Advanced Info Service Public Co., Ltd. · SET:ADVANC
Advanced Info Service Public — Q1 2024 Earnings Presentation
29 slides from Advanced Info Service Public's earnings presentation, May 17, 2024
Slide 1: 1Q24 Roadshow Presentation
1Q24 ROADSHOW PRESENTATION Advanced Info Service Plc. DISCLAIMER: Please be informed that this meeting is being recorded. By participating in this meeting, you have allowed AIS to collect, use, or disclose any personal data shared during this meeting by any means. Please do not copy, edit, or modify
Slide 2: 1Q24 Performance Overview
AIS 1Q24 PERFORMANCE OVERVIEW
Slide 3: 1Q24 Growth benefit from value-based strategy and business expansion
1Q24 Growth benefit from value-based strategy and business expansion Tourists and government Core businesses Solid performance subsidies boosted Thai continued its growth from profitability focus economy amid structural supported by TTTBB to deliver quality and challenges consolidation efficient ope
Slide 4: 1Q24 driven by efficiency and value-focus
1Q24 driven by efficiency and value-focus Core Service Revenue (THB Bn) EBITDA (THB Bn) Net Profit (THB Bn) 39.4 27.8 8.5 33.5 22.6 6.8 1Q23 1Q24 1Q23 1Q24 1Q23 1Q24 +13-15% +14-16% 25% Deliver profit +18% YoY +23% YoY Guidance Guidance YoY growth Average EBITDA Margin Net Debt to EBITDA* FCF Yield
Slide 5: 1Q24: Quality revenue base expansion led to strong profit delivery
1Q24: Quality revenue base expansion led to strong profit delivery Core service revenue (Bt mn) EBITDA (Bt mn) NPAT (Bt mn) (%YoY) 3.7% 163% 27% 18% (%YoY) 14% 6.1% 4.3% 23% (%YoY) 23% 16% 54% 25% Core service revenue (Bt bn) EBITDA (Bt bn) NPAT (Bt mn) 18% YoY 23% YoY 25% YoY 39.4 6.4% QoQ 27.8 16%
Slide 6: AIS: Towards becoming Cognitive Tech-Co
AIS: Towards becoming Cognitive Tech-Co Unleash Excellence in Digital Customer Experience Enterprise Mobile Fixed Broadband Digital Services non-mobile Business 77% 18% 4.1% to core service to core service to core service revenue revenue revenue AIS 5G Cloud Game service Offering higher value Focusi
Slide 7: Mobile: ARPU revival continued from value uplift and tourists
Mobile: ARPU revival continued from value uplift and tourists Mobile revenue (Bt bn) Total subscriber (mn) Mobile ARPU (Bt/sub/month) 3.7% YoY 0.9% QoQ 449 448 446 449 448 46.1 45.3 44.4 44.6 45.0 30.1 30.3 224 6.5% YoY 33.5 32.6 32.3 210 213 216 223 29.5 31.8 31.9 0.2% QoQ 29.3 29.3 Blended 120 123
Slide 8: Maintaining superior network quality with 9.9 mn of 5G subscriber
Maintaining superior network quality with 9.9 mn of 5G subscriber 5G network coverage Driving 5G adoption with quality >99% 9.9 mn BKK 5G Subscribers In 1Q24 77 >96% provinces EEC 10-15% Over 90% 5G ARPU uplift Improved value through 5G Nationwide Population adoption coverage 8
Slide 9: Home Broadband: Solid expansion boosted by TTTBB consolidation
Home Broadband: Solid expansion boosted by TTTBB consolidation Revenue scaled up from sub growth and TTTBB contribution Subscriber expansion continued with widened footprint 163% 4.74 4.82 94% 2.27 2.33 2.38 11% 15% 19% 7,118 2.36mn* 5,033 2,710 2,857 3,021 99k 61k 52k 73k 1Q23 2Q23 3Q23 4Q23 1Q24 1
Slide 10: Driving Synergies through optimization and efficiency
Driving Synergies through optimization and efficiency GROSS SYNERGY vs. BASE LINE FY22 2024 SYNERGY REALIZATION Total Integration Cost (OPEX & CAPEX) Bt 500-700 mn within FY25 CAPEX Bt 1 – 2 bn p.a. End-23 1Q24 End-24 Mid 2025 OPEX Bt 400 - 800 mn p.a. Revenue Gross synergy: Bt 750mn Bt 150-300 mn p
Slide 11: Enterprise non-mobile: Solid demand for connectivity
Enterprise non-mobile: Solid demand for connectivity Growth momentum from demand and TTTBB contribution Enterprise key strategic products 20% 12% 20% Core Connectivity Service 7.1% 2.2% 1,520 1,602 1,602 1,330 1,339 Airtime FBB, Link EDS Cloud, Datacenter 1Q23 2Q23 3Q23 4Q23 1Q24 Platform and Soluti
Slide 12: FY24 Guidance: positive outlook with organic and inorganic base
FY24 Guidance: positive outlook with organic and inorganic base Guidance Rationale • Inorganic growth from TTTBB acquisition • Organic performance driven by value focus offerings and stabilized competition outlook • Mobile: sustain network quality, personalization and uplift value Core service Aroun
Slide 13: Strategic Direction
AIS STRATEGIC DIRECTION
Slide 14: Ecosystem Economy
People & Sustainability ECOSYSTEM Digital Infrastructure Cross Industry ECONOMY Collaboration 14
Slide 15: Towards Cognitive Tech-Co
TOWARDS COGNITIVE TECH-CO 15
