Elisa Oyj Class A · OMXHEX:ELISA
Elisa Oyj Class A — Investor Day (November 2012)
16 slides from Elisa Oyj Class A's investor day presentation, Nov 13, 2012
Slide 1: Group overview
Group overview Veli-Matti Mattila CEO
Slide 2: Content
Content 1 Performance update 2 Strategy execution 3 Mid-term targets and dividend policy 4 CEO priorities 2
Slide 3: Revenue growth exceeding the industry average …
Performance update Revenue growth exceeding the industry average … Revenue, EURm 2.5%* 401 389 387 383 382 378 378 374 365 364 363 360 355 353 351 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 All numbers comparable (excl. EO items) *European telcos* comparable domestic
Slide 4: …EBITDA is improving …
Performance update …EBITDA is improving … EBITDA, EURm 135 134 133 131 127 123 121 121 121 122 118 119 116 116 115 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 All numbers comparable (excl. EO items) 4
Slide 5: …and transformation with New services gaining momentum…
Performance update …and transformation with New services gaining momentum… +24.5% (+9.3%*) New services New services +0.2% (-4.5%*) Telecom Telecom services services 9M11 9M12 * Revenue change 2008-2009 published at CMD 2010 5
Slide 6: …and almost all mid-term targets on track
Performance update …and almost all mid-term targets on track Parameter Target by end of 2013 Revenue growth Above industry average EBITDA-margin Above 35% CAPEX-to-sales ≤ 12% Capital structure Net debt / EBITDA 1.5 - 2x Equity ratio > 35% 6
Slide 7: Strategy execution continues...
Strategy execution Strategy execution continues... New services and new markets Strengthening market position in core markets Integration of One Elisa 7
Slide 8: …with significant potential in productivity improvements…
Strategy execution …with significant potential in productivity improvements… • Process development • Streamlined and consolidated IT • Procurement and sourcing • Effective use of capital 8
Slide 9: …proven by recent results
Strategy execution …proven by recent results Process development Procurement and sourcing E.g. Billing contacts / invoice volume E.g. Global sourcing savings, EURm 5,3 % 3,8 % 5,7 3,0 % 5,1 0,7 2010 2011 1-3Q12 2010 2011 1-3Q12 Streamlined and consolidated IT Effective use of capital E.g. IT consoli
Slide 10: Focus in Telecom services is on data...
Strategy execution Focus in Telecom services is on data... New devices drive data demand… …and increase broadband subscriptions Smartphone penetration Fixed Broadband Mobile data (PB) 40% 14 104 109 100 35% 12 30% 10 25% 2010 2011 3Q12 8 20% 6 3G Mobile broadband 15% 15 4G Mobile broadband 10% 4 2 1
Slide 11: …and new service businesses are developed based on market demand
Strategy execution …and new service businesses are developed based on market demand Opportunities found on the basis of: • customer frustrations and desires • consumers’ money and time usage • productivity improvement potential for organisations Visual communications Entertaining • embracing new tec
Slide 12: Mid-term targets updated…
Mid-term targets updated… Parameter Target by end of 2015 Revenue growth Above industry* average EBITDA-margin Above 35% CAPEX-to-sales ≤ 12% Capital structure Net debt / EBITDA 1.5 - 2x Equity ratio > 35% * European telcos 12
Slide 13: …and distribution policy upgraded
…and distribution policy upgraded Profit distribution is 80-100* per cent of the previous fiscal year’s net profit. In addition possible excess capital can be distributed to shareholders. When making the distribution proposal or decision the Board of Directors will take into consideration the compan
Slide 14: CEO priorities
CEO priorities Continue determined productivity improvement by targeting world-class operational excellence Securing the value capture of the mobile data explosion Further accelerating the transformation via new services businesses 14
Slide 15: Thank you!
Thank you! OSA elisa
Slide 16: Forward-looking statements
Forward-looking statements Statements made in this document relating to the future, including future performance and other trend projections, are forward-looking statements. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circum