Slide 1: Ooredoo Group 1H 2019 Results
Ooredoo Group 1H 2019 Results July 2019
Slide 2: Disclaimer
Disclaimer • Ooredoo (parent company Ooredoo Q.P.S.C.) and the group of companies which it forms part of (“Ooredoo Group”) cautions investors that certain statements contained in this document state Ooredoo Group management's intentions, hopes, beliefs, expectations, or predictions of the future and
Slide 3: Contents
Contents 1 Results review 2 Operations review 3 Additional information 3
Slide 4: Key Highlights
Group Results Overview Results review Operations review Additional information Key Highlights Solid financial performance in challenging conditions H1 2019 Revenue QAR Group EBITDA for H1 Group Net Profit QAR 841 Increased monetization 5G adoption leader 14.5 billion, a decline of 2019 increased by
Slide 5: Revenue and EBITDA
Group Results Overview Results review Operations review Additional information Revenue and EBITDA Revenue (QARm) EBITDA (QARm) and EBITDA Margin -4% +2% 15,122 14,508 6,212 6,339 -2% +0% 7,439 7,316 3,162 3,166 44% 41% 43% 43% 1H-18 1H-19 Q2-18 Q2-19 1H-18 1H-19 Q2-18 Q2-19 • Revenue growth in L/C t
Slide 6: Net Profit
Group Results Overview Results review Operations review Additional information Net Profit Net Profit Attributable to Ooredoo shareholders (QARm) +22% +107% 839 841 795 519 689 451 421 Net Profit Net Profit 203 Net F/X Net F/X Pre F/X Net Profit Pre F/X Net Profit 46 (30) (150) (316) 1H-18 1H-19 Q2-1
Slide 7: Free Cash Flow and Capital Expenditure
Group Results Overview Results review Operations review Additional information Free Cash Flow and Capital Expenditure CAPEX (QARm) & CAPEX/ Revenue (%) Free Cash Flow (QARm) -8% +29% 3,138 -6% +43% 2,900 1,485 2,319 1,390 1,796 1,214 850 16% 12% 17% 11% 1H-18 1H-19 Q2-18 Q2-19 1H-18 1H-19 Q2-18 Q2-1
Slide 8: Total customers
Group Results Overview Results review Operations review Additional information Total customers Total Customers (000) +14% -13% 149.2 -12% 130.5 130.1 114.9 1H-16 1H-17 1H-18 1H-19 • Growing customer numbers in all operations with the exception of Indosat Ooredoo (new SIM regulation in 2018) and Alge
Slide 9: Net debt
Group Results Overview Results review Operations review Additional information Net debt Net Debt (QARm) and Net Debt / EBITDA -6% +12% -12% 29,593 27,858 27,589 24,573 2.3 2.2 Pre IFRS 16: 1.9 • Net Debt QAR 22,868m 1.8 • Net Debt/EBITDA ratio: 1.9x 1H-16 1H-17 1H-18 1H-19 • Net Debt to EBITDA ratio
Slide 10: 2019 1H performance summary
Group Results Overview Results review Operations review Additional information 2019 1H performance summary Full Year Group Financials 1H 2019 % Change 2019/2018 Guidance excl. IFRS 16 (QAR bn) Actual Excl. IFRS 16 impact impact Revenue 14.5 -4% -3% to 0% EBITDA 6.3 -6% -7% to -4% CAPEX 2.3 29% 5.5bn
Slide 11: Contents
Contents 1 Results review 2 Operations review 3 Additional information 11
Slide 12: Qatar
Qatar Overview Results review Operations review Additional information QARm • Strong No.1 position maintained - Ooredoo’ s fixed line and mobile Revenue EBITDA EBITDA Margin networks in Qatar ranked among fastest globally • Revenue down due to fewer handset sales 57% 51% • Healthy EBITDA margin 57%,
Slide 13: Indonesia
Indonesia Overview Results review Operations review Additional information QARm 1,571 1,557 1,596 1,400 1,418 3,154 2,929 • Strong top line growth, revenue up by 11% in L/C driven by data revenue 469 494 419 642 670 1,055 1,312 • EBITDA continues to improve due to higher sales and cost optimization
Slide 14: Iraq
Iraq Overview Results review Operations review Additional information QARm Revenue EBITDA EBITDA Margin 49% 48% 42% 44% 46% 49% 45% • 1H revenue stayed flat YoY, intense price competition • 1H EBITDA was down 9% as a result of increased sales and 1,158 1,134 2,157 2,155 marketing activities to expan
Slide 15: Oman
