Taiwan Mobile Co., Ltd. · TWSE:3045
Taiwan Mobile — 4Q13 Earnings Presentation
18 slides from Taiwan Mobile's earnings presentation, Jan 28, 2014
Slide 1: Taiwan Mobile Co., Ltd. 4Q13 Results Summary
Taiwan Mobile Co., Ltd. 4Q13 Results Summary January 28, 2014 1
Slide 2: Disclaimer
Disclaimer The information contained in this presentation, including all forward- looking information, is subject to change without notice, whether as a result of new information, future events or otherwise, and Taiwan Mobile Co., Ltd. (the “Company”) undertakes no obligation to update or revise the
Slide 3: Business Overview
Business Overview 3
Slide 4: Healthy Mobile Revenue Growth
Healthy Mobile Revenue Growth TWM’s Peer Comparison Mobile Service Revenue Unit: NT$ ARPU TWM FET Unit: NT$mn 5% YoY CHT 4Q13 YoY TWM FET CHT Mobile Service Revenue 5% 3% 6% Voice Revenue -5% -8% -8% VAS Revenue 27% 24% 39% * Based on IFRS – Residual Value Method, i.e. excluding revenue adjustments
Slide 5: Our Smartphone Strategy
Our Smartphone Strategy Smartphone as % of total handsets sold Current Exclusive Models TWM Amazing A1~A7, 10 A3S, A5C, A6S Grand Duos, Mini, Ace II, 6 Core, Grand Duos 2 One SV, Desire 200, 4 Desire 500, Desire 300 Xperia P, Xperia sola, 3 Mobile data adoption rate Xperia ZR Z10, Q5 2 Lumia 520, Lu
Slide 6: CATV Growth Catalysts
CATV Growth Catalysts Sub base 4Q13 ARPU YoY growth Analogue TV 1% $493 Cable internet 6% $539 DTV 65% $138 Blended ARPU * $792 +2% YoY * Calculation based on total cable TV revenue excluding content agency revenue 6
Slide 7: New Products & Services
New Products & Services 2GB data pack Introduced new post-paid data pack for 2GB usage at NT$299 with 90 days usage period, and the ability to reload back up to 2GB at any time. Cloud IDC TWM’s green cloud IDC (Internet Data Center) received the ISO 50001 Certification as well as the Uptime Institut
Slide 8: Financial Overview
Financial Overview 8
Slide 9: Divisional Performance
Divisional Performance Revenue EBITDA NT$bn CBG EBG HBG momo Total CBG EBG HBG momo Total 2013 71.20 10.73 6.24 21.28 109.14 22.95 3.75 3.28 0.83 30.80 % of 65% 10% 6% 19% 100% 75% 12% 11% 3% 100% total YoY 8% 3% 2% 20% 9% 0% 9% 1% 2% 1% Note: The combined total of CBG, EBG, HBG and momo does not eq
Slide 10: Results Summary
Results Summary 2013 NT$mn % of Amount YoY Forecast Revenue 109,143 9% 97% Cost (70,033) 14% 96% Operating expenses (18,315) 6% 97% Operating income 20,795 0% 102% Net non-oper. items (1,676) 99% 118% Income before tax 19,119 -4% 101% Net income 15,583 -5% 101% EPS (NT$) 5.79 -5% 101% EBITDA 30,797
Slide 11: Balance Sheet Analysis
Balance Sheet Analysis 4Q13 3Q13 4Q12 4Q13 3Q13 4Q12 NT$bn IFRS IFRS IFRS IFRS IFRS IFRS Total Assets 138.35 109.35 100.39 Liabilities 79.83 54.49 42.75 Current Assets 29.49 28.86 23.77 Current Liabilities 58.61 35.41 29.93 - Cash & Cash Equivalents 7.95 7.79 6.19 - ST Debts 34.00 12.73 7.16 - Accou
Slide 12: Cash Flow Analysis
Cash Flow Analysis NT$bn 4Q13 3Q13 2013 2012 Operating Cash Flow 7.58 5.93 24.83 25.98 Investing Cash Flow (30.40) (2.57) (42.35) (10.23) Financing Cash Flow 22.98 (6.86) 19.27 (16.13) NT$bn 4Q13 3Q13 2013 2012 Cash CAPEX (2.67) (2.67) (11.98) (8.29) Free Cash Flow 4.91 3.26 12.85 17.69 12
Slide 13: Business Outlook & Event Updates
Business Outlook & Event Updates 13
Slide 14: 1Q14 Guidance
1Q14 Guidance NT$bn 1Q14 1Q13 YoY Revenue 27.98 26.56 5% EBITDA 7.46 7.46 0% Operating Income 4.82 4.99 -3% Non-operating expense 0.07 0.28 -74% Net Income 3.91 3.81 3% EPS (NT$) 1.45 1.42 3% 14
Slide 15: Business Outlook & Key Message
Business Outlook & Key Message Maintaining EBITDA stability for our telecom operations will be management’s top focus this year. Separately, we expect profit additions from momo and much less non-operating expenses in 2014. Nonetheless, a D&A rise in the wake of the LTE service launch would affect s
Slide 16: Event Updates
Event Updates Capex Guidance The board today (January 28, 2014) approved a NT$12.8bn capex for 2014, lower than the NT$15.1bn expenditure budget in 2013, due to reductions in 3G expenditure expected to be larger than rises in 4G capex. Regulatory Update TWM is one of the first two operators to have
Slide 17: Event Updates – Cont'd
Event Updates – Cont’d Awards and Recognition − Received “2013 Taiwan Corporate Sustainability Awards - Excellence in Telecom Sector” as well as “Role Model Award for Community Service and Outreach” from the Taiwan Institute for Sustainable Energy Research. − The Company (comprising of its office bu
Slide 18: Q&A
Q&A 18