Grameenphone Ltd. Financial Results 1Q2015. Rajeev Sethi, CEO

Transcription

1 Grameenphone Ltd. Financial Results 1Q2015 Rajeev Sethi, CEO

2 A challenging start for 2015 Political Turmoil Intense Competition 52 Mn Subscriber 25.2 Bn BDT Revenue

3 Enhancing usability & brand preference Response towards competition 1 paisa/sec to any local operator Simplification of customers offers Recharge offer across all price plans BDT 1 VAS offer for 5 popular services On ground activation through Cholo Bangladesh Fan day across all 64 districts

4 Strengthening position of Internet for ALL 3G geographical coverage enhancement by 8% Radical simplification of internet portfolio Internet through retail Driving relevance of internet usage Application for Alor Pathshala Online Teaching Excellence Center

5 Sustainability Report 2014 Information about our economic, environmental, social and governance performance Media of spreading transparency and accountability Major areas covered in the report Communication Services & Society Responsible Business Practices HSSE Climate & environment Supply Chain sustainability Full report archived in company website

6 Regulatory updates NBR s claim against Replacement SIM 1.0% Revenue growth Spectrum Auction Online verification of NID for SIM registration Revision of Tariff Directive 1% surcharge on mobile phone usage

7 Grameenphone Ltd. Financial Results 1Q2015 Dilip Pal, CFO

8 Financial Highlights 1.0% Revenue growth 1% Revenue growth 54.2% EBITDA margin 3.7 Bn BDT Capex 39.4% OCF margin

9 1Q2015 Muted revenue growth with contribution from Data and VAS + 6.6%* Revenue (BDT Bn) and Growth (YoY) Data Revenue (BDT Bn) and Contribution (%) % 9.8% 2.4% 6.7% 1.0% % 4.7% 5.4% 5.8% 6.5% 68% data revenue growth with increasing contribution to topline 37% VAS revenue growth Ongoing political tension and competition putting pressure on voice

10 1Q 2015 Stimulating usage through competitive offers Gradual improvement in campaign takers driving RG base 240 ARPU, AMPU and APPM Contribution of data ARPU erosion of 6.7% Stable AMPU with encouraging minutes growth trend Competitive offers creating stress on APPM ARPU (BDT) AMPU APPM (BDT) 10

11 1Q 2015 Efficiency in opex resulting in higher EBITDA growth Opex (BDT Bn) and Margin *EBITDA (BDT Bn) and Margin % YoY % QoQ % YoY % QoQ % 36.8% 36.9% 39.5% 36.4% 53.7% 54.0% 54.3% 50.0% 54.2% Reduction in subscriber acquisition and operation & maintenance cost Higher energy cost and investment in the market * EBITDA before other item 11

12 1Q 2015 Investment for strengthening network superiority Extensive 3G site rollout Higher geographical and population coverage 2G coverage expansion Capacity enhancement for catering higher volume of data and voice Flexibility of IT infrastructure for better product and service offerings *Capex (BDT Bn) and Capex/Sales% 34% 37% YoY QoQ % 11.1% 14.1% 11.1% 14.8% * Excluding license fees 12

13 1Q2015 Operating cash flow of BDT10 Bn despite higher capex *OCF (BDT Bn) and OCF/Sales% OCF Development (BDT Mn) + 6.6%* % YoY 40% QoQ , , % 40.0% 43.3% % 39.4% Q1'14 Gross Profit Opex Capex Q1'15 * OCF equals EBITDA minus Capex

14 1Q2015 Healthy NPAT margin with earnings growth NPAT (BDT Bn) and Margin EPS (BDT) + 6.6%* 3.7% YoY 38% QoQ 3.7% YoY 38% QoQ % 20.7% 20.9% 15.0% 21.3% Full drawdown of long-term syndicated loan

15 Summing up Business performance impacted by political turmoil and competition Topline growth to be fuelled by growing mobile internet Maintaining healthy EBITDA, OCF and NPAT margin Investment for strengthening network superiority

16 Thank You