VEON Ltd. · NASDAQ:VEON
VEON — Investor Day (September 2019)
64 slides from VEON's investor day presentation, Sep 3, 2019
Slide 1: Empowering Customer Ambitions - Capital Markets Day
EMPOWERING CUSTOMER AMBITIONS CAPITAL MARKETS DAY 3 SEPTEMBER 2019 ©VEON Ltd 2019
Slide 2: Disclaimer
DISCLAIMER This presentation contains "forward-looking statements", as the phrase is defined in Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. Forward-looking statements are not historical facts, and are inherently
Slide 3: Agenda
AGENDA 1. WHAT VEON STANDS FOR 6. EXECUTING ON FRONTIER MARKETS Ursula Burns Kjell Johnsen 2. STRATEGY FRAMEWORK 7. PORTFOLIO DEVELOPMENT Alex Kazbegi Alex Kazbegi 3. POSITIONED FOR GROWTH 8. CAPITAL ALLOCATION Kjell Johnsen Alex Kazbegi 4. RUSSIA: CHALLENGES & OPPORTUNITIES 9. LOOKING FORWARD Kjell
Slide 4: VEON's Investment Case
VEON’S INVESTMENT CASE • Broad Emerging Markets footprint with scale and focus on three main operating clusters: – Russia: the cornerstone – Pakistan, Ukraine, Kazakhstan and Uzbekistan: our growth engines – Algeria, Bangladesh and Others: frontier markets • Poised for continued strong organic growt
Slide 5: Our Markets Offer Big Opportunity
OUR MARKETS OFFER BIG OPPORTUNITY… CORNERSTONE GROWTH ENGINES FRONTIER MARKETS RUSSIA PAKISTAN UKRAINE OTHER MARKETS Population 144 million Population 201 million Population 44 million • 74% urban • 36% urban • 69% urban • 35% under 30 • 66% under 30 • 34% under 30 Population 221 million • 54% under
Slide 6: VEON at a Glance
VEON AT A GLANCE a leading provider of connectivity and internet services TOP-10 GLOBAL TOTAL REVENUE EBITDA FY 2018 TELECOM OPERATOR1 FY 2018 210 million mobile customers 2 9,086 USD million 3,273 USD million EQUITY FREE CASH DATA REVENUE DATA CUSTOMERS FLOW4 FY 2018 1,032 USD million 2,120 USD mil
Slide 7: An Experienced Management Team
VEON AT A GLANCE An experienced management team Kjell Johnsen Alex Kazbegi Aamir Ibrahim Ursula Burns Vasyl Latsanych Group Chief Group Chief Pakistan CEO Chairman and CEO Operating Officer Russia CEO Strategy Officer Scott Dresser Jacky Simmonds Trond Westlie Erik Aas Matthieu Galvani Group General
Slide 8: Strengthening Our Management Team - VEON Ventures
STRENGTHENING OUR MANAGEMENT TEAM VEON Ventures Sergi Herrero appointed to lead VEON Ventures to: • drive our ambition beyond traditional connectivity to deliver growth from adjacent, digital products that are scalable, strategic and long-term • identify and evaluate opportunities, forge global part
Slide 9: Our Journey So Far: Six Quarters of Considerable Change
OUR JOURNEY SO FAR Six quarters of considerable change SIMPLIFY OUR STRUCTURE TARGET COST EFFICIENCIES • Sale of 50% stake in Italy joint venture • Lean operating model adopted increased our focus on emerging • Cost intensity program ongoing markets • HQ costs falling, on track to halve by • Success
Slide 10: Our Journey So Far: Six Quarters of Financial Growth
OUR JOURNEY SO FAR Six quarters of financial growth TOTAL REVENUE ORGANIC GROWTH YOY EBITDA ORGANIC GROWTH YOY 7.4% 7.5% 10.3% 11.1% 5.3% 10.0% 3.2% 6.3% 3.0% 2.9% 4.8% 4.6% Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 CAPEX EXCL. LICENSES/REVENUE T
Slide 11: Values, Ethics and Governance
VALUES, ETHICS AND GOVERNANCE • Guided by our strong values: – Customer obsessed – Innovative – Entrepreneurial – Collaborative – Truthful • Committed to highest ethical standards • Dedicated to achieving best Environmental, Social and Governance (ESG) standards 11
Slide 12: Creating Value for Shareholders - VEON Strategy
