Slide 1: Form 6-K Report of Foreign Private Issuer
UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 6-K REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934 Date of Report: October 25, 2021 Commission File Number: 001-39570 TIM S.A. (Exact name of Registrant as speci
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Slide 4: Earnings Release 3Q21
FARNING RELEASH 3P29QTR202 IMAGINE IT’S POSSIBLE ) CONQUER TIMB TIMS LISTED B3 LISTED NM
Slide 5: NYSE ISE B3
NYSE ISEB3
Slide 6: 2021 Third Quarter Results
2021 Third Quarter Results (Including the effects of IFRS 9, 15 and 16) From Volume to Value: continuously transforming the customer base profile · Mobile ARPU grew of 4.4% YoY in 3Q21, reaching R$26.5; · Postpaid share in the customer base reached over 43%, and more than 56% over revenue; · TIM Liv
Slide 7: Financial Performance
Financial Performance (Including the effects of IFRS 9, 15 and 16) OPERATING REVENUE *The Customer Platform includes revenues from new initiatives, such as Financial and Educational Services, and Mobile Advertising. Relocation of taxes between the Client Generated and Customer Platform Revenues line
Slide 8: Breakdown of Mobile Segment
Breakdown of Mobile Segment (net of taxes and deductions): Mobile Service Revenue (MSR) totaled R$ 4,096 million, up by 4.1% YoY compared to the same period of 2020 and +2.8% vs. 2Q21. This result is mainly explained by Mobile ARPU (Average Monthly Revenue Per User) dynamics, up by 4.4% YoY, reachin
Slide 9: Other Revenues and Fixed Segment Breakdown
Other Revenues line grew 14.6% YoY in 3Q21, mainly due to the higher revenue from network sharing and swap contracts, in line with the Company’s strategy to expand the fiber optic transport infrastructure (backbone and backhaul), allocating resources (Capex and Opex) more efficiently. In 9M21, this
Slide 10: Operating Costs and Expenses
OPERATING COSTS AND EXPENSES *Operating Costs normalized by specialized legal and administrative services (+R$ 7.7 million in 3Q21 and +R$ 13.7 million in 2Q21) and adjustments to the sale-leaseback agreement of the towers (+R$ 2.6 million in 1Q20). Reported Operating Costs and Expenses totaled R$ 2
Slide 11: Breakdown of Costs and Expenses
Normalized General and Administrative[1] (G&A) Expenses were up by 4.4% YoY in the quarter. This increase is mostly explained by: (i) higher expenses with maintenance services due to IT infrastructure migration to the Cloud; and (ii) by specialized consulting services for ongoing projects. Nonethele
Slide 12: From EBITDA to Net Income
FROM EBITDA TO NET INCOME *EBITDA normalized according to the items in the Costs section (+R$ 7.7 million in 3Q21, +R$ 13.7 million in 2Q21 and +R$ 2.6 million in 1Q20). Net Income normalized by tax credits and other effects (-R$ 526.8 million in 3Q21 and -R$ 4.6 million in 2Q21). EBITDA[2] (Earning
Slide 13: Net Financial Results
NET FINANCIAL RESULTS Net Financial Results in 3Q21 were negative by R$ 211 million, an improvement of R$ 33 million compared to 3Q20, mainly due to the net result from: (i) Higher financial revenues from: (1) interest on financial investment increased, reflecting a higher interest rate in the perio
Slide 14: Cash Flow, Debt and Capex
CASH FLOW, DEBT AND CAPEX *EBITDA normalized according to the items in the Costs section (+R$ 7.7 million in 3Q21, +R$ 13.7 million in 2Q21 and +R$ 2.6 million in 1Q20). In 3Q21, EBITDA-Capex reached R$ 1,270 million, up by 3.9% YoY, taking EBITDA-Capex over Net Revenue to 28.2% (vs. 27.9% in 3Q20).
