Indus Towers Limited · NSE:INDUSTOWER
Indus Towers — Shareholder Meeting (August 2021)
30 slides from Indus Towers's shareholder meeting presentation, Aug 3, 2021
Slide 1: Annual General Meeting FY 21
Annual General Meeting FY 21 3rd August 2021 1
Slide 2: Agenda
Agenda 1 About Us 2 Telecom Industry Landscape 3 Merger Update 4 Indus Towers - Performance 5 Way Forward 2
Slide 3: Agenda
Agenda 1 About Us 2 Telecom Industry Landscape 3 Merger Update 4 Indus Towers - Performance 5 Way Forward 3
Slide 4: Indus Towers – Who we are?
Indus Towers – Who we are? One of the largest digital communications infrastructure providers with a pan India presence, post completion of merger Towers and India’s Leading TowerCo Colocations 179,225 towers and 322,438 colocations In all 22 Telecom Circles* Financials * Revenue INRm 256,729; EBITD
Slide 5: Our Values
Our Values Excellence Financial Excellence, Operational Excellence, Culture of continuous improvement Customer Preferred partner to our customers, delivering value Integrity Highest standards of professional conduct and custodianship of stakeholder interests Teamwork Working together beyond boundari
Slide 6: Agenda
Agenda 1 About Us 2 Telecom Industry Landscape 3 Merger Update 4 Indus Towers - Performance 5 Way Forward 6
Slide 7: Regulatory Updates
Regulatory Updates NDCP 2018 5G Opportunity RoW Policy • Basis recommendations by TRAI, “Enhancement of Scope of IP-1 • DoT has allotted 5G trial Registration” has been • 28 states, so far, have notified spectrum in the 700 MHz, 3.5 considered by DoT their respective State GHz and 26 GHz bands, pavi
Slide 8: Regulatory Updates: AGR Development
Regulatory Updates: AGR Development Hon’ble Supreme Court passes judgment in favor of DoT October 2019 Directs affected parties to deposit the amount within 90 days of the judgement January 2020 TSPs file review petition before Hon’ble Supreme Court, the same gets rejected March 2020 Hon’ble Supreme
Slide 9: Customer Revenue Market Share
Customer Revenue Market Share FY 20 FY 21 8.60% 8.80% 20.60% 27.10% 33.90% 38.10% 32.60% 30.30% Top 3 operators dominate the Telecom Space with ~92% Revenue Market Share Source: CLSA Report, 7th July 2021. Basis the Report, the numbers for FY 20 have been revised. 9
Slide 10: Agenda
Agenda 1 About Us 2 Telecom Industry Landscape 3 Merger Update 4 Indus Towers - Performance 5 Way Forward 10
Slide 11: Merger Update
Merger Update Oct 2018 Nov 2020 Dec 2020 July 2021 Launch of integration Integration activities Merger executed Uniform Merged Entity project executed NCLT Approval Merger effective Nov 19, 2020. Oct 2020 Name change Dec 10, 2020 Guiding principles for Seamless Day 0 All IT systems Uniform ways of m
Slide 12: Agenda
Agenda 1 About Us 2 Telecom Industry Landscape 3 Merger Update 4 Indus Towers - Performance 5 Way Forward 12
Slide 13: Performance at a glance: FY 21
Performance at a glance : FY 21 Operating Indicators 31st March 2021 Towers 179,225 Colocations 322,438 Sharing Factor 1.8 Up 6% YoY Up 4% YoY Closing Sharing Factor Financial Indicators UoM FY 20 FY 21 Change Y-o-Y Revenue INRm 255,624 256,729 0.4% EBITDA INRm 127,239 132,575 4.2% EBITDA Margin % 4
Slide 14: Towers and Colocations
Towers and Colocations Total Towers 169,002 179,225 153,138 158,339 161,829 163,162 163,934 141,378 142,261 146,938 148,913 133,506 CAGR : 2.71% FY 10 FY 11 FY 12 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 1.71 1.83 1.93 1.94 2.03 2.15 2.22 2.34 2.25 1.87 1.84 1.80 Total Colocations 378,1
Slide 15: Strong Financial Performance
Strong Financial Performance Revenue (INRm) 256,729 255,624 253,556 252,929 FY 18 FY 19 FY 20 FY 21 EBITDA (INRm) PAT (INRm) 127,239 132,575 50,270 49,751 109,067 45,149 100,902 40,720 FY 18 FY 19 FY 20 FY 21 FY 18 FY 19 FY 20 FY 21 43% 39.9% 49.8% 51.6% Margins 17.8% 16.1% 19.7% 19.4% Improvement i
Slide 16: Return Ratios
Return Ratios Key Return Ratios 35.0% 31.3% 27.9% 29.6% 29.6% 30.0% 25.0% 20.0% 21.4% 20.8% 21.9% 22.1% 15.0% 10.0% 5.0% 0.0% FY 18 FY 19 FY 20 FY 21 RoCE ROE - Post Tax Driving capital efficiency and maximizing return to shareholders *Note: All the figures are based on Proforma unaudited consolidat
