Slide 1: Dialog Axiata PLC Q4 2018 / FY 2018 Results
Dialog Axiata PLC Sri Lanka's Premier Connectivity Provider Q4 2018 / FY 2018 Results an axiata company
Slide 2: Group Performance, Company Performance, Subsidiary Performance
Dialog Group Performance Dialog Axiata Company Performance Subsidiary Performance divi/doc title/ author initials -dd-mm-yy company confidential 2 2
Slide 3: Group Performance Highlights – Q4 2018 / FY 2018
Dialog Group Performance Highlights – Q4 2018 / FY 2018 Group Profitability impacted by one-off Focused Capex All Business Segments Aggressive Subscriber reversals/charges, asset impairment and non-cash Investments to Support Delivered a Strong YTD Growth translational forex losses Rapid Growth in D
Slide 4: Group Financial Summary
Group Financial Summary Rs Mn FY 2018 YTD 4Q 18 QoQ YoY Revenue 109,157 16% 28,516 2% 15% EBITDA 43,486 28% 11,486 3% 26% PAT 7,501 -30% 92 -95% -97% EBITDA Margin 39.8% 3.9pp 40.3% 0.3pp 3.5pp PAT Margin 6.9% -4.6pp 0.3% -5.8pp -12.5pp ROIC 14.7% -0.7pp 14.7% -1.2pp -0.7pp Normalised Performance EB
Slide 5: Group Revenue Continued its Growth Trajectory
Group Revenue Continued its Growth Trajectory, Recording a Growth of 16% YTD albeit Moderating to 2% QoQ; Core Revenue Growth Remain Resilient Driven by Data Key Business Segments Driving Revenue Growth Performance +16% +15% +2% 120,000 109,157 100,000 94,196 80,000 60,000 40,000 24,801 27,951 28,51
Slide 6: Group Profitability Impacted by one-off reversals/charges, asset impairment losses
Q4 and YTD Group Profitability Impacted by one-off reversals/charges, asset impairment and non-cash translational forex losses Normalised QoQ Group EBITDA and Group PAT declined by Normalised YTD Group EBITDA and Group PAT both 0.9% and 12% respectively increased by 16% QoQ Group EBITDA YTD Group EB
Slide 7: Focused Capex Investments to Support Rapid Growth in Data
Focused Capex Investments to Support Rapid Growth in Data – Rs30.6Bn Invested in FY 2018, up 12% YTD; Capex Intensity at 28% Capex Investments Directed Towards Expanding Data Network; Mobile 4G and Fixed LTE PoP Coverage Reached 91% and 67% (Rs Mn) +12% +21% +74% 30,581 30,0 00 27,323 25,0 00 20,0 0
Slide 8: Group's Net Debt to EBITDA Remained Healthy at 0.91x
Group’s Net Debt to EBITDA Remained Healthy at 0.91x (Rs Mn) 31 Dec 18 30 Sep 18 31 Dec 17 Gross Debt 46,391 43,802 33,470 Net Debt 39,681 37,514 28,185 Cash and Cash Equivalents 6,710 6,288 5,285 OFCF (YTD) 4,182 7,091 (269) Gross Debt / Equity (x) 0.69 0.65 0.54 Gross Debt/ EBITDA (x) 1.07 1.05 0.
Slide 9: Proposed Dividend Payout Increased to 40% from 35%
Proposed Dividend Payout Increased to 40% from 35% in FY 2017, Generating an Above Market Dividend Yield of 3.7% ▪ The Board of Directors of Dialog Axiata PLC resolved to propose a cash dividend to ordinary shareholders of Thirty Seven Cents (Rs0.37) per share totaling to Rs3.0Bn for approval by the
Slide 10: Dialog Axiata PLC - Company Performance
Dialog Group Performance Dialog Axiata PLC - Company Performance Subsidiary Performance 10
Slide 11: Dialog Axiata PLC (Company) YTD Revenue Growth 9%
Dialog Axiata PLC (Company) YTD Revenue Growth 9%, Driven by Subscriber Growth (up 8%) and Data Revenue (up 32%) (Rs Mn) Revenue Growth Driven by Strong Performance Mobile MOU and ARPU decline 1% QoQ; Data ARPU in Data Continue Growth +9% +6% (Rs) +1% 450 393 390 400 411 408 9% 400 77,596 84,513 350
Slide 12: Subsidiary Performance
Dialog Group Performance Dialog Axiata Company Performance Subsidiary Performance 12
Slide 13: Dialog Television
Dialog Television Strong Revenue Growth Albeit One-Off Expenses, Forex Losses and Depreciation Impacting Profitability; Subscription Revenue Increased 11% YTD Growth in Subscription Revenue Driving Overall Subscriber Growth led by Prepaid and Postpaid Revenue Performance with Improved Churn Manageme
Slide 14: Dialog Broadband Networks – Fixed Business
Dialog Broadband Networks – Fixed Business Revenue Growth Driven by Home Broadband (HBB) on the back of Network Coverage Expansion and Aggressive Market Capture Strong Growth in Revenue YTD and QoQ Driven by Home BB, up 32% YTD; DBN Revenue (excl. Int) up 18% YTD and 6% QoQ (Rs Mn) +69% +39% +22% 18
Slide 15: Group Cost Improved both QoQ and YTD Due to Cost Optimisation Drives
Group Cost Improved both QoQ and YTD Due to Cost Optimisation Drives Total Cost to Revenue Ratio Improved 2.9pp YTD 2018 Q4 18 As % of Q3 18 As % of Q4 17 As % of FY 18 As % of QoQ YoY YTD revenue revenue revenue revenue Total Cost Rs17,252M1 60.5% Rs17,108Mn 61.2% Rs15,686Mn 63.2% Rs66,728Mn 61.1%