Slide 1: Taiwan Mobile Co., Ltd. 2Q17 Results Summary
Taiwan Mobile Co., Ltd. 2Q17 Results Summary August 2, 2017 1
Slide 2: Disclaimer
Disclaimer The information contained in this presentation, including all forward- looking information, is subject to change without notice, whether as a result of new information, future events or otherwise, and Taiwan Mobile Co., Ltd. (the “Company”) undertakes no obligation to update or revise the
Slide 3: Business Overview
Business Overview 3
Slide 4: Steady Recurring Telecom Business
Steady Recurring Telecom Business 2Q17 Key Operating Metrics Postpaid Sub No. YoY Change Mobile Service Revenue1&2 YoY Change CHT FET TWM -1.9% -1.8% -2.4% Telecom EBIT2 YoY Change 2Q17 EPS 1. Based on Residual Value Method, i.e. excluding revenue adjustments under the current bundle sales accountin
Slide 5: Milder CATV Competition
Milder CATV Competition Cable Broadband % of ending sub by speed (Unit: NT$bn) Reported Recurring CATV Revenue EBITDA Revenue EBITDA 2Q17 1.60 0.83 1.61 0.85 1Q17 1.61 0.86 1.59 0.84 QoQ -1% -4% 1% 0% 5
Slide 6: E-commerce – the Growth Engine
E-commerce – the Growth Engine (Unit: NT$bn) momo 2Q17 QoQ YoY Total Revenue 7.69 1% 15% - E-commerce 6.00 2% 24% EBITDA 0.39 17% 15% - E-commerce 0.26 6% 27% - TV shopping 0.11 56% 19% EBITDA Margin 5.1% +0.7ppts -0ppts 6
Slide 7: Financial Overview
Financial Overview 7
Slide 8: Performance by Business
Performance by Business Revenue EBITDA NT$bn Telecom CATV momo Total1 Telecom CATV momo Total1 2Q17 18.46 1.60 7.69 27.80 6.95 0.83 0.39 8.30 % of total 66% 6% 28% 100% 84% 10% 5% 100% Reported -8% -3% 15% -2% -6% -8% 15% -5% YoY Recurring2 YoY -1% -6% 12% -1% 1: The sum of each account of telecom,
Slide 9: Results Summary
Results Summary 2Q17 1H17 NT$bn % of % of 2Q Amount YoY Amount YoY Full year guidance guidance Revenue 27.80 -2% 97% 56.64 -2% 48% Cost (18.91) 1% 97% (38.55) 0% 47% Operating expense (4.00) -9% 91% (8.13) -9% 45% Operating income 4.89 -7% 102% 9.97 -3% 54% Net non-oper. items (0.08) -38% 55% (0.25)
Slide 10: Balance Sheet Analysis
Balance Sheet Analysis NT$bn 2Q17 1Q17 2Q16 2Q17 1Q17 2Q16 Total Assets 146.58 148.73 152.47 Liabilities 87.41 78.25 94.45 Current Assets 30.18 32.58 32.74 Current Liabilities 48.50 31.42 56.17 - Cash & Cash Equivalents 6.18 7.93 7.55 - ST Debts 10.16 8.26 15.47 - Accounts Receivable 14.57 14.77 15.
Slide 11: Cash Flow Analysis
Cash Flow Analysis NT$bn 2Q17 1Q17 2Q16 Operating Cash Flow 7.87 7.49 5.97 Investing Cash Flow (2.84) (1.70) (2.70) Financing Cash Flow (6.78) (5.56) (4.42) NT$bn 2Q17 1Q17 2Q16 Cash CAPEX (2.43) (2.66) (2.43) Free Cash Flow 5.43 4.83 3.54 11
Slide 12: Event Updates
Event Updates 12
Slide 13: Upcoming Auction
Upcoming Auction Reserve price: NT $2.2bn per block 1800MHz C1 C2 C3 C4 C5 C6-1 C6-2 C6-3 FDD ~2030 Reserve price: NT $1.9bn per block 2100MHz FDD E1 E2 E3 E4 E5 E6 E7 E8 E9 E10 E11 E12 ~2033 Auction is scheduled in 4Q17 for a total of 15 blocks (E1-12 & C6-1-C6-3), 5MHz x2 per block A maximum o
Slide 14: Awards and Recognitions
Awards and Recognitions For the second consecutive year, honored with the “Annual CSR Survey – Service Sector” CSR award from Global Views Monthly. This is TWM’s 11th Global Views Monthly CSR award since 2005. 14
Slide 15: Key Message
Key Message Our differentiated offerings and expense discipline have offset some of the negative impact from mobile service competition. Though the reduced domestic roaming weighed on our profit growth profile, it did reduce our capex and benefit our FCF. We will strive for steady recurring profits
Slide 16: Q&A
Q&A 16