Mobile Telecommunications Company Saudi Arabia · TADAWUL:7030
Mobile Telecommunications Company Saudi Arabia — Zain KSA — Q3 2021 Earnings Presentation
25 slides from Mobile Telecommunications Company Saudi Arabia's earnings presentation, 2021
Slide 1: Q3 2021 – Earnings call
Q3 2021 – Earnings call All rights reserved - © Zain KSA
Slide 2: Disclaimer
Disclaimer Expectations and projections regarding future performance of the company referenced in this presentation are ‘forward-looking statements’ within the meaning of applicable securities laws and regulations. These are statements which the management believes are true at the time of their prep
Slide 3: Introduction
Introduction Zain KSA established itself as a reliable telecom operator and a digital service provider whose services include telecom services, 5G network, FinTech (Financial Technology), cloud computing, IoT solutions, fiber services, drones, and many others. Zain KSA is committed to the continuous
Slide 4: Zain KSA Board of Directors
Zain KSA Board of Directors Bader Nasser Al Kharafi Ossama Michael Matta Raied Bin Ali Al Saif Vice Chairman Saud Bin Abdullah AlBawardi Mr. Matta was appointed the key role of Mr. Al Saif is the director of investment and A renowned regional economic identity, Mr. Al- Mr. AlBawardi has more than 15
Slide 5: Zain KSA Management Team
Zain KSA Management Team Eng. Sultan Bin Abdulaziz AlDeghaither Zain KSA CEO Eng. AlDeghaither first joined Zain KSA in 2009 as Director of Network Planning and took over as CEO on July 1st, 2018; where he spearheaded the turnaround story of Zain KSA, extinguishing SAR 2B+ of accumulated losses and
Slide 6: 2021 Financial Results
2021 Financial Results Zain KSA has achieved stabilized profits for Q3 2021, recording 60 million riyals in profits compared to 42 million riyals for Q2 of the same year, posting a 45 percent growth. The company made 1,984 million riyals in revenues, accomplishing a growth rate of 4% during Q3 2021,
Slide 7: Shareholder Structure
Shareholder Structure Zain Group provides Zain KSA with operational, technical, brand financial support 01 HRH Prince Saud Bin Fahad Bin Abdulaziz Al Saud 2.98% 02 Saudi Plastic Factory Est. 2.93% 03 HH Prince Sultan Bin Mohammed Bin Saud Al Kabeer Al Saud 2.13% 04 Abu Dhabi Investment House (ADIH)
Slide 8: Zain Saudi Arabia Today
Zain Saudi Arabia Today 7.47 Million 1,348 Zainers 238 Shops 48% Data Revenue Saudi: 85.78% 4,071 POS (Excluding SMS & VAS) Subscribers Woman: 13.20% 71 SAR 10,691 TB/Day 99% 98% 94% 62.3% 9,980 Total number of sites Blended ARPU Average daily data traffic 566 Cities covered by 3G 2G 3G 4G 5G Popula
Slide 9: Zain Internet Growth
Zain Internet Growth Q3-20 to Q3-21 Data Throughput Latency (ms) *Quarterly data from Ookla *Quarterly latency from Ookla (higher is better) (lower is better) 9
Slide 10: Zain KSA’s Strategic Pillars
Zain KSA’s Strategic Pillars The below eight pillars come as a natural evolution and extension of the strategy Zain KSA has successfully delivered on as well as the expectations of stakeholders. Economic Sustainable Partner of Customer Digital Beyond Future Forward Brand and Growth Practices Choice
Slide 11: Financial highlights
Financial highlights REVENUE [Million SAR] GROSS PROFIT [Million SAR] 8,386 7,531 7,917 5,424 5,445 7,306 4,796 4,202 +5% -1% 1,928 1,896 1,984 1,266 1,259 1,244 2017 2018 2019 2020 Q3 2020 Q2 2021 Q3 2021 2017 2018 2019 2020 Q3 2020 Q2 2021 Q3 2021 EBITDA, EBITDA MARGIN [Million SAR] NET (LOSS) / P
Slide 12: Financial highlights
Financial highlights OPERATIONAL (LOSS/INCOME) [Million SAR] CAPEX, CAPEX/REVENUES [Million SAR] Capex Capex/Revenue 1,511 2,943 37% 1,219 1,924 1,906 26% 1,002 23% 903 +563% +18% 1,029 17% 14% 11% 14% 2% 138 159 188 329 225 34 2017 2018 2019 2020 Q3 2020 Q2 2021 Q3 2021 2017 2018 2019 2020 Q3 2020
Slide 13: Company Debt
Company Debt With financial support from financial institutions, shareholders, and the Ministry of Finance. Zain Saudi Arabia borrowings summary Description Party Outstanding Amount Murabaha Facility Arrangement (MFA) Consortium of eight banks 3,678 Government Loan (MoF) Ministry of Finance 4,039 Du
Slide 14: Company Debt
Company Debt Evolve cost transformation initiatives Taking Proactive Financial Measures • Opportunity to approach business differently • Increased capex guidance while • Increasing efficiencies to lower operating costs implementing efficient cost measures • Aligning businesses to changing customer b
Slide 15: National Roaming Launch
National Roaming Launch Zain KSA rolls out “National Roaming” Service in Asir, Qassim and Riyadh. In Partnership with CITC and other Telecom Operators. 15
Slide 16: New Package
New Package During this quarter, Zain launched the Black package for its VIP customers with unique features that suit the customer's needs. 16
Slide 17: iPhone 13 Launch
iPhone 13 Launch On September 24, Zain started selling for iPhone 13 and organized a launching event in King Abdullah flagship. 17
Slide 18: Telecom Review Magazine
Telecom Review Magazine Zain KSA committed to driving innovation for a sustainable future. link 18
Slide 19: 5G Recognitions
5G Recognitions Zain KSA once again ranks first in the Q3 2021 edition of Meqyas Report, issued by the Communications and Information Technology Commission (CITC). Our award-winning 5G Network was recognized by Meqyas for achieving the fasted average download speeds for mobile 5G in Riyadh city. Zai
Slide 20: 5G Recognitions
5G Recognitions Oz) ZAIN eC CIC Saudi Arabia @ @cicsaudi Once again @ZainKSA ranked 1st as announced by & En fr farsi | Pyccknis PX Q @CITC_SA for two reasons: 1. 5G deployment coverage across #Riyadh / 89.35% 2. 5G average download speed / 379.7 Mbps This achievement is crucial to the Kingdom as di
Slide 21: Environment
Environment Sustainability lies at the core of all our work. In accordance with our Corporate Sustainability Strategy, Zain KSA is proud of its efforts to help combat climate change through several initiatives. Partnership with Hejaz Signing MoU with Partnership with Launch e-waste initiatives to bl
Slide 22: Society
Society Zain KSA continues to support initiatives that play a positive role in driving a happy, healthy and sustainable society: Parental Control guideline Signing MOU with the Sponsorship with Space Commission National Mental Health in “art pioneer” competition Center Digital Partner of MCIT’s FIFA
Slide 23: Achievements
Achievements Zain KSA has been awarded the ISO 27017-2021 (ISMS) Zain KSA has been awarded the ISO 27018: 2021 (ISMS) certification. which certifies Zain KSA’s ability to enhance the Certification for its “Zain Cloud” and “Drone” services which security of cloud solutions and mitigate risks for cust
Slide 24: More information
More information For more information, please visit our website or contact us through: investor.relations@sa.zain.com +966 59 244 8888 https://sa.zain.com/en/investors/financial-reports 24
Slide 25: Thank You
Thank You All rights reserved - © Zain KSA