Slide 17: Focus on delivering Shareholder Value
Focus on delivering Shareholder Value UoM FY 18 FY 19 FY 20 FY 21 EPS (Diluted) INR/Share 16.8 15.1 18.7 18.5 Profit Distribution INRm 49,966 33,447 21,854 58,078 Dividend INR/Share 14.00 15.00 10.50 20.12 Consolidated Profit INRm 45,149 40,720 50,270 49,751 Payout % 111% 82% 43% 117% Closing Shares
Slide 18: Indus Towers leads the way in Smart City Projects
Indus Towers leads the way in Smart City Projects • Our ability to provide core digital infrastructure for smart cities makes us an integral part of the ecosystem to drive development and inclusive growth of the nation • Smart elements in these cities include wide availability of Public Wi-Fi, fiber
Slide 19: Our Green Initiatives
Our Green Initiatives 74,353 Green Sites 74,353 Sites; Increase in portfolio from 27% to 41% over the last 6 years Green Sites 71,740 66,060 60,938 Focus Areas 54,856 ID to OD Outdoor sites which reduce environmental footprint ~85% of our portfolio Diesel Reduction 20% in the last two years in terms
Slide 20: CSR at Indus Towers
CSR at Indus Towers Indus Towers believes in taking an active role and responsibility in transforming the lives of communities by CSR Vision improving their socio-economic conditions Environmental Sustainability & Swachh Bharat Major Partners and Contributions FY 21 Community Education and Skill Emp
Slide 21: Disaster Management: Business Continuity Plan
Disaster Management : Business Continuity Plan Communication Recovery Objectives to all Stakeholders Cyclones Scenario Mapping & Floods Critical Data Risk Assessment Management Snow Pandemic Responsibility & Learnings & Iterative Accountabilities Improvements One Company One BCP – Enabling robust pr
Slide 22: Disaster Management: Cyclone Nivar
Disaster Management : Cyclone Nivar The Challenge • Severe water logging & flooding Classified as one of the most • Widespread EB disruptions severe cyclonic storm ever • Districts Affected : 15 (Incl. Puducherry) experienced in Tamil Nadu • Sites affected : 5992 Preparation and Response • Early War
Slide 23: Disaster Management: COVID 19 Update
Disaster Management : COVID 19 Update Governance Technology Enablement Contribution to Nation • COVID Steering committee • Donated INRm 600.64 to PM Cares meetings enabling complete • Infrastructure support extended to Fund management focus entire workforce to facilitate productive WFH • Supported i
Slide 24: Key Recognitions
Key Recognitions Gallup Exceptional Workplace Award 2021 Asia’s Best WorkPlaces 2020 Indus won the Gallup Exceptional Work Place Award 2021 for the 8th Indus has been awarded as Asia’s Best WorkPlaces 2020 for the consecutive year since 2014 second time in a row ET Telecom Awards 2020 Bharti ChangeM
Slide 25: Key Recognitions
Key Recognitions Frost & Sullivan Awards 2020 CII 16th KAIZEN Competition 2021 Indus Towers wins awards under two categories at the 7th Edition of Project Evaluation & Recognition Program (PERP) 2020 hosted by Indus won at the Maharashtra State level CII Kaizen Competition Frost & Sullivan in Octobe
Slide 26: Agenda
Agenda 1 About Us 2 Telecom Industry Landscape 3 Merger Update 4 Indus Towers - Performance 5 Way Forward 26
Slide 27: Our Five-Pronged Strategy
Our Five-Pronged Strategy Achieving Cost Promote Tower Efficiencies Across 1 Sharing Tower Portfolios 5 Increasing Revenue and Capital 2 Productivity Capitalize on 4 opportunities of Data growth, Digital India, Smart City Initiatives of Organic Growth Government and Acquisition 3 Opportunities 27
Slide 28: Thank you.
Thank you. Putting India First
Slide 29: Glossary
Glossary Sr. Sr. Abbreviation Full Form Abbreviation Full Form No. No. 1 AGR Adjusted Gross Revenue 23 MHz Mega Hertz 2 AWOOF A World Of Opportunity Foundation 24 Mn Million 3 BCP Business Continuity Plan 25 NCLT National Company Law Tribunal 4 CAGR Compounded Annual Growth Rate 26 NDCP National Dig
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 Indus Towers (the “Company”) for use in presentations by the Company at investo