Pakistan Telecommunication Co. Ltd. Class A · PSX:PTC
Pakistan Telecommunication Co. Ltd. Class A — Q4 2020 Earnings Presentation
24 slides from Pakistan Telecommunication Co. Ltd. Class A's earnings presentation, Feb 17, 2021
Slide 1: PTCL Investor Call
PTCL Investor Call Financial Results – Q4 & Year Ended Dec 31, 2020 17th February, 2021
Slide 2: Disclaimer
Disclaimer Pakistan Telecommunications Company Limited (PTCL) and its subsidiaries have prepared this presentation in good faith, however, no warranty or representation, express or implied is made as to the adequacy, correctness, completeness or accuracy of any numbers, statements, opinions or estim
Slide 3: Business Overview
Business Overview Nadeem Khan Group Chief Financial Officer PTCL Group
Slide 4: PTCL Group
PTCL Group PTCL Group PTCL • PTCL • Retail • DSL • Wireless Data • Voice • Ufone • IPTV • Corporate • ICT Services • Ubank • Cloud & Data Services • Managed Services • Wholesale • Others* • Carrier services • International business * Other subsidiaries include DVCOM and SmartSky Investor Presentatio
Slide 5: Key Highlights – Year Ended Dec 31, 2020
Key Highlights – Year Ended Dec 31, 2020 Top line remained stable, however, like for like revenue increased by 5.2%. PTCL EBITDA – PKR 40 B Group Net Profit increased by 38%. Normalized for one offs, Net Profit increased by 2.5 times. Revenue increased by 0.4% YoY which is mainly contributed
Slide 6: Key Operational Highlights – 2020
Key Operational Highlights – 2020 Highest FBB new sales & subscribers in Expansion in 4G Subscribers (89%) 50% revenue growth supported by last 4-5 years increase in deposit base by 98% and loan Network upgraded by addition of 3G and YoY > 100k reduction in FBB churn (23% portfolio by 43%.
Slide 7: Group Key Financials – Q4 2020
PTCL Group Key Financials – Q4 2020 Growth in Revenue, EBITDA and Net Profit PKR Million Revenue EBITDA & Margin % Net Profit & Margin % +7% +3% +23% +2% 33,774 10,510 10,711 32,744 8,693 +668% +12% 31,574 1,711 1,529 32% 32% 28% 5.1% 4.7% -1.0% Q4 2019 Q3 2020 Q4 2020 Q4 2019 Q3 2020 Q4 2020 -301 Q
Slide 8: Group – YoY Revenue Evolution Q4 2020
PTCL Group – YoY Revenue Evolution Q4 2020 7% increase in revenue with growth contributed by all OPCOs PKR Million % YoY Growth +7% 33,774 221 1,146 179 31,574 655 +4% +1% +58% Q4 2019 PTCL Ufone Ubank Eliminations Q4 2020 Investor Presentation Q4 & Year Ended Dec 31, 2020 www.ptcl.com.pk 8
Slide 9: Group – YoY EBITDA Evolution Q4 2020
PTCL Group – YoY EBITDA Evolution Q4 2020 23% increase in EBITDA with positive contribution by all OPCOs PKR Million +23% 10,711 155 546 579 8,693 738 28% 32% +17% +14% +373% Q4 2019 PTCL Ufone Ubank Eliminations Q4 2020 % YoY Growth % EBITDA Margin Investor Presentation Q4 & Year Ended Dec 31, 2020
Slide 10: Group – YoY Net Profit Evolution Q4 2020
PTCL Group – YoY Net Profit Evolution Q4 2020 PKR Million Net Profit improved 6 times attributable to resilient efforts of all OPCOs +1863% 1,991 +668% 280 145 1,711 367 710 1,080 -113 -301 Q4 2019 Q4 2019 PTCL Ufone Ubank Eliminations Q4 2020 Impact of Q4 2020 Like-for-Like One-Offs Like-for-Like Y
Slide 11: PTCL Key Financials – Q4 2020
