Magyar Telekom Telecommunications Plc · BET:MTELEKOM
Magyar Telekom Telecommunications — Magyar Telekom — Q3 2022 Earnings Presentation
13 slides from Magyar Telekom Telecommunications's earnings presentation, Nov 8, 2022
Slide 1: Magyar Telekom Group Q3 2022 Results Presentation
MAGYAR TELEKOM GROUP Q3 2022 RESULTS PRESENTATION November 8, 2022
Slide 2: Disclaimer
DISCLAIMER This investor presentation contains forward-looking statements. Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. These statements are based on current plans, estimates and projections, and therefore should n
Slide 3: Progress Against Strategic Priorities
PROGRESS AGAINST STRATEGIC PRIORITIES Network Customers Resilience ▪ Continued fiber rollout to provide seamless ▪ Continued strong momentum in mobile data and ▪ Price increases to offset inflationary connectivity to expanding customer base gigabit broadband demand pressures ▪ Ongoing RAN modernizat
Slide 4: ARPU Growth in Hungary Driven by Data Monetization
ARPU GROWTH IN HUNGARY DRIVEN BY DATA MONETIZATION Mobile SIMs Mobile ARPU ‘000 HUF +5.9% M2M Q3 2021 5,914 Prepaid 3,774 5,582 Blended* +2.2% Q3 2022 12.5% 3,856 10.1% Postpaid 26.3% 24.0% 5,351 Postpaid* +3.0% 5,514 63.6% 63.5% 1,248 Prepaid +5.5% 1,316 Q3 2021 Q3 2022 Mobile data SIMs Mobile broa
Slide 5: Growing Customer Base Coupled with Positive BB and TV ARPU Developments
GROWING CUSTOMER BASE COUPLED WITH POSITIVE BB AND TV ARPU DEVELOPMENTS Fixed line multiplay residential subscribers Fixed Voice, BB and TV ARPU ‘000 HUF +2.9% Q3 2021 1,558 1,974 Q3 2022 1,514 Fixed voice -5.7% 1,861 18% 15% 1Play 2Play 3,656 37% 40% Fixed BB +5.2% 3,845 3Play 3,364 45% 45% Pay TV
Slide 6: Revenue Growth Driven by Sustained Commercial Momentum
REVENUE GROWTH DRIVEN BY SUSTAINED COMMERCIAL MOMENTUM Revenue, Q3 2022 vs Q3 2021* ▪ Growth in mobile service revenues driven by HUF bn +9.0% strong data demand 5.1 1.6 190.9 3.3 ▪ Fixed service growth attributable to strong -0.4 6.4 demand for broadband and TV services 175.1 ▪ Increase in equipmen
Slide 7: EBITDA AL Performance Strongly Impacted by New Supplementary Telecommunication Tax
EBITDA AL PERFORMANCE STRONGLY IMPACTED BY NEW SUPPLEMENTARY TELECOMMUNICATION TAX EBITDA AL, Q3 2022 vs Q3 2021 ▪ Increase in gross profit attributable to positive HUF bn -2.8% underlying telecommunication service 8,7 developments -3.4 60.3 -6.5 58.6 ▪ Recently imposed supplementary -0.5 telecommun
Slide 8: Supplementary Telecommunication Tax and Weakening Forint Weigh on Net Profit
SUPPLEMENTARY TELECOMMUNICATION TAX AND WEAKENING FORINT WEIGH ON NET PROFIT Net income (and adjusted net income), Q3 2022 vs Q3 2021 ▪ Lower D&A reflects copper network retirement, HUF bn lower SW-related D&A expenses and lower -4.5% 3,0 20.1 spectrum-related amortization in Hungary 17.9 0,1 17.1 -
Slide 9: Continued Focus on Network Development
CONTINUED FOCUS ON NETWORK DEVELOPMENT CAPEX AL, 9M 2022 vs 9M 2021 ▪ Increased investment in fixed network HUF bn driven by continued fiber rollout efforts 154.5 +16.2% 3,1 86.1 2,5 83.0 ▪ RAN modernization in Hungary continued 2,2 3,5 3,5 71.4 ▪ Increase in other investments led by higher -83.1 sp
Slide 10: Free Cashflow Reflects Strong Underlying Results; Supplementary Telecommunication Tax Due in Q4 2022
FREE CASHFLOW REFLECTS STRONG UNDERLYING RESULTS; SUPPLEMENTARY TELECOMMUNICATION TAX DUE IN Q4 2022 Free cashflow, 9M 2022 vs 9M 2021 HUF bn +54% 19.5 5.5 2.1 52.9 6.0 4.5 6.1 34.4 5.6 47.4 9M 2021 EBITDA w/o Working Other op. Capex Disposal of Other changes 9M 2022 excl. spectrum 9M 2022 with Pan-
Slide 11: Upgraded Revenue Target Due to Strong Commercial Momentum
UPGRADED REVENUE TARGET DUE TO STRONG COMMERCIAL MOMENTUM 9M 2022 results 2021 results 2022 targets (change YoY) HUF 547.5 bn REVENUE HUF 692.8 bn1 ca. 5% growth 2 (+9.4%) HUF165.8 bn EBITDA AL HUF 216.3 bn moderate decline (+5.1%) HUF 83.0 bn CAPEX AL3 HUF 109.3 bn broadly stable (+16.2%) HUF 52.9
Slide 12: Q&A
Q&A ? For further questions please contact the IR department: Diana Várkonyi Rita Walfisch Capital Market Relations Hub Lead Investor Relations Manager Phone: +481-7676 Phone: +36 1 457-6084 e-mail: varkonyi.diana.annamaria@telekom.hu e-mail: walfisch.rita@telekom.hu
Slide 13: North Macedonia: Q3 and 9M 2022 Results
NORTH MACEDONIA: Q3 AND 9M 2022 RESULTS Revenues, Q3 2022 vs Q3 2021* EBITDA AL, Q3 2022 vs Q3 2021 HUF mn +16.0% HUF mn -0.1% 685 1,958 19,908 2,238 -178 17,163 7,689 7,680 -1,902 -65 Q3 2021 Mobile Fixed SI/IT Q3 2022 Q3 2021 Gross profit Indirect costs IFRS 16 impact Q3 2022 Revenues, 9M 2022 vs