Oman Overview Results review Operations review Additional information QARm Revenue EBITDA EBITDA Margin 57% • Slight increase of revenue driven by fixed business 53% 55% 55% 55% 54% 56% • EBITDA margin improved to 56% 1,316 1,317 • Pre IFRS16, EBITDA is QAR 712m, EBITDA margin of 54% 673 690 679 650
Slide 16: Kuwait
Kuwait Overview Results review Operations review Additional information QARm 750 1,545 710 694 650 673 1,367 150 151 217 210 221 294 432 • 1H Revenue decreased by 12% due to reduction of handset sales in Q2-18 Q3-18 Q4-18 Q1-19 Q2-19 1H-18 1H-19 a very competitive market • EBITDA surged by 47% due t
Slide 17: Algeria
Algeria Overview Results review Operations review Additional information QARm 668 695 663 644 1,401 613 1,257 • Revenue decreased 7% yoy in local currency due to intense 250 245 228 261 199 557 459 competition, political uncertainty, weak economy and overall Q2-18 Q3-18 Q4-18 Q1-19 Q2-19 shrinking m
Slide 18: Tunisia
Tunisia Overview Results review Operations review Additional information QARm 385 380 374 771 360 329 689 149 183 118 142 179 293 321 • 1H 9% Revenue growth yoy in local currency terms Q2-18 Q3-18 Q4-18 Q1-19 Q2-19 1H-18 1H-19 • LC revenue growth driven by mobile data, fixed business and B2B • EBITD
Slide 19: Myanmar
Myanmar Overview Results review Operations review Additional information QARm 350 705 296 261 275 260 535 • Q2’19 revenue improved 6% QoQ (in LC) driven by mobile data growth and supported by regulatory intervention (regulator asked 64 130 operators to stop aggressive market promotions in Feb’19) 59
Slide 20: Contents
Contents 1 Results review 2 Operations review 3 Additional information 20
Slide 21: Additional Information: Key Operations Importance to Group
Additional Information Overview Results review Operations review Additional information Key Operations Importance to Group Revenue (QARm) EBITDA (QARm) 15,914 16,259 15,122 14,508 6,939 6,212 6,339 6,478 % % 1H-16 1H-17 1H-18 1H-19 1H-16 1H-17 1H-18 1H-19 delta delta Qatar 4,033 4,042 3,897 3,661 -6
Slide 22: CAPEX & Customers
Group Results Overview Results review Operations review Additional information CAPEX & Customers CAPEX Breakdown (%) Customer Breakdown (%) Myanmar, Others, 2% Myanmar, Others, 2% 5% Qatar , 16% 10% Tunisia, 4% Qatar , 3% Tunisia, 8% Algeria, 14% Algeria, 12% Kuwait, 4% Kuwait, 2% Oman, 7% Indonesia
Slide 23: Total Group Loans and Borrowings
Group Results Overview Results review Operations review Additional information Total Group Loans and Borrowings Total Group Loans and Borrowings (QARm) Long Term Short Term Others , 45,863 7% 41,107 7,656 38,416 3,191 7,804 31,716 Indonesia , 18% 4,948 38,207 37,916 30,612 26,768 Qatar, 1H-16 1H-17
Slide 24: Debt Profile – Ooredoo Q.P.S.C. level
Group Results Overview Results review Operations review Additional information 2,000 Debt Profile – Ooredoo Q.P.S.C. level 1,500 490 Undrawn RCF 1,000 40 335 500 1,000 1,000 690 705 750 40 500 500 500 300 0 0 2019 2020 2021 2022 2023 2024 2025 2026 2028 2043 Issue Loans (in USD m) Amount Usage Rate*
Slide 25: Blended ARPU
Blended ARPU Overview Results review Operations review Additional information Qatar (QAR) Iraq (QAR) Oman (QAR) Maldives (QAR) Palestine (QAR) 55.4 52.2 52.9 54.0 52.3 50.8 23.1 61.0 60.1 22.7 22.8 111 117 116 114 109 112 27.3 27.2 28.9 26.8 25.4 25.3 56.8 58.3 56.1 53.7 21.5 20.9 20.4 Indonesia (QA
Slide 26: Statutory Corporate Tax Rates
Statutory Corporate Tax Rates Overview Results review Operations review Additional information Statutory Statutory Losses LossesC/Fwd C/Fwd Markets Markets Notes Tax TaxRate Rate Allowed Allowed Algeria 26% 4 years Indonesia 25% 5 years Iraq 15% 5 years GCC companies (including NMTC)are exempted and
Slide 27: OPCOs Licence General Information
OPCOs Licence General Information Overview Results review Operations review Additional information Fixed Licence Mobile Licence Country Issuance Date Expiry Date Issuance Date Expiry Date Qatar 7 October 2007 6 October 2032 7 October 2007 6 October 2027 13 October 1997 Kuwait -- -- Indefinite Emiri
Slide 28: Thank You
Thank You