Slide 1: Earnings Release
Earnings Release May 2021 Best Telecom Services Provider Telecom Argentina – Argentina Best Investor Relations Telecom Company Telecom Argentina - Argentina
Slide 2: Disclaimer
This presentation may contain statements that could constitute forward-looking statements, including, but not limited to (i) the Company’s expectations for its future performance, revenues, income, earnings per share, capital expenditures, dividends, liquidity and capital structure; (ii) the continu
Slide 3: Inflation adjustment disclaimer
The Company has accounted for the effects of inflation adjustment adopted by Resolution 777/18 of the Comisión Nacional de Valores (“CNV”), which establishes that the restatement for inflation will be applied to the annual financial statements, for intermediate and special periods ended as of Decemb
Slide 4: Highlights
Highlights First Q 2021, closed with a 36.4% EBITDA Margin. Sustainable reduction of Opex. A local legal injunction has allowed us to increase prices. Our price increase for the first Q21 has been 20% on average. Very low bad debt level (1.3%) and collecting normally. Solid cash position inside Arge
Slide 5: 1Q21 in Figures
1Q21 IN FIGURES Revenues EBITDA EBITDA Margin 897 U$S mm* 327 U$S mm* 36.4% Million mobile 18.8 subscribers in Argentina 3.5 Million Pay TV subscribers Million Million 4.2 broadband subscribers 2.8 fixed subscribers Million Of broadband 1.9 convergent unique clients 46% clients with mobile bundle *
Slide 6: Price Increases as of January 2021
PRICE INCREASES AS OF JANUARY 2021 Mobile +5% Mobile plans with 1Gb of mobile data. Pay TV +20% All Pay TV services including Premium services (HBO & Mobile plans with FOX). +20% more than 1Gb of mobile data. +25% Football pack. Broadband services with Broadband +10% speeds up to / equal to Fixed Vo
Slide 7: Business Evolution in Argentina
BUSINESS EVOLUTION IN ARGENTINA Accesses (In thousands) Prepaid Postpaid Increase in 11,104 10,930 +1.7% YoY 7,735 7,866 postpaid participation -1.6% YoY 1Q20 1Q21 4,074 4,157 Steady +2.1% YoY performance, growing on HFC 1Q20 1Q21 3,270 3,295 Recovery based +0.8% YoY on Flow 1Q20 1Q21 3,234 3,158 Re
Slide 8: Revenues Breakdown
REVENUES BREAKDOWN SERVICE REVENUES REVENUES BREAKDOWN Million of P$ Million of P$ -9% 6.6% 0.3% 14.3% 37.4% 84,960 77,116 20.3% 1Q20 IAS 29 1Q21 IAS 29 21.2% REVENUES COMPOSITION Mobile Broadband Pay TV Billion of P$ 33.0 Fixed & Data Handsets Other 30.9 19.5 18.7 17.5 16.7 11.8 13.5 5.4 4.6 0.2 0.
Slide 9: Mobile & Broadband
MOBILE & BROADBAND POSITIVE POSTPAID CLIENTS INFLOW(LTM1Q21) MOBILE DATA USAGE In Thousand Source: ADB Postpaid Share of Total +2.7% 42% Mobile Clients 1 24 9 17 21 24 7 1 15 22 14 13 7 1 0 ~+260m YoY 10 8 9 8 -3 -18 -10 -18 7 -8 -24 -23 6 -19 2 -19 -14 -10 -8 3.8 3.9 -14 -38 1Q20 1Q21 Abr-20 May-20
Slide 10: Paraguay
PARAGUAY Revenues EBITDA Revenues Breakdown Million of U$S Million of U$S 50.0 13.0% +6%* 40.0 14.0% Browsing 8.0% 30.0 +20%* Núcleo Voice Data 7.0% (Paraguay) 20.0 67.5% 48 51 TV 10.0 20 23 Internet - 16.0% Others 1Q20 IAS 29 1Q21 IAS 29 1Q20 IAS 29 1Q21 IAS 29 44.0% Subscribers Fixed Network Inter
Slide 11: Revenues and EBITDA
REVENUES EBITDA Million of P$ Million of P$ Historical Figures Inflation Adjusted Historical Figures Inflation Adjusted (modeling purposes) Figures (modeling purposes) Figures -8% 82,547 +37% -4% 30,045 +30% 89,5295 3,426 35.8% 37.8% 36.4% 35.1% 28,532 400 00 35. 0% 123 350 00 30. 0% 300 00 250 00 9
Slide 12: IAS 29 EBITDA 1Q21 – 1Q20
IAS 29 EBITDA 1Q21 – 1Q20 YoY IFRS, Million of P$ Variation -P$1,373 (-4.4%) 150% 39000 130% 34000 31,418 7,844 2,972 30,045 110% 711 659 862 702 497 396 29000 1,393 317 90% 24000 70% 50% 19000 19% 22% 11% 30% 14000 -9% -8% -5% -6% -14% -10% 10% 9000 -10% -44% 4000 -30% -1000 -50% EBITDA1Q20 Ss. Rev
Slide 13: Consolidated Results
CONSOLIDATED RESULTS 9M18 IAS 299M19 IAS 29 ∆$ ∆% D&A $ 33,807 $ 38,820 $ 5,013 15% OPERATING INCOME NET INCOME IFRS, Million of P$, Percentage IFRS, Million of P$, Percentage Historical Figures Inflation Adjusted Historical Figures Inflation Adjusted (modeling purposes) Figures (modeling purposes)
Slide 14: 1Q21 Capex
1Q21 CAPEX CAPEX* +14% 1Q21 HIGHLIGHTS Million of P$ 43 new sites were deployed, and more 12,428 14,206 than 410 sites were upgraded. 10 5G DSS sites were installed in Buenos 1Q20 IAS 29 1Q21 IAS 29 U$S Aires and Rosario, with connection MM** 135 154 speeds of up to 10Gbps. TECHNICAL CAPEX BREAKDOWN
Slide 15: Cash Flow
CASH FLOW FCF GENERATION 1Q20 FCF GENERATION 1Q21 Million of P$ Million of P$ 30,045 14,206 31,418 12,428 11,508 2,656 13,183 291 12,892 7,482 609 6,873 EBITDA CAPEX * WK & Others OFCF Taxes FCF EBITDA CAPEX * WK & Others OFCF Taxes FCF YoY Variation IFRS, Million +P$6,019 U$S 75 -154 143 -3 140 342
Slide 16: Key Figures
KEY FIGURES In P$ Millions LTM1Q21 FY20 Revenues 333,679 340,661 EBITDA 114,842 116,215 Gross Debt 222,496 225,537 Cash & Equivalents 37,071 28,459 Net Debt 185,425 197,078 Capex* 64,729 62,951 EBITDA-Capex* 50,113 53,264 Ratios LTM1Q21 FY20 EBITDA Margin 34.4% 34.1% Interest Coverage 8.00x 7.2x Gro
Slide 17: Debt Maturity Profile as of March 2021
DEBT MATURITY PROFILE AS OF MARCH 2021 Total (U$S) Breakdown by Instrument* 2021 2022 2023 2024 2025 2026 >=2027 (million) Class A Notes 2021 104 104 Class 1 Notes 2026 400 400 Class 5 Notes 2025 128 128 132 389 Ve n d o r F i n a n c i n g 22 30 20 6 78 IFC Loan 100 85 185 IFC New Loan 88 88 82 38
Slide 18: Investor Relations Contact
Investor Relations Contact Telephone: (5411) 4968 3628 E-mail: relinver@teco.com.ar