Rogers Communications Inc. Class A · TSX:RCI.A
Rogers Communications Inc. Class A — Q2 2019 Earnings Presentation
16 slides from Rogers Communications Inc. Class A's earnings presentation, Jul 23, 2019
Slide 1: Q2 2019 Results
Q2 2019 Results July 23, 2019 1 | Q2 2019 Results
Slide 2: Cautionary note
Cautionary note The following materials are for presentation purposes only. They accompany the discussions held during Rogers Communications Inc.’s (Rogers) investor conference call on July 23, 2019. These materials should be read in conjunction with the disclosure documents referenced below. Certai
Slide 3: Focus on Wireless fundamentals
Focus on Wireless fundamentals +2% -2 bps 77k Blended ARPU Postpaid churn Postpaid net adds ($) (%) (000s) 56.73 1.01 122 55.60 77 0.99 Q2'18 Q2'19 Q2'18 Q2'19 Q2'18 Q2'19 3 | Q2 2019 Results 8| Q2 2019 Results
Slide 4: Driving growth in Cable through Internet
Driving growth in Cable through Internet +3% 22k +130 bps Adj. EBITDA Internet net adds Internet penetration1 ($M) (000s) (%) 478 23 22 55.9 462 54.6 Q2'18 Q2'19 Q2'18 Q2'19 Q2'18 Q2'19 1. Internet penetration calculated as Internet subscribers divided by homes passed 4 | Q2 2019 Results 8| Q2 2019
Slide 5: Returning capital to shareholders
Returning capital to shareholders $50 million share buyback Over $1 billion Q2’19 cash expected to be returned $257 million to shareholders in 2019 dividends paid 5 | Q2 Q2 2019 2019 Results Results
Slide 6: Introducing Rogers Infinite
Rogers Infinite TM Introducing 66 || Q2 Q2 2019 2019 Results Results
Slide 7: Leading investments in 5G
Leading investments in 5G 7 7 || Q2 Q22019 2019Results Results
Slide 8: Winning formula
Winning formula World-class Internet service Ignite TV Ignite TV advantages • Download speeds of up to • Significantly improved churn, Netflix + YouTube integration 1 gigabit per second available across likelihood to recommend and Voice command entire cable footprint average revenue per account Clou
Slide 9: Customer first
Customer first 9| 9 | Q2 Q2 2019 2019 Results Results
Slide 10: Financial performance
Financial performance 10 || Q2 10 Q22019 2019Results Results
Slide 11: Q2 Wireless results
Q2 Wireless results +3% +10% +380 bps +2% Service revenue Adjusted EBITDA Adj. EBITDA margin Blended ARPU ($M) ($M) (%) ($) 1,813 1,128 50.3 56.73 1,761 1,029 46.5 55.60 Q2'18 Q2'19 Q2'18 Q2'19 Q2'18 Q2'19 Q2'18 Q2'19 • Strong service revenue and adjusted EBITDA growth delivered in the second quarte
Slide 12: Q2 Cable results
Q2 Cable results +1% +3% +130 bps +7% Revenue Adjusted EBITDA Adj. EBITDA margin Internet revenue ($M) ($M) (%) ($M) 997 478 47.9 573 991 462 46.6 538 Q2'18 Q2'19 Q2'18 Q2'19 Q2'18 Q2'19 Q2'18 Q2'19 • Internet continues to be the growth driver and remains an anchor for our Cable business • Adjusted
Slide 13: Q2 Media results
Q2 Media results -3% +20% Revenue Adjusted EBITDA ($M) ($M) 608 72 591 60 Q2'18 Q2'19 Q2'18 Q2'19 • Media revenue impacted by sale of publishing business and lower Blue Jays revenue • Strong adjusted EBITDA growth driven by lower publishing costs and baseball salaries 13 | Q2 2019 Results 8| Q2 2019
Slide 14: Q2 consolidated results
Q2 consolidated results Q2'19 %Chg In millions of dollars, except percentages and per share amounts Strong adjusted EBITDA growth driven by Total service revenue 3,345 1 successful cost management and efficiencies Adjusted EBITDA 1,635 9 Continue to invest in 4.5G and ready our wireless network for
Slide 15: Financial flexibility
Financial flexibility 3.0x Debt Leverage Ratio 0.3x 3.0x 0.2x 600MHz • Cash provided by • Acquisition of 600 MHz acquisition operating activities of spectrum impacted debt IFRS 16 2.5x impact $1.1 billion in the second leverage ratio by 0.3x quarter of 2019 • Investment-grade balance • IFRS 16 imple
Slide 16: Q2 2019 Results Q&A
Q2 2019 Results Q&A 16 | Q2 2019 Results
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