SES SA FDR (Class A) · EURONEXT:SESG
SES SA FDR (Class A) — SES — H1 2014 Earnings Presentation
19 slides from SES SA FDR (Class A)'s earnings presentation, Jul 25, 2014
Slide 1: Financial Results
Financial Results For the six months to 30 June 2014 25 July 2014
Slide 2: Key developments - H1 2014
Key developments - H1 2014 Robust revenue and EBITDA growth with video as core Strong Europe and International performance North America revenue continued to be affected by the USG budget sequester Contract backlog of EUR 7.2 billion Three satellites brought into service Medium term plan
Slide 3: Robust top line growth continues - H1 2014
Robust top line growth continues - H1 2014 REVENUE EBITDA As reported As reported +3.1% +4.8% At constant FX* At constant FX* +6.3% +7.4% EUR 938.9 million EUR 693.8 million Strong Revenue Growth Drives Profitability with EBITDA Margin at 73.9% * “Constant FX” refers to the restatement of comparativ
Slide 4: Major developments by region - H1 2014
Major developments by region - H1 2014 Region Revenue at constant FX Major business developments Compared to prior Capacity agreements in 2013 driving growth Europe EUR 514.7 million in 2014 (e.g. Sky D); sale of transponders to ETL; new contracts signed in H1 2014; +13.7% positive development of HD
Slide 5: Building momentum in Latin America
Building momentum in Latin America Two prime orbital positions acquired in Brazilian Auction in May 2014 • 48W C-Ku-Ka band rights complement existing assets at 47.5W, for extending media operations in C and Ku bands across Brazil and other markets in Latin America • 64W Ku band rights complement
Slide 6: Building momentum for Ultra HD
Building momentum for Ultra HD Ultra HD ecosystem is taking shape: • 19.2E SES Retailer Demo Channel launched, ramping up content towards peak season Q4 2014 • SES UHD partner training launching Q3 2014 for FTA Germany, hot topic for distributors and retailers • STB Manufacturers are ready for ini
Slide 7: O3b Networks launch success
O3b Networks launch success O3b launched satellites 5-8 on 10th July Commercial service to start following in- orbit testing Several customers already operating • Royal Caribbean Cruises • Telecom Cook Islands • Norfolk Telecom Up to 30 customers to be activated by the end of 2014 Satellit
Slide 8: HD and SD channel growth drives demand
HD and SD channel growth drives demand Proportion of satellite TV channels globally broadcast over SES satellites is increasing: • 17% of the total 37,256 satellite TV channels • 26% of the 6,973 satellite HDTV transmissions HD channels on SES are consistently growing: • 9% increase in HD channe
Slide 9: Fleet utilisation
Fleet utilisation 6.5% increase in commercially available transponders (+94) * 2.4% increase in utilised transponders (+26) * Utilisation rate decreased to 72.5% Decrease in North America (non-renewals) and European / international regions (incremental capacity on fleet) In 36 MHz-equivalent
Slide 10: Fleet capacity development
Fleet capacity development Europe +21 International +180 Total +201 * ASTRA 2G launch is planned for Q4 2014 Sustained fleet investment Fleet capacity increase (excl. HTS) programme: Total: International: ** SES-12, replacing NSS-6, 8 (4 launched) new satellites between year-end 14% 25% is a hybrid
Slide 11: SES-12: A hybrid DTH / HTS satellite
SES-12: A hybrid DTH / HTS satellite A replacement satellite (for NSS-6) with incremental Wide Area Beam Footprint HTS payload Electric orbit raising and station keeping Serving fast-growing Asian DTH and Data markets Colocated with SES-8 at 95E, adding 8 TPEs for a total 89 in traditional w
Slide 12: Replacement capital expenditure reducing
Replacement capital expenditure reducing As published on 9 May 2014: 480 470 450 450 450 EUR million Estimated, Uncommitted Replacement & 835 Total 2014-2018: maximum EUR 2.3 billion Growth Satellite CapEx 54 691 Committed, Non Satellite CapEx - 60 Infrastructure and Services 480 470 Committed Satel
Slide 13: Financial highlights – H1 2014
Financial highlights – H1 2014 EUR million Other key metrics (as reported) H1 2014 compared As At constant to prior year period reported FX H1 2014 H1 2013 Profit of the 290.9 268.0 938.9 Revenue Group (+8.5%) (+3.1%) +6.3% EPS (EUR) 0.72 0.67 693.8 EBITDA (+4.8%) +7.4% Net debt / 2.85 times 3.07 ti
Slide 14: Revenue walk from H1 2013 to H1 2014
Revenue walk from H1 2013 to H1 2014 SES Group Revenue FX rate EUR/USD: in EUR millions Actual H1 2013 1.31 +3.1% as reported Actual H1 2014 1.37 -4.6% 62.0 19.6 938.9 910.5 883.4 (26.1) (27.1) Actual H1 2013 Constant FX Actual H1 2013 Europe North America International Actual H1 2014 (Constant FX)
Slide 15: EBITDA walk from H1 2013 to H1 2014
EBITDA walk from H1 2013 to H1 2014 SES Group EBITDA FX rate EUR/USD: in EUR millions Actual H1 2013 1.31 +4.8% as reported Actual H1 2014 1.37 -4.6% 55.5 693.8 662.0 (8.0) 646.3 (15.7) 72.7% EBITDA margin 73.2% 72.7% 73.9% Actual H1 2013 Constant FX Actual H1 2013 Revenue OpEx Actual H1 2014 (Const
Slide 16: Infrastructure and services segmentation
Infrastructure and services segmentation Business Segmentation H1 2014 (as reported) * in EUR million Infrastructure Services Other / Elim. SES GROUP FX rate EUR/USD: Actual H1 2013 1.31 Revenues 810.8 214.8 (86.7) 938.9 Actual H1 2014 1.37 -4.6% EBITDA 676.7 32.7 (15.6) 693.8 Margin % 83.5% 15.2% 7
Slide 17: Additional financial information
Additional financial information 1) Depreciation decreased by EUR 3.2 million versus the prior year period mainly due to the weaker US Dollar; at constant FX depreciation increases by EUR 3.7 million mainly reflecting the entry into service of SES-8, ASTRA 2E and ASTRA 5B Amortisation increased
Slide 18: Guidance
Guidance Reporting As reported Period * Revenue EBITDA 2014 6% - 7% 6% - 7% 2014-2016 (CAGR) 4.0% - 4.5% 4.0% - 4.5% Guidance on other key financial elements in 2014: • Infrastructure EBITDA margin above 82% • Services activities EBITDA margin of 14% to 18% • Total depreciation (excluding amortisa
Slide 19: Disclaimer
Disclaimer This presentation does not, in any jurisdiction, including without limitation in the U.S., constitute or form part of, and should not be construed as, any offer for sale of, or solicitation of any offer to buy, or any investment advice in connection with, any securities of SES, nor shou