Slide 16: Our Growth Strategy 2024
OUR GROWTH STRATEGY 2024 Core Strengths, New Digital Services, and New Capabilities MORE VALUE SEGMENT FOCUS NEW SERVICES ENHANCED EXPERIENCE & EFFICIENCY • 5G Upgrades • High Value Customer • Smart home • myAIS channel • Upsell/Cross-sell • Family • Cloud & Data Center • Cost Efficiency • FMC • SME
Slide 17: Driving Long-term Sustainable Business Operation
Driving Long-term Sustainable Business Operation 22
Slide 18: Thriving in a Greener and Inclusive Digital World
THRIVING IN A GREENER AND INCLUSIVE DIGITAL WORLD Drive Digital Economy Promote Digital Inclusion Act on Climate Enable people and businesses to grow Build inclusive and responsible digital Shape a greener future of life for in the digital economy access in our products & services consumers and soci
Slide 19: Sustainability Highlight
Sustainability Highlight Build Cyber-Savvy citizens by “Aunjai Cyber” e-learning collaboration with MHDHS Equip MHDHS’ staff with essential digital skills and cybersecurity knowledge Share knowledge on Personal Data Protection Act (PDPA) for online staff Expand Aunjai Cyber Syllbus Practice to the T
Slide 20: Drive Digital Economy: Enable people and businesses to grow in the digital economy
1 Drive Digital Economy: Enable people and businesses to grow in the digital economy Digital innovation Data Privacy & Cybersecurity Human Capital Development Drive digital services for both Maintain resiliency for data security Nurture AIS human capital to support consumers & enterprises and privac
Slide 21: Promote Digital Inclusion: Build inclusive and responsible digital access
2 Promote Digital Inclusion: Build inclusive and responsible digital access Digital wellness Social inclusion Empower digital citizenship by providing Enriching Thai people’s knowledge of digital solutions and tools total 2.57 million people in 2023 in total 0.51 million people Hotline Teachers & Ge
Slide 22: Act on climate: Shape a greener future of life for consumers and society
3 Act on climate: Shape a greener future of life for consumers and society Climate actions Waste Management Manage our own network, operation and supply chain Promote proper waste disposal to be light to the environment Energy Renewable Smart Efficiency energy Solutions 13,951 16,376 tCO2e tCO2e Was
Slide 23: An affirmation of our determination towards sustainable business
J 5) An affirmation of our determination towards sustainable business Global Level MSCI 1) SG RATINGS In 2028, AIS received a rating of AA in the MSC! ESG Ratings Assessment Bow Jones Sustainability Indices Dow Jones Sustainabiity Indices 2023, member of DJS! World Top 5% In 2023,AIS received an ESG
Slide 24: Appendix
Appendix 29
Slide 25: Financial Highlights
Financial Highlights Bt mn 1Q23 4Q23 1Q24 %YoY %QoQ Mobile revenue 29,258 30,065 30,339 3.7% 0.9% FBB revenue 2,710 5,033 7,118 163% 41% Other revenues 1,564 1,957 1,980 27% 1.2% Core service revenue 33,531 37,055 39,437 18% 6.4% IC and NT partnership 3,255 3,371 3,366 3.4% -0.1% Service revenue 36,
Slide 26: 1Q24 Revenue Breakdown
1Q24 Revenue Breakdown Mobile Revenue Fixed Broadband Revenue Enterprise and Other Revenues (Bt bn) (Bt bn) (Bt (Bt bn) bn) 30.3 7.1 163% YoY 27% YoY 30.1 3.7% YoY 2.0 2.0 0.9% QoQ 5.0 41% QoQ 1.6 1.2% QoQ 29.3 2.7 1Q23 4Q23 1Q24 1Q23 4Q23 1Q24 1Q23 4Q23 1Q24 • ARPU uplift through value-based packag
Slide 27: 1Q24 Cost and Expense Breakdown
1Q24 Cost and Expense Breakdown Regulatory Depreciation & Amortization Network OPEX and NT partnership (Bt bn) (Bt bn) 14.8 (Bt bn) 5.9 1.6 13% YoY 16% YoY 5.6 12% YoY 1.5 13.3 5.3 4.8% QoQ 12.8 11% QoQ 6.0% QoQ 1.4 1Q23 4Q23 1Q24 1Q23 4Q23 1Q24 1Q23 4Q23 1Q24 • Stayed at 4% of core service revenue
Slide 28: Healthy balance sheet and cash flow to support investment
Healthy balance sheet and cash flow to support investment Balance Sheet 3M24 Cash Flow (Bt bn) (Bt bn) Cash increase Cash decrease Operating Investing Financing Net cash others A/P spectrum license 30.5 right of use payable 8.5 58 38 0.2 63 99 -0.6 -7.1 -1.8 -1.6 -4.5 -6.8 Assets Liabilities 120 spe
Slide 29: Investor relations contact
IR website: https://investor.ais.co.th Email: investor@ais.co.th Tel: +662 029 5000 Sustainability website: https://sustainability.ais.co.th Email: AISSustainability@ais.co.th Some statements made in this material are forward-looking statements with the relevant assumptions, which are subject to var
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