Digi Communications Nv · BVB:DIGI

Digi Communications Nv — Cable Communications Systems (CCS) — Q3 2015 Earnings Presentation

21 slides from Digi Communications Nv's earnings presentation, Dec 10, 2015

  1. Slide 1: Investor presentation for the three months ended September 30, 2015

    Investor presentation for the three months ended September 30, 2015 Cable Communications Systems (CCS) Parent Company of December 10, 2015

  2. Slide 2: Disclaimer

    p. 2 Disclaimer By attending the meeting where this presentation is made, or by reading the presentation slides, you agree to be bound by the following limitations: The information in this document has been prepared by Cable Communications Systems (“CCS" or the "Company") and solely for use during t

  3. Slide 3: Group overview

    p. 3 Group overview Romania Hungary Others Total 3 months 9 months 3 months 9 months 3 months 9 months 3 months 9 months ended Sept ended Sept ended Sept ended Sept ended Sept ended Sept ended Sept ended Sept 30, 2015 30, 2015 30, 2015 30, 2015 30, 2015 30, 2015 30, 2015 30, 2015 Revenues² €142 m €4

  4. Slide 4: Recent Developments

    p. 4 Recent Developments Business  July 2015: we signed a contract with 2K Telecom to purchase 30 Mhz in 4G spectrum (in the 2600 Mhz bandwidth). At the end of October 2015 we have participated in auction and acquired from ANCOM 10 unpaired blocks of 5 MHz in the 3700-3750 MHz bandwidth. These lice

  5. Slide 5: Recent Developments

    p. 5 Recent Developments  May 29, 2015: we completed the acquisition of three radio stations in Romania.  Second quarter of 2015: we acquired the exclusive rights for the Seria A and Ligue 1 competitions for Romania and Hungary territories for three seasons starting with the 2015/2016 season. In J

  6. Slide 6: Financial highlights

    p. 6 Financial highlights  Revenues increased Q3 2015 compared with Q3 Results from continuing operations* 2014 mainly in Romania and Spain.  Revenues in Romania increased by EUR 19 million mainly as a result of: Revenues & other income 194 – Increase in mobile telephony RGUs, ARPU 200 Adj. EBITDA

  7. Slide 7: Highlights Romania – Revenue and Adj EBITDA

    p. 7 Highlights Romania – Revenue and Adj EBITDA Results of Operations1 For the three months For the nine months Results of Operations ended September 30, % change ended September 30, % change 2014 2015 2014 2015 (euro in millions) (euro in millions) Revenues 122.9 141.9 15.5% 344.3 401.7 16.7% Adju

  8. Slide 8: Highlights Romania - KPIs

    p. 8 Highlights Romania - KPIs Subscribers Thousand RGU’s Steady growth in Cable TV and Internet subscribers ARPU (EUR) - residential clients and low variations in ARPUs  Increase in mobile telephony RGUs and ARPU as a result of sale of our new postpaid mobile packages with higher subscription fee

  9. Slide 9: Highlights Hungary – Revenue and EBITDA

    p. 9 Highlights Hungary – Revenue and EBITDA Results of Operations  Increase in revenue and improved For the three months % For the nine months % EBITDA in Q3 2015 driven by Results of Operations ended September 30, change ended September 30, change increase in revenues (increase in 2014 2015 2014

  10. Slide 10: Highlights Hungary - KPIs

    p. 10 Highlights Hungary - KPIs Subscribers RGUs Period Ended Subscribers (Thousand RGUs) September 30, Net Additions Last 12 Last 3 2014 2015 months months Cable TV 405 427 22 7 Fixed internet and data 339 370 31 9 Fixed-line telephony 296 319 23 7 Mobile internet and data 20 17 (3) (1) DTH 339 329

