2Q/1H 2019 Analysts’ Briefing - Globe Telecom · New engine for Globe’s future growth… Create...
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Transcript of 2Q/1H 2019 Analysts’ Briefing - Globe Telecom · New engine for Globe’s future growth… Create...
2Q/1H 2019 Analysts’ Briefing5 August 2019 | The Globe Tower
1H19 PERFORMANCE
EBITDA
38.6PhpBn
+18%YoY
EBITDA margins of 53% (1H19) and51% (2Q19) 18.7Php
Bn+11%YoY
1H19 VS 1H18 2Q19 VS 2Q18
SERVICE REVENUES72.9PhpBn
+13%YoY Data-driven revenue growth 36.9Php
Bn+12%YoY
3Q19 DIVIDEND
22.75Php/sh
RECORD DATE: August 19, 2019PAYMENT DATE: August 30, 2019
NET INCOME12.0PhpBn
+21%YoY NIAT up 21% on EBITDA gains
Core NIAT up 18% 5.3PhpBn
+0.4%YoY
MOBILE VOICE
-17%
+11%YoY
+16%YoY
MOBILEREVENUES
FIXED LINE AND HOME BROADBAND
REVENUES
MOBILE SMS
-24%
MOBILE DATA
+45%
FIXED LINE VOICE
HOME BROADBAND
CORPORATE DATA
-8%
MOBILE SUBSCRIBERS HOME BROADBAND SUBSCRIBERS
1.5 1.7 1.8
2Q18 1Q19 2Q19
FixedWireless
Wired
In Millions In Millions
+21% +15%
FURTHER SHIFT TOWARDS DATA-RELATED SERVICES
+6%
+21%
74.183.5
92.9
0.0
20.0
40.0
60.0
80.0
100.0
4Q18 1Q19 2Q19
PostpaidTMGP
+13%
3
+11%
In PB
MOBILE DATA
HOME BROADBAND
CORPORATE DATA
47%
14%
9%
209370 394
2Q18 1Q19 2Q19
SERVICE REVENUES
35.437.1 37.5
2Q18 1Q19 2Q19
DATA NOW ACCOUNTS FOR 70% OF TOTAL REVENUES
MOBILE DATA TRAFFIC MOBILE DATA USERS
4
1%
+89% In Millions
2.1
3.5 3.8
2Q18 1Q19 2Q19
MOBILE DATA MONTHLY ATPU
+7%
In GB+81%
+6%
+6%
Globe at Home Air Fiber 5G Unveiled
0917 Lifestyle, Saga Events Bring Back StyleFestPH
Free Promo Codes for subscription to GoSakto90
NEW PRODUCTS, SERVICES, AND PROMOTIONS
Free Promo Codes for subscription to HomeSurf
GCash expands Puregold partnership with
Scan to Pay via Barcode
You can now pay with GCash QR in Starbucks!
GLOBE SHOWS SUPPORT FOR THE GOVERNMENT’S COMMON TOWER INITIATIVE
Globe, Aboitiz-Frontier Towers ink common tower deal
Globe signs MOU with ISOC, edotco to Fast Track ICT Infra Build in PH
GLOBE’S NEW CORPORATE INCUBATOR
New engine for Globe’s future growth…
Create and scale digital companies
Solve problems for customers and businesses beyond telco
Leverage core telco assets to the fullest
FINANCIAL HIGHLIGHTS
1/ OPEX & Subsidy includes interconnect charges2/ Core Net Income excludes forex, mark-to-market gains and losses, and non-recurring items3/ 2018 figures have been restated to reflect a normalized quarterly break following the adoption of PFRS 15 and 9
1H19 PERFORMANCE: EBITDA UP 18% YoY, NET INCOME UP 21% YoY
Impact of PFRS 16:• Php561 million upside to EBITDA for 1H19 (~Php1.2 to 1.5 billion for FY2019)• ~Php30 million reduction to NIAT per quarter (~Php120 million for FY 2019)
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1H191H18
(Restated)3 YoY% 2Q19 1Q19 QoQ%
Gross Service Revenues 72,879 64,746 13% 36,876 36,003 2%OPEX and Subsidy1 (34,297) (31,927) 7% (18,213) (16,084) 13%EBITDA 38,582 32,819 18% 18,662 19,919 -6%EBITDA Margin 53% 51% 51% 55%Depreciation (16,453) (14,573) 13% (8,457) (7,996) 6%EBIT 22,128 18,246 21% 10,205 11,923 -14%Non-Op Charges (4,395) (3,535) 24% (2,268) (2,127) 7%Provision for Tax (5,687) (4,735) 20% (2,620) (3,066) -15%Net Income 12,047 9,975 21% 5,317 6,730 -21%Core Net Income2 12,023 10,179 18% 5,291 6,732 -21%
32,819 38,582
8,133 1,760 1,413 931 294 1,492
6M18 EBITDA Inc. inRevenues
Dec. inInterconnect
Charges
Inc. in StaffCosts
Inc. inMarketing &
Subsidy
Inc. in NetworkCosts
Inc. inProvisions,Services &
Other OPEX
6M19 EBITDA
19,919 18,663
873
55
137 1,198
355 494
1Q19 EBITDA Inc. inRevenues
Inc. inInterconnect
Charges
Inc. in StaffCosts
Inc. inMarketing &
Subsidy
Dec. inNetwork Costs
Inc. inProvisions,Services &
Other OPEX
2Q19 EBITDA
YoY(in Php Mn)
QoQ(in Php Mn)
-6%
+18%
EBITDA GROWTH DRIVEN BY HIGHER REVENUE AND LOWER INTERCONNECT COSTS
10
9,975 12,047
5,763 1,880 859 952
6M18 ReportedNet Income
Change in EBITDA Inc. in Depreciation Inc. in Non-operating expenses
Inc. in Tax 6M19 Reported NetIncome
6,730 5,317
445 1,256
461 141
1Q19 Net Income Change in EBITDA Inc. in Depreciation Inc. in Non-operating expenses
Dec. in Tax 2Q19 Reported NetIncome
NET INCOME GREATLY BENEFITTED FROM EBITDA UPSIDE
YoY(in Php Mn)
QoQ(in Php Mn) -21%
+21%
11
2015 2016 2017 2018 1H19
Data Business Support Core Others
CAPEX BREAKDOWNIn Php Bn
10%
14%11%
65%
36.7 9%2%
7%82%
42.5 43.39%
1%13%
77%8%
30%
15%
48%
32.1
1H19 CAPEX SPEND AT PHP 19 BILLION WITH 75% RELATED TO DATA REQUIREMENTS
19.0
12
Core, 1%
Data, 75%
Business Support,
15%
Others, 9%
GEARING: DEBT LEVEL WITHIN COVENANT RATIOS
22.75Php/share
3Q19 CASH DIVIDEND RECORD DATE:
August 19, 2019
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PAYMENT DATE:
August 30, 2019
