Indus Towers Limited · NSE:INDUSTOWER
Indus Towers — Bharti Infratel — Shareholder Meeting (August 2020)
30 slides from Indus Towers's shareholder meeting presentation, August 2020
Slide 1: Annual General Meeting FY19-20
Annual General Meeting FY19-20 Aug 2020 Building and Sharing Vital Infrastructure
Slide 2: Contents
Contents • About us • Telecom Industry Landscape • Bharti Infratel - Performance • Merger Update • Way Forward 2 of 30
Slide 3: About Us
Y . Bharti Infratel Limited About Us 3 of 30
Slide 4: Bharti Infratel – Who We Are?
Bharti Infratel – Who We Are? A Leading tower infrastructure operator Pan India presence across all the 22 telecommunication circles Indus Towers – JV between Bharti Infratel, Vodafone Group and Vodafone Idea Limited Relationships with all Operators Marquee promoter and investors 4 of 30
Slide 5: Our Vision
Our Vision ‘To be the best and most innovative passive communications infrastructure provider globally’ Known for Highest uptime Speed & Quality of deployment Cost & Energy efficiencies Environment friendliness 5 of 30
Slide 6: Our DNA
Our DNA Drive for Innovation Develop People and Partnerships • Infuse new ideas to address emerging • Establish mutually rewarding internal market needs and future possibilities and external relationships • Focus on quality and process • Develop self and high performance simplification teams • Be tr
Slide 7: Telecom Industry Landscape
Telecom Industry Landscape 7 of 30
Slide 8: Regulatory Update
Regulatory Update NDCP -2018 In-Building Infrastructure Sharing DoT has issued advisory to TSPs on November 18, 2019 regarding sharing DoT has In-building of their issued advisory to TSPs (IBS, Infrastructure on Based on the NDCP, On 13th Mar, 2020,TRAI November OFC & other18, cables, 2019 regarding
Slide 9: Regulatory: Impact of Proposed Regulatory Changes
Regulatory : Impact of Proposed Regulatory Changes Scope Scope enhancement of Service Service Access Access IP-1 Competition Faster roll out of sites Reduced cost of entry Advantages for Telecom Industry Safety Efficiency Standardization Better focus on safety Infra sharing will bring cost adherence
Slide 10: Regulatory: AGR Development
Regulatory : AGR Development Oct’19 Oct’19 • Hon’ble SC passes judgment in favor of DoT • Directs affected parties to deposit the amount within 90 days of the judgement Jan’20 • TSPs file review petition before Hon’ble Supreme Court, the same gets rejected Mar’20 • Hon’ble Supreme Court admits DoT a
Slide 11: Customer: Revenue Market Share
Customer : Revenue Market Share Top 3 operators dominate the Telecom space Tariff Hike has resulted in revenue growth for the sector 2.2% Airtel 29.5% BSNL/MTNL Top 3 operators 40.6% VIL have 94% Revenue Market Share (RMS) RJIO 3.9% Others 23.8% Operators raising tariff and equity Source : TRAI –
Slide 12: Bharti Infratel: Performance
Bharti Infratel : Performance 12 of 30
Slide 13: Performance at a Glance: FY 20 (Proportionate Consolidation)
Performance at a Glance: FY 20 (Proportionate Consolidation) Operating Indicators : 31 March 2020 95,372 174,581 1.83 Total Towers up 3%Y-o-Y Total Co-locations up 1% Y-o-Y Closing sharing factor Financial Indicators UoM FY 19 FY 20 Change Y-o-Y Revenue 1 Rs. Mn 145,823 146,472 0% 1 EBITDA Rs. Mn 60
Slide 14: Our Journey in Last Decade
Our Journey in Last Decade 92,277 95,372 88,808 90,646 91,451 83,368 85,892 79,064 82,083 78,442 73,921 Towers (Nos) 2.6% CAGR FY 10 FY11 FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 1.69 1.81 1.90 1.91 2.01 2.12 2.20 2.32 2.25 1.87 1.83 210,606 205,596 Co-locations (Nos) 195,035 182,294 16
Slide 15: Strong financial performance
Strong financial performance 144,896 145,823 146,472 134,237 116,683 123,313 102,720 108,267 Revenue 94,521 (INR Mn) 85,081 70,387 7.6% CAGR FY 10 FY11 FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 74,422 59,420 64,272 60,733 EBITDA Margin 50,108 54,478 (INR Mn) EBITDA 38,103 44,118 31,288 3
Slide 16: Return ratios
