Telkom Sa Soc Ltd. · JSE:TKG
Telkom Sa Soc — Telkom — Investor Day (2019)
6 slides from Telkom Sa Soc's investor day presentation, 2019
Slide 1: Tsholo Molefe, GCFO
Tsholo Molefe GCFO Telkom Capital Markets Day 2019 98
Slide 2: Sustainable financial framework
Sustainable financial framework 1. Defend and 2. Sustainable cost 3. Disciplined Capital 4. Free Cash grow management Allocation Framework Flow Decelerate decline Effectively manage and Framework that supports our • Optimise net working in legacy business: contain cost escalation: sustainable value
Slide 3: Sustainable cost management
Sustainable cost management Transformation management Drive change through strong PMO Total cost to revenue ratio reduce from 75% to 73% over the next 3 years Limit cost escalation to External Processes & IT & Network Cost to serve below inflation spend organization landscape methodologies Tracking
Slide 4: Disciplined capital allocation – FY2019
Disciplined capital allocation – FY2019 Cash management Rm 7 552 (2 162) (1 846) 6 071 (5 422) 2 527 717 62 1 428 3 *Includes the cash payment of R566 million relating to voluntary early retirement packages (VERP), voluntary severance packages (VSP) and section 189 costs. ** Includes net funding rai
Slide 5: Capital allocation framework
Capital allocation framework 1 Inputs Annual Strategic Planning/Investment Strategy 4 Outputs Sources Operational cashflow and cash release intiatives Debt Alternative 2 of Capital Issuance Funding Solutions Total Optimal Maintain a strong balance sheet Performance Shareholder Returns Maintenace & Di
Slide 6: Positive free cash flow
Positive free cash flow Working capital Cash release Key initiatives management opportunities Receivables Supply chain financing Optimise invoicing cycle Handsets receivables financing Inventory Disposal of non-core assets Improve inventory cycle Capital expenditure Maximise capex returns Telkom Capit
Telkom — Investor Day (2019) on 6ix