Telekom Austria Ag · VIE:TKA
Telekom Austria — Q1 2024 Earnings Presentation
19 slides from Telekom Austria's earnings presentation, Apr 16, 2024
Slide 1: Results for Q1 2024
At fea Results for 4 Qi 2024 A‘Group
Slide 2: Cautionary statement
Cautionary statement This presentation contains forward-looking statements. These forward-looking statements are usually accompanied by words such as 'believe', 'intend', 'anticipate', 'plan', 'expect' and similar expressions. Actual events may differ materially from those anticipated in these forwa
Slide 3: Highlights Q1 2024
A1 Group Highlights Q1 2024 • Total revenues up +0.7% driven by service revenue growth (+3.1% yoy) in local currency in all markets except Slovenia, equipment revenues down 9.8% yoy. • Service Revenue growth supported by solution & connectivity and mobile business but impacted by negative currency e
Slide 4: Customer-related information
Customer-related information Mobile subscribers (in thousand) RGUs (in thousand) Q1 ‘24 Group ARPU and ARPL (in EUR) 25.8 26.3 6,220 6,249 6,250 6,271 6,267 24,486 25,131 25,245 25,441 24,116 28% 29% 29% 30% 30% 11.0 11.3 84% 84% 86% 85% 86% 43% 43% 43% 43% 43% 29% 28% 27% 27% 27% Q1 2023 Q2 2023 Q3
Slide 5: Group revenues
Group revenues Unless otherwise stated, all amounts in EUR mn Q1 2024 Q1 2023 Service revenues 1,071 1,038 +3.1% Equipment revenues 176 195 -9.8% Other operating income 21 24 -15.6% Total revenues 1,267 1,258 +0.7% Service revenue growth drivers, YTD Total revenues growth – Group and International,
Slide 6: Segment Austria in Q1 2024
Segment Austria in Q1 2024 AT Service revenues (EUR mn) Key Points +1.7% | − Results profit from value-protecting measures taken last year, solid +2.6% w/o IB* retail mobile and solutions & connectivity business 595 605 − Losses in IC and equip. revenues, retail fixed line revenues stable 39 35 − Ac
Slide 7: International segments in Q1 2024
International segments in Q1 2024 Highlights Revenues and EBITDA (EUR mn) Service revenues and EBITDA up in all markets in local currency except for Slovenia, growth rates slowed somewhat after a strong increase in 2023. +7.4% 177 +3.1% (BYN) +7.1% -12.6% 128 • Bulgaria: solid results: value protect
Slide 8: P&L
P&L Unless otherwise stated, all amounts in EUR mn Q1 2024 Q1 2023 Revenues 1,267 1,258 +0.7% Q1 2024 - below EBITDA OPEX (813) (822) –1.1% Restructuring (21) (21) –0.7% EBIT decline due to higher D&A: EBITDA 454 436 +4.2% • EUR 36 mn higher D&A, mainly due to EBITDA margin 35.9% 34.7% +1.2pp D&A on
Slide 9: Free cash flow
Free cash flow Unless otherwise stated, all amounts in EUR mn Q1 2024 Q1 2023 EBITDA 454 436 +4.2% Free Cash Flow was lower vs Q1 Restructuring charges, cost of labor 2023, due to higher payments for 22 23 –1.7% leases after the spin-off, as well as obligations significant changes in working capital
Slide 10: Focus points
Focus points 10 Results presentation: Q1 2024
Slide 11: ICT solutions as key growth driver for the future
ICT solutions as key growth driver for the future ICT business in the group Best practice example: ICT in Bulgaria ▪ A1 offers a versatile ICT portfolio including cloud-, security-, ▪ ICT solutions in Bulgaria with above average growth rates as key datacentre-, communication-, network-, IoT & Analyt
Slide 12: 5G: major spectrum investments done; next focus is on shift from coverage to capacity
5G: major spectrum investments done; next focus is on shift from coverage to capacity build-out A1 Group’s 5G spectrum investments in EUR mn including the respective total MHz in each band 3400-3800 700 MHz 2100 MHz 26 GHz MHz 51.2 67.8 4.6 Austria* n.a. (2x 25 MHz) (up to 180 MHz, (1x 400 MHz) regi
Slide 13: A1 ESG update: achievements in 2023
A1 ESG update: achievements in 2023 2023 target Selected ESG KPIs Status Sustainalytics: attainment #5 out of >200 telcos globally Reduction of Scope 1&2 CO2 –54% since 2019 emissions by -90% until 2030 in On track in scope 1&2 comparison to 2019. Recycle or refurbish 20% of all 29% in 2023 Exceeded
Slide 14: Outlook
Out look 14 Results presentation: Q1 2024
Slide 15: Guidance 2024
Guidance 2024 Total revenues +3-4% CAPEX (excl. spectrum) Around EUR 800 million ▪ CAPEX: excl. spectrum at around EUR 800 million ▪ A1 Group remains committed to fiber-rollout program in Austria at an unchanged pace ▪ Revaluation of non-business-critical projects both in Austria and CEE ▪ Dividend:
Slide 16: Appendix
App endix 16 Results presentation: Q1 2024
Slide 17: A1 ambitions 2024-2026
A1 ambitions 2024-2026 Revenues EBITDA CAPEX 3-4% increase p.a. 4-5% increase p.a. EUR 2.8 bn plus frequencies Based on current inflation and exchange rate expectations Based on current inflation and exchange rate expectations Dividend baseline EUR 0.32 Based on the Group's operational and financial
Slide 18: Conservative financial policy and investment-grade ratings
Conservative financial policy and investment-grade ratings As of March 31, 2024 Overview (March 31, 2024) Lines of credit (March 31, 2024) Credit ratings • Total financial debt: EUR 748 mn • Total committed lines: EUR 1,315 mn A3/A- • Average cost of debt: 1.50% o Average term to maturity: 2.02 year
Slide 19: Thank you