Ooredoo Q.p.s.c · QSE:ORDS
Ooredoo Q.p.s.c — Ooredoo — Q1 2023 Earnings Presentation
37 slides from Ooredoo Q.p.s.c's earnings presentation, May 4, 2023
Slide 1: Ooredoo Group Q1 2023 Results
OOREDOO GROUP Q1 2023 RESULTS 04 May 2023
Slide 2: Disclaimer
Disclaimer Ooredoo (parent company Ooredoo Q.P.S.C.) and the group of companies which it forms part of (“Ooredoo Group”) cautions investors that certain statements contained in this document state Ooredoo Group management's intentions, hopes, beliefs, expectations, or predictions of the future and
Slide 3: Contents
Contents 1 Strategy and vision 2 Results review 3 Operational review 4 Additional information | | 3
Slide 4: Enriching people's digital lives
Our Vision Enriching people’s digital lives Excellence Value in Customer Focused Experience Portfolio Our strategy Protect and grow our customer asset Reduce asset base with better external use (2022-2024) People Braveheart 2.0 Build skills, talent Strengthen the Core and ways of working Drive profi
Slide 5: Contents
Contents 1 Strategy and vision 2 Results review 3 Operational review 4 Additional information | | 5
Slide 6: Group results: Key highlights for Q1 2023
Overview Results review Operations review Additional information Group results Key highlights for Q1 2023 Good start to the year with solid commercial and operational execution Revenue EBITDA and FCF Net Profit Updates Revenue increased 2% to Reported EBITDA up 3% Reported net profit up Final court
Slide 7: Ooredoo Group | Financial achievements – Q1 2023 YoY
Ooredoo Group | Financial achievements – Q1 2023 YoY Revenue EBITDA EBITDA margin Capex intensity - +2% +3% +1pp - QAR5.6bn QAR2.4bn 43% 7% Free Cash Flow Net Profit Net Debt/EBITDA Customers +3% +43% to QAR1bn -0.2x +2% to 56.5mn QAR2.0bn *+15% to QAR0.8bn 1.1x **+3% to 155mn *Normalized net profit
Slide 8: Revenue
Revenue Group revenue Q1 2023 Q1 2023 YoY change (QAR mn) Amount (QAR mn) and % - Quarterly +2% +2% +90 11 6 2 16 -4% 5,635 27 2% 5% -9% 5,545 56 2% (4) 5% -18% 5,635 (36) 61 6% (48) 5,545 3% Q1-22 Q1-23 Group Q1-22 Qatar Iraq Algeria Kuwait Oman Maldives Others Palestine Tunisia Myanmar Group Q1-23
Slide 9: EBITDA
EBITDA Group EBITDA Q1 2023 Q1 2023 YoY change (QAR mn) Amount (QAR mn) and % - Quarterly EBITDA margin (%) +3% +75 +3% 11 4 1 15 31 1% 6% 2% -8% 39 7% 2,408 16% (27) -31% 2,333 100 10% (37) -39% 2,408 72% (63) 2,333 42% 43% Q1-22 Q1-23 Group Q1-22 Others* Iraq Kuwait Algeria Qatar Maldives Palestin
Slide 10: Net Profit | Reported and Normalized
Net Profit | Reported and Normalized Q1 2023 Net profit attributable to Ooredoo shareholders (QARmn) +43% 961 +15% 795 671 689 Q1 2022 Reported Q1 2023 Reported Q1 2022 Normalized Q1 2023 Normalized • Net Profit excl. FX impact & major one offs (NMTC legal case gain, impairment of Ooredoo Tunisia go
Slide 11: Net Profit | Reported to Normalized reconciliation
Net Profit | Reported to Normalized reconciliation Q1 2023 net profit reported to Q1 2023 normalized Q1 2022 net profit reported to Q1 2022 normalized (QARmn) (QARmn) 103 (56) 671 689 234 18 961 (446) 795 Q1 2023 FX impact Impairment IOH tower NMTC legal Q1 2023 Q1 2022 FX impact Q1 2022 Reported of
Slide 12: Capex
Capex Q1 2023 (Change %) Group Capex Q1 2023 (QAR mn) & Capex / Revenue % TUN 109% +6% OMA 85% 396 372 MAL 66% PAL 50% KUW 32% IRA 11% ALG -25% 7% 7% QAT -40% Q1-22 Q1-23 MYN -59% Capex breakdown (Q1 2023) Q1 2023, Frontloading CAPEX to reap more benefit in the year ALG QAT • Tunisia: Driven by inve
Slide 13: Free Cash Flow (FCF: EBITDA – Capex)
