Kuwait Telecommunications Co. · KSE:STC
Kuwait Telecommunications — Kuwait Telecommunications Company K.S.C.P (VIVA) — Q1 2017 Earnings Presentation
18 slides from Kuwait Telecommunications's earnings presentation, May 2017
Slide 1: Investors Presentation
Investors Presentation Kuwait Telecommunications Company K.S.C.P
Slide 2: Table of content
Table of content VIVA’s History in Brief 3 Key Milestones 4 Vision and Values 5 Shareholders' Structure 6 Population & Penetration 7 Competitive Strengths 8 Market Share 9 Financial Results 10 Financial Highlights 11 Stock Performance 13 Appendix – Balance Sheet & Income Statement 14 21
Slide 3: VIVA's History in Brief
VIVA’s History in Brief 2007 Jun 2008 Sep 2008 Dec 2008 Dec 2014 Jun 2015 VIVA’s Stock under KSE15 Index VIVA Stock was listed on Kuwait Stock Exchange Commercial Launch of VIVA Operations in Kuwait Public placement of VIVA shares which was 2.4x oversubscribed. distributed among c. 1 million Kuwaiti
Slide 4: Key Milestones
Key Milestones 2008 2010 2012 2014 2016 Best Telecom Company by Arabian Business. Launches commercially Expand retail network and VIVA launches Elite Strategic partnership with under the brand name VIVA launch joint promotions Program for loyal, VIP and Real Madrid. VIVA Becomes a Member of Inter’l
Slide 5: Vision and Values
Vision and Values Our vision is to provide unique services and products that satisfy the aspirations of our clients and accommodate their needs, which in turn will earn us their trust. This is through presenting our customers with numerous telecommunications opportunities with the goal of boosting o
Slide 6: Shareholders' Structure
Shareholders' Structure Saudi Telecom 52% Kuwaiti Government 24% Public Shareholders 24% STC, the leading regional telecom The Kuwaiti government holds 24% Public Share holders consists of operator, won the bid for third mobile of VIVA through different companies, portfolios, funds and license
Slide 7: Population & Penetration
Population & Penetration Kuwait population since 2010 is growing at the same level of 2.8% yearly and the growth is forecasted by IMF at 2.8% over the next 5 years compared to almost 1% for the global population growth. This growth coupled with rising income levels will propel growth in consumer spe
Slide 8: Competitive Strengths
Competitive Strengths STC (the largest telecom company in the region) will continue to be a major shareholder and VIVA will continue to benefit from being a member of the STC group. Through this relationship, VIVA has access to technical support, industry best practice for provision of telecom servi
Slide 9: Market Share
Market Share Total Subscriber Base in Kuwait (Mn) Subscriber Market Share – Mar 2017 10 Total Subscirbers in kuwait (Mn) VIVA Subscribers (Mn) 7.6 7.7 7.7 7.4 6.41 31% 31% 5.9 5.2 5 4.5 0.8 1.1 1.6 2.2 2.4 2.5 2.4 2.3 0 2010 2011 2012 2013 2014 2015 2016 March 2017 38% Telecom Sector Revenues in Kuw
Slide 10: Financial Results
Financial Results VIVA’s achieved a revenue of KWD Key Figures & Ratios Q1 - 2016 Q1 - 2017 Change 66.9 million in Q1 2017 which resulted Subscribers (Mn) 2.4 2.3 -6% a net profit of KWD 10 million (earnings per share of 20 fils) Revenue (KD Mn) 70.5 66.9 -5% compared to net profit of KWD 9.8 Operat
Slide 11: Financial Highlights
Financial Highlights Revenue (KD Million) Net Profit (KD Million) 300 277 279 50 43 239 40 40 40 200 30 20 100 70 67 10 10 10 0 0 2014 2015 2016 Q1-2016 Q1-2017 2014 2015 2016 Q1-2016 Q1-2017 Operating Profit (KD Million) CAPEX (KD Million) Operating Profit (KWD Million) Operating Profit Margin (%)
Slide 12: Financial Highlights
Financial Highlights Total Assets (KD Million) Total Debt / Equity (KD Million) 300 282 Total Debt (KWD Million) Debt to Equity Ratio (x) 263 267 100 6.9 86 8.00 250 214 7.00 80 72 200 179 66 6.00 60 5.00 150 47 42 4.00 100 40 1.7 3.00 20 0.8 2.00 50 0.4 0.3 1.00 0 0 - 2013 2014 2015 2016 Mar-2017 2
Slide 13: Stock Performance
Stock Performance Closing Price (KD) 0.840 PE (X) 10.5 Market Cap (KD Million) 420 PB (X) 3.1 Data as of 02 May 2017 Rebased Index Since VIVA’s Listing Date 14 Dec 2014 – Stock Performance vs. KSE and Telecom weighted Indices VIVA's Stock Price (KWD) KSE Weighted Index Telecom Weighted Index 180 160
Slide 14: Appendix
Appendix Balance Sheet (2014-March 2017) Income Statement (2014-March 2017) 14 12
Slide 15: Balance Sheet (2014–March 2017)
Balance Sheet (2014–March 2017) 2014 2015 2016 March 2017 Balance Sheet KD Mn KD Mn KD Mn KD Mn ASSETS Property and equipment 113.1 125.4 137.7 138.7 Intangible assets 36.3 50.6 47.5 45.9 Other non-current assets 0.7 - - - Non-current assets 150.1 175.9 185.2 184.7 Inventories 5.8 7.1 4.4 9.7 Prepay
Slide 16: Income Statement (2014–March 2017)
Income Statement (2014–March 2017) 2014 2015 2016 Q1-2016 Q1-2017 Income Statement KD Mn KD Mn KD Mn KD Mn KD Mn Revenue 239.0 276.9 279.1 70.5 66.9 Operating expenses (126.3) (145.8) (147.0) (37.2) (35.1) Depreciation and amortization (67.6) (82.2) (88.4) (22.8) (21.0) Finance costs (2.2) (2.6) (1.
Slide 17: VIVA IR
VIVA IR Awarded best IR Corporate in Kuwait for the year 2016 Proud to Serve our Investors and the Investment Community. First company in Kuwait to launch a mobile application for investor relations During December 2016. Revamped Investor Relations website to keep the investment community up
Slide 18: Thank you
Thank you Investor Relations Department: E-mail: Investor.relations@viva.com.kw Tel : +965 5000 1911 www.viva.com.kw
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