CREATING VALUE FOR SHAREHOLDERS POSITIONED FOR GROWTH 1 2 OPERATIONAL EXECUTION VEON STRATEGY PORTFOLIO DEVELOPMENT 3 4 CAPITAL ALLOCATION EMPOWERING CUSTOMER AMBITIONS 12
Slide 13: Agenda
AGENDA 1. WHAT VEON STANDS FOR 6. EXECUTING ON FRONTIER MARKETS Ursula Burns Kjell Johnsen 2. STRATEGY FRAMEWORK 7. PORTFOLIO DEVELOPMENT Alex Kazbegi Alex Kazbegi 3. POSITIONED FOR GROWTH 8. CAPITAL ALLOCATION Kjell Johnsen Alex Kazbegi 4. RUSSIA: CHALLENGES & OPPORTUNITIES 9. LOOKING FORWARD Kjell
Slide 14: Strategy Framework: Our Group Vision
STRATEGY FRAMEWORK Our Group vision EMPOWERING CUSTOMER AMBITIONS • Our long-term goal is to fuse technology with human behavior in a predictive, cognitive manner to create products and services that reflect the individual needs of our customers • Success will be enabled though smart deployment of t
Slide 15: Strategy Framework: Three Interlocking Sources of Value
STRATEGY FRAMEWORK Three interlocking sources of value Future Assets: Imagining Tomorrow’s Possibilities Harnessing new ideas and emerging technologies to develop FUTURE the products and services of tomorrow ASSETS New Services: Transforming Customer Experiences Future Assets Fusing advanced technol
Slide 16: Strategy Framework: Re-thinking Incremental Value
STRATEGY FRAMEWORK Re-thinking incremental value Long-term incremental value FUTURE ASSETS Future Assets NEW SERVICES New Services CONNECTIVITY BUSINESS Connectivity Leadership, Culture, Values Drive long-term value by inverting how we think about incremental returns 16
Slide 17: Strategy Framework: A Clear Value Proposition for All Core Stakeholders
STRATEGY FRAMEWORK A clear value proposition for all core stakeholders Customers, Regulators, Societies Investors • Provide fundamental connectivity • Maximize present investment returns and FUTURE reward patient capital • Empower customer ambitions ASSETS • Explore medium-term revenue • Foster digi
Slide 18: Strategy Framework: Illustrating Our Strategy
STRATEGY FRAMEWORK Illustrating our strategy DFS Pakistan with 6 mln customers First asset in VEON Ventures FUTURE Potential to scale up as a stand-alone business and to be utilized in different markets ASSETS Future Assets Beeline TV Russia, 1.5 mln monthly users NEW SERVICES Unique product enabled
Slide 19: Strategy Framework: Digital Services Already Deployed
STRATEGY FRAMEWORK Digital services already deployed B2C Self-service BIG DATA - INTERNAL ECOSYSTEM On-line store (eShop) DBSS In-aisle sales support Digital marketing Digital partnerships TECHNICAL Digital Enablers ENABLERS DMP Platform Digital Products DFS ESS Content BIG DATA/AI - Platform Fintec
Slide 20: Strategy Framework: Key Performance Indicators
STRATEGY FRAMEWORK Key Performance Indicators ADOPTION USAGE SUCCESS • Downloads • DAUs, WAUs, • Value of total DFS • Number of wallets MAUs transactions FUTURE • Wallet values • Revenue growth ASSETS • Cash in ecosystem • Transactions per month Future Assets NEW SERVICES Native • Downloads • DAUs,
Slide 21: Different Local Opportunities and Strategies
DIFFERENT LOCAL OPPORTUNITIES AND STRATEGIES… … based on market maturity, PAKISTAN UKRAINE ALGERIA while VEON explores options to execute on all three pillars of our Group Strategy in every market RUSSIA KAZAKHSTAN UZBEKISTAN BANGLADESH Well positioned to capture long-term growth potential of our ea
Slide 22: Agenda
AGENDA 1. WHAT VEON STANDS FOR 6. EXECUTING ON FRONTIER MARKETS Ursula Burns Kjell Johnsen 2. STRATEGY FRAMEWORK 7. PORTFOLIO DEVELOPMENT Alex Kazbegi Alex Kazbegi 3. POSITIONED FOR GROWTH 8. CAPITAL ALLOCATION Kjell Johnsen Alex Kazbegi 4. RUSSIA: CHALLENGES & OPPORTUNITIES 9. LOOKING FORWARD Kjell