Free Cash Flow (FCF: EBITDA – Capex ) Group FCF Q1 2023 Q1 2023 YoY Change (QAR mn) Amount (QAR mn) and % - quarterly +3% +3% 1,961 2,012 +51 24 1 32 38 (1) 48 (29) 99 (72) 2,012 1,961 (90) Q1-22 Q1-23 Group Others* Qatar Algeria Iraq Kuwait Maldives Palestine Myanmar Oman Tunisia Group Q1-22 Q1-23
Slide 14: Customer base
Customer base Total Customers at Q1 2023 YoY Change (‘000) (mn) +2% +2% +1,104 55.4 56.5 118 76 33 32 205 183 940 216 56,495 (698) 55,391 Group Q1-22 Iraq Kuwait Oman Qatar Tunisia Algeria Palestine Maldives Myanmar Group Q1-23 Q1-22 Q1-23 Customers breakdown Summary Q1 2023 KUW PAL MAL • Group cust
Slide 15: Group Results: Q1 2023 Actual & FY 2023 Guidance
Group Results Q1 2023 Actual & FY 2023 Guidance Group Finance KPIs Q1 2023 % change 2023 Guidance targets Revenue QAR 5.6 billion +2% Flat EBITDA margin 43% +1pp ~ low 40%’s Capex QAR 396 million +6% ~QAR 3 billion • On track to meet guidance • Capex spend will ramp up in the year || | | 15
Slide 16: Debt Profile
Debt Profile Strong investment grade rating Repayment Schedule (QAR mn*) Fixed vs Floating rate debt portion (QAR mn*) • Net debt/ EBITDA ratio of 1.1x, below current board guidance of 1.5x to 2.5x 891 7% • Strong liquidity position (combination of Cash and undrawn RCFs ) • Balanced and long maturit
Slide 17: Contents
Contents 1 Strategy and vision 2 Results review 3 Operational review 4 Additional information | | 17
Slide 18: Qatar
Qatar QAR mn Quarterly Trend (QAR mn) Revenue EBITDA EBITDA Margin Revenue EBITDA +3% +61 2,222 1,887 1,899 1,952 1,948 YTD - 23 YTD - 23 1,948 988 52% 50% 51% 47% 44% 3% 1% YoY YoY 977 953 911 988 988 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 QAR mn Mobile Fixed Q1 2023 • Revenue grew by 3% YoY, B2B fixed serv
Slide 19: Oman
Oman QAR mn Quarterly Trend (OMR mn) Revenue EBITDA EBITDA Margin +2% Revenue EBITDA +1 65 68 66 64 YTD - 23 YTD - 23 61 624 294 2% -8% 54% 52% 52% 51% YoY 47% YoY 34 35 35 31 31 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 OMR mn Mobile Fixed Q1 2023 36 17 • Revenue growth despite the aggressive competitive envir
Slide 20: Kuwait
Kuwait Quarterly Trend (KWD mn) QAR mn Revenue EBITDA EBITDA Margin +3% Revenue EBITDA +2 58 59 60 60 60 YTD - 23 YTD - 23 709 229 2% 16% 31% 30% 31% 32% 29% YoY YoY QAR mn QAR mn 19 16 19 18 18 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 KWD mn Mobile Fixed Q1 2023 • Improved macroeconomic environment on the bac
Slide 21: Iraq
Iraq QAR mn Quarterly Trend (IQD bn) Revenue EBITDA EBITDA Margin Revenue EBITDA +8% +28 392 395 386 YTD - 23 YTD - 23 358 350 938 422 6% 10% 44% 45% 43% 43% 41% YoY YoY 155 151 174 163 173 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 IQD mn Mobile Fixed Q1 2023 342,033 369,507 - • Two key decisions implemented by
Slide 22: Algeria
Algeria QAR mn Quarterly Trend (DZD bn) Revenue EBITDA EBITDA Margin +1% Revenue EBITDA 0 21 23 22 21 21 YTD - 23 YTD - 23 572 223 38% 40% 39% 5% 7% 35% YoY YoY 29% 8 8 9 8 6 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 DZD mn Mobile Fixed Q1 2023 - • Revenue increased by 1% in LC YoY, driven by higher mobile reve
Slide 23: Tunisia
Tunisia QAR mn Quarterly Trend (TND mn) Revenue EBITDA EBITDA Margin Revenue EBITDA -3% -10 332 YTD - 23 YTD - 23 303 303 307 293 344 100 -9% -39% YoY YoY 43% 44% 46% 44% 29% 130 135 152 135 85 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 TND mn Mobile Fixed Q1 2023 • Revenue declined by 3% in LC YoY, negatively i
Slide 24: Myanmar
Myanmar QAR mn Quarterly Trend (MMK bn) Revenue EBITDA EBITDA Margin +2% +3 Revenue EBITDA 133 138 138 138 136 YTD - 23 YTD - 23 224 84 -18% -31% 44% 39% 36% 36% 38% YoY YoY 59 54 49 49 51 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 MMK mn Mobile Fixed Q1 2023 - 124,030 7,311 • Revenue up by 2% in LC terms YoY dr
