Digi Communications Nv · BVB:DIGI
Digi Communications Nv — Cable Communications Systems N.V. (CCS) — Q1 2014 Earnings Presentation
21 slides from Digi Communications Nv's earnings presentation, Jun 19, 2014
Slide 1: Investor presentation for the three months ended March 31, 2014
Investor presentation for the three months ended March 31, 2014 Cable Communications Systems N.V. (CCS) Parent Company of June 19, 2014
Slide 2: Disclaimer
p. 2 Disclaimer By attending the meeting where this presentation is made, or by reading the presentation slides, you agree to be bound by the following limitations: The information in this document has been prepared by Cable Communications Systems N.V. (“CCS" or the "Company") and solely for use dur
Slide 3: Group overview
p. 3 Group overview Romania Hungary Others Total Three months Three months Three months Three months ended ended ended ended March 31, 2014 March 31, 2014 March 31, 2014 March 31, 2014 Revenues and other income² €108.5m €29.3m €17.2m €153.9m EBITDA €47.7m €11.5m €1.6m €60.9m EBITDA margin¹ 44% 39% 1
Slide 4: Recent Developments
p. 4 Recent Developments In June 2014, the National Media and Infocommunications Authority (NMHH) in Hungary organised a mobile spectrum auction. We bid for one frequency block in the 1,800 MHz spectrum In June, 2014 we issued an utilisation request for the remaining EUR 45 million from the term
Slide 5: Recent Developments – Mobile Telephony
p. 5 Recent Developments – Mobile Telephony The license of 5 MHz of bandwidth in the 900 MHz frequency spectrum that we won in September 2012 has become operational on April 6, 2014. In December 2013 ANCOM has announced a reduction in mobile interconnection tariffs to 0.96 eurocents / min, reduc
Slide 6: Financial highlights for the year March 31, 2014
p. 6 Financial highlights for the year March 31, 2014 Results from continuing operations Stable revenue development in line with increase in total RGUs from 10.0 million as Revenues & other income at March 31, 2013 to 10.4 million as at 200 Adj. EBITDA March 31, 2014 Eur. 180 M CAPEX Adjusted EB
Slide 7: Highlights Romania – Revenue and Adj EBITDA
p. 7 Highlights Romania – Revenue and Adj EBITDA Results of Operations1 Revenue growth of 5.3% (7.4% in constant currency terms) driven by growth in RGUs (Cable TV and Internet) For the three months % ended March 31, change 2013 2014 Lower EBITDA margin due to the (euro in millions) unfavourable
Slide 8: Highlights Romania - KPIs
p. 8 Highlights Romania - KPIs Subscribers Subscribers (Thousand RGUs) RGUs Period Ended March 31, Net Additions 2013 2014 Last 12 months Last 3 months Cable TV 2,362 2,506 144 55 Fixed internet and data 1,599 1,728 129 45 Fixed-line telephony 1,547 1,509 (38) (10) Mobile internet and data 615 734 1
Slide 9: Highlights Hungary – Revenue and Adj EBITDA
p. 9 Highlights Hungary – Revenue and Adj EBITDA Results of Operations Stable revenue in Q1 2014 (3.4% increase For the three % in constant currency terms) driven by Triple months ended change Play Bundles. 2013 2014 (euro in millions) Stable EBITDA Revenues 29.4 29.3 -0.5% Adjusted EBITDA 11.6 1
Slide 10: Highlights Hungary - KPIs
p. 10 Highlights Hungary - KPIs Subscribers RGUs Period Ended Subscribers (Thousand RGUs) Net Additions March 31, Steady growth Triple Play Last 12 Last 3 2013 2014 subscribers and increase in Months Months Cable TV 391 401 10 (3) the penetration of Internet Fixed internet and data 308 330 22 1 an
Slide 11: Highlights Other Territories
p. 11 Highlights Other Territories For the three months Spain: ended March 31, % change 2013 2014 Continued to grow RGUs at a higher (euro in millions) speed as a result of a new offer Revenues launched in June 2013 1 Spain 11.9 12.3 3.3% Lower margins due to increased Czech Republic 4.5 3.6 -19
Slide 12: Group Financial Profile
p. 12 Group Financial Profile We concluded a coupon SWAP until the end of September 2016 for the full amount of the Proceeds Loan (€450 million) Financial liabilities as of March 31, 2014 Maturity profile Term Loan & Notes Facility Amount as of March 31, 2014 (EUR millions) (EUR millions) 500 Seni
Slide 13: Group Financial Profile (continued)
p. 13 Group Financial Profile (continued) Gross / Net Debt (EUR millions) 800 668 670 638 Total net debt as of March 31, 2014 is €620 13 50 50 600 million Net Leverage is and 2.4x and Gross Leverage 400 is 2.6x. 625 617 620 Undrawn Portion of Financial Debt: €95 million 200 out of which €45 mil
Slide 14: Financial Calendar 2014
p. 14 Financial Calendar 2014 You can find us on: Web: investors.rcs-rds.ro Email: [email protected] Agenda for 2014 Report Call FY 2013 Results 30-Apr-14 Thursday 08-May-14 Q1 2014 Results 13-Jun-14 Thursday 19-Jun-14 Q2 2014 Results 12-Sep-14 Thursday 18-Sep-14 Q3 2014 Results
Slide 15: Q&A Session
p. 15 Q&A Session CCS / RCS & RDS
Slide 16: Appendices
p. 16 Appendices CCS / RCS & RDS
Slide 17: Revenue streams
p. 17 Revenue streams Q1 2014 revenue split by product Q1 2014 revenue split by country Czech Other Republic Italy revenues 2% 1% 5% DTH Spain 15% 8% Cable TV 30% Hungary 19% Mobile telephony 11% Mobile internet and Romania data 70% 4% Fixed-line telephony 7% Fixed internet and data 28% ¹ Slovakia d
Slide 18: Group Results (P&L) Q1 2014
p. 18 Group Results (P&L) Q1 2014 For the three months ended March 31, % Change 2013 2014 (EUR millions) Sales Romania 102.0 107.6 5.5% Hungary 29.4 29.3 -0.5% Spain 11.7 12.1 3.5% Other 6.0 4.9 -19.2% 1 Discontinued Operations 7.5 0.0 N.M Total Revenues 156.6 153.9 -1.7% Adjusted EBITDA 65.6 60.9 -
Slide 19: Summary Cash Flow
Cash Flow p. 19 Summary Cash Flow For the three months ended March 31, 2013 2014 (EUR millions) Cash flows from operations before working capital changes 69.0 60.2 Cash flows from operations 58.1 48.0 Interest paid (7.5) (3.3) Income tax paid (0.3) (0.5) Cash flows from operating activities 50.2 44.
Slide 20: FOREX development
p. 20 FOREX development RON/EUR Exchange Rate 2012 – Q1 2014 HUF/EUR Exchange Rate 2012 – Q1 2014 4.70 320 4.60 308 4.52 4.52 310 4.50 4.50 4.44 4.45 298 298 4.42 300 297 297 296 4.39 4.40 294 4.40 4.35 290 4.30 283 283 280 4.20 4.10 270 4.00 260 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1
Slide 21: Summary corporate and financing structure
p. 21 Summary corporate and financing structure RCS Management, S.A. (Romania) 63% Cable Communication New Senior Systems N.V.² Secured Notes (The Netherlands) €450m 96%¹ Proceeds loan €300m New Senior RCS & RDS S.A.² Facilities Agreement` (Romania) 100% 100% 100% 100% DIGI T.S. Kft DIGI Spain DIGI
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