Bharti Airtel Limited · NSE:BHARTIARTL
Bharti Airtel — Investor Presentation (April 2009)
33 slides from Bharti Airtel's investor presentation, April 2009
Slide 1: Investor Presentation Bharti Airtel Limited
Investor Presentation Bharti Airtel Limited April 2009
Slide 2: Disclaimer
Disclaimer The information contained in this presentation is only current as of its date. All actions and statements made herein or otherwise shall be subject to the applicable laws and regulations as amended from time to time. There is no representation that all information relating to the context
Slide 3: Advantage India
Advantage India Population: 1.1 billion → increasing urbanisation → relatively large youth population GDP Growth (Real) : ~7.3% → second highest growing economy GDP Size (PPP adjusted): US$ 3 trillion → fourth largest economy in the world Telecom penetration: 36.98% (429.72 mn telecom subs)
Slide 4: The Company...Bharti Airtel
The Company...Bharti Airtel Bharti Airtel – an integrated telco Wireless Services Enterprise Services 2G/3G Carriers Rural Market Corporate Passive Infrastructure Telemedia Services Services Fixed Line Broadband DTH (Media)/IPTV Fully integrated telecom player…end to end teleco
Slide 5: Bharti Airtel - placing in the world and India
Bharti Airtel - placing in the world and India 3rd LARGEST wireless operator in the world1 LARGEST private INTEGRATED telecom company in India LARGEST WIRELESS operator in India LARGEST private FIXED LINE operator in India LARGEST TELECOM company listed on Indian Stock Exchanges Note: (1) 3rd larges
Slide 6: Latest Results – Q4 FY08/09
Latest Results – Q4 FY08/09 Key operating and financial metrics Continued Strong Performance Q4 FY 09 Y-on-Y Wireless Customer market share leadership at 24.0%. Customers 96.65 mn 50.0% Total minutes on network carried in Q4 – 150 billion Revenue $ 1,928 mn 25.6% Total employee strength – 24,5
Slide 7: Performance dashboard
performance dashboard - 3 line graph 110,000 74% 74% 73% 72% 70% 70.0% 100,000 Amount in Rs. Mn 96,334 98,245 90,000 60.0% 90,2 03 80,000 84,833 50.0% 78,191 70,000 35% 40.0% 60,000 34% 35% 34 % 33% 50,000 30.0% Q4FY08 Q 1FY09 Q3FY 09 Q4FY 09 Q2FY09 Gross Revenue (Rs mn.) (LHS) Opex to Gross Rev (RH
Slide 8: Segment investment & contribution
Segment investment & contribution Revenue EBITDA 4% 7% 1% -3% 5% 7% 18% 20% 9% 65% 84% 9% Mobile Services Telemedia Services Mobile Services Telemedia Services Enterprise Services - Carriers Enterprise Services - Corporates Enterprise Services - Carriers Enterprise Services - Corporates Passive Infr
Slide 9: Few recent recognitions
few recent recognitions Bharti Airtel top honors at the 7th edition of the Frost & Sullivan ICT awards 2008 in the categories of Large Enterprise Telecom Services, Wholesale Data Services and Mobile Service. Bharti Airtel and IFFCO joint venture recently bagged the ‘Best Content Service’ award a
Slide 10: Wireless Services
Wireless Services 10 Mobile Services Telemedia Services Enterprise Services
Slide 11: KPIs…Indian Wireless Market
KPIs…Indian Wireless Market JK Sub Base : 391.76 mn →second largest market HP PB Wireless Penetration: 33.7% UP(W) →lowest in the world HAR HHI Index: very high DELHI DEL →one of the most competitive market RAJ AS UP(E) Prepaid Base: 90%+ BH NE →one of the highest in the world GUJ MADHYA MP
Slide 12: Rapidly Growing Wireless Market
Rapidly Growing Wireless Market Net Adds in Feb…15.6 MN, higher than 12 MN average net adds per month over last 6 S-curve triggered months Closing Customers (mn) Net Adds (mn) 90% 80% 450 11 10 70% 400 9 60% 350 8 300 7 50% 250 6 40% 200 5 150 4 30% 3 100 20% 2 50 1 10% - - 0% Mar-01 Mar-02 Mar-03 M
Slide 13: Wireless Market Structure
Wireless Market Structure Subscriber Trends Customer Market Share – CMS (%) 25.0% 24.0% 23.7% 100.00 93.92 23.0% 90.00 21.0% 80.00 72.67 18.5% 17.6% 68.77 19.0% 70.00 17.5% 16.9% 17.0% 56.63 17.0% 60.00 14.5% 15.0% (mn) 50.00 38.89 40.00 31.94 35.12 13.0% 26.87 25.76 9.9% 30.00 24.64 11.0% 9.2% 9.0%
Slide 14: First mover advantage / product innovations
first mover advantage/ product innovations Electronic Easy Music Recharge / Micro Prepaid Life time validity product Hello Tunes (Ring Back Tones) Song Catcher Call Home Service Music on Demand Airtel Live (Portal) Google search Portfolio Manager (Stock Tracker) Money Transfers iPhone Blackberry M C
Slide 15: Performance Indicators
Performance Indicators Customers & Market Share Prepaid/Postpaid 100.0 93.9 25.0% 105.0% 85.7 90.0 77.5 24.7% 100.8% 24.5% 100.0% 80.0 24.6% 69.4 24.2% 95.4% 94.2% 70.0 24.0% 95.0% 92.3% 92.9% 93.5% 62.0 24.0% 90.4% 91.0% 91.6% 60.0 55.2 23.7% 48.9 23.6% 23.5% 90.0% 50.0 23.4% 40.0 23.0% 85.0% Q208
Slide 16: Performance Indicators