Slide 15: Debt and Cash
DEBT AND CASH Debt Profile At the end of 3Q21, financing (after-hedge) totaled R$ 3,439 million. The average cost of debt excluding leases was 6.3% p.y. in the quarter, an increase when compared to 2.6% p.y. in 3Q20, impacted by CDI increased in the period Throughout 2021, the Company raised R$ 2.6
Slide 16: Quarterly Events and Subsequent Events
QUARTERLY EVENTS AND SUBSEQUENT EVENTS PAYMENT OF INTEREST ON SHAREHOLDER’S EQUITY On September 24, 2021, TIM S.A. announced that its Board of Directors approved the distribution of R$ 137.5 million as Interest on Equity (IoE). The payment will occur on October 27, 2021, being September 29, 2021 the
Slide 17: Operating and Marketing Performance
Operating and Marketing Performance *3Q21 and 9M21 numbers as of July 2021. MOBILE SEGMENT: GENERAL MARKET[4] The mobile market grew by 9.3% YoY in 3Q21, reinforcing the positive base expansion observed for the first time since 2015 in the last quarter. In the past 12 months, postpaid net additions
Slide 18: Fixed Segment
FIXED SEGMENT: TIM Live had a base of 675k connections in 3Q21, maintaining the accelerated growth pace (+7.7% YoY). In the last 12 months, net additions reached 48k lines, and above 200 Mpbs speed plans were again responsible for the period’s expansion dynamics. Higher-value plans, with speed above
Slide 19: Customer Platform and Mobile Advertising
Customer Platform and Mobile Advertising Since last year, TIM has been developing an innovative strategy to the Customer Platform aiming to monetize the company's customer base. This initiative is enabled by 2 business models: (i) Commercial Partnerships with the direct remuneration on advertising a
Slide 20: C6 Partnership and Digital Educational Services
The partnership with C6 ended 3Q21 with a record number of active accounts, reaching the next level of equity interest, 3.6%, corresponding to R$ 403.5 million in the Balance Sheet as Operations with Derivatives (Financial Statements, Note 37). Despite project's success, due to divergences between t
Slide 21: Infrastructure
Infrastructure For another quarter, the TIM reinforces its commitment to the enhancement of its services and continuous quality improvement to ensure the best user experience for its customers. Focus on the expansion and improvement of its network infrastructure remains a pivotal pillar in our busin
Slide 22: Environmental, Social & Governance
Environmental, Social & Governance 3Q21 ESG HIGHLIGHTS TIM has established a new and more ambitious plan named ESG Plan, for the 2021-23 three-year period. Based on the ambitions laid down in the previous Industrial Plan (2020-2022), the Company presented new objectives related to a set of initiativ
Slide 23: Social
SOCIAL o TIM donated half a million reais to the National Bank for Economic and Social Development's (BNDES) “Salvando Vidas” campaign to fight COVID-19. The resources will be used in the acquisition of about 450 thousand pieces of Personal Protective Equipment (PPE), benefiting 25 philanthropic hos
Slide 24: Disclaimer
Disclaimer The consolidated financial and operating information disclosed in this document, except where otherwise indicated, is presented in accordance with the International Financial Reporting Standards (IFRS) and in Brazilian Reais (R$), in compliance with the Brazilian Corporate Law (Law 6,404/
Slide 25: Investor Relations Contacts and Attachments
Investor Relations Contacts Telephone Number: (+55 21) 4109-3360 / 4112-6048 E-mail: ri@timbrasil.com.br Investor Relations Website: ri.tim.com.br Attachments Attachment 1: Balance Sheet Attachment 2: Income Statement Attachment 3: Cash Flow Statement Attachment 4: Operating Indicators The Complete
Slide 26: Attachment 1: TIM S.A. Balance Sheet
Attachment 1 TIM S.A. Balance Sheet
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Slide 28: Attachment 2: TIM S.A. Income Statement
Attachment 2 TIM S.A. Income Statement *Relocation of taxes between the Client Generated and Customer Platform Revenues lines, impacting these breakdowns since the beginning of 2021. **EBITDA normalized according to the items in the Costs section (+R$ 7.7 million in 3Q21, +R$ 13.7 million in 2Q21 an
Slide 29: Attachment 3: TIM S.A. Cash Flow Statement
Attachment 3 TIM S.A. Cash Flow Statement *EBT normalized according to the items in the Costs section (+R$ 7.7 million in 3Q21, +R$ 13.7 million in 2Q21 and +R$ 2.6 million in 1Q20). 24
Slide 30: Attachment 4: TIM S.A. Operating Ratios
Attachment 4 TIM S.A. Operating Ratios *3Q21 and 9M21 numbers as of July 2021. 25
Slide 31: Signatures
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. TIM S.A. Date: October 25, 2021 By: /s/ Camille Loyo Faria Camille Loyo Faria Chief Financial Officer a