America Movil Sab De Cv Class B · BMV:AMX/B
America Movil Sab De Cv Class B — IPO Roadshow (May 2019)
40 slides from America Movil Sab De Cv Class B's IPO roadshow presentation, May 22, 2019
Slide 1: América Móvil May 2019
América Móvil May 2019 Filed Pursuant to Rule 433 Registration No. 333-227649
Slide 2: Safe Harbour
Safe Harbour This presentation may contain certain forward-looking statements and information relating to América Móvil, S.A.B. de C.V. and its subsidiaries (collectively, “América Móvil” or the “Company”) that reflect the current views and/or expectations of the Company and its management with resp
Slide 3: Legend
Legend The Company has filed a registration statement (including a prospectus) with the Securities and Exchange Commission (the “SEC”) for the offering to which this communication relates (the “Registration Statement”). Before you invest, you should read the Registration Statement and other document
Slide 4: América Movil: Summary
americas América Movil: Summary
Slide 5: One of the largest integrated telcos in the world
One of the largest integrated telcos in the world, with 360 million accesses and operations in 25 countries EUR Billions March 2019 (LTM) Presence 25 countries Revenues $ 45 EBITDA $ 13 CapEx $ 7 Net debt $ 27 Market Cap* $ 43 Credit Ratings A3 / A- / A- Summary América Móvil is one of the largest i
Slide 6: América Movil: Overview
americas América Movil: Overview
Slide 7: Operations in the Americas and Central and Eastern Europe
América Móvil has developed operations in the Americas and in Central and Eastern Europe; most of them are convergent: fixed and mobile Wireless & Fixed operations Wireless operations MVNO Overview
Slide 8: Access Lines by Country – December 2018
Overview Access Lines by Country – December 2018 *Includes Ecuador, Peru, Chile, Argentina, Paraguay, Uruguay, Central America and Caribbean. 276 million Wireless Subscribers 76 million Postpaids 84 million RGUs 30 million Broadband Accesses 22 million PayTv units We are well diversified geographica
Slide 9: AMX Global Position (Ex-China and India)
Source: Bloomberg . *FCF defined as EBITDA – Cash from operations - CapEx Overview América Móvil ranks as the largest company outside of China and India by access lines and the 7th in revenues… AMX Global Position (Ex-China and India) – 2018 #1 #2 #7 #9 #8
Slide 10: 5th largest by revenues in the Western Hemisphere
Overview Source: Company Reports. …and is the 5th largest by revenues in the Western Hemisphere Revenues – 2018 USD Billion
Slide 11: América Móvil's Rankings in Latin America
Overview Source: Company Reports as of 4Q18. *Includes recent acquisition of TEF Guatemala. Country Wireless Fixed-Broadband Pay TV Mexico #1 #1 n.a. Brazil #2 #1 #1 Colombia #1 #1 #1 Argentina #1 #4 #4 Central America* #1 #1 #1 Caribbean (Puerto Rico + Dominicana) #1 #1 #1 In Latin America we are t
Slide 12: América Móvil's Rankings in Europe
Country Wireless Fixed-Broadband Pay TV Austria #1 #1 #3 Croatia #2 #2 #2 Bulgaria #1 #2 #2 Belarus #2 #3 #4 Slovenia #2 #4 #4 Macedonia #2 #2 #1 Serbia #3 n.a. #2 Source: Company Reports as of 3Q18. Overview …as we are in Austria. We have developed a convergent platform in our Eastern European oper
Slide 13: Tracfone, our MVNO in the US
Overview Source: Company Reports. With 22 million clients Tracfone, our MVNO in the US, is the largest in the world and the fifth operator in the country US Prepaid Wireless Subscribers – 2018 Millions
Slide 14: América Móvil: Evolution and Recent Developments
América Móvil: Evolution and Recent Developments 3
Slide 15: 2010-2015 years of change
Recent Developments Acquired Telmex and Telmex Internacional Building a Convergent Platform Added $16Bn revenues Telecoms Reform in Mexico Elimination of National Long Distance, National Roaming and Interconnection Revenues Revenue loss of $1.3Bn per year Expansion in Europe Acquisition of a 27% sta
Slide 16: Fixed and Mobile Service Revenues
Fixed Service Revenues USD Billions at Constant Exchange Rates Mobile Service Revenues USD Billions at Constant Exchange Rates Recent Developments Since 2016, mobile service revenues have shown a solid recovery on the back of data services while fixed revenues remained mostly stable
Slide 17: Service Revenues by Region
Recent Developments The diversity of our operations results in more stable consolidated revenue trends and is an important factor in our credit ratings Service Revenues by Region % Annual Change at Constant Exchange Rates
Slide 18: Mexico and Brazil fixed and mobile revenues
Recent Developments In Mexico and Brazil, our main markets, our mobile operations have shown great dynamism, offsetting secular declines in fixed revenues Fixed Service Revenues % Annual Change in Local Currency Mobile Service Revenues % Annual Change in Local Currency
Slide 19: EBITDA recovery
Recent Developments Our EBITDA has recovered from the impact of regulatory and competitive developments that mostly affected Mexico Consolidated EBITDA Margin % Consolidated EBITDA USD Billions at Constant Exchange Rates
Slide 20: Service Revenues by Currency 2018
*USD Includes U.S., Panama, El Salvador, Ecuador and Puerto Rico. The light shade refers to currencies that are roughly pegged to the US dollar, such as the rest of Central American countries and the Dominican Republic. ** Includes Peru, Uruguay, Paraguay and Chile. Over a third of our revenues are
