Emirates Integrated Telecommunications Company Pjsc · DFM:DU
Emirates Integrated Telecommunications Company Pjsc — Q2 2024 Earnings Presentation
24 slides from Emirates Integrated Telecommunications Company Pjsc's earnings presentation, Jul 23, 2024
Slide 1: EITC Q2 2024 results
EITC Q2 2024 results Analyst call July 23, 2024 Fahad Al Hassawi, CEO Kais Ben Hamida, CFO
Slide 2: Disclaimer
Disclaimer This document has been prepared by Emirates Integrated Telecommunications Company PJSC (the “Company”) solely for presentation purposes. The information contained in this document has not been independently verified and no representation or warranty, expressed or implied, is made as to, a
Slide 3: Company highlights
Company highlights Q2 2024 Fahad Al Hassawi, CEO
Slide 4: Q2'24 key takeaways
Q2’24 key takeaways Strong operational and financial performance and confidence in the outlook Strong revenues growth Strategic partnership in ICT in both our core business Contributing to the diversification and beyond of our revenue stream Robust profitability Guidance revised up driven by our foc
Slide 5: Q2'24 highlights
Q2’24 highlights Operational and financial momentum Fixed subscriber base growth 12.7% Commercial momentum Strong cash generation Mobile subscriber base and supportive environment Moderating Capex Revenues growth With growth in both service and “other revenues” EBITDA margin Topline growth and effic
Slide 6: Q2'24 environment and business highlights
Q2’24 environment and business highlights Supportive economic context and important milestones reached Key messages Resilient UAE New hyperscale New innovative du brand: economy cloud and AI offer offerings a strong asset PMI in expansionary Deployment of Oracle UAE pass integration for e- du brand
Slide 7: Financial highlights
Financial highlights Q2 2024 Kais Ben Hamida, CFO
Slide 8: Q2'24 financial highlights
Q2’24 financial highlights Strong and profitable growth Revenues driven by strong growth in mobile Revenues (AED million) Revenues breakdown (AED million) and “other revenues” +7.3% +7.3% Other 885 998 +12.7% Service revenues growth primarily driven by robust growth in subscriber base and mix 3,592
Slide 9: Q2'24 financial highlights
Q2’24 financial highlights Strong cash generation and healthy balance sheet Capex slightly down y-o-y reflecting spending Capex (AED million) and capital Operating Free Cash Flow (1) intensity (%) (AED million) normalisation +10.9% Operating cash flow reflects EBITDA and Capex evolution 504 1,016 1,
Slide 10: Segment highlights
Segment highlights Q2 2024 Kais Ben Hamida, CFO
Slide 11: Mobile segment
Mobile segment Growing subscriber base and favourable mix Total subscriber base up 2.9% to 8.2 million Mobile subscriber base (thousand) subscribers +2.9% 8,554 8,662 8,245 8,012 8,097 Postpaid customer base 11.3% y-o-y growth to 1.7 million subscribers driven by innovative 6,918 6,979 6,471 6,524 6
Slide 12: Fixed segment
Fixed segment Sustained success of our offers Subscriber base up 12.7% with strong net- Fixed subscriber base (thousand) additions over the quarter +12.7% Revenues up 3.5% mainly driven by home wireless and enterprise broadband 573 604 616 630 559 Launch of Home Wireless Gaming unlimited gaming offe
Slide 13: Other revenues
Other revenues Growing our “beyond the core” activities Strong growth y-o-y driven by ICT and Other revenues (million) interconnect business +12.7% Growth driven by higher customer base and non-recurring revenues in ICT The first full quarter of du Pay has exceeded our expectations 1,029 1,018 998 8
Slide 14: Priorities and Guidance
Priorities and Guidance Q2 2024 Fahad Al Hassawi, CEO
Slide 15: 2024 priorities and guidance
2024 priorities and guidance Confidence in momentum and the execution of our strategy 2024 priorities 2024 guidance Generate profitable growth in core and non-core Continue managing the business efficiently to improve margins Push further the digitalisation through reinforcing our digital-first appr
Slide 16: Q&A
Q&A 16
Slide 17: Appendix
Appendix 17
Slide 18: Operational KPIs
Appendix Operational KPIs 2023 2023 2023 2023 2024 2024 Q2 Q3 Q4 FY Q1 Q2 Mobile customers (thousand) 8,012 8,098 8,554 8,554 8,662 8,245 of which prepaid 6,471 6,524 6,918 6,918 6,979 6,530 of which postpaid 1,541 1,573 1,636 1,636 1,683 1,715 Mobile customers net-adds (thousand) -182 86 456 658 10
Slide 19: P&L
Appendix P&L AED million 2024 2023 Change 2024 2023 Change Q2 Q2 % H1 H1 % Revenues 3,592 3,347 7.3% 7,174 6,787 5.7% Cost of sales (1,229) (1,061) 15.8% (2,455) (2,351) 4.5% Operational expenses (794) (765) 3.7% (1,561) (1,550) 0.7% EBITDA 1,570 1,520 3.2% 3,157 2,886 9.4% EBITDA margin 43.7% 45.4%
Slide 20: Balance Sheet
Appendix Balance Sheet AED million 2024 2023 AED million 2024 2023 Jun Dec Jun Dec Non-current assets Current assets Property, plant and equipment 9,603 9,723 Deferred fees 155 0 Right-of-use assets 1,504 1,597 Inventories 183 102 Intangible assets and goodwill 1,167 1,111 Lease receivable 19 18 Tra
Slide 21: Balance Sheet
Appendix Balance Sheet AED million 2024 2023 AED million 2024 2023 Jun Dec Jun Dec Equity Current liabilities Share capital 4,533 4,533 Trade and other payables 3,018 5,247 Federal royalty on profit and Share premium 232 232 915 - corporate income tax Other reserves 2,251 2,251 Lease liabilities 546
Slide 22: Cash flow statement Q2
Appendix Cash flow statement AED million 2024 2023 AED million 2024 2023 Q2 Q2 Q2 Q2 Net profit 581 397 Dividend paid (952) (589) Adjustment for non-cash items 1,074 711 Repayment of lease liabilities (141) (46) Change in working capital (148) 202 Interest paid on lease liabilities (16) (27) Cash ge
Slide 23: Cash flow statement H1
Appendix Cash flow statement AED million 2024 2023 AED million 2024 2023 H1 H1 H1 H1 Net profit 1,184 768 Dividend paid (952) (589) Adjustment for non-cash items 2,134 1,313 Repayment of lease liabilities (309) (128) Change in working capital (476) 266 Interest paid on lease liabilities (32) (45) Ca
Slide 24: Thank you
Thank you Contact: Upcoming events: investor.relations@du.ae Meet us at the EFG Hermes 10th Annual +971 55 953 0307 Conference in London on Sept 11th and 12th
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