -408 -511 Non-recurring expenses -51 -44 Depreciation & amortization -1,132 -1,312 a Net income mostly reflects: Operating Profit 99 134 D&A charges (prudent PPA process) Net financial profit -356 -4
Slide 20: Definitions
Definitions Please see Integrated Annual Report for a comprehensive explanation of APMs Term Definition Adjusted EBITDA Profit from operations before D&A and after adding back certain non-recurring and non-cash items (such as advances to customers and prepaid expenses). Adjusted EBITDA is an APM. Pl
Slide 21: Definitions
Definitions Please see Integrated Annual Report for a comprehensive explanation of APMs Term Definition Maintenance Capex Investments in existing tangible or intangible assets, such as investment in infrastructure, equipment and information technology systems, and are primarily linked to keeping inf
Slide 22: Non-IFRS and Alternative Performance Measures (APMs)
Non-IFRS and Alternative Performance Measures (APMs) This presentation contains, in addition to the financial information prepared in accordance with International Financial Reporting Standards (“IFRS”) and derived from our financial statements, alternative performance measures (“APMs”) as defined i
Slide 23: Q2 2023 Results Supplemental Materials
Q2 2023 Results Supplemental Materials (XLS) https://www.cellnex.com/investor-relations/financial-information/#shareholders-investors-quarterly-results Essential information available on the Investor Relations section of Cellnex’s website for additional details 23
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