PT XL AXIATA TBK. (XL) CORPORATE PRESENTATION 1H 2013

Transcription

1 PT XL AXIATA TBK. (XL) CORPORATE PRESENTATION 1H

2 Indonesia s high demand in internet provides opportunity for data penetration Outlook of Indonesia internet users (in Mn)1 Facebook users by country (in Mn) USA Brazil India Indonesia Mexico % United Kingdom Twitter users by country (in Mn)3 USA 142 Brazil 48 Japan 35 UK Indonesia India Source: 1. Boston Consulting Group 2. Boston Consulting Group 3. Boston Consulting Group 2

3 Potential room to growth in smartphone handset that will lead to stronger data penetration XL smartphone devices growth1 15% 14% 15% 12% 13% 16% Sales unit growth in Indonesia 3 1Q 12 2Q 12 3Q 12 4Q 12 1Q 13 2Q % 66.1% 50% Smartphone penetration in Asia Pacific 2 45% 40% 35% 23.3% 11% 33.9% 30% 25% 20% 1H 12 1H 13 Mobile Phone 15% 10% Smart phone 5% 0% Bangladesh China India Indonesia Philippines Thailand Vietnam E 2015E Source: 1. Company data 2. Bank of America Merrill Lynch 3. GfK Market Insight 3

4 XL has prepared the potential growth by several bundling offers in smartphone 4

5 Continuous improvement led to Revenue turnaround Revenue (in IDR Bn) Data & VAS Revenue (in IDR Bn) +1% +16% +5% 10,240 10,344 +7% ,315 5,664 5,375 5,047 5, ,577 1, Q 12 3Q 12 4Q 12 1Q 13 2Q 13 1H 12 1H 13 EBITDA (in IDR Bn) & EBITDA margin (%) 2Q 12 3Q 12 4Q 12 1Q 13 2Q 13 1H 12 1H 13 Data VAS -16% 48% 48% 44% 43% 40% 40% 4,938 40% 3,500 +6% 4,164 2,546 2,505 2,304 2,025 2,139 1,000 2Q 12 3Q 12 4Q 12 1Q 13 2Q 13 1H 12 1H 13 Source: Company data 50% 48% 46% 44% 42% 40% 38% 36% 34% 32% 30% 28% 26% 24% 22% 20% 18% 16% 14% 12% 10% 8% 6% 4% 2% 0% Operational improvement led to successful turnaround in 2Q revenue performance. Data & VAS revenue grew 16% driven by increased adoption of data supported by investment in data infrastructure. Lower EBITDA YoY mainly due introduction of SMS interconnect in June 2012 and investment in data infrastructure. 5

6 Solid QoQ growth driven by Data Strong growth in Data revenue... Data contributes the highest growth compared with other segments. Data revenue (IDR Bn) Revenue composition (IDR bn) 7% 1, , Other VAS Data +1% +6% +7% 921 1,076 1,143 SMS +6% 861 1,814 1,925 43% Voice +6% 1Q 13 2Q 13 1Q13 2Q 13 Source: Company data 6

7 Positive Result in XL strategy to regain momentum Developed & launched new products to match market demand Regaining XL positioning as affordable brand as result of product launching Gained traction in subscribers as brand perception was improving Revenue improvement resulted in a successful turnaround in the 2Q13 7

8 Continue to improve XL performance by strong products/promos for customers 8

9 Higher data adoption in-line with XL strategy Data Traffic (TB) Growing data consumption evident by 88% traffic growth YoY. Subscribers(mn) XL s data subscribers has reached 32.1 million or 59% from total subscribers. Infrastructure Infrastructure expansion to support higher data traffic. Source: Company data 9

10 Enhancing End to End Infrastructure Access Strongly positioned as one of the leaders in data with 14,186 Nodes B Providing superior and reliable experience in data Hot Rod 3G+ Network that available in more than 20 cities Backhaul All RNC on fiber 100% of Node B is full IP and/or fiberized IP capacity upgradable to ~155 Mbps Core Advanced Core Network with NGN capabilities and LTE ready Better capacity & operation management through latest IP Core transmission Backbone Nationwide backbone network linking all regions in Indonesia More than 20,000 km of Fiber Optic Transmission 10

11 Continuous network modernization for quality enhancement Network modernization has been carried out since 2011 that aimed to enhance XL network quality and capacity. The modernization projects upgraded its 2G and 3G BTS to single RAN and LTE-ready aimed at improving better network speed, capacity and energy efficiency. As a result, XL has completed close to 4,000 sites across Indonesia Kalimantan Sulawesi Sumatra Bali Jabodetabek East Java 11

12 Digital Services Build business to support development of community s life style through Digital Services Provides various contents & Applications, ease all activities Content & Application M2M Integrated solutions for the better life Money transactions through cellphone Mobile Advertisement Deliver commercial mobile advertising campaign Cloud Computation Supporting corporate & personal 12

13 Guidance & Dividend Policy 2013 Guidance Revenue growth Mid-single digit EBITDA Margin Low 40 s Cash out CAPEX Between IDR 8 9 trillion In 22 May 2013, XL paid dividend that was approved by shareholders at the AGM on April 2013 with a total payout amount of Rp 1.15 trillion. XL s dividend policy is at least 30% of prior year normalized net income. XL targets to progressively increase the payout ratio in the future 13

14 XL Overview Brief overview Started commercial operation in October nd largest Telco in Market Revenue and Market Cap GSM 900/1800/2100 services Number of Employees: 2,021 Number of BTS: 41,293 Number of Subscribers: 54.2 Million Listed on JSX since September 2005; Current market capitalization US$4.1bn* Driven by successful execution of a well-planned strategy Recent Awards: Finance Asia s award 2013: Best Managed Companies and Best Investor Relations Warta Ekonomi Magazine 2013: one of Indonesia s most admired companies Bubu Awards 2013: Digital Business Leader for XL CEO Shareholders Structure As per June 2013 Public 33.5% Axiata 66.5% Note: *Total issued shares 8,526 million market price as of 28 June 13 = Rp4,825. 1USD = Rp9,994 14

15 Thank you 15