DBTisco Management insight

Transcription

1 DBTisco Management insight tisco tower, Bangkok 27 November 2017 Investor Relations E: T:

2 dtac: a leading mobile operator in Thailand subscribers post/prepaid subscribers financial performance 23.1m subscribers (Q317) 19% 24% service revenue ex. IC (in THB bn) EBITDA margin prepaid Q3-16 postpaid Q network coverage 4G/smartphone penetration 94% pop coverage 58k 3G and 4G sites (Q317) 17% 68% 72% 31% 32% 34% 32% 34% 37% Q316 % smartphone penetration % 4G users Q LTM 2

3 key focus areas to strengthen market position Flip It brand platform postpaid growth and prepaid stabilization network and spectrum investments to secure data position efficient operations through digitization of customer interactions 3

4 Flip It brand platform postpaid prepaid Monthly fee (THB) Internet speed (4G/3G) On-net call Off-net call (mins) (THB) 2Mbps 8Mbps 20Mbps 1 day (1 Mbps) (6 Mbps) (6 Mbps) 24hrs pay per use days days on-net call 24hrs 1,299 1,499 1,999 (10 Mbps) (10 Mbps) (max speed) max 60 mins per call, with THB1.50 per additional min 500 1,000 24hrs Go No Limit packages worry-free usage: unlimited data with no speed reduction free calls on-net 24 hours 4

5 double digit growth in postpaid Postpaid revenues (THB bn) Postpaid customers lifetime value Key focus areas ARPU/sub per month (THB) Customer lifetime value (THB) Network perception +12% Value for money ~3x ~9x Device Pre to post migration Channel expansion Prepaid Postpaid Prepaid Postpaid 5

6 secure additional spectrum to accommodate data growth 2300MHz 2100MHz 30 2 x 15MHz 60 1 x 60MHz 2300MHz deal with TOT to be concluded in Q MHz 50 2 x 25MHz ongoing densification of 2100MHz network 850MHz 20 2 x 10MHz auctions for concession spectrums to be arranged in x 45MHz of 1800MHz partnership with TOT, end in x 5MHz of 850MHz license from NBTC, end in 2027 concession from CAT, end in 2018, excluding unused 2 x 20MHz of 1800MHz 6

7 opex reductions through lower regulatory costs and digitization of the core dtac s OPEX (THB bn) Focus areas Areas we will not focus on Regulatory cost Others Digitization of core Happy Brand Regulatory fees Unprofitable services Network/IT new operating models ATL/mkting activities & budgets for small initiatives Simplified business model Ownership of fixed broadband 7

8 digital transformation to enhance operational efficiency and disrupt market dtac app dtac ONE retailer app Line Mobile all-in-one, user-friendly app that enables customer to easily enquire personal info, make payment, redeem rewards, etc. enhanced UX / UI aim at delivering optimized customer journey in all usage areas. digital platform that allows fully online sales & service transactions via app simplified journey with market leading and easy-to-use functionalities real-time data capturing minimize fraud & error fully digital mobile service collaboration with Line Thailand, the leading social network in Thailand lower cost to provide services via online channel only commercial launch in Sep mil 1.8 mil Dec 2016 Sep 2017 no. of dtac app users < 7% ~ 46% Dec 2016 Sep 2017 retailer adoption 8

9 Q317 highlights 23.1m total subscribers 96.8% of sub base registered under DTN 71.8% smartphone penetration 47.1% penetration of 4G-enabled devices THB11.1b data revenues 69.9% of service revenues ex. IC THB7.7b EBITDA 41.2% EBITDA margin THB3.5b CAPEX 18.8% to total revenues THB4.2b operating cash flow (EBITDA CAPEX) 9

10 2017 outlook unchanged same level as previous year at least same level as previous year THB17 20 billion service revenues ex. IC EBITDA capex 10

11 appendices

12 subscribers ARPU service revenues ex. IC million subs THB/sub/month QoQ YoY THB billion QoQ YoY w/ IC w/o IC +0.5% +0.5% +4.3% +5.9% -2.7% -1.5% postpaid prepaid ARPU incl. IC ARPU ex. IC voice data others data usage % smartphone handset margin GB/sub/month QoQ YoY THB billion QoQ YoY % +92.6% % 67.5% 67.8% 70.2% 70.3% 71.8% % -1.1%

13 EBITDA (before other item) THB billion QoQ YoY -2.9% +7.2% % SG&A expenses % to total revenues THB billion operating cash flow % 10.2% 9.7% 10.0% 9.9% 9.9% % 8.6% 8.3% 6.9% 6.3% 5.3% S&M gen admin ## operating CF (ebitda-capex) capex EBITDA margin % cost of services % to service revenues ex. IC key financial ratios 42.9% 33.4% 44.7% 43.6% 37.0% 31.5% 45.4% 34.9% 50.1% 49.3% 41.0% 41.2% 15.3% 15.6% 16.1% 15.8% 13.3% 13.6% 10.6% 9.3% 9.6% 9.7% 9.9% 9.8% EBITDA margin EBITDA margin ex handset regulatory costs network opex net debt:equity* net debt:ebitda

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15 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 forward-looking 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. Investor Relations E: ir@dtac.co.th T: