Kuwait Telecommunications Co. · KSE:STC
Kuwait Telecommunications — Kuwait Telecommunications Company K.S.C.P (VIVA) — 9M 2018 Earnings Presentation
18 slides from Kuwait Telecommunications's earnings presentation, 2018
Slide 1: Investors Presentation 9M-2018
Investors Presentation Kuwait Telecommunications Company K.S.C.P 9M- 2018 1 Investor Relations
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 11 Financial Highlights 13 Stock Performance 14 Appendix – Balance Sheet & Income Statement 15 2 Investor Rela
Slide 3: VIVA's History in Brief
VIVA’s History in Brief 2007 Jun 2008 Sep 2008 Dec 2008 Dec 2014 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 shareholders The incorporation contract
Slide 4: Key Milestones
Key Milestones 2008 2010 2012 2014 2016 2018 Partnership with Real Launches commercially VIVA launches Elite Program for Best Network Development Expand retail Madrid. Best Telecom Company by loyal, VIP and high value Award at 5G MENA network and launch Arabian Business. VIVA abolishes
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) 10 Total Subscirbers in kuwait (Mn) VIVA Subscribers (Mn) 7.6 7.7 7.7 7.2 7.2 7.5 6.41 5.9 5.2 5 4.5 2.5 0.8 1.1 1.6 2.2 2.4 2.5 2.4 2.2 2.2 0 2010 2011 2012 2013 2014 2015 2016 2017 Sep-18 Telecom Sector Revenues in Kuwait (KWD Mn) Total Telecom Rev
Slide 10: Market Share vs. peer group
Market Share vs. peer group Subscriber Market Share – Sep 2018 Revenue Market Share – 9M 2018 VIVA 31% VIVA Ooredoo Ooredoo 33% 32% 28% Zain Zain 37% 39% EBITDA Market Share – 9M 2018 Net Profit Market Share – 9M 2018 Ooredoo* 3% VIVA Ooredoo 32% 21% VIVA 37% Zain 60% Zain 47% 10 Investor Relations
Slide 11: Financial Results
Financial Results In 2018, the company has applied 9M-2017 (Restated) Key Figures & Ratios 9M-2018 Change IFRS 15 ‘Revenue from Contracts with Customers “and IFRS 9 “Financial Subscribers (Mn) 2.20 2.20 0.1% Instruments” which are effective from Revenue (KD Mn) 209.3 214.8 2.6% 1st January 2018 an
Slide 12: Financial Highlights
Financial Highlights Revenue (KD Million) EBITDA (KD Million) 400 EBITDA (KWD Million) EBITDA Margin (%) 277 279 288 150.0 300 50% 47% 47% 47% 239 45% 209 215 40% 100.0 112.6 35% 200 30% 27% 25% 23% 25% 131.0 131.9 50.0 20% 100 15% 71.1 57.6 48.5 10% 5% 0 0.0 0% 2014 2015 2016 2017 9M- 2017 9M-2018
Slide 13: Financial Highlights
Financial Highlights Total Assets (KD Million) Total Debt / Equity (KD Million) Total Debt (KWD Million) Debt to Equity Ratio (x) 300 273 284 263 267 100 6.9 86 8.00 250 214 7.00 72 179 75 66 6.00 200 5.00 150 47 50 4.00 100 1.7 3.00 25 0.8 2.00 50 0.4 9 0.1 0 1.00 0 0 0.0 - 2013 2014 2015 2016 2017
Slide 14: Stock Performance
Stock Performance Closing Price (KD) 0.715 PE (X) 6.94 Paid up Capital (KD Million) 49.9 PB (X) 1.99 Market Cap (KD Million) 357 Dividend Yield (%) 4.2% Data as of 30 September 2018 Rebased Index Since VIVA’s Listing Date 14 Dec 2014 – Stock Performance vs. KSE and Telecom weighted Indices VIVA's St
Slide 15: Appendix
Appendix Balance Sheet (2014 – September 2018) Income Statement (2014 – 9M 2018) 15 Investor Relations
Slide 16: Balance Sheet (2014 – September 2018)
Balance Sheet (2014 – September 2018) 2014 2015 2016 *2017 (restated) *Sep 2018 Balance Sheet KD Mn KD Mn KD Mn KD Mn ASSETS Property and equipment 113.1 125.4 137.7 145.0 149.4 Intangible assets 36.3 50.6 47.5 - - Other non-current assets 0.7 - - - - Non-current assets 150.1 175.9 185.2 145.0 149.4
Slide 17: Income Statement (2014–H1 2018)
Income Statement (2014–H1 2018) *2017 *9M-2017 Income Statement 2014 2015 2016 (Restated) (Restated) *9M-2018 KD Mn KD Mn KD Mn KD Mn KD Mn KD Mn Revenue 239.0 276.9 279.1 287.7 209.3 214.7 Operating expenses (126.3) (145.8) (147.0) (216.4) (160.9) (157.1) Depreciation and amortization (67.6) (82.2)
Slide 18: Thank you
Thank you Investor Relations Department: E-mail: Investor.relations@viva.com.kw Tel : +965 5000 1911 www.viva.com.kw 18 Investor Relations
Kuwait Telecommunications Company K.S.C.P (VIVA) — 9M 2018 Earnings Presentation on 6ix