Emirates Telecom. Group Company (etisalat Group) Pjsc · ADX:EAND
Emirates Telecom. Group Company (etisalat Group) Pjsc — Etisalat Group — Q2 2018 Earnings Presentation
22 slides from Emirates Telecom. Group Company (etisalat Group) Pjsc's earnings presentation, Jul 25, 2018
Slide 1: Etisalat Group Q2 2018 Results Presentation
ETISALAT GROUP Q2 2018 RESULTS PRESENTATION - ABU DHABI, UAE 25TH JULY 2018 1
Slide 2: Disclaimer
Etisalat Group | Q1 2018 Results Presentation DISCLAIMER Emirates Telecommunications Group Company PJSC and its subsidiaries (“Etisalat Group” or the “Company”) have prepared this presentation (“Presentation”) in good faith, however, no warranty or representation, express or implied is made as to th
Slide 3: 1. Business Overview
1. Business Overview Saleh Al Abdooli Chief Executive Officer Etisalat Group
Slide 4: Etisalat Group Financial Highlights
Etisalat Group | Q2 2018 Results Presentation FINANCIAL HIGHLIGHTS ETISALAT GROUP FINANCIAL HIGHLIGHTS AED Million Q2 2018 Growth Growth H1 2018 Growth YoY% (1) QoQ% YoY% (1) Revenue 13,099 +2% 0% 26,203 +4% EBITDA 6,600 0% +2% 13,079 +1% EBITDA Margin 50% -1pp +1pp 50% -1pp Net profit 2,199 +12% +4
Slide 5: Etisalat Group Financial Highlights
Etisalat Group | Q2 2018 Results Presentation FINANCIAL HIGHLIGHTS ETISALAT GROUP FINANCIAL HIGHLIGHTS • Healthy revenue with +2% growth in the quarter and +4% H1’18 • Improved EBITDA margin with cash flow generation • Interim dividends of 40 fils per share • Affirmation of high credit ratings at AA
Slide 6: 2. Financial Overview
2. Financial Overview Serkan Okandan Chief Financial Officer Etisalat Group
Slide 7: Revenue and EBITDA Breakdown Q2 2018
Etisalat Group | Q2 2018 Results Presentation FINANCIAL HIGHLIGHTS ETISALAT GROUP FINANCIAL HIGHLIGHTS Revenue Breakdown Q2 2018 (AED m) EBITDA Breakdown Q2 2018 (AED m) 13.1 6.6 Bn Bn Y0Y Growth +2% Y0Y Growth 0% UAE +1% UAE -1% MT Group (LC +4%) +9% MT Group (LC +2%) +7% Egypt (LC+18%) +20% Egypt
Slide 8: Int'l Operations Financial Highlights Q2 2018
Etisalat Group | Q2 2018 Results Presentation FINANCIAL HIGHLIGHTS INT’L OPERATIONS FINANCIAL HIGHLIGHTS Q2 2018 Revenue (AED m)/EBITDA (AED m) / EBITDA Revenue & EBITDA (AED m) / EBITDA Margin (%) / Margin (%) YoY Growth % Maroc Telecom Q2 2018 Growth Growth 46% in AED in MAD 45% 45% Revenue 3,327
Slide 9: Group Revenue
Etisalat Group | Q2 2018 Results Presentation REVENUE GROUP REVENUE Revenue (AED m) and YoY growth (%) Sources of Revenue growth Q2 2018 Vs. Q2 2017 (AEDm) 4% 5% -3% Q2’17 UAE MT Group Egypt Pakistan Others Q2’18 Highlights Revenue by Cluster (Q2 2018) • In Q2’18 consolidated revenue increased Y/Y b
Slide 10: Group EBITDA
Etisalat Group | Q2 2018 Results Presentation EBITDA GROUP EBITDA EBITDA (AED m) & EBITDA Margin Sources of EBITDA growth – Q2 2018 vs Q2 2017 (AED m) Q2’17 UAE MT Group Egypt Pakistan Others Q2’18 Highlights EBITDA by Cluster (Q2 2018) • In Q2’18 consolidated EBITDA was stable at AED 6.6 billion. D
Slide 11: Group Capex
Etisalat Group | Q2 2018 Results Presentation CAPEX GROUP CAPEX CAPEX (AED m) & CAPEX/Revenue Ratio (%) Sources of Capex growth – Q2 2018 vs Q2 2017 (AED m) Q2’17 UAE MT Group Egypt Pakistan Others Q2’18 Highlights CAPEX by Cluster (Q2 2018) In Q2’18 consolidated capex decreased Y/Y by 6% Domestic
Slide 12: Group Balance Sheet & Cash Flows