Slide 23: Positioned for Growth: Upside in Mobile Penetration and Usage
1 POSITIONED FOR GROWTH Significant upside in mobile penetration and usage 4G SMARTPHONE PENETRATION DATA USAGE Percentages of total subscriber base, % GBOU per subscriber Western Europe: 57% Western Europe: 3.5Gb 35% 19% 20% 7% 22% 15% 24% 21% 19% 16% 2.4 0.6 0.9 0.5 1.1 0.6 2.5 2.2 0.9 1.2 Algeria
Slide 24: Positioned for Growth: Demographic-led Medium Term Opportunities
1 POSITIONED FOR GROWTH Strong demographic-led medium term opportunities +30 +25 +100 +145 million million million million Markets population Data penetration Financial services1 Digital services2 to grow from to increase from penetration penetration 660 million to 60% to to grow from to grow from 6
Slide 25: Positioned for Growth
1 POSITIONED FOR GROWTH EXTERNAL GROWTH DRIVERS OUR MARKET POSITIONING • General economic development • Strong market positions in high growth markets • Low and rising smartphone penetration • Significant headroom for customer penetration • Mobile data usage and data usage • Young, growing populatio
Slide 26: Agenda
AGENDA 1. WHAT VEON STANDS FOR 6. EXECUTING ON FRONTIER MARKETS Ursula Burns Kjell Johnsen 2. STRATEGY FRAMEWORK 7. PORTFOLIO DEVELOPMENT Alex Kazbegi Alex Kazbegi 3. POSITIONED FOR GROWTH 8. CAPITAL ALLOCATION Kjell Johnsen Alex Kazbegi 4. RUSSIA: CHALLENGES & OPPORTUNITIES 9. LOOKING FORWARD Kjell
Slide 27: Russia: Challenging Market Conditions
2 RUSSIA Challenging market conditions KEY ECONOMIC PRICE TECHNOLOGICAL • 4-player saturated prepaid market with high SIM INDICATORS LEVEL DEVELOPMENT penetration THE CHEAPEST UNLIM. POPULATION • 9.9% WACC TARIFF IN THE WORLD COVERAGE BY • 5.3% Inflation In RUB TECHNOLOGY • All players are trying to
Slide 28: Russia: Focus on Market Value
2 RUSSIA Focus on market value ARPU DEVELOPMENT IN MARKET GROWTH SLOWS DOWN CHALLENGING MARKET CONDITIONS Mobile market YoY growth Percentages of total subscriber base, % 2013 2014 2015 2016 2017 2018 1Q19 2Q19 Beeline Competitor 1 Competitor 2 Competitor 3 Beeline demonstrates the highest ARPU, whi
Slide 29: Russia: Beeline Strikes Back
2 RUSSIA Beeline strikes back SHORT-TERM PROMOTIONS WITH CLEAR PRICE COMMUNICATION UNLIMITED ONLY ONLY FOR REQUIRE FOR 99 RUB FOR 1 1 MONTH MANUAL tariff ACCEPTANCE IN FIRST MONTH: 3 MONTHS TIME WORKS FOR NEWCOMERS OF FREE BOUNDED FOR 2 PROVIDES FREE PRICE UNLIM OPTION FOR UNLIMITED 3 MONTHS, PLANS’
Slide 30: Russia: Improvements in Network with Focus on LTE
2 RUSSIA Improvements in network with focus on LTE LTE POPULATION COVERAGE Percentage 75% 79% Progress made: 64% • +20% growth in number of LTE base stations in H1 2019, almost two times more than largest competitors • >80% LTE traffic in total traffic in H1 2019 2017 2018 1H 2019 MOSCOW, AVERAGE DA
Slide 31: Russia: Distribution Development
2 RUSSIA Distribution development ACTIVE SALES NUMBER OF MONOBRAND STORES In million SIM cards (B2C) Thousands 7 108 108 102 6 0.2 87 89 5 1.8 0.1 4 1.7 3 2 3.0 2 3.8 3.5 1 2.1 0 2015 2016 2017 2018 2019 Competitor 1 Beeline Competitor 2 Competitor 3 Big 4 Beeline Own stores Franchised Euroset store
Slide 32: Russia: Addressing Core Connectivity
2 RUSSIA Addressing core connectivity 3B (bundle, brand, best seller) DISTRIBUTION NETWORK KEY ACHIEVEMENTS KEY ACHIEVEMENTS KEY ACHIEVEMENTS +2.9% ARPU growth YoY >50% of sales through monobrand channel #2 inin LTE 1H19 base stations growth +46% MBOU growth YoY (highest growth in the market) 9.5% o
