Kuwait Telecommunications Co. · KSE:STC
Kuwait Telecommunications — Kuwait Telecommunications Company K.S.C.P. (stc) — FY2019 Earnings Presentation
19 slides from Kuwait Telecommunications's earnings presentation, 2020
Slide 1: Investors Presentation FY-2019
Investors Presentation Kuwait Telecomunications Company K.S.C.P Kuwait Telecommunications Company K.S.C.P. FY- 2019
Slide 2: Table of content
Table of content stc’s History in Brief 3 Key Milestones 4 Vision, Mission & Values 5 Shareholder’s Structure 6 Population & Penetration 7 Competitive Strengths 8 Our 2020 Strategy 9 Market Share 10 Financial Results 11 Cash Dividends 14 Stock Performance 15 Appendix 16 Page | 2
Slide 3: stc's History in Brief
stc’s History in Brief Kuwait Telecommunications Company (stc) is a Kuwaiti shareholding organization fused as per Amiri Decree No. 187 on 22 July, 2008, to work and deal with the third GSM versatile system in Kuwait according to Law No. 2 of 2007. Appropriately, stc propelled its tasks in December
Slide 4: Key Milestones
Key Milestones Best Network Development Partnership with Real Award at 5G MENA Launches stc launches Elite Madrid Best Telecom Company commercially Expands retail Program for loyal, VIP and by Arabian Business stc Reap Three Accolades at network and high value customers Listing on KS
Slide 5: Vision, Mission & Values
Vision, Mission & Values Values Vision A world-class digital leader providing innovative services and platforms to our customers and enable the digital transformation in Kuwait. stc is keen to present its customers with numerous telecommunications opportunities with the goal of boosting existing rel
Slide 6: Shareholders' Structure
Shareholders' Structure 52% 24% 24% Kuwaiti Governmental Saudi Telecom Public Shareholders Entities stc KSA, the leading regional The Kuwaiti government holds Public Share holders consists telecom operator, won the bid for 24% of stc’ capital through of companies, portfolios, third mobile lice
Slide 7: Population & Penetration
Population & Penetration Since 2010, Kuwait population has been 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 consu
Slide 8: Competitive Strengths
Competitive Strengths Relation-ship stc (the largest telecom company in the region) will continue to be a major shareholder and will continue to with benefit from being a member of stc group. Through this relationship, stc has access to technical support, industry best practice for provision of tele
Slide 9: Our 2020 Strategy
Our 2020 Strategy …..aims to position stc at the center of Kuwait’s digital ambitions and is built upon 5 strategic pillars I II III IV V Uplift and Capture Transform Revamp Enhance Innovate Enterprise Technology Enabling Employee on Consumer Opportunities Capabilities Capabilities Potential Value
Slide 10: Market Share
Market Share Total Subscriber Base in Kuwait (Mn) Telecom Sector Revenues in Kuwait (KWD Mn) Total Subscribers in kuwait (Mn) stc Subcribers (Mn) Total Telecom Revenue in Kuwait (KWD Mn) stc's Revenue (KWD Mn) 7.6 7.7 7.7 7.4 841 860 859 7.2 7.1 788 799 6.41 717 753 5.9 684 690 627 5.2 4.5 277 279 2
Slide 11: Financial Results
stc’s revenue reached to KD 293.7 million Financial Results during FY-2019 as compared to KD 287.9 million recorded during FY-2018 . Key Figures & Ratios FY-2018 FY-2019 Change On quarterly basis, stc’s revenues reached KD 78.1 million in Q4-19 compared to KD 76.1 Subscribers (Mn) 2.15 2.0 -7.1% mil
Slide 12: Financial Results - Highlights
Financial Results - Highlights Revenue (KD Million) EBITDA (KD Million) EBITDA (KWD Million) EBITDA Margin (%) 288 288 294 140.0 277 279 50% 47% 47% 47% 45% 120.0 239 40% 100.0 112.6 35% 80.0 28% 30% 27% 131.0 131.9 25% 25% 60.0 20% 40.0 77.8 82.4 15% 71.1 10% 20.0 5% 0.0 0% 2014 2015 2016 2017 2018
Slide 13: Financial Results - Highlights
Financial Results - Highlights Total Assets (KD Million) Total Debt / Equity (KD Million) Total Debt (KWD Million) Debt to Equity Ratio (x) 391 100 6.9 8.00 86 305 7.00 263 267 273 80 72 66 6.00 214 60 5.00 47 4.00 40 1.7 3.00 20 20 0.8 2.00 0.4 9 0.1 0.1 0 1.00 0 0.0 - 2014 2015 2016 2017 2018 2019
Slide 14: Cash Dividends
Cash Dividends Cash Dividends Per Share (Fils) Dividends Payout Ratio (%) 57% 50 40 40% 35% 30 10 13% 2016 2017 2018 2019 2016 2017 2018 2019 Stock Price vs. Dividends Yield stc has been distributing a growing dividends since 2016 reaching 50 fils Stock Price (KD) Div. Yield (%) in 2019. 0.799 0.8
Slide 15: Stock Performance
Stock Performance Closing Price (KD) 0.788 PE (X) 9.03 Paid up Capital (KD Million) 49.9 PB (X) 1.83 Market Cap (KD Million) 393.5 Dividend Yield (%) 6.4% Data as of 31 December 2019 Rebased Index Since stc’s Listing Date 14 Dec 2014 – Stock Performance vs. KSE and Telecom weighted Indices STC's Sto
Slide 16: Appendix
Appendix Balance Sheet (2017 – 2019) Income Statement (2017 – 2019) Page | 16
Slide 17: Balance Sheet (2017–2019)
Balance Sheet (2017–2019) Balance Sheet 2017 2018 2019 KD Mn KD Mn KD Mn ASSETS Property and equipment 145.0 150.5 193.5 Goodwill and Intangible assets - - 26.2 Total non-current assets 145.0 150.5 219.7 Inventories 12.9 6.9 9.1 Prepayments and other current assets 4.7 4.0 5.4 Trade and other receiv
Slide 18: Income Statement (2017–2019)
Income Statement (2017–2019) Income Statement 2017 2018 2019 KD Mn KD Mn KD Mn Revenue 287.7 287.9 293.7 Operating expenses (145.5) (139.3) (148.5) Staff costs (20.4) (21.7) (24.6) Expected credit losses on trade & other receivables and contract assets (14.2) (18.2) (12.7) Depreciation and amortizat
Slide 19: Thank you
Thank you Investor Relations Department: : Investor.relations@stc.com.kw : +965 5000 1911 : www.stc.com.kw stc Kuwait Kuwait Telecommunication Company (stc) stc_Kuwait @stc_Kuwait
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