Singapore Telecommunications Limited · SGX:Z74

Singapore Telecommunications — Q2 FY13 Earnings Presentation

9 slides from Singapore Telecommunications's earnings presentation, Nov 29, 2012

  1. Slide 1: SingTel Optus Update to Analysts

    SingTel Optus Update to Analysts Kevin Russell, CEO Consumer Australia Murray King, CFO Group Consumer 29 November 2012

  2. Slide 2: Optus: stable EBITDA amid industry slowdown

    Optus: stable EBITDA amid industry slowdown YoY Q2 FY13 A$m Highlights Change Total revenue A$2,239m -4% › increased focus on customer experience and yield › lower incoming termination rates and Mobile A$1,432m -5% equipment shipments › impact of DRP1 service credits Business & › higher ICT & Manage

  3. Slide 3: Mobile: improved EBITDA despite lower revenue

    Mobile: improved EBITDA despite lower revenue Total revenue -$77m Lower SAC increases EBITDA by 1% › MTR decline -$46m › EBITDA margin up 1ppt to 26% › Equipment -$30m › DRP credits -$25m 1 Postpaid › ARPU A$59 Service - down 12% Net Adds (‘000) Revenue › Net adds +132k2 (A$m) 300 $1,279 $1,292 1,35

  4. Slide 4: Business & Wholesale Fixed: stable EBITDA

    Business & Wholesale Fixed: stable EBITDA Business: growth in ICT & Wholesale: price competition drives Managed Services lower Data & IP revenue -4% +1% 187 180 Wholesale Fixed revenue (A$m) Business Fixed revenue (A$m) 322 325 36 34 Voice 105 97 Voice 66 60 Data & IP 109 Data & IP 119 ICT & Managed

  5. Slide 5: Consumer & SMB Fixed: EBITDA margin impacted by lower ARPU and higher selling costs

    Consumer & SMB Fixed: EBITDA margin impacted by lower ARPU and higher selling costs Over 1 million on-net broadband Lower ARPU and higher selling costs customers impact margin Customers ARPU EBITDA EBITDA (‘000s) (A$) (A$m) margin (%) $48 $48 $47 $47 50 90 25% 1,050 $45 21% 45 80 20% 1,001 40 18% 18

  6. Slide 6: Restructuring for greater efficiency and competitiveness

    Restructuring for greater efficiency and competitiveness Operating expenses -6% Key initiatives Selling & Admin -11% › Optimising acquisition and retention › reduction in subsidy levels costs › Restructuring workforce Cost of sales -1% › lower mobile equipment costs › increasing staff productivity w

  7. Slide 7: Driving changes in the Business Model

    Driving changes in the Business Model Customer Experience Increasing Yield  CustomerCustomer retention Experience Net Promoter Score (NPS) Experience  Profitability (EBITDA) Re-engineering Business Model Pricing Cost structure  Tiered data allowances  Increasing productivity with 10% workforce r

  8. Slide 8: Network investment to close gap to incumbent's network

    Network investment to close gap to incumbent’s network  Improved 3G performance, particularly in-building 900MHz spectrum U900 >90% in-building capital city migration program  Over 3,000 sites upgraded delivering coverage  Launched in Sydney, Melbourne, Perth, Brisbane, Gold Coast and Newcastle/H

  9. Slide 9: Focus on customer experience and brand differentiation

    Focus on customer experience and brand differentiation Customer Advocacy 4 key priorities to drive step Early initiatives (Net Promoter Score) change in customer experience +71%  Reorganisation +56% Great network  New Customer division  Prioritisation Simple products  existing customers are prio

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