Slide 1: Orange Polska 1Q 2024 results
Orange Polska 24 April 2023 1Q 2024 results .Grow Orange People 1
Slide 2: Forward looking statement
Forward looking statement This presentation contains 'forward-looking statements' including, but not limited to, statements regarding anticipated future events and financial performance with respect to our operations. Forward-looking statements can be identified by the fact that they do not relate s
Slide 3: Highlights & Business review
Highlights & Business review Liudmila Climoc Chief Executive Officer 3
Slide 4: 1Q'24: Strong start of the year
1Q’24: Strong start of the year Solid commercial momentum ▪ Good demand from consumers for telecom services and 5G handsets ▪ Coupled with steady pace of ARPO growth Good financial start of the year with c.5% yoy EBITDAaL growth ▪ Solid revenue from core telecom services offset by decline in IT&IS a
Slide 5: Solid commercial momentum of core telecom services
Solid commercial momentum of core telecom services PLN Convergence ARPO +4.6% yoy PLN Fixed broadband-only ARPO PLN Mobile-only handset ARPO 121.8 65.5 +4.0% yoy 29.4 +1.7% yoy Higher convergence net Good fibre customer base growth Solid net customer additions customer additions despite intensive co
Slide 6: Financial review
Financial review Jacek Kunicki Chief Financial Officer 6
Slide 7: 1Q'24 financial results: a strong start of the year
1Q’24 financial results: a strong start of the year in PLNm 1Q’24 yoy ▪ Growth of core telco services (+4.2% yoy) offset by revenues 3,081 -1.8% lower IT&IS and energy resale (lower market prices) EBITDAaL 799 +4.9% ▪ Driven by good growth of core business, less pressure from energy costs and benefi
Slide 8: 1Q revenue -1.8% yoy but solid growth of core telecom services
1Q revenue -1.8% yoy but Revenue evolution solid growth of core (yoy change in %) 7.1% telecom services 5.5% 4.2% 3.8% 5.6% 5.0% 4.6% 3.3% Total reported -0.3% Core telecom services* -1.8% 1Q'23 2Q'23 3Q'23 4Q'23 1Q'24 Revenue evolution breakdown ▪ Core telecom services* (+4.2% yoy) in PLNm Strong p
Slide 9: 1Q EBITDAaL +4.9% yoy with higher direct margin and less indirect costs
1Q EBITDAaL +4.9% yoy EBITDAaL evolution with higher direct margin (yoy change in %) and less indirect costs 5.5% 4.9% 3.1% 2.3% 2.3% ▪ Direct margin up 1% yoy: ▪ Solid growth from core telecom services & equipment offsetting less 1Q'23 2Q'23 3Q'23 4Q'23 1Q'24 margin from IT&IS and energy resale ▪ I
Slide 10: Solid 1Q Organic Cash Flow and balance sheet
Solid 1Q Organic Cash Organic Cash flow evolution breakdown in 1Q 2024 in PLNm Flow and balance sheet yoy change +53 -10 +145 -26 -21 +141 821 -117 OCF evolution reflects: ▪ Strong EBITDAaL growth -591 ▪ Lower cash capex (less 83 -174 22 payments for prior year’s capex) ▪ Lower proceeds from sale of
Slide 11: Summary
Summary Liudmila Climoc Chief Executive Officer 11
Slide 12: Summary
Summary Solid start of the year; full-year guidance confirmed Focus on growing number of customers and the value that we offer to them on the back of excellent customer experience Continuation of savings and transformation actions 12
Slide 13: 2024 guidance fully confirmed
2024 guidance fully confirmed 2024 Revenues yoy low single digit growth EBITDAaL yoy low single digit growth eCAPEX PLN 1.7-1.9bn 13
Slide 14: Q&A
Q&A 14
Slide 15: Appendix
Appendix 15
Slide 16: Reconciliation of operating performance measure to financial statements
Reconciliation of operating performance measure to financial statements Disclosures on performance measures have been presented in the Note 2 to Condensed IFRS Quarterly Consolidated Financial Statements of the Orange Polska Group for the 3 months ended 31 March 2024 (available at https://www.orange
Slide 17: Details of bottom line evolution in 1Q 2024
Details of bottom line evolution in 1Q 2024 in PLNm 1Q’24 1Q’23 Change EBITDAaL 799 762 +37 Gains on disposal of assets 42 86 -44 D&A of PPE and intangible assets* -505 -487 -18 Add-back interest expense on lease liabilities 37 31 +6 Adjustment for the impact of employment termination 13 13 0 progra
Slide 18: Details of organic cash flow evolution in 1Q 2024
Details of organic cash flow evolution in 1Q 2024 in PLNm 1Q’24 1Q’23 Change Net cash flow from operating activities 821 768 +53 before change in working capital Change in working capital* -117 -107 -10 Net cash flow from operating activities 704 661 +43 CAPEX -369 -383 +14 Change in CAPEX payables*
Slide 19: We successfully combine growth with social responsibility
We successfully combine growth with social responsibility Environment Social Governance CO2 emissions reduction goal met 2 years We make new technologies a supporter of Responsible management and in advance (-65% in 2025 vs 2015) social development supervisions to achieve strategic goals ▪ CO2 emiss
Slide 20: Glossary (1/2)
Glossary (1/2) 4G/LTE Fourth generation of mobile technology, sometimes called LTE (Long Term Evolution) 5G Fifth generation of mobile technology, which is the successor to the 4G mobile network standard Fibre customer base (retail + wholesale)/ Total households connectable to our fibre network (own
Slide 21: Glossary (2/2)
Glossary (2/2) Fixed broadband-only Revenues from fixed broadband offers (excluding B2C convergent offers and equipment sales) including services TV and VoIP services FTE Full time equivalent FTR Fixed termination rate HHC (Households connectable) in fibre Households where broadband access service b