Emirates Telecom. Group Company (etisalat Group) Pjsc · ADX:EAND
Emirates Telecom. Group Company (etisalat Group) Pjsc — e& (Emirates Telecommunications Group Company PJSC) — Q3 2022 Earnings Presentation
20 slides from Emirates Telecom. Group Company (etisalat Group) Pjsc's earnings presentation, Nov 2, 2022
Slide 1: Q3 2022 Results Presentation
Q3 2022 Results Presentation 2 November 2022
Slide 2: Disclaimer
Disclaimer Emirates Telecommunications Group Company PJSC (“e&” or the “Company”) and its subsidiaries have prepared this presentation (“Presentation”) in good faith, however, no warranty or representation, express or implied is made as to the adequacy, correctness, completeness or accuracy of any n
Slide 3: Business Overview
Business Overview Hatem Dowidar Group Chief Executive Officer
Slide 4: Q3 2022 Financial Highlights
Q3 2022 Financial Highlights Constant Currency Q3’22 Q3’21 Y/Y% Y/Y% Strong revenue growth in constant currency driven by growth in all Revenue (AED m) 12,973 13,294 -2.4% +5.5% key markets Reported EBITDA is resilient despite inflationary pressure supported by effective cost management; Strong grow
Slide 5: Q3 2022: Key Developments & Operational Highlights
Q3 2022: Key Developments & Operational Highlights Group etisalat by e& e& international • Completed the acquisition of a • Successful implementation of the • Strong growth on comparable majority stake in STARZPLAY “Grow-Transform-Excel” strategy basis across key markets, ARABIA is yielding results
Slide 6: Financial Overview
Financial Overview Karim Bennis Group Chief Financial Officer
Slide 7: Strong revenue growth at constant currency
Strong revenue Group Revenue growth at constant currency Revenue (AED m) & YoY Growth (%) Sources of Revenue Growth (AED m) Revenue growth in constant +5.5% currency attributed to strong 13,294 242 12,996 12,973 contribution from UAE and 13,294 international operations 45 12,973 -445 -25 2% -139
Slide 8: Robust EBITDA margin despite inflationary pressure
Robust EBITDA Group EBITDA margin despite inflationary pressure EBITDA (AED m) & Margin (%) Sources of EBITDA Growth (AED m) +6.9% 262 6,741 6,714 EBITDA in constant currency 6,644 14 increased Y/Y by 6.9% 6,741 6,714 -202 51% 51% 52% -60 Robust EBITDA margin at 52% -41 EBITDA growth in the UA
Slide 9: Disciplined approach to capital spending
Disciplined Group CAPEX approach to capital spending CAPEX (AED m) & Intensity Ratio (%) Sources of CAPEX Growth (AED m) Excluding spectrum costs, 2,728 31 Consolidated capex decreased 2,728 -20 -97 Y/Y by 2%; intensity ratio is flat at 1,830 17 1,613 12% 1,613 -1,046 Slight increase in capital
Slide 10: Robust liquidity position, commitment to investment grade credit profile
Robust liquidity Group Balance Sheet and Cash Flow position, commitment to investment grade Balance Sheet (AED m) Dec-21 Sep-22 Cash Flow (AED m) Sep-21 Sep-22 credit profile Cash & Bank Balances 28,575 26,024 Operating 10,795 8,711 Maintained strong liquidity and Total Assets 128,197 130,604 Inve
Slide 11: Diversified and efficient debt profile
Diversified and Group Debt efficient debt profile Borrowings by Operations (AED m) Borrowings by Currency (%) AED MAD 5% Total debt of AED 40.1 billion 30,891 8% Increased bank borrowings at Others 13% Group level to finance strategic 55% USD investment 5,911 1,968 1,370 19% 77% of debt is at
Slide 12: Financial Highlights Country Performance
Financial Highlights Country Performance
Slide 13: Strong operational and financial momentum (Etisalat UAE)
Strong operational Etisalat UAE and financial EBITDA (AED m) and EBITDA Margin (%) Revenue (AED m) and YoY Growth (%) momentum 4,079 4,104 7,707 7,683 3,842 Revenue growth supported by 7,441 growth in mobile, fixed data and 52% 53% 53% digital services 3% 3% 0% EBITDA growth supported by strong
Slide 14: UAE Key KPIs: Continued mobile revenue strength
UAE Key KPIs: Continued mobile revenue strength Mobile Revenue(1) (AED m) & YoY Growth (%) Fixed Revenue(2) (AED m) & YoY Growth (%) Other Revenue(3) (AED m) & YoY Growth (%) 2,705 2,814 2,865 2,779 2,774 2,791 2,118 1,957 2,027 7% 6% 0% 0% -1% 0% 3% 4% 1% Q3’21 Q2’22 Q3’22 Q3’21 Q2’22 Q3’22 Q3’21 Q
Slide 15: Resumed revenue growth in local currency (Maroc Telecom Group)
Resumed revenue Maroc Telecom Group(1) growth in local Revenue (AED m) and YoY Growth (%) Subscribers (m) currency +3% 72.8 74.9 75.6 3,522 3,094 3,077 Subscriber growth YoY is driven by international operations Revenue growth in local 2% -11% currency supported by summer -13% seasonality in Mor
Slide 16: Strong growth momentum in Egypt continued
Strong growth Etisalat Egypt momentum in Egypt Revenue (AED m) and YoY Growth (%) Subscribers (m) continued +19% 29.1 29.7 1,303 1,279 27.0 1,225 Subscriber growth 21% Robust revenue growth in 0% -2% local currency attributed to data, voice and wholesale segments Q3’21 Q2’22 Q3’22 Q3’21 Q2’22 Q3
Slide 17: Growth in local currency despite challenging macroeconomic conditions (PTCL)
Growth in local PTCL Group currency despite Revenue (AED m) and YoY Growth (%) Subscribers (m) challenging macroeconomic 25.2 25.7 25.9 771 +12% 700 conditions 632 7% Growth in 4G data and FTTH -13% subscribers -18% Double digit revenue growth Q3’21 Q2’22 Q3’22 Q3’21 Q2’22 Q3’22 in local currenc
Slide 18: Financial Highlights 9M 2022
Financial Highlights 9M 2022 Resilient performance creating shareholder value over the long-term Revenue EBITDA Net Profit CAPEX(1) AED Billion AED Billion AED Billion AED Billion 39.3 20.2 7.3 5.1 YOY Growth YOY Growth YOY Growth YOY Growth -1.1% +4.4% +0.1% +5.1% +2.3% -6.2% Free Cash Flow(2) EBIT
Slide 19: 2022 Guidance: Revising our guidance upward
2022 Guidance: Revising our guidance upward reflecting higher profitability margin and EPS, and lower capex resulting in higher FCF Original Revised Guidance Reported Constant Financial KPI Guidance in Constant Actual Currency FY 2022 Currency FY 2022 9M 2022 Actual 9M 2022 Low single Low-to-mid Rev
Slide 20: we are
we are
e& (Emirates Telecommunications Group Company PJSC) — Q3 2022 Earnings Presentation on 6ix