  11. Slide 11: Highlights Other Territories

    p. 11 Highlights Other Territories For the three months % For the nine months % ended September 30, change ended September 30, change 2014 2015 2014 2015 (euro in millions) (euro in millions) Revenues Spain1 14.1 19.2 35.8% 39.4 53.8 36.5% Italy 1.3 1.9 69.0% 3.7 5.5 50.4% Czech Republic2 3.3 0.0 -1

  12. Slide 12: Group Financial Profile

    p. 12 Group Financial Profile Maturity profile Term Loan & Notes Financial liabilities as of September 30, 2015 as of September 30, 2015 (EUR millions) Amount Facility (EUR millions) 500.0 472.5 Senior Secured Notes (Bond) 450.0 Loan Bond Term loan (5y) 234.1 400.0 Financial leases 6.6 Other short t

  13. Slide 13: Group Financial Profile (continued)

    p. 13 Group Financial Profile (continued) Gross / Net Debt (EUR millions) 800 729 702 668 54 49  Total net debt as of September 30, 2015 is 50 600 EUR652.7 million Net Leverage is 2.8x and Gross Leverage is 400 675 653 3.0x. 617 200 - 2013 2014 Q3 2015 Net Debt Cash Leverage 3.5x 3.2x 3.0x 3.0x 2.

  14. Slide 14: Financial Calendar

    p. 14 Financial Calendar  You can find us on:  Web: investors.rcs-rds.ro  Email: investor.relations@rcs-rds.ro  Agenda Report Call FY 2015 Results 15-Apr-16 Thursday 21-Apr-16 Q1 2016 Results 3-Jun-16 Thursday 9-Jun-16 Q2 2016 Results 26-Aug-16 Thursday 1-Sep-16 CCS / RCS & RDS

  15. Slide 15: Q&A Session

    p. 15 Q&A Session CCS / RCS & RDS

  16. Slide 16: Appendices

    p. 16 Appendices CCS / RCS & RDS

  17. Slide 17: Revenue streams

    p. 17 Revenue streams Q3 2015 revenue split by product Q3 2015 revenue split by country Other revenues Italy 14% Other (Czech 1% republic & Other)(1) Hungary 0% Cable TV 27% 16% Spain DTH 10% 9% Mobile internet and data 6% Fixed internet Mobile and data telephony 24% 16% Fixed-line telephony Romania

  18. Slide 18: Group Results (P&L)

    p. 18 Group Results (P&L) For the three months ended For the nine months ended September 30, % change September 30, % change 2014 2015 2014 2015 (euro in millions) (euro in millions) Revenues Romania 122.4 141.5 15.6% 342.4 400.4 16.9% Hungary 29.1 31.3 7.6% 88.6 93.7 5.8% Spain 13.9 18.9 36.4% 38.8

  19. Slide 19: Cash Flow

    p. 19 Cash Flow Summary Cash Flow Three months ended Nine months ended September 30, September 30, 2014 2015 2014 2015 (euro in millions) (euro in millions) Cash flows from operations before working capital changes 55.1 62.4 175.7 173.6 Cash flows from changes in working capital (0.3) (7.6) (18.9) 1

  20. Slide 20: FOREX development

    p. 20 FOREX development RON/EUR Exchange Rate 2013 – Q3 2015 HUF/EUR Exchange Rate 2013 – Q3 2015 4.70 320 4.60 310 312 312 4.50 308 308 309 300 306 306 4.50 4.40 4.44 4.45 4.45 4.44 298 298 4.43 4.41 4.43 4.43 297 296 290 4.39 4.40 4.30 280 4.20 4.10 270 4.00 260 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q1

  21. Slide 21: Summary corporate and financing structure

    p. 21 Summary corporate and financing structure RCS Management, S.A. (Romania) 63% Cable Communication New Senior Systems N.V.² Secured Notes (The Netherlands) €450m 96%¹ Proceeds loan RON1,034M Senior RCS & RDS S.A.² Facilities Agreement (Romania) 100% 100% 100% DIGI T.S. Kft DIGI Spain DIGI Teleco

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