Etisalat Group | Q2 2018 Results Presentation BALANCE SHEET / CASHFLOWS GROUP BALANCE SHEET & CASH FLOWS Balance Sheet (AED m) Dec-17 Jun-18 Investment Grade Credit Ratings Cash & bank Balances 27,125 24,167 AA-/Stable Total Assets 128,894 124,018 Total Debt 24,705 25,335 Net Cash / (Debt) 2,420 (1,
Slide 13: Debt Profile: Diversified Debt Portfolio
Etisalat Group | Q2 2018 Results Presentation DEBT PROFILE DEBT PROFILE: DIVERSIFIED DEBT PORTFOLIO Borrowings by Operation Q2 2018 (AED m) Borrowings by Currency Q2 2018 (%) 15,832 6,234 1,741 1,528 Group MT Group Egypt Pakistan Debt by Source Q2 2018 (AED m) Repayment Schedule Q2 2018 (AED m) 15,2
Slide 14: Group Dividends: Proposed DPS of 40 Fils for H1 2018
Etisalat Group | Q2 2018 Results Presentation DIVIDENDS GROUP DIVIDENDS: PROPOSED DPS OF AED 40 FILS FOR H1 2018 Interim Dividends and Dividends Per Share Interim Dividend Payout Ratio 93.7% 3.48 3.48 3.48 3.48 85.6% 80.6% 80.7% 2.77 67.2% 0.35 0.40 0.40 0.40 0.40 2014 2015 2016 2017 2018 H1'14 H1'1
Slide 15: Country by Country Financial Review
COUNTRY BY COUNTRY FINANCIAL REVIEW 15
Slide 16: UAE: Top-line and Bottom-line Growth
Etisalat Group | Q2 2018 Results Presentation UAE UAE: TOP-LINE AND BOTTOM-LINE GROWTH Revenue (AED m) / YoY Growth (%) EBITDA (AED m) / EBITDA % Net Profit (AED m) / Profit Margin (%) CAPEX (AED m) & CAPEX / Revenue Ration (%) (1) Prior period financial figures are restated to reflect IFRS15 adjust
Slide 17: UAE: Revenue Breakdown and Key KPIs
Etisalat Group | Q2 2018 Results Presentation UAE UAE: REVENUE BREAKDOWN AND KEY KPI’S Mobile Revenues(1) (AED m) Fixed Revenues(2) (AED m) Other Revenues(3) (AED m) Mobile Subs(4) (m) & ARPU(5) (AED) Fixed Broadband(6) Subs (m) & ARPU(7) (AED) (1) Mobile revenues includes mobile voice, data, rental
Slide 18: Maroc Telecom: Revenue Growth Fueled by Monetization of Data
Etisalat Group | Q2 2018 Results Presentation MAROC TELECOM GROUP MAROC TELECOM: REVENUE GROWTH FUELED BY MONETIZATION OF DATA Morocco, Benin, Burkina Faso, CAR, CDI, Gabon, Mali, Mauritania, Niger & Togo Subscribers (m) Revenue (AED m) / EBITDA Margin CAPEX (AED m) & CAPEX/Revenue Ratio (%) 19% Rev
Slide 19: Egypt: Strong Revenue Growth with Higher Network Investment
Etisalat Group | Q2 2018 Results Presentation EGYPT EGYPT: STRONG REVENUE GROWTH WITH HIGHER NETWORK INVESTMENT Subscribers(1) (m) Revenue (AED m) / EBITDA CAPEX (AED m) & CAPEX/Revenue Ratio (%) HIGHLIGHTS USD / EGP FX Rate (EGP) • Regulatory restriction negatively impacted customer acquisitions 18
Slide 20: Pakistan: Results Impacted by Currency Devaluation
Etisalat Group | Q2 2018 Results Presentation PAKISTAN PAKISTAN: RESULTS IMPACTED BY CURRENCY DEVALUATION Subscribers (m) Revenue (AED m) / EBITDA Margin CAPEX (AED m) & CAPEX/Revenue Ratio (%) REVENUE BREAKDOWN Q2’18 USD / PKR FX Rate (EGP) 121.5 115.6 104.9 116.7 111.7 PTCL Ufone 104.8 58% 42% Q2'
Slide 21: 2018 Actual Against Guidance: Improving Full Year Revenue Guidance
Etisalat Group | Q2 2018 Results Presentation GUIDANCE 2018 ACTUAL AGAINST GUIDANCE: IMPROVING THE FULL YEAR REVENUE GUIDANCE Financial Original Guidance Revised Guidance Actual KPI 2018 in AED 2018 in AED H1 2018 in AED Revenue Growth % Slightly lower Slightly higher +3.6% EBITDA Margin% 49% - 50%
Slide 22: Etisalat Group Investor Relations
ETISALAT GROUP INVESTOR RELATIONS Email: ir@etisalat.ae Website: www.etisalat.com/en/ir/index.jspr 22