dtac first quarter Apr 2010

Transcription

1 dtac first quarter Apr 2010

2 Disclaimer Certain forward looking statements may be made in the course of the presentation. These forward- looking statements generally can be identified by use of statements that include words or phrases such as DTAC or its management believes, expects, anticipates, intends, plans, foresees, or other words or phrases of similar import. Similarly, statements that describe DTAC s objectives, plans or goals also are forward-looking statements. All such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those contemplated by the relevant forwardlooking statement. The forward-looking statements contained in the slides are not and should not be constructed as representations of the future performance of DTAC and that such statements are an expression of the Company s reviews based on its current view and certain assumptions including, but not limited to, prevailing economic and market conditions and currently available information. 2

3 Q110 Highlights THB 6.0 bln EBITDA, and THB 2.4 bln Net Profit Successful iphone launch to sustain data growth momentum Strong Growth in Net Adds Further COST Improvement 3

4 operational highlights 4

5 net adds net adds (in thousand) Higher prepaid net adds from sharp reduction in inactive subs: - economic recovery, and - usage-stimulating promotion. Stable postpaid sub base. Continued focus on sub quality. Prepaid Postpaid Total 5

6 blended MOU and ARPU blended MOU (mins / month / sub) blended ARPU (THB / month / sub) +6.1 % % +0. 5% -2.1 % incoming outgoing incoming outgoing Outgoing minutes continued to grow. ARPU slightly declined from higher on-net traffic and larger sub base. Investor relations: ir@dtac.co.th

7 Financial highlights 7

8 total revenue up 6.7% YoY (THB million) 16,391 16,501 16,943 17,607 16,029 16, ,405 3,266 3,149 3,140 3,174 3,181 20,000 Strong YoY service revenue growth. 15,000 10,000 5, % +3.9% 12,720 12,981 12,674 12,861 13,440 13,722 18,000 16,000 14,000 12,000 10,000 8,000 6,000 4,000 2,000 IC revenue was stabilizing QoQ but declining YoY. Strong growth in sale of handsets. 0 Service revenue excl IC IC Revenue Handset & Other 0 8

9 service revenue breakdown 9.5% 3.4% 4.4% 20.1% 10.3% 2.9% 4.4% 19.1% 10.4% 2.8% 4.8% 18.8% 17.9% 17.2% 16.7% 44.6% 46.1% 46.5% Q109* Q409 Q110 * calculated from figures after adjustment of VAS discount. Postpaid airtime Prepaid airtime VAS International Roaming (IR) Interconnection Others Higher prepaid voice portion from on-net off-peak promotion. YoY increase in non-voice portion from focus on smart phone and data usage. 9

10 cost efficiency programs continued to pay off cost of services (THB million) excluding amortization % to service revenue (excl IC) -1.7 % -2.0 % 42.5% 41.7% 40.5% 40.3% 40.4% 38.8% 48.5% 43.5% 38.5% 27.4% 27.9% 30.0% 26.9% 26.8% 26.4% 26.3% 25.0% 33.5% 28.5% 20.0% 23.5% 5,403 5,413 5,139 5,184 5,431 5, % 13.5% 7.7% 7.4% 7.0% 7.2% 7.6% 6.6% 15.0% 8.5% 3.5% 7.4% 6.4% 6.6% 6.3% 6.4% 5.9% -1.5% 10.0% Total % to service rev (excl IC) Network Opex Other cost Regulartory cost 10

11 further reduction in net IC cost net IC cost (THB million) Continued improvement in net IC balance This was mainly driven by lower outgoing off-net traffic

12 sharp YoY reduction in SG&A SG & A (THB million) % 11.3% 11.3% 12.0% 11.6% 10.2% 9.9% -0.1 % 17.2% 16.4% 16.5% 15.9% 14.8% 14.2% 2,821 2,705 2,649 2,577 2,506 2, % 3.9% 5.8% 4.7% 5.1% 5.1% 4.9% 5.1% 4.5% 4.3% 4.6% 4.3% SG&A % of total rev Note : SG&A expenses include impairment of goodwill & intangible asset, but exclude depreciation and amortization (A&D). Selling and Marketing expenses as % of total revenues Bad debt as % of postpaid revenues Admin excl A&D as % of total revenues 12

13 EBITDA margin continued to improve EBITDA (THB million) EBITDA margin 45% 14, % 12, , , , % 4,465 4,820 4,772 5, % 5,559 6, % 29.1% 29.6% 31.1% 32.6% 34.2% 35% 30% 4, % 2, % 13

14 net profit up 66.3% YoY A&D (THB million) net profit (THB million) +6.1 % +0.6 % 2,476 2,410 2,571 2,499 2,541 2, % % 2,445 2,151 1,470 1,364 1,629 1,239 A&D - SG&A A&D - cost of service 14

15 healthy cash flow and solid financial position operating FCF(THB billion) financial ratios FFO to Total Debt (%) Interest Coverage Ratio Net debt to EBITDA EBITDA Capex Operating FCF Net debt to Equity interest-bearing debt (THB billion) debt maturity profile (THB billion) Q210 Q310 Q

16 regulatory update 16

17 regulatory update NTC The chairman has been elected and royally endorsed. New 3G time frame is under review by new NTC board. Concession amendment Under review by section 22 committee. Time frame imposed by economic ministers was extended by 60 days (May 2010). MNP NTC ordered the service launch by Aug The implementation of clearing house is in progress. 17

18 Outlook 18

19 outlook for 2010 unchanged 19

20 Appendix 20

21 more traffic kept on-net outgoing on : off-net traffic off-net incoming : outgoing traffic 31% 29% 29% 28% 25% 24% 47% 47% 47% 47% 46% 46% 69% 71% 71% 72% 75% 76% 53% 53% 53% 53% 54% 54% off-net on-net outgoing incoming 21

22 postpaid net adds (000 subs) MOU (mins/month/sub) ARPU (bt/month/sub) % -2.3 % +1.7 % - 0.6% Q408 Q109 Q209 Q309 Q409 Q110 incoming outgoing Q408 Q109 Q209 Q309 Q409 incoming outgoing Q110 22

23 prepaid net adds (000 subs) MOU (mins/month/sub) ARPU (bt/month/sub) % -1.8 % +1.4 % -1.9 % outgoing incoming outgoing incoming 23

24 registered vs active subs (in million) Q108 Q208 Q308 registered subs active subs 24