Etihad Etisalat Co. · TADAWUL:7020
Etihad Etisalat — FY2017 Earnings Presentation
14 slides from Etihad Etisalat's earnings presentation
Slide 1: Investor Presentation FY 2017
Investor Presentation FY 2017 1 1
Slide 2: Disclaimer
Disclaimer This document has been prepared by Mobily (the “Company”) solely for presentation purposes. The information contained in this document has not been independently verified and no representation or warranty, expressed or implied, is made as to, and no reliance should be placed on, the fairn
Slide 3: Contents
Contents • Environment ₋ Macro ₋ Regulatory ₋ Telecom Market • Strategy and Operational Updates ₋ Operational Updates ₋ 2017 Performance Highlights • Financial Overview 3
Slide 4: Macro and Regulatory: Challenging Environment
Key Highlights FY2017 Challenging Environment • Fees on expat and dependents have been applied since July 2017, starting with 100 SAR per month per dependent creating pressure on expat population. • Saudi Arabia partially removed the subsidies from certain utilities weighing on consumer purchase pow
Slide 5: Telecom Market
Key Highlights FY2017 Stabilization of the wireless market following the fingerprint effect in 2016. Strong Competition Remains. • Strong increase of data traffic fueled by youth adoption of services and increase in smart phone penetration. • Shrinking market. Telecom • challenging regulatory enviro
Slide 6: Operational Updates: Rolling out RISE strategy
Key Highlights FY2017 Rolling out RISE strategy • Conclusion of a 7 years refinancing facility (valued at 7.9 BSAR) with a group of Saudi banks, releasing liquidity risk and re-profiling the debt of the company to match its cash flow. • New vision and brand positioning. • New Organization structure
Slide 7: 2017 Performance Highlights
Key Highlights FY2017 Launching the realization of RISE strategy • Stopping customer base erosion. • Increasing demand for data leading to growth. • Intensified price compotation. 2017 • Lifting the ban on VoIP resulting in IDD declining. Performance • Marking a quarterly growth in revenues in Q4-17
Slide 8: Revenues: Stabilization of the Revenues
Key Operational and Financial Highlights Stabilization of the Revenues -2.8% +0.7% 2,932 2,908 2,865 2,854 2,826 -9.7% 2,806 14,424 12,569 50% 11,351 Revenues (In SAR Million) 24% Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 2015* 2016 2017 • Q4 marked a first quarter of growth by 0.7% versus the
Slide 9: EBITDA and EBITDA Margin
Key Operational and Financial Highlights Ability to Maintain Margins in a Challenging Environment -6.8% 977 932 900 903 911 -10.4% 817 4,069 34% 33% 32% 32% 3,646 50% 32% 28% 32% 32% EBITDA and 2,914 EBITDA Margin 24% 20% (In SAR Million) Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 2015* 2016 20
Slide 10: Investment in the Network Modernization (CAPEX)
Key Operational and Financial Highlights Investment In the Network Modernization +6.02% 1,038 980 -29.4% 50% 3,485 3,212 CAPEX/ CAPEX 34% 37% 24% 26% 438 438 2,268 to revenues % 343 24% 354 1,996 (In SAR Million) 16% 15% 20% 12% 12% 16% 1,216 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 2015* 201
Slide 11: Regular Improvements of the Operational Cash Flow
Key Operational and Financial Highlights Regular Improvements of the Operational Cash Flow 578 474 462 465 Operational50% Cash Flow +60.8% (EBITDA – 1,378 857 CAPEX) (In SAR Million) (3) (543) (128) 2015* 2016 2017 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 • 2017 shows a significant increase o
Slide 12: Net Debt and Net Debt/EBITDA
Key Operational and Financial Highlights Continuation of Deleveraging -9.3% -1.3 13,993 13.7 14.0 13.7 13.5 12,687 12,275 12.7 12.7 50% Net Debt and Net 3.4x 3.5x 3.5x 24% Debt/EBITDA 3.6 3.4 3.5 3.7 3.4 3.5 (In SAR Million) Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 2015* 2016 2017 • A decreas
Slide 13: Net Income
Key Operational and Financial Highlights Net Income (121) (214) Net Income (70) (In SAR Million) (42) (709) (166) (163) (175) (182) (190) Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 (1,093) 2015* 2016 2017 • QoQ results showed an increase in losses by 4%, YoY marked a rise in losses by 11 MSAR,
Slide 14: Etihad Etisalat Investor Relations
Etihad Etisalat Investor Relations Email: Investorcontact@mobily.com.sa Website: Investor Relations Page 14
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