Swisscom Ag · SIX:SCMN
Swisscom — Debt Investor Presentation (May 2021)
29 slides from Swisscom's debt investor presentation, May 2021
Slide 1: Swisscom Green Bond Issuance May 2021
Swisscom Green Bond Issuance May 2021
Slide 2: Disclaimer
Disclaimer This document and its content (the Materials) have been prepared solely for informational purposes and do not constitute a prospectus for the purposes of the Swiss Financial Services Act (Finanzdienstleistungsgesetz) (as amended) or the laws of any other jurisdiction or any other form of
Slide 3: Agenda
Agenda 1 2 3 4 ESG Green Bond Financial & Summary as part of operational Framework Credit Topics roadmap Q1 2021 update 3
Slide 4: ESG as part of operational roadmap
1 Wrap-up ESG as part of operational roadmap 4
Slide 5: Vision and values
1 Vision and values Together we shape the future for… As number 1, we are shaping the future. Together we inspire …the people people in the networked world. …the environment Trustworthy. Committed. …and Switzerland Curious. #readytogether
Slide 6: We live our values – this is reflected in our targets
1 We live our values – this is reflected in our targets Sustainability is at the heart of Swisscom trustworthy committed curious Target 2025 Sustainability is Target 2025 100% 500'000t part of Swisscom's x2 of power Coverage with CO2 reduction operational together with our consumption Fibre(FTTH) cu
Slide 7: Strong commitment to corporate responsibility yielding good results in 2020
1 Swisscom's strong commitment to corporate responsibility yielding good results in 2020 2025 targets along SDG* set for people, environment and Switzerland #ready to support people #ready to protect the environment #ready for Switzerland • Support 2 million people • Target 2025 to reduce net CO2 ou
Slide 8: Swisscom's focus on Sustainability replicated at Fastweb
1 Swisscom's focus on Sustainability replicated at Fastweb… …with ambitious targets and in compliance with the International reference guidelines (GRI Standards) #ready for the Country #ready for People #ready for the Planet • Reduce digital divide • Fastweb Digital Academy: • Climate strategy: spre
Slide 9: Awarded as one of the world's most sustainable companies
1 Awarded as one of the world's most sustainable companies External recognition of Swisscom's ESG commitments and achievements over the last 20 years* World Finance Sustainalytics MSCI ESG FTSE4Good Ecovadis Sustainability ESG Risk Rating Rating Index 2021 Award 2020 2020 2021 2020 The world's most
Slide 10: Green Bond Framework
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Slide 11: Strategic Objectives of the Federal Council for Swisscom
2 « The Federal Council expects Swisscom to pursue a corporate strategy that is, to the extent economically possible, both sustainable and committed to ethical « principles. Strategic Objectives of the Federal Council for Swisscom Ltd. Federal Council of the Swiss Confederation 11
Slide 12: Reduced annual CO2 emissions in Switzerland by 580k tonnes in 2020
2 Together with our customers, we reduced in 2020 annual CO2 emissions in Switzerland by 580k tonnes. Further savings measures defined across all scopes Scope 1-3: CO2 emissions by Swisscom Scope 4: CO2 savings by Swisscom customers using ICT services Scope 1: Direct Scope Scope 3: Indirect emission
Slide 13: Measures to reduce energy consumption and CO2 emissions fall into three themes
2 Measures to reduce energy consumption and CO2 emissions fall into three broad themes 1. The Challenge 2. The Chance 3. The Chore Exponential growth in data Networks enable services Everyday operations can be traffic that allow customers to optimized constantly avoid CO2 Energy efficiency of networ
Slide 14: Green Bond Framework: Decouple, Enable, Reduce
2 Green Bond Framework: DECOUPLE energy and CO2, ENABLE customers to reduce CO2 and REDUCE emissions of our own operations Swisscom intended Use Green Impact ICMA GBP Supported SDG of Proceeds Scope 1 Scope 2 Scope 3 Scope 4 Reducing Saving Reducing travel Vehicle transportation energy Heating Elect
Slide 15: Green Bond Impact: Energy efficiency, FTTH & 5G
2 Green Bond Impact: Energy efficiency Selected Use of Proceeds: FTTH & 5G Green Impact translates into… Network deployment - FTTH Network deployment – 5G Scope 2: Electricity consumption 1 • FTTH reduces absolute energy consumption 1 4G+ 99% (+2% YoY) 2 • Energy consumption dramatically reduced com