Slide 25: Maldives
Maldives QAR mn Quarterly Trend (MVR mn) Revenue EBITDA EBITDA Margin +5% Revenue EBITDA +26 500 514 487 466 471 YTD - 23 YTD - 23 121 67 5% 6% 55% 55% 53% 52% 55% YoY YoY 267 257 249 260 283 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 MVR mn Mobile Fixed Q1 2023 291 +3% 118 +4% • Revenue increased by 5% in LC Yo
Slide 26: Palestine
Palestine QAR mn Quarterly Trend (USD mn) Revenue EBITDA EBITDA Margin Revenue EBITDA -4% -1 29 29 30 28 28 YTD - 23 YTD - 23 101 41 -4% 2% 38% 37% 37% 40% YoY YoY 35% 11 11 11 10 11 USD mn Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Mobile Fixed Q1 2023 24 - • Revenue decreased 4%, due to local currency deprecia
Slide 27: Indosat Ooredoo Hutchison Q1 2023 results
indosat® OOREDOO HUTCHISON PT Indosat Tbk. Q1 2023 EBITDA Results IDR 5,329 Bn 4G BTS Reported Net Profit rN) Cellular (Attributable to Owners) Revenue +9.4% IDR 929.1 Bn *62!. ek IDR 10,258 Bn YoY USD 62 Mn USD 681 Mn USD Rate: IDR 15,062
Slide 28: IR updates
IR updates Institutional Investor’s 2023 Conferences Ooredoo at a Glance Developed EU & Emerging EMEA Executive Team survey BofA Securities 2023 EM Debt& Equity - USA 31 May – 02 Jun 2023 Video & presentation on our website Cast your vote https://www.ooredoo.com/ https://voting.institutionalinvestor
Slide 29: Q&A
Q&A | |
Slide 30: Contents
Contents 1 Strategy and vision 2 Results review 3 Operational review 4 Additional information | | 30
Slide 31: KPIs technology
KPIs technology 4G FDD Sites as % of 4G Population 5G Population 4G Contribution in total Data Volume Grow Country Total Sites Total Data Volume GB total towers Coverage % coverage % traffic % % Algeria 6,460 83.00% 75.60% n/a 273,777,150 82.26% 26.23% Iraq 7,448 98.74% 96.57% n/a 152,073,669.8 86.6
Slide 32: KPIs Commercial: Q1 2023
Overview Results review Operations review Additional information KPIs Commercial : Q1 2023 MyOoredoo Number of Churn Data users Digital Post paid as % Country Churn Mobile NPS App users RMS (*) complaints Fixed (‘000) recharge of total subs (‘000) per 1000 subs Algeria 3% N/A 31 7,480 125 96% N/A 1
Slide 33: Dividend policy
Overview Results review Operations review Additional information Dividend policy • The Ooredoo Board has approved a sustainable and progressive dividend policy for the company, aiming for a dividend payout in the range of 40% to 60% of normalized earnings • Board paid a cash dividend of QAR 0.43 per
Slide 34: Blended ARPU
Overview Results review Operations review Additional information Blended ARPU Qatar (QAR) Iraq (QAR) Oman (QAR) Maldives (QAR) Palestine (QAR) 108 108 108 43.2 69.9 103 42.2 41.3 40.5 68.0 67.8 67.9 66.8 22.7 22.7 23.0 93 19.3 18.8 19.6 37.9 21.3 17.2 21.0 16.1 Kuwait (QAR) Tunisia (QAR) Algeria (QA
Slide 35: Opcos licence general information
Overview Results review Operations review Additional information Opcos licence general information Fixed Licence Mobile Licence Country Issuance date Expiry date Issuance date Expiry date Qatar 7 October 2007 6 October 2032 7 October 2007 6 October 2027 13 October 1997 Kuwait -- -- Indefinite Emiri
Slide 36: Statutory corporate tax rates
Overview Results review Operations review Additional information Statutory corporate tax rates Statutory Losses C/Fwd Country Tax Rate Allowed Algeria 26% 4 years Indonesia 22% 5 years The Tax Rate is 22% for tax year 2022 onwards Iraq 15% 5 years GCC companies (including NMTC) are exempted , but ar
Slide 37: Thank You
THANK YOU Upgrade your world. Upgrade your portfolio. @OoredooIR • IR@ooredoo.com • www.ooredoo.com | |