Kuwait Telecommunications Co. · KSE:STC
Kuwait Telecommunications — Kuwait Telecommunications Company K.S.C.P. (stc) — FY2021 Earnings Presentation
20 slides from Kuwait Telecommunications's earnings presentation, 2022
Slide 1: Investors Presentation FY-2021
Investors Presentation Kuwait Telecomunications Company K.S.C.P Kuwait Telecommunications Company K.S.C.P. FY- 2021
Slide 2: Table of content
Table of content stc’s History in Brief 3 Key Milestones 4 Vision, Mission & Values 5 Shareholder’s Structure 6 Population & Penetration 7 Competitive Strengths 8 Our 2021 Strategy 9 Market Share 10 Financial Results 11 Cash Dividends 15 Stock Performance 16 Appendix - Balance Sheet (2018–2021) 18 A
Slide 3: stc's History in Brief
stc’s History in Brief Kuwait Telecommunications Company (stc) is a Kuwaiti shareholding organization fused as per Amiri Decree No. 187 on 22 July, 2008, to work and deal with the third GSM versatile system in Kuwait according to Law No. 2 of 2007. Appropriately, stc propelled its tasks in December
Slide 4: Key Milestones
Key Milestones Best Network stc Group was ranked Development 1st in the MENA region, Award at 5G MENA by Forbe’s "Global 2000" list stc launches Elite stc Reap Three Partnership with Real Accolades at ME Ranked 1st as a Leader Launches Program for loyal, Best Telecom Co. Madrid Call
Slide 5: Vision, Mission & Values
Vision, Mission & Values Values Vision A world-class digital leader providing innovative services and platforms to our customers and enable the digital transformation in Kuwait. stc is keen to present its customers with numerous telecommunications opportunities with the goal of boosting existing rel
Slide 6: Shareholders' Structure
Shareholders' Structure 52% 24% 24% Kuwaiti Governmental Saudi Telecom Public Shareholders Entities stc KSA, the leading regional The Kuwaiti government holds Public Share holders consists telecom operator, won the bid for 24% of stc’ capital through of companies, portfolios, third mobile lice
Slide 7: Population & Penetration
Population & Penetration Current Population Current Penetration 4.7 Million 165% Kuwait Population (Million) & Penetration Rate (%) 6.0 250% 205% 200% 5.0 194% 182% 176% 200% 172% 171% 165% 155% 160% 4.0 152% 133% 150% 3.0 4.6 4.8 4.7 4.7 100% 4.2 4.4 4.5 2.0 3.8 3.9 4.1 3.4 3.5 3.6 3.7 93% 50% 1.0
Slide 8: Competitive Strengths
Competitive Strengths Relation-ship stc (the largest telecom company in the region) will continue to be a major shareholder and will continue to with benefit from being a member of stc group. Through this relationship, stc has access to technical support, industry best practice for provision of tele
Slide 9: Our 2021 Strategy "AHEAD"
Our 2021 Strategy “AHEAD” …..aims to position stc at the center of Kuwait’s digital ambitions and is built upon 5 strategic pillars I II III IV V Anticipate Harness Excel Accelerate Devote Consumer Enterprise Digital Enabling performance Needs Opportunities Experience Capabilities Culture Value gr
Slide 10: Market Share
Market Share Total Subscriber Base in Kuwait (Mn) Telecom Sector Revenues in Kuwait (KWD Mn) Total Subscribers in kuwait (Mn) stc Subcribers (Mn) Total Telecom Revenue in Kuwait (KWD Mn) stc's Revenue (KWD Mn) 7.6 7.7 7.7 7.4 860 859 7.2 7.1 841 814 825 7.0 7.0 788 799 6.41 717 753 5.9 684 690 5.2 6