Slide 16: Green Bond Impact: All-IP & Low Power Network
2 Green Bond Impact: Energy efficiency All-IP & Low Power Network (LPN) Projects… Green Impact translates into… All-IP migration & • …aim to migrate voice to IP ("All-IP"), Scope 2: Electricity consumption phase-out of energy and material • 51.5 GWh of avoided electricity consumption at Swisscom in
Slide 17: Green Bond Impact: Energy efficiency
2 Green Bond Impact: Energy efficiency Projects… Green Impact translates into… Cooling 6 • …aim to continue to roll out innovative Scope 1: Refrigerants fresh-air cooling technology ("Mistral") • By replacing conventional cooling machines with fresh air technologies in fixed line network and data ce
Slide 18: Green Bond Impact: Renewable energy & Clean transportation
2 Green Bond Impact: Renewable energy & Clean transportation Swisscom produces renewable energy and increases the efficiency of its car fleet Projects… Green Impact translates into… • …aim to increase share of renewable Renewable energy 8 • …savings of grid electricity and increase of energy sources
Slide 19: Transparent management of proceeds and reporting
2 Transparent management of proceeds and reporting Project selection, management of proceeds and reporting Dedicated Green Bond Management of proceeds Reporting* Committee (GBC) • GBC formed by representatives from • Allocation of UoP with a focus on energy Allocation Treasury, Communications & effi
Slide 20: Key messages
2 Key messages • Swisscom recognized as one of the world's most sustainable ICT companies1 as a result of the implementation of a systematic sustainability management more than 20 years ago • Together with our customers, we reduced annual net CO2 output in Switzerland by 580k tonnes in 2020 • Progre
Slide 21: Financials & Credit Topics
3 Fastweb Financials & Credit Topics Q1 2021 update 21
Slide 22: Q1 market performance
3 Q1 market performance Swiss RGU base with extraordinary effects. Fastweb with ongoing RGU growth Swisscom Switzerland (RGUs in k) Fastweb (RGUs in k) +105 +17 +18 +8 Net adds Q1 underlying reported +1 underlying reported -10 -5 1 -7 -15 -16 2 -32 Broadband TV Fixed voice Postpaid Wholesale Broadba
Slide 23: Q1 financial performance
3 Q1 financial performance Robust set of results. Net income +62% YOY driven by one-offs EBITDA development in CHF mn and YOY changes Q1 2021 Underlying performance +9 Net CHF 2'803mn +7 +10 +4 1’124 1’111 (+2.4% YOY) revenue -8 Net CHF 638mn (+61.9% YOY) income Group Swisscom Currency Group Fastweb
Slide 24: Reliable returns for shareholders and lenders
3 Reliable returns for shareholders and lenders Financial Policy in a nutshell Stable, Attractive and Defend Market shares High Profitability Strong Cashflows Affordable Dividend • Market share • High market share • Reasonable • 22 CHF per share defence • Premium positioning CAPEX/Sales • Attractive
Slide 25: Well balanced and diversified maturity profile
3 Well balanced and diversified maturity profile Successful rating reviews in Q1 underpinning A credit ratings Debt maturity profile as per Q1 2021 1) 2021 554 • Portfolio mix: Fix 94% vs floating 6% 2022 500 • Ø interest rate of 1.08% 2023 250 • Ø duration of 6.39 years 2024 666 • CHF 2.2bn committ
Slide 26: New guidance FY 2021
3 New guidance FY 2021 Net revenue of CHF ~11.3bn (up), EBITDA of CHF 4.3-4.4bn (up) and CAPEX of CHF 2.2-2.3bn (down) reported sofar2 new in CHF mn figures 2020 outlook 2021 outlook 20213 Splits into: CHF ~8.6bn for Swisscom w/o Fastweb + Revenue 11'100 ~11'100 ~11'300 EUR ~2.4bn for Fastweb CHF 3.
Slide 27: Summary
4 Highlights 2020 Summary 27
Slide 28: Strong sustainability positioning, excellent credit standing and solid results
4 Swisscom with strong sustainability positioning, excellent credit standing and solid results since many years Our green • One of the most sustainable telco's worldwide with a track record of over 20 years positioning • Together with our customers, we had net negative CO2 emissions of 580k tonnes i
Slide 29: Cautionary statement
Cautionary statement Regarding forward looking statements • "This communication contains statements that constitute "forward-looking statements". In this communication, such forward-looking statements include, without limitation, statements relating to our financial condition, results of operations