Ooredoo Q.p.s.c · QSE:ORDS
Ooredoo Q.p.s.c — Ooredoo — Q1 2021 Earnings Presentation
35 slides from Ooredoo Q.p.s.c's earnings presentation, April 2021
Slide 1: Ooredoo Group Q1 2021 Results
Ooredoo Group Q1 2021 Results April 2021 1
Slide 2: Disclaimer
Disclaimer • Ooredoo (parent company Ooredoo Q.P.S.C.) and the group of companies which it forms part of (“Ooredoo Group”) cautions investors that certain statements contained in this document state Ooredoo Group management's intentions, hopes, beliefs, expectations, or predictions of the future and
Slide 3: Contents
Contents 1 Results review 2 Operations review 3 Additional information 3
Slide 4: Group Results: Key Highlights
Overview Results review Operations review Additional information Group Results Key Highlights Solid financial performance in challenging conditions Marginal year-on-year EBITDA increased by 6% year- Group Net Profit attributable Data revenues account for Indosat Ooredoo signed a sale revenue decline
Slide 5: Revenue and EBITDA
Overview Results review Operations review Additional information Group Results Revenue and EBITDA Revenue (QARm) EBITDA (QARm) and EBITDA Margin -1% 7,295 7,197 +6% 3,213 3,023 45% 41% Q1-20 Q1-21 Q1-20 Q1-21 • Marginal year-on-year revenue decline of 1%, due to the COVID-19 pandemic impact and macr
Slide 6: Net Profit
Overview Results review Operations review Additional information Group Results Net Profit Net Profit Attributable to Ooredoo shareholders (QARm) 120% 457 387 -50% Net Profit 209 193 F/X Impact Pre F/X Net Profit 178 (264) Q1-20 Q1-21 • Net Profit decreased by 50% year-on-year in Q1 2021 mainly due t
Slide 7: Free Cash Flow and Capital Expenditure
Overview Results review Operations review Additional information Group Results Free Cash Flow and Capital Expenditure CAPEX (QARm) & CAPEX/ Revenue (%) Free Cash Flow (QARm) +5% -14% 1,506 850 811 1,297 11% 12% Q1-20 Q1-21 Q1-20 Q1-21 • Capex in line with guidance taking advantage of scale of Ooredo
Slide 8: Total customers
Overview Results review Operations review Additional information Group Results Total customers Total Customers (millions) 150.5 +5% -0.3% -25% 117.9 117.6 112.1 Q1-18 Q1-19 Q1-20 Q1-21 • Slight drop in customer numbers partially offset by an increase in Indonesia, Iraq, Oman and Algeria • Sequential
Slide 9: Net debt
Overview Results review Operations review Additional information Group Results Net debt Net Debt (QARm) and Net Debt / EBITDA +6% 27,714 +3% 26,263 -10% 25,811 24,975 2.2 2.0 2.0 1.8 Q1-18 Q1-19 Q1-20 Q1-21 • Group Net Debt increased mainly due to regulatory and license payments in Oman and Iraq and
Slide 10: 2021 Q1 performance summary
Overview Results review Operations review Additional information Group Results 2021 Q1 performance summary Group Financials 2021 % Change 2021 Full Year (QAR bn) Actual 2021 / 2020 Guidance over 2020 Revenue 7.2 -1.3% -3% to +1% EBITDA 3.2 6.3% -3% to +1% CAPEX 850 +5% 5bn to 6bn • Q1 Revenue within
Slide 11: Contents
Contents 1 Results review 2 Operations review 3 Additional information 11
Slide 12: Qatar
Overview Results review Operations review Additional information Qatar QARm Revenue EBITDA EBITDA Margin • Strong No.1 position maintained - Ooredoo’ s fixed line and mobile networks in Qatar ranked among fastest globally • Revenue grew by 0.6% compared to Q1 2020 55% 54% 56% 45% 54% 55% 54% • EBITD
Slide 13: Kuwait
Overview Results review Operations review Additional information Kuwait QARm 656 648 609 607 656 578 607 • COVID-19 pandemic contributed to a softening macroeconomic environment in Kuwait and revenues declined 8% to QAR 607 million yoy • EBITDA for the period increased 2% to QAR 169 million, due to
Slide 14: Algeria
Overview Results review Operations review Additional information Algeria QARm 594 594 551 571 570 551 520 • Ooredoo Algeria delivered a healthy set of results during the first quarter of 2021, despite a challenging macroeconomic environment and a 9% depreciation of the Algerian Dinar • Revenues incr
Slide 15: Indonesia
Overview Results review Operations review Additional information Indonesia QARm 1,859 1,887 1,887 1,768 1,669 1,688 1,669 • Stellar performance by Indosat Ooredoo, Revenue increased by 13% to QAR 1.9 billion yoy. Growth was driven by the strong performance in cellular revenues supported by a rebound
Slide 16: Tunisia
Overview Results review Operations review Additional information Tunisia QARm 382 392 392 394 382 394 349 • Reported revenues of QAR 394 million in Q1 2021, an increase of 3% compared to the same period in the previous year supported by favorable FX trends. 168 147 179 156 162 168 162 • EBITDA of QA
Slide 17: Iraq
Overview Results review Operations review Additional information Iraq QARm Revenue EBITDA EBITDA Margin 44% 42% 48% 42% 45% • Iraqi economy was impacted by weakening purchasing power following the 44% 45% 17% devaluation of the Iraqi Dinar and the effect of the COVID-19 pandemic 1,085 1,051 1,037 1,
Slide 18: Oman