Return ratios 24.3% 24.3% +20.3% +22.3% 4.0% 2.0% ROCE ROE FY 10 FY 20 Driving capital efficiency and maximizing return to shareholders FY 10 figures are as reported in Red Herring Prospectus 16 of 30
Slide 17: Focus on Delivering Shareholder Value
Focus on Delivering Shareholder Value UoM FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 EPS (Diluted) Rs./ Share 5.6 8.0 10.5 11.9 14.7 13.5 13.5 17.8 Profit Distribution Rs.Mn 10,022 9,726 24,770 26,679 35,618 31,217 33,448 21,851 Dividend Rs./ Share 5.5 4.4 11.0 3.0 16.0 14.0 15.0 10.5 Consolida
Slide 18: Leading the way in Smart City projects
Leading the way in Smart City projects Development of Smart Cities key for ‘Digital India’ Program Government has announced the creation of 100 Smart Cities Communication backbone is key to a Smart City Entails setting up of telecom infrastructure which will include towers, micro sites and fiber
Slide 19: Our Green Initiatives
Our Green Initiatives ID to OD conversion Renewable Energy Smart Green Towers OD Network increased Renewable energy being 11 MW of Solar & Wind from 60% to 85% in last 5 used in 175+ sites power generation yrs through our Renewable Energy Service 2500+ Solar Energy Green site % has Company
Slide 20: CSR at Infratel
CSR at Infratel Our CSR Vision: “To build an empowered society through education, community development and environment sustainability” Education Our CSR Policy focuses on promoting: Bharti Foundation : At Present the educational program has reached out to 270,000 students across 16 states & UT, i
Slide 21: Disaster Management: Cyclone FANI
Disaster Management : Cyclone FANI Worst cyclone to hit Odisha in 20 years Cyclone Fani caused heavy damage to telecommunication infrastructure in Odisha circle Creation of a ‘War-Room’ to continuously monitor Fani pre and post landfall Around 25 teams deployed for diesel filling and site restor
Slide 22: Covid-19 update
Covid-19 update Challenges : Nationwide Lockdown II Social Distancing & safety II Increased data usage Government declared Telecommunication services as Essential Services Covid-19 Mitigation Strategy Triggered Daily IT systems Donated Voluntary Business Management and Rs.250 Mn to Contribution Cont
Slide 23: Key Recognitions
Key Recognitions Bharti Infratel was awarded under the category Telecom Equipment and Infra Services at Dun & Bradstreet Corporate Awards 2019 held in Mumbai on May 29, 2019 Bharti Infratel Ltd has won the “Leadership Award-Best Business Excellence Framework-2020”by “RE Assets India”. Bharti Infrate
Slide 24: Merger Update
S Y . Bharti Infratel Limited Merger Update 24 of 30
Slide 25: Merger Timelines
Merger Timelines Apr 12018 Merger Announcement Jun22018 Approval received from Competition Commission of India (CCI) Jul 32018 No adverse objection received from SEBI through Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) Feb42019 NCLT convened Shareholders’ and Creditors’ meeting hel
Slide 26: Way Forward
S Y . Bharti Infratel Limited Way Forward 26 of 30
Slide 27: Our Five Pronged Strategy
Our Five Pronged Strategy 1 Achieving Cost Promote Tower Efficiencies Sharing 5 Across Tower Portfolios Increasing Revenue and 2 Capital Productivity 4 Capitalize on opportunities of Data growth, Digital India, Smart City Initiatives of Organic Growth and Acquisition 3 government Opportunities 27 of
Slide 28: Annual General Meeting FY19-20
Annual General Meeting FY19-20 Aug 2020 D S Rawat Building and Sharing Vital Infrastructure
Slide 29: Glossary
Glossary Abbreviations Full forms / definitions AGR Adjusted Gross Revenue CAGR Compunded Annual Growth Rate CSR Corporate Social Responsibility DOT Department of Telecommunications EBITDA Earnings Before Interest, Tax, Depreciation & Amortization EPS Earning Per Sahre FY Fiscal Year GDP Gross Domes
Slide 30: Disclaimer
Disclaimer By attending the meeting where this presentation is made, or by reading the presentation materials, you agree to be bound by the following limitations: The information in this presentation has been prepared by Bharti Infratel Limited (the “Company”) for use in presentations by the Company