Kuwait Telecommunications Co. · KSE:STC
Kuwait Telecommunications — Kuwait Telecommunications Company K.S.C.P (VIVA) — FY2018 Earnings Presentation
18 slides from Kuwait Telecommunications's earnings presentation, 2019
Slide 1: Investors Presentation FY-2018
Investors Presentation Kuwait Telecommunications Company K.S.C.P FY-2018 1 Investor Relations
Slide 2: Table of content
Table of content VIVA’s History in Brief 3 Key Milestones 4 Vision and Values 5 Shareholders' Structure 6 Population & Penetration 7 Competitive Strengths 8 Market Share 9 Financial Results 11 Financial Highlights 13 Stock Performance 14 Appendix – Balance Sheet & Income Statement 15 2 Investor Rela
Slide 3: VIVA's History in Brief
VIVA’s History in Brief 2007 Jun 2008 Sep 2008 Dec 2008 Dec 2014 VIVA Stock was listed on Boursa Kuwait Commercial Launch of VIVA Operations in Kuwait Public placement of VIVA shares which was 2.4x oversubscribed. distributed among c. 1 million Kuwaiti shareholders The incorporation contract and pri
Slide 4: Key Milestones
Key Milestones 2008 2010 2012 2014 2016 2018 Launches Partnership with Real Best Network Development Award at Expand retail VIVA launches Elite Best Telecom Company by commercially Madrid. 5G MENA network and launch Program for loyal, VIP Arabian Business. joint promotions and high value
Slide 5: Vision and Values
Vision and Values Our vision is to provide unique services and products that satisfy the aspirations of our clients and accommodate their needs, which in turn will earn us their trust. This is through presenting our customers with numerous telecommunications opportunities with the goal of boosting o
Slide 6: Shareholders' Structure
Shareholders' Structure Saudi Telecom 52% Kuwaiti Government 24% Public Shareholders 24% STC, the leading regional telecom The Kuwaiti government holds 24% Public Share holders consists of operator, won the bid for third mobile of VIVA through different companies, portfolios, funds and license
Slide 7: Population & Penetration
Population & Penetration Kuwait population since 2010 is growing at the same level of 2.8% yearly and the growth is forecasted by IMF at 2.8% over the next 5 years compared to almost 1% for the global population growth. This growth coupled with rising income levels will propel growth in consumer spe
Slide 8: Competitive Strengths
Competitive Strengths STC (the largest telecom company in the region) will continue to be a major shareholder and VIVA will continue to benefit from being a member of the STC group. Through this relationship, VIVA has access to technical support, industry best practice for provision of telecom servi
Slide 9: Market Share
Market Share Total Subscriber Base in Kuwait (Mn) 10 Total Subscirbers in kuwait (Mn) VIVA Subscribers (Mn) 7.6 7.7 7.7 8 7.2 7.1 6.41 5.9 6 5.2 4.5 4 2 0.8 1.1 1.6 2.2 2.4 2.5 2.4 2.2 2.2 0 2010 2011 2012 2013 2014 2015 2016 2017 2018 Telecom Sector Revenues in Kuwait (KWD Mn) Total Telecom Revenue
Slide 10: Market Share vs. peer group
Market Share vs. peer group Subscriber Market Share – Dec 2018 Revenue Market Share – FY 2018 VIVA VIVA 33.5% 31% Ooredoo* Ooredoo 32% 28.0% Zain 38.5% Zain 37% EBITDA Market Share – FY 2018 Net Profit Market Share – FY 2018 Ooredoo* Ooredoo* 9% 22% VIVA 31% VIVA 35% Zain Zain 56% 46% 10 Investor Re
Slide 11: Financial Results
Financial Results In 2018, the company has applied IFRS 15 Key Figures & Ratios FY-2017 (Restated) FY-2018 Change “Revenue from Contracts with Customers “and IFRS 9 “Financial Instruments” which Subscribers (Mn) 2.3 2.2 -5% are effective from 1st January 2018 and Revenue (KD Mn) 287.7 287.9 +0.1% op
Slide 12: Financial Highlights
Financial Highlights Revenue (KD Million) EBITDA (KD Million) 350 EBITDA (KWD Million) EBITDA Margin (%) 277 279 288 288 150.0 300 50% 47% 47% 47% 239 45% 250 40% 100.0 112.6 200 35% 30% 150 27% 25% 25% 131.0 131.9 20% 100 50.0 15% 71.1 77.8 50 10% 5% 0 0.0 0% 2014 2015 2016 2017 2018 2014 2015 2016
Slide 13: Financial Highlights
Financial Highlights Total Assets (KD Million) Total Debt / Equity (KD Million) 350 Total Debt (KWD Million) Debt to Equity Ratio (x) 305 100 6.9 273 86 8.00 300 263 267 72 7.00 250 214 80 66 6.00 200 179 60 5.00 47 150 4.00 40 1.7 3.00 100 20 0.8 2.00 50 0.4 9 0.1 0 1.00 0 0 0.0- 2013 2014 2015 201
Slide 14: Stock Performance
Stock Performance Closing Price (KD) 0.800 PE (X) 7.77 Paid up Capital (KD Million) 49.9 PB (X) 2.08 Market Cap (KD Million) 400 Dividend Yield (%) 5.0% Data as of 31 Dec 2018 Dividend Yield calculated based on the KD 0.040 Proposed for the year end 2018. Rebased Index Since VIVA’s Listing Date 14 D
Slide 15: Appendix
Appendix Balance Sheet (2014 – 2018) Income Statement (2014 – 2018) 15 Investor Relations
Slide 16: Balance Sheet (2014 – September 2018)
Balance Sheet (2014 – September 2018) (restated) Balance Sheet 2014 2015 2016 *2017 2018 KD Mn KD Mn KD Mn KD Mn KD Mn ASSETS Property and equipment 113.1 125.4 137.7 145.0 150.5 Intangible assets 36.3 50.6 47.5 - - Other non-current assets 0.7 - - - - Non-current assets 150.1 175.9 185.2 145.0 150.
Slide 17: Income Statement (2014–2018)
Income Statement (2014–2018) (Restated) Income Statement 2014 2015 2016 *2017 *2018 KD Mn KD Mn KD Mn KD Mn KD Mn Revenue 239.0 276.9 279.1 287.7 287.9 Operating expenses (65.5) (78.7) (80.9) (145.5) (139.3) Staff costs (15.9) (15.8) (18.0) (20.4) (21.7) Expected credit losses on trade & other recei
Slide 18: Thank you
Thank you Investor Relations Department: E-mail: Investor.relations@viva.com.kw Tel : +965 5000 1911 www.viva.com.kw 18 Investor Relations
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