Slide 33: Russia: Expanding Digital Routes and Deploying New Services
2 RUSSIA Expanding digital routes and deploying new services MYBEELINE BEELINE FINANCIAL BIG DATA ECOSYSTEM TV SERVICES ADTECH • Daily customer engagement • Personalized, targeted featuring • Commercialized as an integral 2016 Marketing and AdTech and the cross-selling of partner Live TV and VoD par
Slide 34: Russia: Strengthening Our Position
2 RUSSIA Strengthening our position NETWORK: ENHANCE QUALITY RETAIL: REALISE BENEFITS OF PRICING: LEAD WITH SIMPLE, CONVERGED AND BECOME THE MOST MONOBRAND AND HANDSETS STRATEGY, OFFERS TO INSULATE AGAINST MARKET RELIABLE PROVIDER ACCELERATE DIGITAL CHANNELS COMPETITION • Continue to focus on mobile
Slide 35: Agenda
AGENDA 1. WHAT VEON STANDS FOR 6. EXECUTING ON FRONTIER MARKETS Ursula Burns Kjell Johnsen 2. STRATEGY FRAMEWORK 7. PORTFOLIO DEVELOPMENT Alex Kazbegi Alex Kazbegi 3. POSITIONED FOR GROWTH 8. CAPITAL ALLOCATION Kjell Johnsen Alex Kazbegi 4. RUSSIA: CHALLENGES & OPPORTUNITIES 9. LOOKING FORWARD Kjell
Slide 36: Pakistan: Consolidating Our Market Leadership
2 PAKISTAN Consolidating our market leadership DATA SUBSCRIBERS GROWTH Total subscribers / % of data users in total subscribers 100% • Strong performance continues in the first half: 22.0% YoY 59 organic growth in revenue and 24.2% YoY organic growth in 90% EBITDA 57 80% 70% • Customer based increas
Slide 37: Pakistan: Big Data Accelerating Commercial Success
2 PAKISTAN Big data accelerating commercial success JAZZ TV • Identification for comparative profile matching • Increased propensity to subscribe • Optimized marketing push 2.7M+ 424K 609% Downloads MAUs YoY Growth Result: higher customer engagement, lowest industry churn, upselling new services 37
Slide 38: Pakistan: Future Asset Opportunity in DFS
2 PAKISTAN Future Asset opportunity in DFS DIGITAL FINANCIAL SERVICES # of Active Wallets (millions) / Total Value Processed (PKR billions) • A transformative lifestyle product given the nation’s significant 6 400 unbanked population (~50%) 5 350 • Nearly 16% of all accounts in Pakistan are JazzCash
Slide 39: Ukraine: Monetizing Strong Data Growth
2 UKRAINE Monetizing strong data growth • Technological leadership cementing our market position Q2 2017 43 40 25 (#1 customer choice) • Successful 4G/LTE launch and subscriber base migration • LTE ARPU now twice as high as non-LTE ARPU Q2 2018 51 51 37 • FMC propositions support fixed-line growth a
Slide 40: Ukraine: Empowering Digital Choices
2 UKRAINE Empowering digital choices SHARE OF DIGITAL • Transforming into a digital operator: CHANNELS IN TARIFF MIGRATIONS – External digital ecosystem 15% +6pp YoY – – Core business services Internal processes • Evolving digital ecosystem of consumer services: – Content (TV, radio, music, sport) –
Slide 41: Uzbekistan: Best Network Quality and Clear Customer Focus
2 UZBEKISTAN Best network quality and clear customer focus UZBEKISTAN MARKET: BEELINE UZBEKISTAN STRATEGY: MOBILE PENETRATION • Growing mobile telecom market • Invest in 4G network coverage • Economic liberalization and openness • Customer retention activities to to foreign investment reduce churn •
Slide 42: Agenda
AGENDA 1. WHAT VEON STANDS FOR 6. EXECUTING ON FRONTIER MARKETS Ursula Burns Kjell Johnsen 2. STRATEGY FRAMEWORK 7. PORTFOLIO DEVELOPMENT Alex Kazbegi Alex Kazbegi 3. POSITIONED FOR GROWTH 8. CAPITAL ALLOCATION Kjell Johnsen Alex Kazbegi 4. RUSSIA: CHALLENGES & OPPORTUNITIES 9. LOOKING FORWARD Kjell
Slide 43: Bangladesh: Turnaround Story, Region-focused Strategy