Slide 21: Capital Expenditures
Recent Developments $10Bn USD $8Bn USD Capital Expenditures to Sales % Capital Expenditures USD Billions CapEx averaged $8 Bn per year since 2016, down from $10 Bn in our early years as a convergent player, having substantially completed fiber rollout
Slide 22: Infrastructure Built over 2010 to 2018
Infrastructure Built over 2010 to 2018 Outstanding 2018 Fiber Optic Networks (thousand km) 527 829 Base Stations (thousands) 139 207 Homes Passed (millions) 35 75 Satellites (units) 3 9 Submarine Cable AMX1: 17,500km with 11 landing points* Data Centers 11 27 Since we became an integrated carrier, w
Slide 23: Free Cash Flow
Recent Developments The recovery of our EBITDA and our lower CapEx requirements resulted in a significant improvement in our free cash flow Free Cash Flow USD Billions
Slide 24: América Móvil: Financial Situation
América Móvil: Financial Situation 4
Slide 25: Deleveraging and Uses of Free Cash Flow
In 2016 we began a major deleveraging effort which has led to a $6.6 Bn net debt amortization and to the contribution of $1.8 Bn to pension plans Uses of Free Cash Flow USD Billions Financial Situation
Slide 26: AMX's Net Debt Position
Net Debt 2015 Gross Debt 2018 Net Debt 2018 Financial Situation Cash and Marketable Securities* *Includes KPN stake. After considering FX variations and changes in the value of our KPN stake, our net debt came down by $5.0 Bn since end 2015 AMX’s Net Debt Position USD Billions Reduction in Net Debt
Slide 27: Net Debt/EBITDA
*Figures in USD. Includes 50% of hybrid outstanding amount and market value derivatives. As we paid down our debt and rebuilt our revenue base after competitive and regulatory disruptions in Mexico, our net debt/EBITDA ratio declined Net Debt/EBITDA* Times Financial Situation
Slide 28: Telecom Credit Rating
Telecom Credit Rating Moody's Standard & Poor's Fitch América Móvil A3¨¨ A- A-¨¨¨ Verizon Baa1 BBB+ A-¨¨¨ Orange Baa1 BBB+ BBB+ Deutsche Telekom Baa1 BBB+ BBB+ AT&T Baa2 BBB¨ A-¨¨¨ Vodafone Baa2 BBB+ BBB+ Telefónica Baa3 BBB¨ BBB¨ Source: Bloomberg. Financial Situation AMX has maintained the highest
Slide 29: Net Debt/EBITDA - 2018 peers
Source: Company Reports. * The debt includes 50% of hybrid bond. Both debt and EBITDA are for 1Q19 under IFRS 16; EBITDA corresponds to the annualized first quarter. We have the lowest leverage ratio among the major telecommunication operators in the Western Hemisphere Net Debt/EBITDA - 2018 Times F
Slide 30: Adj. FCF/Total Debt – 2018
Source: Company Reports. When adjusted for committed dividends and M&A, AMX’s discretionary cash flow is substantially higher than that of its peers relative to its debt Adj. FCF/Total Debt – 2018 % Financial Situation
Slide 31: Gross Debt – December 2018
*All bank loans are in local markets. Our gross debt, $32Bn, has been funded for the most part in international markets; includes $5Bn in local currency bonds and $1.3Bn in hybrid bonds Gross Debt – December 2018 USD Billions 29 32 Financial Situation
Slide 32: Gross Debt by Currency – December 2018
Euros and dollars each represent roughly one-third of our funding ex-Telekom Austria; local currencies account for just over 20% in all Gross Debt by Currency – December 2018 % 100% 100% Financial Situation
Slide 33: Bond Maturities in International Capital Markets
Our bond maturities are very spread out in time, with an average life of 11.4 years; in the next three years maturities average $1.2Bn per year Bond Maturities in International Capital Markets* - March 2019 USD Billions *Only hard currency bonds. Includes both USD denominated bonds issued on April 2
Slide 34: Liquidity Facilities
We have three committed revolving credit facilities in an aggregate amount of nearly $6Bn meant to provide liquidity when needed América Móvil Two revolving syndicated bank facilities, initially 5 year facilities: USD $2.5bn EUR Eq. $2.0bn Telekom Austria One revolving syndicated bank facility: EUR
Slide 35: América Móvil: Going Forward
América Móvil: Going Forward 5
Slide 36: In-market consolidation opportunities
Going Forward We have recently taken advantage of in-market consolidation opportunities in Brazil and in Central America at a cost of $1.6Bn M&A – In-market consolidation: Brazil 5th operator (Nextel) 3.3 M clients 35 MHz of spectrum + 20MHz in Sao Paulo and 30MHz in Rio de Janeiro Revenues of 606 M
Slide 37: Internet usage in LatAm
Source: ITU estimates. Source: GSMA intelligence. Internet usage is becoming more prevalent in LatAm; new technologies will enable us to bridge the gap with Developed Economies Latin America Smartphone Penetration % Fixed-broadband Penetration Subscriptions / inhabitants Going Forward
Slide 38: Getting ready for 5G
Getting ready for 5G Continue with the expansion of 4.5G Transmission Projects Spectrum Voice over LTE (VoLTE) Coverage Virtualization 4G 4.5G 5G Maximum throughput per cell Devices per Km2 Latency We are very advanced in the modernization process of our platforms; 5G is for us a natural evolution o
Slide 39: Conclusions
Conclusions Geographic diversification has helped us maintain more stable revenue trends Integrated, convergent platforms have become a great competitive advantage in the telecom industry We have consistently outpaced our main competitors in terms of investment and generally have a competitive edge
Slide 40: América Movil May 2019
americat‘sS América Movil May 2019