Globe Telecom Inc. · PSE:GLO
Globe Telecom — Shareholder Meeting (April 2013)
25 slides from Globe Telecom's shareholder meeting presentation, Apr 16, 2013
Slide 1: Annual Stockholders' Meeting
GLOBE TELECOM INC. Annual Stockholders’ Meeting The Ballroom 2, Fairmont Makati 16 April 2013
Slide 2: Message to Shareholders: Chairman
MESSAGE TO SHAREHOLDERS Jaime Augusto Zobel de Ayala Chairman
Slide 3: Sustained growth momentum buoyed by robust growth of the Philippine economy
Sustained growth momentum buoyed by robust growth of the Philippine economy Posted another banner year in 2012 Recorded all-time high overall service revenues +2.0% +1.6% Noteworthy gains in key market share Market Market Share Share Gain Gain in metrics in Mobile Broadband Revenues Revenues
Slide 4: Mobile Telephony and Broadband sectors expanding despite intensified competitive environment
Mobile Telephony and Broadband sectors expanding despite intensified competitive environment Modest Mobile Telephony Broadband Industry Subs (Mn) Industry Revenue growth from 2011 +14% 5.2 3% 4.5 2011 2012 2011 2012 Intensified competition Growth buoyed by Peaking mobile affordable access devices pe
Slide 5: Record operating results with expansion of mobile and broadband subscriber base
Record operating results with expansion of mobile and broadband subscriber base Operating Revenues Mobile Revenues Broadband Revenues In Php Bn In Php Bn In Php Bn 82.7 6% 67.2 16% 6% 8.7 77.8 63.5 7.5 2011 2012 2011 2012 2011 2012 New record highs for Record-high mobile Total subscriber base both a
Slide 6: Core Net Income improved 2% year-on year; Attractive dividend yield for shareholders
Core Net Income improved 2% year-on year; Attractive dividend yield for shareholders. Core Net Income is net income after tax Core (NIAT) but excluding foreign exchange and Net Income mark-to-market gains (losses), and non- in ₱ Mn recurring items. 2% GLO Dividend Yield 10,275 5.8% 3.8% 10,030 2.8%
Slide 7: We carry the promise of a superior customer service through a modernized network
We carry the promise of a superior customer service through a modernized network… Globe announced in Nov 2011 its In 2012, network modernization $790Mn network and IT and IT transformation program transformation program – our largest remained on schedule. infrastructure commitment to date. Significa
Slide 8: We continue our commitment to create shared value for all stakeholders
We continue our commitment to create shared value for all stakeholders… These investments are building blocks to ensure continued growth and relevance in a world built around data (vis-à-vis traditional mobile devices) Mobile Adjacencies/Opportunities GCash (mobile money) BPI Globe BanKO (mobile ban
Slide 9: We continue our commitment to create shared value for all stakeholders
We continue our commitment to create shared value for all stakeholders… 2,000 partner outlets nationwide Wholesale loan portfolio of Php 2.4 Bn Over 261,000 retail customers
Slide 10: We provide the needed tools for technopreneurs to reach greater heights
We provide the needed tools for technopreneurs to reach greater heights… Startup Weekends Investment Portfolio Kickstart is a business incubator company that helps, supports and develops the Philippines’ technopreneur community Current portfolio of 10 companies cover the digital media and techno
Slide 11: We embark on programs geared towards sustainability and corporate social responsibility
We embark on programs geared towards sustainability and corporate social responsibility… Good governance Social entrepreneurship Environment Conservation Education Volunteerism
Slide 12: Kayo ang tunay na lakas ng Globe.
To sustain the company’s competitiveness today and in the future. Kayo ang tunay na lakas ng Globe.
Slide 13: Message to Shareholders: President and CEO
MESSAGE TO SHAREHOLDERS Ernest Cu President and CEO
Slide 14: 2012: Record service revenues despite competitive environment and ongoing transformation initiatives
2012: Record service revenues despite competitive environment and ongoing transformation initiatives • New record highs for both Service Php 82.7 Bn annual and quarterly service Revenues 6% revenues (Php21.4 Bn in 4Q12, 4% QoQ) • Excluding transformation- Core Net Php 10.3 Bn related expenses, C
Slide 15: Brand New Network
Network modernization and IT transformation integral to making differentiated customer experience a key competitive advantage Phase 1 involving change-out of cell sites nationwide is 90% complete Laying out additional 12,000 km. of fiber- optic cable across the country Bring dropped calls to rarity
Slide 16: Brand New Network
~/ brand new Os Li, ~ i <. uss 90. Change Ky / Bs network business & IT Seamless customer! experience across cha / g ives you: rare dropped calls N Bpstenganesus text messages Afaster browsin ng speeds futdre- -proof network ber 3G m4 performance Razor-sharp custome that enables personalize roducts
Slide 17: Mobile: Postpaid segment drives overall growth of mobile business
Mobile: Postpaid segment drives overall growth of mobile business with prepaid segment holding its ground despite intense competition 2012 YoY Change Subscribers 1.7 Mn 19% Revenues Php22.8 Bn 24%
Slide 18: Globe Prepaid
Globe Prepaid Mobile: Postpaid segment drives overall growth of mobile business with prepaid segment holding its ground despite intense competition 11.2 Bn 44.3 Bn 31.4 Mn Prepaid 4th Quarter Full Year Subscribers 10% YoY, Prepaid Prepaid 3% QoQ Revenues Revenues 3% 2%
Slide 19: Mobile: New services such as GCash Amex Virtual Card provide greater value add
Mobile: New services such as GCash Amex Virtual Card provide greater value add and act as a subscriber acquisition/retention tool GCASH American Express Virtual Pay • International credit facility and free US shipping address
Slide 20: Broadband: Robust subscriber base and service revenue growth of 18% and 16%
Broadband: Robust subscriber base and service revenue growth of 18% and 16%, respectively Subscribers (in ‘000) 1,672 +18% 1,411 Wireless 1,331 Wired 1,122 289 341 FY 2011 FY 2012 Revenue Growth – YoY (in Php Mn) +16% 8,721 7,496 2011 and 2012 Broadband Service Provider of the Year FY 2011 FY 2012
Slide 21: Globe's performance and innovation cited internationally
Globe’s performance and innovation cited internationally; also drives higher employee engagement/satisfaction Best Telco in the Philippines, 8th Annual CNET Asia Readers’ Choice Awards Philippine Telecom Service Provider of the Year, 2012 Frost and Sullivan Asia Pacific Best Practices Award 2% incre
Slide 22: Globe's corporate responsibility is a core component of its business model
Globe’s corporate responsibility is a core component of its business model Giving back to the society that sustains us...
Slide 23: Globe Bridgecom: Champion of Globe's key advocacies
Globe Bridgecom: Champion of Globe’s key advocacies I-Conserve I-Lead I-Prosper I-Give I-Access
Slide 24: This is the Globe Way
This is the Globe Way We put our Customers first. Our people make the difference. We act with integrity. We care like an owner. We keep things simple. To us, it’s be fast or be last.
Slide 25: Globe Telecom Inc.
GLOBE TELECOM INC. Annual Stockholders’ Meeting The Ballroom 2, Fairmont Makati 16 April 2013