Overview Results review Operations review Additional information Oman QARm Revenue EBITDA EBITDA Margin 56% 54% 53% 51% 51% 56% 51% 638 624 627 • Covid 19 restrictions and partial lockdowns during Q1 lead to a 4% Revenue 619 610 638 decline yoy 610 • A reduction in prepaid revenue which was partiall
Slide 19: Myanmar
Overview Results review Operations review Additional information Myanmar QARm 284 296 292 300 252 284 252 • Political developments in Myanmar including restrictions on mobile and wireless 117 56 73 56 50 broadband impacted Ooredoo Myanmar’s performance in Q1 2021 50 75 • Q1 2021 Revenues declined of
Slide 20: Ooredoo's first ESG report has just been published
Hot off the press : Ooredoo’s first ESG report has just been published | | 20
Slide 21: 2021 upcoming events (tbc)
2021 upcoming events (tbc) ➢ Arqaam Capital 8th MENA Investors Conference, May 24 to 26, 2021 ➢ BoA/ML EM conference June 1st-4th ➢ Ooredoo Group 1H 2021 results : July 28th (tbc) 4/29/2021 21
Slide 22: Institutional Investor Survey
Institutional Investor Survey A few simple steps to vote: 1. Access the II portal through the login page: https://voting.institutionalinvestor.com/welcome 2. In My Surveys, select Emerging EMEA 2021 3. Select Voting Area: Sales, Corporate Access, Trading & Execution, and Research 4. For Research, se
Slide 23: Contents
Contents 1 Results review 2 Operations review 3 Additional information 23
Slide 24: Today's Presenters
Today’s Presenters Mr. Aziz Aluthman Fakhroo Sheikh Mohammed Al Thani Mr. Abdulla Ahmed Al-Zaman Managing Director Deputy Group CEO and Chief Executive Officer of Ooredoo Group CFO Ooredoo Group Ooredoo Qatar Ooredoo Group • Mr. Abdulla Ahmed Al-Zaman was appointed as Chief • Mr. Aziz Aluthman Fakhr
Slide 25: Today's Presenters
Today’s Presenters Sara Al Sayed Andreas Goldau, CFA Ajay Bahri Specialist, Investor Relations Senior Director, Investor Relations Advisor to the Managing Director of the Ooredoo Group Ooredoo Group Ooredoo Group • Sara joined Ooredoo in 2013 and is currently working in • Andreas joined Ooredoo in 2
Slide 26: Additional Information: Key Operations Importance to Group
Overview Results review Operations review Additional information Additional Information Key Operations Importance to Group Revenue (QARm) EBITDA (QARm) 3,049 3,173 3,023 3,213 7,683 7,192 7,295 7,197 Q1-18 Q1-19 Q1-20 Q1-21 % delta Q1-18 Q1-19 Q1-20 Q1-21 % delta Qatar 955 1,037 966 962 0% Qatar 1,9
Slide 27: Group Operations Breakdown: CAPEX & Customers
Group Operations Breakdown Overview Results review Operations review Additional information CAPEX & Customers CAPEX Breakdown (%) Customer Breakdown (%) Others, 1% Others, 2% Myanmar, 11% Qatar , 3% Myanmar, 2% Qatar , 9% Tunisia, 6% Algeria, 5% Tunisia, 6% Kuwait, 11% Algeria, 11% Indonesia, Kuwait
Slide 28: Loans and Borrowings Breakdown
Group Operations Breakdown Overview Results review Operations review Additional information Loans and Borrowings Breakdown Total Group Debt (QARm) Total Group Debt Breakdown Long Term Short Term Others , 40,034 5% 35,083 7,795 29,869 Indonesia , 9,263 3,371 26,170 15% 1,993 32,239 25,820 26,497 24,1
Slide 29: Debt Profile – Ooredoo Q.P.S.C. level
Group Results Overview Results review Operations review Additional information Debt Profile – Ooredoo Q.P.S.C. level (USD m) 680 Undrawn RCF 75 220 Undrawn RCF 20 0 1,005 1,000 20 100 750 500 500 500 390 20 20 70 2021 2022 2023 2024 2025 2026 2027 2028 2029 2043 Issue Loans (in USD m) Amount Usage R
Slide 30: Blended ARPU
Blended ARPU Overview Results review Operations review Additional information Qatar (QAR) Iraq (QAR) Oman (QAR) Maldives (QAR) Palestine (QAR) 113 54.7 54.5 23.0 22.9 23.3 107 105 21.6 102 101 50.5 50.8 50.4 20.9 90 29.2 45.1 59.9 59.1 60.5 62.6 19.3 56.2 59.0 23.2 23.7 22.3 19.0 17.8 Indonesia (QAR
Slide 31: Dividend policy
Dividend policy Overview Results review Operations review Additional information • The Ooredoo Board has approved a sustainable and progressive dividend policy for the company, aiming for a dividend payout in the range of 40% to 60% of normalized earnings | | 31
Slide 32: Service Revenue
Service Revenue Overview Results review Operations review Additional information Service revenue -2% 6,990 6,828 Q1-20 Q1-21 32
Slide 33: Statutory Corporate Tax Rates
Statutory Corporate Tax Rates Overview Results review Operations review Additional information Statutory Statutory Losses LossesC/Fwd C/Fwd Markets Markets Notes Tax TaxRate Rate Allowed Allowed Algeria 26% 4 years The Tax Rate is 22% for tax years 2020 and 2021, 20% for tax year 2022 onwards Indone
Slide 34: OPCOs Licence General Information
OPCOs Licence General Information Overview Results review Operations review Additional information Fixed Licence Mobile Licence Country Issuance Date Expiry Date Issuance Date Expiry Date Qatar 7 October 2007 6 October 2032 7 October 2007 6 October 2027 13 October 1997 Kuwait -- -- Indefinite Emiri
Slide 35: Thank You
Thank You