2 BANGLADESH Turnaround story, region-focused strategy YOY QUARTERLY SERVICE REVENUE GROWTH BANGLADESH MARKET: BANGLALINK’S STRATEGY: BDT million • Data-driven industry growth • Grow high-value customers • Future growth underpinned by • Capture double-digit data revenue affordable handsets and low g
Slide 44: Algeria: Focus on Value in an Unstable Macro Environment
2 ALGERIA Focus on value in an unstable macro environment MARKET VALUE AND SHARE • 1 Network MARKET SHARE GROWTH THROUGH: 45% 360 • #1 Network 40% 350 – Largest 4G Network 35% 340 – Best data experience 30% 330 • #1 Digital Company 25% 320 – New DBSS deployed 20% 310 – Selfcare digitally-enabled and
Slide 45: Agenda
AGENDA 1. WHAT VEON STANDS FOR 6. EXECUTING ON FRONTIER MARKETS Ursula Burns Kjell Johnsen 2. STRATEGY FRAMEWORK 7. PORTFOLIO DEVELOPMENT Alex Kazbegi Alex Kazbegi 3. POSITIONED FOR GROWTH 8. CAPITAL ALLOCATION Kjell Johnsen Alex Kazbegi 4. RUSSIA: CHALLENGES & OPPORTUNITIES 9. LOOKING FORWARD Kjell
Slide 46: Portfolio Approach: Our Investment Philosophy
PORTFOLIO APPROACH Our investment philosophy 3 • Constantly evaluate the Group structure and our existing portfolio of assets to assess fit and incremental contribution to value creation for our shareholders • We rank operating companies through a grid of metrics evaluating market attractiveness, ou
Slide 47: Portfolio Development: A Balanced Portfolio of Three Operating Clusters
PORTFOLIO DEVELOPMENT A balanced portfolio of three operating clusters 3 REVENUE MARKET PRICING COUNTRY MARKETSHARE REGULATION TRENDS • Largest, most mature market with strong cash generation and revenue opportunities across all three pillars Russia 3rd • ROIC above WACC – Grow modestly with moderat
Slide 48: Agenda
AGENDA 1. WHAT VEON STANDS FOR 6. EXECUTING ON FRONTIER MARKETS Ursula Burns Kjell Johnsen 2. STRATEGY FRAMEWORK 7. PORTFOLIO DEVELOPMENT Alex Kazbegi Alex Kazbegi 3. POSITIONED FOR GROWTH 8. CAPITAL ALLOCATION Kjell Johnsen Alex Kazbegi 4. RUSSIA: CHALLENGES & OPPORTUNITIES 9. LOOKING FORWARD Kjell
Slide 49: Capital Allocation Principles Integral to Our Strategy
CAPITAL ALLOCATION Capital allocation principles integral to our strategy 4 • Our capital allocation objectives are to: – match the size of investments with the attractiveness of markets and products on a ROIC / Payback basis – invest in supporting and enhancing our core connectivity business – inve
Slide 50: Capital Allocation: Stretching Our Ambition, Measuring Our Success
CAPITAL ALLOCATION Stretching our ambition, measuring our success 4 Objective: Enhance firm-wide intrinsic value Capital allocation: Balance sheet investment, Scalability test Financial KPI: Return on Assets (ROA) FUTURE Stand-alone market valuations ASSETS Future Assets Objective: Grow revenues & p
Slide 51: Capital Allocation: Investing for the Future
CAPITAL ALLOCATION Investing for the future 4 COUNTRY INVESTMENT PRIORITIES INVESTMENT PRIORITIES Russia Extend LTE coverage and capacity, targeted fixed line roll- Evaluate investment opportunities for each market and each out, data storage in line with local regulation product based on strategic p
Slide 52: Payback Period and Market Assessments
CAPITAL ALLOCATION Payback period and market assessments deployed 4 to identify our investment priorities Fixed New revenue streams Digitization APPROVED DURING REGULAR Market attractiveness Mobile PERFORMANCE ASSESSMENT 5G preparation 11 1 21 35 19 8 33 25 44 24 12 4 6 7 2 5 26 27 37 10 38 23 20 34
Slide 53: Capital Allocation: Debt and Balance Sheet Leverage
CAPITAL ALLOCATION Debt and balance sheet leverage 4 Q2 2019 GROUP DEBT CURRENCY MIX Our target leverage ratio is driven by a number of factors, including: including effect of FX derivatives • FX mix: improving 4% 3% • Capex requirements: rising • Managing debt maturity and cost of debt • Average ma
Slide 54: Capital Allocation: Cash Upstreaming Improving
CAPITAL ALLOCATION Cash upstreaming improving 4 1H 2019 OPCF (EBITDA-CAPEX) of VEON markets • Uzbekistan’s cash upstreaming capability was unlocked in December 2017 USD million • The cap on upstreaming from Ukraine cash was fully removed in July 2019 77 22 90 • GTH restructuring is underway: 400 122
Slide 55: Capital Allocation: Short-term Outlook
CAPITAL ALLOCATION Short-term outlook 4 We see a number of value creative opportunities over the next 18 months: • improve market position in our core Russian business, targeting capex to match our new products and service quality with the technology required for the best customer experience • conso
Slide 56: Capital Allocation: Dividend Policy
CAPITAL ALLOCATION Dividend policy 4 • Our current policy of paying progressive US dollar-denominated dividends does not provide VEON with the financial flexibility we require to pursue the investment opportunities we identify • It also links payment to a non-revenue currency and fails to accommodat
Slide 57: Capital Allocation: Dividend Policy
CAPITAL ALLOCATION Dividend policy 4 VEON’s Management has recommended, and our Group Board of Directors has approved: VEON’s revised dividend policy, which will be introduced from financial year 2020, targets paying at least 50% of prior year Equity Free Cash Flow after licenses. For financial year
Slide 58: Capital Allocation: Dividend Policy
CAPITAL ALLOCATION Dividend policy 4 We believe our revised policy clearly states: • our commitment to invest in high-growth, high-return opportunities rather than forgoing these for lack of cash • our commitment to maintaining a healthy balance sheet and strong financial discipline • our goal to ac
Slide 59: Agenda
AGENDA 1. WHAT VEON STANDS FOR 6. EXECUTING ON FRONTIER MARKETS Ursula Burns Kjell Johnsen 2. STRATEGY FRAMEWORK 7. PORTFOLIO DEVELOPMENT Alex Kazbegi Alex Kazbegi 3. POSITIONED FOR GROWTH 8. CAPITAL ALLOCATION Kjell Johnsen Alex Kazbegi 4. RUSSIA: CHALLENGES & OPPORTUNITIES 9. LOOKING FORWARD Kjell
Slide 60: Creating Value for Shareholders - VEON Strategy
CREATING VALUE FOR SHAREHOLDERS POSITIONED FOR GROWTH 1 2 OPERATIONAL EXECUTION VEON STRATEGY PORTFOLIO DEVELOPMENT 3 4 CAPITAL ALLOCATION EMPOWERING CUSTOMER AMBITIONS 60
Slide 61: Looking Forward
LOOKING FORWARD • We are excited about multiple opportunities our markets present us over the next few years • Our priorities are to deliver growth through targeted investments following a rigorous capital allocation process • Our three pillar strategy enables us to better identify value creating op
Slide 62: Agenda
AGENDA 1. WHAT VEON STANDS FOR 6. EXECUTING ON FRONTIER MARKETS Ursula Burns Kjell Johnsen 2. STRATEGY FRAMEWORK 7. PORTFOLIO DEVELOPMENT Alex Kazbegi Alex Kazbegi 3. POSITIONED FOR GROWTH 8. CAPITAL ALLOCATION Kjell Johnsen Alex Kazbegi 4. RUSSIA: CHALLENGES & OPPORTUNITIES 9. LOOKING FORWARD Kjell
Slide 63: Q&A
Q&A ©VEON Ltd 2019
Slide 64: 2019 Guidance Revised
2019 guidance revised REVISED FY 2019 FY 2019 GUIDANCE GUIDANCE Low single-digit Low single-digit Total revenue organic1 growth organic1 growth Low to mid-, single- At least mid-, single- EBITDA digit organic1 growth digit organic1 growth ► EFCF target is based on currency rates of 20 February 2019