Slide 11: Financial Results
Financial Results Key Financial & Operational Highlights Key Figures & Ratios FY-2020 FY-2021 Change Recommendation to distribute a cash dividends of 60 fils per share and 100% bonus Subscribers (Mn) 1.9 2.0 +7.9% shares to shareholders for the year 2021, as Revenue (KD Mn) the highest of its kind
Slide 12: Financial Results - Highlights Annual
Financial Results - Highlights Annual Revenue (KD Million) EBITDA (KD Million) EBITDA (KD Million) EBITDA Margin (%) 296 294 31% 29% 85 29% 27% 83.8 27% 26% 80 288 288 27% 25% 79.6 25% 77.8 75 283 23% 73.4 70 21% 71.1 19% 65 17% 15% 60 2017 2018 2019 2020 2021 2017 2018 2019 2020 2021 CAPEX (KD Mill
Slide 13: Financial Results - Highlights Quarterly
Financial Results - Highlights Quarterly Revenue (KD Million) EBITDA (KD Million) 82.5 EBITDA (KD Million) EBITDA Margin (%) 72.2 72.6 74.2 74.4 69.8 69.6 64.2 35% 29% 30% 27% 25.0 27% 28% 30% 25% 24% 20.0 25% 21% 20% 15.0 15% 22.0 22.6 18.9 18.9 19.6 18.5 10.0 17.0 15.5 10% 5.0 5% 0% 0.0 Q1-20 Q2-2
Slide 14: Financial Results - Highlights
Financial Results - Highlights Total Assets (KD Million) Total Debt / Equity (KD Million) 391 394 Total Debt (KD Million) Debt to Equity Ratio (x) 374 0.20 0.10 0.10 25 305 0.05 273 0.10 0.00 0.02 20 0.00 20 -0.10 15 -0.20 10 -0.30 9 10 5 -0.40 0 5 -0.50 0 2017 2018 2019 2020 2021 2017 2018 2019 202
Slide 15: Cash Dividends
Cash Dividends Cash Dividends Per Share (Fils)* Dividends Payout Ratio (%) 60 60 93% 50 67% 40 57% 30 40% 35% 10 13% 2016 2017 2018 2019 2020 2021 2016 2017 2018 2019 2020 2021 Stock Price vs. Dividends Yield stc has been distributing a growing Stock Price (KD) Div. Yield (%) dividends since 2016
Slide 16: Stock Performance
Stock Performance Closing Price (KD) 0.855 PE (X) 9.5 Paid up Capital (KD Million) 49.9 PB (X) 1.8 Market Cap (KD Million) 427 Dividend Yield (%) 7.0% Data as of 30 December 2021 Rebased Index Since stc’s Listing Date 14 Dec 2014 – Stock Performance vs. KSE and Telecom weighted Indices Page | 16
Slide 17: Appendix
Appendix Balance Sheet (2018– 2021) Income Statement (2018– 2021) Page | 17
Slide 18: Balance Sheet (2018–2021)
Balance Sheet (2018–2021) Balance Sheet 2018 2019 2020 2021 KD Mn KD Mn KD Mn KD Mn ASSETS Property and equipment 150.5 193.5 190.4 185.0 Goodwill and Intangible assets - 26.2 25.0 27.2 Other non-current assets - - - - Trade and other receivables - - - 16.0 Total non-current assets 150.5 219.7 215.4
Slide 19: Income Statement (2018–2021)
Income Statement (2018– 2021) Income Statement 2018 2019 2020 2021 KD Mn KD Mn KD Mn KD Mn Revenue 287.9 293.7 283.2 296.3 Operating expenses (139.3) (148.5) (147.4) (158.8) Staff costs (21.7) (24.6) (24.2) (24.6) Expected credit losses on trade & other receivables (18.2) (12.7) (15.0) (7.8) and con
Slide 20: Thank you
Thank you Investor Relations Department: : Investor.relations@stc.com.kw : +965 5000 1911 : www.stc.com.kw stc Kuwait Kuwait Telecommunication Company (stc) stc_Kuwait @stc_Kuwait
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