Non-deal Roadshow. Prepared by Group Investor Relations. Toronto-New York-Boston 6-9 Sep

Transcription

1 Non-deal Roadshow Toronto-New York-Boston 6-9 Sep

2 MISSION VISION We are the leading and sustainable value creation asset management company in Telecom, Media, IT and Digital content. We strive to deliver sustainable growth and long-term value to shareholders by investing and managing telecom, media, IT and digital content businesses. We actively explore new business opportunities in telecom, media, IT and digital content. We commit to good corporate governance practices. We commit to good corporate citizen that contribute and create shared value (CSV) for organization and society. We uphold corporate core values that focus on integrity, teamwork, innovation, people excellence and social responsibility (I-TIES). 2

3 Investment Structure Aspen Holdings 40.50% Free float 59.50% 1) 1) 1) 2) 40.45% 41.14% 99.99% 99.99% Advanced Wireless Network Co., Ltd % 2) Wireless Device Supply Co., Ltd % 2) DTV Service Co., Ltd % CS Loxinfo PLC 42.07% Shenington Investments Pte. Ltd. 51% Lao Telecommunications Co., Ltd 49% 2) 51% 1) Shareholding structure as of 8 Apr ) Listed Company on the Stock Exchange of Thailand 3

4 Venture Capital Monitor Control Support Merger & Acquisition Sustainable Development 2H16 Strategy and Moving Forward Total Shareholder Return Proven Return on Investment Growth Strategy Reputation & Creditability Asset Management New Business Expansion Good Governance Risk Management Productivity Social Responsibility Sustainable Human Prepared by Group Capital Investor Relations Management 4

5 INTOUCH s Portfolio 5

6 INTOUCH Group Highlights Strengthen the Competitiveness on Mobile and Fixed Broadband 3 Bands on hand 4G coverage 4G device Data usage 50% 7.5mn 2.6GB 2100MHz 1800MHz 900MHz Total 40MHz Launched THAICOM 8 at 78.5 E With 24Ku TPEs Cover 2.6mn homepass in 15 provinces 6

7 INTOUCH Group Highlights HIGH Shopping is on Sustainable Dividend Payout Ratio Now available on website % No.1 100% 101% Corporate Venture Capital in Thailand with largest investment value % % XD date : 22 Aug 16 Payment date : 9 Sep 16 Peak Sale at Bt1.8mn/day 418 SKUs 78K customers 7

8 INTOUCH 1H16 Profit Contribution Unit : Million Baht 8, , H15 AIS THCOM INTOUCH & Others *Others = ITAS, ITV, VC, and Intouch Media (excluding reversal of interest provision at ITV) * 1H16 8

9 INTOUCH 2016 Guidance Consolidated Financial Statement Mainly Contributed from Share of Profit of Associates 2016 Guidance 40.45% of AIS Net Profit Standalone Financial Statement General & Administrative Expenses Dividend Policy Venture Capital (InVent Project) 2016 Guidance Bt mn Pass through Bt200mn 9

10 Appendix 10

11 1H16 Key Highlights Statements of Financial Position 11

12 1H16 Key Highlights Statements of Profit or Loss 12

13 2Q16 & 1H16 Key Financial Highlights Baht million 2Q15 1Q16 2Q16 %YoY %QoQ 1H15 1H16 %YoY Guidance Service revenue ex. IC 30,468 30,148 30, % 0.1% 60,778 60, % Slightly up Sales revenue 5,733 5,663 4,882 15% 14% 14,020 10,545 25% Decline Total revenue ex. construction Cost of service ex. IC 38,123 37,252 36, % 2.1% 78,660 73, % NA 13,217 12,693 11,309 14% 11% 26,921 24,002 11% NA Total SG&A 4,876 8,095 6,460 33% 20% 9,552 14,555 52% NA EBITDA 18,068 13,415 17, % 27% 36,141 30,427 16% NA Consolidated EBITDA margin 47.4% 36.0% 46.6% 0.8% 10.6% 45.9% 41.3% 4.6% 38%-39% Sales margin 2.0% -0.3% 2.3% 0.3% 2.6% 3.1% 0.9% 2.2% Negative Capex 8,883 12,102 11,693 32% 3.4% 16,048 23,795 48% Bt40bn 13

14 Marking the leading position and customer s perception with the best quality network Current Bandwidth Status 2100MHz License until MHz Fully deployed 3G Over 98% population coverage 32,000 3G base stations (small cells included) 1800MHz License until MHz Fully deployed 4G Reached 50% population coverage (target 80% by year end 2016) 15,500 4G base stations 900MHz License until MHz Deployed 5MHz for 2G Deployed 5MHz for 3G/4G Over 98% population coverage on 2G Accelerating 4G network rollout (base stations) 1800MHz license granted 7,000 10,000 15,500 4Q15 1Q16 2Q16 Exceeded 14,000 base stations target New spectra helps strengthen network quality especially speed & coverage Quick 4G network rollout is critical to gain customers perception as The Best Network Provider 14

15 Prepaid Postpaid Mobile: increasing data usage to drive revenue growth Smartphones and 4G phones are more popular due to affordable prices Growing active data users Growing active data users Accelerating VoU Smartphone Penetration (on total base) 63% 67% 68% 4Q15 1Q16 2Q16 4G handsets on AIS customer base = 7.5 mn subs Postpaid data users 76% Total postpaid 5.8mn subs prepaid 2.4GB VOU GB/sub/mth (2Q16) postpaid 3.4GB Attractive pricing helps boost data usage Prepaid data users 53% Total prepaid 33.5mn subs Mobile data revenue Bt14bn +25% YoY (contributing 45% of service revenue ex. IC in 2Q16) 15

