Bharti Airtel Limited · NSE:BHARTIARTL
Bharti Airtel — Investor Day (2015)
16 slides from Bharti Airtel's investor day presentation, 2015
Slide 1: Bharti Airtel Management Presentation – Singtel Investor Day
Bharti Airtel Management Presentation – Singtel Investor Day
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: Bharti Airtel
Bharti Airtel 1.85bn Addressable Population 4 Present in US$15.1bn 20 Countries Revenue 3 #1 Operator In India 1 #2 Operator #4 Operator In Africa 5 in the World 1 #3 in-country wireless service operator in the world 2 Source: TRAI and Informa Telecoms and Media Notes: 1. As of Dec 31, 2014 2. Based
Slide 4: Highlights
Highlights 1 Diversified operator with dominant position in marketplace 2 Large residual opportunity with bulk investments in place 3 Growth Strategy: Voice Secularity, Mobile Data and New Services 4 Focus on customer stickiness with increasing postpaid share 5 Focus on generating efficient utilizat
Slide 5: The Leading Indian Wireless Operator
1 The Leading Indian Wireless Operator 23% Wireless Subscriber Market Share1 31% Wireless Revenue Market Share2 Customer Market 23% 19% 16% 11% 9% 8% 7% 7% 3.6% 5.6% Share Bharti Airtel 220 7.2% Vodafone 30.9% 180 RCOM 153 BSNL+MTNL 17.5% Idea 107 84 Tata 80 66 63 5.6% Aircel 6.2% 23.4% Others Bhart
Slide 6: India: Investments To Yield Results
2 India: Investments To Yield Results Industry Prime Nominal Wide Largest leading spectrum to Value of spectrum optical fiber revenue2 yield data liberalized presence: network yield/MHz at growth: spectrum at 16.1%3 amongst 2x avg with Virtually Pan USD 12 spectrum private same India 3G & billion1 m
Slide 7: India: Strong Spectrum Position
2 India: Strong Spectrum Position Bharti Airtel’s Spectrum Position Spectrum Holdings Spectrum Industry Industry Spectrum Spectrum held Bharti spectrum Spectrum across 900/1800/2100/2300 bands, more or Band Spectrum ex BSNL/MTNL by Bharti Market Share ex less fungible across technologies (MHz) (MH
Slide 8: India: Incumbent with Growth Opportunity
2 India: Incumbent with Growth Opportunity Penetration Share < 60% No 1 Share 60% - 90% No 2 Share 90% + No 3 Share 8
Slide 9: Africa: Geographical Opportunity & Performance
2 Africa: Geographical Opportunity & Performance Mobile Penetration(%) Number of Countries < 60% 8 60% - 90% 6 > 90% 3 Market Position Number of Countries #1 8 #2 6 #3 3 Number of <=2 3 >=4 competitors No. of countries1 9 6 2 Through organic as well as in-country acquisitions we are #1 or #2 in 14 m
Slide 10: Growth Lever: Voice Secularity
3 Growth Lever: Voice Secularity Volume Growth Value Growth Significant gap between realized and rack rates Carries over 1 trillion minutes (VRPM up 3.5% from trough of 35 paise) Secular Volume growth Y-o-Y 1 paisa upside adds $200 mn to top line Significant headroom for value as well as volume upsi
Slide 11: Data Opportunity: Largest Data Network In India
3 Data Opportunity: Largest Data Network In India 250000 3G sites up 56.0% YoY 1 40.0% Expected Population Coverage Growth 2 48,825 35.0% 200000 41,850 34,564 38,055 33.3% 30.0% 31,301 29.3% 150000 25.0% 26.9% 24.7% 22.6% 20.0% 100000 15.0% 10.0% 50000 5.0% 0 0.0% Q4'14 Q1'15 Q2'15 Q3'15 Q4'15 3G Si
Slide 12: Annualized Data Revenues Surpassed $1.5bn
3 Annualized Data Revenues Surpassed $1.5bn 25 20% 17.60% 18% 16.20% 20 16% 14.50% 12.40% 14% 11.50% 15 12% 10.30% 9.20% 10% 7.40% 10 8% 6% 5 4% 2% 0 0% 1QFY14 2QFY14 3QFY14 4QFY14 1QFY15 2QFY15 3QFY15 4QFY15 Data Revenues (INR bn) Data as a % of Mobile Revenue Source: 1. Company filings 12
Slide 13: Growth Story: Airtel Money, Wynk, Industry First Initiatives
3 Growth Story: Airtel Money, Wynk, Industry First Initiatives • Offered in India and all 17 opcos in Africa Airtel • KPI: Africa (Q4FY15) Money • Sub base of 6.2 million (up 1.8x YoY), transaction Value: $2,925 million (up 31% YoY) • Carrier agnostic music app with a curated library of 1.8 million
Slide 14: Quality Subscriber Acquisitions
4 Quality Subscriber Acquisitions India: Churn % Africa: Churn % 8.50% 6.70% 6.10% 7% 6.10% 5.80% 5.50% 3.20% 3.10% 3.20% 2.40% 2.50% 2.70% Sep‐12 Feb‐13 Jul‐13 Dec‐13 May‐14 Oct‐14 Mar‐15 Dec-13 Mar-14 Jun-14 Sep-14 Dec-14 Mar-15 • Airtel has industry wide lowest churn at 2.5% • In Africa, churn %
Slide 15: Focus On Efficient Utilization Of Opex/Capex
5 Focus On Efficient Utilization Of Opex/Capex 77.7% 78.9% 76.6% 77.4% 75.6% 229,616 232,171 228,452 230,155 • Invested for growth -> yielding results 222,193 • Passive Infrastructure sharing 45.0% 44.3% 44.0% 43.9% • Divestment of towers in Africa underway 43.0% Mar-14 Jun-14 Sep-14 Dec-14 Mar-15 T
Slide 16: THANK YOU
THANK YOU