Performance Indicators Revenues (USD mn) EBITDA (USD mn) & Margin (%) 41.0 40.8 35.5 30.7 30.2 31.4 31.5 1,700 1,614 550 1,600 1,558 1,500 1,430 508 1,400 1,357 500 490 1,300 1,260 1,200 1,101 450 449 447 1,100 432 993 1,000 416 407 900 400 Q208 Q308 Q408 Q109 Q209 Q309 Q409 Q208 Q308 Q408 Q109 Q209
Slide 17: Telemedia Services
Telemedia Services 17 Mobile Services Telemedia Services Enterprise Services
Slide 18: A snapshot
A snapshot Largest private operator having presence in the voice and data (broadband). Foraying into the media space - IPTV & DTH (Direct-To-Home) services. Key Performance Indicators 1. Voice (wire-line) and Data (DSL) Presence in 95 top cities of India. 2. Target Segment : Retail and Small a
Slide 19: Telemedia Services
Telemedia Services Business Units Media SMBs Homes • Voice • DTH • Broadband Products • Data • IPTV • Voice • Mobile Services A Pan-India DTH Dominant Broadband & One-Stop Shop for All Businesses; and a Fixed Voice share of the Goal Airtel Services and targeted IPTV Presence affluent in targeted 95
Slide 20: Product Portfolio
Product Portfolio Our Media Play 20 Mobile Services Telemedia Services Enterprise Services
Slide 21: Performance Indicators
Performance Indicators Customers (overall & DSL) ARPU (USD) 2,750 1,072 1,200 28.0 992 922 22.6 22.4 22.3 22.3 22.5 21.6 2,500 853 2,726 1,000 24.0 21.0 751 795 2,619 20.0 2,250 705 2,509 800 2,283 2,394 2,178 16.0 2,000 2,075 600 12.0 1,750 400 8.0 1,500 200 4.0 1,250 0 0.0 Q208 Q308 Q408 Q109 Q209
Slide 22: Enterprise Services
Enterprise Services 22 Mobile Services Telemedia Services Enterprise Services
Slide 23: A snapshot
A snapshot Carrier: - one of the largest carriers of voice and data, both domestic and international. Corporate: - providing end to end telecom solutions to large corporate and Small & Medium Businesses. Present Competition: National Long Distance: BSNL; Reliance; VSNL; Vodafone; Tata Inte
Slide 24: Enterprise Services – Carriers NLD
Enterprise Services – Carriers NLD Voice Network Jalandhar Chandigarh Delhi Jaipur Lucknow Ahmedabad Bhopal Kolkata Nagpur Mumbai Hyderabad Bangalore Chennai Coimbatore Ernakulam Legend Existing OFC Route captive traffic (group traffic) ~ 90 % Under Execution NLD minutes carried (Q4FY09) 11.7 Bn Min
Slide 25: Enterprise Services – Carriers ILD
Enterprise Services – Carriers ILD Legend SEA-ME-WE-4 Connectivity to West i-2-i i-2-i Connectivity to East SEA-ME-WE-4 ILD minutes carried (Q4FY09) 2.8 Bn Min Other Int’l Connectivity ILD gateways 4 Int’l Gateways Connectivity landing stations 2 25 Mobile Services Telemedia Services Enterprise Serv
Slide 26: Performance Indicators - carriers
Performance Indicators - carriers Voice Minutes on Network Revenues (USD mn) 12,000 11,349 11,609 11,690 400.0 10,322 10,000 9,398 348 344 360.0 334 7,898 308 8,000 6,774 320.0 6,000 280.0 247 4,000 240.0 223 2,048 2,284 2,603 2,772 1,850 197 2,000 1,345 1,591 200.0 0 160.0 Q208 Q308 Q408 Q109 Q209
Slide 27: Enterprise Services - Corporates
Enterprise Services - Corporates Mobile services Voice services Satellite services Managed data & Internet services competition limited segment one stop telecom solution target 2,000 top large corporates Managed e - Managed customized leveraging integrated play business services integrated solutions
Slide 28: Performance Indicators - corporates
Performance Indicators - corporates Revenues (USD mn) EBITDA (USD mn) & Margin (%) 41.9 41.9 57.0 45.7 41.4 42.9 49.3 60.0 120.0 40.0 100.0 96 42 40 40 35 34 80 81 28 27 80.0 74 76 20.0 67 65 60.0 0.0 Q208 Q308 Q408 Q109 Q209 Q309 Q409 Q208 Q308 Q408 Q109 Q209 Q309 Q409 28 Mobile Services Telemedia
Slide 29: Passive Infrastructure Services
Passive Infrastructure Services 29 Mobile Services Telemedia Services Enterprise Services
Slide 30: A snapshot
A snapshot Bharti Infratel operates in 11 circles. Indus Tower operates in 16 circles. Standard Master Services Agreement with competitive rates already in place. Key focus areas: To increase sharing factor (tenancy) from current levels of 1.34. Provide energy optimization solutions and
Slide 31: To conclude
To conclude 31 Mobile Services Telemedia Services Enterprise Services
Slide 32: Key Strategic Objectives
Key Strategic Objectives Sustain revenue share in mobile profitably Achieve deeper penetration in home and SMB Product & vertical focus to gain client Revenue Market Share (cRMS) in Enterprise business Become a benchmark in customer experience through service quality & innovation Build a robust lead
Slide 33: Disclaimer
Disclaimer The information contained in this presentation is only current as of its date. All actions and statements made herein or otherwise shall be subject to the applicable laws and regulations as amended from time to time. There is no representation that all information relating to the context