PTCL Key Financials – Q4 2020 Revenue grew by 4% YoY, with an increase of 17% in EBITDA and 123% in Net Profit PKR Million Revenue EBITDA & Margin % Net Profit & Margin % +4% +2% +17% +5% 18,041 18,429 17,774 5,197 4,936 +123% +44% 4,459 1,962 1,366 11% 28% 882 27% 8% 25% 5% Q4 2019 Q3 2020 Q4 2020
Slide 12: Revenue Growth in Q4 2020
Revenue Growth in Q4 2020 From negative to positive revenue growth 3.7% in Q4 20 vs Q4 19 Q1-Q3 Revenue 2020 Q4 Revenue 2020 -0.7% 53,774 +3.7% 53,375 18,429 17,774 2019 2020 2019 2020
Slide 13: PTCL Revenue
PTCL Revenue 4% YoY growth with contribution from all growing segments Change % Change % PKR Million Q4 2020 2020 YoY QoQ YoY Wireline Data 7,451 6% 4% 28,151 0.1% Wireless Data 579 4% 0% 2,287 8% Voice 2,690 -12% -3% 10,887 -14% Retail 10,721 1% 2% 41,324 -4% Corporate & Wholesale 5,105 12% 8% 19,5
Slide 14: PTCL – EBITDA YoY Evolution Q4 2020
PTCL – EBITDA YoY Evolution Q4 2020 Increase in revenue and cost optimization measures resulted in 17% improvement in EBITDA PKR Million +17% 5,197 90 173 655 4,459 25% 28% Q4 2019 Revenue Cost of Sales OPEX Q4 2020 % EBITDA Margin Investor Presentation Q4 & Year Ended Dec 31, 2020 www.ptcl.com.pk 1
Slide 15: PTCL – Net Profit YoY Evolution Q4 2020
PTCL – Net Profit YoY Evolution Q4 2020 Increase in EBITDA and non-operating income resulted 123% YoY increase in Net Profit PKR Million +125% +123% (223) 1,962 1,988 26 965 (400) 738 882 882 Q4 2019 EBITDA D&A Non Operating Taxation Q4 2020 Impact of One-offs Q4 2020 Q4 2019 Like-for-Like Like-for-
Slide 16: PTCL Group
PTCL Group Net Profit grew 6 times in Q4 YoY. Change % Change % PKR Million Q4 2020 2020 YoY QoQ YoY Revenue 33,774 7% 3.1% 129,422 0% EBITDA 10,711 23% 2% 40,251 -3% EBITDA Margin 32% 4.2 p.p -0.4 p.p 31% -0.8 p.p Net Profit 1,711 668% 12% 3,273 38% Net Profit Margin 5% 6 p.p 0.4 p.p 2.5% 0.7 p.p N
Slide 17: PTCL
PTCL 123% YoY increase in net profit in Q4 2020 Change % Change % PKR Million Q4 2020 2020 YoY QoQ YoY Revenue 18,429 4% 2% 71,804 0.4% EBITDA 5,197 17% 5% 19,591 -2% EBITDA Margin 28% 3.1 p.p 0.8 p.p 27% -0.6 p.p Net Profit 1,962 123% 44% 6,030 -5% Net Profit Margin 11% 5.7 p.p 3.1 p.p 8.4% -0.5 p.
Slide 18: Balance Sheet
PTCL Balance Sheet Strong Unleveraged Balance Sheet Balance Sheet PKR Million Dec-19 Dec-20 Property, Plant and Equipment 116,720 114,666 Long term loans and advances 12,896 11,323 Long term investments 8,936 17,736 Other Non Current Assets 2,608 3,131 Non Current Assets 141,160 146,856 Trade debts
Slide 19: Cash Flow Statement
PTCL Cash Flow Statement Healthy cash position of PKR 12B Cash Flow Statement PKR Million 2019 2020 Cash Flows from operating activities 24,772 31,719 Cash Flows from investing activities (27,155) (20,638) Cash Flows from financing activities (3,034) (3,279) Net Inc/(Dec) in Cash & Cash Equivalents
Slide 20: Summary & Conclusion
Summary & Conclusion
Slide 21: Summary & Conclusion
Summary & Conclusion PTCL Group reported 38% growth in 2020 despite challenges posed by COVID-19. PTCL revenue continue to grow based on wireline data, wireless data and wholesale service, despite declining trend in voice revenue. Ufone is expanding network coverage and continues to show healthy gro
Slide 22: Questions & Answers
Questions & Answers
Slide 23: Investor Relations
Investor Relations PTCL Investor Relations Email: amir.siddiqi@ptcl.net.pk
Slide 24: THANK YOU
THANK YOU
Pakistan Telecommunication Company — Q4 2020 Earnings Presentation on 6ix