16 Continue 2G to 3G handset migration: Protect market share with Handset offerings Attract 2G handset users to migrate to 3G handset by topping up to get free handset attractive offerings Top up Bt100 Bt300 Bt500 Bt1000 Free Handset 16

17 Leveraging existing quality customer base: Acquire new mid to high end 3G & 4G customers Handset offerings Encourage AIS Serenade high quality customers to register new numbers or transfer from another network Free + Package 4G Max Speed Bt488 up Galaxy J2 Bt4,800 LAVA 4G VoLTE 5.0 Bt3,590 50% OFF + Package 4G Max Speed Bt888 up iphone 6s Bt26,900 (16GB) iphone 6s Bt30,900 (64GB) iphone 6s Plus Bt35,100 (64GB) Galaxy S7 edge Bt26,900 ipad pro 9.6 inch Bt27,600 17

18 Fixed broadband: ramping up after building service foundation in 2015 (subs) AIS Fibre Subscribers 115,000 Cover 2.6mn homepass in 15 provinces 74,000 Net Hor for students living in dorms 12,000 26,000 44,000 To serve a new niche prepaid market 2Q15 3Q15 4Q15 1Q16 2Q16 Power Home package starts at Bt590 with 10% discount for AIS s customers Max speed (download/upload) 15/5 Mbps 20/7 Mbps 50/10 Mbps New customers (baht/month) AIS postpaid subscribers get 10% discount (baht/month)

19 2Q16 & 1H16 Key Financial Highlights Baht million 2Q15 1Q16 2Q16 %YoY %QoQ 1H15 1H16 %YoY Sales & Service revenues Satellite and related services Cost of sales and services 2,938 3,210 2, % 9.6% 6,013 6, % 2,160 2,394 2, % 11% 4,469 4, % 1,757 1,794 1, % 3.3% 3,617 3, % EBITDA 1,347 1,503 1, % 7.3% 2,690 2, % Net profit attributable to Thaicom % 16% 1,112 1,292 16% Normalized net profit % 5.7% 1,005 1,200 19% EBITDA margin 45.8% 46.8% 48.0% 1.2% 2.2% 44.7% 47.4% 2.7% 19

20 1H16 Key Achievements Broadcast platform highlights Forever Group committed 5 additional transponders on TC-5 & TC-6 (total 8 TPEs, 7% increased in BW utilization of TC-5 & TC-6) Broadband platform highlights Antrix signed a new two-year contract with additional bandwidth commitment on TC-4 (total 1.5 Gbps, 2% increased in BW utilization of TC-4 over India) IPSTAR Japan expanded 2 ferries of maritime solution (total 7 ferries) Getting traction in African market Global broadcast distribution and managed services 20

21 2H16 Key Challenges CTH has stopped their Pay TV business To support other Thai TV platform operators Facilitate the Ultra HD (4K) transmission with key customers and partners Provide the new Over-The-Top (OTT) services: 2nd screen and multi-screen To diversify broadcast services to other countries, especially in emerging markets NBN has started migrating customers to its NBN-Co 1A satellite To resell NBN and other technologies broadband packages To offer TC-4 (IPSTAR) as a complement network for NBN s satellite solution To expand the corporate market through Orion Satellite System (OSS) TOT to cancel the bulk bandwidth commitment and the exclusive right To directly engage with other service providers to fulfill the Government s demand To expand mobile backhaul and fixed broadband solutions with telcos 21

22 THAICOM Satellite Fleet De-orbited In-orbited THAICOM 1A THAICOM 2 THAICOM 3 THAICOM 4 De-orbited: De-orbited: De-orbited: (IPSTAR) THAICOM 5 THAICOM 6 THAICOM 7 THAICOM 8 Scheme Operating Concession License Type of Satellite Broadband Conventional Conventional Fee 20.5% (Sep 2016 = 22.5% onwards) 5.25% Contract Life (Yr) 30 yr (2021) 20 yr (2032) Useful Life (Yr) *As of 31 March

23 Satellite Footprint 50.5E 78.5E 119.5E 120E Coverage Area TC4 TC5 TC6 TC7 TC8 Note: TPE = 36 MHz transponder equivalents TC5 (C,Ku) TC6 (C,Ku) TC8 (Ku) TC4 TC5 TC6 TC7 TC E 78.5 E 78.5 E 120 E 78.5 E C Ku C Ku C Ku C Ku C Ku Indochina SEA South Asia North Asia Australasia ME, Africa Total TPE TC4 (Ku) TC7 (C) 23

24 Disclaimer Some statements made in this presentation are forward-looking statements with the relevant assumptions, which are subject to various risks and uncertainties. These include statements with respect to our corporate plans, strategies and beliefs and other statements that are not historical facts. These statements can be identified by the use of forward-looking terminology such as may, will, expect, anticipate, intend, estimate, continue plan or other similar words. The statements are based on our management s assumptions and beliefs in light of the information currently available to us. These assumptions involve risks and uncertainties which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Please note that the company and executives/staff do not control and cannot guarantee the relevance, timeliness, or accuracy of these statements. 24